President’s Letter: April, 2020

There are few words to really capture what is happening in the world at the moment. It's more a never-ending series of days that seeming run together into "day-that-ends-in-y"day, because time is passing far from linearly.

I've said half-jokingly that given what air cargo has gone through in 2020, first in China and then moving into Europe and finally here in America, I feel as if I'm aging at the same rate of speed as my dogs. 7 of their years to one of mine is about where we're at right now.

Remember when the biggest concern was low-sulfur fuel? I mean, I'm old enough to remember the signing of a Phase 1 agreement with China.

But that's not where we're at now.

The past month has seen a 97% year-on-year drop in passenger air travel, millions of people out of work shelter-in-place orders and the global economy vaulting off a cliff, Thelma and Louise style. Our industry is certainly not immune as layoffs have gripped logistics companies as they and their customers try best to forecast when and how we come back and what it looks like when we do.

The IACAC is here for our members just like we have for the past sixty-plus years.

We know this isn't an easy time, but as we all ride through this together, I can't help but think that as we work to be valuable to our customers, to maintain our networks and find ways to come together by remaining apart, we will have a refreshed appreciation as we take those first tentative steps back to coming back into offices after scanning our closets for "work" clothes.

Me personally? I've become my grandfather, wearing the same shoes around the house every damn day. I miss footwear.

While we've had to make changes in our early 2020 programming, rest assured that we're still looking forward to a number of exciting events as we move into the rest of the year, including our annual golf outing and a our holiday party - which we are excited to announce will be moving to Coopers Hawk Restaurant & Winery in Arlington Heights.

So, stay tuned, stay safe and keep #flatteningthatcurve. The doubling statistics continue to grow longer in Illinois, a sign that things are improving. But like an athlete that tries to rush back to the game too soon after rehabbing an injury, we need to carefully evaluate how we begin again, but only with proper testing, tracing and identification.

Share your stories with us.

If your company is out there doing amazing things to help through this pandemic, we'd love to know about it and tag and amplify it. In case you didn't know where to find us on social:

Facebook: https://www.facebook.com/IACACORD/

Twitter: http://www.twitter.com/IACACORD

LinkedIn: https://www.linkedin.com/groups/1848998/

Insta: https://www.instagram.com/IACACORD

President’s Letter: October, 2019

There are few greater joys that I have as President of this association than having the opportunity to attend events in other cities held by their local air cargo or freight forwarder associations to listen, learn and participate in their discussions.

Last week I was in Los Angeles, listening to forwarders, airlines, truckers, ground handlers and the airport authority talk about their situation and how they're trying to solve their problems. Like Chicago, Los Angeles has embarked on a major overhaul of their passenger terminals and surrounding infrastructure. Unlike Chicago, they don't have the Phase 3 that we recently had delivered ("Northeast Cargo") that brought additional capacity online. In fact, Los Angeles missed out on the chance for a new facility near Century Blvd. which would have replaced and/or supplemented the existing facilities, many of which have been in existence - and use - since World War II.

We may not fully like our situation, but I can guarantee you that in places like Los Angeles and JFK, they've got it a lot worse.

Next week, I'll be in Honolulu at the invitation of Hawaiian Airlines Cargo to cover Air Cargo Day, the annual major event put on by the Air Cargo Association of Hawaii - their local association representing the air cargo community across the islands. Candidly, I've not been to Hawaii since I was in grammar school, so aside from seeing the modern new cargo facility that Hawaiian Airlines operates, I'm looking forward to learning about the issues that affect their members and community.

Don't miss the chance to attend our event later this month, either. After attending the CBP Trade Symposium in Chicago this summer, the importance of e-Commerce and the sheer volume of what passes through Chicago was made apparent and the chance to see what happens between "envelope introduced into foreign post" and "delivery to US address" was one that I felt our members would benefit from.

With thanks to CBP for making the tour possible and Anna Ma and Rod Zimmerman of Farro and United, respectively, for offering their facility, we've put together a great event on October 29th.

But you've got to register now. We need to give names and copies of ID's to Customs to vet by early next week, so don't delay. We've also only got 30 spots and while we limited it to one person per member company at the outset, we're opening it to additional members from a company and non-members alike on Friday, October 4th. We'll follow up as well to get a copy of your ID to submit to CBP.

