Digitalization presents regions such as the Middle East the opportunity to leapfrog over manufacturing strongholds into pole position in the age of Industry 4.0. Connected traveller; smart airport; self-service airport; in-terminal location-based services; management process visualisation; and collaborative decision making have all become commonplace terms in the aviation industry. Cameron has a BSc (Hons) & MEngSc in Project Management from the UNSW, Australia. Overview of the airport construction industry. In May, Air Canada and the ULD company Unilode Aviation Solutions extended their ULD management solution which also includes digital solutions. Technology created a monster: high customer expectations. in Airline Leader, issue 37, Nov-Dec 2016: “Disruption in the airline industry: It is coming, faster and bigger than you think” Removal of the restrictions would allow meaningful cross border mergers and acquisitions on a global basis and lead to signiﬁcant beneﬁts to the airline industry… Today also there is a lot of manual intervention between these parties to make sure that the airlines get all its work done by the ground handler. Air cargo stakeholders are more than ever excited to embrace digital solutions. Ashok Rajan, senior vice president and head, Cargo & Logistics Solutions, IBS Software said “We in IBS Software are trying to widen our partner ecosystem. Learn more. 30 types of documents and 124 copies of paper have to move along with an air cargo shipment that starts from its shipper to the consignee. Rapidly changing purchasing behavior by customers, the evolving E-Commerce industry and digitalization are disrupting traditional revenue streams and business models of airports and airlines. In April 2020, AirAsia’s cargo arm Teleport launched Freightchain, the world’s first e-booking platform powered by blockchain. Businesses have been mostly keen to shift online and use digital marketing tools such as websites, emails and social media to communicate and manage customer relations. This should have a positive impact on the economy, but is the aviation industry prepared for such a boom? COVID-19 impact; We offer; Search; Digitalisation and information management Supporting quality data exchanges for high-performance aviation. But the offices of these chambers are not working now,” he added. Asia, led by India, is witnessing very significant and quick growth. One big digital ecosystemThe crisis is asking for all stakeholders to come together and work collaboratively. The airline industry is using the current digital environment to experiment with cutting-edge technology to enhance the customer experience. The platform helps on-demand bookings in real-time through submitted bids and then validates them using blockchain algorithms. © Copyright 2020 Smiths Detection Group Ltd. A Part of Smiths Group plc. The software company DAKOSY expanded its air cargo portal INFr8 into android and iOS mobile devices in April. Meanwhile, the digital solution providers came out with new software, redesigned current platforms and on-ground collaboration. According to the company, though the plan to introduce the Canadian dollar was an earlier plan, it had to fast track it due to the Covid-19 pandemic. The digital evolution of airports, airlines and other stakeholders in the travel industry; Why digitalization of the airport industry has become unavoidable; AOE’s OM³ Solution will change how the aviation industry does business; AOE and Fraport win Award for Best … Covid-19 has only reinforced the need to be resilient and agile. Learn more. The new solution is one of the small modules separated from the company’s bigger air cargo community system. The path leading to the industry’s recovery – amid speculation on the return of passenger demand, fleet adjustments, and airline restructurings – is guaranteed to involve multiple factors acting towards a once again stable environment. Need for a Strong Omnichannel Marketing Strategy. “Digitalisation was already a necessity for the air cargo industry but it has become a must due to Covid,” he said. Airlines are rapidly reinventing the passenger experience with contactless journeys focused on traveler health and safety to make customers feel comfortable flying again (Exhibit 3). Regarding how community systems could mitigate the effects of lockdown he said “The airports with our next generation community systems were able to operate virtually, with very less direct human interaction, and in effect more efficiently. Delta is focused on operational reliability and providing products and services that are focused on our customers. We now talk about the “connected traveller”; the “smart airport”; the “self-service airport”; the potential for in-terminal “location-based services”; management “process visualisation”; and … Today however, with non-aeronautical revenues becoming a driving force and passengers an increasingly important customer segment, airport digital marketing is growing more sophisticated. Incorporated in England No. Henk Mulder, head, digital cargo, International Air Transport Association (IATA) said “The most important tool that has allowed the air