The Right Perspective

“Our Heads Are Round so our Thoughts Can Change Direction” [Francis Picabia]

inside-outNew Airport Insider recently published a blog by one of who they call the “Generation Y”, students, getting ready for the travel and aviation industry. What triggered my attention there was a very basic, though very common misperception, what I call “the inside-out-look”.

What’s wrong with that?

That is rather easy. If you provide flight services, you fly both directions. Worse, if you subsidize any airport, you likely do it to attract commerce to your region (tourism is commerce too). You likely don’t do it to make the people in your region to take their money elsewhere. As such, the focus of airports and politicians alike must be on the outside in, or as we say in the travel industry; the incoming.

In the example, which is very common, the French author considered “rail” a competitor to flight. Which is true on the inside-out-look, or outgoing, but it’s simply missing the point once you look outside-in.

crowdedtrainsAside of Germany, France and a handful other nations, train is usually no issue. Within these countries, train is very competitive on the local market, especially the high speed trains like French TGV or German ICE. But now I go abroad. Into another country. I go into any travel agency, even in France or Germany and ask for international travel. Give me a guess: How often will they offer you train, even i.e. Paris-Frankfurt? All they intuitively look for in phase 1 is “flight”. Is the city the client wants to connect to bookable on the GDS (Global Travel Booking System)? If not, the agent (hopefully without showing you) rolls the eyes, curses you and starts looking up how the f*** to get you to that godforsaken town you ask for…
noflights
Offline Airport

In short: If you have an airport “nearby” with scheduled services that link you into the global aviation networks on the GDSs (connections are important), you are visible. Else, you’re an annoyance. If there is an airport “nearby”, travelers may take train, bus, rental car or taxi for the remainder of the trip.

pickupLikely, not knowing the language, maybe not even the local alphabeth, it’s going to be a taxi or a car from a large (global) rental car company offering navigation system. Or a personal pickup…

Later, the train may become a competitor. But that’s another story. To trigger global commercial interest, an airport is a strategic answer.
But not just the airports, but also the connectivity by scheduled flights, which can be booked in the GDS, connecting the airport to the global aviation networks! Second lesson, most local-minded politicos miss to understand with their inside-out-look…

Food for Thought
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Check-in 2020

“Our Heads Are Round so our Thoughts Can Change Direction” [Francis Picabia]

Aside other sources, I copy the content of that news with kind approval of Momberger Airport Information:

Picture: Dailymail.co.uk
Picture: Dailymail.co.uk

Passengers travelling with British Airways through London Heathrow Airport Terminal 5 have begun to test the personalized digital bag tag being developed by the airline. Microsoft Employees have been chosen to take part in a month-long trial, using a specially adapted version of the British Airways app, to provide essential feedback that will help shape the final product. The digital bag tag, which contains all of a passenger’s baggage details, could eventually replace the need for a new paper tag for every flight. Comprehensive testing of the tag has already taken place to make sure that it works in a live airport environment and can stand up to the rigours of airport baggage systems and everyday travel. Customers on the trial will use a Nokia Lumia Windows smartphone to check in, chose their seat and obtain their mobile boarding pass. Each will be equipped with a specially adapted version of the British Airways app, which automatically updates the digital bag tag with a unique barcode, containing new flight details and an easy-to-see view of their bag’s destination – just by holding the mobile phone over it. They can then save time by quickly dropping their bag off at a dedicated bag drop desk, before going straight through security. The personalized digital bag tags have been specially developed by British Airways, in partnership with Densitron Displays, and Designworks Windsor. #963.AIT4

Image R.Kollau
Image R.Kollau

These news upset me as much as the one I read about Amadeus trying a bag tagging based on 3G-technology. Or Air France and other airlines introducing “home-print” bag tags.

As I mentioned two years ago in my little article about a possible check-in-scenario for 2015, I would see a far more reasonable approach (and easy/fast to bring to market) by the aviation industry to use established standards. Why do they use a QR-code with a modified layout? Anything to hide? Or simply to do it different? Which by the way equals “more expensive”, faulty and slow. And – worse of all: Incompatible like VHS and Betamax…

RFID: Q-Bag-Tag
RFID: Q-Bag-Tag

Why do they try to implement and sell expensive, non-industry-standard-compliant stuff here? Why not using existing and proven technologies like RFID or the newer (but to be standard) NFC? Why force me to use an “App” (and where can I get online when being abroad?) or even worse, an expensive 3G-Network technology?Which Network???

In addition to my (somewhat delayed) prediction about Check-in 2015, I’d also like to see a common free airport WiFi system; wherever an airport offers free WiFi, it’s a common log-in worldwide. Maybe even the same for inflight, just a quick cost note if not free. Or at least a common log-in-process. Enabling to register “globally” is an added value for the Jet Set. And would encourage safer WPA2-connections. “CDM” in action – across aviation industry stakeholders 😉

I’m allowed to dream, right?

