< Previous Etihad’s new ‘cargo nerve centre’ allows it to be more proactive. Etihad Cargo is bucking Middle East trend. per and email exchanges. There are a handful of airlines that are lead- ing an innovation drive and I think Etihad is positioning itself as one of the leaders.” With 40% of its bookings now com- ing through its online web portal, Etihad Cargo has achieved in one year what some have taken three years to do. And while digitalisation is often used as a hollow buzz word in today’s industry, Etihad appears to be show- ing real evidence of strategic change. With its new Cargo Control Centre, the company is constantly tracking the 3,000 items it ships each day and can proactively fi x bottlenecks before they even arise. A new mobile app and a revamped website are also vis- ible investments that produce a tan- gible return. One statistic is that 14% of bookings on Etihad’s website are now placed outside working hours, meaning it picks up on a signifi cant number of orders it otherwise might have lost to competitors. Essentially, it has shifted from being a reactive brand to becoming a proactive one. But how has it managed to trans- form so quickly? Being a relatively young company allows it to be fl ex- ible but Shadid believes it has largely been because the cargo industry is “hungry for innovation”. “The market has traditionally re- lied so heavily on paper and phone calls and today you come into the offi ce and you are used to using all these gadgets and technology. But then you come into the cargo indus- try and suddenly it takes you back 20 OPERATIONS ‘NERVE CENTRE’ DRIVES EFFICIENCIES Etihad Cargo’s new Cargo Control Centre at its head offi ce in Abu Dhabi will act as ‘nerve centre’ for real-time monitoring, tracking and active management of all shipments and fl ights. The company has been following a digitalisation strategy to improve effi ciency across the business. The centre builds on Etihad Cargo’s booking and reservation system SPRINT by introducing ‘always-on’ tracking functionalities. These include shipment planning and performance monitoring across its freighter aircraft as well as bellyhold shipments across more than 250 daily passenger fl ights. Etihad Cargo’s CCC team have several large screen displays equipped with advanced software algorithms and processes which alert them of issues that may impact customer shipments. Through the CCC, Etihad’s cargo fl ows, departures and arrivals across the network can be monitored 24-hours a day, with a heavy focus on special products that are sensitive to schedule variations and disruptions. In a second phase, Etihad Cargo plans to add further functionality to the CCC to allow monitoring of its Quick Ramp Transfer shipments at its Abu Dhabi International Airport HUB. Andre Blech, head of operations and delivery at Etihad Cargo, says: “The Cargo Control Centre shifts our modus-operandi from a historically reactive model, to a truly proactive service delivery machine that strives to maintain the service delivery promise and support customers’ needs every step of their shipment journey.” Rory Fidler, Etihad Cargo’s head of technology and innovation, said: “By implementing data-driven technology and harnessing the ever-changing digital landscape, we have created a customer- friendly software that provides our team with market leading tools to better serve our customers when they need it most. This is yet another step in the continuous evolution of Etihad Cargo to become a digitised air cargo carrier of choices.” remarkable and instant”. But where the fi rm sets itself apart is its invest- ment in digitalisation, Shadid says. “If you look at the cargo industry, it historically lags behind other indus- tries in terms of digital innovation. Today, you still see about 70% of the industry pretty much relying on pa- SPECIAL REPORT: HANDLING CARGO 30 www.aviationbusinessme.com January 2020 · AVIATION BUSINESSsenger market. Bosses hope that cargo.one will act as a second digital channel for Etihad and draw more European business. Managing direc- tor and co-founder of the European aggregator, Moritz Claussen, com- ments: “If you look at the industry so far, people have been using emails to enquire about capacity, and that’s pretty ridiculous in an industry that is so low in margin and where every- body is struggling to fi nd effi ciencies. We have come along to build a book- ing platform where people can search for capacity across multiple players. Etihad will be one of them.” Importantly, cargo.one is help- ing Etihad to reach European SMEs it would not normally trade with. In the past, Claussen says, airlines have been used to focusing on a few large freight forwarders. But smaller freight forwarders in Europe make up about 60% to 70% of the market, he says. Collaborations such as those be- tween Etihad and cargo.one will become more commonplace as fi rms realise the need to work together to improve their customer off ering. Shadid says Etihad is supporting ear- ly