let’s move the world, together SITA GROUP ACTIVITY REPORT 2018 LET’S MOVE THE WORLD, TOGETHER
LET’S MOVE THE WORLD, TOGETHER
2 SITA | GROUP ACTIVITY REPORT 2018 LET’S MOVE THE WORLD, TOGETHER
CONTENTS
SITA BOARD DIRECTORS 4 CHAIR’S STATEMENT 6 COUNCIL PRESIDENT’S STATEMENT 10 SITA COUNCIL REPRESENTATIVES 14 SITA MEMBERS 16 CHIEF EXECUTIVE OFFICER’S REPORT 18
SITA AT 70 24 BUSINESS REVIEW 26
SITA | GROUP ACTIVITY REPORT 2018 3 LET’S MOVE THE WORLD, TOGETHER
SITA BOARD DIRECTORS
THE SITA BOARD IS TASKED WITH SUPERVISING THE ACTIVITIES OF THE COMPANY AND ITS SUBSIDIARIES TO ENSURE THE EFFECTIVE OPERATION OF THE GROUP
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Barbara Dalibard Dr Omar Jefri SITA CEO Board Chair
Sonia Barrière Emese Békéssy Elizabeth Haun Laurent Jossart Board Vice-Chair
Christoph Kleinsorg Sankar Narayan Roland Schuetz Damian Scokin
A.T. Srinivasan Richard Steer Eash Sundaram Thomas Woldbye
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KEEPING THE WHEELS OF THE AIR TRANSPORT INDUSTRY IN MOTION
CHAIR'S STATEMENT Dr Omar Jefri
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“SITA has successfully worked at the Q. WHAT WERE THE BOARD’S heart of the air transport community MAIN TAKEAWAYS DURING 2018? for seven decades. The organization has always played a major role in A. The SITA Board recognizes 2018 as another very good year for SITA. Our moving passengers around the world, role on the Board includes overseeing providing IT and communications SITA’s financial and operating results, services that keep the wheels of the air and we were pleased with SITA’s accomplishments through the year. transport industry in motion.”
The last two years have shown SITA’s return to growth, as outlined in the CEO Report. In 2018 we witnessed good financial performance, along with important ongoing operational improvements throughout SITA’s organization, as part of SITA’s transformation.
The Board believes it is to SITA’s credit This ensures a close understanding that, through the ability to constantly of the needs and ambitions of our transform, SITA remains as relevant Q. PLEASE TELL US ABOUT community and SITA’s Members today as when it was founded to SETTING THAT STRATEGIC and customers, and it enables us to deliver global communications for the DIRECTION? appreciate the strengths of SITA’s fledgling air transport industry. A. SITA’s strategic direction is set out business plan. In fact, SITA has successfully worked in its Long-Term Business Strategy. The context of that plan is a changing at the heart of the air transport The Board plays a key role here, market. The industry is seeing the community for decades, with 2019 working with SITA’s leadership team emergence of new and intense being its 70th anniversary year. and the SITA Council to help drive the competition. This includes some of the development and implementation of industry’s biggest players. As we make clear in this Activity the SITA strategy. Report, SITA has always played a In the face of this, setting the right major role in moving passengers In addition, each year we approve the strategic direction for SITA is critical. around the world, providing IT and three-year rolling business plan, which There are excellent opportunities for communications services that keep the sets out the organization’s 2019-2021 SITA to grow. The Board is pleased to wheels of the air transport industry in priorities. see that the Three-Year Business Plan motion. In doing this, we are helped by the aims for an annual growth rate which Over the years, air transport has fact that SITA Board Members have compares well with the overall annual become increasingly complex and experience and expertise spanning growth rate of SITA’s target markets. global. And in the IT space, the industry aviation, technology, operations, legal, CHAIR'S Those growth markets for SITA is seeing far more competition than financial and business transformation. are focused at airports and around ever before. So SITA has done well to aircraft. They include airport remain a leading player in its chosen management, baggage processing, markets. border management, and aircraft STATEMENT communications. The SITA Board also believes that the last two years have been extremely important in enabling SITA’s turnaround. They have put in place strong foundations on which to build for SITA’s future, guided by a clear strategic direction.
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“The air transport industry needs to work together to resolve common concerns and Q. WHAT WILL THAT imagine new solutions. For this reason, SIMPLIFICATION ENTAIL? SITA has never been more relevant and A. In 2018, the SITA Board and SITA Council approved an important never better positioned to help global air transition program called ‘SimplySITA’. transport continue to grow and prosper.” The purpose of the program is to bring important changes to SITA’s structure and how the business of SITA is conducted.
SimplySITA aims to simplify SITA’s Q. WHAT DOES THE BOARD Q. WHAT IS THE BOARD’S VIEW structure and reinforce SITA’s position SEE AS BEING MOST CRITICAL OF THE TRANSFORMATION as a strong provider of connected TO SITA’S GROWTH AND TAKING PLACE AT SITA? IT products and services to the air SUCCESS? transport industry. At the same time, A. In addition to SITA’s Long-Term it will retain SITA’s governance and A. It is critical that SITA stays focused Business Strategy and business unique position of being wholly owned on its strategic direction. Importantly, plan, the SITA Board has over- by the industry. this includes building on the strengths sight of the company’s ongoing of SITA people, equipping them with transformation, across the areas of the The envisioned changes to the essential skills for today and the years customer journey, delivery, portfolio structure will be in line with SITA’s ahead. This is a 2019 priority, which transformation and culture. Long-Term Business Strategy, taking is seen as ‘A Year of Learning’ for the into account the changing technology We see SITA’s continued organizational SITA organization. landscape in which applications and transformation across all of these networks need to be more and more Let me single out two of the other areas as essential for the company’s integrated. The plan is to reinforce critical priorities for the year ahead, strategy and business plan to succeed, SITA’s position as an industry which are part of SITA’s business for SITA to meet its growth goals and innovator, as well as its ability to adapt plan. They are the simplification and satisfy the requirements of customers. to business and regulatory changes transformation of SITA’s portfolio, across the world. The changes introduced over the past and innovation. Both are key to SITA’s two years are very encouraging. They continued growth and future success. SimplySITA aims to enable SITA to have been meeting – and in many cases be an agile partner. It will deliver a The Board sees the good progress exceeding – expectations. stronger SITA, a sustainable SITA and already made in restructuring and a simplified SITA. We have noted an increasing Net simplifying SITA’s product and solution Promotor Score, helped by a strong portfolio. The approach very much rise in on-time project delivery, and centers on SITA’s community role, successes in streamlining software addressing key trends and helping to production. tackle the painpoints that the industry faces. The Board has been impressed with the progress being made, including SITA’s community role continues to be SITA’s own operational efficiency. The reflected in its approach to innovation CEO Report explains this further too. The SITA Board supported (see page 18). several areas of focus for innovation.
As a priority for SITA, we see this There is always much more to do – and as delivering great value to the air demanding targets for the future have transport community – a key SITA been agreed. But there is a direction objective. and drive behind SITA’s strategy and transformation with an emphasis on key metrics for success and the further simplification of SITA.
8 SITA | GROUP ACTIVITY REPORT 2018 LET’S MOVE THE WORLD, TOGETHER
THANK YOU BOARD CHANGES
Thank you to my fellow SITA Board Emese Békéssy of Cargolux, Sonia Members, the SITA Council and SITA’s Barrière of Air France-KLM and senior team for their leadership Richard Steer of Air Canada were all and energy. And thank you to SITA’s appointed as Member Directors to the people. The Board recognizes Board in 2018. their commitment to delivering the 1 technologies and services that enable Patrick Naef and Sankar Narayan billions of people worldwide to travel stepped down from the Board in 2018. by air, safely and with increasing ease.
1Sankar Narayan stepped down effective 31 December 2018.
Q. YOU MENTIONED KEY Q. FINALLY, WHAT ARE TRENDS IN THE INDUSTRY? YOUR REFLECTIONS AS SITA CELEBRATES ITS 70TH IN A. The industry is seeing more growth 2019? in passenger numbers, stable margins and 10 years of net post-tax profit. A. I believe the 11 airlines who Some slowdown in growth is likely, but founded SITA in February 1949 had long-term the pressure on capacity great foresight. They recognized that and passenger flow will build. sharing communications resources would provide cost efficiencies and SITA is closely following these trends, global standards, to help the industry introducing technology that is critical grow (see page 24). to handling more passenger numbers. Again, SITA’s response is community- Collaboration and sharing have always led. For IATA’s Resolution 753, for been central to SITA’s vision. This example, SITA launched BagJourney. original vision has never been lost. In Another example is SITA Smart Path™, today’s highly interconnected global which brings biometrics to the task air transport industry, this focus of creating the seamless passenger on sharing and cooperation is more journey. important than ever, if we are to truly achieve ’Easy air travel every step of the way’.
So we need to work together to resolve common concerns and imagine new “The SITA Board continues to support SITA’s solutions. For this reason, SITA has focus on innovation. We see collaborative never been more important and innovation as delivering great value to the never better positioned to help global air transport continue to grow and air transport community. The aim is to build prosper. on SITA’s strengths in co-innovating closely Dr Omar Jefri with customers and other industry SITA Board Chair stakeholders on pilot projects, prototypes and advanced proofs-of-concept.”
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COUNCIL PRESIDENT’S STATEMENT Ashish Jain
SITA IS ALL ABOUT COLLABORATING AS A COMMUNITY
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“SITA is all about collaborating as a Q. WHAT WERE THE YEAR’S HIGHLIGHTS FOR THE SITA community to determine the COUNCIL? strategic direction of air transport technologies and innovation. That’s A. The SITA Council was pleased to be working with the SITA Board and why SITA Membership is so SITA management at several levels important, to ensure we are all during 2018. We continued to represent represented and can address the the interests of the SITA Membership. We played a key role in evaluating issues we face collectively.” the value that SITA provides to the air transport community and we ran the first SITA Council Awards, to recognize the work of SITA employees in the areas of innovation and customer service. Q. YOU MENTIONED SITA Q. HOW HAS SITA We concluded the year by canvassing MEMBERSHIP? MEMBERSHIP EVOLVED? the thoughts and opinions of our Council Representatives on where to A. Yes. SITA is all about collaborating A. We have seen many changes in our best focus our efforts in 2019. And we as a community to determine the community over the years. This has led continued the life-changing work of the strategic direction of air transport not only to substantial consolidation, SITA Air Transport Community (ATC) technologies and innovation. That is but also to new entrants who have Foundation. why SITA Membership is so important, come and, in some cases, gone. Not to ensure we are all represented surprisingly, as the industry itself and can address the issues we face sees these changes, so too has SITA’s collectively. Membership.