Food for Thought
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Global Economic Centre of Gravity

“Our Heads Are Round so our Thoughts Can Change Direction” [Francis Picabia]

A Wake-Up Call

Frankfurt Airport at night
Frankfurt Airport at night

If you ask yourself, why Germany and Europe and their Aviation Industry stumbles behind on a global scale, ask our politicians! Ask them why new airports are being built in Turkey (+150 Mio. passengers) and Dubai (+160 Mio. passengers), triple the capacities of Frankfurt (56 Mio. passengers), more than double that of London-Heathrow (70 Mio. passengers). Each! More even than all London Airports together have – and they operate at their limits, new expansion stalled in bureaucracies. And ask them, why German Airlines go bankrupt (Augsburg Airways, Cirrus Airlines, Contact Air, OLT, …), struggle to survive (Lufthansa) or are already steered by Arabs (i.e. Air Berlin, Darwin Airline) … Our answers? “Air Passenger Duty“, night curfews, stop of 3rd runway in Munich (instead of Transrapid), Capital Airport disaster in Berlin, etc., etc.
There was a time, when German Lufthansa was the measure of all things. Without Lufthansa, i.e. the Boeing 737 would never have been build, nor become the most successful airplane type of all times.

Emirates A380 Hub Dubai
Emirates A380 Hub Dubai

Today the big shots are called by the Arab airlines, Emirates wiht 39 Airbus A380 just ordered another 140 of that mega-airplane, their fleet of 200 aircraft triples with more than 400 new aircraft on order. And Lufthansa’s Star Alliance partner Turkish Airlines doubles the fleet, adding almost 200 to the existing 200. And as mentioned, Istanbul gets another airport (they have two already) for another 150 million passengers, three times as many as Frankfurt manages today.
Lufthansas order list may look similar, but most of the aircraft needs to replace older generation “gas hogs”. And with 10 A380 and another four on order, with 29 747 with just 10 new on order, Lufthansa is in no position to play in the same league as an Emirates.

Germany Purchasing Power vs. Airports
Germany Purchasing Power vs. Airports 2016 [updated 2016]
What many oversee is the commercial impact of aviation. As I show for many years now the correlation of economic centres in relation to airports and their size, there is simply also a historic development giving a warning example.

As Carthage and Rome have been the centre of the world in there time, as was Genoa (Columbus) or Bombay. Always the metropolises where strategically located at trade routes. And as shipping (the one on the water) got competition by rail, street and aviation, developments in aircraft construction shot airports like Shannon or Anchorage into the insignificance of history.

train-vs-planeMy former boss compared this with the old American railroad tycoons. Their self-conception was to build rail tracks and operate large iron horses, not the mass transport of people and goods. As the first aircraft were developed, they belittled these developments. As the World Wide Web developed, Microsoft belittled this development and to date limps reactively behind current developments (the Windows 8 Apps are simply uncompetitive compared to their Apple paragons).

Merkel-PutinAnd currently, the politicians of the “industry nations” miss to set the right tracks for the future. Would Moscow get the Russian corruption in check, no politicians would dare to challenge the authoritarian regime of this resource rich country. Just as they handle China with velvet gloves, knowing exactly that money rules the world and in the end, if they want to “profit” from the business, they dodge their high moral and ethics first… And aviation is simply a punching ball for them, screaming “noise” and “pollution”, no matter the major, largely unsubsidized developments in quieter and fuel efficient aircraft… Yeah, don’t think, just hit’em and milk’em!
For aviation, it is finally about moving people and goods from A to B (as efficiently as possible). And who believes the thousands of aircraft seats ordered in the Middle East would fly empty… Where does the traffic flow? Minimum growth in Europe. A graph by the CEO of Turkish Airlines given when he took seat of chairman of the European Airline Association AEA pinpoints it:

global economic centre of gravity 1971-2031

At the same time Lufthansa impairs it’s cooperation with Star Alliance Partner Turkish Airlines, with the reasoning that they would “unfairly” pull longhaul passengers to their hub in Istanbul. “Obstinacy” you call that I think. Because factually, in the current political sludge and struggle for survival, Lufthansa has nothing substantial to counter such developments

Cash cow - milked dry
Cash cow – milked dry

Aviation in Europe: Lufthansa and Air Berlin have rested too long on their successes, Western politicians simply understand aviation as a milk cow they can drain, ignoring the negative repercussions to commerce of their decisions against aviation development. Even Ryanir “stumbles” and frantically tries to reshape the own, aggressive business model, replacing it in fact with a core-different business model. If that will succeed? I doubt it.