adopters of new tech and reveals it will be signing additional deals in the coming months. As Etihad be- comes more tech-savvy as a company, years. I think they’re hungry for inno- vation. The fact we have transformed at that speed shows the hunger.” Etihad is not alone in its digi- tal transformation and it has ac- tively welcomed collaborations. In November, the fi rm partnered with cargo.one, an online b2b cargo plat- form that works in a similar way to Skyscanner in the consumer pas- Sooner or later we’re going to come out of this trough and these invest- ments that we make today in digital technologies are what are going to set us apart when the industry comes out of its downturn” The Cargo Control Centre orchestrates Etihad’s logistical operations. ABU DHABI AIRPORTS UNVEILS NEW ‘SUPER TERMINAL’ FOR AIR CARGO OPERATIONS Abu Dhabi Airports and Etihad’s cargo division have launched a major project designed to transform Abu Dhabi International Airport (AUH) into “a state-of-the-art global air cargo centre of excellence”. Abu Dhabi Airports and Etihad Cargo will develop infrastructure, starting with the upgrade of Etihad’s existing air cargo terminal facilities on the southside airport perimeters. The program will culminate with the inauguration of Etihad Cargo’s future home, a new air cargo terminal in the east midfi eld section of the airport. The plans revealed that the fi rst phase, the upgrading of the southside Etihad cargo facilities, will be completed by the end of Q3 2020. The scope includes the enhancement of RFS loading docks with levellers, insulation and fl oor works for faster and more effi cient loading with stricter temperature controls, increased storage space and additional build- up and breakdown zones to improve production workfl ow, and upgraded cool chain facilities for both its fresh and pharma handling and storage operations. This phase will enhance Etihad’s pharmaceutical logistics capability through a dedicated southside pharma terminal, adding 3,500 sqm’s of space for temperature-controlled handling and storage across both 2-8 degrees Celsius and 15-25 degrees Celsius categories. Bryan Thompson, CEO of Abu Dhabi Airports, comments: “The transport and logistics fabric of Abu Dhabi is well planned and structured to create undeniable potential to grow the cargo traffi c exponentially. We are putting in place the right foundations and frameworks for our future cargo activity, which in a few years will re-shape this industry for Abu Dhabi. Abu Dhabi is the future’s cargo hub for the region and the world.” SPECIAL REPORT: HANDLING CARGO 31 www.aviationbusinessme.com January 2020 · AVIATION BUSINESSits training will evolve to ensure staff keep up-to-date. But the fact many of its employees are already millennials hungry to adopt the kind of technol- ogy they use in everyday life, the transition should be seamless, Shadid says. He adds: “In fact, it has actually made us more appealing and allowed us to bring new innovators on-board. It’s certainly added more appeal to our business in terms of how we come across as a brand.” In spite of all its successes, Etihad’s digital transformation has not been cheap. While Shadid will not divulge a total fi gure for the company’s in- vestment plan, he says that every dollar the company invests in digital infrastructure today will yield a bet- ter return on investment than a dol- lar it puts into additional freighters. Shadid notes: “Taking that premise in mind, that’s why we prioritise digital as a place for investment and it’s cer- tainly yielding an ROI.” Etihad’s investment in its cargo division suggests a clear confi dence in the market, despite the challenges the sector is currently facing. Shadid says that while the industry is “going through is a slowdown”, the segment is “cyclical in nature”. “Sooner or later we’re going to come out of this trough and these invest- ments that we make today in digital technologies are what are going to set us apart when the industry comes out of its downturn. And for us, things like getting 40% of our book- ings online has actually provided a cushion to the downturn. Volumes across the board are down but I think the impact of that has been softened because we see more customers shift- ing over to Etihad and helping us to gain more market share through our technologies.” From a European standpoint, Claussen is similarly optimistic about the MENA cargo sector. He notes that the region is “the perfect location” to serve Asia, Asia Pacifi c and Europe. But he reminds operators that invest- ment in new technologies and pro- cesses needs to happen. “It is time to catch up”, Claussen rallies. For Shadid, the future of the Middle East’s air cargo sector has to be de- fi ned around effi ciency. The market will inevitably pick up again, he believes, considering how the UAE’s economic diversifi cation and indus- trial investment will boost trade. It is up to the operators in the region to be ready for when it does and help ac- celerate