SITA Council Representatives remain I am delighted to report that in 2018 we the voice of SITA Members, calling had a record number of applications for on aviation experience from every SITA Membership, as well as confirmed corner of the globe. They are very new SITA Members. This has been proud of their role in helping to steer helped by a number of innovations and the direction of SITA, which has been changes to our Membership program a focal point for our industry’s IT over the last two years, to ensure its development for 70 years. continuing attraction and relevance.
Our Representatives continue to In the 70th anniversary year of SITA provide guidance and expertise on (2019), I would like to pay tribute to the the needs and interests of all SITA many SITA Members who have been Members, from the largest airlines with us over the decades (you can to the smallest airports. We aim see some of the major anniversary to represent and safeguard those milestones this year for our Members interests, and ensure that SITA and the on page 16). But also, let me commend SITA Board understand Membership and recognize the 11 original airline perspectives. Members who had the foresight to create SITA all those years ago (see page 24).
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For reasons obvious to every Member, Another example is SITA’s membership Q. IT’S A SITA OBJECTIVE innovation is critical to building in August of the Sovrin Foundation TO PROVIDE VALUE FOR stronger community value. That to help support the development MEMBERS. HOW WAS THAT explains the new invitation-only SITA of an independent network for Innovation Forum in 2018, following decentralized identity management REFLECTED IN 2018? the Annual General Assembly. The and self-sovereign identity. This will A. The initiatives taken to deliver Forum set out to identify use cases for give travelers or identity holders value to our community of Members innovation and new technologies that control of their data, without requiring are summed up in SITA’s Community would be of value to our community. management by a central authority. Areas included technology-enabled Value Index (CVI). This is derived from I should also mention the value that online surveys of all SITA customers collaboration, predictive disruption, the seamless passenger journey and SITA’s research continues to bring to (with almost 1,000 responses during the community, providing benchmarks the year), as well as SITA Council the autonomous airport. Some 290 use cases were identified for further study. and IT intelligence for airlines and Representatives. airports. In 2018, this included The result this year was strong, Other innovation opportunities retained SITA’s Air Transport IT Insights and exceeding both the 2017 score and a strong focus on delivering community Cybersecurity Insights research, and the target. SITA’s CVI, at 3.76, has value. The Aviation Blockchain Sandbox of course the SITA Baggage IT Insights increased greatly, exceeding the and Digital Twins projects, for example, report. target of 3.60 and 2017’s score of 3.61. where SITA is exploring new and There was a notable improvement in innovative ideas with potential to add Council Representatives’ perceptions real value. (See the Business Review, of all value drivers, but particularly in page 26.) community value.
The following left the Council during The following were appointed to the COUNCIL CHANGES 2018: Eash Sundaram - North America SITA Council during 2018: Adib Charif Group (JetBlue Airways)1; Giorgio - Middle East & India Group (Middle We thank those whose term on the SITA Callegari (PJSC “Aeroflot”); Gregory East Airlines – Air Liban); Andrew He Council ended in 2018 and we welcome Gilchrist (Information Communication - North Asia Group (Hainan Airlines); those new Representatives who took Technology Group (Sabre)); Jappe Dirk John (LATAM Airlines Group); Ilia their place. We remember particularly Blaauw (KLM and former Council Perevalov (PJSC “Aeroflot”); Jose Luis Hazem Khalil from Egyptair, whose President); Jim Phoenix (American Quesado - Latin America & Caribbean untimely passing shocked us all. Airlines)1; Juan Pablo Muñoz (LATAM Group (LATAM Airlines Brasil)2; Juraj Airlines Group); Ken He - North Asia Liska - Northern Europe Group (Ceske Ashish Jain of Qatar Airways & Pacific Group (Hainan Airlines); Aerolinie)2; Martin Bordt (Cargolux succeeded Jappe Blaauw as Council Richard Forson (Cargolux Airlines); Airlines); Paul Elich (KLM); Sherine President at the 2018 Special General Roberto Jimenez - Latin America & Fahmy - Middle East & North Africa Assembly, and Kerry Peirse of Caribbean Group (LATAM Airlines Group (Egyptair); Wayne Moss (Delta Cathay Pacific was elected as Deputy Brasil). Air Lines). President at the 2018 Annual General Assembly.
1Left the Council effective 31 Dec 2018. 12 SITA | GROUP ACTIVITY REPORT 2018 2Left the Council in the same year. LET’S MOVE THE WORLD, TOGETHER
“Our SITA Council Representatives are the voice of SITA Members, calling on aviation Q: TELL US ABOUT THE SITA ATC FOUNDATION’S experience from every corner of the PROGRESS? globe. We are proud of our role in helping A. The SITA Council set up the SITA to steer the direction of SITA, which has ATC Foundation to help build skills been a focal point for our industry’s IT capability in the next generations of development for 70 years.” young people in Africa. Many sub- Saharan African airlines and airports have been among SITA’s most loyal Members and customers. Today the continent is changing radically, economically and socially, with huge potential.
After a review by a SITA Executive We wanted to help by creating access Q. SO INNOVATION REMAINS A Team, eight submissions in each to, and opportunities in, IT. By selecting BIG FOCUS. HOW DID THE SITA category were passed to the programs that look at three levels of SITA Council Award Panel. Their COUNCIL AWARDS HELP? education (secondary, graduate and recommendations were discussed post-graduate), we have been building A. The Awards, established in 2018, by the Council in December 2018 and a sustainable approach to learning and recognize the efforts and successes the winners announced at SITA Sales broadening the horizons of students of SITA teams across the world in events in early 2019. who may not otherwise have the providing value to the air transport chance. First in the ‘Innovation’ category was community. They also reinforce the the introduction of Mobile Passport You can read more about the SITA close and continuing relationship Control at Miami International ATC Foundation on page 42. But I can with Members. ‘Innovation’ was one Airport. Second was Flight Disruption tell you that since it launched its first category, and ‘Stepping Up for the Prediction at Changi International projects, around 83,000 students have Customer’ another. Over 50 entries Airport and third was the introduction been positively impacted across five were received. of SITAONAIR’s weather awareness African countries. In keeping with solution – eWas – at Air France. The the aims of the Foundation to bring biometric initiative developed with ICT and education to young people, JetBlue was also commended. we have adopted the UN Sustainable Development Goals (SDGs) of Quality Joint winners in the ‘Stepping up for Education and Gender Equality as key the Customer’ category were: the criteria. support provided for the opening of Changi T4, and a project completed for We have been able to create new the Australian Department of Home computer labs at schools, train Affairs. Third came SITA support teachers, fund courses and support provided to Delta Air Lines. some of the most promising students through tertiary education. This is making a real difference and I hope that we can keep building on these early successes.
Ashish Jain SITA Council President
SITA | GROUP ACTIVITY REPORT 2018 13 SITA BOARD DIRECTORSLET’S MOVE THE WORLD, TOGETHER SITA COUNCIL REPRESENTATIVES
OUR COUNCIL REPRESENTATIVES ARE THE VOICE OF SITA’S 400-PLUS MEMBERS
Ashish Jain Kerry Peirse Qatar Airways Cathay Pacific Council President Airways Council Deputy President
Radin Asrul Adza Martin Bordt Adib Charif Kelly Cunningham Abe Dev Airport Group Cargolux Middle East & India United Airlines Etihad Airways (Malaysia Airports) Group (Middle East Airlines-Air Liban)
Susan Doniz Paul Elich Sherine Fahmy Siti Hafsah Elizabeth Haun Qantas Airways KLM Middle East & North Malaysia Airlines British Airways Africa Group (Egyptair)
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Andrew He Dr Omar Jefri Dirk John Laurent Jossart Aleksey Kukanov North Asia Group Saudi Arabian LATAM Airlines Southern Europe CIS & Russia Group (Hainan Airlines) Airlines Group Group (Luxair) (Volga-Dnepr)
Jean-Christophe Wayne Moss Ilia Perevalov Jim Phoenix Jose Luis Quesado Lalanne Delta Air Lines Aeroflot American Airlines Latin American & Air France Caribbean Group (LATAM Airlines Brasil)
Arnaud van Uma Maheswari Eash Sundaram Laeke Tadesse Angie Tinsay Rietschoten Sudhakar North America Sub-Saharan Africa South Asia & Pacific Emirates Air India Group (JetBlue Group (Ethiopian Group (Philippine Airways) Airlines) Airlines)
Brant Venice George Wang Bardo Werum United Parcel Service Singapore Airlines Lufthansa
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SITA MEMBERS
MEMBER MILESTONES
Member name Years Member name Years Air New Zealand 60 Air Creebec 20 Austrian Airlines 60 Passenger Handling Services 20 Kuwait Airways 60 LATAM Airlines Colombia 20 LOT Polish Airlines 60 LATAM Airlines Brasil 20 Austral Líneas Aéreas 50 Southwest Airlines 20 Martinair 50 Air Tahiti Nui 20 Air Routing International 40 Malaysia Airports 20 Avianca Guatemala 40 Skymark Airlines 20 United Parcel Service 30 Acciona Airport Services 20 ABX Air 30 Athens International Airport 20 Alaska Airlines 30 Montenegro Airlines 20 Asiana Airlines 30 Aurora Airlines 20 Air Hong Kong 30 Georgian Airways 20 MIAT - Mongolian Airlines 30 Société Togolaise de Handling 20 SATA Air Açores 30 Caribbean Airlines 10 Air Atlanta Icelandic 30 SpiceJet 10
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WELCOME TO OUR NEW MEMBERS IN 2018
Name Entry Date Country Sector HONG KONG AIRLINES March Hong Kong Airline GERHARD KAPELLER VERWALTUNG June Austria Travel HAHN CARGO SERVICES June Germany Travel MBAVIATION June France Travel TBILISI CARGO SERVICE June Georgia Travel GLOBAL GSRM August Germany Travel KAM AIR September Afghanistan Airline AIR MANAS October Kyrgyzstan Airline ANGARA AIRLINES October Russian Federation Airline CARTHAGE SKY SERVICES October Tunisia Travel GH TEAM MARSEILLE October France Travel GOLDAIR October Greece Travel KLUEH PRM SERVICE October Germany Travel MSI AIRCRAFT MAINTENANCE SERVICES INTERNATIONAL October Germany Travel RAVINALA AIRPORTS October Madagascar Airport SHANNON AIR UKRAINE October Ukraine Travel AIR TANZANIA December Tanzania Airline BINTER CABO VERDE December Cape Verde Airline CCS-DUS CARGO December Germany Travel FITSAIR December Sri Lanka Airline GOLD TAG ASSIST SERVICES December India Travel HKEXPRESS December Hong Kong Airline JET-OPS December United Arab Emirates Airline PRIMUS December Germany Travel REGOURD AVIATION December France Airline SA AIRLINK December South Africa Airline TAG8 December India Travel
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CHIEF EXECUTIVE OFFICER’S REPORT Barbara Dalibard
MEETING THE INDUSTRY’S CHALLENGES, TOGETHER
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“Our vision, ‘Easy air travel every step of the way’, recognizes that to keep COLLABORATION passengers moving, our community As air travel becomes more complex, must invest in the effective use of more stakeholders span the journey experience. Every time we take a flight, technology across every stage of for example, around 20 companies the journey.” might enable that journey. So, along the travel chain, there is a need to bring stakeholders together. SITA facilitates this collaboration, working day-to-day with stakeholders around the world, across passenger processing, airport operations, baggage processing, border management and aircraft operations.
