Posted: 20 January 2016 | Ricardo Aitken, Airport Project Manager, IATA Consulting & Michal Wielgus, Marketing, IATA Consulting | No comments yet
Find out how a concentrated air transport industry effort is putting pharmaceuticals back in the air…
The pharmaceutical sector is dependent on the secure and reliable transport of valuable time and temperature-sensitive goods. Committing a single mistake along the cargo supply chain can destroy the integrity of an entire batch of medicines or vaccines, rendering them worthless and potentially harmful, or even deadly, to end recipients. Although mishandling does not occur often, it is an unfortunate fact that more than 50 percent of all temperature excursions that do occur happen while the package is in the hands of airlines and airports. As a result, there is a strong industry need for pharmaceutical trade lanes that assure the integrity of pharmaceutical products being shipped via air.
In order fill this industry gap, several air transport industry stakeholders and regulators have joined forces to create the CEIV Pharma programme. This joint effort aims to effectively help reverse the current lack of standardisation, compliance and transparency currently afflicting the pharmaceutical air transport supply chain via mutual cooperation, honest sharing of data and a strong emphasis on accountability.
An industry need for standardisation
According to Pharmaceutical Commerce Magazine, the pharmaceutical cold chain logistics industry will surpass the $10-billion mark in 2018. Traditionally, this industry has relied heavily on air transport due to its speed and efficiency. However, over the past decade, air cargo’s share of the overall global pharmaceutical product transport has been continuously declining. The use of air transportation is reconsidered given the current amount of annual product losses in air transport (up to US$12.5 billion) and the current trend towards improved reliability in ocean freight.
In an effort to reduce overall levels of pharmaceutical mishandling, a growing number of countries are issuing their own cold chain regulations and guidance based around the non-air-cargo-specific Good Distribution Practices (GDP). Although the focus on higher standards is a great initiative, the result has been the creation of a heavily regulated (and very difficult to manage) industry with no global standards or universal certification for the handling and transportation of pharmaceutical products.
Nevertheless, this lack of standardisation has not stopped the drive towards using cold chain air transportation for the distribution of pharmaceutical products. As Juerg Zimmermann, Executive Vice President Airline Handling for Cargologic explains, “We expect an increasing number of airfreight shipments with pharmaceutical products due to global trends like demographic and economic development in various regions. This will lead to more demanding and rigorous requirements to all parties involved in the transportation of temperature sensitive air freight shipments.”
In their quest to satisfy the growing pharmaceutical product demand, particularly in Pharmerging countries (countries with US$ 1 billion in incremental sales in the past 5 years), shippers are turning toward the air industry’s benefits of speed and global reach. As such, there is a growing business opportunity for air cargo. Therefore, air carriers, handlers and freight forwarders have responded in turn with the creation of “pharma-regulated” branded products and services to grab a share of this lucrative niche market. These are typically cold chain management solutions which follow one out of the many pharmaceutical storage (but not air transport focused) standards and regulations currently available. However, the current challenges of considerable annual product losses and regulatory complexity remains, both being key issues to which the air industry is seeking an answer for.
The solution: CEIV Pharma
In 2014, the International Air Transport Association (IATA) launched the Center of Excellence for Independent Validators in Pharmaceutical Logistics (CEIV Pharma) to address certain critical cool chain air industry issues:
Decreasing levels of competency;
Deteriorating levels of technical and operational preparedness; and
Lack of global standardization covering both international standards and country-specific requirements.
CEIV Pharma addresses these issues by promoting and developing an industry- and regulator-backed training and validation certification programme that ensures a reliable pharmaceutical air transport cold chain worldwide.
In addition to delivering a single, internationally recognised standard, the CEIV Pharma programme harmonises and simplifies the number of audits thus generating multiple benefits at various industry levels.
At the individual scale, CEIV Pharma helps companies properly train their personnel, develop adequately equipped facilities and attain compliance with globally recognised standards. Companies also benefit from a simplified (or reduced) number of pharmaceutical company audits given CEIV Pharma’s marketable common audit format which minimises disruption of operations and increases an entity’s probabilities to effectively meet the ever growing number of governmental regulations.