the process. Customers will favour air freighters operating from effi cient hubs in the middle of global trade routes and Middle Eastern com- panies are well positioned to capture them. Shadid concludes that the mar- ket may be slow, but that is not rea- son enough to stop fi rms investing in infrastructure and technology. ICARGO SPEARHEADS DIGITAL PROGRESSION Etihad’s recently-launched iCargo digital platform has now handled over half-a-million bookings, equating to well over 115,000 flights processed. On one day in April 2019, the system created over 2,000 bookings in 24-hours. A new online booking portal launched alongside iCargo and over the last year accounted for 20% of total bookings. Such is the portal’s popularity that one-in-three bookings now come through Etihad’s website. The region with the highest online booking penetration rate for Etihad Cargo is Asia, with India completing 96% of its September 2019 bookings through etihadcargo.com and Thailand close to the 90% mark. The Americas represents the second highest rate with the US recently crossing the 50% mark for online bookings. As well as iCargo, Etihad Cargo has invested in other channels. Its automated Freight Forwarder Messaging (FFR) booking function went live in April 2019, allowing instant bookings and confi rmations from its global operations as well as key forwarder customers. Well over 2,000 bookings have been made through FFR since launch. IATA’s e-AWB initiative, which aims to encourage electronic airway bills as the default contract of carriage on enabled trade lanes, has seen Etihad aim to make e-AWB its default option on all enabled trades lanes. Etihad has certifi cates for a number of specialised fi elds in the cargo sector. SPECIAL REPORT: HANDLING CARGO 32 www.aviationbusinessme.com January 2020 · AVIATION BUSINESS33 January 2020 · AVIATION BUSINESS www.aviationbusinessme.com SPECIAL REPORT: HANDLING CARGO DELIVERING EXPO 2020 Industry luminaries from Emirates Airline and UPS discuss at the Cargo Connect conference how Expo 2020 will impact the local air freight market and reveal their companies’ role in delivering the global event. also important for us to be reliable. Partnerships are key and are driving us to the next level. If you want to go fast then go alone, if you want to go far you select the right long-term partners. UPS is a global fi rm delivering pack- ages from the States to the UAE. But it’s more than that, you’re doing the logistics, the warehousing fl oor organisations, especially with Expo 2020. Tell us a bit about that. Christina Struller: UPS is very proud to be the logistics partner for Expo 2020. UPS delivered a very success- ful Olympics in London 2012 and in Beijing in 2008. One of our roles is to bring 192 participating countries to Using Expo 2020 as a case study, how can collaboration between logistics companies enhance the customer experience? Christina Struller: Technology and partnerships are key drivers and col- laboration is key for UPS too. Looking at our workforce, we have more than 481,000 experts around the world working for UPS and looking at how we can increase collaboration on the internal side as well look- ing outside to external stakehold- ers. Connecting minds is one of the themes of Expo 2020, so we’re really looking at how we can utilise part- nerships. Partnerships with SkyCargo and with Emirates, for example, but also partnerships on a day-to-day basis. We work closely with Dubai Customs for example. And then look- ing at the effi ciency that collabora- tions should drive, we want to make sure that we capture our customers’ needs. And that effi ciency is not only about the speed but for customers it’s ON THE PANEL • Phil Blizzard, owner, Phil Blizzard Media (host) • Christina Struller, director of public affairs, ISMEA, UPS • Dennis Lister, VP UAE & global product development, Emirates Airline The Cargo Connect conference featured a number of panels and keynotes from experts.January 2020 · AVIATION BUSINESS 34 www.aviationbusinessme.com SPECIAL REPORT: HANDLING CARGO next year. And I think that is quite a mammoth task. Logistics, in my opin- ion, need to be seamless and quiet. Because these guys don’t really care whether you’re putting a 20 foot con- tainer on the water or fl ying the stuff in, frankly speaking, they just want to be sure that they have their stuff here. Our job is to support that and to ensure that the end-to-end-delivery of that works and I don’t believe we can do that entirely on our own. Christina Struller: [Seamless deliv- ery] is really about having the right technology in place and making sure that those shipments come onto the site of Expo 2020. It’s a mas- sive site, we’re talking about 750 football fields large, with deliver- ies coming in on a daily basis. And the delivery could be a 40 foot piece of construction material needed to build a pavilion. We have the right system in place called the Delivery Management System, and with that system we have a seamless delivery