INTRODUCTION OUR VISION FOR AIR There are many examples where SITA TRANSPORT acts as the industry ‘glue’ that binds I am pleased to report that SITA is stakeholders and processes, to smooth clearly back on a path to growth. At Our vision, ‘Easy air travel every step the journey’s steps. US$1.84 billion, 2018’s revenue came of the way’, recognizes that to keep in above budget and represented 4.2% passengers moving, our community One of them is SITA’s infrastructure, growth over 2017*. We can attribute a must invest in the effective use of which enables sharing and 17% rise in revenues to our portfolio of technology across every stage of the communication globally, while newer generation solutions. journey. providing the means to manage industry growth. By 2030, for instance, Our figures for margin and cash SITA has always played a key part in the world’s airports will need 18,000 were also strong, and we saw a rise the evolution of the industry’s IT and airline communication connections. in customer satisfaction. SITA’s Net communications, having now been at In 2018, AirportHub™ – our expanding Promoter Score (NPS) improved by the heart of air transport for 70 years. shared communications platform 17%, reaching 36.5%. Our approach is to: – accounted for more than 7,000 connections in 500 airports across 157 The score reflects the successes of • Facilitate air transport industry countries. our transformation program. We have collaboration. improved the quality and speed of • Help the community to achieve Another area that will benefit from our project delivery, and made strong operational excellence. better stakeholder collaboration is progress in reducing our lead-time- aircraft turnaround. Today, this is • Deliver the seamless passenger to-market and time-to-fix for software being helped by SITA’s collaborative journey. defects. decision-making capabilities, including
SITA’s Airport Management Solution Given all our efforts, we were (AMS). With its own turnaround and particularly happy to be named transfer management modules, AMS ‘Service Provider of the Year’ in the allows parties to share data in real Annual Air Transport Industry Awards. time, to better control resources and
operations.
Last year, we reached AMS agreements with Brazil’s Florianópolis-Hercílio Luz International Airport, and Canada’s Toronto Pearson International Airport, with more on the cards.
*US$1.7 billion excluding revenue from SITA’s PSS business.
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Turnaround times remain a focus By the end of 2018, more than 20 area for innovation at SITA. It is airlines had taken on SITA BagJourney. THE SEAMLESS PASSENGER further supported by the launch of In 2018, our baggage tracing network, JOURNEY SITAONAIR’s e-Aircraft® DataHub, WorldTracer ®, also included the which is a leap forward in unlocking capability to track a bag from its SITA’s 2019 Passenger IT Insights the potential of data generated by destination airport through to the research demonstrates that the more modern aircraft. With Rolls-Royce passenger’s hotel or home. IT and automation there is along the as the launch customer, the service journey, the happier the passenger. IT Operational excellence was one of the enables airlines to share aircraft and automation are taking us towards focus areas of SITA’s 2018 Innovation performance data from diverse fleets our goal of the seamless journey. in different formats. Forum (see page 12), where delegates heard about Singapore Changi Of course, this demands cooperation Airport’s pioneering work with SITA in among airlines and airports, as well Artificial Intelligence (AI). Working with as governments, ground handlers, air OPERATIONAL EXCELLENCE the airport, we developed the ability to traffic control bodies and others. Again, accurately predict flight arrival times, Given the pressure on the air transport let me give you an example from last through a predictive model using AI industry’s operations, there is great year. Biometric identity management and data analytics. potential for improvement. Airport is key to the seamless journey. We see this from the success of SITA’s Smart infrastructure will not increase as SITA has introduced a FlightPredictor Path™, our common use biometric passenger numbers rise. Technology solution for the air transport solution for ID management. must underpin operational excellence. community. Flight delays currently cost the industry around US$25 billion To drive efficiencies, SITA works with Smart Path™ has been at the hub a year, for example, which is almost customers in key areas such as airport of several innovative trials (see US$70 million a day. management, baggage management, ‘Accelerating innovation’). By the passenger flow, mission-critical end of 2018, it was in use at five infrastructure, data analytics and airports: Brisbane (Australia), Hamad more. International (Qatar), Muscat (Oman), Orlando and Boston (US). Several other Again, 2018 saw several examples. In US and European airports are also baggage handling – where mishandled coming on stream. baggage costs the industry US$2.4 billion a year (2018) – there is clearly the need for further operational improvement. SITA’s BagJourney enables airlines to comply with IATA Resolution 753, which requires bag tracking at every stage.
“Our approach is to develop technology and innovate collaboratively with the many stakeholders who span the processes making up the journey experience. This underpins our vision of ‘Easy air travel every step of the way’.”
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“Our approach centers on OUR STRATEGY addressing key trends and Looking ahead, SITA’s Long-Term tackling the pain points that the Business Strategy focuses on industry faces, while encouraging growth in our chosen markets. It is the framework for SITA’s Three- collaboration and sharing.” Year Business Plan 2019-2021, which includes SITA’s own focus on operational excellence, as a priority.
In addition to service and delivery improvements, referred to earlier, we will see the introduction of new DevOps practices, smart infrastructure management, and new service management capabilities. To meet future industry challenges, A STRONGER PORTFOLIO we introduced three new portfolios As well as organic growth, we also in 2018: Platform, Data and Business continue to seek equity-based and Another priority is to simplify our Intelligence services. They will include commercial partnerships, mergers portfolio, building on SITA’s strengths, next generation platforms specifically and acquisitions. A perfect example in maintaining and growing our markets for airports, airlines, aircraft, 2018 was the acquisition in November in areas where we are among the governments, and so on. These of MEXIA Interactive, a leading global leaders. will remove silos and create more provider of curb-to-gate passenger opportunities for sharing. analytics, based in Winnipeg, Canada. Our approach centers on addressing key trends and tackling the pain We will also introduce Software- points that the industry faces, while Defined Networking (SDN) as the next encouraging collaboration and sharing. generation platform technology for infrastructure, allowing our customers This will result in further portfolio to exploit cloud platforms. developments in passenger processing, baggage management, As part of our strategy, we continue to airport operations, collaborative evaluate the best strategic direction decision-making (CDM), disruption for our Passenger Services System management, border management, business. Our aim is to position aircraft data and more. the business for the future, for the benefit of our customers and all our stakeholders, including employees. We continue to seek the right partnership to strengthen this business in a highly competitive landscape.
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In biometrics, for example, we Following our flight prediction project ACCELERATING INNOVATION continue to build on successful trials, with Changi airport, we remain such as our ‘world-first’ project with focused on AI for airports and airlines, Innovation is a top priority for SITA. JetBlue and the US Customs and including a chatbot proof-of-concept. For years we have co-innovated Border Protection agency, which Based on our efforts last year, in early with customers, and we work with demonstrated the importance of 2019 we announced Aeromexico’s proven innovative companies, early collaboration. Using Smart Path™, the world first in integrating WorldTracer® stage players and universities. To project showed the way forward for with its passenger chatbot, to respond further accelerate innovation, we air travel, providing a paperless and to customer queries about the location have dedicated additional resources device-less self-boarding process – of baggage. for prototypes with customers, or ‘board in a snap’ – based on one quick advanced proofs-of-concept. photo. In the meantime, for our aircraft services customers, in 2018 Such collaborative innovation has We used the same technology at SITAONAIR embarked on its BlueSky always been at the heart of SITA’s Orlando International Airport with Innovation Program. The program approach, in which SITA takes on the British Airways, enabling biometric involves a cross-functional team of risk of evaluating new and emerging boarding at the gate, on flights over 40 people to challenge existing technologies for the benefit of the air from Orlando to London Gatwick. services and boundaries, with a focus transport community. The trial resulted in the boarding of on both customer and technology international flights for almost 240 innovation. We also have in place mechanisms passengers in around 15 minutes. for encouraging co-innovation and My final example of innovation is our developments with customers, We are exploring blockchain too, work to create a mixed reality airport including our SITA Innovation Forum, to deliver secure and efficient operations center with Helsinki our Customer Advisory Boards in each collaborative working across air Airport, using Microsoft HoloLens. geographic area, and our high level transport stakeholders. Blockchain We are exploring this concept with SITA Executive Advisory Forum. holds many promises, but exploring other airports too, including LaGuardia it in individual organizations is not the (see page 39), as well as working with SITA’s innovation initiatives today most productive way forward. Our Virgin Atlantic on augmented reality address disruptive technology areas Aviation Blockchain Sandbox initiative training. This allows cabin crew to walk such as data science, biometrics, has brought together over 50 industry through and acquaint themselves with encryption, blockchain, Internet of participants (see page 39). the layout of the airline’s Boeing 787 Things, artificial intelligence (AI), Dreamliner without visiting the airport mixed reality, and more. or getting onto the plane.
