Benefits and challenges of relying on Regulated Agent for air cargo screening: a case study
Raut, Kanchan (2025)
Raut, Kanchan
2025
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Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:amk-2025121737441
https://urn.fi/URN:NBN:fi:amk-2025121737441
Tiivistelmä
The rising demand for global air freight necessitates a critical balance between supply chain efficiency and robust security compliance. This study provides a clear picture of the Regulated Agent (RA), which delegates air cargo screening authority from national regulators to certified logistics providers, which is a pivotal strategy to achieve this balance. A qualitative research approach was employed, utilizing semi-structured interviews from the company’s case employees.
This thesis presents a comprehensive analysis of the process related to air cargo security screening in the context of a freight forwarding company in Finland, following its recent merger. The study focuses on the role of Regulated Agent (RA), which are mandated under the European Union aviation security framework to perform air cargo screening for exports.
The findings indicate that external RA offers clear operational benefits, including cost efficiency, flexibility, and reduced administrative and regulatory burden. However, several challenges were identified, including screening limitations due to stricter regulatory changes. Also, the result shows that the merger has compelled the company to reassess its current screening strategy, as the existing approach will no longer be sufficient once cargo volumes increase. The integration of the newly acquired company also requires strategic adjustments, including the utilization of its infrastructure and resources to ensure operational continuity and efficiency.
The study concludes that while external RAs remain effective in the current state, post-merger operations would benefit from multiple strategic options, including utilizing the company’s warehouse infrastructure while using RA for specific cargo types.
This thesis presents a comprehensive analysis of the process related to air cargo security screening in the context of a freight forwarding company in Finland, following its recent merger. The study focuses on the role of Regulated Agent (RA), which are mandated under the European Union aviation security framework to perform air cargo screening for exports.
The findings indicate that external RA offers clear operational benefits, including cost efficiency, flexibility, and reduced administrative and regulatory burden. However, several challenges were identified, including screening limitations due to stricter regulatory changes. Also, the result shows that the merger has compelled the company to reassess its current screening strategy, as the existing approach will no longer be sufficient once cargo volumes increase. The integration of the newly acquired company also requires strategic adjustments, including the utilization of its infrastructure and resources to ensure operational continuity and efficiency.
The study concludes that while external RAs remain effective in the current state, post-merger operations would benefit from multiple strategic options, including utilizing the company’s warehouse infrastructure while using RA for specific cargo types.