Archive for the 'IATA' Category

Best Of AirlineWorld 2007

This is the last day of the year. As billions of people around the world, we also took a look back to what happened in the old year and made some New Year’s Resolutions.

For us 2007 was not a full year as we started our blog in June. It was a nice calm Sunday and Szafi wrote her first post about the Radio Alphabet – a useful tool not just for aviation fans. Balint01 joined her on the 7th with his first post about “Fuller Planes – Good Or Bad?” – a brief explanation of revenue and capacity management of airlines.

A380 

A380 was one of our main topics this year. We could see the a video of an imaginery evacuation of an A380, we reported on that quite unusual initiation that Singapore Airlines sold the first tickets to the A380 on e-Bay and gave the money (USD 1,25 million) for charity. We tried to find out more about the possible cabin configurations and then we reported on the first delivery.

Boeing 787

Boeing 787, the Dreamliner was our other favorite topic. We wrote about it when it was revealed, we put it in our blog header, we reported on the first announcement of delay that predicted 2 months. Now it seems that a 6-month delay is more realistic.

Developments 

Besides A380 and B787 we saw the birth of a Russian jet called Sukhoi Superjet and a Chinese one called ARJ21-700. We kept track of technology trends in aviation. We wrote an article about RFID usage at airlines and airports, about e-ticketing, a new online payment method at Qantas, a weightless flight, a solar powered, unmanned aircraft. Also we were interested in service developments such as the new Virgin Atlantic Clubhouse at London Heathrow Airport, Lufthansa’s new A380 First Class Concept, Boeing’s 747 development to keep up with A380,

Crashes 

Unfortunately again some serious accidents happened. We saw around 200 people dying in a very tragical crash in Sao Paulo, brazil. 19 people died in an accident of Air Moorea on the way to Tahiti. When China Airline’ 737 burst into fire and blew up, everybody could escape in time thanks to the flight crew, who was criticized for being rude – we thought it was better being rude than being inactive. Later it turned out that a loose bolt caused the fire. There was a sad collision of two planes at an Air Show in Radom, Poland. SAS Airlineshad a bad series of crash landings – without serious injuries – of its Dash 8 turboprop planes. Finally they decided on grounding all their Dash 8 fleet. 87 died in One-Two-Go Airlines crash in Phuket, Thailand. A few days later rallye driver champion Colin McRae died in a helicopter crash over Scotland. The most commented article was the weird accident of an Airbus A340 on the ground of the Airbus factory during testing. The last serious accident of the year was an MD-83 crash in Turkey killing 56.

Photo reports 

We received a lot of photos from our friends and airline enthusiasts, so we could show a photo report of a Royal Aircraft in Budapest, Red Bull Air Race in Budapest, an Air Show in Kecskemet and the A340 Airbus crash at the Toulouse Airbus factory.

Innovations 

We criticized airlines and other players of the industry about wrong steps and we were happy to present good initiations of other players. We found KLM’s promotion: a gift of a costmetics set for online bookers a very smart and useful initiation. We loved Iberia’s enviroment-friendly attitude with naming their new aircrafts Royal Owl, Imperial Eagle and other endangered species. We could read funny comments about an interesting topic: Vatican’s Air Mistral. IATA’s initiation of a greener aviation industry was also worth a post.

Sex and rock and roll 

And finally we tried to entertain those not interested in professional matters of the airline business with articles like Sex in an airplane, Sexy stewardess uniforms – with special attention to the self-designed uniform of Easyjet, Superstar pilots, Special aircraft paintings and we learned about where lost luggage end up going.

We also lost a very key figure of the European airline indusry. Tony Ryan, the founder of Ryanair died on 03 October at the age of 71. Net year we will definately write an article about him, because only a few know about his role in today’s aviation business.

And what is our New Year’s resolution? Well, we’ll do our best to entertain you and draw your attention to the magic world of airlines we so much love.

We both wish you a very happy, successful new year and please keep on reading us! 🙂

By Szafi and balint01
Advertisements

Paper-free Air Cargo

IATA is working with seven key cargo airlines – Air Canada, British Airways, Cathay Pacific, KLM, Martinair, SAS and Singapore Airlines – freight forwarders (DHL Global Forwarding, Panalpina, Kuehne+Nagel, Schenker, TMI Group-Roadair, Jetspeed) and ground handling agents kick-started the move to a paper-free air cargo environment with the launch of six e-freight pilot projects. Starting today, cargo on key trade routes connecting Canada, Hong Kong, the Netherlands, Singapore, Sweden and the U.K will be processed electronically.

DHL image photo

“The paper-free era for air freight begins today,” said Giovanni Bisignani, Director General & CEO of IATA. “This first wave of pilots will pave the way for a global rollout of e-freight that will eliminate the paper that costs this industry $1.2 billion every year. Combined, these documents could fill 39 B747 cargo freighters each year making e-freight—a win for the business and for the environment.”

