Abstract
This is study on critical analysis of
improving the delivery accuracy in cargo handling with Arik Airline cargo
services as a case study. The study x-rays cargo handling in Nigeria and
various ways of improving delivery accuracy in cargo handling using Arik
Airline cargo handling services as a case study. Various factors make cargo
handling delivery unachievable .The Researcher aim is to critically analyzeways
of improving cargo handling delivery accuracy in Arik Airline. The Researcher
objective is to examine the causes of delays and cargo damage in cargo handling
services at the airports and explore ways of improving cargo handling services
at airports. In this course of carrying this research work various techniques
or methods of data collection were used. They include questionnaires,
interviews and observations. A sample size of 100 workers in Arik Airline was
used and chosen among the number of department/sections of worker using Linkert
scale. The researcher makes use of two hypotheses in this study to analyze the
research project. The researcher made use of Chi-Square in testing the
formulated hypothesis. The researcher used the descriptive statistical tools
(tables, figures and percentages) in the presenting and analyzing the data
generated from this study. From the analysis, the researcher finds out that
there are modern ways of improving cargo handling services at Arik Airlines.
The researcher therefore recommendsthat technology need of cargo carriers be
reviewed from time to time and that carriers take multi-modal transportation
cognizance in their delivery strategy.
TABLE OF CONTENTS
Cover Page i
Certification ii
Dedication iii
Acknowledgment iv
Abstract v
Table of Contents vi
CHAPTER ONE: INTRODUCTION
1.1 Background of the Study 1
1.2 Statement of the Problem 2
1.3 Aims and Objective of the Study 3
1.4 Research Questions 3
1.5 Research Hypothesis 4
1.6 Scope of the Study 4
CHAPTER TWO: LITERATURE REVIEW AND CONCEPTUAL
FRAMEWORK
2.1 Total Quality Management 6
2.1.2 Focus
on Processes 7
2.1.3 Bench Marking 8
2.2.1 Air
Cargo Handling Equipment 8
2.2.2 Conveying
systems 8
2.2.3 Types
of Vehicles 9
2.2.4 Special Equipment and Service Options: 9
2.3 The
Role of IATA 10
2.4 Shipping
Dangerous Goods By Air 11
2.5 The Ocean Bill of Lading 12
2.5.1 Handling
the Ocean Freight Shipment 12
2.5.2 Bulk Cargo 13
2.5.3 Unit Load/ Break bulk Shipments 13
2.5.4 Containerized Cargo 13
2.5.5 Roll On/ Roll Off Cargo 15
2.5.6 Ocean Cargo Marking and Symbols 15
2.5.7 Load Limits 15
2.6 Shipping
Dangerous Goods by Ocean 15
2.7 The Shipper's Declaration 17
2.8 When
You Place Hazardous Goods in Containers 17
2.9 When You Place Hazardous Goods on Deck 18
2.10 Requirements on Cargo Information
Updates for Services Delivered Through Cargo System 21
2.12 System Development Methodology 24
2.12.1 Test and Implement the Prototype of the Cargo
Information Updates System 25
2.13 Cargo
System Information Sharing in Cargo Handling in Port Cargo Systems as 26
2.14 Conceptual Framework 30
CHAPTER THREE: RESEARCH METHODLOGY
3.0 Introduction 34
3.1 The Major Sources of Data Collection for
the Study 34
3.2 Research
Design 35
3.3 Population
of the Study 36
3.4 Description
of Data Collection Instrument 36
3.5 Sample
Techniques 36
3.6 Reliability
of the Instrument (Questionnaire) 36
3.7 Analytical
Procedure 37
3.8 Presentation
of Data Analysis 38
CHAPTER FOUR:
PRESENTATION OF DATA, ANALYSIS AND DISCUSSION
4.0
Introduction 39
4.1 Analysis of Respondents Questionnaire 39
4.2
Analysis of Respondent Bio-Data 39
4.3 Analysis of Individual Statement 43
4.4 Testing
of Hypothesis 44
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATION
5.1 Summary of Findings 52
5.2 Conclusion 52
5.3 Recommendation 53
References 61
CHAPTER ONE
INTRODUCTION
1.1
Background of the Study
Air cargo handling operations can be described
as the provision of logistics in facilitating the carriage of cargo by air. In
essence, it entails making available the right and necessary expertise with
equipment to perform the right task in a timely, safe, secure and cost
effective manner. According to ICAO
Doc.9569c.
Air cargo handling by air form an integral
part of the cargo system. It is the process of acceptance, packaging,
documentation and shipment by air after due process of compliance with
international statutory requirements.
There are two major handling companies in
Nigeria today in the business of aviation handling which includes both
passenger and cargo handling namely: Nigeria Aviation Handling Co Plc. (NAHCO)
and Skypower Handling Co Ltd.(SAHCOL).Apart from the two handling companies
involved in the cargo processing, there are quite a number of government
agencies who have various statutory role to play before a piece of cargo is
finally accepted for shipment. Some Airline carryout their own cargo handing
among them is Arik air. Arik Airline are also involved in cargo handling
services.
Air cargo flows seem to be characterized
by constraints in Nigeria which depicts a symptom of poor co-ordination of
cargo for efficient distribution and supply chain that is not cost-effective.