At the global scale, the CEIV Pharma programme ensures that the industry as a whole meets all applicable standards, regulations and standards, thus protecting the end users of the various pharmaceuticals goods shipped by air, for whom swift and unaltered access to vaccines and medications could be a matter of life or death.
As a result of its global standardisation approach, CEIV Pharma encompasses, or even supersedes, many of the existing pharmaceutical standards and guidelines such as:
IATA Temperature Control Regulations (TCR);
European Union Good Distribution Practices (EU GDP);
World Health Organization Annex 5; and
United States Pharmacopeia Standards.
The general goal being to not only elevate the industry know-how but also to identify and recognise the best pharmaceutical handlers who are ensuring vital product quality benefits by actively reducing the number of temperature excursions which can render pharmaceutical products unusable to end recipients. In the end, all organisations that achieve CEIV certification will establish trust and confidence that their facilities, systems and qualified people are in place to handle and transport valuable time- and temperature-sensitive pharmaceutical goods appropriately.
As Mr. Navot Hirschorn, Temperature Controlled & Special Products Manager at Cal Cargo Airlines explains “Our entire corporation is [now] streamlined to the same standards, a positive development. We have thorough planning cooperation internally and with customers, with close and direct communication between all stakeholders. We are able to offer our customers full transparency and maintain the integrity of transported products across the entire chain”.
CEIV Pharma gaining momentum
The CEIV Pharma certification programme is already proving to be very successful. Participating companies are seeing the benefits of the industry wide acceptance generated by CEIV Pharma. “The certification has helped position our CAL pharma product at the forefront of the industry. Shippers and forwarders understand that CEIV pharma certification means we are established experts in pharma transport. When the certification doors are opened, our clients know they are in the best hands. Since our certification, we found that our audits are shorter,” Mr. Navot Hirschhorn, Temperature Controlled & Special Products Manager at Cal Cargo Airlines states. There are currently 17 companies certified, but a total of 40 locations will be undergoing the assessment stage by the first half of 2016, with approximately 15 of those expected to successfully meet certification requirements by April 2016.
Furthermore, based on the successful 11 company community approach to establish a CEIV Pharma certified gateway at Brussels Airport in December of last year, three more airport communities (Miami, Madrid and Barcelona) have recently launched their own joint effort to improve, align and standardise their pharmaceutical handling processes. These are the first gateways in an ever growing far-reaching network of independently assessed, industry compliant companies and trade lanes. In the image below, you can see where CEIV Pharma certifications are currently taking place.
CEIV Pharma: Certified Pharmaceutical Trade Lanes Development (As of December 2015)
How to get on-board?
What does an airport need to do to improve its handling of pharmaceutical products?
The CEIV certification process varies from one organisation to another. It can encompass basic upgrading of facilities (such as the refrigerated zones) or perhaps the enhancement of ground handling equipment to ensure the proper handling for both acceptance and delivery of pharmaceutical shipments. However, it can also entail the complete overhaul of processes including staff training.
As an entity, the airport itself does not get certified unless it owns and operates its own pharmaceutical facilities. Rather, an airport achieves “CEIV Pharma Gateway” designation once a minimum amount of pharmaceutical handling companies operating within its premises commit to and achieve CEIV Pharma certification. All stakeholders committed to quality handing of pharmaceuticals can participate in the rigorous CEIV Pharma training and certification programme: airlines, airports, freight forwarders, ground handlers, trucking companies, etc.
The process begins with an assessment of an entity’s cool chain/pharmaceutical processes and facilities against international standards, guidelines and regulations which are pragmatically summarised within IATA’s comprehensive CEIV Pharma Audit Checklist. The result of the assessment is a gap analysis report encompassing findings and recommendations from our independent validators. The gap analysis assists those being certified with the identification of the critical elements currently in non-compliance with national and international regulations and criteria. The assessment also supports them in the determination of an implementation plan necessary to close the gaps and meet all of the programme’s requirements.
