Defense Transportation Journal

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SPECIAL ISSUE: PASSENGER TRAVEL outlook

August 2011

www.ndtahq.com

Passenger Initiatives & You The Citizen Soldiers of Mississippi A Tsunami of Help NDTA 65th

Forum & Expo 2011 PREVIEW See Pg. 26


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FEATURES Passenger Initiatives & You August 2011 • Vol 67, No. 4

Your Next Flight Could Be Free

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By Maj Nathan McLeod-Hughes

Publisher

LTG Ken Wykle, USA (Ret.) Editor

Kent N. Gourdin Managing Editor

Karen Schmitt | karen@ndtahq.com Contributing editor

Denny Edwards

Circulation Manager

Leah Ashe

The Citizen Soldiers of Mississippi The Story of One Unit’s Deployment to Iraq

14

By Lori Leffler

Passenger Travel Outlook

Creative Thinking: Doing More with Less

18

By Dr. G.R. “Rocky” Mobaraki

Publishing Office

NDTA 50 South Pickett Street, Suite 220 Alexandria, VA 22304-7296 703-751-5011 • F 703-823-8761 Graphic Design

Debbie Bretches Production Manager

Debbie Bretches

Advertising Account Manager

2011 NDTA Forum & Expo Preview

26

A Tsunami of Help

28

A Seattle Snapshot from the Perspective of Passenger Travel Excerpts from Air Force World (Aaron Church) and Army One Source (Joint Base Lewis-McChord Public Affairs Office)

Jim Lindsey

Advertising & Production Carden Jennings Publishing Co., Ltd. Custom Publishing Division 375 Greenbrier Drive, Suite 100 Charlottesville, VA 22901 434-817-2000, x261 • F 434-817-2020

departments A-35 News | Lori Leffler . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Editorial | Dr. Kent N. Gourdin . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 President’s Corner | LTG Ken Wykle, USA (Ret.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 A flawed approach | Lee Jackson. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29

Defense Transportation Journal (ISSN 0011-7625) is published bimonthly by the National Defense Transportation Association (NDTA), a non-profit research and educational organization; 50 South Pickett Street, Suite 220, Alexandria, VA 22304-7296, 703-751-5011. Copyright by NDTA. Periodicals postage paid at Alexandria, Virginia, and at additional mailing offices. Subscription Rates: One year (six issues) $35. Two years, $55. Three years, $70. To foreign post offices, $45. Single copies, $6 plus postage. The DTJ is free to members. For details on membership, visit www.ndtahq.com. Postmaster: Send address changes to: Defense Transportation Journal 50 South Pickett Street, Suite 220 Alexandria, VA 22304-7296

Industry viewpoints. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 Industry News . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 Chapter spotlight | Jeff Campbell. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 Professional development | Irvin Varkonyi. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32 Pages future | COL Denny Edwards, USA (Ret.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33 honor roll. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 chairman’s circle. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35 Bookshelf Ideas. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36 index of advertisers. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36


A-35

NDTA Headquarters Staff LTG Kenneth Wykle, USA (Ret.) President

Reaching Out Farther Than You Might Expect!

COL Mark Victorson, USA (Ret.) VP Membership COL Dennis Edwards, USA (Ret.) VP Marketing | Corporate Development

Lori Leffler, CTC, A-35 Chair

Patty Casidy, VP Finance

Global Government Strategic Manager, The Hertz Corporation

Karen Schmitt Director, Public Relations Lee Matthews Marketing / Corporate Development Manager Leah Ashe Manager, Data Base Sharon Lo Executive Assistant Jeff Campbell PR Assistant | Chapter Liaison Carl Wlotzko Coordinator, Banquet & Special Events Angie Payne Forum Administrative Assistant For a listing of current Committee Chair-persons, Government Liaisons, and Chapter & Regional Presidents, please visit our Association website at www.ndtahq.com. Editorial Objectives The editorial objectives of the Defense Transportation Journal are to advance knowledge and science in defense logistics and transportation and the partnership between the commercial transportation industry and the government transporter. DTJ stimulates thought and effort in the areas of defense transportation, logistics, and distribution by providing readers with: • News and information about defense logistics and transportation issues • New theories or techniques • Information on research programs • Creative views and syntheses of new concepts • Articles in subject areas that have significant current impact on thought and practice in defense logistics and transportation • Reports on NDTA Chapters Editorial Policy The Defense Transportation Journal is designed as a forum for current research, opinion, and identification of trends in defense transportation and logistics. The opinions expressed are those of the authors and not necessarily of the Editors, the Editorial Review Board, or NDTA. Editorial Content For a DTJ Publication Schedule, Media Kit and Archives, visit /www.ndtahq.com/education_dtj.htm Dr. Kent N. Gourdin, Editor, DTJ Director of the Global Logistics & Transportation Program, College of Charleston, Charleston, SC 843-953-5327 • F 843-953-5697 gourdink@email.cofc.edu Karen Schmitt, Managing Editor, DTJ NDTA 50 South Pickett Street, Suite 220 Alexandria, VA 22304-7296 703-751-5011 • F 703-823-8761 karen@ndtahq.com

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e wrapped up the April A-35 Veterans Benefit 5K with the presentation of a $10,000 check to Camp Hope during the DC Chapter National Transportation Week Reception. After Amy Di Leo thanked NDTA and SDDC for our support, she shared that Camp Hope has received other donations as a result of all the “buzz” about Camp Hope and the 5K during the SDDC Symposium. Amy was able to connect with additional corporate donors and Camp Hope will soon be breaking ground on a new lodge for recovering warriors! Several years ago a single e-mail from Army Major Matthew Redding, who was deployed to Iraq, requesting assistance in rebuilding the badly damaged Mosul train station caused A-35ers to take action. The Rebuilding the Mosul Train Station Project accomplished our goal of providing army volunteers the building supplies needed to repair the station but it also did more. As a result of connecting with Major Redding, the A-35 Committee identified personal items that troops in his command could use and worked with corporate sponsors to obtain them. A-35ers collected and shipped 12 pallets of donated building supplies and sundries all free of charge. This project helped to build positive relationships between the US Army and the residents of Mosul…it generated NDTA awareness… and, it allowed A-35ers to expand our horizons by supporting deployed troops. The A-35 Committee has provided mentorship programs in chapters and at the national level. The DC Chapter Mentor Protégé Program has had 118 graduates since it inception in 2003. Larry Larkin, who leads the program, commented “Above and beyond mentoring, there are several things

LTG Ken Wykle, USA (Ret.), presented a $10,000 check to Camp Hope. Pictured left to right: Amy Di Leo, Camp Hope, Kenneth Wykle, NDTA President, Lori Leffler, A-35 Chair, and Melissa Dorre, APL. APL was a major sponsor of the 5K. Transportation Management Services, another big sponsor, generously provided bus support for runners and volunteers.

See Lori’s story on the Mississippi National Guard led by LTC Ahshapanek (L) and MG Freeman (pictured above) on page 14.

that make this program a great experience. First is the professional network the participants develop. Then there’s the opportunity to meet leaders from our business community ‘up close and personal’. Lastly, there are the friendships that the mentees develop among themselves and their mentors which last beyond the program. Not to mention we all have a lot of fun!” At both the SDDC Symposium and the NDTA Forum through focused meetings and functional sessions, mentors have procontinued on page 36

Be sure to check the Forum Preview Section in this issue of the DTJ for A-35 programs slated for this year’s event! |

August 2011


EDITORIAL Getting About Dr. Kent N. Gourdin, Editor, DTJ Director, Global Logistics and Transportation Program College of Charleston

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assenger/personal transportation is a topic guaranteed to start a conversation. Everyone has their favorite horror story about a trip they took somewhere, and yet we still do so much of it. The airlines struggle to reconcile low fares with customer service; 80 percent of us still prefer to drive to work alone, even though we sit in traffic; and we’re more than willing, eager even, to head off on a road trip at the first opportunity. There was a fascinating supplement in The Wall Street Journal’s May 22, 2011, issue titled “Tomorrow’s Transport.” Articles included topics on some past ideas of future travel that nev-

er quite came to pass: airline efforts to smooth check-in and improve passenger comfort; the move to allow pilots to plot their own routes rather than follow fixed airways; as well as the latest technology being used in the rail industry. Please allow me to share some snippets from a few of these stories with you. Sadly, I can remember some of these ideas for “futuristic” forms of transportation that never came to pass: personal aircraft as the primary form of day-today transport (anticipated in 1919), the original flying bus (1940) that looked like —you guessed it—a bus with helicoptertype rotors. Actually, I don’t really re-

member those, but I DO recall pictures of nuclear-powered and driverless cars foreseen from the “today” of the 1950s. Even more recently, supersonic air travel, though enthusiastically anticipated in the 1960s, never lived up to expectations. On the airline front, much work is going into speeding the check-in process and improving baggage handling/ tracking to minimize instances of lost luggage. New aircraft utilize high-tech, carbon-fiber composite material in place of metals that allow cabin pressure to be set at an equivalent altitude as low as 2000 feet versus 8000 feet today. This lower altitude permits the use of higher humidity levels, which can significantly enhance passenger comfort. Add in larger windows, Wi-Fi, more sophisticated entertainment systems, improved air filtration, and LED lighting schemes that continued on page 36

“Logistics demands precision— where technology and information converge to drive the global economy.”

Jennifer Batchelor | Faculty, School of Management With more than 18 years of transportation and logistics management experience, Batchelor represents the caliber of AMU faculty and its commitment to blending academic quality with real-world application. Batchelor serves as vice president of an award-winning firm and is passionate about teaching students the cutting-edge technology and methods that are driving industry today.

Learn More at www.amuonline.com/dtj What’s this? AMU-QR.com

Art & Humanities | Business | Education | Management | Public Safety & Health | Science & Technology | Security & Global Studies

www.ndtahq.com | 5



PRESIDENT’S CORNER Travel and Knowledge Sharing LTG Ken Wykle, USA (Ret.) NDTA President

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ummer is here, travel and vacation plans are being made—dates selected, locations identified, flights booked, hotel rooms reserved, rental cars reserved, and suitcases packed. Is this a business trip or a personal trip? When it comes to passenger travel services it does not make a lot of difference because the same basic requirements must be met. Passenger travel impacts each of us—we all travel whether for business or pleasure. Have you thought about all the changes that have occurred in the travel industry over the last 10 years? It was not that long ago that most people called or visited their travel agent, who made all the arrangements for their trip. Now each individual or family will make their own travel arrangements using the internet. The same is true for the government or military traveler. The military and US government have developed and fielded their own travel system: The Defense Travel System for the military traveler and e-travel for the other government agencies. These systems permit the individual to go online and make all their travel arrangements and enable them to complete their expense report for payment after returning from travel. The “doit-yourself ” approach using the internet or military/government developed systems has changed the industry. Rates are transparent, price comparison is relatively easy, and the results are known almost in real time. The industry has responded by keeping rates low but adding assessorial charges—airlines have baggage fees, buying onboard meals, charges for ticket changes; hotels have fees for internet access, in-room movies, and parking and non-refundable room guarantee rates; rental car companies have fees for liability insurance, each additional driver, GPS, hybrids, and optional fuel charges. With the addition of multiple assessorial charges, it is becoming more difficult for the individual traveler to compare total price for a selected service.

65th NDTA Anniversary Yearbook Plan now to have your congratulatory message included in the 65th NDTA Anniversary Yearbook to be distributed this year at the Phoenix Forum. Companies, Chapters, and Individual Members are invited to help us pay tribute to NDTA, The Association for Global Logistics & Transportation.