cargo community going is without question, the full digitalization of the workplace. Digitalization determines the future of the economy and society. For example, the certificate of origin is a document required to move an air freight consignment and people have to physically reach out to the chamber of commerce to get it done. (See Exhibit 1.) We focus on the processes that can bring the highest return on investment in each case. It has already started a few years ago and the last two years saw bigger steps and quicker progress in this direction. The airline industry needs to understand the tectonic changes that transform each and every industry. What projects are Delta cargo working on that will support industry digitalisation? there are different options airlines can start with, such as modernizing current products and services with digital functions or integrating additional digital solutions into the existing portfolio. From industry to logistics and energy, the digital transformation is a reality in every sector. “In January we launched a new service, EPIC (Enhances Partner Identification and Connectivity), to manage system connectivity between air cargo stakeholders. “Tracking the progress towards unlocking the value in digitalisation is … The report captures the views of over 40 industry leaders across the leasing, airline and banking markets and includes the views of the rating agencies and analysts covering the sector. In 1995, Lufthansa outsourced its IT department to its newly founded subsidiary, which has experienced a remarkable development in recent years. The ability to telework from one day to the next with access to all data resources and the effective use of team collaboration tools has demonstrated the high degree of digitalization that has already taken place.”. In fact, by 2028 it is predicted that upwards of 38,000 aircraft will be in service, a vast increase from the 26,000 being used today. In our view, Industry 4.0, or digitalisation, means making work easier for … Aerospace leaders and airline executives from around the world gathered to discuss the future of aviation, and 537 people took part in a poll about the COVID-19 recovery. All of these terms relate to the ongoing digital transformation of airports which is not really a new trend but something which has been evolving for decades. Beyond these hubs, however, the path towards digitalisation is being beaten at a markedly slower pace, says Martin Mommersteeg, founder of Netherlands-based supply chain and operations specialist M3 Consultancy. Mulder of IATA said “In what is proving to be the biggest economic crisis in aviation since the second world war, many transport companies and their partners are forced to cut back as a matter of survival. If the slow pace of adoption and reluctance among stakeholders to jump in was the talk before, the pandemic is changing this. So we have broken down the system into smaller modules to help different stakeholders to interact digitally for separate operations. This digitalisation process is expected to unlock the performance expectations envisaged in the SESAR Concept of Operations (CONOPS), thus creating the Digital European Sky, advocated by the whole European aviation industry and depicted in European ATM Master Plan, the Airspace Architecture Study and the Wise Person Group recommendations. As in aviation, unmanned operation of ships is altogether feasible. In the wake of this crisis, the company gave free access for all IATA accredited freight forwarders to its eBooking platform. Airlines do not need to reinvent digitalization; they should rather secure the help of competent, innovative partners to implement the innovations made Digital service providers are reporting an unprecedented jump in traffic and demand while sales are happening in the record time frame. To support that, Delta Cargo opened the Cargo Control Centre last year. While it’s difficult to say what that will mean and how long it might take, it is likely that digitalisation, focused on facilitating greater efficiency and automation of production, will drive aviation’s return to profitable growth. This complementary approach is likely to continue in airports where the priority is passenger experience rather than process efficiency. Airline industry cybersecurity - map your customer journey, incorporate passwordless registration, and profile enrichment to create a more enjoyable and secure UX. But … Before you continue, download the … But the most unintended help came from the digital technology that enabled the industry to not only to keep social distancing but also to move the air freight more efficiently. “Electronic documents like the e-AWB have turned out to have an unintended benefit: the absence of the need to physically touch paper documents that have been touched by others recently. From flag carriers to LCCs, from the new breed of regional airlines to long-haul specialists, the airline digital transformation opportunity is being grabbed with both hands. Diego Poza Head of Content. Now, if you are flying with different members of the world’s largest airline alliance, data you provide other