“E-freight is a revolution for an industry that is absolutely critical to modern life. For airlines it is a US$55 billion business that generates 12% of their revenues. More broadly air cargo transports 35% of the total value of goods traded across borders. The potential impact of greater efficiency in air cargo has very broad implications across the global economy,” said Bisignani.
E-freight pilots will systematically test for the first time common standards, processes, procedures and systems designed to replace paper documents that typically accompany air freight with electronic information. During the initial phase, selected shipments will travel without a number of key documents that make up the majority of the paperwork, including the house and master air waybills.  Results from the pilots will be used to expand e-freight to other territories.

IATA e-freight requires that business, technical and legal frameworks are in place to allow airlines, freight forwarders, customs administrations and governments to seamlessly exchange electronic information and e-documents.  The six pilot locations were selected based on their ability to meet these criteria along with offering network connectivity and sufficient cargo volumes.

At each location cargo experts from participating airlines, freight forwarders, ground handling agents, local customs administrations and airport authorities worked together closely over the past 10 months to prepare the pilots.
“High oil prices and cumbersome processing requirements are handicapping air transport’s competitiveness with sea shipping,” said Bisignani. “Sea shipping is expected to grow at 6% annually over the next five years, compared to 4.8% for air cargo. E-freight makes a four-decade leap, bringing strengthened competitiveness by cutting costs and improving transparency and consistency throughout the supply chain. This good news for the customer will help shore-up air transport’s competitiveness with sea shipping and other modes of transport.”

E-freight is one of five Simplifying the Business projects being led by IATA to improve service and cut costs. The industry has set a deadline of the end of 2010 for the implementation of e-freight wherever feasible.

Source: IATA.org

IATA Urges for a Greener Globe

Cannes – The International Air Transport Association (IATA) challenged governments to put aside politics and join industry in delivering real results to further improve air transport’s good environmental performance. The challenge was delivered by IATA’s Director General and CEO, Giovanni Bisignani at the World Air Transport Forum in Cannes, which is focused on sustainable development.

“Airlines are leading the debate on environment with a vision to become carbon neutral in the medium-term and zero carbon emissions in the long term. We are setting the benchmark on environmental performance for other industries to follow,” said Bisignani.

IATA’s 240 member airlines agreed a four-pillar strategy on climate change:

1. Invest in new technology
2. Build and use efficient infrastructure
3. Operate planes effectively and
4. Consider positive economic measures while working with  governments to define an emissions trading scheme that is fair, global and voluntary.

“The strategy is not just words. We have delivered real results,” said Bisignani. In 2006, IATA’s fuel campaign saved six million tonnes of CO2 by shortening 350 routes; eight million tonnes of CO2 by working with airlines on best practice in fuel management; and one million tonnes of CO2 through better operational procedures.

“We cannot do it all on our own – governments must be involved,” said Bisignani. All 179 states attending the recent triennial Assembly of the International Civil Aviation Organization endorsed the IATA four-pillar strategy, including a  target to improve fuel efficiency 25% by 2020.

“Our biggest disappointment was with the European States. They are taking a completely political and totally irresponsible approach by unilaterally pursuing emissions trading rather than taking a global approach. This will cause diplomatic trade battles, but will do nothing for the environment,” said Bisignani.

Specifically, Bisignani criticised Europe for the 12 million tonnes of CO2 wasted each year from the inefficiency of its air traffic management system, comprising 34 air navigation service providers. “Europe has been discussing a Single European Sky for 15 years, wasting a lot of hot air in discussions, with no action. On the environment it is acting like a hypocrite: charging for airline emissions without fixing the mess in its own air traffic management.”

Source: iata.com

Amadeus And Sabre Launch Moneydirect

As Airlineworld has reported earlier, Amadeus and Sabre plan a joint venture to provide secure payment clearing and reconciliation service for non-air travel sales. Yesterday the two GDS (Global Distribution System) providers revealed some details about this new entity. In our previous article we have mentioned that the new joint venture required an antitrust approval from the European Commission, which they have received on 12SEP2007. The new solution called Moneydirect is based on an Amadeus product launched in Australia and New Zealand in 1998 already. It will focus on hotels, cruise lines, tour operators, car rental companies, ferries, railways, and travel intermediaries such as travel agencies and wholesalers.

James Filsinger, chief executive officer and general manager of Moneydirect, said operations, which are currently hosted in Australia, will move to Ireland, with subsidiary offices in Australia and the U.S. He said travel agencies can use Moneydirect to pass payments onto suppliers minus their commissions. They also can use it to schedule several payments to cruise and tour companies in installments.