This issue of the DTJ will provide a travel overview and updates. You will find updates on air travel, hotels, rental cars, and travel agents, plus other articles on such topics as Passenger Service Initiatives the and Impact of ITS beyond the Transportation Community. Use this information as you plan your trip to the NDTA Forum and Exposition in Phoenix, AZ, September 10-14, 2011. Check out our website, www.ndtahq.com, for the most current information. Please note the opportunity for post-Forum travel to Sedona or the Grand Canyon. You can register for the Forum, reserve a booth, sponsor an event or activity, and book your hotel room online from the NDTA website. Your association is always working to stay current with technology and to provide value to our members. The mission of NDTA is “To foster a strong and efficient global transportation and distribution system to support the economy and national security of the United States by: • Advancing the knowledge and science of transportation/distribution within government and industry. • Facilitating the sharing of knowledge between government and transportation/distribution related industries. • Educating members on the important issues affecting the global transportation/distribution system.” One of the primary methods for achieving our mission is through the annual Forum and Exposition. We advance the knowledge and science of transportation and distribution through our outstanding speaker program—senior leaders from industry, government, and the military. We facilitate the sharing of knowledge through our networking opportunities, the industry expositions, and ad hoc meetings and information exchanges. Attendees learn

about the important issues affecting the global transportation and distribution system through breakout sessions. It is through these sessions that there are opportunities for dialogue and the exchange of information between the panels and the attendees. Learning and sharing knowledge and professional development is the cornerstone of NDTA. Join us in Phoenix to hear the Chairman and CEO of UPS, Mr. Scott Davis; the Commander of Air Mobility Command, General Raymond Johns, USAF; the Commander USTRANSCOM, General Duncan McNabb, USAF; the Deputy Secretary of Defense (L&MR), Mr. Alan Estevez; and others including Mr. Eric Haseltine, Mr. Pat Morello, VADM Gordon Holder, USN (Ret), MG Kevin Leonard, USA, RADM Mark Buzby, USN, BG Lynn Colyar, USA, and Mr. Ted Rybeck. Visit the website for a complete list of the breakout sessions and other activities. To all of our members, individual and corporate, thank you for the work you do every day in support of our economy and our Nation’s security. See you in Phoenix! DTJ

W EL C ME

NEW corporate

members as of July 11, 2011

Chairman’s circle • Innovative Logistics, LLC Sustaining patrons • HLC Government Services • Ocean Star International, Inc. • Tamerlane Global Services

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Passenger Initiatives & You

Your Next Flight Could Be Free

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ave you ever longed to travel to exotic places? To walk around the Parthenon in Athens, to view Paris from the Eiffel Tower, to shop at the Rostro (Street Market) in Madrid, or to enjoy a stein of beer during Oktoberfest in the Rheine Land of Germany? Many have been able to enjoy such adventures using free flights on Air Mobility Command (AMC) aircraft. AMC transports more than 2.8 million passengers each year. If you are active duty military or a retired military member, you and your dependants are eligible to travel on AMC airplanes. There are two major categories of travelers on AMC missions: the Space-Required (official travel) and the Space-Available1 (Space-A) traveler. The Space-A program was designed as a privilege for military members. In addition, retired military members are also extended the same privilege, as a way to show the gratitude of a grateful nation for their military service. Dependent family members are also generally authorized to accompany their sponsor on DOD missions where space is available.

The AMC staff is striving hard to significantly improve your travel experience through several new Passenger Service Initiatives. If we can see it, touch it, and experience it, we are trying to make it better. Much like your experience when traveling through civilian airports, no two military passenger terminals look the same. You may encounter some commonalties: waiting areas, check-in counters, customer service agents, baggage checkpoints, and arrival/departure gates. However, AMC terminals often provide services not normally found at civilian airports, such as dedicated family lounges. Some AMC family lounges are very nice facilities and others are very basic. AMC’s goal is to upgrade all family lounges to the “showcase” standard. In most of our terminals, there is a dedicated family lounge. In AMC, we are establishing standardized guidelines to define the interior design and amenities for these family lounges. These guidelines provide standards for safety, cleanliness, style, and military requirements. There will be changing stations and cribs for infant care, play areas

for toddlers, and televisions and other media for older children and adults, all combined in an attractive and restful environment that will ease the burden for our travelers. Once the guidelines are complete, we will implement them throughout all AMC passenger terminals. It is our goal to make sure that wait areas are well maintained and tailored to meet your military and family needs. Our larger terminals will provide you greater amenities, such as more dining choices, bigger waiting areas, and the improved family rooms. Our goal is that you and your families will always find a warm and inviting area in which to relax and unwind during your travel. However, not every location that processes passengers has a passenger terminal or family room (due to space or funding restrictions). Based on mission requirements, some Space-A opportunities are occasional and sporadic at low volume airfields, and therefore, passenger amenities are very limited. Changes in technology are also making your travel with AMC easier. A recent passenger service improvement is the ad-

By Maj Nathan McLeod-Hughes, Scott AFB – HQ AMC, A4 Passenger Policy Branch 8 |

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Military aircraft commonly used for Space A Travel C-5 Galaxy The C-5 is one of the largest aircraft in the world and the largest airlifter in the Air Force inventory.

C-17 Globemaster III The C-17 Globemaster III is the newest, most flexible cargo aircraft to enter the airlift force.

C-130 Hercules The C-130 Hercules is capable of operating from rough, dirt strips and is the prime transport carrier for air drops.

KC-10 Extender The KC-l0’s primary mission is aerial refueling, but it can transport up to 75 passengers.

KC-135 Stratotanker The KC-135 Stratotanker provides the core aerial refueling capability for the Air Force and has excelled in this role for more than 50 years.

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dition of credit card reader machines. Prior to this addition, all payments for terminal costs (excess baggage, head taxes for certain destinations and missions, federal inspection fees, and any meal options that may be available) were cash or personal check. These new credit card machines are now located with the Passenger Service Agent (PSA) at the check-in counter. In order to take advantage of the online revolution, AMC is working to develop an interactive web application to help travelers plan, sign up, and make critical decisions about their journey. Once complete, this web application will allow you to see available flights from the comforts of your home computer/smart phone and allow you to pay for additional travel expenses such as excess or overweight baggage, pet movement, and meals. In addition, the web app will show your current Space-A selection standing on a given mission, identified by travel category. Our goal is to make this app available on any device with internet access. This capability will solve the problem of a family with small children having to check out of billeting at one o’clock in the morning, drag their bags to the Pax terminal to make a Space-A roll call, only to find out there are no seats available. Our intent is to provide you with a capability that is similar to the civilian counterparts of online ticket purchase but tailored specifically to the unique aspects of the DOD traveler. Passing accurate information to our passengers is the primary goal for our PSAs. Our terminals have flight monitors that display upcoming flight information. These monitors are updated by our computer system, which our PSAs use to check-in, manifest, and provide you flight information. We want to provide our passengers the most accurate flight information possible. Currently, our displays provide passenger information on mission departures and arrivals. Similar to what is shown at a civilian airport, you will be able to see what flights are arriving and departing for the next three days. Recent internet security changes have allowed terminals to display some of this information via websites, and we are working to get this out for you to see. We are researching new initiatives every day to increase information flow to our travelers. All our initiatives are not just in the terminal. Within the last year, we brought the AMC Travel Webpage online. Although


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there are various websites set up by seasoned travelers that provide information on the Space-A process, the official AMC webpage is a commercially accessible site with a wealth of accurate information available for all AMC travelers. We have multiple links to passenger terminals throughout AMC. The site contains information on flying Space-A and passenger flight programs (ie, Command and Non-Command Sponsored Travel, Deployed Dependent Program, Unaccompanied Dependent Travel Policy, and the Injured Soldier’s Family Member Travel Program). There is also a variety of downloadable content on the site, from passenger brochures for the Patriot Express and Pet Travel policies to a Space-A Handbook designed to be a complete reference point for you. Finally, we have a Frequently Asked Questions (FAQ) page designed to answer typical Space-A travel questions. In order to reduce lines and waiting times, we held two Improvement Events with the goal of reducing wait times and the number of times your documentation gets checked. The first event, in October 2010, dealt with the Passenger Processing rules. We looked at the entire passenger handling process from the time travelers walk into the terminal until the time they depart via air. Through standardizing work processes, the team reduced the number of document checks from six to two. We also streamlined some additional processes for our service agents, making it easier and quicker to process passengers. The second event, also in October 2010, was a Seat Release Review. The intent of the event was to identify ways to provide more seats for AMC travelers. The team identified the need for earlier seat release notification to the passenger terminal and established a deadline for our control center to pass available seat information. We have now standardized this time at five hours prior to aircraft departure. We standardized seat release guidance to ensure that all passenger terminals provide the maximum number of seats for travelers as early as possible. This policy guidance is still relatively new, but all the passenger agents are working hard with all the “players� involved (flight crew, command and control, maintenance, Tanker Airlift Control Center, etc.) to provide accurate and timely seat release information for our traveler. In addition to the two improvement events that we will revisit this summer, we 12 |

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standardized duty passenger show time at no later than two hours and twenty minutes prior to aircraft departure for the majority of our terminals. Space-A roll call will also start at the same time. This new policy should help prevent confusion at our terminals and the uncertainty of Space-A travelers actually getting a seat. As an AMC traveler, you will meet many people along your journey. Among the first people you will meet are our Passenger Ser-

tomer, and ensuring your positive travel experience. We sincerely hope our initiatives will significantly improve your travel experience. You will have a more standardized experience and be able to count on certain amenities at most of our terminals. Waiting lines will be shorter. Making decisions on whether to go to the terminal for a chance at a Space-A seat will be easier. More and more information will be

vice Agents. We know a good experience with them will set the tone of your journey. Passenger satisfaction begins and ends with the PSAs. A smile goes along way, but we know the correct answer to your question goes a lot further. Because PSAs are so critical to your travel experience, one of our most important initiatives is ensuring that our PSA training plan is concise and all inclusive. We are currently revitalizing our PSA training plan to ensure that our customers feel the love. Through the use of a new command checklist, our PSAs will make sure all our passengers get high quality service at every AMC terminal every time. New Train the Trainer Customer Service classes are being taught at four decentralized training hubs, two in the US, one in the Pacific, and one in Europe. Improving on the existing program, we have incorporated new ideas (a new customer service video from the civilian sector, for example) as well as updated course material. These new trainers will be responsible for going back to their terminals and providing the same training to all their personnel. This is all designed to ensure that our PSAs are provided up-to-date and relevant tools to explain the travel process to the passengers. All of our materials focus on you, the cus-

presented to you on the AMC and local terminal Travel Webpages, and our future interactive web page will be a wonderful tool for you as well. Your time waiting for your flight will actually be spent in a more comfortable setting that will exceed the standards of most civilian airports. As we step into the second decade of this century, we are committed to providing a better experience for our customers. We want to improve your travel experience and have you looking forward to traveling with us and always satisfied. We believe process refinement, technology innovations, and training are keys to a better travel experience, and we are always happy to hear from you. Whether you tell a PSA, fill out an Interactive Customer Evaluation (ICE) via the web, or complete a customer comment card at the terminal, we are eager to listen to what you have to say and do our best to improve your travel experience. DTJ

August 2011

For more information, please visit the AMC Travel Webpage: www.amc.af.mil/amctravel 1 Space-Available travel is the specific program of travel authorized by the Department of Defense (DOD) allowing authorized passengers to occupy DOD aircraft seats that are surplus after all spacerequired passengers have been accommodated.


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Mississippi 1-204th Air Defense Artillery Battalion motto “First to Fire Last to Leave” soldiers puts it, “Iraq is not Washington— I don’t think it has really hit me yet, but it was hard watching my husband leave.” Colonel Robert Thomas, Assistant Adjutant General and Commander 66th Troop Command, commented that “these men and women are skilled professionals who understand their mission and will succeed in fulfilling it”. Typically a National Guard or Reserve unit will prepare and train for

The Story of One Unit’s Deployment to Iraq

By Lori Leffler, A-35 Committee Chair

Awaiting – I Miss Your Laughter, Your Smile, Your Voice And For Your Return I’ve Long Been Anticipating, For No Matter The Mile of Distance Between Us Forever For You . . . I’ll Be Waiting . . .

A

s the Department of Defense conducts Operation New Dawn with the drawdown in Iraq, it is important to remember that some of our nation’s finest men and women continue to serve and be deployed in this dangerous country. Included in these deployments are the Citizen Soldiers of the United States National Guard and Reserve. One National Guard unit is the Mississippi 1-204th Air Defense Artillery (1-204th ADA), headquartered in Newton, Mississippi, under the Command of LTC Don C. Ahshapenek. This battalion recently departed home, headed for Iraq, and is set to be 14 |

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away from loved ones, families, civilian jobs, and the safety of US soil for a year. The 1-204th ADA, trained in Air Defense Artillery, will protect Forward Operating Bases (FOBs). Per Major General Freemen, Adjutant General of the Mississippi National Guard, this unit will have a very important Counter Rocket Artillery Mortar (C-RAM) mission—to shoot down rockets and mortars. Their expertise has been proven: this is not the first deployment for the 1-204th ADA. They have been in Washington, DC, on oneyear deployments twice since the 9-11 attacks, but as a wife of one of the deploying

August 2011

months before deploying. One young soldier commented that this might only be a one-year deployment but it is a two-year commitment considering all the preparation. LTC Ahshapenek is confident that the troops are prepared to carry out the mission because they have trained long and hard. He also recognizes the strength of the community. “The families, the communities here in Mississippi . . . that’s where our soldiers gain a lot. The support we’ve had this last year is magnificent. I want to thank them personally for all that they’ve done,” said LTC Ahshapenek. Like countless Reserve and Guard units throughout the country, the 1-204th ADA operates from multiple armories within the state, in this case, located in Bay Springs, Newton, Morton, and Forest, Mississippi. These small communities and others like them throughout the states, will be without sons, brothers, dads, husbands, fiancés, moms, sisters, daughters, and friends. Their loved ones anxiously await their return, but everyone knows the importance of the mission and has unwavering support of their soldiers. The 1-204th ADA’s deployment began early for Mississippi’s Citizen Soldiers. Goodbyes were not the typical ones we see at civilian airports, but rather en masse, as troops gathered with loved ones before boarding special convoys of buses, some be-



Charter Airlines Carry Our Nation’s Finest Charter Airlines play an important role in transporting the DOD’s Human Capital.

