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Magazine Stories September Issue 2009
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Friday, 13 February 2009
A PARTNERSHIP has been formed to implement the first-ever context-aware mobile platform for the air transport industry (ATI).
The partnership is between specialist airline IT provider SITA and Appear, a leader in context-aware software infrastructure.
It’s claimed the new platform will — on an unprecedented scale — provide common-use access to ATI applications ‘on demand’ over wireless and mobile networks, tackle information overload and allow airlines, ground handlers and other airport customers to escape dependence on manual processes, voice communications and back-office reporting for a wide range of critical operational functions.
Pilot projects scheduled with three airlines in Sweden, Portugal and the Netherlands will see SITA and Appear deploy a hosted context-aware test platform that will be able to support multiple mobile application scenarios (including passenger and baggage processing, aircraft and airport operations).
For example, the mobile workforce concept enabled by hand-held devices allows aircraft turnaround with one duty manager for four to five aircraft rather than the present ‘norm’ of one duty manager per aircraft turnaround. One airline is projecting double-digit reductions in aircraft line maintenance intervention time and critical work-process improvements.
Similarly, ground handlers will save on fuel bills and benefit from workforce efficiency gains - thanks to remote management of diesel-powered aircraft heaters and other ground service equipment. They will also increase revenues due to more accurate usage reporting.
“The SITA mobile platform, powered by Appear, is the most significant technology development yet related to airport mobile workforce enablement,” said Xavier Aubry, Appear’s chief executive officer. “For the first time, an entire industry will be able to deploy on-demand mobile workforce services, anywhere in the world, in order to significantly reduce IT costs and optimise business processes. From day one, the solution will be able to reach out to over 250 airports where SITA infrastructure is already in place and to support tens of thousands of users.”
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Magazine Stories September Issue 2009
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Friday, 13 February 2009
THE AIRLINES that survive the current downturn will be those with the ability to react quickly to market changes, according to Rob Fyffe, chief executive of Air New Zealand.
Fyffe said in the aviation industry the ability to react sometimes was restricted by shareholders, government or unions. He said Air New Zealand had to deal with 47 different unions, but: “Unions are not a problem, we have a very good relationship with them and in some cases they can speed the process along, but they can also slow things down.”
Qantas ceo Alan Joyce said the carrier was in a position to react quickly to market conditions and to cut or add services as required.
Having Jetstar as part of the portfolio had assisted the group in the current crisis, as routes that were not profitable for Qantas were now being operated by the lower-cost Jetstar and were making money.
Fyffe also stressed the importance of staff during tough times and the importance of not getting rid of expertise.
“As tempting as it is in tough times to cut back on staff, you need the knowledge and expertise to do the job efficiently when times are tough and also when things turn around," he said. "If you cut back on staff, when the business picks up you face increased hiring and training costs. It also is vital that you communicate to all of your staff on all levels and keep them aware of all that is happening, something I think we have done well at Air New Zealand.”
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Magazine Stories September Issue 2009
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Friday, 13 February 2009
AUSTRALIA’s federal minister for Infrastructure, Regional Development and Local Government Anthony Albanese has approved Sydney Airport’s 2009 Master Plan, but added the approval “did not indicate acceptance that the airport can and should handle the projected growth in traffic, with the annual number of aircraft flying into and out of Sydney expected to rise to 427,000 by 2029.
“Such traffic volumes would place considerable added pressure on those communities living around the airport,” he said.
“As the airport gets busier, the supporting road and rail infrastructure will become more congested, delays more frequent and nearby residents exposed to even longer periods of aircraft noise.
“The national interest dictates that Sydney will need new airport capacity.”
He then announced a joint federal and state study to “assess options, identify potential sites and evaluate investment strategies for delivering additional airport capacity.
“The joint study will also look at ways of providing integrated transport solutions for the existing airport as well as any second airport,” said Albanese.
There seems to be some confusion, even in the transport sector, about the Master Plan. Sydney Airport already has a Master Plan and is five years into its implementation.
However, the Airports Act 1996 requires it to be updated, which was done last year, with the Preliminary Draft Master Plan 2009 going to public consultation between September and December 2008. From this has come the version approved by Albanese. A final edition must be published within 50 business days of the minister’s approval.
Key elements include:
- No changes to the curfew.
- No changes to aircraft flight paths.
- No changes to the aircraft movement cap.