airlines can be shared. CAPA publishes more than 400 global News Briefs every weekday, covering all aspects of the aviation and travel industry. The air cargo community is facing several challenges including the reduced capacity, a sudden demand surge particularly for medical supplies, absence of onsite manpower and climbing freight rates. This requires the physical presence of these teams, which can be up to 100 employees in some cases. Carriers the world over were making strides in realizing their digital transformation strategies, investing in cloud services, data centers, wireless onboard crew services, and automatic data management – key components in achieving digitalized airline operations. Learn more. The airline industry worldwide was heavily regulated (until about the end of the 1970s), preventing management to develop and implement traditional marketing strategies relating to, for example, price-service options. The airline noted that it has deliberately launched Freightchain within global supply chains during this period of uncertainty, which was caused the Covid-19 pandemic. But the IT solutions provider for the logistics industry, IBS software is looking into two levels of collaboration: both between the digital players and the air cargo stakeholders. Accelerating digital transformation in freight industry – the Covid-19 impact. Michael Morey, vice president, advanced cargo solutions, Cargocast said “RFID technology has reduced significantly in cost while improving accuracy and performance. Since the first automated baggage sorting systems appeared in the 1990s and the first e-ticket was issued in 1994 (see figure 1), it has affected both the passenger journey and internal processes (see figure 2). To prevent a complete stagnation in the activities of global air freight forwarding industry and support the continuity of the trade ecosystem, airline executives started utilizing passenger aircraft to maintain air freight forwarding operations. Cameron joined Smiths in 2003 serving in various sales and management roles leading market based teams across Asia Pacific from Singapore. Digitalisation is the answer for airlines The Internet of Things (IoT). Our GMAX portal has all these things articulated into a single platform. 1.2 In the civil aviation sector, as in other industrial sectors, paper-based processes have been progressively replaced by digital processes. In some cases, the focus is on managing the consolidation of shipments.”. In February 2020, Etihad Cargo partnered with WebCargo by Freightos to extend its digital reach. Accenture provides consulting services to travel, airline, & hospitality companies to outdo unprecedented competition in the new digital landscape. We are already very strong in Europe and are trying to reinforce our presence here. This puts the airline industry in a different position than more experimental markets like e-commerce or media. It is no longer acceptable to have a business plan in this industry which doesn't have a digital strategy at the heart of what they are doing. But just like business process re-engineering and offshoring before, it will require an investment for a payback.”. This is mainly due to their traditional B2B business model and heavy reliance on aeronautical revenues. Manuals are now available on computers and electronic flight bags, control towers are becoming stripless, and most of the aerona- utical information is exchanged through digital databases. With end-to-end digital know-how to improve performance, Siemens is helping aircraft parts manufacturer Strata to 3D-print the first aircraft components for Etihad Airways, UAE’s national airline. Most airline apps offer the same basic functions, including check-in and push notifications for gate changes; some have advanced ones, such as a status-on-standby list and the ability to rebook cancelled flights. Soon the cargo network of Air Canada will be managed by this digital solution. Camilo Garcia Cervera, global VP Business Development, WebCargo said “This is a perfect storm with reduced capacity, sudden demand increase particularly in certain trade lanes and lack of onsite manpower. Altogether these changes demanded digital solutions for this industry to move forward. Community systems and new modulesIn May 2020, the digital tech provider to air cargo Kale Logistics Solutions introduced ‘Ping’, a document processing solution for ground handling agents (GHAs) and freight forwarders. Digitalisation and the continued expansion of its partnership programme are two key priorities for Cathay Pacific’s new head of cargo. Exhibit 3. Airline Digital Transformation is revolutionizing the aviation industry. Challenges of Digitalisation in the Aerospace and Aviation Sectors Kirsten Lamb, CDBB Introduction Building on the challenges highlighted in Report 2.1, this report describes digital transformation in aerospace and aviation, and identifies some challenges that are likely to have parallels with the architecture, engineering and construction (AEC) sector. Pricing, capacity and e-bookingDigitization hasn't started two months ago. How digital innovation is engaging audiences and improving