Feeder for the Hub (FRA)
Feeder for the Hub (FRA)

My expectations: One global hub will remain in Europe. With Easyjet and current focus by Norwegian, London has a good chance, if they get their capacity problems managed. London isn’t dependent on the drip of British Airways as are Frankfurt (Lufthansa) or Paris (Air France), being tied to these airling operators for the better or worse.
Passengers from or to Europe then will fly with regional feeder services into the real global hubs in Moscow, Istanbul, Abu Dhabi or Dubai. As a hub to South America Portugal could position itself, but also Madrid and Morocco (outside the EU) are showing ambitions, a prophecy being rather risky there.

The traffic and commerce streams are changing. And I have concerns about the ability of the industry nations politicians to realize that the world suddenly bypasses them. And when they wake up, it will simply be too late.

Food for Thought
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Ground Damage

“Our Heads Are Round so our Thoughts Can Change Direction” [Francis Picabia]

roiJust reading with great interest in Ground Handling International (October 2013 issue) an article starting:
“Can we ever hope to rationalize the slightly surreal situation that sees a poorly-paid ramp agent driving an expensive unit of GSE around a multi-million pound aircraft? Alwyn Brice considers ground damage solutions”

Reading “[…] drew our attention to the fact that an insurer has no obligation to conclude a deal with a handler if he (the insurer) feels that the risk is poised too high.”
Just a reminder: Insurances are modern betting companies. Here, they bet that the ground damage stays long-term below the insurance fees. Insurance wins. If you mess up their risk-evaluation, they get rid of you as quickly as (in-)decently possible. Unfortunately, they rather frequently happen to tell their friends (the other insurances) about you. And yes, that’s the case for insurances anywhere.

That said: It is in the “common” interest to have experienced, reliable staff operating. One approach can be, to demand that in the contract. Just not yet part of any contract I’ve seen.

Ground Damage
Ground Damage

And every time (airline) managers tend to “outsource” existing business parts, they most times do know their new “partners” provide lesser quality for less money, safe on salaries and training quality – as the airline sure tweaked their operations already to cost effectiveness (within internal quality levels). The only the ground handler can become cheaper is to compromise quality. What worries me often, is the nonchalance with which security and safety are as such willingly put at stake by senior aviation managers “for the sake of business” (cash).

Not to misunderstand me. There are business cases that make outsourcing reasonable, I know General Sales Agents (GSAs) and Ground Handling companies serve a purpose when there is not enough “own business” to justify own staff. And in such cases they can provide better quality by consolidating business and having the advantages coming with the larger scale of operations.

Food for Thought
waiting for comments

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A-CDM, TAM and Changing Paradigms

“Our Heads Are Round so our Thoughts Can Change Direction” [Francis Picabia]
Winter Operations
Winter Operations

The last weeks I was traveling a bit more. And while I attended WinterOps Canada, my boss was at Inter Airport Europe to promote our solutions jointly with our partner UFIS Airport Solutions. Coming back from Canada, I attended the renowned international TAM Symposium, taking place in Braunschweig, where I currently live.

Making new friends in Vancouver, it was my pleasure to also strengthen my friendship with Etienne at TAM Symposium, meeting also wonderful people like Tom, Johan, Anne, Erica, Louise, Kris or Hamsa, just to name a few – you know who you are 😉

One of the core results of these past two weeks is quite frightening. After years of promotion of A-CDM in Europe, there is only a handful of people who understand what A-CDM is all about. Even the experts at TAM Symposium reduced CDM (Collaborative Decision Making) to the sending of DPI-messages (Departure Process Information) to the Eurocontrol NMOC (Network Manager Operations Center). “Eight Airports have established A-CDM”…

As we promoted lately in a press release, Zürich became Eurocontrol CDM compliant (number nine). After doing CDM for more than 10 years, that was newsworthy… Because only now, it counts…?
Though if that is true, if it only counts when the data is linked to the ANSP (Air Navigation Services Provider, Air Traffic Control) why is it always a problem to get the ANSP into the APOCs (Airport Operation Centers) being developed?

Source firewalkeraussies.com
4-way tug-o-war

As I had expressed before, A-CDM is so much more than what most people, even the experts understand it to be. It is not just a concept to share data, but to work together for a common improvement, making sure everyone pulls on the same rope…

Now the makers of the TAM Symposium even add onto it, promoting TAM, Total Airport Management 😮

So what is TAM? Where CDM is mostly focused (so far) on the airside to improve airport processes, TAM adds the landside. Which is by the way, what Meta-CDM is all about as well, right Alison?
Again, if I search for “Total Airport Management” on the Internet, I get a ton of different explanations what TAM is… or is supposed to be? Even from companies who have been attending the TAM Symposium since it first started. Be it DLR, Eurocontrol, Wikipedia or Siemens. If I then turn it to a global scale and look at CDM or TAM, I could start crying.

“And discussing TAM and CDM, one of the key findings was that no-one understands what these developments are all about.”