Finally, if you're interested in participating in the IACAC Board of Directors, our elections will be held next month. We've done some wonderful things and have a strong, dedicated group of board members and are looking to grow. We've got spots available because of attrition of board members who had to step away because of opportunities at their companies or moving out of the industry.

There's no better time to join the board and learn more about this amazing and vibrant port in which we all work.

As for me? I wish everyone "aloha" and will report back on Air Cargo Day next month.

President’s Letter: September, 2019

It's been a few months since I've written - or since a Pallet has been published. We have a commitment here at the IACAC to keep our members informed and engaged and while we've been busy with programming and utilizing other channels to communicate, we've neglected the blog and The Pallet. Please accept my apologies for that and know that we're back on track as we enter the fall.

It's been an active year of programming, both with our luncheons and our networking events. We recently concluded the golf outing last month which raised a ton of money for our scholarship fund and had record participation from golfers, sponsors and lunch attendees. We're humbled by the support the community shows this event every year and the increasing participation only reinforces that we're providing a fun venue for golfers, sponsors and everyone to get together and enjoy a wonderful day on the links.

The programming isn't abating as we enter the final quarter of this year, either. We've got a bunch of great stuff in the pipeline including a luncheon next Tuesday covering the important and impactful issue of legalized marijuana in the workplace, our annual Oktoberfest event at Church Street Brewing, elections in November and our annual holiday luncheon in December.

Along the way, we're dealing with the increasing uncertainty of Brexit in Europe and the ratcheting up of the ongoing trade war between the United States and China with another few rounds of duty increases coming on October 1st and December 15th. On the bright side, there might be hope of a US - Japan bilateral trade agreement to be announced in the next month or two - so there is hope.

Stay tuned for continued programming announcements - we're trying to finalize October's luncheon / member event which will be a tour of the International Postal Facility. The date is TBD and the spots will be very limited - but we'll be sure to communicate when registration opens. The tour will also require submission of a copy of either a driver's license or passport - CBP's rule, not ours.

President’s Letter: December, 2018

Seasons Greetings, everyone.

As we bring down the curtain on 2018, I have to say thank you to a remarkable group of people - your IACAC Board of Directors - who worked tirelessly through the year to make this one of our most successful in recent memory. We cranked out an amazing number of events and membership is on the rise - and this is all thanks to them and their hard work.

2018 events:

  • Punch Bowl Social Networking Event
  • February Luncheon
  • March Luncheon
  • March Madness Networking Event
  • March Chicago Wolves Networking Event
  • April Luncheon with Mike White, CNS
  • May Luncheon
  • June Luncheon
  • July Luncheon
  • July Picnic in the Park
  • August Golf Outing
  • September luncheon
  • September Oktoberfest
  • October Luncheon with Brandon Fried
  • November luncheon
  • December Holiday luncheon

That's a pretty substantive list of activities when you go back and look at it - and we're not slowing down in 2019.

Speaking of 2019 - have you renewed your membership yet? With a near-record attendance of ninety people at the luncheon, the overwhelming majority raised their hands as members. Thank you for your membership in 2018 - but with the change of the calendar you need to join again next year. Please visit here to renew for 2019.

Scholarship winners

At our holiday luncheon (did you check out the gallery) we gave out four scholarships. Congratulations to Jordan Brown, Eric Ripley, Grace Gadow and Vincent DiVenere. If you click here you can download all four winning essays in a single .pdf file. The scholarship, which is open to IACAC members and their families, is another way we give back to our members. We awarded more than $7,000 in scholarships this year - money raised from our holiday party and golf outing.

Board of director elections

Congratulations to Ben Pecoraro of Basic Crating & Packaging who was elected to the board in our November elections. Ben is our newest voting board member along with Pamela DeSalvo and Maureen Schmitt who were re-elected. Therese O'Sullivan was also elected as a non-voting board member.

A big thank you to outgoing board members Chris Aguirre, Laura Candella and Treasurer Mike Cohen. We are thankful for your contributions over the past years to the Association.

2019 events - mark your calendar

On Thursday evening, January 17th, we're kicking off the year with a networking event at Punch Bowl Social in Schaumburg. It's free for members, $25.00 for non-members. Registration is open now. Thanks to MSA Security who are one of our first sponsors for the event!