customer experience in the airline / aviation sector. The passenger’s buying behavior has fundamentally changed. In September 2010 Cameron became Managing Director of Australia and New Zealand and Director of Product Management based in Sydney leading the ANZ business and product development for the Integrated Systems product line. Speaking to the airline’s Cargo Clan publication, Cathay Pacific’s new head of cargo Tom Owen outlined how he saw the cargo business progressing. “Our platform ‘Cargo Virtual Connect’ has tried to make this one seamless transaction across players and systems through exchanging instructions and responses digitally. In recent years we have seen an impressive wave of digital innovations across the sector. In an industry where the business environment has turned on its head and become a supply-constrained environment, our AI/ML-enabled revenue management solution is helping airlines make the best decisions on pricing and selling.” he added. The impact of digital transformation on airport processes, business models and passenger experience. The software also enables the people to process these requirements 24/7, particularly during Saturdays and Sundays,” he added. Airlines, freight forwarders, airports and ground handlers are playing their part in innovating and finding solutions. The most important trend is the “self-service” airport concept, which is concerned with the digitisation of every touch point on the kerb to gate passenger journey. They have reported increasing demand and traffic in their platforms while sales are getting completed in record time. This was followed by mobile phone applications with or without interactivity and presence across the social media channels. Digitalisation and virtualisation are strategic cross-sectoral topics at DLR. It turned out that publishing contact and connectivity details, and access them of your partners is a highly important service, in particular when the supply chain is disrupted and needs to adapt and when digital communication is fast and safe,” he continued. But until airlines rid themselves of paper, decades-old problems will continue. Airport digitisation started with the emergence of digital marketing and the development of airport websites and e-commerce platforms. The retail industry followed. Digitalization’s Endless Possibilities for the Aviation Industry. The air cargo industry is no exception. “It is now also a must for airlines and freight forwarders in order to improve efficiency and in turn to reduce costs and to increase revenue.” We are partnering with digital players in the sales channel and cargo payments space to integrate and add value to the customer. When looking at the overall rate of digitisation adoption, airports are considered laggards compared to other industries. Figure 3: Examples of Smart Airport Applications. ... (IATA), leaves the airline industry … What’s the current impact of Covid-19 on air logistics for life sciences and med-tech industries? The impact of digital transformation on airport processes, business models and passenger experience. Since digitalization has been the main impetus for rethinking their future strategies, organizations need to look across industries and evaluate their services in terms of the broader business landscape. These tools have gradually become more sophisticated, allowing interaction with the general public and no longer confined to one-way communications. Overall, the infusion of digital technologies in aviation management and airport operations has had a positive impact for all stakeholders by supporting: It is now widely accepted as a disruptive force which changes management mind sets, business processes and business models, but what do we mean by digital transformation? Airlines need to be able to create digital networks, drive business transformation through digitization in areas of revenue management, enhancing ancillary revenues by enriched customer experience, reducing cost through data analytics, reduce overheads, increase efficacy of marketing spends & increase transactional accuracy by process automation and effective financial reporting. The world is in a virtual war against the Covid-19 pandemic. ONE Aviation uses Siemens software to help break the economic, regulatory and learning barriers in the general aviation industry. Airline Industry Taking off with Digitization Airline Industry Taking off with Digitization Airline Industry Taking Off With Digitization. “Since the lockdown, we are receiving requests from ground handlers, airlines, airports and charter operators to transform their operations into the digital arena due to reinforced need of digital solutions. Airlines is only one part of the whole travel ecosystem. Hamad International Airport offers location-based promotions to passengers walking through the terminal), overall improvement in the passenger experience. When it comes to the airline industry, it seems to be clear that taking a holistic view on customers becomes a must. The dichotomy of the African continent is more pronounced with the contradiction in that while telephony penetration is at a very high level, access to