CON-WAY EXPANDS INTO AIR FREIGHT FORWARDING
Con-Way Transportation Services, the subsidiary of CNF, said Monday it will enter the air freight forwarding business, when Con-Way Air Express opens May 14.
The new company will begin operating with 13 service centers and an agency network to provide service to all 50 states and Puerto Rico.
Con-Way, best-known for its North American less-than-truckload trucking service, began providing next-day and second-day services in 1983. The company expanded into time-definite delivery in 1996 through Con-Way Now, which uses dedicated trucks as well as air charter and next-flight-out operations.
'During the 1990s, North American shippers began choosing carriers by transit time and shipment characteristics,' said Gerald L. Detter, president and chief executive officer of Con-Way. 'The type of vehicle used to accomplish the delivery within the required time frame became a secondary issue. … Our LTL and expedited operations have given us an excellent vantage point for services positioned on either side of the air freight market. Adding an air freight option for our customers is just a natural step in extending our services.'
Gary Baude, a 22-year veteran of the air-freight industry, will head up Con-Way Air as vice president and general manager. Other management staff members are Mike Dodson, director of sales; Jim Mannfeld, director of operations; and John McManama, controller.
Con-Way Air has established service-price agreements with most of the major U.S. airlines, as well as agreements with a network of cartage agents to cover local pickup and delivery in and around airport zones, the company said.
The new company has also developed a software system, known as Sentry, equipped with exception management tools. The system establishes critical path measurements on each shipment. If tasks are not accomplished within certain time frames, alert messages are sent to Con-Way Air's central operations center to trigger intervention before a delivery failure occurs.