On Tuesday, February 19th, our first luncheon will feature a team from K2 Solutions, Inc., a provider of canine teams certified by TSA to perform screening in Certified Cargo Screening Facilities. We're working to get representation from TSA as well. This will not be an SSI-session, but will be a good chance for companies to familiarize themselves with how the canine screening process can work for IAC's and determine if it is a worthwhile investment for their companies.

President’s Letter: November, 2018

As I teased in The Pallet, November's a big month for voting. On the first Tuesday of the month, we vote for state and federal candidates. On the second Tuesday of the month, we vote for board positions for the IACAC. It is humbling to see new faces running for the board - it tells us that the energy the group is generating makes people want to be part of it and advance us even further. We are fortunate to have guidance, advice and support from many past presidents and board members - and what those people have to say and offer is extremely valuable and informs us as we debate and consider new opportunities for our members.

The annual election luncheon will be held Tuesday, November 13th, at the Department of Aviation. We encourage all our members to attend not just to network, but to meet our candidates, all of whom will be speaking and presenting themselves at the event. If you can't make the event in person but are a member in good standing of the IACAC, you can vote for the candidates by absentee ballot.

All you need to register for the luncheon or download and submit your ballot can be found right here.

December Holiday Luncheon

Mark your calendars for Tuesday - December 11th - a little over a month from now - to join us for our annual Holiday Luncheon at Belvedere Events & Banquets in Elk Grove Village. As always, we encourage everyone to bring an unwrapped toy for the Toys for Tots collection that IACAC Board Member (and Marine) Maureen Schmitt arranges. Please also bring items that we can raffle off to raise money for our Scholarship Fund. Tickets are a very affordable $35 for members and non-members alike and we encourage everyone to join us and participate. Registration is open for the luncheon at this link.

IACAC Board On The Road - TIACA and WESCCON

Chuck Menini and I were both in Toronto for TIACA's Air Cargo Forum 2018 - it was extremely informative and gave us a few great ideas for topics to have for our upcoming luncheons, including UAV's and explosive-sniffing dogs. Along with this were very interesting sessions, some of which are available on TIACA's Periscope page that were live-streamed or by going back through TIACA's Twitter feed from those few days. 

If you're interested in hearing what Chuck and I had to say, why not check out this video from the IACAC Facebook page? 

I was also fortunate enough to score an interview with TIACA's Secretary General Vladimir Zubkov. That video is also on the IACAC Facebook page - but go ahead and use this direct link.

Meanwhile, on the West Coast, Brian Bartolotta was exhibiting at WESCCON and the word everybody was buzzing about was tariffs and what it has meant for importers as well as freight forwarders.

Join us (or join us again) in 2019

We are very excited to be kicking off membership renewals for 2019. We have plenty of great things planned for 2019 including members-only events, discounts and service offerings from vendors who want your business. We're extremely affordable at only $130 for a corporate membership and $50 for an individual membership. Don't wait - renew today.

President’s Letter: October, 2018

It is a sincere pleasure to have the opportunity to write this column every month. Despite having left the transactional side of the business now six year ago, the degree to which I remain involved in the day-to-day issues that affect the industry is amazing and wonderful. I stand by my firm belief that there are fewer industries where we rely on each other more - both asset and non-asset owning companies - and where individual friendships and relationships are forged and remain in place for decades. People that fall in love with logistics don't necessarily go to school for it. Maybe they answer an ad, have a friend who ropes them in or have a family member who is already "in it". However people come to it and for whatever reasons they remain, makes me more proud of our industry with each passing day.

London & Brussels calling.

In September, I traveled to the UK and Brussels and had the pleasure to meet and network with people like the publisher of The Loadstar, Alex Lennane and the head of BIFA, Robert Keene. We talked congestion, Brexit and the issues that forwarders deal with on a daily basis and rest assured, they are the same things, just on the other side of the pond.

