Real-time tracking of bags to save air transport industry $3bn – IATA

NAN-H-19

Bags

By Solomon Asowata

Lagos, Oct. 19, 2016 (NAN) The global deployment of Radio Frequency Identification (RFID) technology, which tracks passengers’ baggage in real time, can enable the air transport industry to save more than $3 billion over the next seven years.

Global IT provider SITA and the International Air Transport Association (IATA) made the projection in a joint statement released at the World Passenger Symposium in Dubai, United Arab Emirates.

A copy of the statement was obtained by the News Agency of Nigeria (NAN) on Wednesday in Lagos.

The statement said the assumptions were based on RFID being deployed in 722 airports globally over a six-year period between 2016 and 2021, while the savings were calculated over seven years.

According to the statement, initial deployments of RFID by airlines such as Delta Air Lines shows a 99 per cent success rate for tracking bags.

It said:”In particular, RFID will address mishandling during transfer from one flight to another; one of the key areas identified by SITA and IATA where the technology could help improve baggage handling rates.

“RFID technology will ensure that airports, airlines and ground handlers are able to keep track of bags at every step of the journey and ensure the right bag is loaded onto the correct flight.

“The technology also supports IATA’s Resolution 753 that requires that by 2018 airlines keep track of every item of baggage from start to finish.

“The deployment of RFID would build on the already significant savings delivered by the smart use of technology for baggage management.”

The statement quoted Mr Jim Peters, Chief Technology Officer at SITA, as saying that the airline industry was at the brink of a revolution in baggage tracking.

“Deploying RFID globally will increase accuracy and reduce mishandling rates. This is a win-win situation – passengers will be happier, operations will run smoother, and airlines will save billions of dollars,” Peters is quoted as saying.

It also quoted Mr Andrew Price, Head of Global Baggage Operations at IATA, as saying that the advances in the technology would bring immense benefits to the airline industry.

The statement said the SITA/IATA business case showed that the improvements in handling rates do not come at a great cost.

It said: “RFID capabilities can be deployed for as little as $0.1 per passenger on average while generating expected savings of more than $0.2 per passenger.

“With some big airlines and airports already introducing RFID technology, combined with the fact that it is compatible with existing barcode technology, adoption of RFID across all airports could provide a positive return for airlines, both in cost savings and passenger satisfaction.” (NAN)

ASO/SOA

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Edited by Oluwole Sogunle