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hen the 1-204th ADA departed, they were met onboard the aircraft by a friendly crew who commented that they “enjoy working military charters.” Obtaining crews for these flights is an easy task because many flight attendants consider them an opportunity to serve those who serve our country. Airlines bid crew positions based on seniority and it is always senior crew who work military charters. The Logistics of moving troops is managed by TRANSCOM. The process has many components which require strong partnerships between the DOD and the airline industry. Not just any airline can transport troops. To become an approved carrier, airlines must pass FAA requirements plus DOD’s stringent safety, quality, and customer services requirements. Additionally, airlines must be part of the Civil Reserve Air Fleet and, even after approval; are inspected bi-annually including reviewing maintenance records and operation procedures. TRANSCOM continually evaluates charter airlines to ensure they are meeting on-time performance and meal quality standards; consequently military charters are expected to operate at the highest standards of safety and customer service. It is the airlines responsibility to ensure military passengers receive service equal to economy class on regular scheduled flights. However, many airlines strive to offer better service. About twenty-five years ago, the meal requirement on a military charted flight was a piece of bread with butter and an egg. Now, the requirement is a meal comparable to one offered in economy class. Since meals are no longer offered in the cost of an airline ticket, soldiers receive meals better than those sold on scheduled flights. According to Rob Taylor, Managing Director, South-

west Airlines, Southwest understands that typical military passengers set out many hours before flying. They drive to their deployment site, board buses, ride to the airport, wait to get on an aircraft and often wait in lines at their destination. So, their time on the airplane might be the only time to relax and eat. Military charters are unique in other ways including requiring exact weights of each soldier and ALL equipment. This required the 1-204th ADA to weigh each soldier and their items individually—this would never happen on a commercial airline flight. Additionally, not only does the DOD and industry work together, often competitors work together. This was the case with the 1-204th ADA. Baggage was loaded via a Delta conveyer; troops boarded by means of a Southwest stairway; and flew on a Sun Country Airplane. The DOD partner charter airlines value this business and the customer they serve which totaled over 1400 domestic trips and $130M during FY2010. As the world political scene changes it is unknown where airlines will carry US Troops in the future. However, one thing is certain, military charter airline personnel will continue to love what they do. As Rob Taylor, military charter specialist, says “Knowing what I do is going to have a direct impact on soldiers makes it easy to go the extra mile. I am happy to ask a caterer to tie a yellow ribbon around sandwiches when we are flying our nation’s finest home.” The most exciting military charters are returns from deployment. Knowing their community and loved ones will be there waiting is truly rewarding. Mississippi 1-204th ADA soldiers—DOD charter carriers and your NDTA supporters look forward to your safe return.

fore dawn, to be sped directly to the flight line and awaiting aircraft. Everyone waved and cheered, yet felt melancholy as the buses departed, escorted by Patriot Guard Riders. Local citizens and flags lined the route; their pride and support were apparent. These soldiers are from small communities, and many of them have known each other their entire lives. They have shared life experiences and are now off to war together as a true “Band of Brothers and Sisters.” Every soldier who was asked stated that they are ready. Ready to fulfill their mission—but, they added, it is never easy leaving loved ones behind. Pastor Steve Robinson of Cedar Grove Baptist Church in Newton, Mississippi, thanked many of the deploying troops as he bought lunch for a restaurant full of unsuspecting soldiers and their families. Another supporter, Mr. David Pippen, a retired Senior Master Sergeant and local school teacher, watched 20 of his former students deploy. There were many tearful goodbyes as one officer held his sons face between his hands while telling him that he loved him and a soldier was told “Goodbye Big Papa, I love you”. At their Farewell Ceremony, the troops recited the Soldier’s Creed as a unit. These men and women exemplify these words: I am an American Soldier. I am a Warrior and a member of a team. I serve the people of the United States, and live the Army Values. I will always place the mission first. I will never accept defeat. I will never quit. I will never leave a fallen comrade. I am disciplined, physically and mentally tough, trained and proficient in my warrior tasks and drills. I always maintain my arts, my equipment and myself. I am an expert and I am a professional. I stand ready to deploy, engage, and destroy the enemies of the United States of America in close combat. I am a guardian of freedom and the American way of life. I am an American Soldier. Every American Citizen should reflect on what our country stands for and our freedom by offering a thank you to those who continued on page 36

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PASSENGER TRAVEL OUTLOOK

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ecently, I watched a rerun of “Catch Me If You Can.” One scene in particular caught my attention. A story was told about two mice that fell into a bucket of cream; one drowned while the other kept paddling, so much so that he whipped the cream to butter and was able to escape. It is an amusing anecdote, but it carries a meaningful message for those of us engaged in the Passenger Travel business. Ask anyone—regardless of profession—how business is going these days and you will hear the same thing; they are either doing MORE with LESS, or expect they will have to do so in the future. Why is this? The answer is not as simple as it seems. Over the past several years, the world’s economy has scrambled a number of eggs and some countries are emerging stronger than others. Brazil, Russia, India and China, the BRIC countries, are expected to contribute much more to the global economic growth this year. BRIC may further lead the world economy in a post-crisis era, should their aggressive industrial restructuring and the transition of economic growth patterns be realized. Furthermore, the BRIC countries also have ample funds to better overcome crisis. To more fully understand what we are dealing with, let’s look at some facts. The Power of Creative Thinking The recent unrest in Middle East and Africa and the March 11th earthquake in Japan remain causes of near-term concern across all industries. Continued gains in manufacturing, exports and employment are expected to fuel growth, though a weak housing sector, high gasoline prices and the impact of Japan’s earthquake on the automotive industry may impede recovery. In the travel industry, options that reduce waste and cut costs that are passed on to the end user will make the differ-

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ence.

D o in g Creative soluM o re tionsWin it transportah tion, L lodging essand even

con-

struction will prevail. Doing more with fewer resources will become the new rule. Travel managers are asking employees to spend fewer nights on the road, stay at lower cost hotels, rent smaller cars and, in some cases, book cheaper flights that aren’t nonstop. Industry Indicators The May update of USA TODAY/IHS Global Insight Economic Outlook Index shows real GDP growth, at a six-month annualized growth rate, increasing from 3.0 percent to 3.4 percent during the second half of 2011. The US Department of Commerce released the real US travel and tourism output from fourth quarter 2010, pulled from US Travel and Tourism Satellite Accounts (TTSAs). According to its report, output increased (adjusted for changes in price) at an annual rate of 2.5 percent, following an increase of 8.6 percent in the third quarter of 2010. By comparison, real gross domestic product (GDP) increased 3.1 percent during the fourth quarter. As one of the top-grossing US exports, the travel and tourism industry’s effect on the United States’ economy and international commerce, in general, has been an area of nationwide focus. The travel industry’s recovery is a crucial piece in recovery, and tracking this eco-

August 2011

nomic indicator provides insight into the state of the US economy and highlights both potential and emerging trends. This is interesting as the real travel and tourism spending increased 2.5 percent, representing the fourth consecutive quarter of growth. In percentage terms, real spending on shopping exhibited the largest gains, increasing 6.2 percent during the quarter, followed by traveler accommodations (5.8 percent) and passenger air transportation services (3.6 percent). Furthermore, overall growth in prices for travel and tourism goods and services increased 3.4 percent in the fourth quarter, following a 0.2 percent (revised) increase in the third. The slowdown in real spending on tourism mainly reflected a deceleration in international air transportation, primarily due to a strong upturn in prices and a slowdown in revenue. Employment in air transportation services increased 1.6 percent in the fourth quarter. This increase was offset by decreases in traveler accommodations of 3.3 percent and recreation and entertainment of 5.2 percent. In the fourth quarter of 2010, US economic output returned to its pre-recession level and the economy is expected to grow faster in 2011. Although business travel spending remains stagnant due to the implementation of smart traveling policies, it was initially driven by cost cutting measures. As business travel is making slow gains, the industry is enjoying the outcome. According to Associated Press; “The average price of a domestic roundtrip ticket before taxes climbed to $350 last year, 12 percent higher than in 2009. Over the same period, the number of fliers on US airlines rose about 4 percent”. However, since the price of oil dictates the percentage of profitability for the airlines, at $100/barrel, airline fuel costs make up 35 percent of all operating costs. Ten years


By Dr. G.R. “Rocky” Mobaraki, MBA, PhD Director, Global Government & Strategic Programs The Hertz Corporation ago, fuel comprised only 15 percent of the operating cost (see the airline subcommittee report in this issue). Hotel occupancy climbed nearly 8 percent last year, according to hotel research firm Smith Travel Research Global (STR). However, average nightly rates have remained flat at around $98 because more rooms are available than needed, the result of overbuilding during the boom years. With improvement in the US economy and the consequent rise in operating metrics, most hoteliers are beginning to report strong quarterly results. Based on the positive estimates, profits are expected to rise further in 2011. The industry has been witnessing a return of the business traveler and a growing demand for leisure travel. Asian/Pacific Perspectives China is set to bring about a recovery in global tourism, and by 2020, is expected to be the world’s largest travel destination. China and India, major growth markets within Asia and the Pacific, seem to be unaffected by the global economic turmoil with ever rising growth rates. Doing more with less is another reason why since late 2010, transition to an “asset light” business model has gained momentum in the hotels industry. Asset sale remains a long-term strategy to strengthen financial flexibility, which would help the companies grow through management and licensing arrangements instead of direct ownership of real estate. A higher concentration of management and franchise fees reduces earnings volatility and provides a more stable growth profile. This is an interesting way of increasing profitability while minimizing risk. The business becomes capital efficient as owner/developer partners provide the capital and the company earns a fee by managing/franchising the property. As demand exceeds supply, STR projects that the hotel industry will end 2011 with increases in all three key metrics. The expected growth is 1.8 to 58.5 percent for Occupancy; 4.2 percent for Average Daily Room Rate (ADR) to $102.21; and 6.1percent for Revenue

Per Available Room (RevPar) to $59.78. in this regard. Airlines, hotels, travel agenWhile supply is projected to inch up cies and car rental companies are taking 0.7percent, demand growth is estimated serious actions to innovate and support at 2.5percent. this important initiative. In response to Another area of focus is our heavy deconsumer demand, car rental companies as well as manufacturers are expected to pendency on oil, an addiction that has a increase their inventory and investment in creative cure. Oil supply risks have taken new technologies to make available more center stage with the unrest in the Middle fuel-efficient vehicles. East and North Africa (MENA) since late January 2011. The spread of unrest to oil The growth in acquisitions activity is exporters in the MENA region has raised likely to be high, and forecasts for the next oil supply risks and led to some small oil four years indicate the biggest changes in supply disruptions, as output losses in terms of automotive restructuring may Libya have largely been offset by higher be coming. Manufacturing over-capacity production in Saudi Arabia and other was very high, especially in North producers in the Persian Gulf. In America. However, with the reresponse to this shock, oil cent earthquake in Japan, prices rose from about we should see further $95 a barrel in late adjustments in the Doing more with January to $110 dynamics and the less is another in early March, forecasts. Despite reason why since late partly reflecting the crisis and increases in dethe slower than 2010, transition to an sired inventories expected recov“asset light” business for precautionery, the rental car model has gained ary reasons. Acindustry is now momentum in the cording to IMF looking at manu2011 report, OPEC facturers to increase hotels industry. production decisions the production of will play a key role in Hybrid and Electric determining oil market Vehicles (EV). In addition, outcomes. In the medium term, the industry is counting on the even assuming that supply disruptions government to institute policies supportin the MENA region are short-lived, oil ing the rental of these fairly expensive veprices are expected to remain high, reflecthicles. The industry and the government ing the tension between continued robust must join forces to create a suitable infraoil demand growth and the downward structure to support utilization. shift in the trend growth rate of global oil production. Taking Risks and Making Them Work Innovation Provides Creative solutions are generally unfaPositive Outcomes miliar, but when they work, they result It is never too late to do the right thing in success and prosperity. Innovators are and to create initiatives to do more with courageous individuals who are not afraid less (starting with less oil). President to try new ways of doing things. However, Obama pledged to “out-innovate” comseeing friends and relatives out of work peting nations in clean technology. With has most people afraid to rock the boat. this initiative in place, the US GovernPeople are fearful to present ideas that ment is now very interested in the use of challenge conventional wisdom. Most clean energy in all segments. The travel tend to agree with the phrase, “Necessity industry is undertaking global initiatives is the mother of all inventions”. A surviwww.ndtahq.com | 19


vor knows that change is the only constant, so when the environment changes, one needs to adapt, innovate, suffer or die. If that is truly the case, human life has a distinct link to adapting and innovating. After all, the status quo has never accomplished anything long term. Recently, people working for big companies go from task to task and meeting to meeting. It’s hard to encourage trying something new when we juggle fewer workers to do more in less time and with fewer

