BSAB 410 Air Cargo Management: Dangerous Goods Report Analysis

This report provides an overview of air cargo management, with a specific focus on the transportation of dangerous goods. It begins with an introduction to air cargo and defines the scope of the report, which centers on Dangerous Goods International (DGI), a leading cargo service provider. The report then describes the characteristics of dangerous goods and the relevant regulations and requirements, including compliance with IATA rules and the assignment of UN numbers. A key aspect of the report is a competitor analysis of DGI, comparing its services with those of competitors like DG Shipping Service, DHL, and Maersk. The analysis highlights the importance of adhering to regulations and the factors that differentiate service offerings, such as geographical reach and pricing. The report concludes with recommendations for DGI, emphasizing the need to expand its market reach and adjust pricing strategies to remain competitive. The report underscores the significance of regulatory compliance, which directly impacts a company's image, profitability, and customer base.

Air Cargo Management – Transportation

Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................3
DESCRIBE THE CARGO..............................................................................................................3
REQUIREMENTS AND REGULATIONS....................................................................................3
COMPETITOR ANALYSIS AND THEIR REQUIREMENTS.....................................................3
CONCLUSION AND RECOMMENDATIONS............................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Transportation refers to supplying of products from one end to another so that final
customer can consume it according to their requirements and need. Sending products with the
help of air cargo refers to air cargo transportation. For this report, Dangerous goods international
is taken for considerations which are one of the leading cargo service provided in USA and
founded in 1995. Different requirements which need to be fulfilled for the same and competitor
analysis of DGI will be done with the help of functional example.
DESCRIBE THE CARGO
Dangerous good are chosen as cargo for this report. Dangerous goods is any goods with the
hazardous properties and have the capability of creating potential hazard to human, animal or
non-living in a disastrous way (Morrell & Klein, 2018) .
REQUIREMENTS AND REGULATIONS
 Company needs to comply with international air transport association (IATA) rules and
regulations if they want to conduct their business smoothly and legally
 Four digits number of UN number must be assigned to dangerous goods according to
United Nations Committee of Experts on the Transport of Dangerous Goods. For
instance, Liquid chlorine comes under class 8 dangerous goods and must be assigned
UN1791 number on their packaging (Sales, 2016) .
 Before loading any goods, its class and its property of creating hazardous requirements
must be identified like chlorine used in clearing water comes under class 8.
 Before transporting the dangerous goods, hazard danger label must be put on the
packaging so that material handling would be done accordingly. For instance, different
type of materials which has exploding capacity must not be put together and to
discriminate it, labels are used by company (Rezaei, Hemmes & Tavasszy, 2017).
 Company must never indulge in un-declared hazardous cargo incident and it attracts high
penalty and sometimes cancellation of license for conducting business.
COMPETITOR ANALYSIS AND THEIR REQUIREMENTS
No business is running in the market without competitors as it assist in running business
smoothly. Dangerous goods international has fierce and big plays in competitions like DG

shipping service, DHL, amid logistics, Maersk, Global shipping services etc. for supplying
dangerous goods, every company needs to follow rules and regulations set by governing
authorities so there are no specific requirements for their transportations. But the difference is
created while providing the services like DHL covers more than 50 countries worldwide for
transporting. On the other hand, DGI provides their services in 30 plus countries. One more
factor which creates differentiate between services is cost of transporting as there is high
sensitivity to price in this market (Budd & Ison, 2017).
CONCLUSION AND RECOMMENDATIONS
 DGI needs to increase their reach in other countries so that they can attract more
customer share in the market
 Cost of transporting must be fluctuates according to demand as mentioned above, low
cost will attract more customers thus higher profitability and productivity in the future.
From the above information, it can be summarise that every company must comply with the rules
and regulations as company’s image, profitability; customer share etc is directly dependent on it.

REFERENCES
Books and Journals
Budd, L., & Ison, S. (2017). Air transport management. An international perspective. New York:
Routledge.
Morrell, P. S., & Klein, T. (2018). Moving boxes by air: the economics of international air cargo.
Routledge.
Rezaei, J., Hemmes, A., & Tavasszy, L. (2017). Multi-criteria decision-making for complex
bundling configurations in surface transportation of air freight. Journal of Air Transport
Management, 61, 95-105.
Sales, M. (2016). Air Cargo Management: Air Freight and the Global Supply Chain. Taylor &
Francis.