ONE Record, KPIs and Freight Forwarders

… or ‘Why the Air Cargo Industry Must Fix Its Broken KPI System – and Why ONE Record Also Matters for Freight Forwarders’.

Freight forwarders seem not to be the first priority in the adoption of IATA’s ONE Record standard. Yet overlooking them risks undermining the credibility of the entire air cargo ecosystem. Forwarders are often the direct interface with industries such as automotive, technology, and pharmaceuticals; sectors that demand accuracy, transparency, and accountability.

Have you been there?
A Freight Forwarder shares a familiar story: its customer sets specific KPIs that everyone knows are unrealistic. During the Quarterly Business Review (QBR), the discussion turns tense – especially when air cargo performance comes up. The KPIs are predefined and disconnected from operational reality. Everyone in the room knows it, yet the routine continues: polite words, vague commitments, and promises of future improvement.

Escalations to management on both sides often end with ‘special meetings’ to negotiate better terms. The next RFQ introduces even stricter criteria, but the underlying issue remains unchanged – unreliable data.

The real problem: data without substance
Today, data is the foundation for every strategic decision. Yet too often, in freight forwarding, the numbers are little more than decoration. Customers receive reports that ‘tick the box’, but those reports are often inaccurate, incomplete, or selectively adjusted to mask weak performance – later dismissed as ‘typing errors’.

The consequences are clear:

• Decision-makers lose confidence in the data.
• Corrective actions are delayed or misguided.
• Relationships between forwarders and their customers become transactional and defensive.

Why technology alone isn’t enough
Many Freight Forwarders rely on EDI connections and legacy Cargo Management Systems (CMS). While these enable basic data exchange, they rarely solve the underlying problems: ensuring data quality and accountability.

Customizing a CMS for a specific customer is often seen as too costly or complex. Optional fields go unfilled, operational data is inconsistent, and smaller stations lack the traffic or incentive to justify dedicated training.

In many cases, the data requested by its customers isn’t even within the forwarder’s control – it must come from other parties across the air cargo supply chain.

This isn’t negligence; it’s a symptom of a fragmented system that no longer fits today’s operational needs.

Air Cargo’s unique challenge
Air cargo magnifies the issue. Its speed, complexity, and cost structure demand accurate, timely, and complete information. When data is missing or inconsistent, visibility is lost, corrective actions are delayed, and KPIs fail to reflect the true performance.

For a sector built on precision and trust, poor data is more than an operational nuisance – it’s a credibility risk.

ONE Record: A path forward
IATA’s ONE Record standard offers a way out of this cycle. It replaces fragmented, message-based exchanges with a single, standardized data model that connects every stakeholder in real time. Missing fields, inconsistent updates, and reliance on electronic AWB (eAWB) tracking could finally become issues of the past.

Several pilot programs are already proving ONE Record’s potential – bringing transparency, traceability, and trust back to the entire data chain.

Not long ago, the transition from manual Air Waybills (AWBs) to electronic AWBs (eAWBs) faced strong resistance in many markets. Some airlines enforced compliance through penalties, while others incentivized early adopters with financial rewards. Over time, the industry adapted and benefited.

Today, the industry faces a similar turning point. ONE Record has the potential to redefine how information moves through the supply chain. But adoption will only succeed if freight forwarders are included as full partners, not afterthoughts.

After all, forwarders are often the ones representing the industry’s face to global manufacturers and shippers. Their ability to provide credible, consistent data is essential to maintaining trust and competitiveness.

Adoption will require investment, collaboration, and a cultural shift towards transparency. Yet the payoff (real visibility, accurate benchmarking, and stronger customer confidence) will far outweigh the cost.

The question is no longer if this transformation will happen, but how ready the industry is to move beyond traditional EDI and fully embrace a data-driven future where every link in the air cargo chain is connected.