The required training consists of two multiple-day courses which cover a variety of topics regarding temperature controlled cargo operations as well as the audit, quality and risk management of temperature controlled cargo.
The final stage of certification, the validation phase, ensures all requirements established during the assessment phase are in compliance and that all the gaps and recommendations have been implemented. During the validation, IATA’s independent validators go through the checklist one more time and at the end recommend whether all requirements have been fulfilled and an entity can be “CEIV Pharma Certified”.
But it doesn’t end there, a recertification will take place every three years and will include an assessment and one refresher training plus a validation if necessary. This will ensure the companies maintain their high-standard of transporting pharmaceutical products and that they adjust to new best practices for years to come.
As the momentum within the industry continues, CEIV Pharma will continue to evolve in order to fully address the industry’s need for more safety, security, compliancy and efficiency to create a globally consistent and recognised pharmaceutical product handling certification. By promoting supply chain partner collaboration on pharmaceutical handling standards, the programme will warrant seamless integration of pharmaceutical cargo movement throughout the whole process. By ensuring open communication, trust will be built regarding product integrity based on the guarantee that temperature–sensitive pharmaceuticals will be consistently managed in the same way every time. Once that trust is built, the industry as a whole will be able to move forward. As Mr. Hirschhorn asserts, “For the benefit of the market in general, as well as for the individual [stakeholder], one single standard is critical for the pharma transport market.”
Focus on Miami International Airport
A brief discussion with Joseph Napoli, Chief of Staff and Senior Policy Advisor for the Miami-Dade Aviation Department
Q: Why did you decide to certify the cold chain of your hub?
A: We started this process about a year ago, it was shortly after IATA’s initial announcement of the CEIV Pharma program. It coincided with our analysis of the pharmaceutical industry which demonstrated that it is growing industry. We looked at the demographics of the regions of the world that the Miami airport currently reaches, which is almost everywhere, but we paid particular attention to Latin America, specifically Brazil, as well as some of our Asia partners, and we anticipated an increase in pharmaceuticals handling.
We currently handle $3.3 billion of imports/exports at the airport and we know that this is probably anywhere from a $100-$300 billion industry, therefore we saw an opportunity to grow our business here. When the CEIV Program was announced, we saw it as the way of the future and so early on we developed a strategy where getting our airport’s community supply chain certified. It would be the basis of a strategy to grow our business for MIA with a secondary goal for the airport to serve as a catalyst to increase the pharmaceutical business here in South Florida, not just at the airport, but the overall business community in Miami Dade County and South Florida.
Q: What is critical to fostering a strong airport community, in terms of pharmaceutical handling?
A: Well I think there’s a few things but they all revolve around the word ‘common’. I think you have to have a common vision and goal, and then subsequently, you will have a common way forward. Therefore it is critical to bring together the airport community, explain to them what the benefits of the program are, that there are benefits for both the airport and for the supply chain, and as I indicated in my previous answer, that this is probably the way of the future.
I think we’ve been able to do that and that’s been the reason that we’ve been so successful in a relatively short period of time. Being clear and elaborating on the strategy in order to get everybody on board to have a common vision, a common goal, and a common way forward for this. Thus, by getting everybody on the same page on establishing this as a strategy, we’re able to improve the business for everybody.
Q: Do you see the CEIV Pharma program as a global solution?
A: Yes, absolutely. I believe that pharmaceutical companies are going to gravitate to entities that are certified or that have some sort of a validation process for their handling and so we certainly think that it’s a global solution because the industry has demanded it. Although the pharmaceutical industry is an over-regulated industry, there was no certification or validation program that could be potentially be global and we see the CEIV Pharma program as a global solution and, again, as the way of the future. Therefore establishing a global standard is the way to go and we certainly want to be part of that.
Q: How was your CEIV Pharma certification experience?