Understand your organization’s mission, keep a positive outlook, get behind the idea, collaborate and find better ways of performing and being profitable! resources. On the surface, you may think that people are so busy that they just don’t have time to think any more. Yes, creative thinking takes time away from structured activity and companies may pay a heavy price in lost creativity. However, this is exactly the time to think outside the box and become creative. If the issue really is about doing MORE with LESS, then get organized! Understand your organization’s mission, keep a positive outlook, get behind the idea, collaborate and find better ways of performing and being profitable! At the same time, companies and governments should be willing to take the necessary risk of presenting ideas with solutions that no one has tried before. The travel industry has done a great job in this regard; they no longer give clients all that they want. Rightfully so, no creative person or company should do that. Instead, they should offer clients only what they need. Creative thinking aligns itself with advances in technology. Technology has moved forward with such speed, that some organizations struggle to keep up. Throughout the industry, the new world order is doing more with less in more creative ways. It is the key strategy to tomorrow’s successful business. The challenge is to increase the value to the customer, at little or no cost. Organizations taking on the challenge will not simply succumb, they will survive and they will prosper. Just like the mouse that managed to rise above the cream! DTJ 20 |

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NDTA Passenger Travel Services Committee AIRLINES Delta Air Lines Denny Clifford* FlightWorks, Inc. Cynthia Karnik Kalitta Charters, LLC Steve Green North American Airways Lois Wilson Omni Air International Trisha M. Frank Southwest Airlines Merrill Taylor United Airlines Tom Billone World Airways Lois Wilson

BUS Transportation Management Services (TMS) Kevin O’Conor Brad Kurtz Bob Leitzel*

CAR RENTAL Advantage Rent-A-Car Lori Leffler, Rocky Mobaraki* Avis/Budget Rent A Car Robert Krapf, Mike Washkevitz* Dollar-Thrifty Automotive Group Mark Cronin, Randy Tietsort Enterprise Rent-A-Car Bryan Scott Europcar Frank Langbein Fox Rent A Car Jose Giraldo The Hertz Corporation Lori Leffler, Rocky Mobaraki* Payless Car Rental Kathy Johnson

EXTENDED STAY LODGING Equity Corporate Housing Kathy Lane Extended Stay Hotel Toni Kleinops*, Rachel Tyler Korman Communities Scott Foster Oakwood Worldwide Daphne Medillo Virginian Suites Ms. Noelani Berkholtz

HOTELS Best Western International Dave Brogden, Mari Ann Gray Carlson Hotels Worldwide Linda Colovos Choice Hotels International Lisa Kenner Hawthorn Suites-Alexandria Stacie Liverpool Hilton Hotels Corporation Scott Lamb* Hilton Waikiki Prince Kuhio Newton Wong Hyatt Hotels & Resorts Chris Keane InterContinental HG Judy Silcox La Quinta Jake Paine, Lynn Shatterly LTD Hotel Management Eunice Gibbs Marriott International Randy Griffin Radisson – Waikiki Newton Wong

August 2011

Resort Quest Hawaii Kathy Ahsam Starwood Hotels Christopher Robertson Suite America Kim Dunbar Wyndham Hotel Group Denise Benyak

PASSENGER RAIL AMTRAK TBD*

TRAVEL AGENCIES Carlson Wagonlit Travel | SatoTravel Shelley Bickner, Kelly Kuhn*, Monnie Riggin, Phyllis Leeth, Marc Stec, Craig Thompson McNair Travel Karen Bacordo Omega World Travel TBD

TRAVEL PUBLICATIONS & SERVICES AmeriForce Publishing Brian Dunbar OAG Worldwide Christina Kosac Runzheimer International Kraig Rodenbeck

TRAVEL TECHNOLOGY INNOVATA Paul Chrestensen, Cathi Massi, Judy Smith Northrop Grumman Rod Forry* Sabre Travel Network Jeffrey Goodell

GOVERNMENT Defense Travel Management Office (DTMO) Paul Joyce, Chief Commercial Travel Div.; Andrea Carlock, Dep. Chief Commercial Travel Div.; Tracey Ramsey, Chief Travel Mgmt. Branch; Howard Hicks, Team Lead

PTSC COMMITTEES & CHAIRS PTSC Committee Chair Dr. G.R. “Rocky” Mobaraki, MBA, PhD, Director, Global Gov’t & Strategic Programs, The Hertz Corporation PTSC Vice Chair & Airline Subcommittee Chair Denny Clifford, Director, Military & Gov’t Sales, Delta Airlines Car Rental Subcommittee Chair Mike Washkevich, Director, Gov’t Sales, Avis & Budget Rent A Car Hotels Subcommittee Co-Chairs Scott Lamb, Director, Gov’t Sales, Hilton Hotels Corporation Judy Silcox, Director Gov’t Sales, InterContinental Hotels Travel Agencies Subcommittee Chair Kelly Kuhn, President, Carlson Wagonlit Travel | SatoTravel Travel Technology Subcommittee Chair Rod Forry*, DTS Program Manager, Northrop Grumman Bus Subcommittee Chair Bob Leitzel, GM Gov’t. Transportation Svcs., TMS Extended Stay Lodging Subcommittee Chair Toni Kleinops, Extended Stay America Passenger Rail Subcommittee Chair TBD Travel Publications & Services Subcommittee Chair Christina Kosac, Advertising & Marketing, Director, OAG

EX-OFFICIO Ken Wykle, President, NDTA Denny Edwards, VP, NDTA *Subcommittee Chairman


PASSENGER TRAVEL services committee

Government Travel Programs & Updates AIRLINE Subcommittee Chair: Denny Clifford, Director, Military & Government Sales, Delta Airlines The short-, medium-, and probably longrange future of the airline industry can be summed up in one word—oil. All foreseeable financial roads for airlines lead to—and through—this ancient energy source, which after a few conversions, is aviation fuel. A bit of history here may put things in perspective. Ten years ago fuel comprised 15 percent of an airline’s operating expenses. Five years ago, that number was 29 percent. Today, with the world market price for the benchmark West Texas Intermediate (WTI) being $100 per barrel, an airline’s fuel costs make up 35 percent of all operating costs. Many financial experts who specialize in oil and gas are predicting that over the

long term the price of oil will go up significantly. Goldman Sachs recently raised its forecast for WTI from $120 per barrel to $130 by the end of 2012. Others are predicting $150 per barrel within the next twelve months, and still others are indicating that $200 per barrel is not out of the question over the next few years. What is driving this increase? Well, a number of factors. The more “artificial” ones being the weakness of the dollar— when the dollar is weak against foreign currencies the price of oil goes up—speculators in commodities trading, the political instability of the Middle East (which threatens oil production), the civil war in Libya (which reduced worldwide production by 2 million barrels per day), and the status of the worldwide economic recovery. But the real driver that underpins higher oil prices is quite basic—supply and demand. The thriving economies of China and India, and related consumption of oil, is the primary catalyst behind increased

worldwide demand. The economies of Saudi Arabia and Brazil also add to the demand curve. On the supply side, many experts suggest that worldwide production is decreasing. Exxon recently reported that it is replacing every 100 barrels of oil it produces with only 95 barrels of newly founded oil. That does not bode well for matching worldwide demand with commensurate supply. All of this presents unique challenges for airline operations moving forward. How do airlines cope with the challenges of much higher fuel costs? In the short to medium term, hedging is the most effective means to control an airline’s expenditures on fuel. At least the use of hedging gives an airline some control over what it will pay in the future for its aviation fuel. How does hedging work? Simply put, hedging is making advance purchases of fuel at a fixed price for future delivery to protect against the shock of anticipated rises in price. Hedging has become quite

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sophisticated, with complex formulas and algorithms being used to determine the best time to hedge and at what levels. Hedging often involves not just setting a ceiling on the price of fuel, but also floors. It often produces a range within which an airline can operate with some cost predictability, at least for the fuel that is purchased in advance. Airlines typically do not “bet the farm” and hedge 100 percent of fuel—the risk is too high in the event

prices actually fall. A more likely ratio of hedging is 40 to 60 percent of total fuel consumption over a period of time, say six months or a year. As hedging contracts expire they are renewed or cancelled depending on the price of fuel at that time. Aside from the risk issues associated with hedging, another challenge for airlines is that hedged fuel is typically paid for up-front in cash. This favors airlines that have large cash funds available—the

CRUISE SHIP Industry Overview Facts The cruise industry is the fastest growing segment of the travel industry—achieving more than 2100% growth since 1970, when an estimated 500,000 people took a cruise. • Roughly 14.3 million passengers traveled in 2010, a 6.3% increase over 2009. • The cruise industry is the fastest-growing category in the leisure travel market. Since 1980, the industry has experienced an average annual passenger growth rate of 7.4% per annum. • Since 1990, more than 154 million passengers have taken a 2+ day cruise. Of this number, more than 68% of the total passengers have been generated in the past 10 years and nearly 40% in the past 5 years. • The average length of cruises is 7.2 days. • The cruise product is diversified. Throughout its history, the industry has responded to the vacation desires of its guests and embraced innovation to develop new destinations, new ship designs, new and diverse onboard amenities, facilities, and services, plus wide-ranging shore side activities. Cruise lines have also offered their guests new cruise themes and voyage lengths to meet the changing vacation patterns of today’s travelers. • The cruise industry now has more than 30 North American

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• • •

• • •

embarkation ports placing cruise ships within driving distance of 75% of North American vacationers. With the added convenience of avoiding air travel, cruise lines have attracted a wider customer base. From a capacity standpoint, utilization is consistently more than 100% (104% in 2009). The Caribbean is the number one destination, with an estimated 37% of the total in 2010. Twenty-six new state-of-the-art ships are contracted or planned to be added to the North American fleet through 2012, at a cost of nearly $15 billion. Because only approximately 20% of US adults, and far less of the world market, have ever taken a cruise vacation, there remains an enormous untapped market. Ninety percent of all cruise vacations are booked through travel agents. There are more than 2000 ports of call around our planet that cruise ships can visit. There are more than 300 cruise ships in the world today with a collective capacity to handle more than 250,000 passengers. Three major cruise line groups (Carnival, Royal Caribbean, and Star/NCL) control roughly two-thirds of the world’s cruise passenger capacity.

From daVinci Institute; April 26, 2011

August 2011

economic adage that profitable (ie, having sufficient cash) companies usually are able to take on more risk than those who do not applies. If they are correct in their hedging assumptions, then profitable airlines will have a competitive edge over less profitable airlines and the cycle will continue— at least until the point where fuel costs are manageable for the entire industry. Airlines can respond to higher fuel prices with immediate changes such as reducing capacity in unprofitable markets and retiring less fuel efficient aircraft as well as other cost reducing initiatives. These actions continue to take place within the industry as fuel prices increase. In the long term, the most consistent way airlines can manage higher fuel costs is by developing a plan around the expectation that higher costs will remain in place for the long haul. Proactive planning is the solution, not reactive or knee-jerk reactions to a largely uncontrollable cost item. Those airlines that implement the former will in the end be the survivors in this challenging marketplace. In other airline news, the industry is working with GSA to implement ticket time limits on contract fares. Further analysis by GSA is being conducted on the merits of this proposal. If approved, any changes would not take place until the FY13 city pair contract. The airline industry feels strongly that changes in this area need to be made, with terms similar to those on commercial fares but allowing for differences due to the unique composition of government travel. All thirteen airlines that participate in the city pair contract voted yes to this change at the Pre-Solicitation meeting held by GSA in February, which is a unanimous result. Lodging Co-chair: Scott Lamb, Director, Government Sales, Hilton Hotels Corporation Co-chair: Judy Silcox, Director, Government Sales, InterContinental Hotels Lodging accounts for more than 60 percent of the Per Diem costs of travel. Making the best use of these dollars makes sense fiscally and has a huge impact on moral. Rested, refreshed, and healthy troops are mission ready and able to focus on the job at hand. The lodging industry (and specifically the member companies of NDTA) are developing new programs


Crisis Abroad: Tips for International Travelers By Scott McCartney (excerpts from the Wall Street Journal 06/09/11 and the Department of State)

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oing abroad this summer? Be prepared. Civil uprisings, earthquakes, ash clouds, terrorism warnings, and violence have all disrupted travel in the past year. The top three sources of trouble for travelers are the weather, health, and petty crime. Food and water safety often contribute to health problems in underdeveloped countries. Vacationers tend to be more exposed to street vendors with weak food preparation practices than business travelers. Vacationers are also more prone to accidents, such as walking or biking injuries amid unfamiliar traffic patterns. A key preparation: Call your health-insurance provider and confirm your overseas coverage and update as necessary. Also, get telephone numbers for support overseas. Vacationers can easily stumble into high-crime areas in any city— consult with locals and hotel concierges before heading out. Consider carrying a credit card used solely for travel and leave personal and business cards at home. Far down on the list of dangers is terrorism, but civil uprisings have grown more common and aren’t limited to Arab countries. The important rule to remember: Don’t gawk and get caught up in it. Get back to your hotel. Avoid the temptation to head to the US embassy or consulate—that could be exactly where an antiAmerican mob is protesting. Travelers need to pack a small “go bag” with essentials (passport or a copy, medications, energy bars, a first-aid kit, and a flashlight). This tip comes from lessons learned following 2008 attacks in Mumbai. Ten locations in India’s largest city, including two five-star hotels, were targeted. Have someone track your trip from home to keep you informed of activities in the country where you are staying. Information from the US often comes faster than through local media or hotels. Natural disasters present very difficult challenges. Some basic first-aid skills are important to deal with cuts, broken bones, and shock when medical professionals may not be available. But the most crucial issue is safe drinking water. It wouldn’t hurt to carry water-purification tablets in your luggage. After a hurricane, for example, water may not be safe, and facilities to boil water may not be an option for tourists. Drop the proper amount of tablets in a water bottle and shake it up—you’re good to go.