“Collaborative innovation has always been SITA’s approach, with SITA taking on the risk of evaluating new and emerging technologies for the benefit of air transport. To help us accelerate innovation, we have dedicated additional resources for prototypes with customers.”
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We will continue to reflect values OUR PEOPLE, A KEY ENABLER in our policies and people-related processes. We are deploying a culture Of course, the success of SITA of continuous improvement, and we are depends on our constant attention to simplifying the way we work, placing strengthening our people, as part of key capabilities and skill sets where our organization’s transformation. they are most needed, and enabling We made strong progress in 2018. more agile decision-making. Our values are now embedded in our performance and reward management We are also strengthening four processes (see page 41). targeted professions: customer solutions, project management, product management, and technology management. The number of staff in those professions increased from 38.6% of our total workforce in 2017, to 39.2% in 2018.
Thank you also to our customers THANK YOU and Members, who have been the crucial element in our successful 70 I want to conclude first, by thanking years at the heart of the air transport everyone across SITA’s staff, the community. senior leadership team, the SITA Board and the SITA Council for their We were created by the industry, support, enthusiasm, commitment and for the industry, and we will encouragement during 2018. It was continue to learn, build and innovate a year full of change, but also full of collaboratively with our Members and success and targets met. customers in the coming decades. Barbara Dalibard SITA CEO
SITA | GROUP ACTIVITY REPORT 2018 23 LET’S MOVE THE WORLD, TOGETHER
In the process, SITA has contributed FOUNDED AND OWNED BY AIR to industry-wide programs that TRANSPORT have delivered billions of dollars of SITA AT 70 cost reductions across air transport operations. Key to this has been a Founded and owned by the industry, strategic partnership with IATA – SITA’s mandate was to deliver common helping to realize major programs benefits to the global air transport such as Simplifying the Business (StB) MAKING AIR TRAVEL EASIER community. Steered by more than 30 and Fast Travel, as well as the IATA/ACI … FOR SEVEN DECADES aviation industry IT leaders on the Smart Security initiative. SITA Board and Council, SITA today represents the community’s interests In 2019, as SITA commemorates 70 years at the heart of air transport, through more than 400 Members in we are reminded of the company’s almost every corner of the globe. A NEW DIGITAL ERA contributions to the technological advances that are keeping ever- Through the years, SITA’s focus In its seventieth year, SITA is deeply increasing numbers of passengers has broadened from airline involved in the air transport industry’s moving around the world. communications to encompass IT and digital transformation, as it embarks applications, as well as a growing on data-based digital infrastructure During those seven decades, SITA has customer base of airports, ground programs that will underpin operations worked closely with airlines, airports, handlers, air navigation service and the seamless journey of tomorrow. industry bodies and other industry providers, governments, industry ‘players’ to address the challenges bodies and other players. The company The company is co-innovating with faced by the community. now does business with nearly every customers and industry bodies across airline and airport in the world, across new and emerging technologies, SITA’s story begins with innovation: 200 countries and territories. such as identity management and a decision by 11 airlines1 in 1949 to biometrics, artificial intelligence, data share communications resources. analytics, blockchain, the Internet of Establishing SITA as a unique A HISTORY OF Things, mixed reality, robotics and independent organization, the airlines more. became both ‘shareholder members’ COLLABORATION and users. Driven by vast amounts of data and The pace of change over the decades up-to-the-second intelligence and The principle of shared technology has been relentless, with many analysis, these technologies are remains as relevant today as it was to milestones along the way (see page transforming air transport. SITA is those founding airlines. Put simply, it 25). Constant collaboration has a vital link in that process – bridging makes sense to collaborate rather than remained a SITA principle, not only as much as 60% of air transport data compete in areas of common purpose. with customers, but with industry exchange among airlines, airports, Where there is little or no competitive bodies such as IATA, ACI, CANSO aircraft and border agencies. advantage to be gained by acting alone, and ICAO to help drive standards and services. there can be considerable advantage in acting together. EASY AIR TRAVEL EVERY STEP OF THE WAY
As we fast approach the next decade, SITA remains committed to developing and delivering the digital technologies that will make its vision of ‘Easy air travel every step of the way’ a reality. As in the past 70 years, the approach will always involve close collaboration with the air transport community, to 1 The 11 airlines that founded SITA in 1949 were: KLM, Air France; British help move passengers smoothly and European Airways Corporation (BEAC), British Overseas Airways Corporation (BOAC), British South American Airways (BSAA); Swedish A.G. swiftly, wherever they may travel. Aerotransport, Danish Det Danske Luftfartselskab A/S, Norwegian Det Norske Luftfartselskap; Sabena, Swissair and TWA.
24 SITA | GROUP ACTIVITY REPORT 2018 1966 launches the world’s first working network to use packet switching 1969 - activates the 2019 principles. world’s first nodal looks ahead to distributed network, 1957 - grows rapidly another 70 years of to 52 airline Members three years before the 2018 and 75 communication US Defense Dept ‘Moving the world, - takes centers. network that led to together’! the lead in the internet. enabling airlines to track, trace and manage baggage 1950 - takes its first 1970 - expands and through the journey, steps to create the speeds up the network in compliance with world’s largest data using the world’s IATA Resolution network. first communication 753. satellites, operating at speeds of up to 120 2018 words per minute. acquires MEXIA Interactive and its 2017 - advanced passenger introduces ground- 1971 - pioneers the first analytics technology to further streamline the breaking 1949 ever common carrier digital packet-switched passenger SITA is created journey. biometric ID network to handle data management by 11 airlines. traffic in real time. 1996 - technology with develops the SITA Smart PathTM, to deliver the seamless 1976 - expands the world’s first passenger journey. business to provide e-visa system, IT and applications, a ready for the game-changer for the 2000 Sydney Olympic 2016 - becomes company. Games. ‘IT Company of the Year’ for 2015 2nd time in 1984 - introduces VHF launches 2001 - sets up three years (Air AIRCOM, a revolution SITAONAIR, leader in Advanced Travel Transport News in air-to-ground data inflight and aircraft Solutions, to Awards). communications. connectivity. provide web-based applications and 2011 - introduces 1984 - launches e-commerce the first industry Common Use Terminal integration dedicated community Equipment (CUTE) services. cloud to provide on- 1989 system, enabling demand availability opens SITA airlines to share 2004 - CHAMP of software and data membership to any check-in Cargosystems formed, services. organization primarily terminals. giving rise to a global involved in air leader in IT solutions transport, including for air cargo. 2010 - acquires airports. 1992 - introduces WorkBridge SATELLITE CARGO and ComNet, to AIRCOM to help realize the provide data/voice 2004 intelligent airport, communications for launches airport-wide 2005 - enhancing passenger cockpit crew and air-to- shared digital platform, pioneers communication ground telephony for AirportHub™, for all inflight systems and mobile passengers. airport stakeholders, resource management. now in over 500 passenger airports and mobile 1995 - makes growing. communications e-commerce history, with the launch 2008 - expands launching the first of ONAIR. innovation and research 2010 real-time travel into new areas with the launches the bookings and roll out of SITA Lab, world’s only payments website. including cutting edge Command Center mobile and wireless wholly dedicated technologies. to the air transport industry.
SITA | GROUP ACTIVITY REPORT 2018 25 BUSINESS LET’S MOVEREVIEW THE WORLD, TOGETHER BUSINESS REVIEW BUSINESS REVIEW BUSINESS REVIEW BUSINESS REVIEW BUSINESS 26 SITAREVIEW | GROUP ACTIVITY REPORT 2018 LET’S MOVE THE WORLD, TOGETHER
FOCUSED AT AIRPORTS AND AROUND AIRCRAFT, SITA’S IT AND COMMUNICATIONS SOLUTIONS HAVE HELPED TO ‘MOVE THE WORLD’ FOR THE PAST 70 YEARS – SMOOTHING STEPS ALONG THE PASSENGER JOURNEY AND UNDERPINNING THE AIR TRANSPORT INDUSTRY’S OPERATIONS.
Throughout every one of those Today, SITA continues to work decades, collaboration with the closely with ‘players’ across the community has remained paramount, community, to: in the areas of airline operations, • Facilitate collaboration to support a airport management, baggage more efficient air transport industry. processing, border management, passenger processing, and aircraft • Aim for operational excellence. cockpit and cabin communications. • And deliver a seamless passenger journey.
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Better decisions, better operations By using SITA’s solution for an integrated airport control center, for FACILITATING Capacity constraints mean that example, airports can develop a single COLLABORATION airports must make better use of airport control center which integrates assets and resources. This requires ACROSS THE command and control capability across working with every business in the multiple traditionally standalone AIR TRANSPORT airport: from airlines to concession functions. holders, ground handlers to caterers. INDUSTRY SITA’s Airport Collaborative Decision- In 2018, AERIS Holdings, airport The air transport industry is a complex, Making (A-CDM) solution is the enabler, operator for Juan Santamaria multi-stakeholder ecosystem. More with a proven record of collaboration International Airport in Costa Rica, than ever, bringing stakeholders and process optimization airside. selected SITA to implement its control together is crucial, to achieve greater center solution. In addition to A-CDM, Total Airport Management takes this efficiencies. As part of the industry, it provides a centralized and integrated further by enabling efficient data working with its many ‘players’ view of everything happening at the sharing across the airport community. around the world, SITA is positioned to airport, from security to boarding In 2018, São Paulo’s GRU Airport facilitate this collaboration. gates, and ground handling to facilities was one of several to embrace SITA’s management. A prime example is the evolution in A-CDM and operational intelligence 2018 of SITA’s Air Travel Solutions tools (see ‘Airport collaboration: 2018 (ATS) portfolio, which includes Total highlights’). Airport Management Services. This As a ‘concept-to-commission’ solution, is unique in providing management Total Airport Management includes services from landside to airside, and consulting and managed services to landing to take off. The portfolio meets integrate technologies, along with the airports’ operational needs to handle ability to create a collaborative control burgeoning demand with limited center operation. capacity.