As Etienne expressed in his short presentation, the main issue – and mostly the missing link – in the end is “The ‘C’ in CDM”. It’s about Change. Complexity. Cloud. Collaboration. Communication. Many things, but mostly not about Collaboration (as the definition says), but about Change.

eastman
© 2002, Richard Eastman

Change from a holistic data model with data residing in independent silos, towards a “cloud computing”, where you share the data and the players benefit from the collaboration of data, making sure everyone at any time has the same information at hand. Actually, that reminded me of a presentation of my dear friend Richard, who I quote in the header of this blog, which dates back into 2002 … The underlying concept he raised even as early as 1996!
It is frightening to think that in aviation, the airline, airport, ground handler and air traffic control work – to date – with different data. Supposedly the same, but there’s no guarantee for that…

So do we need to promote “TAM” or “CDM”? Or should we simply start to promote to use state of the art concepts such as “cloud computing” for the benefit of all players?

sabre
Sabre 1963

One of the questions that came up in the event was “Who owns the data”? And that is already the wrong question. No-one “owns” the data in a cloud. But by sharing, the quality of data is improved for the benefit of all – if you start of with an assumed value, whoever has the real value first, will amend the information, accessible seamlessly to anyone.

Once the pacemakers in global e-Commerce, enabling global flight booking in the 60’s long before “Internet”, the aviation industry has lost its bite long ago, stumbles behind.

To make CDM or TAM happen, we need to change. And change is (always and everywhere) a major problem. And we should start to think beyond our petty sandboxes, about the benefits of accurate data and how we can work together to a mutual benefit.

Adverse Weather
Adverse Weather

Another question that came up, was about the missing of airlines in CDM-development, they being the main beneficiary of the process. Which is right. If Zurich can now accurately forecast the delays and cancellations caused by winter operations, Zurich can inform the airlines operating flights inbound to Zurich in time to possibly cancel that flight, due to weather, ensuring this particular aircraft aside of that flight stays on-time in its rotation (its daily or weekly operations plan) and does not get stuck in Zurich with a three-hour delay. In reverse, easing the situation for the situation at Zurich.

As a result, the flight cancelled, no passenger compensation will be paid for it or the following flights the aircraft is planned to operate. The resulting cost is lower than if the flight would go without such warning and gets stuck at Zurich.

So yes, the airlines benefit from such development and it is a great pity that they do not understand that. Though as mentioned in my last post, when flying to Vancouver, BA and AA were unable to issue the boarding pass for the next flight segment. So even within the Oneworld Alliance, they seem incapable of sharing the necessary data.

Don Quixote

Now looking back at Richards presentation 2002 (and several before then) and comparing to what Hamsa Balakrishnan of the MIT said in her presentation at the TAM Symposium, I somehow feel reminded of good ol’ Don Quixote.

So let’s keep fighting those wind mills 😀

Food for Thought
(comments welcome)


Update: Following link failures, the files are now linked locally. The original links are:
delair Press Release on Zurich Airport A-CDM (2013)
Richard Eastman @ MIFNET 2002
Hamsa Balakrishnan @ TAM Symposium 2013
Etienne was hired by SITA in Spring 2015
UFIS A/S has been acquired by Amadeus in 2014

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My American Airlines Story

“Our Heads Are Round so our Thoughts Can Change Direction” [Francis Picabia]

As many of you know, I started my career with American Airlines. That I left due to a mobbing supervisor was one of the “mistakes” I do happen to regret in my career. Though looking at American today, I am not so sure if I’d be a happy employee either.

As Air Transport News summarized World Low Cost Airline 2013 congress: “In the current cut-throat market conditions with the so-called legacy carriers cutting jobs, renegotiating staff contracts, the concept of customer loyalty to a brand is becoming obsolete as the lines between full service carriers and low cost ones are getting blurry and price has become the key factor for customers when it comes to choosing a short haul flight.”, they make a common mistake, as I strongly believe that brand is not becoming obsolete, just neglected.

AA-logohistory
AA logos during the times
AA. No question.
AA. No question.

When I started with American, it was the world’s largest airline. We were Proud to be American, we received frequent training to always smile at the customer and “customer first”. We also received monthly video updates from the senior management about strategic plans and news, we were a big family. Reminder: That was the World’s largest airline. In all those years, in fact in the past 80 years, the American aircraft was easily distinguishable by the eAAgle on the tail with it’s double A. In many movies, AA aircraft could be identified simply by the silver body with the blue/white/red stripe, even without the logo or the name on the body not being visible. From far away and even in bad weather, the aircraft was easily distinguishable by its prominent AA on the tail.

blank nose
blank nose

The new aircraft at that is a greyish color, reminded me on my first encounter too much of the U.S. Military Airlift Command, with bright colors being the name on the side of the body and the colors of the American flag on the tail, very similar to U.S. Airways and with very little profile. And the main identifier, the “AA” is gone for good…

American (new) - US Airways - American (traditional)
American (new) – US Airways – American (traditional)