A: I’ll just tell you right off hand it wasn’t easy and it required, just like any major plan or major strategy, a lot of communication. Therefore, we first had to develop the strategy, then we had to convince all the parties involved that this was a good strategy. First, we got our department, the aviation department on board, we all understood very quickly the benefits of this strategy and once we started communicating with the other entities in the supply chain, it didn’t take long for everybody to understand. When you lay out the facts and the prognosis for the transportation of pharmaceuticals and that it certainly is a growth industry, it’s just a matter of establishing a strategy and being able to communicate properly. But it took a lot of communication because a lot of the entities, their initial response, although they understood the strategy, was: “We’re not doing it now, so why do we need to pay money and undertake this process?” Therefore, after continual engagement they understood that, again, this is the way of the future, hence it’s better to get on board early, rather than later. And as a matter of fact, since our announcement with IATA, several other entities have come forward and said: “We want to get on board with this!” Consequently, I think the hard part is done, I think everybody understands now what the rationale behind doing this is and that this is the way to go for the future. Hence, I expect it’s going to be a lot easier to get entities on board from here on out.
Ricardo Aitken is a project manager at IATA Consulting. He is responsible for projects in the areas of:
Air Cargo Business Planning & Infrastructure Development
Air Cargo Operations and Logistics
Master Planning
Before joining IATA, Ricardo worked at Lufthansa Consulting, a world-class German aviation and management consulting firm, as a consultant to diverse projects across the globe. Mr. Aitken has worked on-site for projects in Brazil, Djibouti, Ecuador, Germany, Kazakhstan, Luxembourg, Rwanda and Trinidad. Mr. Aitken has four engineering degrees.
Michal Wielgus is a communications specialist. He has over a decade of experience in building communications and marketing strategies for both corporate and non-profit organisations. Passionate and dedicated, Michal provides clients with innovative and results-driven campaigns. During the course of his career he has worked with internationally renowned companies such as IATA, CAE, Evenko, Cirque du Soleil, United Way, the UFC and the Canadian Football League amongst others.
Chief Executive Officer
Delhi International Airport Limited
Videh Kumar Jaipuriar has been nominated for his exemplary leadership in managing and navigating Delhi International Airport (DEL) during the COVID-19 pandemic. He led multiple initiatives to ensure business continuity at DEL, which included passenger safety and convenience, stakeholder management, cash conservation, adoption of new technologies, and care for environment and employee safety.
He proactively engaged with the government stakeholders and supported them in safeguarding aviation through strong confidence building measures for travellers, such as developing several indigenous technology solutions like air circulation with six changes per hour and a combination of UV and plasma disinfection systems to provide safest journey experience to their passengers. Under his leadership, DEL has been forefront of implementing safety measures which was later adopted across the country.
Despite lockdown, Jaipuriar ensured that DEL was operational for rescue missions, medical evacuations, and transporting medical essentials to various parts of the country. He further led the Vande Bharat Mission flights of Government of India (a rescue mission to get Indians back to India), as well as rescue flights by other international governments. His outstanding leadership across all areas across the stakeholders in the aviation ecosystem and going beyond the call of duty in managing and navigating this crisis for a national capital airport having national importance makes him the apt choice for the Person of the Year Award.
Eng. Adnan Saggaf
CEO Hajj and Umrah Airport – Jeddah – KSA
Adnan Saggaf continues to demonstrate strong leadership skills throughout the COVID-19 pandemic and brought out of the box ideas in attracting traffic and to support his team during this difficult time. With new innovative ideas in balancing cash flow, the facilities were kept maintained and the personal were kept employed.
Saggaf has protected the financial stability of his staff income, ensured valuable cost cutting management, shown excellent performance of crisis management, and exceptional negotiation skills shown with authority regarding agreement restructuring and receivable payments.
To handle the loss of Umrah traffic to the airport, Saggaf chose to attract new airlines, mainly LCCs, to use the terminal with attractive offers and more reliable services. He built a new strategy by diversifying the airport offers. He prepared the facilities by deploying new technology and working on enhancing passenger experience. Saggaf also initiated a capacity building programme for the airside team by drafting SOPS, training and coaching, as well as initiating dedicated workshops to discuss ideas and to deploy new initiatives.