>> STEP The US State Department’s Smart Traveler Enrollment Program (STEP) offers a way to keep communication lines open with home should an emergency arise. Register at http://travel.state.gov to enter itinerary, hotel, and other contact information that will keep everyone in touch. In accordance with the Privacy Act, details won’t be disclosed without your permission and will be destroyed after your trip ends. STEP enrollments averaged 4000 a day in May, an all-time high for the 7-yearold program. The program sends out relevant “warden messages”—local email alerts for US citizens abroad, which are more detailed and timely than the travel advisories. Messages include updates on the time and location of protests in a country, for example, whether commercial flights are still running in a crisis or updates on flooding after a disaster. STEP works both ways—if there’s a family emergency back home you can be notified. Or if the government is arranging chartered evacuation flights from a hot spot, or even if you lose a passport. This year, the government evacuated 2350 people from Egypt; 17 from Tunisia; and 200 from Libya. In Japan, buses were sent to Sendai for US citizens. If email services shut down during a crisis, text messages are sent to phones. In many crises around the world, text messaging has worked even when email, Internet, and cellular voice service didn’t.

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and facilities to help Commands and travelers manage their lodging spend more easily and efficiently. The result—more with less! Energy costs drive lodging costs. As energy prices began to rise in the 90s, hotels started to develop programs to save energy through recycling and laundry programs, as well as energy management initiatives. Now these efforts have evolved into key strategic initiatives focused on sustainability at all of the major hotel chains in the United States. Like government agencies, our companies have specific, measurable goals aimed at reducing our carbon footprint, eliminating waste, and improving our environment. Your partners at NDTA can share these programs with you and help you meet your sustainability goals. By asking your travelers to stay at “green” hotels and requiring your meetings and conferences to use facilities with sustainability programs, you can spend your travel dollars wisely and affect our environment. Extended TDY is becoming more and more common. With forces stretched thin and bases consolidating, we often need to “borrow” human capital for extended periods. On top of that, complicated systems and projects demand dedicated teams for weeks and months, rather than one or two people. The best kept secret in the lodging industry is the “long-term stay” hotels. Some are dorm-like and others arranged like apartments, but both offer savings and amenities that make sense for TDY max! Kitchens, laundry facilities, common areas, and convenience stores are common features. Many offer breakfast, dinner, and social hours as part of their package. Free internet, fitness facilities, and local shopping services are also regular amenities. On top of this, the longer you stay—the lower your rate! This segment of the lodging industry has exploded in the last 10 years, which means many of the hotels are new. This is the perfect example of getting more—for less—and your NDTA partners will be glad to help you navigate their programs. The Defense Authorization Act of 2002 allows Federal employees to retain frequent flyer miles and other travel awards for personal use. However, the benefits these programs offer the traveler can save money and time in performance of their mission and should be part of the travel matrix. Airlines, car rental, and lodging companies 24 |

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offer their frequent guests free or reduced cost amenities that others may have to pay for. Internet, parking, meals, fitness facilities, upgraded rooms, cars, and airline seats all make official travel easier and less costly for the traveler and ultimately their service. As hotels become more competitive, these benefits continue to grow. Finally, the US lodging industry is expanding rapidly overseas. US travelers will see familiar brands in more locations, in more countries across the globe. Better amenities, higher standards, and increased availability will make your travel easier, safer, and less costly because these hotels are “where the action is” in the growing markets of the world. Have a question about your lodging program and how you might do more with less? Contact your hotel partner in NDTA. We understand your challenges and stand ready to help you accomplish your mission. Car Rental Subcommittee Chairman: Mike Washkevich, Director, Government Sales, Avis & Budget Rent A Car The car rental industry remains cautiously optimistic about 2011 trending, despite facing many early-year obstacles outside of the industry’s control. Snowstorms curbed many travelers earlier in the year. Threats of federal government shutdowns due to budget negotiations not only halted government employees from traveling for several weeks in March and April, but also had a tremendous impact on leisure travelers. Many vacationers simply weren’t willing to risk traveling to national parks, federally funded museums, etc., with looming possibilities of their destination spot not be open for visitors. But as many industries have realized, the car rental industry has been aggressive in addressing aspects of their business models where they do have control. “Doing more with less” has been a major theme in the industry. Obviously, the largest cost for car rental companies is fleet. The industry as a whole has become much better at managing their fleet costs, which represent 30 percent of total costs on average. But negotiating favorable deals on vehicle purchase from original equipment manufacturers is only part of the equation. Other factors include mix

August 2011

(some makes hold residual values better), sale price (which is increasingly influenced by remarketing distribution channels), and the time the vehicle is off-rent prior to sale. All of these factors are where the car rental industry has used creative thinking to trim their costs. Fleet Mix The auto rental companies have increasingly diversified their fleet mix by make as well as model. This helps manage residual value risk and many of the new OEM suppliers’ vehicles hold their residual values better. Fleet diversity also offers the customer more choice in the type of vehicle they drive, provides for better negotiation strategy for car rental companies, and increases the opportunity for more original equipment manufacturers to get in to the rental market and allow consumers to test drive their vehicles. Higher Return Marketing Channels Increased use of higher return remarketing channels should continue to drive lower per-unit fleet costs over time, as well as reduce the dependence on wholesale auction prices. More car rental companies are choosing to sell their used cars directly to consumers, and the used car market is large and growing larger. At the same time the industry continues to find ways to cut costs, customer service has actually been strengthened. Anyone knows you can cut costs down to nothing, but can you satisfy customers and maintain client retention at the same time? That is the key to a successful strategy. In many cases, car rental companies have greatly improved their counter automation and pick-up/return processes to enhance and improve customer satisfaction. The car rental industry still faces many dynamics as the remainder of 2011 unfolds. Increasing fuel costs could possibly have major effects on the industry. As airlines continue to battle increased fuel costs and lower seat capacity, fewer deplaning travelers means fewer people renting cars at airports. The leisure traveler remains skeptical about any signs of a strengthening economy and lower unemployment. Federal government shutdowns still shadow the budgeting process, and other influences such as weather and war will always remain outside the control of the industry, but the creative thinking of “doing more with less”


has boosted the car rental industry’s ability to formulate profitable business models for their shareholders while keeping rental rates attractive to their customers! Travel Agency Subcommittee Chairman: Kelly Kuhn, President, Carlson Wagonlit Travel / SatoTravel Doing More with Less As everyone in the travel industry is aware, revenue streams and profits run on tight margins. Well-managed travel agencies have recognized this fact for years, regardless of the ups and downs of the economy. A pioneer in the travel industry once said, “If you want to make a small fortune in travel, invest a large fortune!” The common mantra within the travel agency community is to run lean and mean, meaning the key to long-term success is tightly controlling overhead costs, specifically personnel costs. Within the military and government travel market, where transaction prices play a decisive role in competitive procurements, travel agencies employ a number of

strategies to keep costs down, increase productivity, and ultimately, generate a profit margin that satisfies its shareholders. In keeping with the theme of “Doing More with Less,” travel management companies seeking the competitive advantage in a tight market are utilizing automation tools such as global distribution system (GDS) scripts, automatic call distribution (ACD) telephone systems, or the use of Voice Over Internet Protocol (VoIP) to reduce telecommunications costs, increase productivity, manage capacity, and ensure adherence to customer service level agreements (SLAs). Scripts efficiently and quickly guide the frontline travel agent through the reservation process, ensuring adherence to the client’s travel policy as well as prompting the agent to sell ancillary products and services such as prepayment for excess baggage and making hotel and car rental reservations. Effective use of an ACD telephone system affords the travel company the benefit of managing capacity—managing the peaks and valleys of call volume as well as the ability to maximize overall capacity to cover surge and/

or emergency call volumes (such as sudden activation military units or disruption to air traffic due to storms or other natural events). VoIP allows companies to reduce the per call costs. Another facet of “Doing More with Less” is how travel management companies manage themselves. Cutting costs usually means reducing hours or eliminating personnel from the ranks. However, no matter how many hours are reduced or positions eliminated, the work behind the contracts and the support needed to fulfill customer expectations remain nonetheless. To manage those very real and contractually binding expectations requires a significant shift away from the traditional hierarchal organizational structure to a more fluid and responsive structure referred to as a matrix organization. Today, successful travel management companies are cross-utilizing support personnel across departmental lines to quickly respond to customer support requirements and implementing new and improved processes to ensure that the overall organization’s objectives are protectively and consistently met. DTJ

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RISING to the Challenge . . . of a changing world, reduced budgets, and increased demands on our logistics and transportation systems Share knowledge and connect with peers across the Global Enterprise. This year, NDTA commemorates its 65th Forum Anniversary! You are invited to the CELEBRATION!

ROUNDTABLE

Keynote Speaker Scott Davis, Chairman & CEO, UPS

“On Watch with the Stars” 9/14 (Wednesday)

Featured Speakers Gen. Duncan McNabb, USAF, Commander, US Transportation Command Gen. Raymond Johns, Commander, Air Mobility Command Alan Estevez, PDASD (LMR) OSD Eric Hazeltine, PhD, President & Managing Director, Hazeltine Partners Pat Morello, Director, Purchasing, Navistar Defense

Moderator: VADM Gordon Holder, USN, (Ret.) Sr. VP, Booz Allen Hamilton, Inc Participants: MG Kevin A. Leonard, USA, Commander SDDC RADM Mark H. Buzby, USN, Commander MSC BG Lynn Collyar, USA, DLA J-3

SPOUSE/GUEST TOURS 9/12 (Monday) • Heard Museum featuring Native American culture and art • Lunch at the Wrigley Mansion with commanding views

PROFESSIONAL SESSIONS 9/12 (Monday) • Impact of Gov’t Rules/Regulations on the DTS • Scorecards & Best Value—USC-06/07; DTCI; CRAF • Commercial Travel Programs & Shrinking Travel Budgets • From Management Trainee to the Executive Suite • AT21—Gov’t Expectations • HHG: Gov’t/Industry Best Practices for DPS • Defense Personal Property Program (DP3)— Transition Complete

Plus, a special presentation of Native American Jewelry

9/13 (Tuesday) • Desert Botanical Garden featuring species of the Southwest • Brunch at local upscale restaurant Plus, a special presentation on Gems

9/13 (Tuesday) • In the AOR with our Young Leaders • Afghanistan—the Crossroads of the Silk Road • OSD Transportation Policy Vision for the Future (DTCI Follow-on, Regionalization of HHGs) • Leveraging Social Media in Logistics • Strategic Trends & Future Lift requirements (Surface, Air, Sea) • The International Perspective

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August 2011

See NDTA Gram for Armchair Travels: Phoenix (at www.ndtahq.com/education_ndta_gram.htm) Inside the Bustling amazon.com Warehouse (2/2011) Aircraft Still Shine in Arizona Desert (3/2011) Phoenix in 5 Stops (5/2011) Tall Tales of the Saguaro (6/2011) The INsiders Guide (7/2011)


HOTEL

SPONSORING & EXHIBITING (as of July 11, 2011)

Hyatt Regency Phoenix 122 North Second Street Phoenix, Arizona, USA 85004 Tel: +1 602 252 1234 Fax: +1 602 254 9472

Super Sponsors

APL FedEx InterContinental Hotels Group Maersk Line, Limited The Pasha Group UPS YRC Worldwide

Contributing Sponsors

Photo courtesy Hyatt Hotels

POST-FORUM TOURS (Optional) 9/15 (Thursday) Sedona Visit the Red Rocks of Sedona, within Oak Creek Canyon, with a stop over at Montezuma’s Castle National Monument. Tour Duration: 9 hours (approximately) Lunch Included!