- No new runways.
- No change to access arrangements for regional airlines.
The Master Plan notes that international and domestic freight tonnages at Sydney, including mail, are forecast to increase by 2029 to 910,000 and 167,000 tonnes respectively. These projections do not include trans-shipments.
Total annual dedicated freight aircraft movements are expected to be around 10,400.
“Existing international and domestic air freight handling facilities on Sydney Airport are currently operating near capacity,” the Plan notes. “This has stimulated a number of air freight handling operators to locate terminals off-airport to the north of the airport.
“This trend is projected to continue, to accommodate the forecast substantial increase in freight volumes.”
In the medium term it is expected that freight will continue to be handled from existing on-airport terminals, with a possible interim redevelopment of part of the current international freight terminal as a freight bypass and staging facility, as the international passenger terminal is expanded to the north.
“Longer term, areas zoned for aviation support and airport logistics are available for the development of freight and freight support facilities on-airport.” The plan proposes direct landside and airside access to the logistics areas.
Further, “on-airport freight bypass and staging facilities are proposed to be established within the airport logistics precinct on the northern boundary of the airport to support off-airport operators.
“These would be located between the international and domestic precincts and could also be supported by some smaller satellite facilities within the main terminal precincts for products such as time-sensitive express freight.”
On the web: www.sydneyairport.com.au/SACL/Master-Plan.html
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Magazine Stories September Issue 2009
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Friday, 13 February 2009
ONE of the first commitments made by the newly-elected board of The International Air Cargo Association (TIACA) is for additional focus and investment in education and research to produce expanded benefits for its members and the wider air cargo community.
The new Education and Research Committee (ERC) will be responsible for directing the formulation, supervision and provision of education programs that are targeted at industry management.
It also expects to invite and sponsor the preparation of at least one major research paper each year by a selected academic that will address topics reflecting the primary interests of the air cargo community.
Jim Edgar, regional marketing director of Boeing Commercial Airplanes has been elected to chair the new committee with a goal to develop regional management as well as to commission authoritative research and analysis on issues impacting the development of air cargo.
Commenting on his appointment, Edgar said: “TIACA’s prior scholarship program successfully supported the study of the air cargo industry and its supply chain by students at universities all over the world and awarded nearly US$150,000 to students in Europe, the Americas and Asia. These papers highlighted our industry’s vital role in world trade to a community of future business people.
Some of the awardees subsequently chose a career in the industry, while others joined the workplace with a clear understanding of the contributions of air logistics and the challenges we face, including issues such as open skies, security and the environment.
“Now, seven years on, we feel the need to refocus this investment to directly help people and businesses already in the air cargo industry.
“With an energised and enthusiastic committee, we will immediately begin looking at new education solutions to benefit our members and emerging executive management around the world.”
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Magazine Stories September Issue 2009
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Friday, 13 February 2009
THERE’s confidence among nearly 70 per cent of Australia’s small to medium-sized enterprises (SMEs) that the global economy will recover either next year or 2011.
That’s the major finding of the UPS Asia Business Monitor (ABM) 2009 - an annual survey conducted on competitiveness and issues facing SMEs in Asia-Pacific.
According to the ABM 2009, SME leaders in the Asia-Pacific expect their business prospects to be worse this year, with 65 per cent of SMEs expecting the economy to decline in 2009 compared with just two per cent in 2008. And, compared with last year, the number of SMEs across the region expecting economic growth this year has decreased four-fold — from 60 per cent in 2008 to 15 per cent in 2009.
In Australia, about one third of SME leaders (33 per cent) says business prospects in 2009 will worsen, with only 27 per cent feeling confident about their business prospects this year. Forty per cent say that it will remain the same. The majority of Australian SMEs (67 per cent) say that the slowing market and economic downturn are the biggest concerns that keep them up at night. This is followed by cash flow/rising debt (48 per cent) and finding/keeping qualified staff (43 per cent).
The latest ABM also showed that for Australian SMEs to enhance their competitiveness, the government must focus on education and training (92 per cent), research and development (79 per cent) and transportation infrastructure (75 per cent).
To counter the present global economic condition, the research shows that Australian SMEs see growth opportunities in forging new business ventures, acquisitions or partnerships (21 per cent) and moving to higher value-added products and services (20 per cent).
