Cargo Outlook 2010

Our Products

• Freighter Ramp Handling
• Ramp Transportation
• Freight Services
• Warehousing
• Integrator Handling
• Mail Handling
• Trucking
• Offline Handling
• Documentation (Import/Export)
• Call Centre and Airline Customer Services
• Tailor-made solutions
• Value Added Services

Outlook for 2010

The cargo market went through a dramatic change during 2009 and this made everybody look at the value of Cargo Handling Agents. It also gave us the opportunity to reinvent ourselves and look where we can provide unique value to our customers and identify where we are different or could improve. The results of this have led us to establish three key initiatives for 2010:

• Customer Relationship Management (CRM)
• Integrator Handling Management
• Swissport Formula

Knowing how good yesterday's performance was across the network or an individual site is vitally important. Understanding where the issues are and how to address them, by when and by whom, should be second nature, but it is not in today's Cargo Handling world. It is our intention to implement Cargo 2000 (C2K), Key Performance Indicators into our daily, weekly, monthly or quarterly reporting to customers to improve the 'Customer Experience'.

The normal "day to day" business will see more Swissport stations become C2K certified and local quality initiatives will also look for improvements in our service delivery to customers. One key driver for Europe in 2010 is the implementation of Swissport Formula within Cargo. This will bring a culture change to our business as we manage our business through KPI's and challenge every aspect of our business.

Swissport Cargo Services was delighted to be recognised in 2009 as the ACW Cargo Handler of the Year by our customers against esteemed competitors worldwide. This truly was one of the highlights of the year as the award comes from our customer's customer and highlights the level of service provided by all our stations worldwide. The award is a testament to the warehouse, office and administration staff in our network as well as to the local management. It is teamwork that allowed this to happen.

In 2010, Swissport will look to further develop Global Framework Agreements (GFA's) with specific customers and incorporate the measurement metrics into CRM. Also in 2010, we see the opening our new facility in Nairobi, Kenya (July) which will become our African Flagship Operation.

Customer Relationship Management (CRM)

One of the most important element of working with a customer is keeping them informed of what you are doing and how you are performing. The Customer Experience is what determines if you are doing a good job or bad and communicating these events can make the difference in the longer term in respect to a renewal of a contract. We see this as a key initiative in both the day to day business as well as in our monthly feedback meetings.

Today's Cargo Handling world has seen many changes in its position in the market and it has unfortunately become a commodity rather than a service. We need to adapt to this change and put some real quantitative quality drivers into play that we differentiate Swissport from its competitors and bring value added benefits to the customers. CRM is a process that we hope will bring these benefits back to the customer as well as allow us internally to manage the dialogue worldwide with the organisation at all levels to keep people informed of developments, discussions and quality drivers.

The customer needs to have information and it is our duty to provide this as well and improve the quality of our services. As CRM develops I want to be in a position that we can use the C2K footprint along with other essential KPI's driven from Swissport Formula to drive change and show improvements to our business model that not only improves the quality but the value of the information relayed to the customer and meets the customers expectations of us as a supplier. CRM is all about the Customer Experience and within Swissport it is about the internal and external focus on the customer.

Integrator Handling Management

Swissport is looking at how we can reduce the costs for integrators by incorporating our core service with those of an integrator by extending our operating window, reducing the need for expensive on-airport warehouses and sharing GSE equipment. It's a new service which will also expand the footprint of Swissport Cargo Handling globally.

Swissport Formula Cargo

The Swissport Formula is a new initiative that will be implemented throughout 2010. It is comprised of 10 clear principles that will be embraced by the organisation to ensure we maintain a competitive edge within our industry.

The principles are:

1. Drive our performance forward by daily measurement of operational and quality Key Performance Indicators (KPI's).
2. Alignment of KPI's throughout the Swissport Network.
3. The ability for line managers to review and improve the business daily.
4. A lean organisation and structures optimised to each station size and operational complexity.
5. Clear, documented deliverables driven by Action Plans and Management attention.
6. Optimised planning based on forecasted demand and historic data.
7. Establishment of common standards and the sharing of "best practice".
8. Analysis of errors and customer interaction to raise performance levels.
9. A system of Active Management with clear actions and deliverables to focus our attention on maintaining staff, customer and network relationships.
10. There is no second chance to make a first impression.