Sponsored: Inside MAB Kargo’s quest for air cargo efficiency

MAB Kargo slashed ULD planning time, cutting 30-minute tasks to five.

In an industry where every inch of space and every minute counts, air cargo companies are always looking for ways to optimize operations and stay ahead of the competition. For MAB Kargo, a subsidiary of the Malaysia Aviation Group (MAG), the quest for efficiency and profitability led it to seek out innovative solutions that could transform the way it does business.

With a presence in more than 100 destinations worldwide, MAB Kargo is on a mission to cement its position as an industry leader and capture additional market share. The company provides scheduled freighter services, ground handling and airport logistics through its freighter fleet and cargo belly space capacity on MAG aircraft. Its goal is to increase sold capacity by 40% over the next five years.

Overcoming challenges with Unisys Logistics Optimization

Like many in the industry, MAB Kargo faced the complex challenge of optimizing air cargo space utilization. Manual unit load device (ULD) build planning and loading processes were time-consuming, often leading to underutilized assets, missed revenue opportunities and even shipment damage. MAB Kargo needed a solution to boost efficiency and growth by maximizing capacity and revenue.

MAB Kargo is partnering with Unisys to deploy the Unisys Logistics Optimization™ solution. The company’s leaders hope this will optimize capacity, safety and on-time performance. “Unisys didn’t just sell us software — they brought decades of air cargo industry experience to optimize processes specifically for our business. That deep domain knowledge is invaluable,” said Mark Jason Thomas, chief executive officer of MAB Kargo.

Seamlessly integrating the next-gen solution

To bring the solution to life, Unisys made it a priority to integrate Unisys Logistics Optimization efficiently with MAB Kargo’s existing systems, helping ensure a smooth flow of data for optimization without disrupting ongoing operations.

Unisys drew upon its extensive experience in the air cargo industry to pretrain the solution’s optimization models, enabling a faster speed to value. Business users at MAB Kargo can customize model parameters or objectives to match unique business rules, constraints and requirements.

Seeing early results

The initial outcomes are impressive. With Unisys Logistics Optimization, MAB Kargo is:
• Reducing ULD planning time by ~83% (from 30 minutes to just 5 minutes) per flight, freeing up about 166,250 hours a year from their planning team
• Increasing capacity utilization by 5%, translating to over $5.5 million in potential annual revenue uplift
• Enabling planners to optimize the end-to-end ULD planning life cycle by dynamically replanning builds in near-real-time when disruptions occur

Maximizing revenue and profitability

Unisys Logistics Optimization offers a multifaceted approach to driving revenue and profitability for air cargo companies. By optimizing capacity utilization, MAB Kargo is gaining visibility into available cargo space that can be sold to customers. This is empowering its sales team to proactively fill planes and drive revenue growth.

The increased efficiency and reduced labor requirements achieved through the solution allow airlines to operate more cargo flights with fewer people, further enhancing profitability. This is particularly valuable in an industry facing a shortage of skilled workers, as it enables airlines to scale their cargo operations and utilize a larger portion of their fleet for cargo services with an existing headcount.

Navigating compliance complexities

In addition to optimizing capacity and reducing planning time, Unisys Logistics Optimization helps air cargo companies navigate the complex landscape of compliance issues. The software considers crucial factors, such as weight and balance, dangerous goods segregation, product-specific handling requirements and special cargo restrictions.

“By considering these elements during the loading process, the solution minimizes the risk of human error and ensures adherence to necessary regulations and guidelines,” says Jeff Smullin, director of emerging solutions, Enterprise Computing Solutions, Unisys. “This, in turn, helps air cargo companies avoid potential penalties, damages and liabilities that could arise from noncompliance, ultimately providing a more efficient and secure shipping experience for their customers.”

Achieving liftoff for a promising future

As the partnership progresses, MAB Kargo expects to experience more benefits, including increased revenue by providing visibility into available cargo space — empowering MAB Kargo’s sales team to proactively fill planes and drive revenue growth. Other anticipated results include reduced ground handler labor, claims and damages; minimized risk of noncompliance due to human error; and improved fuel efficiency, carbon footprint and on-time performance.

MAB Kargo CEO Mark Jason Thomas praised the partnership, stating, “Investing in advanced technologies like Unisys Logistics Optimization is allowing us to cement our position as an industry leader. The solution’s ability to replan in near-real-time gives us the agility to manage disruptions and maximize our assets.”

With Unisys Logistics Optimization, MAB Kargo is poised to reach new altitudes in air cargo efficiency and profitability, setting the stage for future success in an increasingly competitive industry. This innovative solution empowers air cargo companies to focus on growth, confident in their ability to fill planes and drive business results.
To learn more about how you can slash your capacity planning time, visit Unisys online or contact us today.