In Brussels, I spent a day and a half with the amazing Steven Polmans, head of cargo and logistics for Brussels Airport. With a staff of seven, Brucargo has taken a number of steps to alleviate congestion and to work more closely. It took them a number of years, but Air Cargo Belgium is now the group to which everyone belongs and has a paid staff that manages technology, working groups and collaboration and problem / conflict resolution. It is my personal belief that for airport communities to have the success of Brussels, the airports must take the lead as the facilitators. Dedicated staff who act as the mediators, facilitators and advocates are best positioned to represent these groups. 

Brussels also operates Brucloud, a technology platform which companies connect to and is growing through the use of things like slot booking and information sharing. I took a video with Sara van Gelder from Steven's team and it's here on Facebook

It took Brussels seven years and while I hope that here in Chicago and elsewhere it doesn't take that long for us, they've given me a blueprint in my mind for how we can work better together.

Two more events - Elections and our holiday party.

As we move into November and December, we only have two major events remaining on the calendar - our elections which are on Tuesday, November 13th, and our holiday party on Tuesday, December 11th. Please mark your calendars to attend both. Watch for the emails reminding you and providing a chance to register. If you are interested in running for the IACAC board - and I believe we have at least four, possibly five declared candidates as of this writing, we welcome your engagement and participation.

Membership renewals coming for 2019 - and get the rest of 2018 if you join now!

In November you will start to see an earnest push for membership - whether getting our 2018 members to renew, getting former members back or finding companies and individuals to join us for the first time next year. The IACAC is making internal improvements to increase the value of membership in our organization. I personally promise that while you may have seen benefits of membership to date, it will ramp up even further next year.

September, 2018 President’s Letter

As we enter the final quarter of the year, we're all wondering what the peak will look like this year. There is, of course, the usual reliable shipments of new consumer electronics such as the latest offerings from Apple and other tech companies, the holiday toys that make an impact and the exponential year-on-year increases in eCommerce packages that are changing the composition of forwarders consolidations.

Here in Chicago, with the announcement that Mayor Emanuel will not seek re-election, we wonder what things will look like over at the Department of Aviation and whether or not there will be turnover in leadership and what that means for cargo and cargo development.

What we do know is that we will work closely with the city and our airline and ground handling partners to ensure that we have an open dialog for staffing and service and if issues arise, we've got someone to talk to and communicate to our members quickly and effectively.

September luncheon - Kyle Matousek

This one will be a treat. We are normally very focused on industry issues that sometimes we forget what is necessary for our businesses or for our own professional development. Kyle's experiences as a firefighter and in the military position him to talk about leadership from some fairly life-and-death positions. While those who haven't faced that kind of danger cavalierly throw around the term "I nearly died because of 'x'," in Kyle's case this is the literal truth. Register for the event here.

September networking - Oktoberfest!

With thanks to DHL Aviation, AOT Group, Tax Air and TransChicago National Lease, we're going to have a great time on Thursday, September 13th at Church Street Brewing in Itasca. We've got a pretzel truck, we've got Oktoberfest beer and we've got a great night with friends and colleagues. Free for members  - $25.00 for non-members. We'll be offering memberships for 2019 that includes the balance of 2018 - so don't miss a chance to get some value for dollar. Register here.

October luncheon - Brandon Fried

With a pretty key election coming up in November, Brandon's insight sitting just a block and a half away from the White House and the Capitol are always welcome. There are still important things happening in regulatory agencies such as ACAS and the FMCSA taking a look at the Hours of Service issue. Brandon's insight will be welcome and note that he'll be at the Chicago Department of Aviation's facility. Registration is open - click here to get registered now.

Visiting London and Brussels this month

This month I will be traveling to both London and Brussels over the course of a week. In the UK I will be meeting with representatives of BIFA, the British International Forwarders Association. My plan is to talk Brexit, a third runway at Heathrow and how they deal with congestion owing to very tight real estate and ground handling challenges. I hope to meet with a representative of London Airports as well. Across the channel, I'll be meeting with Steve Polmans, head of cargo at Brussels Airport and getting a tour and understanding of a Cargo Community they've created called Brucloud. I hope to speak to several global ground handlers who are in both Brussels and Chicago to find out how they manage and interface with their local air cargo communities to improve productivity and communication. Watch for some trip reports from the road.