Moneydirect logo

 

Moneydirect also will address currency issues, he said. For example, a U.S. travel agent who books a hotel in Australia might get a $10 check issued in Australian dollars 90 days later. Moneydirect will enable the hotel to transfer the amount immediately directly into the agency’s bank account. “Payment can go in either direction,” Filsinger said. “If a hotel company manages hotel commissions directly, it can use Moneydirect to pay agencies.”

He said the platform is flexible enough to handle transactions in which the agent has a net rate and can retain the markup when the customer’s credit card is charged the full price for a travel component. Any size agency, hotel or other travel company can use the product, he said. “Even a small company that provides scuba tours can use it, so it may open the door to some new content that wasn’t already available before,” he said.

Filsinger said the fee structure has not yet been finalized but will be transaction-based. “We have a fee model that ranges from 10 to 20 cents, depending on the type of transaction,” he said. Moneydirect will be GDS-independent, he said. The joint venture is looking at ways in which it can communicate with agencies’ back-office systems in an efficient manner.

In granted approval to the joint venture, the EC said it concluded that “the transaction would not significantly impede effective competition in the European Economic Area or any substantial part of it. . .. There would be no horizontal or vertical overlaps between the activities of Moneydirect and its parent companies.”

The EC added that “this business is not closely related to the parties’ GDS business” and Amadeus and Sabre “have put in place structures to limit the information flows between Moneydirect and its parent companies.”

So Amadeus and Sabre has started on the road to provide an IATA BSP type of solution for travel agencies using their systems. The IATA BSP provides the same service of a general clearing house, but only in relation to air travel – between IATA member airlines and IATA member travel agencies selling those airlines’ tickets. Now the agencies (using Amadeus and Sabre reservation systems) will be able to take usage of similar services in relation with the other travel related content which they offer to their customers – their life will indeed be made much easier. Looking forward what will be the next cooperation between Amadeus and Sabre!

by balint01 (based on ATW News)

Greener Airlines – Less CO2, Better Environment

Following an initiation of IATA and its member airlines a website has been created to educate people about aviation’s effects on the environment and to communicate the efforts and results that airlines achieve to reduce emission and help nature in recovering.

The motto of the website is Clearer vision, cleaner skies. It says efficiency comes not only from less fuel consuming aircrafts, but also from more efficient operations. Less fuel usage can be saved:

  • By shortening air routes (flying more directly between 2 destination
  • By more precisely planning navigation (circling less above a city)
  • By reducing weight of aircrafts (better organized load planning)

In 2006 only 6 million tonnes of fuel was saved. However there are still ways to improve. The website presents case studies from the industry hat show how emission can be reduced. In the “Did you know?” section we can read questions people asked from aviation experts and of course we can see their answers as well. Also we can read simple facts and figures collected about the airline industry and if we still haven’t found what we were looking for, we can ask questions from the experts taking part in this project.

Screenshot of the website enviro.aero

The best part of the website is the “Flying Experience” menu, which is a small, attractive application that explains the posibilites aviation industry can do in order to preserve nature. It takes us through the process of flying from getting prepared to arriving at the destination using nice graphics, so it is understandable for even children, therefore it can be used even to teach children about the idea at an early age.

I personally really like this initiation and we will carry on writing about such achievements and about airlines that take any kind of steps in order to keep our planet alive.

By Szafi 

100% E-Ticketing: IATA Places Last Order For Paper Tickets

On 27AUG2007, IATA has placed its last order for paper ticket stocks to be used by its associated travel agencies before the 31MAY2008 deadline for 100% Electronic Ticketing. This means that IATA will only support Electronic Tickets starting 01JUN2008, paper tickets will become collectors’ items!

TAT Type Paper Ticket

The final order was for approximately 16.5 million paper tickets to be supplied by seven specialised printers which are to be distributed among and used by some 60.000 accredited travel agencies in 162 markets worldwide. IATA’s settlement systems issue over 400 million ticket annually. The elimination of paper tickets would not only cut airlines’ costs by USD$9 for every traveller (a total of USD$ 3 billion for the whole industry) but would also mean that air travel – criticized by environmentalists for its part in global warming – would save 50,000 mature trees a year, according to Giovanni Bisignani, director general of the International Air Transport Association (IATA). Non-IATA airlines, mainly low-cost carriers such as Ireland’s Ryanair and Britain’s easyJet, already have a paper-free ticket system where travelers are registered in computers and present only an identity document at check-in. Now with the pressure from IATA, the traditional carriers are moving in this direction as well.

An interesting statement from the airline body says that China, one of the fastest-growing markets for air travel and host to next year’s Olympic Games, is heading to be the first country in the world to operate an entirely paper-free ticketing system by the end of this year. Just like in many other fields, China has done a very impressive progress in this matter as well, because 3 years ago, when the 100% ET program of IATA was launched, there were no E-tickets issued in the most populated country in the world and now they are headed to be the first country to eliminate paper tickets, before the original deadline!

by balint01

100% E-Ticketing = 96.5% E-Ticketing!