“Brisbane Airport Corporation has chosen SITA as an ongoing partner because they share our values around collaboration, innovation and a focus on the customer. This focus helps us with our overarching gateway strategy and helps us continually improve as we focus on becoming a world-class airport.” Stephen Goodwin, General Manager Operations, Brisbane Airport Corporation Pty Limited
28 SITA | GROUP ACTIVITY REPORT 2018 LET’S MOVE THE WORLD, TOGETHER
• The first phase of Istanbul Airport, AIRPORT COLLABORATION: set to become one of the world’s 2018 HIGHLIGHTS biggest airports, opened in 2018. SITA AMS and other SITA solutions • In 2018, Bogota’s El Dorado are in action. They will support 75 International Airport achieved a flight departures an hour, 3,500 flight three-fold fall in check-in to boarding operations a day and 1,000 bags per time, as well as cost reductions, flight. using SITA AMS. • SITA announced the first deployment • As part of a major investment of its A-CDM solution in North program, Brazil’s Florianópolis- America – at Toronto Pearson Hercílio Luz International Airport is International Airport. In the using SITA’s AMS, AirportCentral and meantime, using A-CDM, São Paulo’s AirportVision®. Completion of the GRU Airport has automated 95% of program is due in 2019. its 830 daily aircraft movements, while decreasing check-in allocation time from one hour to five minutes.
Evolving airport operations At the same time, in 2018 an increasing number of airports embraced SITA’s SITA’s professional services and Airport Management Solution (AMS), technology for integrated airport which enables further collaboration command and control centers are and offers software applications evolving ever better ways to consume for airport operations. The 150 operational and situational awareness deployments of SITA AMS include more data, calling on data from SITA and than 91 airports, 50 airports using third-party applications. Proofs-of- ground handling, nine multi-airport concept have been completed with environments, and eight airlines. This major European and US airports, represents 500 million passengers and SITA continues to seek partners annually resulting from 4.6 million to bring radical change to airport flight movements. operations.
“SITA has been a trusted partner to help transform our two airports. We now look forward to partnering with SITA and introducing its innovative range of smart airport technologies, which will allow us to have world-class operations and double the total capacity of the airports we manage.” Sardjono Jhony Tjitrokusumo, Director Business Development, PT Angkasa Pura | Persero
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Digital platforms and data sharing SITA ATS developments in 2018 In 2018, with 60 new sites deployed, included transforming the portfolio AirportHub™ reached 500 airports. Ever since being founded 70 years into a platform model and introducing More than 430 customers use services ago, SITA has provided a backbone Software-Defined Networks and Wide based on this platform, which is of platform and data services for the Area Networks (SDN and SD-WAN). expected to cover 90% of international global air transport industry, to enable destinations by 2020. Among many collaboration and sharing. Today, that Already two major customers have new AirportHub™ contracts in 2018 backbone includes a network spanning selected SITA for SD-WANs, and in a were Virgin Atlantic Airways and 95% of all international destinations, 2018 outsourcing contract, London Scoot. Leveraging Virgin Atlantic’s along with 1,800 VHF (Very High Heathrow Airport chose SITA to use of AirportHub™, SITA is providing Frequency) ground stations in more transform the management of the secure, high-speed connectivity than 160 countries. SITA also enables airport’s vast communication network between the airline’s London hub to 66 the sharing and bridging of 60% of the into a smarter, automated service. This airport, sales and cargo locations in 19 air transport industry’s operational will introduce emerging automation countries. data exchange among airlines, and self-healing technologies, allowing airports, aircraft and border agencies. remote monitoring and management. For Scoot, Singapore Airlines’ low-cost carrier, SITA’s AirportHub™ simplifies With continued investment during Platform leadership the way the airline connects its central 2018 in common platform and data IT systems to airports in its rapidly- portfolios, SITA is aiming to become Critical to SITA’s platform leadership growing route network. air transport’s digital platform and is AirportHub™ – SITA’s airport-wide Application Programming Interface shared digital platform for airlines, Another 2018 development by SITA (API) leader. This will enable cloud- ground handlers and maintenance ATS was the launch of NDC Exchange based business within the industry companies at the airport. AirportHub™ in partnership with ATPCO (the Airline and the ready sharing of information, addresses the need for resiliency, Tariff Publishing Company) and with among airlines, airports, aircraft and high bandwidth, on-demand Air Canada as launch partner. NDC other stakeholders. communications, plus the performance Exchange facilitates data exchange requirements of new aircraft and between airlines and travel sellers cloud-based applications. Enabling to support adoption of IATA’s New data sharing across the airport, it has Distribution Capability (NDC), which the potential to change processes and it does through cost-effective API generate new insights into operations connectivity. Early adopters included for all those within the ecosystem. British Airways, Delta Air Lines, United Airlines, the airlines of the LATAM Group, Finnair and the global travel search site Skyscanner.
The center supports a community-wide This machine-driven sharing of SITA’S COMMUNITY CYBER response by promoting the proactive intelligence indicators provides THREAT CENTER and timely exchange of contextualized, valuable information to help airlines actionable cyber threat information and airports identify potential threats As a collaborative initiative providing between members. Participating to their systems, enabling a timely a security information sharing organizations can also choose to response when needed. service, the SITA Community receive automated threat intelligence Cyber Threat Center (CCTC) is feeds, which relate to malicious activity run specifically for cybersecurity observed within air transport and other professionals throughout SITA member industries. organizations. During 2018, it reached 29 active members.
30 SITA | GROUP ACTIVITY REPORT 2018 LET’S MOVE THE WORLD, TOGETHER
“SITA has long been a trusted partner to Heathrow when it comes to managing our communication and IT infrastructure. They understand our requirements and are able to provide an innovative service management solution that is more effective but can also be scaled to meet our continued growth.” Stuart Birrell, CIO, Heathrow Airport
Government data and relationships Throughout the year, SITA’s existing relationships with international SITA’s role as a facilitator among governmental organizations and industry players has been equally industry bodies continued to grow, important in helping airlines to meet focusing on border management government data requirements around and public protection to support the world. As the industry introduces the air transport community. SITA more controls and regulations to collaborates with parties such as IATA ensure secure international travel, Security and Facilitation, the European SITA has led the way in providing Union, Interpol, the United Nations, operational systems to bridge the International Organization for passengers and airlines with Migration, the World Travel & Tourism governments. Council, and many more. As it stood in 2018, SITA’s iBorders Government Gateway accounted Collaborating to tackle growing for the integration of data between cyber threats passengers, over 400 airlines and Collaboration is vital too in tackling over 40 government agencies. As the the cyber threat facing air transport. biggest such hub in the world, it vastly Here again, SITA is facilitating reduces the complexity, cost and risk collaboration across the community, for hundreds of airlines. This helps helping to educate, inform and airlines to mitigate against fines and protect airline and airport customers. penalties for incorrect, late or poor In November 2018, for instance, quality data. SITA’s third annual SITA Aviation Cybersecurity Symposium brought together IT and cybersecurity experts from across air transport, to chart the way forward for the community.
Cybersecurity remains a focus of SITA’s platform and data services – from cloud and infrastructure security, to security operations center (SOC) and consultancy services. It includes an air transport-specific security portfolio, with a cybersecurity toolkit and database, to help airports and airlines establish a cybersecurity practice. See also: ‘SITA’s Community Cyber Threat Center’ (see page 30).
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AI innovation SITA’s Baggage Management portfolio includes a full range of services to OPERATIONAL SITA’s mission to enhance industry enable compliance. One such service is EXCELLENCE – operations is driving further innovation BagJourney, which provides a precise in artificial intelligence (AI), to offer THROUGH BETTER picture of a bag’s location, based visual tracking and monitoring of all on 3.36 billion baggage information INTELLIGENCE stakeholders around an aircraft, with messages a year harnessed across proactive turnaround management and 260 airports, for over 550 airlines. For In the drive for operational excellence, coordination. airlines handling hundreds of millions airlines and airports are looking to of bags each year, it can enable a 30% minimize the impact of disruption. Thanks to SITA FlightPredictor – reduction in mishandling rates. Within the industry’s highly launched in 2018 – multiple sources of interdependent ecosystem, this creates data, both historical and real time, can To date, SITA has worked with multiple a growing need for holistic operational now be fed into various AI platforms customers to enable compliance, analytics across multiple areas, to offer look-ahead windows of up to including Aeroflot, Alitalia, Air including passenger, baggage, airport 24 hours for airport users, increasing India, Bahamasair, Delta Air Lines, and aircraft operations. (For eAircraft to 72 hours out for airline users. This Etihad Airways, Airports Authority of data sharing, see ‘SITAONAIR’.) is a cloud-based service that can also India, Istanbul New Airport, Kotoka be delivered via an API, or airports can International Airport, TAP Air Portugal Evolving business intelligence choose both. and Qatar Airways.
Just as SITA ATS is evolving its Better baggage tracking – from start In 2018, SITA introduced its common digital platform and data to finish WorldTracer Baggage Delivery services, so the organization is also Service®. The new service tracks bags continuing to invest in business Despite major improvements in from a passenger’s final destination intelligence (BI) to deliver increasingly baggage mishandling cited in SITA’s airport to their hotel or home. rapid reporting and prediction, with annual ‘Baggage IT Insights’ research, Passengers, with expectations fueled clear visibility of different areas of the considerable scope remains for further by consumer experiences, can now airport ecosystem. improving operations and saving costs track their mishandled baggage just through end-to-end bag tracking. like they would a delivery from an Late in 2018, SITA acquired MEXIA online supplier. The service went live With IATA Resolution 753 coming into Interactive, a leading provider of curb- in January 2019. to-gate passenger analytics based effect midway through 2018, SITA in Winnipeg, Canada. The company’s continued to build on its recognized technology provides seamless leadership in bag tracking and tracing integration with SITA’s existing for more than 25 years, with systems in passenger flow management, airport every major airport in the world. management and BI solutions.