The staff is “just another airline”, I did not receive much of a smile at all, neither on the ground, nor in the air. Having been the pacemaker in aviation technology, inventing SABRE, enabling global bookings long before Internet, Frequent Flyer Program and Yield Management, technical problems found me at a loss. British Airways, partner of AA in the Oneworld Alliance was unable to issue the Boarding Pass for the connecting AA-flight – all being booked under AA flight number. Baggage being checked through to Vancouver, I received one boarding pass for HAJLHR, then in London the next one for LHRDFW and because the onward flight was beyond 24 hours (I made a 23hr-stop to meet friAAnds), I only got my third boarding pass to Vancouver in DFW. My baggage they could handle, but to issue the boarding passes for the entire trip was a technical problem? I’m at a loss, find that even questionable on a legal level…

Robert "Bob" Crandall
Robert “Bob” Crandall

Discussing my experience with friAAnds and stAAf I met during my trip, I found that the AA-spirit is gone. Ever since Bob Crandall left, the button-counters took over, who had no vision, but claimed they’d know how to make money. Trashing the high values I encountered in my time when Bob Crandall was in charge, staff is an expensive and expendable resource, service is a theoretical concept of questionable value, people just fear for their jobs and working for American competes with working for anyone else. And now AA is under Chapter 11, “restructuring”. Well, a good result to turn the world leader in aviation to a patient under Chapter 11, right?

Image by Wirtschaftswoche
Goodbye Lufthansa

What is my personal lesson about this? I believe that brand is underestimated. Be it American to drop a recognized, gradually developed brand of 80+ years, dropping the “AA” which was a core in 40+ years of AAdvertising, or be it Lufthansa, “outsourcing” European flights to “Germanwings”, with no visible relation to its mother. And wondering, why passengers show no longer any brand loyalty flying within Europe.

And it confirms lessons that I learned many years ago. My “boss” during business education in a large whole sale business told me: “There is always someone who can do it cheaper”. So price is not a differentiator for a sustainable business.

Richard Eastman
Richard Eastman

And my friend Richard taught me: “Price is psychological”. It is about what is the buyer willing to pay for what reasons. And “cheap” is mostly not the main value. Brand, service, loyalty, identification are very important drivers. Why would one buy an Apple iPad? There are cheaper tablets out there, some of them possibly even better. Why do I buy a Windows-based Ultrabook convertible replacing my Laptop and my iPad? Why do I choose brand X over brand Y? Believe me, I could buy “the same” for half the price, but my experience with the brand is good, why should I go “cheap” on something as important as my IT?

Airline Managers focused on the Return-of-Investment and the Shareholder Value but without a vision are followers, they do not make good managers.

Any good business started with someone believing in an idea and taking a risk. Once you loose that entrepeneural spirit, you become a follower and start loosing.

Food for Thought
(comments welcome)
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Expanding the Situational Awareness Horizon

“Our Heads Are Round so our Thoughts Can Change Direction” [Francis Picabia]

“The high accuracy of the tactical forecasting of the de-icing demand by arosa de-icing allows us to pro-actively prepare for upcoming delays or flight cancellations with the ground handling companies, airlines and other involved partners. Our partners have come to understand this high accuracy to give them a tactical advantage compared to other airports working without such tool, allowing them to prioritize their flights and manage not just the current situation, but to prepare for it.”
Urs Haldimann, Head of De-Icing Coordination, Zürich Airport

“arosa PMS is a vital tool to early identify capacity constraints, we have it usually on the ACC’s center screen. Its identification of upcoming delays allows us and our partners in the ACC to take preliminary action, minimizing the real delays and their impact to our travelers.”
Thomas Hansen, Head of Airport Control Center, Düsseldorf International Airport

situational-awareness-source-eluniversal.com_
Source: eluniversal.com

One of the issues I keep discussing and explaining these days is the necessity to expand the situational awareness horizon in operations (aviation).

Today, most experts in operations are working based on “experience”. Though in stress, errors and misconceptions are likely. Where the traffic normally is ambitious, it is worse when all flights are full in high season. Taxiway constructions has impact to runway capacity, more ad hoc traffic than normal and then there is that weather front that might worsen the situation. The weather front? Which weather front. Ooops, missed…

“Pre-tactical” my colleagues call it, as “forecasting” in operational terminology is used for seasonal forecast. That you could imply to forecast traffic development or de-icing delays for the upcoming hours? Heretical!

Is it? Or did aviation simply loose it’s bite in embracing technological possibilities? One hyped word today is “Big Data”. If you embrace “Big Data”, why would you recoil from the idea of mathematically sound forecasting of several hours of flight planing?

Food for Thought
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Weather Whims

“Our Heads Are Round so our Thoughts Can Change Direction” [Francis Picabia]
Composite Photo (JB)
Composite Photo (JB)

Air Berlin reports 86.6% load factor only for July, thanks to the weather, the last minute passengers were missing.

Ryanair and Easyjet report “only” 1-2% growth in ticket sales for July

Norwegian growth – I am sure they did not have as much “impact” of the hot summer weather as we had in Central/West Europe.