 

President’s Letter: August, 2018

A week ago, the IACAC held our annual golf outing, and I have to say that it was a success. This is thanks to the participation and generosity of our sponsors, golfers and everyone who came out for lunch and brought items to raffle off. We are extremely fortunate to have such an amazing community here in Chicago and words fail me sometimes at how we come out for a cause. We've got the photo gallery here on the site - check it out.

THANK YOU to our hole sponsors:

  • Cathay Pacific
  • Alliance Ground International
  • Fastmore Logistics
  • Midwest Express
  • AirBridge Cargo
  • Air Canada Cargo
  • Charity Golf
  • Land Air Express
  • IAG Cargo
  • Basic Crating & Packaging
  • BCS Placement
  • Riege Software International
  • Avalon Risk Management
  • Heavyweight Air Express
  • Quick Caller

THANK YOU to our course sponsors:

  • Rockford Airport
  • Alliance Ground International
  • Forward Air
  • Rank Transportation
  • Freight Force
  • Cargosprint

THANK YOU to our game sponsors:

  • Longest drive: Archgate TMS
  • Closest to the pin: Cargosprint
  • Longest putt: Chain.io

THANK YOU to our beverage cart and halfway house drink sponsor:

Alaska Air Cargo

THANK YOU to our airline sponsors who donated tickets or miles:

Air Canada

Alaska Air Cargo

LATAM

Southwest Cargo

THANK YOU to our golf committee and volunteers - this couldn't have happened without all of you before, during and after the event.

We put together two fliers for the golfers and a raffle thank you sponsor sheet. Download them here and if you won something, drop the sponsor a note and say thanks - it really means a lot and lets them know you appreciate their contribution.

SAVE THE DATE - TUESDAY, AUGUST 6, 2019 - We'll see you out there.


The money we raise at the golf outing goes to support our IACAC Scholarship which is now open for applications! We set a page up here on the site and will also be sending emails to our members reminding them that immediate family members of both individual and corporate members are eligible to apply. Details are in the application and applicants need to provide a transcript and answer the three essay questions. Applications are due by the end of October, winners will be announced mid-November and we hope they can also join us at our holiday luncheon in December.

If you're looking ahead to what comes next on the calendar - we'll keep you busy at lunch on September the 11th and networking after work on the 13th. Come hear Kyle Matousek speak about the important qualities of leadership - as a former soldier and firefighter, Kyle's well positioned to share what he has learned and has to offer. $25/members, $35/non-members and those without registrations at the door at the Wyndham. On Thursday night, we're at our favorite after-work haunt, Church Street Brewing Company for an Oktoberfest party sponsored by DHL Aviation, AOT Overseas and TransChicago NationaLease. Free for members, $25 for non-members. Come join us for two Oktoberfest beers and complimentary pretzels from Gnarly Knots Pretzel Truck. RSVP here so we know how many will attend - we will not be taking payments at the door so if you're not a member and you plan to attend, registration must be paid in advance.


If you're interested in joining the IACAC Board of Directors, elections are coming up in November - now's the time to ask questions of any of the current board members and see if you would like to join us.

 

President’s Letter: July, 2018

I'll admit it - having a son who plays football (futbol) means that our house has been gripped by World Cup fever. The tournament has been a tremendous amount of fun to watch, especially given the number of upsets and matches that were decided on shootouts after 120 minutes of hard-fought play. My friend Steve Polmans with Brussels Airport is quite excited about their prospects, especially after knocking out Brazil just today.

We're entering that part of the year when things slow down a bit - people are taking vacations and having the 4th of July sit right smack in the middle of the week meant that people were really dividing-and-conquering with vacations. Some the weekend before and the holiday, some the holiday and the weekend after. It's part of the reason that we put the luncheons on snooze for July and August - people going a bunch of different directions and getting both interest and a full house is a challenge.

This month, we're planning a social event so watch your inbox - it'll be the evening of July 19th in Rosemont - we had a great time last summer taking in a concert and have designs on doing the same again later this month. The featured musical act that night is a Bob Segar tribute band - it promises to be a rocking time for all.

We're also booking quickly for our IACAC Golf Outing - with a month to go until the event we've got nearly all our holes sponsored and golfers filling our foursomes. If you've not registered, the early bird deadline is Monday - what are you waiting for? Sign up today.