Leaders show strength in difficult times, and this is exactly what Saggaf showed and why he deserves to be awarded as the Person of the year 2021.
Peter Hall
Chief Operating Officer Sangster International Airport Jamaica
Peter has been with the Sangster International Airport for over 25 years.
He has experience in customer service, operations and now oversees the security function and is also the Chief Operations Officer.
Peter has been instrumental in co-ordinating the preparation and implementation of a COVID-19 response plan for not just MBJ, but to guide the operation of all agencies operating on airport. The aim of this plan was to ensure a safe environment for staff and the travelling public; therefore, this plan was instrumental to establish consumer/travellers/public confidence and provided information and guidelines on the new protocols implemented at the airport.
Peter is well known for his expertise in investigation and aviation security. His co-operation with law enforcement stakeholders has been unrelenting in assuring the security of the airport and stakeholders alike.
While Peter is known as a firm individual that displays the outmost professionalism and integrity, he operates on the basis of equity and fairness in all matters relating to staff, clients, passengers and the general public.
Robson Freitas
Head of Operations, Safety and Emergency Belo Horizonte International Airport
Robson Freitas has developed and led the BH Airport plan for the resumption of airport operations post-COVID-19, as well as being responsible for leading the group of Directors and Managers at the airport, defining the three main pillars of recovery: Health and Safety of People, Institutional and Integrated Communication and Institutional Partners. These central pillars include ensuring hygiene and health and social distances measures for passengers, users, and the airport community, in addition to participating in strategic committees involving the public sectors to comply with regulatory rules. Freitas developed the COVID guardians programme, who were responsible in monitoring and following up on the measures already implemented for COVID-19 and advising users, employees and other people on compliance with distancing, hygiene and health measures recommended by health authorities. He also developed a COVID booklet with information and guidance for the airport community regarding good hygiene and health practices and led the beginning of the publication of a monthly newsletter with passenger curve information, allowing the planning of reopening and rehiring by commercial stores. Freitas also supported the reduction of OPEX by planning the temporary closure of areas, toilets and equipment in common use and internalising some activities.
Satyaki Raghunath
Chief Strategy Development Officer Bangalore International Airport Limited
During the COVID-19 pandemic, Raghunath worked closely with all the aero concessionaires and cargo operators to minimise disruption and provide financial relief to them. The airline marketing team helped launch a historic first route to the U.S. West Coast and the cargo team at BIAL also achieved record numbers over this period, with the airport becoming India’s leading airport for the export of perishables. Despite the impact of COVID-19, Raghunath has led a digital transformation and expansion at BIAL airport, with new initiatives and the deployment of the fully biometric-based self-boarding solution for seamless passenger flow and travel experiences and a process automation and analytics platform. These initiatives amongst many others, meant that the airport won ACI World’s ‘Voice of the Customer’ initiative, which recognised BIAL airports efforts to prioritise their customers during COVID-19. Raghunath has remained a staunch and resilient leader during such an uncertain time and is very much appreciated by his team.
Alicia Prince
Head of Operations Cairns Airport
As Head of Operations, Alicia Prince has played a critical role in leading and navigating Cairns Airport through the COVID-19 pandemic. During the pandemic, Prince implemented a functional plan to ensure business continuity and staff welfare, segregating front-line operational staff into work teams to avoid interaction between groups, as well as strict sanitisation processes. She ensured that the $55 million domestic Terminal upgrade continued safely despite the unprecedented COVID-19 crisis.
She also deployed the COVIDSafe Operation Plan for Cairns Airport, which was endorsed and later commended by Queensland Chief Health Officer. As part of this plan Alicia developed an airport layout to provide physical separation of low risk and high-risk arrivals and initiated increased hygiene and sanitisation protocols. The health and safety of the airport community was paramount to maintaining operations, and in response to this Alicia initiated a COVIDSafe training program for the entire airport community and worked closely with her team to deliver.
As a result of the great work Prince has done to ensure COVID-19 best practices, Cairns Airport was one of the first Australian Airports to be awarded an ACI Global Health Accreditation.