As AirlineWorld had reported earlier, IATA has extended the deadline for 100% Electronic Ticketing. Not so long ago IATA has also admitted (which they probably knew all along the road) that pure 100% Electronic Ticketing (ET) will never be reachable for the whole market. Here is a quote from IATA (Bryan Wilson, ET Project Director in an ATW Webinar):

“We now understand the real target is 96.5%” *

* for IATA BSP’s (central clearing house solution for travel agents and airlines in most of the major IATA markets around the globe)

96.5% non-paper ticketing

Now the question is this: Where is that remaining 3.5% and how come it will remain Paper Ticketing?

First of all, about 20% of interline journeys (itineraries that involve more than one airline) will remain paper ticket based due to the interline ET agreement not being in place between the two involved airlines (this accounts for 2.4% of the total), about 1% of tickets will be paper tickets as per the choice of the travel agents, and about 0.1% will be accounted for airlines who choose not to introduce electronic ticketing at all. IATA says, this “remaining 3.5% will be satisfied by other means.” This “other means” would actually mean other, non-ET solutions, such as an agent issuing a paper MPD (Multi-Purpose Document), which then later is turned into a ticket by the airline, or some of the airlines deploying their own paper ticket stocks at agencies, who then issue paper tickets for that particular airline. (At the moment IATA centrally deploys the airline independant paper ticket stocks to their registered travel agencies worldwide, so this responsibility would be moved from IATA to the airline that chose not to move to 100% ET, at their own expenses.)

96.5% of airlines involved 

IATA has classified each member airline to a group (that is differentiated by a color) based on their plans/state of ET readiness. Out of 348 IATA member airlines that used the IATA BSP in May 2007:

  • Platinum (100% ET): 9 airlines
  • Green (own ET and interline ET enabled): 156 airlines
  • Yellow (own ET in BSP only – at the moment): 62 airlines
  • Orange (having a plan for ET, including 1st date of ET in BSP): 85 airlines
  • Red (no plan for ET yet): 0 airlines (so all members have expressed their plans by MAY07)
  • Purple (does not plan to implement ET at all): 33 airlines
  • Brown (will use another airline code to issue tickets): 3 airlines

This means 3 airlines will be “hidden” behind another carrier using the same airline code, so they will practically introduce ET, and will have some backoffice accounting work to do in-house. 33 airlines however (almost 10% of all member airlines!!) plan not to roll-out Electronic Ticketing at all! This is quite a surprising number at first glance, but in reality, these are mostly very small, charter airlines who do not sell their tickets via travel agencies and reservation systems, so they can have their own alternative ways to replace electronic tickets and they actually only account for about 0.1% of the total sales. But 321 airlines (89% of the member airlines) will fulfill the BSP (travel agency) enabled Electronic Ticketing requirement by the prolonged deadline of 31MAY2008!! This is a great achievement!

96.5% of all tickets sold at travel agencies

On the other hand, if we look at ticket volumes the situation slightly changes. As you would guess, if a large airline becomes ET enabled, and especially interline ET enabled (is able to sell ET’s that include another airline) with more and more partner airlines, the ticket volume percentage would jump much more! So by MAY2007 the global penetration of ET’s within the IATA BSP’s (travel agency sales) was already at 80.7%! IATA projects this number to grow to 92% by the end of the year. The difference from there to reach the above mentioned 96.5% means 18 million tickets!! Quite a lot if you try to imagine this many paper tickets physically – it would make a really huge pile of paper, even though these 18 million paper tickets only account for 4.5% of worldwide airline ticket sales! By thinking about this, it’s much easier to imagine that by stopping paper ticket issuance totally and moving to 100% ET really can save the worldwide airline industry about 3 billion USD annually. (Not to mention all the environmental impacts…)

96.5% in Interline Volumes

Based on the above numbers, IATA has decided to extend the deadline for the issuance of the last paper tickets at an IATA registered travel agency, due to the fact that it is believed some airlines would not be able to make it by the end of 2007 (the original deadline). Also the service providers are overloaded with interline ET connection requests, which they seem not to be able to handle before the year end. IATA foresees that by the end of 2007, some 2100 interline Agreements will be introduced, which would cover about 75% of all interline connections. In terms of ticket volumes, this means a higher percentage. To get to the desired level of 80% (which would mean 2300 agreements), many service providers and airlines would have to be involved at an increased pace, and the difference would actually be 2.3 million tickets!

by balint01


Blog calendar

August 2019
M T W T F S S
« Apr    
 1234
567891011
12131415161718
19202122232425
262728293031  

Archives

Advertisements