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New business models to improve aviation sector’s efficiency: Report

201701etw77New business and process models will help the aviation sector in optimising cost and improving efficiency, stated a report. Titled ‘Impact of ICT on Indian Aviation’, the report said digital solutions could also revolutionise the way talent is skilled and groomed to enter the sector. “The country’s aviation sector is on the cusp of aggressive growth and technology disruption,” it said.

Prepared by KPMG and technology solutions provider for the airlines industry SITA, the report emphasised that key to success for airports and airlines would be to create a carefully crafted digital strategy and road map.

“The right approach to re-thinking aviation in the digital paradigm is to design new business and process models rather than simply automation/ digitisation of the various process areas for ease of traversing customer journeys/ increasing efficiencies and cost optimisation,” the report noted.

As the outlook for demand in the sector for the next five years, the report also said both airports and airlines need to smartly deploy cutting edge digital solutions such analytics and artificial intelligence. This would help to increase operational efficiency as well as enhance revenue generation, it added.

In another instance, emphasising that the domestic aviation sector is on the upswing, Union civil aviation minister Ashok Gajapathi Raju said there has been an exceptional growth in recent years, but lack of timely capacity expansion at airports remains a cause of concern. “Air connectivity can be an enabler for the country to move to a higher growth trajectory,” he said.

Domestic air passenger growth has been more than 20 per cent for nearly two years, while local carriers are also embarking on fleet expansion plans. Striking a note of caution, the minister said (lack of) timely capacity expansion at airports at big cities and metros remains a cause of concern.

“Though the Airports Authority of India (AAI) as well as other private and greenfield airport operators have significant investments in the pipeline, they run the risk of falling behind the passenger growth figures. With India’s changed international image, an improved economic environment, increased regional business potential and growth in tourism, we are strategically placed to launch into higher trajectory of growth by using air connectivity as an enabler,” Raju noted.

Last month, the civil aviation ministry launched Air Sewa – a one-stop solution for aviation related needs and governance. Raju also said more than 200 nodal officers have been identified and trained in the overall aviation ecosystem for quality disposal of grievances received through Air Sewa.

(PTI)