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SIMPLIFYING THE BUSINESS (StB)<br />
StB continues to reduce costs, improve<br />
the passenger experience, and create<br />
revenue opportunities for airlines.<br />
Since 2004, the industry has<br />
completed StB projects on<br />
e-ticketing, common-use<br />
self-service kiosks, barcoded<br />
boarding passes, and<br />
automated baggage rules.<br />
To help assess the industry’s<br />
needs in meeting the twin<br />
challenges of profitability and<br />
customer satisfaction, an StB<br />
White Paper was produced<br />
in 2011 that presented five<br />
goals that will form the basis<br />
of future StB projects.<br />
15%<br />
global penetration<br />
Global e-air waybill<br />
penetration target<br />
for <strong>2012</strong>.<br />
4%<br />
global penetration<br />
Current e-air waybill<br />
penetration (April <strong>2012</strong>).<br />
The goals describe a future<br />
where<br />
• Airline products can be<br />
sold through all channels,<br />
identifying customers and<br />
personalizing offers and<br />
prices<br />
• Passenger data is provided<br />
by passengers and validated<br />
by governments<br />
• Passengers can access<br />
real-time information on<br />
flight status, wait times, and<br />
baggage delivery on any<br />
device in any location<br />
• The customer ground experience<br />
is hassle free<br />
• A seamless end-to-end<br />
customer journey is possible<br />
through the interoperability<br />
of travel partners<br />
36<br />
In line with these objectives,<br />
two initiatives are under way<br />
in distribution capability and<br />
passenger facilitation. The passenger<br />
facilitation work in <strong>2012</strong><br />
focuses on trials in automated<br />
border control. The aim is to<br />
reduce congestion around security<br />
and customs clearance.<br />
A new distribution capability<br />
also has the potential to generate<br />
important opportunities for<br />
airlines.<br />
Industry distribution systems<br />
are not keeping up with the<br />
pace of change.<br />
<strong>IATA</strong> is undertaking distribution<br />
capability work in <strong>2012</strong> that<br />
focuses on establishing XMLbased<br />
messaging standards.<br />
This will allow travel agents to<br />
propose to customers the same<br />
dynamic airline offers that are<br />
available on other channels.<br />
(See page 39 for more on the<br />
distribution challenge.)<br />
In addition to the project to<br />
tackle the distribution challenge,<br />
there are four active<br />
StB projects: e-freight, <strong>IATA</strong><br />
e-services, Fast Travel, and<br />
the Baggage Improvement<br />
Program.<br />
$100<br />
Average cost to airlines<br />
per baggage item lost.
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