of the entire logistics coming into Expo and I think that’s very crucial if you imagine 192 participants. All these participants, how are we going to avoid those congestions? That’s where the system comes in and gives everyone a time slot. Dubai, working closely on collabora- tions. We realise that effi ciency is a key part of how we can measure the success and deliver a successful Expo 2020. So we have a direct fl ight from Louisville, our home in the US, com- ing daily to Dubai and this supports the effi ciency. The time in transit, we save one business day, which is actu- ally very crucial to our customer. Dennis, in terms of collaborations, what are you looking for in diff erent organisations? Dennis Lister: If you look at Expo 2020, it’s about showcasing all these countries. Hundreds of countries are going to rain down on Dubai Logistics, in my opinion, need to be seamless and quiet. Because these guys don’t really care whether you’re putting a 20 foot container on the water or fly- ing the stuff in, frankly speaking, they just want to be sure that they have their stuff here” Emirates now connects US retailers with Dubai. UPS was chosen to deliver Expo 2020 following its involvement in projects including the Olympics.35 January 2020 · AVIATION BUSINESS www.aviationbusinessme.com SPECIAL REPORT: HANDLING CARGO the next few months? Dennis Lister: One thing I need to say upfront, when you plan for some- thing like Expo 2020, the fi rst thing you do is plan ocean freight, not air freight, because ocean freight is sig- nifi cantly cheaper. However, as we saw with Christine’s example, this was because of urgency. It is inevita- ble that people don’t meet deadlines and every one of you in this industry will know that things typically don’t Can you tell me how you brought a special cargo from South America to the Expo site? Christina Struller: Expo 2020 has a central point called the Al Wasl Plaza, which has a large dome that area can fi t 10,000 people at one time. The dome is going to be a 360 degrees projector screen and its 67.5 metres high. The Leaning Tower of Pisa is 57 metres so it’s pretty high. And all around the dome are going to be a lot of audio visuals with projectors and lighting and of course somebody, somehow, had to bring those projec- tors to the Expo site. We were asked to deliver the projectors from Mexico to Dubai, along with diff erent acces- sories needed to fi x the projectors around the Al Wasl dome. The projec- tors had a weight of 37 tonnes, so we had an oversized, super heavy, very fragile load. We actually had to char- ter one of the largest cargo planes, the Antonov 124. We brought the projec- tors but there was more equipment along the way so we came back to our partners, Emirates SkyCargo, and asked to collaborate, and we brought everything over in a safe and timely manner. Can you give us an idea of what kind of trade you are expecting in the lead-up process to Expo, in terms of the volumes you are expecting over UPS OPERATIONS IN THE MENA REGION “Who doesn’t know UPS?” asks Christina Struller, director of public aff airs, ISMEA, UPS. “We move 3% of the world’s GDP every day, we move 6% of the US’ GDP every day, delivering more than 20 million packages a day with a fl eet of our own of more than 500 planes. Based here in Dubai, the region consists of more than 70 countries covering the Indian subcontinent, Middle East and Africa. Myself, I’ve been in the region for 11 years and UPS has been here for more than 30 years. At the end of 2013 we decided to place our hub for the region in Dubai, it is located within eight hours of 65% of the world’s GDP.” Emirates SkyCargo has made ecommerce a focus for investment.January 2020 · AVIATION BUSINESS 36 www.aviationbusinessme.com SPECIAL REPORT: HANDLING CARGO from Europe to Dubai. If you had all the time in the world, you’d be ocean freighting that in. But we have to turn to air freight because, only eight hours fl ight from Europe, we can get it to you the same day. Ocean freight takes a great deal longer and can be around 25 days coming from Europe. Christina Struller: We experienced the same. If you plan ahead, have enough time, use an ocean freighter. But there are critical times where you need air freight. And sometimes you have very sensitive items which you have to bring faster. We have already more than 500,000 deliveries coming onto the site and we’re expecting it to be at least one million deliveries by the end of the project. As we get closer to Expo, there will be fewer deliveries but as we get into the op- erational phase of Expo, that’s where we are expecting more small pack- ages to meet the smaller needs for our customers. In terms of Expo 2020 air cargo trans- port, which are the key territories for you? Christina Struller: There are diff er- ent ways of looking at it. Being based here in Dubai, there are many key trading partners. The largest ones in 2018 were by far China, India and the US. If you look at the pavilion them- selves