Remember - this event benefits our scholarship fund, so we welcome raffle items and donations for our luncheon after golf. We know that your time is valuable and after a great day on the course that the last thing you want to become is a prisoner of the banquet room - so we promise to feed you and get you out the door with a prize and a full stomach as quickly as possible afterwards. Our IACAC Scholarship Fund is also a 501(c)(3) charity and can provide you with a letter for your tax deductible charitable donation.

We covered as well in The Pallet that CBP finally published about ACAS in the Federal Register. Don't miss knowing what that is about because while it is targeted at inbound air cargo right now, there are a number of countries to whom CBP is going to give access to their targeting engine and it may only be a matter of time before we're filing it for export.

That's all from here - thanks for your time and I look forward to seeing you at our events in the coming months.

 

President’s Letter – June, 2018

As I write this letter at the end of May and beginning of June, everywhere we turn, there seem to be trade fires burning. Steel and aluminum waivers were rescinded for the EU, Canada and Mexico. China duties appear set to be announced later this month to the tune of an additional $50 billion in imports. And everybody is saying thank you by adding their own reciprocal duties on our products.

This is what I wrote in my own company's weekly newsletter that went out today:

Trade is under siege here in America. While the reaction from many is to say, "It's only 'x' percent on 'y' commodities from 'z' countries and it's not like it affects me directly," stop and think about that for a moment. Companies budgeted for their landed costs and now need to find and deposit additional double-digit percentages for their raw material inputs or finished goods. How does this affect their planned growth, hiring, expansion or other capital investments?

Think about how we, the trade, react when a carrier announces a fuel surcharge, a GRI or any kind of rate increase. We fight tooth and nail to mitigate it. There's no mitigating the additional duties that are being collected.

If you're a US producer or exporter of any number of products grown, raised, manufactured or even distilled, your customers might slow down or cancel orders in response to our trade moves because your products are now too expensive. Sorry, they'll say, but they'll purchase them from another country without the punitive tariff barriers.

With few exceptions, the United States doesn't have the exclusive market on making "stuff". Our trading partners know what products and brands are uniquely American and their retaliation is and will be targeted at those singular products.

If America is going to continue to be a part of the global economy and not watch cargo from one country pass over, around and through ours en route to buyers and sellers elsewhere, we're going to have to ask ourselves what trade and commerce mean going forward. If we feel strongly that the policies are adverse to the interests of our businesses, then we need to work together to blunt, mitigate, stop or change the path we're traveling.

The figures show that air cargo was up between four and five percent, year on year in April. Overall, the forecast is for between four and five percent growth in 2018. What happens to those consumer electronics from China that we order, or the distilled spirits from the United States that EU member nations or countries throughout Asia order when the punitive duties make it prohibitively expensive for consumers to purchase? 

To alter Gordon Gecko's line about greed from the movie Wall Street, 'Trade is good. Trade works."

Trade gives us jobs. Trade grows our companies. Trade is what we need more than trade barriers.

Talking Tech With Fred

Get ready for our luncheon this month with Fred Werginz of CHAMP Cargo Systems - we're all drowning in paper that prevents us from sharing information and data that help businesses make good decisions. Fred will be here to talk about EDI and other ways that businesses can communicate electronically and share information that makes everyone's work better, more productive and more profitable. Register here.

The golf outing is open for registration - August 7th is the date, Bridges of Poplar Creek is the place.

This one's on me with travel this month at the NCBFAA and CNS Partnership Conference, both of which were highly informative and educational. Your IACAC board was well represented across both conferences with Brian Bartolotta, Olya Lebedyeva, Chuck Menini and myself in attendance at one or both events. 

Golf is now open and we kept the pricing for golf identical as last year - $400/foursome, $125/individual that includes breakfast, golf, your cart and lunch. Lunch is $45/person this year, up slightly from last year to cover our increased costs.

We have also made a change to the sponsorship pricing for holes and signs and letters will be going out to last year's sponsors with all the details including their opportunity to sign-up again for the same signs / bridges / holes as last year. On-course sponsorship is now $300 and will include two people for lunch. Any additional staff will be at $45/person. To differentiate the value between on-course and a sign sponsorship, a sign-only sponsorship will be $200 and will be placed on select holes and/or bridges on the course.

Watch your inbox and your office to be flooded this month with all the details.