American Military University Avis Budget Group Baggett Transportation Chalich Trucking, Inc. DB Schenker Delta Air Lines DHL Global Forwarding Farrell Lines Fikes Truck Line The Hertz Corporation Landstar Transportation Logistics National Air Cargo R&R Trucking Rock-It-Cargo USA Southwest Airlines Supreme Group Transportation Institute Transportation Management Services

EXHIBITORS Grand Canyon National Park 1- & 2-day Tour Options. Don’t miss a chance to see this natural wonder (with Detours tour company) • Day Tour • Day Tour w/Helicopter Upgrade • Overnight Tour Please contact Detours of AZ directly to book your reservation and mention that you’re with NDTA to receive a discount. www.detoursaz.com

AAT Carriers ABF Freight System, Inc. ACTCO-Afghan Container Agility Defense & Gov’t. Services AIT Worldwide Logistics, Inc. American Military University American Roll-On Roll-Off Carrier ASL / ARC APL, Limited Atlas Air Worldwide – Panalpina Avis / Budget Baggett Transportation Company Bennett Motor Express Boyle Transportation Cavalier Logistics Central Gulf Lines, Inc. CGI Chalich Trucking, Inc. Chapman Freeborn Airchartering Choice Hotels International Coastal Maritime Stevedoring, LLC Colorado Technical University Coyne Airways Coyote Logistics/General Freight Services, Inc. Crowley Maritime

Cubic Global Tracking Solutions DAMCO D.B. Schenker DHL Dollar Thrifty Automotive Group Erudite, Inc. Estes Forwarding Worldwide, LLC Farrell Lines FedEx Government Services Fikes Truck Line Final Mile Logistics, Inc. General Dynamics GlobalTrak Greatwide Truckload Management Hanjin Intermodal America Hapag-Lloyd USA, LLC Hilton Worldwide HQ SDDC Hub Group, Inc. InterContinental Hotel Group Landstar System Inc. LMI M2 Transport Maersk Line, Limited Matson McLeod Software Mercer Transportation Co., Inc. National Air Cargo Navatech USA NDTA Headquarters Overwatch, Inc. Panther Expedited Services, Inc. Pilot Freight Services PODS Enterprises INC. Port of San Diego Priority Solutions International R & R Trucking Raith-CTS Logistics Rock-It Cargo USA, LLC SkyBitz Southwest Airlines Supreme Group USA, LLC The Hertz Corporation The Pasha Group Totem Ocean Trailer Express Trailer Transit, Inc. Transportation Institute Triton Systems, Inc. UniGroup, Inc. U.S. Bank USTRANSCOM UPS YRC Worldwide, Inc.

Fun Run FUNDRAISERS (for the benefit of the NDTA Scholarship Fund) Forum Golf Tournament The Legacy Golf Course 9/11 (Sunday) Host: Delta Air Lines

Scholarship Dinner & Rodeo Show “Embracing Challenge” Corona Ranch 9/11 (Sunday) Host: YRC Worldwide

A-35 Duck Race

Scholarship Event Alice Coopers Cooperstown 9/12 (Monday) Host: FedEx

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om the A Seattle Snapshot fr ger Travel Perspective of Passen

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ir Force airmen flew upward of 25 sorties a day at the height of Operation “Tomodachi” to provide relief and supplies following the 8.9 magnitude earthquake and tsunami that devastated northeast Japan in March. They airlifted 7 pallets of radiation-shielding boron to help stabilize the damaged Fukushima Daiichi nuclear power plant. And, they dispatched aircraft to assess damage and monitor atmospheric radiation levels. From a passenger travel perspective, however, one of the greatest accomplishments was the safe and streamlined movement of people: support personnel into Japan and military members, government civilians, and dependents wanting to escape. By April 1, Pacific Air Forces air assets had airlifted 1223 passengers to support relief operation, and 5269 dependents and personnel were voluntarily evacuated to the US under Operation Pacific Passage. More than 2100 DOD family members transitioned through Seattle-Tacoma International Airport (SEA-TAC) to safe-haven locations in the US as part of Operation Pacific Passage. The voluntary military-assisted departure operation was put on hold after the last of the passengers arrived on March 26. Leading the operation was US Army North, headquartered at Fort Sam Houston. The organization is ready to restart operations and expand if necessary, but regardless of whether or not that word

Staff Sgt. Stewart Guethlin (36th Airlift Wing loadmaster and C-130 crewman) briefs passengers on how to don an oxygen mask. Photo: Airman Sean Martin, USAF

cific during Operation Pa litary-chartered flight mi a N m US , fro k ger Gi bar a em Families dis cialist 2nd Class Olivi Communication Spe ss Ma : oto Ph ge. ssa Pa

comes, Operation Pacific Passage was a huge success according to Army officials. “All the military members and dedicated civilians did a tremendously great job,” said Col. Wayne Shanks, US Army North PAO. “Nothing is more important than taking care of our family members.” “SEA-TAC has bent over backward for us, and the volunteers really helped us out,” said Maj. Kays Al-Ali, part of the US Army North’s surgeon’s office. Military personnel led family members through every stage of the process, from greeting them when the plane from Japan arrived at SEA-TAC to helping carry bags as the families received their tickets before boarding commercial planes to their follow-on destination. To make that process as easy as possible, a joint reception coordination center consisting of Air Force, Army, and Navy personnel at SEA-TAC to provide administrative, financial, and medical support to the passengers before they departed on commercial airplanes to their final destination. Petty Officer 3rd Class Brandon Dumas, a medic from Everett Naval Hospital working in the Madigan Healthcare System medical clinic on-site at the airport, said he felt he played a vital role in helping the passengers get home safely. “The joint force shows how strong we are and how we

can come together to conduct operations without any trouble,” Dumas said. Most spouses brought their children with them, so operations officials made sure childcare was available to parents so they could focus on getting their tickets to their safe-haven location and paperwork filled out correctly. Pat Bossi, Joint Base LewisMcChord Child Youth and School Services, worked with SEA-TAC representatives to establish an on-site childcare facility. Getting passengers out within 24 hours became the standard toward the end of the operation. For those who had to stay in Seattle overnight, the DOD authorized lodging at several Seattle-based hotels. Each family member received a phone card to make free calls. Hot dogs and fresh donuts were always available throughout the operation, thanks to USO volunteers. At one point, a flight headed to Denver International Airport filled with transitioning family members stopped at SEA-TAC to refuel. With only 20 minutes of notice, USO volunteers made more than 300 sandwiches to rush out to the hungry passengers waiting in the plane. That kind of dedication and care shown to the military members and their families is what the USO is all about. Departed personnel will be provided return travel to Japan when directed by the under secretary of defense. DTJ

Excerpts from Air Force World (Aaron Church) and Army One Source (Joint Base Lewis-McChord Public Affairs Office) 28 |

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August 2011


A Flawed Approach

A TRB committee report says DOD should pay some of the costs of transportation infrastructure near US military bases Lee Jackson, Logistics Management Institute (LMI)

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February report from the National Research Council’s (NRC) Transportation Research Board (TRB) calls for the Pentagon to pay for some of our nation’s new transportation infrastructure, which will be required to support the relocation of tens of thousands of our servicemen and women under the 2005 Defense Base Closure and Realignment (BRAC) process. Massachusetts Institute of Technology JR East Professor Joseph Sussman chaired a congressionally mandated committee that released a report that concluded that DOD should share in “bearing the costs” associated with building any new infrastructure required to support our troops impacted by the BRAC realignment, rather than making local and state governments shoulder the entire burden. The report goes on to state that some of the DOD funding should support the development or improvement of public transportation systems and networks and not focus primarily on roads and highways, as we have in the past. The report developed case studies for six military bases located in metropolitan areas that are among the 18 bases that will receive a large influx of military personnel due to BRAC. BRAC requires that base closings and staff relocations be implemented by September 2011. The TRB report concludes that responding by the September deadline is unrealistic. The report recommends that a special appropriation for infrastructure-related projects be created this year. In this writer’s opinion, any appropriation that supports infrastructure-related projects has merit and is sorely needed, but in this austere budget environment (see my article in the DTJ April issue), such an occurrence is highly unlikely. Dr. Sussman states, “Normal funding will not be adequate if the DOD wants to move huge numbers of troops into Fort Belvoir. They don’t have to ask anybody for permission. But the committee recommends the DOD pay an impact fee that would be negotiated and determined using

a model like that used in the private sector.” An impact fee is typically imposed on a developer by a local government to cover the cost or partial cost of the infrastructure required for a proposed development. The DOD has not been required to pay an impact fee in the past and has argued that off-base transportation infrastructure is not its responsibility except in cases where development would cause traffic to double in the environs of a military base. Dr. Sussman states that that is impossible in an already heavily congested area like Fairfax County, VA, where Fort Belvoir is located. The committee did constrain the impact fees that could be imposed on the DOD by making the fee nondiscriminatory. If a city or town hasn’t ever asked for an impact fee from past developers, they can’t now ask the DOD to pay one,” said Sussman, who added that “local governments would need to pay their fair share. This could be viewed as reshaping the dialogue between local planners and the DOD to put things much more on a level playing field.” It is not the intent of this writer to question Dr. Sussman or the recommendations of the TRB Committee Report. Dr. Sussman’s credibility and reputation stand on their own, as chair of the US DOT’s Intelligent Transportation Systems Program Advisory Committee, as well as other NRC/TRB committees. Dr. Sussman and the NRC have a reputation for publishing objective, unbiased studies, and their reputation stands on its own. In addition, the TRB report was reviewed by six independent reviewers. With that said, this writer would like to acknowledge the fine work of the committee and fully recognize their recommendations. However, with that said, I don’t think the committee’s recommendations or the report went far enough. The committee’s recommendation to improve base community communication and planning efforts is designed to address issues related to the relocation of military personnel in the future, but we don’t have time to ponder and delay addressing this issue at a later time!

WE NEED ACTION NOW! I support the discussion in the report that calls for near-, medium-, and long-term solutions. The near term solution for Congress to create a special appropriation or allocation of uncommitted stimulus funds certainly has merit, but creating such a fund in the current politically charged budget environment is not likely. Such an idea aligns with the Administration’s 2012 budget proposal that contains $556 billion for transport to be spent over six years. Supporters of a National Infrastructure Bank, including the Obama Administration, believe such an approach is the right one.1 Unfortunately, such an approach has gained little steam or support in Congress, as neither the Administration nor the DOT senior leaders have been able to clearly define or elaborate on the details of this approach. The DOD is not in a position to fund our state and local transportation infrastructure needs. Although DOD has limited resources in the Defense Access Roads Program, the monies available to support the degree of infrastructure improvements needed are not available. Raising the fueltax, which stands at 18.4 cents a gallon is no solution because the income received annually from the fuel tax is miniscule when it is estimated that the nation’s infrastructure costs over the next century will exceed $255 billion per year. Current infrastructure spending falls 60 percent short of that amount.2 THINKING OUT OF THE BOX With such a tremendous shortfall, our nation needs to work together to arrive at a solution. Clearly the time has come for our leadership in Congress, the public sector, and the private sector to work together and “start thinking out of the box!” A politically palatable solution that incorporates the application of new technology, innovative funding approaches, and system thinking needs to be developed. It is critical to recognize that in order for the US to be globally competitive with our international trading partners, we must act now. To do otherwise would put the United States on a ship without a captain. DTJ

The Economist, April 30 – May 6, 2011 2008 National Surface Transportation Policy and Revenue Study Commission 1 2

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INDUSTRY viewpoints Measuring the True Impacts of ITS Beyond the Transportation Community

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e in the Intelligent Transportation Systems (ITS) community are total, abject failures. The signs of our success are everywhere, but until we develop measures of success that are meaningful to the public and go beyond our own transportation community, our impact will not register in the eyes of the travelling public or our political leadership. Over the years, the transportation industry has developed a series of performance measures that are very good at helping the transportation management community evaluate the efficacy of various deployed ITS tactics and devices. But something vital is missing: a comprehensive series of performance measures that can help other government units evaluate and understand the impact of ITS initiatives beyond transportation and that can communicate successes to the public. Like all municipal services, the DOT works within a silo; metrics that matter internally don’t translate well to external stakeholders—especially the public. This is especially problematic because the DOT and its various agencies are in budgetary competition at every level of government consideration and with all other municipal services. Understandably, there is need to measure and document the significant value provided beyond the confines of the “transportation silo.” The advent of ITS enhances the DOT, but it also makes every other municipal service more effective, more responsive,

and more efficient because all are dependent on the surface transportation infrastructure to accomplish their respective missions. Everything—from public safety and schools to the local CVB—hinges upon the orderly flow of traffic. This is especially relevant within urban areas. Transportation infrastructure capability impacts local economies as well. For significant economic development to occur, businesses need to know that the transportation network will support timely movement of goods and services. Think “just-in-time” inventory. In the past, prior to ITS, we managed “things” like pavement and bridges, which meant we watched transportation assets then reacted to requests for refurbishment and repair. Every few years, we might have seen a pothole repair campaign or bridge resurfacing, but we lacked the capability to substantially or rapidly influence the flow of traffic. With today’s ITS, we operate the system . . . it doesn’t drive us. We can manipulate traffic flow, and can adjust it to support the operations of other municipal services. We can respond to changing weather conditions (tornado, hurricane, flooding) and emergencies (fire, riots, demonstrations). We can plan around events (football games, parade, opening night premiers). ITS helps avoid massive backups that used to tie us up for hours in traffic jams. There is still room for improvement in spite of the advantages. We don’t use ITS to its full capacity because we in the transportation community tend to look inward when evaluating whether it’s doing well. We need

INDUSTRY NEWS Atlas Air Worldwide Holdings, Inc. (AAWW), a leading global provider of outsourced aircraft and aviation operating services, has announced that its Atlas Air, Inc. unit launched its first military passenger charter flight for the DOD’s Air Mobility Command from Fort Bragg’s Pope Army Air Field in Fayetteville, NC, to Southwest Asia. 30 |

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to begin measuring the impact on other municipal services and the consequences that will, in turn, enable us to operate smarter. Imagine a fleet of school buses that requires each bus to run five routes every day. If a bus is more than 5 minutes late on any given route, the school is required to dispatch another to pick up the slack. Costs associated with funding another driver, capital outlay for the additional bus, extra operation and maintenance costs, and more are all added to the school’s system budget. If we can make improvements by programming traffic signals in sync with conditions, or coordinating snowplows to prioritize primary routes, we could ensure that the school buses would move on schedule to save time and money. We must find ways to demonstrate the impact of ITS on others’ performance. We need to “walk in the other guy’s shoes” to figure out how the performance measures are used and then figure out how we can have an impact. In the end, our traveling public—riders, drivers, and shippers—all benefit if we do a better job of supporting other municipal services, and we won’t know that we are meeting this challenge without a performance measurement system that is different than the one currently in use. DTJ Tip Franklin is the Director of Business Development for Telvent. Hi remarks were delivered at the ITS Conference in West Des Moines, IA, to facilitate information sharing for ITS projects. Attendees represented the ITS community from the heartland states of Missouri, Iowa, Kansas, Nebraska, and Oklahoma.

