How intelligent transportation systems are changing the industry
Connected transportation is creating new opportunities for personal travel discovery and enrichment, as well as the efficient movement of goods. Cross-linked itineraries across multiple modes of transportation will provide the context needed to provide more systemic solutions to delays. But connected transportation is about more than keeping to a schedule. “Sticking to the itinerary” is giving way to an experience-rich journey built from an open ecosystem of participants that includes airlines, trains, buses, ride-shares, hotels, events and restaurants.
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Understand the traveler's interests
Understanding the traveler’s interests will enable vendors to suggest travel plans that keep travelers on time while offering them new options to explore and learn. Spend your layover in an airport lounge, if you like. Or, how about lunch at a four-star restaurant with time left to browse the local bazaar? A travel app could suggest that and provide the details.
Ecosystems of travel, transportation and hospitality companies are moving to make this happen, and much more. Those who best understand how to localize and personalize journeys with data-driven precision, and that can find problems in advance and fix them, will earn the traveler’s loyalty.
A dynamic journey
Travel is consumed in real time and subject to a customer’s changing whims as well as obstacles encountered along the way. Meeting times change. Flights are cancelled or delayed. Or we simply feel inspired to add another leg to a journey.
What’s more, travelers pass through radically different environments along the travel continuum, with different suppliers, channels, regulations, currencies and payment options.
All of this makes delivering a flawless, well-integrated experience an enormous industry challenge. To deliver that experience, the industry will have to develop a connected transportation system that offers equal participation and access to all industry members and puts the customer in the center of the vision, not legacy protocols and formats. It must be able to serve the individual across companies and channels, starting with the flight system, coordinating with airport-wide retail systems, and connecting to hotels and local service providers.
On the cargo side, the same challenges apply. It’s critical for organizations to have full visibility into the freight journey, as goods move from the distribution center, to a freight forwarder or third-party logistics company, to delivery. This is complicated by the transportation industry’s shift to an intermodal approach. Companies must now maintain visibility across all locations and modes of transport.
Destination: digital transformation
That’s why an intermodal perspective is so important. Today, cargo tends to travel from truck to train, to ship, to train, to truck — or some combination thereof. People jump from car to train to bus to airport. Intermodal integration and a full view of the supply chain are essential to today’s travel landscape, and companies must adopt a strategy that embraces this intermodal view.
Watch how Scandinavian Airlines uses analytics insights to improve customer experience.
A connected transportation platform doesn’t abandon optimization, but adds a customer-focused layer to preserve elements that have a direct impact on the travel experience. For example, optimization based on traveler preferences during reaccommodation would include features of the previous flight, such as contiguous family seating or maintaining a preferred level of hotel room in the event of a venue change. If a flight delay will cause a cruise ship boarding to be missed, how can the vacation be salvaged?
Every vendor in the ecosystem that participates can offer travelers an enhanced experience. When your arrival time and gate change, everyone from your car driver to the hotel you will be staying at knows.
Optimizing runs and the experience may mean partnering with a third-party provider to gain a wider perspective. For example, companies can put IoT devices on train tracks and wagons to monitor track condition in real time, and use drones to inspect runways in support of flight operations. It may also mean considering the use of automation and robotics, instead of people, to analyze physical objects in the field and assist with functions such as predictive maintenance.
Manage disruption efficiently
Just as transportation companies must navigate digital disruption, they must also learn how to efficiently manage common industry disruptions, from weather delays and emergency situations to maintenance and repair issues. To handle these challenges, they need a system that alerts them when a disruption occurs, tells them what it affects and suggests how it can be quickly resolved in a way that meets original commitments.
For example, if an emergency occurs at an airport, companies will know immediately how many flights and passengers are affected and what cargo needs to be rerouted. At the same time, passenger communications can be coordinated with operations, alerting customers to the issue at the earliest possible time and making new arrangements and reservations to help them reach their ultimate destination. Actions that exceed customer expectations will help preserve the relationship — and the brand’s reputation. The same applies to shipping operations.
By linking an MRO strategy and other pieces of the puzzle, organizations can get operations back to normal as quickly as possible. Clear visibility into the entire landscape enables enterprises to deal with irregular operations more effectively. Be it rebooking tickets or putting cargo on different planes, dealing with disruptions becomes much easier. And because data has been collected and integrated, enterprises can analyze that information to spot trouble ahead and deal with it in a proactive way.