“Australian SMEs are taking a long, hard look at their businesses to find expansion opportunities - like starting new business projects in order to survive the downturn,” said Jeff Fairbairn, managing director of UPS Australia. “We also see that most SMEs are tightening cash flow management through strict credit control and collection plans as a contingency to sustain their business this year.”
Australian SMEs also believe that the top two factors that will lead to an economic recovery are: Economic performance (49 per cent) — which includes a return in consumer confidence and resumption in spending and a US market recovery; plus government regulations/policies (30 per cent) consisting of more spending on infrastructure.
In the short-term to sustain the business and counter the effects of the global economic recession, Australian SMEs are planning to implement measures such as tightening cash flow management via strict credit control and collection plans (79 per cent), reduction of others costs - such as rent and utilities (63 per cent) and diversifying and/or exploring new revenue streams (61 per cent). For the long-term, Australian SMEs are concerned with costs (77 per cent), industry downturn (75 per cent) and debt/cash flow (68 per cent).
“As Australian SMEs look for innovative ways to become more efficient, reduce costs and better serve their customers, UPS is in a good position to help businesses ride out the recession. SMEs can call on our expertise, to help develop supply chain strategies that will improve their business,” added Fairbairn.
Key highlights from Australian SMEs in the survey include:
Workforce retention
• Only 19 per cent of SMEs plan to increase their workforce - a significant drop from 52 per cent last year. In 2009, 60 per cent of Australian SMEs will maintain the size of their workforce.
Key economic pillars in three to five years
• With the changes in the financial services sector, Australian SMEs believe that the three industries that will become key economic pillars are: Mining (63 per cent); agriculture, forestry and fishing (37 per cent) and leisure and tourism (24 per cent).
Industry sector growth opportunities
• Twenty-five per cent of Australian SMEs think that the agriculture, forestry and fishing and manufacturing sectors present the biggest growth opportunity for the country, followed by IT, mining and building and construction (24 per cent). Leisure and tourism is next at 20 per cent.
Obstacles to SME competitiveness
• Australian SMEs says the availability of a qualified workforce, labour costs, transportation infrastructure and government support are lacking - and are obstacles to their competitiveness.
Changes in supply chain practices
When asked what best describes the changes Australian SMEs will make to their supply chain practices in the current economic conditions, almost half (47 per cent) said that they would focus on reducing transportation and distribution costs, while 44 per cent said there would be no change in their supply chain practices.
Disappearing values
• Seventy-four per cent of Australian SMEs think that loyalty is the most important value that is disappearing in the Australian business environment, followed by trust (65 per cent), gentleman’s agreements (59 per cent) and respect (57 per cent.
About the survey
UPS is the world’s largest package delivery company and a global leader in supply chain and freight services. Its Asia Business Monitor surveyed 1200 decision-makers of SMEs between January 8 and February 27 this year. Interviews were conducted by an independent research organisation - TNS - using the respondents’ native language. SMEs are defined as companies with fewer than 250 employees.
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Magazine Stories September Issue 2009
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Friday, 13 February 2009
THE FORMER chief of collapsed New Zealand airline Kiwi Air has admitted he was the whistleblower in the Australian Civil Aviation Authority’s closure of a freight company for which he worked.
In his new book - Help, My Plane’s On Fire! - Ewan Wilson, the Kiwi Air founder and chief executive officer catalogued a litany of aircraft failures at Pacific Air Freighters, where he worked as a trainee pilot in the Australian outback following Air Kiwi’s demise. He claims an on-board fire, continued brake failures and engine problems, cargo overloads and a severely loose propeller could have caused an aviation disaster - and he felt morally compelled to report the company.
Awarded a New Zealand Special Service Medal for his relief work in Sri Lanka, Wilson discusses in the book his rise from a public and catastrophic company failure to successful tour guide operator and philanthropist.
“I wrote this book to inspire others who have been in my situation. Yes, failure is hard to take, but it’s how you respond to it that makes all the difference to the life you lead from then on,” he said.
Wilson said he wanted to redeem himself in the public eye after the multi-million collapse of Kiwi Air. “I wanted people to understand that Kiwi Air was really about making a dream of low-cost international travel available to the people of Waikato. I still believe today that Hamilton has the population and infrastructure to support its own international airport.”
Wilson’s book also includes details of the subsequent trial that followed his public fall from grace.
For more details, go to www.ewanwilson.com