The airport is a complex network AI AT CHANGI: ‘PREDICTIVE involving over 200 organizations. Any PIONEERS’ insight the airport can get into flight arrival times to plan resources is Singapore Changi Airport is pioneering invaluable. Working closely with the work in AI and predictive disruption. airport, SITA developed the ability Using AI, valuable insights are gained to accurately predict arrival times from masses of historical data disruption, through a predictive model accumulated from flights and delays using AI and data analytics. coupled with real-time information.
32 SITA | GROUP ACTIVITY REPORT 2018 LET’S MOVE THE WORLD, TOGETHER
A leading example in the ATS portfolio More US, European and Asia Pacific is SITA’s Smart PathTM, which provides airports are coming on stream, MAKING THE whole journey identity management including Smart Path™ for Lufthansa PASSENGER JOURNEY using biometrics. In 2018, airlines and flights from Miami International SEAMLESS airports continued to adopt it. Now Airport to Munich, and an initial trial rolled out globally, it has begun to of Smart Path™ Mobile at Brisbane Two forces are driving the move to a play an essential role in the delivery of Airport, with Qantas Airways. seamless passenger journey. First, seamless travel. Passengers were able to upload their increasingly digitized passengers are passports to mobile devices and check Using facial recognition, Smart PathTM happier when using self-service and in before arriving at the airport. creates a secure digital travel ID for automation along the steps of the use at every touchpoint. Whether at Smart Path™ also featured in a major travel journey, as SITA Passenger IT check-in, self-bag drop, border control 2018 initiative at Orlando International Insights research shows. Second, the or aircraft boarding, this digital ID Airport. The airport was the first in industry is facing increasing pressure removes the need to show a passport the US to commit fully to deploy the US with passenger and aircraft numbers or boarding pass. Importantly, it does Customs and Border Protection (CBP) expected to double within the next 20 this while integrating with SITA’s Biometric Entry and Exit program, years. existing common-use infrastructure of a focus for the US Government. It SITA is playing a leading role in check-in kiosks and boarding gates. involved integrating Smart Path™ at identifying and exploring opportunities 64 boarding lanes and 30 international The march of Smart Path™ in end-to-end passenger processing – boarding gates, significantly speeding with frictionless self-service based on Smart Path™ is in use or has been up the boarding process. During a biometrics, to mobile enablement of trialed at a growing number of airports Smart Path™ trial earlier in the year, wayfinding to bag tracking, and more. across the world, including Brisbane, British Airways boarded flights of Hamad International (Doha), Muscat some 240 customers in around 15 (Oman), Orlando (with British Airways minutes. and Lufthansa), Boston (with JetBlue) and Athens.
“Biometric boarding is an efficient and hassle-free form of travel that helps speed up the boarding process while also increasing security. We are thrilled to be the launch airline that introduces this technological advancement at Miami International Airport.” Dr Bjoern Becker, Group Senior Director Product Management Ground & Digital Services, Lufthansa
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SITA’s latest ‘Air Transport IT Insights’ INNOVATING IN BIOMETRICS research shows how biometrics are being incorporated into the evolution As a winner of the ‘Air Transport of self-service, with 77% of airports Industry Awards’, SITA was recognized and 71% of airlines planning major in 2018 for innovation and leadership programs or R&D in biometric ID in biometrics across the journey: “SITA management over the next has taken the lead in the development three years. of biometric solutions. This has included innovation solutions for airlines and airports as well as looking to the future uses of biometrics as the technology develops.”
Creating seamless borders iBorders provides comprehensive biometric boarding system using just a insights to enhance every aspect facial scan to board passengers, while Governments increasingly desire of border operations, along with also completing the US Government’s frictionless, seamless borders to automated border technology that customs and border exit checks. cope with growing traveler numbers, enables governments to clear large terrorism, trans-national crime and numbers of passengers in record time. The integration of the two parties’ irregular migration. systems by SITA demonstrated how By using iBorders, governments are airlines and government border During 2018, as market leader, able to prevent threats even before agencies can work together to enhance SITA’s border management portfolio, the journey starts in the country of security, while reducing friction points iBorders, met the needs of more departure, thanks to advanced risk for passengers. than 40 governments in Asia Pacific, assessment and identity management. Australasia, the Middle East, the SITA is now accelerating investment in Americas and Europe. Currently, SITA’s leadership was acknowledged the next generation iBorders solution, iBorders processes over 2.2 billion during the year when it was providing biometric pan-global and traveler journeys a year. named winner of the respected Air government authorized passenger Transport World ‘Aviation Technology journeys, machine learning identity Achievement 2018’. The award networks and risk identification, and recognized SITA’s work with JetBlue multi-modal travel and migration and the US CBP for the world’s first control.
“Working closely with SITA at Orlando has allowed us to explore various ways of incorporating the US biometric exit check. Together we have designed a really smooth and secure departure process for our customers, including children.” Raoul Cooper, Digital Airport Design Manager, British Airways
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“Since we started using SITA’s BORDER HIGHLIGHTS IN 2018 automated border gates, we have seen • Integration of SITA’s iBorders and a significant reduction in queue times, the Saudi Pilgrim system to support the annual Haj and migration of two with passengers taking as little as 10 million pilgrims traveling to Saudi seconds to go through the border Arabia within one month. checks.” • Roll out of 100 of SITA’s Automated Frank Elías Rainieri, CEO, Punta Cana International Airport, Border Control kiosks across three Dominican Republic major airports in Mexico. The kiosks use biometric fingerprint technology to verify identities, reducing passenger time spent in line by as much as 40%.
• Introduction of SITA’s Automated Border Control Gates at the Dominican Republic’s Punta Cana International Airport, for passengers from the US and Canada, as well as Spain, UK, and France.
of the country. Sky High Aviation SITA PASSENGER SERVICE also adopted SITA PSS – operating SYSTEM scheduled and charter operations from the Dominican Republic to destinations In August, SITA announced a across the Caribbean. reorganization of its Passenger The year saw continuing development Solution Line with the creation of a of Horizon® Departure Control Services separate company – SITA Passenger (HDCS), SITA’s latest technology to help Service System (SITA PSS). airlines and ground handlers process With more than 150 customers, in 2018 passengers and improve the customer the company’s Horizon PSS enabled experience at check-in and boarding. 105 million passenger boardings and In 2018, HDCS was in controlled 139 million check-ins worldwide. launch with customers including Air Horizon serves tier 2 airline customers Arabia, with over 125,000 passengers such as Air India and Jeju Air, which processed using the new system. renewed its contract in 2018, as well as As part of its strategy, during 2018 SITA a growing number of tier 3-4 airlines. continued to assess its PSS business, Two new flags were added in the to determine its best strategic Americas region in 2018. US-based direction, and with a view to positioning Southern Airways Express migrated to it for the future for the benefit of all Horizon to enable continued growth in stakeholders. the southern and mid-Atlantic regions
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Enabling aircraft tracking The business rolled out an enhanced air-ground datalink service to support SITAONAIR – In 2018, ICAO’s requirement for airlines and ANSPs in implementing REINVENTING aircraft tracking came into effect. CPDLC, dramatically improving SITAONAIR had already prepared performance. SITAONAIR also invested AIRCRAFT airlines worldwide with its AIRCOM® in its VHF ground network, deploying OPERATIONS FlightTracker. almost 10% more stations around the world in 2018, as well as upgrading and AND ONBOARD Used by airlines operating over refreshing existing infrastructures. EXPERIENCES 400,000 flights every month, without the need for aircraft modifications, IP in the cockpit – leading the way SITAONAIR continues to forge ahead in the service delivers global real- nose-to-tail aircraft communications, time aircraft position alerts, greatly Initiatives to integrate emerging data management and digital exceeding the minimum tracking technologies into aircraft data transformation, unlocking the value requirement of 15-minutes. Early messaging included the addition of of the connected aircraft for airlines, adopters include Avianca Brasil, Azul, satellite networks, exploration of passengers, OEMs, MROs and ANSPs. Norwegian Air Shuttle, Singapore communication links such as ACARS Embracing today’s digital shift will Airlines and Vistara. over IP, and ground-based terrestrial reinvent aircraft and flight operations, cellular networks for data exchanges along with the on-board passenger Flying safely in congested air space while the aircraft is on the ground. experience – making air travel safer, more efficient and enjoyable. Cockpit safety communications remain SITAONAIR’s partnership with at the forefront of SITAONAIR’s work Inmarsat’s SB-S next-generation to serve airline and flight operations flight deck communications platform customers. In 2018, SITAONAIR also enlists ACARS technology. This exceeded Single European Sky offers a global, secure and high- expectations, by establishing a speed dedicated IP connection to the multi-frequency European datalink cockpit, paving the way for airline infrastructure to increase air traffic operational applications and future management capacity. safety applications. In 2018, SITAONAIR also launched AIRCOM AppsConnect, allowing airline applications to connect onboard safely and cost efficiently.