In general, I hear that many travel agencies complained about the lowered interest during this record hot July – do we call it a centenary summer again?

Despite the fact, I currently work on Winter Operations again, preparing for my presentation at WinterOps.ca. And I just happen to think about the Eyjafjallajökull and its impact to European flights in 2010.

What this shows again (in my believe) is the impact of weather to airline flight management.

Airports operate at the limits of their slots. But what are those slots based on? Good weather? Seasonality? Winter Season (in Europe) goes from End October to March, just covering the worst period and enabling the airports to reduce their flight movements. Though why people would fly less in winter remains beyond me, I appreciate to leave the ugly rainfall at home for a week in the sun – and business travel is mostly reduced during July/August – the summer holidays.

All it does tell is the missing understanding of airline management. No matter if summer or winter, if sunny or cold, the aircraft has to fly. Preferably fully booked at good prices. If you only sell in summer, you need to ask higher prices as you have to cover your losses during fall, winter and spring… If you need to do that, your prices are likely not competitive.

Sky Airlines started first to build a German subsidiary with the original idea to utilize the fleet from Germany to the Canary Islands or Egypt in Winter, when travel between Germany and Turkey is low. Whereas the same question about utilization sure also applies to the hotels in the regions.

Image ©2010 Flughafen Zürich
Image ©2010 Flughafen Zürich

So yeah, that’s why I do address WinterOps and see tools such as the one developed by delair as important for airlines. To increase the “throughput” during “adverse weather”.

Zurich Airport reported a record season last winter: 75% more de-icing than in the previous winter season. 33% more than in the last record winter 2003/04.  At the same time worse snow, the usage of “type 4” increasing from 30 to 41% (compared to type 1). And punctuality dropped only marginally to 75.3% from 79.1% in the previous year. This should be a major wake-up-call not as much for the airports as for the airlines! Because it reflects that hundreds of flights less had to be cancelled or delayed. Given the ability of Zurich to forecast the development by several hours, giving the airlines time to prepare, inform the passengers and thus minimize the impact. The airlines should be demanding such technology at the airports they fly to and from of even finance it themselves.

But WinterOps aside, the recent reports also show how dependent airlines to date are on the weather. Given the little profit margins they control, a “hot summer” can be hopp or topp for a route or even an airline. All yield management can fail when weather is involved. And yes, doesn’t that remind me of the “fog hole” at Stuttgart-Echterdingen…

Just some

Food for Thought

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What is A-CDM?

“Our Heads Are Round so our Thoughts Can Change Direction” [Francis Picabia]

As many ask(ed), the blog might be the best to address your questions, about my new life @delair… And beyond.

As a student lately quoted to me, she expected airlines and airports to be on the forefront of technological development and integrated processes. She was surprised to find the truth being (mostly):
Nobody speaks with anybody.

FAA_NG_ahead

I have been aware of FAA NextGen before, but you may already see the shortcoming of it: It only addresses the time from a departure to the arrival at the airport…

Now A-CDM (theoretically) takes care of the processes from the arrival to the departure and starts to develop the concept of an integrated solution beyond the airport itself. A-CDM stands for Airport-Collaborative Decision Making. So the reality at most airports today is that the different companies servicing and serving the airport are communicating by telephone, fax, telex or other inefficient means with each other and the level of automatism at airports is simply devastating.

But this addresses two parts of a process, largely ignorant of the other. To solve this, the ANSPs (Air Navigation Service Providers) organizing the “air space” need to interface with the ground handling processes of the airports, involving airlines, ground handlers, government bodies, etc., etc.!

In reality, the two approaches should interface to each other in a collaborative approach too, so far, the ANSP pushes data to the airport: “Eat This”…

A-CDM

Airlines think in “rotations”, usually on a “weekly” basis. An aircraft takes off Monday Morning, flies all day to different airports, overnights, flies again, until it’s Sunday and the aircraft is back home where it started for another weekly rotation. And there are technicals (i.e. aircraft grounded due to engine failure or a warning light malfunction), weather (such as caused by an ice-rain or thunderstorm), or other operational delays, making the live of an airline network planner and the operations control center (airline department trying to cover the afore-mentioned problems) not any easier. Now add the complexity of inefficient ground handling processes and air traffic control and you wonder that any flight takes off “on-time”…

DUS ACCAs my first “job” in delair, I happened to be at the Dusseldorf Airport Control Center (ACC), where the airport created an operations center, bringing together intentionally the different stakeholders in the ground-handling process, being the airport’s own departments, the airlines, ground-handlers, but also the government bodies – not the ANSP (yet) I am afraid. And with a worldwide unique tool by delair, they not only react “on-the-fly” to the operational situation, but the software forecasts the traffic development for the next 12 hours (arosa PMS, Performance Management System). Enabling the ACC to see bottlenecks before they hit them and take pro-active counter-measures to minimize their impact or even avoid such completely. At all other airports, these bottlenecks are handled, when it hits you in the neck. Not very professional in my eyes. Predictive chaotic and uncontrolled situations is the opposite of situational awareness and it adds to the incurring delay.