and look at how much con- struction material is needed, we can say the UAE has the largest pavilion, followed by the Saudi pavilion, fol- lowed by China and Kuwait. Dennis Lister: I think you have to simplify it a bit more than that in my view. I was at the Peru Expo 2020 launch recently, and what I found amazing was the ambition and ex- citement. We spent a day with a lot of people who traded things like textiles, coff ee beans, coco beans and food. What resonated a lot for me was the fact that they have all these great products but they don’t know how to get it to the Middle East. I think therein is the point. If you look at what Expo 2020 is about, it’s about showcasing what these people are doing, meeting the farmer who can barely speak English and have a dis- cussion about how we can move his beans from the hills of Peru to Dubai. They have a desire to get stuff out. I think that’s how we build partner- ships. And we see more and more countries reaching out as we build up to Expo 2020, collectively through collaboration and independently. But it’s amazing how these smaller countries have so much to off er but they don’t know how to move it and I think we will provide that. Beyond Expo 2020 we will continue to grow those trade lanes and there is a lot planned with Peru and Emirates al- ready, for example. go on time as planned. We anticipate a lot more air freight as we get closer to the event. As time starts running closer to March and April, we will see a lot more air freight. We’ve already seen the fi rst big moves of the 777 charter coming in and there’s an- other coming soon. There is already a discussion of 600 tonnes coming EMIRATES’ NEW CARGO PLATFORMS TAKE FLIGHT Emirates recently launched new platforms called Emirates SkyCargo and Emirates Delivered, the latter being a shot at ecommerce in an attempt to connect retailers with customers. Dennis Lister, VP UAE and global product development at Emirates Airline, says the new Delivers platform is the fi rst of its kind in the region for any airline. It connects North America with the UAE and provides a logistics platform for consumers in the Middle East to buy from multiple retailers across the US. Lister says that the new platform has not been created for the sake of Emirates becoming the fi rst. He says it is a move designed to innovate and connect customers to a logistics network smoothly. “We’re not doing it on our own, we’re using partners. Partners in North America, partners here in Dubai to coordinate that end-to-end logistics. Smartphone devices are the future, not even the future, it’s today. If you look at people buying things today, it’s all done on smart devices. We have to be thinking forward, if we continue to operate [cargo] as we did in the 1980s we will die as an industry and we have to continue to innovate. “If you look at what we’re doing from a digital standpoint, the industry itself, as a cargo industry, we’re quite far behind. There’s the b2b stuff [and e-bookings]. This is something we’re working very quickly on, we want to try and push more traffi c through our SkyCargo.com platform because the amount of time and eff ort you put into every booking that is manually done on a computer or telephone takes way too long. And not only that but it frustrates customers. We have a programme to basically [increase] our e-bookings across the world. We’re trying to digitalise our rate distribution too to make it much simpler for customers. A very common way for distributing rates across the market is through spreadsheets and that’s a real pain. If you look at the b2c front, that’s where we are lightyears ahead already, the fact that you can now track anything end-to-end and everything is done electronically.” UPS has a fl eet of more than 500 aircraft. QUICK-FIRE QUESTIONS Four industry experts answer key questions about digitalisation in the air cargo market. Why is data sharing better than the use of electronic data inter- change (EDI) messages? Henk Mulder, head, digital cargo, IATA Currently, we use EDI messaging for virtually all of our cargo, there are some alternatives, but from point-to-point con- nectivity it is mostly mes- saging. If I was to whisper something to someone and it was to pass through a crowd, we would get something the other end that is completely diff er- ent. It is this sequential problem of passing on data and having to rekey data and connect systems. The diff erence with data sharing is that it’s just like the World Wide Web, if you put something on a web page, everybody gets the same thing. And so data sharing, in our view, is the equivalent of the web, where you share business data, of course with its limitations of privacy and security, but you share with the whole world and so everybody gets the same thing. So it’s fundamentally diff erent in terms of how we distrib- ute the information. What are some of the obstacles to stakehold- ers adopting techno- logical solutions? Laith Albazirgan, manager, Roamworks More and