GLOSSARY
ACARS: IFC: Aircraft Communications Inflight Connectivity Addressing and Reporting System IP: ANSP: Internet Protocol Air Navigation Service Provider MRO: CPDLC: Maintenance, Repair and Operations Controller-Pilot Data Link OEM: Communication Original Equipment Manufacturer eWAS: SB-S: EFB Weather Awareness Solution SwiftBroadband-Safety
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Digital transformation inflight “SITAONAIR’s e-Aircraft® DataHub creates a SITAONAIR continues to drive digital much-needed neutral environment where transformation of cockpit operations, operators have the freedom to securely with applications such as eWAS, already used by over 10,000 pilots. It share their data while maintaining control. enables inflight viewing of weather This will help create the kind of open and in real-time. August 2018 saw eWAS adopted as a partner application for collaborative innovation marketplace that Inmarsat SB-S, alongside SITAONAIR’s unlocks the greatest possible value for role as SB-S value-added reseller. airline customers.” Nick Ward, Head of Product Management, Servitisation Seamless cabin connectivity and User Experience, Rolls-Royce Airlines are also embracing a digital shift in the cabin. Russia’s Rossiya Airlines adopted SITAONAIR’s CrewTab solution. Enabling remote internet access to airline information resources In April 2018, SITAONAIR became In late 2018, Rolls-Royce became the and systems, CrewTab streamlines connected aircraft service consultant launch customer for SITAONAIR’s interaction between the airline’s and technology supplier to Taqnia e-Aircraft® DataHub. This enables internal organizational units, reducing Space, the Saudi organization operational efficiencies by collecting costs and significantly enhancing responsible for localizing technology raw data from diverse fleets, then passenger service. in Saudi Arabia and commercializing classifying, decoding, storing and Likewise, the passenger inflight outputs of Saudi R&D centers. dispatching appropriate sets to the experience is entering a new airline’s selected OEM, MRO team or SITAONAIR’s IFC solutions and open era. Milestones for SITAONAIR’s airframer. cabin approach allow airlines to deliver IFC services included Emirates’ bespoke, high-speed and intuitive passengers passing one million Ambitious innovation program experiences to passengers, with SITAONAIR-enabled Wi-Fi sessions the ability to offer tailored ancillary In 2018, SITAONAIR embarked on a month, as well as enabling Saudi services. an ambitious innovation program Arabian Airlines to offer free which included an onboard Internet WhatsApp messaging inflight to their e-Aircraft® – operational excellence of Things platform demonstrator passengers. with AirBridgeCargo and CargoLogic, SITAONAIR continues to drive its SITAONAIR continues to extend its at the Farnborough Air Show. The open systems approach, enabling the mobile offering, Mobile ONAIR, while proof-of-concept enables airlines to management of data generated by preparing for the future of 5G with monitor and receive real-time alerts connected aircraft, helping airlines, an emphasis on ensuring seamless of temperature-sensitive high-value OEMs and other stakeholders to connections and laying the foundations cargo. collaborate and dissect valuable data. for tailored revenue models through SITAONAIR continues to work towards partnerships with mobile network To help airlines and OEMs overcome the next big innovations for connected providers. operational challenges associated aircraft, involving analytics and with data sharing, SITAONAIR New customers for IFC services over artificial intelligence, to deliver flight continues to offer a suite of e-Aircraft® Inmarsat’s high-speed GX Aviation optimization and improve turnaround solutions. These provide aircraft broadband network included Aircalin time. It is also involved in cryptography operators with automatic acquisition and Kuwait Airways. Meanwhile, innovations powered by quantum- and synchronization of aircraft data, long-standing IFC customer Singapore physics technology and the application application-enabling services and Airlines continues to innovate with of blockchain in areas like drones, APIs, sophisticated communication SITAONAIR’s GX Aviation IFC services and more. management tools and advanced to passengers. ACARS management.
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“Innovation is the lifeblood of a modern INCREASING airline. SITA has long been a partner in INNOVATION WITH exploring the frontiers of technology and CUSTOMERS AND this AR (Augmented Reality) application PARTNERS is no exception.”
Innovation represented a top priority Don Langford, CIO, Virgin Atlantic for SITA during 2018, and continues to do so. The company innovates collaboratively with the industry, as well as through partnerships and acquisitions. SITA aims to take on the risks of evaluating new and disruptive technologies for the industry’s SITA Lab – exploring emerging tech Another example is the development of mobile and cloud services to enable benefit. This involves increasingly In addition to innovation projects by the co-innovating through proofs-of- the submission of electronic travel portfolio teams across SITA, the SITA authorization via mobile devices. After concept and trials with customers, Lab works throughout the company while cooperating closely with proven a successful proof-of-concept early in with colleagues and customers to 2018 with the Australian Department of innovative companies, early stage explore technologies that promise to players and universities. Home Affairs, the project is being used contribute to the industry’s operational as a model for passenger interaction, SITA focuses on tackling industry pain efficiency and the seamless journey. such as the issuing of government points, such as identity management, In the first half of the year, for example, credentials via mobile technology baggage management, A-CDM, the SITA Lab developed mobile and with governments in other regions. disruption prediction and management, cloud services enabling mobile Further development is underway as aircraft data management and more. applications to interact with SITA part of SITA’s Mobile Passport Control With further resources committed Smart Path™. Trials were conducted iBorders portfolio. to innovation for the years ahead, in late 2018 and a number of airlines initiatives continue to address potential In the area of chatbots, exploratory are in active discussions for use of the work took place with Virgin Atlantic opportunities in disruptive technology technology. areas such as data science, biometrics, Airways. This included a chatbot encryption, blockchain, IoT, AI, drones, interface to airline process manuals digital twins and applied robotics. for frontline staff, covering procedures such as check-in and boarding. The approach was found to be an efficient way of querying airport policies, and remains an area of ongoing interest for SITA.
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Digital twins – co-innovation in action Augmented reality is another area Digital identity of opportunity for the industry. The During the year, the SITA Lab ramped SITA Lab worked with Virgin Atlantic Digital identity is another area of up activity around the concept of digital Airways to use augmented reality interest. In mid-2018, SITA became twins for airport operations control. as part of cabin crew training, as a Founding Steward of the Sovrin A digital twin is a digital replica highlighted in the CEO Report. This Foundation, an international non- of physical assets, processes and included a high definition 3D model of a profit organization whose mission systems that continuously learns and Virgin Atlantic 787 with an augmented is to enable self-sovereign identity updates itself from multiple sources reality portal viewer that works on online. Self-sovereign means a lifetime to represent its near real-time status, iPhone or iPad for use by crew during portable identity for any person, working condition or position. classroom-based training. The app is organization, or thing that allows the being rolled out to all cabin crew. holder to present verifiable credentials One example is SITA’s work to create a in a privacy-protecting way. digital twin airport operations center Blockchain research with LaGuardia Gateway Partners, SITA is collaborating with the Sovrin using an immersive 3D interface with a In a major co-innovation initiative in Foundation and other Sovrin Stewards conversational user interface to create the third quarter of 2018, the SITA to create, operate and maintain the a total airport management view of Lab launched its Aviation Blockchain foundation’s decentralized digital airport operations. The digital twin Sandbox to accelerate research into identity network. In December, the was subsequently also deployed in the use of blockchain technologies as SITA Lab successfully completed a London Heathrow Airport to visualize a driver for better collaboration within joint development with a leading airline inbound aircraft and estimate the flow the industry. As well as providing group to demonstrate how Sovrin could of passengers into immigration. the sandbox platform itself, the Lab be used to support passenger identity created a reference blockchain app, in international air travel. A live trial is FlightChain, specifically around the anticipated in the near future. sharing of flight data. There have been more than 50 expressions of interest from airlines, airports and other industry players.
“One example of co-innovation is SITA’s work to create a digital twin airport operations center with LaGuardia Gateway Partners, using an immersive 3D interface with a conversational user interface to create a total airport management view of airport operations.”
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LET’S MOVE THE WORLD, TOGETHER
• The ISO27K certification of security processes provided by the Command CUSTOMER SERVICE Centers are a key component of PERFORMANCE the company’s enhanced security program, given the confidential • SITA’s Net Promoter Score stood at nature of the support services SITA 36.5% by year end, up from 30.6% provides to its customers. in 2017, including an improved • SITA Global Services, the company’s response rate at 13%, up from 9%. customer service function, • SITA has seen a year-on-year continues to embed security tools reduction of 7% in the rate of into services to proactively detect incidents per asset, and an 11% and address cybersecurity threats. reduction in the number of major Ongoing security health checks incidents. are undertaken on SITA managed • Following the 2017 award of ISO/IEC services in airports to ensure 20000-1:2011 Certification in Service compliance with ISO/IEC 27001 Management, SITA’s Command Information Security Management Centers (SCC) were awarded ISO/ System. IEC 27001 certification in December 2018.
allowing them to better manage their At the same time, Smart Infrastructure environment and better serve their Management will reset how SITA’s INVESTING end-customers. In 2018, over 100 Data Center and cloud infrastructure CONSTANTLY IN customers migrated onto ServiceNow. is managed. It will enable hybrid cloud CUSTOMER SERVICE solutions, offering customers a choice Improvements for customers between public cloud, private cloud SITA’s focus on operational excellence and on-premise consumption models. As a result of sustained investment in will help the industry to better manage managed infrastructure environments, the complexity of operations at the New technology focus tools and processes, SITA achieved airport and for aircraft. But operational marked enhancements in its global Further work is being progressed excellence is also, of course, equally service offering during 2018. At the to bring efficiencies to the way the important in SITA’s own internal same time, transformation of the company operates and manages its operations, as the CEO Report says on company’s project management services, including self-remediation page 20. capability continued, leading to automation capabilities. Robotic A large part of SITA’s internal significant improvements in delivery process automation technology is organizational transformation program times, beating 2018 targets for on-time being explored to eliminate low value is to drive improvements in the quality project delivery and network lead- administration tasks for employees. and speed of project delivery, and to times. For the future, SITA’s service reduce lead-time-to-market, as well organization has a number of key Other major initiatives included the as decreasing the time it takes to fix areas of work, including continued continued move to DevOps practices, software defects. Strong progress has preparation for evolution towards which puts into place a simpler, been achieved. Software-Defined Networks. stronger and more agile interface The transformation program includes between product development and multiple customer service initiatives, operations. This is improving time such as the move to ServiceNow, a to market and operational readiness best-of-breed Service Management through closer collaboration between platform that provides more service design, development and visibility and insights to customers, operations.
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LET’S MOVE THE WORLD, TOGETHER
“Launched in January 2018, the company’s values – which encourage collaboration, customer focus and simplification – are now a part of people-related processes. By year-end, approximately 70% of staff had attended dedicated workshops to bring the values to life.”