Example: If the country faces heavy snow, the de-icing process reduces the airport’s capacity to take aircraft into the air. If you see that coming, you may be aware hours before, that you will have to cancel at least 50% of your flights. But which ones? In the current environment at most airports, it is ad-hoc decisions. In a controlled “predicted” situation, the airlines may select a short-haul return-connection to be cancelled, but a flight where the aircraft is needed at the destination airport to be prioritized. Say the airport needs to run with 50% reduced capacity for three hours – predicted two hours before. To have the shuttle flight leaving to the nearby airport, likely to face same weather problems, does not make sense. The flight to the (warm) South though, does make sense, as until it comes back, the weather should be back to normal…

WinterOps.ca_
Hear me at WinterOps.ca: De-Icing Swiss style (a case study)

[Updated: Link to presentation added]

Keep in mind, thinking about this dilemma: Only an aircraft that flies makes money. Cancel the flight and see your hardly accumulated profit margins evaporate like butter in the summer midday sun! By paying passengers compensations applied by government legislations beyond reasonable scope. Sure the airline calculates such into their prices. Making tickets more expensive. An airline looses not only by less flying in winter, but a large sum by paying for cancellations and delays resulting from bad operational support from airports and ANSPs. And so far, the airline pays. Though I heard of first examples, where the airline sues the airport or ANSP for inefficiency-caused expense. Though even those cases do not claim the cost on the entire rotation, but on the individual flight. So far. I truly believe that will change soon!

All that more or less nice and smooth so far, right…? It does not help anything, as long as the ANSPs stay out of the development loop or develop their own ideas without any “collaborative” approach. Sure, there are people there who do think beyond their own, but the feedback I got during the last months shows an extreme level of neglect of the overall situation. Go back to the airline rotation… I could cry.
Consider the weather situation again… Thanks to the snow-storm, several routes have airborne capacity problems. As have the destination airports. But the approach is always local! Even Dusseldorf is largely unaware of the situation in the airspace or at the destinations. As the ANSPs remain ignorant of the needs of the airlines, airports or the rotations. They get the aircraft delivered to the runway and then we face a break. Good luck… And given the weather: The ANSP will handle the flight, no matter if the destination airport can handle it back. So aircraft may be brought in to an airport, when it would be reasonably known that the airport will close soon due to weather development. Ignorance instead of situational awareness! And another likely break in the rotation of that aircraft, causing a ripple down the line.

arrivalmanagement

So after that introduction, a quick excursion to my new world (as the blog topic of the day)… As mentioned, A-CDM defines the ground-based process enhancements. The “arrival manager” (AMAN, mostly on the ANSP-side) organized the delivery of incoming aircraft, prioritizing the runway capacity – unfortunately, largely unaware of the airport’s capacity or processes. Based on the scheduled and planned arrival information, the airport now struggles to handle the ground-based processes. From organizing the Follow-Me-vehicles, to deciding where to park the aircraft (stand), could be at the gate or on the apron with bus-transfer, mobile staircase and additional time needed for transfer apron-terminal (and back out). Oh yes, and the airport and ground handlers usually have a limited number of “bridged” gates where the aircraft stand is right at the terminal, limited number of staircase-vehicles, follow-me’s, busses, etc. At Erfurt Airport, there are four gaterooms (and four aircraft stands at the terminal), but only one baggage belt. So you better schedule your arrivals to not have four aircraft like A320s arriving within 30 minutes… Luckily, they don’t have the traffic to use A-CDM or need it, but it is the same at many larger airports that such bottlenecks exist.

So you also manage the baggage belt, staff rosters to assure you not only have the technology, but also the people to do the job. And the customs/immigration counters (and staff) to manage the arriving aircraft.

Ignoring the idea (just here in the blog, not in reality) to taxi the aircraft to maintenance or park it for overnight or … we then go into the “outbound process”. The passengers want to check-in, so you allocate the check-in-counters. As well as you need to make sure, you have the aircraft positioned to a fitting gate – there are usually domestic and international ones (where for the sake of ease, I do consider “Schengen” as “domestic” in the process). So you send the passengers to the gates. And you better understand that airports mostly do not make much income on the flight handling, today they make money on the “non-aviation-business”, such as the shops between check-in and aircraft. You need to manage the lounges, assure the border security, baggage control and passenger screening to be efficient. See my article about Check-in 2015 for ideas on that…

