How does Big Data help create `economic value`?
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| Big Data helped industries that had suffered with a loss of shareholder value since 1993. |
Most of the data is unstructured—meaning it is data from monitored sources, such as social media, rather than data that is purposefully captured, such as passenger name records. Unstructured data is estimated to be up to 85% of all data.
Aviation industry have to put the information into a working format that can be understood by the powerful algorithms of analysis software, which is easier said than done given the speed of data acquisition and the volumes involved.
Another massive issue facing airlines is the fact that traveler information is stored in so many disparate databases.
Big data can generate a lot of insights into sales and operational aspects of an airline,” says Kevin O’Sullivan, Lead Engineer, SITA Lab. “However, acting on these predictions may require a degree of flexibility not normally available in airlines. For example, is an e-commerce engine dynamic enough to provide real-time offers based on the shopper profile? Is the staff rostering system dynamic enough to adjust the schedule in future hours? Airlines will need to address existing business processes to introduce this degree of flexibility to take advantage of what big data can offer.”
Analytics also plays a critical role in the design and testing of jet engines and other aircraft equipment.
The result of Big Data analysis as applied to the aviation industry should result in benefits for the airlines, their passengers, suppliers, and the environment.
For example:
1. By analyzing data created by jet engines and sensors that collect data on the surrounding environment (temperature, humidity, air pressure, etc.), service providers are able to predict when various parts are likely to fail and take preventative maintenance action. Replacing a soon-to-fail part before it malfunctions is significantly less costly than doing so after the part fails during operations.
2. Preventative maintenance reduces aircraft “down time,” meaning more planes are available to service passengers. By further leveraging aggregate data associated with arrivals/departures, weather conditions and other data sources, airlines can better manage their fleets and reduce the number of delayed and cancelled flights.
3. Improved customer satisfaction is the likely result of fewer delays and cancellations, potentially increasing customer loyalty and ultimately increasing bookings. By analyzing customer flying patterns, airlines can also identify new routes to add and other services that will benefit both customers and the airline’s bottom line.
4. More efficient jet engines consume less fuel and emit fewer environmentally contaminating gasses.