>> You’ll find Industry News each month in the NDTA Gram and online in “Biz Briefs” at www.ndtahq.com

“The first Atlas Air, Inc. DOD passenger mission departed from Fort Bragg on May 17. The 747-400 passenger aircraft represents the newest addition to Atlas’s fleet of modern fuel-efficient aircraft. The mission culminates a year-long DOD Commercial Air Transportation Quality and Safety Review Program and is a significant milestone for our company,” said William J. Flynn, President and Chief Executive Officer of AAWW.

August 2011

By Tip Franklin

He continued, “The AMC passenger service for the US military leverages the company’s long-standing service in AMC cargo operations, our knowledge of the areas of activity, and our success in providing premium, private-charter, passenger CMI operations for the US-Africa Energy Association (USAEA) through its agreement with SonAir.” Mr. Flynn added, “Atlas Air and all of our employees are very proud to carry members of the US military on our aircraft.” DTJ


Photo Credit: William J. Grimes

Chapter Spotlight Visiting Chapter Cities Jeff Campbell Chapter Liaison

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Anchorage, Alaska 2012 NDTA Forum & Expo Host City NDTA Members are already crafting creative ways to travel to next year’s Forum city and stay to enjoy the area after the program! After taking a flight or cruise ship to the city, use it as an embarkation point for areas of the state only accessible by train or small plane. Not feeling so adventurous? Visit the Alaska Veterans Museum, which honors Alaska Veterans. Its volunteer staff includes NDTA North Pole Chapter Members. Dallas, Texas 2013 NDTA Expo during SDDC Training Symposium Host City Katy Trail – Where the Missouri-KansasTexas (MKT or “Katy”) Railroad once traveled through Dallas, community members and city leaders have preserved an urban park affectionately called the Katy Trail. The trail is a “Central Expressway” for bikers and walkers, right through downtown Dallas. The 30-acre linear park connects nature lovers, sports fans, and downtown

and hovercraft. The museum is free to visit, and you can research special collections at the research library by appointment.

walkers through the densest area of Dallas. With its rich rail history, the Katy Trail is the perfect location for the 2013 NDTA A-35 Veterans Benefit 5K.

Photo Credit: US Air Force Academy

herever business, military, or personal travel takes you this summer, if NDTA has a local chapter nearby, there’s a good chance the area has a detour-worthy attraction to highlight your time away from home. While making travel arrangements, be sure to check www. ndtahq.com/chapters_about2.htm to see if there’s an active chapter at your destination. Use your NDTA Network on site for local touring tips. Here are some logistics and transportation related sites members can enjoy while visiting chapter cities.

Denver, Colorado 2012 NDTA Expo during SDDC Training Symposium Host City US Air Force Academy – Just south of Denver, the Air Force Academy Chapel is a landmark that stands proudly near Interstate 25, open daily to visitors. Air Force Officers begin their career here at the Academy and take off on the right path with the 10th Logistics Readiness Squadron Cadet Logistics, which provides support to 4000+ cadets a year. Fort Eustis, Virginia Home of Regimental Chapter US Army Transportation Museum – Get a feel for how soldiers have moved from colonial days to the present at the US Army Transportation Museum, on the grounds of Fort Eustis, the Army Post that also hosts the US Army Transportation School. Artifacts on display range from planes, helicopters, and tugboats to trucks, jeeps, trains,

Norfolk, Virginia Home of Norfolk-Tidewater Chapter Chesapeake Bay Bridge Tunnel – A favorite day tour for our Norfolk-Tidewater Chapter Members, the Chesapeake Bay Bridge Tunnel covers 20 miles over the lower Chesapeake Bay. The Bridge-Tunnel project provides the only direct link between south Hampton Roads, VA, and Virginia’s Eastern Shore, carrying US 13, the shore’s main north-south highway. This engineering marvel saves motorists 95 miles when traveling between Virginia Beach and points north of Wilmington, DE.

St. Louis, Missouri Home of USTRANSCOM Gateway Arch – The tallest stainless steel monument in the world, the St. Louis Gateway Arch offers a window to America’s westward expansion, built at the location of St. Louis’ foundation. Just as Americans used many modes of transportation to move out west, there are several types of transport to the top of the arch as well: by elevator, tram, or 1076 stairs. DTJ www.ndtahq.com | 31


professional development Professional Certification and Career Enhancement Irvin Varkonyi, CSCP, PLog, President, Supply Chain Operations Preparedness Education ivarkonyi@apus.edu

tion stands about the resume and the professional reference by being an impartial, third-party endorsement of an individual’s professional knowledge and experience.”

Learning objectives 1. Learn the definitions of professional certifications 2. Understand the value of certification in your career 3. Gain knowledge on social media’s discussions on certifications

U

sing the five Ws and H method, the features and benefits of professional certification are used to assist decision making in pursuing professional development. What is professional certification? “Professional certification, trade certification, or professional designation, often called simply certification or qualification, is a designation earned by a person to assure qualification to perform a job or task. Many certifications are used as postnominal letters indicating an earned privilege from an oversight professional body acting to safeguard the public interest.” This definition allows us to differentiate certification from a university degree. Certification demonstrates the skills that you have developed through the workplace and study. Education, such as earning a university degree, demonstrates the knowledge that you have gained that enables the individual to utilize critical thinking, which can be used to advance a profession. Why is there professional certification? Certification, based on an industry’s standards, enables an organization to determine the capabilities of its workforce, as an extra tool in addition to others to evaluate its workers. Certification also allows different organizations in an industry to assess workers who may desire to move between organizations. “The growth of certification programs is also a reaction to the changing employment market. Certifications are portable, since they do not depend on one company’s definition of a certain job. Certifica32 |

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Who creates professional certifications? Professional associations, trade organizations, and international standard bodies, among others, create professional certifications. APICS, the Association for Operations Management, has developed Certified in Production and Inventory Management (CPIM) and Certified Supply Chain Professional (CSCP). The Project Management Institute has developed the Project Management Professional (PMP), among others. ISM, the Institute for Supply Management, has developed the Certified Professional in Supply Management (CPSM). Government agencies also develop certification. The DOD created the Defense Acquisition Workforce Improvement Act (DAWIA) for professionals in the acquisition workforce. Technology professionals have a wide array of certifications from industry and government. When is certification of value? Certification is of value for professionals when work experience has been accumulated. Certification normally involves a review of work experience as well as testing of knowledge gained from experience. Thus certification will generally come after experience has been gained. Certification authorities normally require recertification. Few industries stay static in this technology-driven world, thus certified professionals must demonstrate that they have maintained industry involvement and knowledge. Timing of certification renewals varies by industry. At APICs, the Certified Supply Chain Professional must be renewed every five years. So does DAWIA. How is certification earned? Certification is a combination of evaluation of work experience and an examination. The American National Standards

August 2011

Institute (ANSI), Standard 1100, defines the requirements of meeting the ANSI standard for being a certifying organization. According to ANSI Standard 1100, a professional certifying organization must meet two requirements: 1. Deliver an assessment based on industry knowledge, independent from training courses or course providers. 2. Grant a time-limited credential to anyone who meets the assessment standards. Are there differences between international standards and certification? ANSI is critical in development standards for organizations and industries. Its standards will apply to organizations, and certifications will apply to individuals. Knowledge and experience with standards may be components within certification. For example, ASIS, the American Society for International Security, has created ASIS SPC.1.2009, Organization Resilience Standards. This standard focuses on security, preparedness, and continuity management systems. ASIS professionals are certified through CPP, Certified Protection Professional, and other certifications. Its standard for organizational resilience is a component of the certification exam. Technology plays an increasingly important role in certification. Professionals who aspire to be certified can study for exams on specific websites dedicated to their certification. They can take their exams in proctored computer settings. Thus, those aspiring to be certified need not be fixed to a specific location and have the freedom to live and work where their jobs may take them. Social media sites have also become a source of information. Here are a few to get you started: • http://www.linkedin.com/answers/ browse/career-education/certificationlicenses/CAR_CRT • www.facebook.com/pages/Professionalcertification/139515772734841 (for IT professionals) Are you a trainer or educator who may seek certification in your profession? Check out the American Society for Training and Development‘s certifications: • h t t p : / / s e a r c h . a s t d . o r g / S e a r c h . aspx?csquery=certification. Good luck!

DTJ


NDTA Passenger Travel Services Committee Expands COL Denny Edwards, USA (Ret.)

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ood news from the Passenger Travel Services Committee (PTSC). It has been far too long since the committee has had active rail and bus travel representatives. Soon it appears that both Amtrak and a leading nationwide bus management company, Transportation Management Services, will take their places on the PTSC.

Planned High-Speed Rail Projects in the US Major Corridors

Funding*

Total Miles

Top Speed

California

$3 billion

1955 miles

220 mph

Northeast Corridor

$683 million

727 miles

110 mph

Charlotte–Raleigh–Richmond–Washington, DC

$688 million

480 miles

110 mph

Eugene–Portland–Seattle–Vancouver

$637 million

467 miles

150 mph

Kansas City–St. Louis–Chicago

$1.17 billion

570 miles

110 mph

*Department of Transportation, FRA

High Speed Rail Worldwide 10,000

In Operation Under construction Planned

8,000

6,000

4,000

USA

Portugal

Italy

Germany

Japan

Turkey

Spain

0

France

2,000

China

Since the mid 1970s, rail passenger service and bus passenger service have seen a steady decline in official military travel. That decline pretty much mirrored rail and bus service in general. Shortly after Amtrak was formed in 1971, a robust DOD rail and bus travel program was promoted by long time NDTA member retired Army Colonel Joe Bellino. Working for both Amtrak and also Greyhound after he retired as Director of Passenger Traffic at SDDC (then MTMTS), he worked to expand military guard and reserve unit moves, recruiting station inductees transportation, and official duty travel programs for the military—all issues that he knew well from his Passenger Travel days at MTMTS. Unfortunately, budgets and politics prevented much progress over the following 35 years. Until recently, that is, with renewed interest in High Speed Rail (HSR) routes and improving Amtrak service. If actually realized, plans for HSR lines and

Source: UIC – International Union of Railways

expanded Amtrak service, could make Department of Defense troop movements viable once again. The key according to many rail experts is winning back public support for rail travel. Amtrak seems to be doing just that. They have spotlighted improved rail travel on Amtrak and launched their 40th Anniversary celebration this year on National Train Day—May 7, 2011. [Editor’s

note: The date commemorates the Golden Spike Ceremony in 1869, 142 years ago.] Free celebrations were hosted in major Amtrak cities, and a special 40th Anniversary Exhibit Train was launched to travel the country for the next six months. Amtrak has also produced a special anniversary book and DVD documentary for sale on the train. Likewise, with the demise of the nationwide bus giants Greyhound and Continental Trailways, military unit and troop movements decreased. But now bus companies are coming back with sleek European style coaches with additional amenities, restroom facilities, on-board food service, TV-DVD, and WiFi. Add to that competitive rates, and DOD will want to take a second look at intercity bus service for sure. A strong advocate of modern motor coach service and a new NDTA corporate member is Transportation Management Services (TMS). As a leading provider of transportation planning and operations for government and industry, they are already heavily involved with FEMA in disaster assistance and in providing motor coaches for emergency evacuations. Their civil preparedness planning and operational support capabilities provide a good fit with NDTA’s mission and goals. DTJ www.ndtahq.com | 33


HONOR ROLL

OF

SUSTAINING MEMBERS AND REGIONAL PATRONS

ALL OF THESE FIRMS SUPPORT THE PURPOSES AND OBJECTIVES OF NDTA

SUSTAINING MEMBERS ABF Freight System, Inc. Accor Hotels ACTCO-Afghanistan Logistics Air Transport Assn. of America Air Transport International, LLC AIT Worldwide Logistics, Inc. American Maritime Officers American Military University American United Logistics AMYX ARINC Army Air Force Exchange Service Arven Freight Services, LLC Associated Global Systems Baggett Transportation Co. Boyle Transportation Cardinal Transport, Inc. Carlson Hotels Worldwide CGI Chalich Trucking, Inc. Chamber of Shipping of America Comtech Mobile Datacom Corporation Covenant Transport Coyne Airways Coyote Logistics, LLC/General Freight Services CRST International, Inc. CSC Crowley Maritime Corp. CWT SatoTravel C2 Freight Resources, Inc. DAMCO

REGIONAL PATRONS AAAA Forwarding, Inc. Access America Transport, Inc. AFC Worldwide Express/R+L Global Services Aggreko International AKA a division of Korman Communities Al-Morrell Development/Morrell Int’l. Alaska West Express American Moving & Storage Assn. American Trucking Associations Anton Law Group Association of American Railroads ATS Specialized, Inc. Avis Budget Group Benchmarking Partners C5T Corporation Cargotec USA, Inc. The Cartwright Companies Cavalier Logistics Center for the Commercial Deployment of Transportation Technologies (CCDoTT) Ceres Terminals, Inc. CGM Security Solutions, Inc. Chapman Freeborn Airchartering Chassis King C.L. Services, Inc.