Building skills and collaboration Diversity, inclusion and wellness INVESTING IN SITA The company continues to focus key Following a review of workforce PEOPLE capabilities and skill sets where they structure and trends, SITA are most needed, to achieve greater is reinforcing diversity in the The success of SITA depends on levels of collaboration, as part of organization’s core people processes. continuously strengthening the its location strategy. This involves Added to that, a more inclusive company’s staff, which is a critical developing strategic hubs, keeping work environment is promoted element of the organizational customer-facing teams close to through awareness events such transformation underway. Embedding customers, and central functions close as International Women’s Day and SITA’s values and driving a culture of to each other. deployment of an employee resource continuous improvement are key areas groups network. A major part of SITA’s evolution of focus. is the strengthening of targeted At the same time, a global employee Launched in January 2018, the professions, such as technology wellness program, launched in the company’s values – which encourage management, project management, year, leverages existing best practice collaboration, customer focus customer solutions and product and offers a variety of activities and and simplicity – are now a part of management. The number of staff in services in all key countries. The people-related processes, including our targeted professions has increased program promotes an inclusive, performance and reward management. considerably, and continues to do so. healthy and productive work By year-end, approximately 70% environment. Benchmarked against external best of staff had attended dedicated practice, this effort has resulted in workshops to bring the values to life. clear career structures for staff, while setting the basis for in-depth understanding of critical skills for SITA’s future.
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“With the help of this bursary I was able POSITIVE IMPACT to complete my two years research THROUGH project in Computer Science. The focus CORPORATE SOCIAL of my project was to improve the RESPONSIBILITY prediction accuracy of six combined
SITA delivered programs in 2018 to climate change prediction models using support the company’s responsible machine learning techniques. Thank you business practices for the environment again for your investment in the and society, reaffirming commitment to the United Nations Global Compact University of the Witwatersrand and principles. In addition, SITA projects students like me.” reflect Sustainable Development JC, Student Goals, particularly climate change, gender equality and quality education.
Carbon credits to address climate change
SITA’s Corporate Social Responsibility (CSR) strategy maintains a key focus on ‘Press for Progress’ Focus on Africa reducing environmental impact, with 2018 seeing a new project to address Throughout the business, SITA teams The SITA Air Transport Community emissions from air travel. An internal adopted the ‘Press for Progress’ (ATC) Foundation continued to give ‘carbon levy’ on all flights now funds theme of International Women’s Day. access to IT and education for young carbon credits to offset emissions From London to Singapore, and Atlanta people in Africa, with programs generated from flying. to Delhi, discussions took place on including: how to support and champion female • Secure and equipped ICT labs for This is invested in environmental colleagues. secondary schools in Uganda and and social programs to support Zambia, as well as the provision of biodiversity, reforestation, access Supporting our communities solar power. to solar power, and community and education projects in Borneo and SITA’s ‘Value in Volunteer Action’ • Teacher training in Zambia, India. As a result, SITA’s air travel has program – which gives employees Zimbabwe and Ethiopia. a paid day to undertake voluntary been carbon neutral, with more CO2e • University student funding in South activities in their communities – (carbon dioxide equivalent) being offset Africa. Courses include IT, Computer saw over 4,000 hours recorded. than generated. Sciences, Electrical and Information Beneficiaries included elder Engineering, and Aeronautical communities in Paris; food banks in the Environmental performance Engineering. US, Canada, UK and Australia; health Overall, SITA reported a decrease care projects in Ireland and India; and • A US$10,000 innovation award for in energy and emissions intensity many more. students in South Africa. from operations around the world, as well as a drop in water and paper To date, the ATC Foundation has consumption. All environmental positively impacted over 83,000 targets were met for the year. SITA students, 51.4% of whom are female. retains ISO14001:2015 (Environmental Management Systems) at six key global Corporate Social sites, together with a commitment to Responsibility Report continual improvement. A full CSR Report is available on www.sita.aero/csr
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Facilitating financing, leasing, sales AVIARETO and more The basis for the International Registry Aviareto, the joint venture between of Mobile Assets is the Cape Town SITA and the Irish Government, Treaty, an international treaty adopted celebrated its one millionth in 2001 by ICAO and UNIDROIT. This registration of aircraft assets in treaty facilitates financing, leasing January 2019. Aviareto holds the and sale of aircraft, engines and contract with ICAO to operate the helicopters, including through the International Registry of Mobile Assets electronic registration of financial – used to record financial interests interests in one global registry. in airframes, aircraft engines and helicopters. To date, more than 74 countries have ratified the treaty, with more expected To date over half a trillion dollars’ to do so over the next few years. This is worth of assets have been securely one of the fastest ratified international registered, ensuring a clear priority commercial treaties in history. is established between competing interests. This is particularly Aviareto has operated the registry important in the case of defaults and since 2006. It is an online and highly disputes. Registration reduces the risk secure system managed in Ireland, associated with financing the assets used by lessors, airlines, banks, and, in turn, the cost of doing so. private individuals, corporations and legal firms worldwide.
SITA | GROUP ACTIVITY REPORT 2018 43 LET’S MOVE THE WORLD, TOGETHER
Traxon milestones During the year, CHAMP launched Traxon Quality, a new performance CHAMP – MAKING Among the many milestones reached measuring tool enabling airlines to AIR CARGO ‘SIMPLER, in 2018, several were acheived by track their own shipments as well as CHAMP’s Traxon portfolio. MNG FASTER, BETTER’ movements crossing the whole supply Airlines became the first customer chain. to use Traxon Global Security (TGS), As a leader in air cargo IT, CHAMP which enables the airline to comply Cargosystems continues to evolve its Advancing the cargo community with the US Air Cargo Advance technology and services to meet the Screening (ACAS) requirement. Further advances in the air cargo complex demands of the industry. To community came with CHAMP’s use the company’s mantra, CHAMP’s This is the first of many Pre- flagship Cargospot suite of cargo solutions enable ‘simpler, faster and Loading Advance Cargo Information management solutions. Royal Brunei better’ air cargo logistics and global regulations that the industry will need Airlines signed an agreement in trade. They include: to implement in the years ahead. Later the year for Cargospot Airline and in 2018, Icelandair Cargo used TGS to • Cargo Management Applications (for Revenue, while Cargospot Handling participate in Canada’s Pre-Load Air carriers, forwarders, handlers and achieved success with the signing of Cargo Targeting pilot. general sales agents). France Cargo Handling, Lebanese Air • Supply Chain Integration Services At the same time, Japan’s sole Cargo Transport, Charleroi Airport, Airtrans, and Application Programming Community System (Cargo Community and Belgium Airport Services. Interfaces (APIs). System Japan Co) signed with CHAMP The year saw over 15 major cutovers for its Traxon cargoHUB solution to • Regulatory Compliance Services. delivered, including Japan Airlines, provide a new cloud-based air cargo Swissport and Cathay Pacific. Cathay • Community Marketplace Services. operational messaging platform. received a major upgrade for its • Cargo Insight Services. Thai Airways and Oman Air Cargospot solution to enhance its implemented Traxon cargoHUB too, booking capability, supporting the while Turkish Cargo took on CHAMP’s airline’s strategic partnership with performance measurement solution, Lufthansa in jointly managing their Traxon CDMP, for measuring over one cargo capacity. million shipments a year. Today, this And as part of its Cargo Insight solution measures over 40% of the Services for the community, worldwide Cargo iQ airline shipments. CHAMP successfully introduced its DataAnalytics solution, comprising of standard as well as customizable dashboards that enable real-time insights and predictive analytics.
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Community collaboration Other partners are augmenting Collaboration with the technology CHAMP’s portfolio in niche areas, such developer community is playing an Collaboration is a key element in the as specialist air mail operations to increasingly important role in building development of new CHAMP services. help cargo system clients grow their new ideas and solutions. In September, Technically advanced forwarders and e-commerce business. One example IATA launched its first ever Digital shippers, for example, are now using is Global Logistics System Hong Kong, Cargo Hackathon in Geneva, based CHAMP’s range of APIs to integrate which built a mail operations system on the format of its Airline Industry data from the community directly into for Cathay Pacific, that it now sells Retailing Passenger Hackathon. It their systems to deliver enhanced to other carriers. CHAMP signed a focused on building an API to IATA’s services. reseller agreement with GLS Hong ONE Record platform. CHAMP Kong, having integrated its solution participated in this unique cargo event, with Cargospot. aimed at nurturing innovation to the wider air cargo community and helping Another example is PayCargo, which to develop solutions for the future. provides a platform for organizations to settle payments peer-peer. CHAMP’s CHAMP’s aim is to be a trusted integration with PayCargo means that provider of cargo IT services. But it is CHAMP cargo management customers also to become a technological partner are able to see such payments, for learning and understanding in the enabling goods to be released faster. community. Work took place in 2018 to prepare for the launch of the CHAMP Academy in 2019. The objective is to provide CHAMP’s customers in the community with web-based tools to train their sales and operational staff on CHAMP’s solution.
Corporate Social Responsibility
Committed to acting responsibly as “Any carrier can only be digitized as much a corporation, CHAMP is focusing as its clients and partners are. Therefore, on education, the environment, it is vital that together we have the children, and the less fortunate. In particular, the company has worked knowledge and solutions on the ground for extensively with local organizations everyone to feel their benefits. CHAMP has in the Philippines, helping to provide a range of benefits, from laptops to provided the technologies to support us in educational books to potable water. our transformation.” CHAMP has also been actively involved in recycling, waste segregation, and in Mohammed Ali Al Musafir, Senior Vice the Philippines, tree planting activities. President–Commercial Cargo, Oman Air
SITA | GROUP ACTIVITY REPORT 2018 45 LET’S MOVE THE WORLD, TOGETHER
let’s move the world, together
46 SITA | GROUP ACTIVITY REPORT 2018 SITA | GROUP ACTIVITY REPORT 2018 47 Registered Office SITA SCRL Avenue des Olympiades 2 B-1140 Brussels Belgium Tel: +32 (0)2 745 0510
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