more, we are seeing obstacles such as interstate communica- tions in terms of logistics movements, adopting technology within the regulator and business owners. Recently we are seeing an uptake in adopting these technologies, which is making it much easier to transport cargo on the ground or in the air. Why is the private jet charter market way ahead of the cargo charter mar- ket when it comes to digi- tal platforms? Lewis King, director, Albion Aviation Group I think we see a big advance- ment in digital platforms when it comes to private jet brokering, but there is a complete lack of platforms for the cargo charter market. I think that is largely due to the so- phistication of what cargo charter requests mean and the lack of AI to support that. A charter request can be quite complex in as far as it can involve multiple diff erent com- modities, diff erent dimensions and weights. So you need a platform that can really comprehend all of that and then come up with the best solution in terms of aircraft type etc. I also think that on the private jet side, [the market] is more willing to embrace this technological change. I think we’re quite guilty in the cargo industry of not really endorsing this; I think we need to be more open minded to that. To answer your question, I think it is the sophistication that revolves around cargo charter requests. What issue is Hartsfi eld- Jackson International Airport solving with the ‘Air Cargo Community System (CCS)? Elliot Paige, airport direc- tor, Hartsfi eld-Jackson International Airport I tell this story of a trucker, a guy named Chris with a company called Agility. He said that he comes to Atlanta’s airport and sometimes he doesn’t know when the cargo is arriving or whether it is ready, whether or not it’s been paid for, and what my team and I realised is that we lacked a system where everyone in the supply chain can talk to each other. So we have truckers, ground handlers, freight forwarders and air- lines, but no means for them to communicate with each other on a specifi c consignment. So we started working to create a system that can bring effi ciency to the airport. SPECIAL REPORT: HANDLING CARGO 37 www.aviationbusinessme.com January 2020 · AVIATION BUSINESSA YEAR IN AVIATION The aviation industry is famously diffi cult to predict. Yet, as the door opens to 2020, it is im- portant to bear in mind the trends that could impact on your business. Here, experts in their fi elds put forward their views on what the next 12 months could hold for the aviation sector. Many Middle Eastern carriers are already delivering exceptional experi- ences, but we fore- see a rise of a new premium economy” Middle Eastern carriers are already de- livering exceptional experiences, but we foresee a rise of a new premium economy with benefi ts such as up- graded food options and noise-cancel- ling headphones. In line with eff orts to improve customer experience, some airports and airlines have also begun or made plans to implement virtual reality (VR) or augmented reality (AR) both in the terminal and in-fl ight. Looking ahead, the aviation sec- tor is certainly moving towards an experience-driven enterprise. In a strongly competitive transport and logistics market with highly in- formed and price sensitive customers, providing a product or service will no longer suffi ce. The experience is what diff erentiates one provider from the other and becomes a unique selling proposition. By managing customer experiences and expectations at eve- ry touchpoint, the industry intends to be able to tide over any market pressures and deliver a positive and seamless customer journey. The aviation industry has been thoroughly enjoying an extended bull run for the past decade. Airlines have had access to cheap fi nance as tough competition pushed down lease rates and debt costs. Lessors, while grap- pling with a very competitive market- place with many new entrants, have also been capitalising on the availabil- ity of cheap fi nance and the demand for additional lift as passenger num- bers continue to grow. Despite pressures such as depressed margins and fi erce competition, airlines are expanding their fl eets. Globally, between 2019 and 2024, in- service fl eets are predicted to grow at an annual rate of 3.9%. Air Europa, American Airlines, IndiGo and fl y- adeal are just a few providers set to complete multimillion orders and expand services in 2020. In the UAE, with Expo 2020 around the corner, third quarter estimates indicate that inbound travellers will drive traffi c to Dubai and Abu Dhabi and help the industry gain margins. While industry investments may be cautious, airline manufacturers are focusing on innovative approaches to make the industry more fuel effi cient. Industry players are currently test- ing biofuels, striving to design lighter airframe components and considering industry carbon footprint taxes. With ever-increasing passenger demand, airlines are looking to new technology to make check-in, baggage