Efficient distribution requires safe and timely means of transporting
specialized cargo with high value to volume/weight ratio. These constraints
according to Afolabi (2005a) revealed that the warehouses and facilities in
Nigeria airports were not adequate enough to handle the volume of air cargo for
efficient flow. The author further identified tough clearing procedure as a
constraint to the air cargo industry in Nigeria. Moreover, Afolabi (2005b)
highlighted the issue of protection and security of air cargo, improper
declaration and documentation of goods in terms of types and volumes as
constraints to air cargo flow in Nigeria. These therefore results in an airport
handling cargo type whose origin or final destination is not close to the
airport at the expense of other airports with relative closeness. This serves
as productive set back to Nigeria in the sense that firms/industries that
require high –value fast moving materials would not thrive while the air cargo
industry will not grow to be able to compete in global supply chain and
distribution. This is because most of these cargoes are important in production
processes since they serve as raw materials and /or equipment required for
service delivery.
The current modalities for cargo handling
in Nigeria aviation industry fall short of international conventions and
standards. Our Cargo Handling Protocol allows for seven days grace to clear
cargoes, after which they will be charged for demurrage .In the event that the
goods are not cleared within 28 days, the consignments risk being declared
overtime cargo by the Nigerian Customs Service. There have been several cases
of complain of pilfering, damaged or missing luggage of air passengers at the
nation’s airports. All of these problems are traceable to poor modalities for
cargo handling in Nigeria aviation industry. Therefore, this study is aimed at
critically analyzing ways of improving cargo handling services at Nigeria
airports using Arik Airline as a case study
1.2
Statement of the Problem
The issue of pilfering and missing luggage
at the nation’s airports has been on for decades. On a daily basis, no fewer
than 30 passengers complain of pilfering, damaged or missing luggage. The key
threats of air cargo handling in Nigeria aviation industry are inadequate security
at the cargo terminal of the airport, loss of revenue generation by Nigeria
Customs Service, congestion in the terminal and insufficient personnel in the
warehouses of ground handlers.
Crowd and access control into the cargo
area, which is handled by security personnel attached to the Federal Airports
Authority of Nigeria (FAAN),is a major challenge in air cargo handling in
Nigeria. Safety, poor quality service and infrastructure are identified as the
challenges facing the operation of the NAHCO in airports across the country
1.3 Aims and Objective of the Study
The aim of this study is to critically
analyze ways of improving cargo handling delivery accuracy in ARIK AIRLINE
Other Objectives are:
1. To discover whether the
Airline adhere to best management practices in cargo handling.
2. To examine the causes of
delays and cargo damage in cargo handling services at the airports
3. To
explore ways of improving cargo handling services at airports
4. To discover whether
safety of goods is identified as one of the issues affecting modalities of
cargo handling in Arik Airline.
5. To examine cargo
handling services at Arik Airline vis a viz best international practices
1.4 Research
Questions
1. What are the challenges
affecting modalities of cargo handling in Arik Airline?
2. What is the effect of
insufficient personnel in the warehouses of ground handlers on modalities of
cargo handling in Arik Airline?
3. What is the effect of
inadequate security at the cargo terminal of airport on modalities of cargo handling
in Arik Airline?
4. What is the effect of
modern technology on Cargo handling in Arik Airline?
5. What is the impact of
sound management on timely delivery and
security of cargoes?
1.5 Research Hypothesis
1.
H0: There are no modern ways
of improving cargo handling services at Arik Airline.
H1: There are modern ways of improving cargo
handling services at Arik Airline.
2. H0: Safety of goods is not a challenge affecting
cargo handling in Arik Airline.
H1: Safety of goods is
a challenge affecting cargo handling in Arik Airline.
3. H0: Insufficient personnel in the warehouse of ground handlers does
not affect go handling
in Arik Airline.
H1: Insufficient personnel in the warehouse of
ground handlers affects cargo handling
in Arik Airline.
1.6 Scope of the Study
This study is a critical analysis of ways
of improving cargo handling in Arik Airline. The study would be limited to
information obtained from Arik Airline, Lagos.
Brief History
of Arik Airline
Arik Air is a Nigerian airline operating a domestic, regional and international
flight network. It operates mainly from two hubs at Murtala Muhammed International
Airport, Lagos and Nnamdi Azikiwe International Airport,
Abuja. Arik Air's head office is the Arik Air Aviation Center on the grounds of
Murtala Muhammed International Airport in Ikeja, Lagos State.
On 3 April 2006, Arik Air took over the former Nigeria Airways
facilities in Lagos, some three years after its liquidation, and began
reconstruction work. On 14 June 2006, Arik took delivery of 2 new Bombardier CRJ-900 aircraft to fly domestic
routes throughout Nigeria and, within the African continent from Summer 2006, 2
ex-United Airline Boeing 737–300s and 3 50 seat Bombardier CRJ-200 aircraft.
The Nigerian government set a deadline of 30 April
2007 for all Airline operating in the country to re-capitalize or be grounded
in an effort to ensure better services and safety. The airline satisfied the
Nigerian Civil Aviation Authority (NCAA)’s criteria in terms of
re-capitalization and was re-registered for operation.
Subsidiary airline Arik Niger
(IATA code: Q9) commenced operations in April 2009, but was shut down in
February 2010.
Arik Air transported its 5 millionth passenger on
6 August 2010 and it transported its 10 millionth passenger on 18 September
2012, both on flights between Johannesburg and Lagos.
On 20 September 2012, the airline cancelled all
its domestic operations after aviation officials raided the airline's office in
Lagos, Nigeria. Flights resumed on 23 September.
Arik Air had placed an order for five Boeing 777-300ER
aircraft, which was cancelled in 2011. Rumors have spread that Arik Air
converted an order for two Boeing 747-8I aircraft back into an order for two 777-300ERs
in 2013, however, no such cancellation has materialized, nor was the order of
two 777-300ER aircraft confirmed by Boeing. The order for 2 747-8I aircraft
still stands and is still listed by the Boeing company.
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