34 |

Dell, Inc. Delta Air Lines, Inc. DHL Express Dynamics Research Corp. Enterprise Database Corporation Express-1 Fikes Truck Line GE Aviation General Dynamics/American Overseas Marine General Dynamics NASSCO GeoDecisions Global Maritime & Trans. School-USMMA Greatwide Truckload Management Hilton Worldwide HLC Government Services Hub Group, Inc. Intercomp Intermodal Association of North America (IANA) Intermarine, LLC International Longshoremen’s Association, AFL-CIO Intl. Organization of Masters, Mates and Pilots Interstate Worldwide Relocation Kansas City Southern Keystone Shipping Company Knight Transportation KU Transportation Research Institute Kuehne + Nagel, Inc. Labelmaster Software Liberty Global Logistics, LLC Liberty Maritime Corporation

LMI Lockheed Martin Aeronautics Co. M2 Transport Mack Trucks, Inc. ManTech International Corp. Marine Engineer’s Benefits Association Martin Logistics, Inc. Matson Navigation Co., Inc. Mayflower Transit McCollister’s Transportation Systems, Inc. McLeod Software Menlo Worldwide Mercer Transportation Co. Military Officers Association of America National Air Carrier Assn., Inc. National Van Lines New England Motor Freight, a Shevell Group Co. North Carolina State Ports Authority NYK Logistics Americas Ocean Shipholdings, Inc. Ocean Star International, Inc. Old Dominion Freight Line, Inc. Omega World Travel One Network Enterprises, Inc. OSG Ship Management, Inc. Overdrive Logistics, Inc. Owner-Operator Independent Drivers Association Panalpina Parts Associates, Inc. (PAI) Pilot Freight Services PODS Port of Beaumont

Pratt & Whitney Prestera Trucking, Inc. Priority Solutions International Priority Worldwide Services PRTM Management Consultants, LLC Qualcomm Incorporated Radiant Logistics Partners, LLC Ridgeway International Rock-It-Cargo USA, LLC Sammons Trucking Savi, a Lockheed Martin Company Sea Star Line, LLC Seafarers Int’l Union of N.A. AGLIWD Sealed Air Corp. Sealift, Inc. Southwest Airlines SRA International, Inc. Tamerlane Global Services Textainer Equipment Management Totem Ocean Trailer Express, Inc. (TOTE) TQL Transportation Institute Transportation Intermediaries Assn. (TIA) Tri-State Motor Transit, Co., (TSMT) Tucker Company Worldwide, Inc. Union Pacific Railroad United Airlines United Van Lines, Inc. UPS Freight UTi Worldwide, Inc. UTXL Wagler Integrated Logistics, LLC Worldwide Aeros Corp

Coastal Maritime Stevedoring, LLC Corporate Flight Management Dollar Thrifty Automotive Group EADS North America Enterprise Holdings Erudite Company Estes Forwarding Worldwide, LLC Europcar Car & Truck Rental Executive Apartments, Inc. Federal IT Consulting (FEDITC), LLC FlightWorks FMN Logistics Fox Rent A Car Goverline Logistics Great American Lines, Inc. Green Valley Transportation Corp. Hanjin Intermodal America, Inc. Hawaii Air Cargo, Inc. Holiday Inn VA Beach – Norfolk Hotel & Conference Center HudsonMann, Inc. Hyatt Hotels and Resorts Innovative Green Solutions JAS Forwarding Kalitta Charters, LLC LMJ International Logistics, LLC Logistics Management Resources, Inc.

LTD Hospitality Group Lynden, Inc. Magellan Transport Logistics Marriott Hawaii Resorts & Hotels Marriott International MBA | Morten Beyer & Agnew McLane Advanced Technologies MCR Federal, LLC (MCR) Meyer Trucking, Inc. Mi-Jack Products & Technology Military Sealift Command (MSC) Miramar Transportation mLINQS, LLC MRA Experiential Tours & Equipment Naniq Systems, LLC NCI Information Systems, Inc. NFI Oakwood Corporate Worldwide ORBIS Corp. OTO Hospitality Development Overwatch, Inc. Patriot Contract Services, LLC Payless Car Rental Philadelphia Regional Port Authority Phoenix International Freight Services, Ltd. Port of Port Arthur Port of San Diego

Reckart Logistics, Inc. Royal Trucking Company Scan Logistix, Inc. Seabridge, Inc. Sea Box, Inc. SkyLink—(USA) Sleep Inn and Suites SLT Express Way, Inc. SR International Logistics, Inc. Stratos Jet Charters, Inc. Suite Solutions TAPESTRY - FSG Tennessee Steel Haulers Trailer Bridge, Inc. Trailer Transit, Inc. Trans Global Logistics Europe GmbH TRI-STATE Expedited Service, Inc. Triton Systems, Inc. Truva International Transportation & Logistics Try Tours Expediting Services Unified Consultants Group, Inc. Unimasters Logistics PLC US Bank Freight Payment US Door & Building Components Utley, Inc. The Virginian Suites

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August 2011


AAR CORP + PLUS Agility Defense & Government Services + PLUS American Shipping & Logistics Group (ASL) + PLUS APL Limited + PLUS Atlas Air Worldwide Holdings + PLUS The Boeing Company + PLUS Bennett Motor Express, LLC + PLUS Choice Hotels International + PLUS CEVA Logistics + PLUS Cubic Global Tracking Solutions, Inc. + PLUS FedEx + PLUS Final Mile Logistics + PLUS Global Aviation Holdings Inc. + PLUS Hapag-Lloyd USA, LLC + PLUS Horizon Lines, Inc. + PLUS IBM + PLUS InterContinental Hotels Group + PLUS Landstar System, Inc. + PLUS Maersk Line, Limited + PLUS National Air Cargo + PLUS Panther Expedited Services, Inc. + PLUS Ports America + PLUS Science Applications International Corp. (SAIC) + PLUS Supreme Group USA, LLC + PLUS Titan Services + PLUS Universal Truckload Services, Inc. + PLUS UPS + PLUS YRC Worldwide + PLUS Accenture American Roll-On Roll-Off Carrier, LLC BNSF Railway Co. Booz Allen Hamilton Bristol Associates CorTrans Logistics, LLC CSX Transportation

DB Schenker DHL Global Forwarding Evergreen International Airlines, Inc. The Hertz Corporation Innovative Logistics, LLC International Shipholding Corp. KGL Holding Lockheed Martin

Norfolk Southern Corporation Northrop Grumman Corporation Omni Air International The Pasha Group R&R Trucking Raith-CTS Logistics SkyBitz

These corporations are a distinctive group of NDTA Members who, through their generous support of the Association, have dedicated themselves to supporting an expansion of NDTA programs to benefit our members and defense transportation preparedness.

www.ndtahq.com | 35


continued from page 4

Dr. Kent N. Gourdin

The Big Roads The Big Roads, by Earl Swift, published by Houghton Mifflin Harcourt, June 2011, $27.00, Hardcover, 384 pp, ISBN-13: 978-0618812417.

A

man-made wonder, a connective network, an economic force, a bringer of blight and sprawl and the possibility of escape—the US interstate system changed the face of our country. The Big Roads charts the creation of these essential American highways. From the turn-of-the-century car racing entrepreneur who spurred the citizenled “Good Roads” movement to the handful of driven engineers who conceived of the interstates and how they would work—years before President Eisenhower knew the plans existed—to the protests that erupted across the nation when highways reached the cities and found people unwilling to be uprooted in the name of progress, Swift follows a winding, fascinating route through twentiethcentury American life.

continued from page 5

fight jetlag, and things really get interesting. And that’s all for those of us in coach; the wonders of first class are increasingly becoming the stuff of myth, not that I’ll ever know for sure. The railroad industry is investing huge sums in technology. For example, Positive Train Control uses on-board computers, digital communications, and Global Positioning Systems equipment that let a central control station at the company see where their trains are in real time and stop them by remote control if an engineer fails to obey a signal. In addition, advances in braking and car-monitoring systems will improve safety and keep closer tabs on hazardous cargo. Sadly, none of these advances has anything to do with passenger travel. Despite the adoption of high-speed passenger rail service in other countries, the US continues to ignore what could be a very attractive alternative to air and auto travel. This lack of a clear national rail passenger strategy meant the federal gov36 |

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How did we get from dirt tracks to expressways, from main streets to offramps, from mud to concrete and steel, in less than a century? Through decades of politics, activism, and marvels of engineering, we recognize in our highways the wanderlust, grand scale, and conflicting notions of citizenship and progress that define America. And it is this conflict that is truly both fascinating and thoughtprovoking. For example, neighborhoods were wiped out or cut in two by new freeways in New York, Chicago, and New Orleans, displacing thousands and destroying ethnic communities. And in another case of progress at any price, in 1963, the California State Division of Highways proposed setting off 22 atomic bombs in the Bristol Mountains to make way for I-40 to Barstow—a 36% savings over normal engineering methods. Yikes! Fortunately, common sense prevailed. This is a truly fascinating book for anyone interested in the role of transportation in the economic development of modern America. DTJ ernment couldn’t even give away stimulus funds to the states for that purpose. So, here we are in 2011, still relying on personal vehicles and the airlines for the bulk of our passenger transport needs, which is unfortunate given their relatively large carbon footprint. I don’t believe any of our forefathers expected that dependence to last so long or be so total. If you have a chance to read The Big Roads, the book I recommend in this issue’s Bookshelf Ideas, you see that throughout the 20th century, highway planners (and those in other modes, I suspect) almost always underestimated future traffic levels with negative implications for our infrastructure. And yet, is there any other country in the world even close to the size of ours that one can drive across non-stop should their bladder allow it? And where else can an air traveler truly expect to find multiple flights per day to wherever they want to go, either within the US or abroad? Despite its flaws, our passenger transportation system provides us a level of mobility virtually unique in the world. I’ll take it. DTJ

August 2011

vided valuable insight on what has aided them in career advancement and their success. A-35ers have also worked with education experts to gain information on what resources are available to further transportation and logistics careers. Young professionals participating in these activities perform more effectively; some have applied lessons learned to gain promotions. Most recently, NDTA A-35ers are helping troops stay connected with their loved ones. We worked with Cell Phones for Soldiers and made calling cards available for an entire battalion so they will be able to call home while deployed. The A-35 Committee stands ready “To be an active component of NDTA providing opportunities and developing tomorrow’s leaders”. DTJ

continued from page 16

serve. The t-shirt worn by Lt. Marilyn Upton’s mother said it all: “Some Heroes Wear Capes, My Hero Wears Army Boots.” Members of 1-204th ADA—you are heroes to many of us! Thank you for your service to the State of Mississippi and the United States of America. DTJ Thank you to Major General William L. Freeman, Jr. and Colonel Robert F. Thomas, for their support and assistance in bringing the story of the 1-204th ADA Battalion to NDTA readers. All members of NDTA, along with our fellow citizens, will be praying for the safe return home of your troops and all the others still in harms way. HOOAH!

DTJ Index of Advertisers American Military University............................ 5 APL.................................................................Cov 3 ARC...................................................................... 15 Bennett International Group........................... 25 Boyle Transportation.......................................... 6 Budget................................................................ 21 Farrell Lines....................................................... 11 FedEx..............................................................Cov 4 InterContinental Hotels Group.......................... 9 Landstar.............................................................. 13 Maersk Line, Limited.......................................... 1 SAIC...............................................................Cov 2 Southwest Airlines........................................... 17 UPS........................................................................ 2


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