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KLM and Northwest: a survey of the impact of a passenger alliance on cargo service characteristics

1999; Elsevier BV; Volume: 5; Issue: 3 Linguagem: Inglês

10.1016/s0969-6997(99)00009-5

1873-2089

Peter S. Morrell, Ricardo V. Pilon,

Outsourcing and Supply Chain Management

This paper identifies and quantifies the impact of a major passenger alliance, between KLM and Northwest Airlines, on the cargo service characteristics of one of the partners, KLM. The hypothesis that the KLM/Northwest Airlines passenger alliance had led to a decline in the quantity and quality of cargo service connections is rejected, even though the first years of the alliance clearly indicate deteriorated cargo layover times. The number of possible connections and the inbound and total routing belly-hold capacity increased during the time-span considered for the research. Also, the cargo layover times eventually declined after an initial increase. Different samples of routes connecting through Minneapolis, Detroit, New York, and Chicago (the latter being KLM Cargo's hub where interlining with United Airlines is feasible) all demonstrate a consistent positive impact. Partner connections eventually outperformed interlining.