screening, security and customs pro- cesses more effi cient. Travelers will have visibility over luggage handling, including the ability to take liquids through security due to improved screening systems. Autonomous and artifi cial intelligence-based systems intend to improve effi ciency and maintain higher levels of security. We expect that with the use of biometrics and AI facial recognition software, certain processes could be automated which will reduce customer queuing times and dependence on staff . Chatbots and virtual assistants aim to facilitate in providing streamlined customer experience while booking fl ights and engaging with customer services. Data analytics, machine learning (ML) and robotic technology intends to help record, analyse and predict passenger behaviour to im- prove airport design, customer experi- ence and profi tability. In addition, we expect to see an ev- er-growing global trend towards im- proving customer experience. Many Avtar Jalif, partner, KPMG Lower Gulf WHAT’S ON THE HORIZON? AVTAR JALIF, PARTNER, KPMG LOWER GULF 2020 OUTLOOK 38 www.aviationbusinessme.com January 2020 · AVIATION BUSINESSin a high performance aircraft. The aircraft may be certifi cated single pilot, but it does not mean it has to be fl own in that manner. Operational support from fl ight planning to engineering are key to GA threat and error management for it al- lows an ‘airline approach’ to problem solving. Items like the weather, cross wind limitations and fatigue protec- tions can be built into the individual model. All of this obviously comes at a cost. But when you conduct a cost bene- fi t analysis, the cost has to be measured directly against the safety benefi ts to you, your family and your colleagues. An eminent surgeon has been work- ing all week, including some night shifts. On the Friday evening, having arrived at the airport late, he hurried- ly pre-fl ights his high performance single turbo prop. He feels obligated to make the fl ight as he promised his wife a weekend at their favourite coastal resort. As the aircraft climbs away, night begins to envelope as the fi rst fl ash illuminates the horizon from the embedded thunderstorms topping out at FL350 over the coast. What would you do? This in turn leads to the question: What are you going to do this year to enhance the safety of your GA operation? Threat and error management has become synonymous with the airline industry and particularly within the major carriers, who, due to the sheer scale of operations, require structured solutions to risk. This does not mean we are risk adverse as an industry; it cannot by the very nature of what we do. But it does mean we manage risk in a way that always keeps us in the middle of the envelope. Threats are of- ten defi ned as external (weather, com- mercial pressures and poor airfi eld lighting, for example) and internal such as fatigue and loss of situational awareness (human factors). Extensive training in an airline environment equips individuals with the skills to identify and mitigate threats as a team. Cross checking within a multi-crew fl ight deck also brings in the right level of ‘pressure checking’ to ensure that the best course of action is identifi ed. So where does this sit within the gen- eral aviation (GA) community? In some instances, I would argue, extremely well. There are GA operators who rec- ognise the signifi cance of threat and error management coupled with their overriding desire to stay alive. GA is and in my mind remains one of the most challenging segments within the industry to operate safely within. You may well ask why? For it certainly is not through a lack of willingness or de- sire to attain the same levels of safety the airlines experience. I believe it is often simply down to being completely open and honest with ourselves as to what we can and cannot deliver. The spread within GA of equipment and capabilities is vast, from high performance piston singles, to turbine aircraft capable of operat- ing in the stratosphere. Therein I be- lieve, lays the problem. Manufacturers will supply and sell you whatever you want, after all, that is business! We, however, as individu- als, have to be honest with ourselves and those around us as to what exactly we are capable of delivering. That is a tough deliverable. We in eff ect have to put our hands up and say: ‘Sorry, this is beyond my personal capabilities.’ The way to mitigate that risk is to surround ourselves with subject matter experts and employ a Flight Operations Department that can pro- vide not only supplemental pilots, but operational support to create a safe environment for decision making. The additional professional pilots allow a level of multi crew experience needed Steve Ford, author, pilot and commentator. What will you do this year to enhance safety? THREAT AND ERROR: WHAT WOULD YOU DO? STEVE FORD, AUTHOR, PILOT AND AVIATION INDUSTRY COMMENTATOR 2020 OUTLOOK 39 www.aviationbusinessme.com January 2020 · AVIATION BUSINESSNext >