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NEWS Last modified on June 18, 2014

Airlines investing in smart technologies, SITA IT study finds

Airlines are investing in smart technologies to manage flight disruptions better, according to the SITA Airline IT Trends Survey.

The survey, launched today in Brussels at the SITA Air Transport IT Summit, reports by 2017, 90% of airlines plan to use business intelligence solutions to manage flight disruptions more effectively and efficiently.

The report also claims that 87% plan to use self-service technologies to improve passenger services during periods of disruption.

SITA found that flight disruptions, or irregular operations (IROPs), affect airlines, passengers and the entire economic eco-system surrounding the industry.

The majority of flight delays caused by unavoidable weather, such as extreme rain or snow storms, and airlines continually strive to find the best way to manage disruption, and this year’s survey found how they plan to invest in smart technology to do so.

 

Francesco Violante, CEO, SITA, explains: “The survey results show three quarters of airlines are increasing their investment in new technology initiatives to manage their business. Innovation is absolutely vital in any business.

"In the past decade, airlines have achieved great success using technology to improve the passenger experience, and this year’s survey shows a new focus in the area of disruption management.

“Airlines are investing in business intelligence, self-service for passengers during disruption, and of course the expansion of mobile services. The aim is that when incidents happen the industry will be better prepared to minimize disruption.

“The fact that airlines are focusing on this very difficult area is a healthy indicator of the desire to deliver a better passenger experience while improving airline efficiencies.”

The survey examined four main areas of disruption management: communications, passenger recovery or re-bookings, staff awareness and prevention, and found airlines across the world plan to invest in each of these areas, while the initial focus is on real-time communication to passengers and between stakeholders.

Informing passengers of disruptions in real-time via mobile is now offered by just over half of the airlines surveyed, SITA says, while 92% plan to do so by 2017.

In addition, more than one third of airlines currently use social media to keep passengers informed, and 80% plan to do so by 2017.

The report also found carriers are focusing on IT to provide more efficient recovery from disruption to improve the passenger experience, and self-service re-booking is a key area of investment.

It says few airlines have this in place at the moment but show ‘strong ambitions’, and currently, just 14% of airlines let passengers use kiosks to manage their flight changes caused by disruption,which is set to ‘rocket’ to 63% by 2017.

By then, the report found 73% also plan to offer this service on mobiles, a rise from 11% today.

In the area of prevention, 90% of airlines plan to have business intelligence initiatives in place by 2017 to help manage disruptions, with 51% having integrated systems to predict potential disruptions and impact before they happen.

The survey reports that 75% of airlines expect to increase their spending on new IT initiatives this year, with major new investments aimed at boosting self-service for passengers, as well as leveraging the mobile devices they carry.

These airlines are looking to get ahead of the competition by using technology to improve efficiency, operations and passenger services.

The Airline IT Trends Survey is an independent poll of senior IT personnel working within the top 200 passenger carriers, and this year's respondents carried more than 50% of the world passenger traffic.

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