Baggage
RFID technology is considered to improve baggage management and many other airline application areas. The adoption of RFID technology for sorting and handling baggage along the global supply chain provides a win-win-win for the three main stakeholders - airlines, airports and passengers.
The Board of Governors asked IATA to investigate the performance of the technology and examine the business case for the use of RFID in baggage handling. IATA provided the first costs/benefits results and has completed a transition plan.
In-flight
IATA is looking into the potential use of RFID for improving the supply chain processes in the areas of trolley maintenance, trolley tracking and contents verification. The capability to control the processes in these areas are fundamental to the efficient provision of airline catering and duty free items. IATA is therefore analysing the processes involved in in-flight catering and has completed a high level business case for the adoption of RFID.
Cargo
RFID activities in this area are carried out by IATA Cargo.
Management of parts
IATA will follow up on the work of Boeing and the Air Transport Association of America, which involves updating SPEC 2000 to include the use of RFID for part marking. This use of radio frequency identification provides an opportunity for airlines to use the same identifiers to facilitate lean production methods and minimise aircraft on ground times, whilst also reducing airline stocks of expensive aircraft parts. IATA is examining the possibilities of this RFID application for airlines. Read the resulting opportunity analysis document.
Aircraft Turnaround
Airport turnaround times is a major concern for the industry. A recent study at the Institute for Manufacturing in Cambridge has shown that the need for airlines to minimise costs and improve on time departures is greater than ever and noted that:
- the average departure delay of aircraft is 17.4 minutes
- this equates to departure delays of over 605 hours (25 days) every day
It is estimated that the cost of UK departure delays in 2005 was over £650m.
IATA, together with SITA, is sponsoring a study to explore how RFID can improve turn around times in order to reduce aircraft delays and ultimately reduce costs.
RFID Cross Applications
IATA will be launching a cross-application discussion group for RFID where experts from baggage, cargo, engineering and operations will be able to meet and discuss their needs for this technology.