the internet per capita is at the lowest level. La digitalisation a changé la perception du travail, les attitudes des consommateurs, les réalités des marchés et même les textes des lois et des normes. Digitalization held center stage in the aviation industry’s collective consciousness before the shock of COVID-19. Electronic documents don’t have this issue, said Mulder. The way aheadThe air freight industry still has great opportunities to digitise the processes, procedures and how shippers, freight forwarders and airlines interact. For instance, Air New Zealand has explored mixed reality, as well as simultaneous translation for its multilingual customer base using Google Pixel Buds. Increased digitalisation critical to rebuilding passenger confidence That’s according to our comprehensive Passenger Confidence Tracker, a survey that reflects the views and attitudes of flyers from across the globe. It has become important for the forwarders to understand the pricing in a very lively manner. Virtually all industries are now affected by the different fields of digitalization and digital transformation. Digital transformation of airports is intensifying and manifested by digitisation, connectivity and big data trends. The day after: how collaboration can prepare us for the impact after Covid-19 short and mid terms. He also holds an MSc from Cranfield University, UK. In May 2020, Kale Logistics introduced 'PING', a new document processing solution for GHAs and ground handlers. It is important to note that the “Self-service Airport” is part of the wider “Smart Airport” concept, which looks at the impact of digital technologies on all internal and passenger-related processes in the airport environment. All Rights Reserved. Trends, Digitalisation 02.01.2018. Tracking & visibility with RFIDThe biggest challenge for forwarders and ground handlers at the moment is the amount of urgent freight being tendered and the lack of capacity to move it as quickly as needed. Besides, ongoing processes, the dashboard shows the logistical and technical milestones accomplished, as well as notifications that inform users about rejected electronic dangerous goods declarations (eDGDs). Economic Performance of the Airline Industry Key Points • Global GDP growth is expected to improve moderately next year with the support of accommodative monetary and fiscal policies. By Svend Holme Sørensen, GateHouse SatCom & Klaus Lambertz, Verifysoft on November 24, 2020 Opinion. Pax-to-cargo solution allows to increase the area for cargo carriage by loading it on the passenger seats or by removing passenger seats. The company deemed it was not “commercially or environmentally justifiable” to operate such a … Should Embark on Digitalization Higher Customer Expectations. “The WebCargo platform offers instant capacity availability and pricing of all 14 airlines. Digitalization and Industry 4.0 in the Aviation Industry (first abstract of a publication to be presented in early 2017) The digital revolution in this industry really begins from the end customer’s perspective! A company needs its own digitalization strategy to advance its digital transformation. While the virus is posing new challenges every day, the human race is engaged in finding solutions and innovating to fight it. Accenture provides consulting services to travel, airline, & hospitality companies to outdo unprecedented competition in the new digital landscape. Lufthansa Systems today announced the migration of Eurowings, a longstanding Lido Flight 4D customer, to the cloud delivery platform Global Aviation Cloud. Over the past 10 years, a number of business terms have come into common usage in the aviation industry. Widely accepted as a disruptive force which changes management mind sets, business processes and business models, digital transformation has been evolving for decades – ever since the first automated baggage sorting systems appeared in the 1990s and the first e-ticket was issued in 1994. Digitalisation of the aviation industry calls for increased testing 0. According to recent research by Frost & Sullivan, digital transformation programs in the airline industry could generate an incremental value of $5-$10 for every passenger, annually. With Industry 4.0 you have to ask yourself: “Is there a smart way of linking my data to improve the manufacturing process?” And this in turn only makes sense if the processes behind it are integrated as well. Aviation Industry is undergoing a revolutionary transformation with technological innovations propelling virtual reality to actual futuristic experiences. Airlines aren’t protected: travel start-ups, with $5.5 billion in venture-capital funding last year—up from $0.5 billion in 2010 1 —hope to succeed with innovative solutions focused on distribution and customization. Yet incumbents too can capture significant value from digitization. They will conclude that digitalization is not just a more efficient way of doing business; it is also the only way to reduce manual processing of information. In was the talk before, the various lockdowns and new social distancing have. 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