The air cargo industry has long lagged behind other sectors in embracing digitalisation. While other industries have adopted advanced technologies, airfreight operations have remained relatively disconnected. In part this is because air cargo logistics are complex, and many still require manual intervention.
The rise of digitalisation aims to change that by providing end users—like shippers—with clearer visibility into their shipments, as customers increasingly want to know where their cargo is at any given time.
Automation is equally important. By reducing the need for manual tasks, the industry can improve efficiency and lower costs. Modern technology approaches, such as leveraging APIs and Microservices, enable operators – from ground handlers to airlines- to become more efficient, integrating innovation seamlessly to bring services to market faster, without the heavy lifting required by legacy systems.
“Today’s legacy systems limit what data can be shared—for example, temperature and location details are often missing from tracking data. With new ways of data sharing, such as IATA’s ONE Record, we can provide much more comprehensive information to all stakeholders and at the right time,” Nicholas Xenocostas, Chief Commercial Officer at CHAMP Cargosystems, outlined.
“By embracing modern technology, we can not only catch up with other industries but also drive long-term efficiency and eco-friendly operations.”
AI’s involvement
Artificial intelligence (AI) is becoming essential for the future of business, and air cargo is no exception. If companies don’t adopt AI, they risk falling behind. AI offers immense potential. However, the effectiveness of AI depends heavily on the quality and volume of data. If the input data is flawed, AI’s outcomes are limited.
Many stakeholders in the air cargo industry are working with outdated infrastructure, and they’ll need to upgrade their systems before they can fully leverage AI, machine learning, and other modern technologies.
But technology alone isn’t enough. The successful adoption of AI also requires change management and addressing the human side of the equation. Some people will embrace AI, while others may be more hesitant.
“Of course, there’s always resistance to change—people are creatures of habit. When new technologies like these are introduced, there’s natural caution. But it’s important to focus on the benefits rather than seeing it as a threat.” Xenocostas explained.
“Let me give you some real examples of how we’re using AI in air cargo operations. One project we’re finishing is called Task Manager. It’s designed for the warehouse, where AI orchestrates tasks for the workforce. This isn’t about replacing people, but about managing tasks more efficiently.
“When an aircraft is arriving, the system automatically assigns workers to specific tasks based on AI’s calculations. By streamlining operations in this way, you become more efficient, which contributes to sustainability by reducing waste.
“Another example is load planning optimisation. Currently, pallets might not always be built in the most optimal way. AI steps in here with its “cerebral” intelligence to suggest the best way to load a pallet for maximum efficiency. This doesn’t eliminate the role of workers but supports them with better insights.
“Going a step further, when it comes to loading these pallets onto the aircraft, the AI in our weight and balance system—what we call “Autoload feature”—helps determine the optimal placement of the pallets within the plane. This optimisation saves fuel and improves overall efficiency, directly supporting sustainability goals.”
Ready to deliver
Technology has the potential to fundamentally change the way the industry operates. Not least because, from an industry perspective, attracting new talent is crucial.
The sector wants people who are passionate about air cargo, and that means offering them interesting and engaging roles. Instead of focusing on repetitive tasks, the industry can enable them to tackle higher-value work—like finding ways to improve operations, compete more effectively with integrators, and drive innovation. By doing this, the logistics space will not only make the industry more appealing but also create a more dynamic and competitive environment.
“Increased digitalisation significantly enhances our responsiveness. This is crucial because our ability to react quickly—especially in situations beyond our control—directly impacts our efficiency and recovery times. Improved responsiveness leads to reduced waste and a more streamlined operation,” Xenocostas stated.
“While it may take time for everyone to come on board, demonstrating early wins can foster a change in mindset. Once stakeholders see the tangible benefits, it encourages investment in technology.
“Ultimately, stakeholders need to present a compelling business case to their executives, showing how implementing new technologies like AI can enhance efficiency and deliver a solid return on investment. Passion for technology is important, but it must align with clear criteria to gain support.”
The airport’s extensive 22-million sq ft logistics complex provides essential infrastructure for freight forwarders, enabling diverse business models to thrive.
“Incheon Airport has high connectivity with China through maritime transport,” Lee highlighted. “Incheon Airport connects various ports in China with 31 weekly ferry services through Incheon Port, Pyeongtaek Port, and Gunsan Port, which are located near Incheon Airport. The weekly transport capacity is a whopping 5,500 TEU.”