Build the 21st century enterprise
Digital leaders in travel, transportation and hospitality understand that incremental strategies aren’t enough to address the scale of change in today’s industry. Established companies need to take a fresh view of the industry and develop bold, clean-sheet plans, or face competition from new entrants such as Google, whose multi-modal planning on Google Maps and comprehensive Google Trips products have set the bar for what a consumer-centric approach to travel planning and m0anagement can do.
The top three marketing priorities for travel and hospitality companies for the next 24 months are:
1) Improve customer experience, 2) Revenue/pipeline, and 3) Improve customer data
Solutions such as the connected transportation platform must be a part of those plans. A connected transportation platform brings together an array of resources in a way that supports new revenue models and value-creation streams that shift the focus from what’s good for industry members to what’s good, what’s needed and what’s expected by the end consumers.
In the best-case scenario, tactical and operational information from external and internal sources is ingested, cleaned and validated, and then analyzed to deliver actionable business intelligence that delivers seamless experiences and new benefits for end customers.
With a full review of budget spend and investment goals, you can empower your chosen business outcome, and transform and grow your business. And remember, there are ways to reduce costs and find savings, such as moving noncritical, monolithic systems to the cloud. To fill in the gaps, consider working with a partner that can help guide the journey and provide the experience and tools needed to achieve transformational success.
Differentiation and industry leadership go hand in hand. Stay ahead of the competition by knowing how to use advanced technology and tap into your greatest resource — your data. With this approach, you can move from chasing customers to leading the industry, with customers and competition chasing you.
How DXC can help
With more than 40 years of experience serving the transportation industry, DXC Technology provides mission-critical systems for top airline, consumer travel, freight and logistics, railway and hospitality firms. As the travel, transportation and hospitality industry undergoes a digital metamorphosis, DXC offers customized solutions for modernizing aging infrastructure, running mission-critical systems, and helping IT adapt to industry consolidation and commoditization, as well as to the always-on consumer.
The DXC Connected Transportation Platform supports rail, air, truck and maritime operations and includes services such as fleet management, geolocation awareness and maintenance solutions. As one of the world’s leading airline IT services providers, DXC helps airlines bring new revenue streams to market, drive efficiency and reduce costs. Also, we help freight and logistics companies achieve end-to-end visibility into the supply chain.
DXC also offers a suite of applications that efficiently integrate flight operations-related systems and help improve employee decision making. Real-time flight, aircraft and station information increases productivity, generates cost savings and provides updates that improve operational awareness. In addition, DXC’s disruption management solution lets airlines manage travel disruptions with the automatic generation of recovery solutions.
The DXC Connected Transportation Platform solution enables interaction with customers to influence passenger movement, improve retail interactions through contextual analytics, and improve efficiency during moments of engagement between airport operations, retailers, airlines, ground transportation and customers.
DXC delivers innovative business and technology solutions that enable digital transformation. With our integration-focused, industry-specific solutions, organizations can enhance efficiency, improve traveler experiences, and create new services and revenue sources.
Now is the time to act. Don’t be disrupted, be the disruptor. Let us help you innovate and transform to differentiate with speed and quality. That’s DXC. That’s Digital Delivered.
Learn more at dxc.technology/travel
About the authors
Steve Gardner is DXC Technology’s Connected Transportation Platform lead, building cloud-native microservices for the travel, transportation and hospitality (TT&H) industry. He is responsible for delivering TT&H capabilities as microservices on a platform that self-heals, makes deployments simple and frequent, and is dynamically scalable — all to drive digital transformation. Prior to serving in this role, Steve worked with many companies, including airlines, shipping companies, hotels and other TT&H providers as the service-oriented architecture (SOA) lead for Travel & Transportation at IBM.
Horst Stohrer is the chief technologist of consumer travel at DXC Technology, where he oversees current and future technology development across products and services. Horst is currently focused on using the next generation of breakthrough technologies in hardware and software algorithms to improve travel. This work has resulted in a breakthrough retail product for airline availability processing. Using an application developed in conjunction with HP Labs, the product gives airlines an affordable method of controlling seat availability in real time.
Contributors
Chris Daniel, mapping consultant, Leading Edge Forum
Jerry Overton, data scientist and industrialized AI lead, DXC Technology, and DXC Fellow