Author(s): G. Dragosavac, A. Viljoen & C. Badenhorst
If the airline industry could be described in two words, it would be “intensely
The airline industry generates billions of dollars every year and
still has a cumulative profit margin of less than 1%.
The reason for this lies in
this industry’s vast complexity.
Airlines have a multitude of different business
issues that need to be solved at once, such as the globally uneven playing field,
revenue vulnerability, an extremely variable planning horizon, high cyclicality
and seasonality, fierce competition, excessive government intervention and high
fixed and low marginal cost.
To ensure the best chance for full economic
recovery, airlines should fully leverage their most prolific asset – data.
used in conjunction with innovative technologies that would allow the creation
of an Enterprise Wide Intelligence Platform, will provide the capabilities for a
comprehensive intelligent management and decision-making system throughout
The ultimate benefits of implementing and using an enterprise
wide intelligence platform, together with airline business acumen and experience
would include timely responses to current and future market demands, better
planning and strategically aligned decision making, and clear understanding and
monitoring of all key performance drivers relevant to the airline industry.
Achieving these benefits in a timely and intelligent manner will ultimately
result in lower operating costs, better customer service, market leading
competitiveness and increased profit margin and shareholder value.
demonstrates the vision and benefits of establishing an Enterprise Wide
Intelligence Platform for the airline industry, based on a leading airline proof of
concept case study.
Enterprise Intelligence Platform for airlines, solution for airline
Size: 1,073 kb
Paper DOI: 10.2495/DATA060441
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This paper can be found in the following bookData Mining VII: Data, Text and Web Mining and their Business ApplicationsBuy