Alicia also led the terminal optimisation project, which assessed and implemented terminal downscales due to the crisis. Significant savings (both financial and environmental) were achieved by reducing the operational footprint of the airport.
Whilst maintaining operations throughout the pandemic was a priority, Alicia ensured her team were kept well informed and engaged. Cairns Airport has a team of 33 volunteers which form part of Alicia’s wider team. To ensure they remained connected and cared for, Alicia and her team created care packages including home-made cakes and personally delivered to each of the volunteers’ houses in a COVIDSafe manner. Alicia demonstrated great leadership throughout the pandemic and continues to do so today. Her clear and transparent communication and collaboration with other Australian Airports and key agencies to ensure best practice and alignment contributed greatly to business continuity. Furthermore, all the above was managed whilst working remotely and juggling home schooling with her two young boys.
Balram Bheodari
Airport General Manager Hartsfield-Jackson Atlanta International Airport
Balram Bheodari leads Hartsfield-Jackson Atlanta International Airport as North America’s most efficient airport, due to his vast knowledge of and astute attention to efficiency in aviation, which has allowed the airport to thrive in the most difficult of markets. Bheodari combines operational expertise, integrity, and selflessness to provide a quality of leadership throughout Atlanta Airport. He oversees all facets of airport governance, including operations and a multi-billion-dollar capital improvement programme, ATLNext, designed to pave the way for Atlanta’s growth over the next 20 years. During COVID-19, Bheodari developed a comprehensive resumption of operations playbook that served to support ATL’s recovery efforts. With guidance from the Federal Aviation Administration and Centers for Disease Control and Prevention (CDC) amid evolving health and safety guidelines, Bheodari steadfastly encouraged collaboration among stakeholders, team-building among aviation employees, and adaptability in uncertain times. Throughout the pandemic, he participated in daily calls with Airports Council International and other large-hub airports to share best practices as well as information from Washington, D.C. federal offices and the CDC.
He aimed to restore customer confidence and ensure the airport was a healthy facility using COVID-19 safe protocols. Since, the airport achieved Airport of the Year by the Airport Minority Advisory Council (AMAC).
During the height of the pandemic, Bheodari was the most ardent supporter of our mission-critical employees. Having worked his way up through the ranks, he fully appreciates the oftentimes thankless jobs these employees perform that keep the Airport safe and running optimally at all times. Morale never flagged because Bheodari made sure those employees felt valued through hazard pay, special meals, social media posts, intranet spotlight features, and other incentives.
His actions and his directives all reflect his commitment to the three key focus areas of our organisation’s strategic plan: people, purpose and performance.
Jonas Abrahamsson
CEO Swedavia Airports
Jonas Abrahamsson has shown the strength to steer the company towards its long-term sustainable goals, despite the challenges of COVID-19. Abrahamsson has ensured that Swedavia achieved its net zero target for all ten of the airports in 2020 and has continued to support strategic development and innovation to further the cause of sustainable air travel. During 2020, when passenger numbers where down over 90 per cent and a lot of investments were paused, he decided that investments in the company’s net zero target should proceed, allowing Swedavia to become the first net zero airport group by the end of 2020.
Chris Dinsdale
Chief Executive Officer Budapest Airport
Chris Dinsdale has worked at Budapest Airport since 2015, originally as CFO until March 2021, where he was nominated for the position as CEO. During the COVID-19 pandemic, Dinsdale, as CFO of the airport at the time, fought relentlessly to make sure that the company survived the crisis and worked with great commitment to secure the funding of the airport. For example, a voluntary salary cut for the executives and the founding of the Budapest Airport Foundation, which supports blue collar workers who lost their job during the COVID-19 pandemic.
After being nominated to CEO position in March 2021, Dinsdale continues to work closely with the executive team to create a clear COVID-19 recovery strategy for Budapest Airport. This will also mean that we come out stronger of the pandemic and have a clear focus. Dinsdale is an inspiring true leader who helped us all to cope with the very difficult times of the pandemic and I am convinced that he truly deserves this award.
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