ATCThen another fun part comes… They are in time checked-in, they are at the gate. But due to ATC-constraints, there is no slot. There might be one at your airport, but at the destination…? Do you board the passengers and stick them into the plane if you know there’s a 30 minute delay? Very likely, if the delay is at the remote airport, you will… Thank you. If it is at your airport and they use A-CDM and a “Departure Manager” (DMAN), they do organize the departure based on the runway capacity. Did I mention that usually a runway is not used for departures only? Sorry, aircraft also arrives and uses capacity… But I only know of one working AMAN/DMAN combination in use. And you do need to consider not only the ATC-slot of the aircraft, but now need to take into account parameters such as taxi-times, maybe de-icing, the flow of aircraft on the taxi-way (you don’t like to have an outgoing aircraft on the same taxiway of an opposite directed incoming one)…

So considering all that data, based on the ATC-slot, you specify the TOBT and the TSAT, the “targeted off-block-time” and the “targeted (engine) start-up-time”… Then you deliver the aircraft to the runway and … pray.

What is my scenario for an efficient operation of air services?

Yeah, right… First of all, the ANSPs need to harmonize their problems. Because in most economies (maybe not that much in North America), there are a number of national ANSPs and there are projects to work with “block spaces”, which is another way of a work-around to inefficiencies… An optimized process should not start with the ANSP or the airport or the ground handler, but with the airline. What does it help the airline to have a “slot” at an airport, if it does not fit the rotation needs. Or if the airline must calculate a “planned delay” in the process as the aircraft will not be efficiently “turned around”, but handled on the apron instead of the gate, as the airport sold beyond capacity. Or worse, held in holding pattern on approach due to excessive demand. And every winter, you add the weather problems, that sure take everyone by surprise… Again…

aircraftrotation
Aircraft Rotation Planing

Why IATA does handle “slot conferences“, but does not address a neutral slot optimization for complete rotations is simply beyond me. Yes, it is complex, but using flight plan data, IATA could develop software to suggest improvements to slots for all involved airlines at a neutral level, taking the rotation as a basis and not – as is today – an individual flight! Today, the airline as the operator struggles to match the available slots to their aircraft operational planning on rotations basis. A common complain by airports is, that airlines have slots assigned, but the aircraft is always early or late, interfering with slots assigned to other airlines. To call that efficient? And the reason is known as soon as you have a closer look: The rotation. A “planned” difference from the assigned slot… Because the “needed” slot wasn’t offered…
Ahh, isn’t the “buzz-word” at the moment in IT? Big Data…

You cannot do such a cross-airline rotation based slot optimization by hand. And rotation may include the airline’s wish to meet certain “waves”, the transfer-windows at hub airports. But I believe, IATA could and should invest into a solution that takes the rotation planning into account and enable improvements to capacity. And the airports should not consider capacity only on the maximum good-weather capacity and wishful thinking, but they should consider bad weather and make contingency plans together with the airlines in the early stage – if flights are being cancelled frequently, the business traveler will reject them as unsave and plan pro-actively on alternate transportation – with severe impact to the airline’s financial calculations. And the airline will be faced with the compensation to the customers and the missing profit from the flight! So at this time, the “looser” is (and remains) the airline. But I heard in the last A-CDM task force meetings, only one airline attended. Which I believe is the cause of the dilemma. You got to involve yourself as an airline and voice your needs. Another nice example by Dusseldorf. Air Berlin as a key stakeholder (hub carrier) at Dusseldorf, has been a key driver in the ACC’s development there. But talking to Route Planners at many large airlines, there is neither “vision”, nor “concept”, that and how the dilemma can be solved. And without receiving the necessary top-level corporate support, this is likely to stay as is. A planned (and accepted) inefficiency.

Yeah, I hope, I trigger quite some (controversial) feedback with this blog post, as yes, such can only scratch on the surface of things. Or cut deep on a single aspect, though there is a whole picture out there. I know the complexities of route (rotation) planning, as I know unmentioned complexities at airports and ANSPs. But

Food For Thought
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Flight Delays and Flight Clearing

“Our Heads Are Round so our Thoughts Can Change Direction” [Francis Picabia]

DFS Verspätungsgründe EuropaGerman DFS (Air Navigation Services Provider) published the DFS Mobility Report (German). No translation needed, I find page 14 of great interest to the airlines…

Where the first (such; most important) graph shows 54% of delays “caused” by the airlines, some airports working collaboratively with their partners (CDM) do a “flight clearing”, reviewing and correcting the delay reasons. Just focusing usually on the flight pair in question (incoming/outgoing flight), Frankfurt and Munich show only 39% and 44% delay “by the airline”.

Having discussed the issue with several airports doing flight clearing, the reality is even more to the airlines’ advantage.

What if an aircraft leaves Munich, with heavy snowfall and one hour delay in the morning. In the evening, it is to fly Hamburg-Paris (no snow at all). Will Hamburg understand the inbound delay and resulting outgoing delay as “weather” or will they simply assign it to “airline”? Guess my believe…

This is a nice example of a statistic without any value as it is compiled from systematically incorrect compiled data.

Food for Thought
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