BE THE 'MASTERS OF CHANGE': IBS AT THE IATA SAFETY AND FLIGHT OPS 2018 “Future aviation leaders should have a Masters in Change Management, not an MBA,” said Daniel Stecher, Vice President - Airline Operations. Daniel was one of the keynote speakers at the IATA Safety and Flight Ops Conference (SFO) 2018 at Montreal, Canada. He was emphasizing that as the aviation industry embraces technology-driven change, aviation experts should acquire skills to know how to flow with that change. He also touched on areas focusing on partnering for transformation and airline operation digitization. The SFO, which is IATA’s premium annual conference dedicated to improving the safety and efficiency of airline operations globally, witnessed several leaders and decision makers from the aviation and aerospace industry converging at the Queen Elizabeth Hotel from April 17 – 19, 2018 for this year’s edition. And with Montreal being the home to IATA’s HQ and the third largest aviation hub in the world, provided an ideal setting for such a grand event where aviation giants could come together and exchange their ideas.

1. Developing the Future Leaders of Aviation
YUL, 19th April 2018

2. Agenda
 Airline Trends
 What the airline industry demands
 A new skillset for the future aviation leaders
 We @IBS

3. A story of transformation
Network
Responsibility
Experiment
Signification
Transparency
Open
Hierarchy
Closed
Controlling
Planning
Profit
Privacy
VS.OLD WORLD NEW WORLD

4. Innovation – Triggers & Deterrents
1
2
3
4
TECHNOLOGICAL advancement
Changing customers and NEEDS
Intensified COMPETITION
Changing Business ENVIRONMENT
Triggers Innovation
Deterrents
FEAR
Lack of LEADERSHIP
No REAR VIEW MIRROR
Living with COMFORT
Lack of RESOURCES
& COLLABORATION
No TIME
Lack of FOCUS
Lot of ideas but NO
DELIVERY
No clear PROCESS
Lack of URGENCY

5. Innovation is the key, in order to stay in the business
iPhone was launched in September 2007
Image source: Forbes November 2007 edition

6. Travel &Transportation disruptions at the horizon
Dramatically influencing the future of transportation
Ultra-Long Distance Anywhere on earth in under 30
minutes
Long Distance
Surface Travel
Beijing to Shanghai in 4.5 hours (2.5 hours by flight)
Inter-City Travel Los Angeles to Las Vegas in 30
minutes
Autonomous
Vehicles
More than 1.3 billion autonomous miles completed in the
US. First Autonomous Vehicles to hit California roads by
June 2018

7. What the airline industry demands
Fragile schedules and ripple
effect of delays
Increased passenger
expectations and
choices
Economic instability
and uncertainty
Need to optimize asset
utilization and efficiency
Volatile fuel costs
Difficulty creating accurate
forecasts

8. Airline Industry and Speed
Unfortunately, nothing goes fast in the airline industry, except the aircraft.

9. Slow Adoption of New Technologies in Operations
Legacy IT, silos and in-house developments The huge costs for non-digital global airline operations
 Very poor decision support with limited available data
 A lot of time required to get the necessary information
 Wasted time required to take decisions
 Mediocre on-time-performance as a result
Dispatch
FPL
$€Reservations
NOTAM
Email
PDF
Airport
Slots
Source: IATA
ME
$520 m
4 airlines
599,782 flights
74,26%
$130 m / airline
Asia
$7.5 bn
34 airlines
5,257,419 flights
71,93%
$220 m / airline
Europe
$3.3 bn
38 airlines
5,607,246 flights
84,56%
$86 m / airline
Americas
$14.4 bn
33 airlines
13,014,143 flights
77,79%
$436 m / airline
World Total
$ 25.72 bn
$235 m /
airline

10. Why are airlines slower to adopt new technology
 Lack of singular, focused leadership defining and
implementing a digital strategy
 Much of the technology funding is still directed
toward maintaining the current legacy systems
 Job ads still mention Excel and Word as must have
skills
 Organizational ability to change
 Many airliner just work for one airline (seniority
principle) and know only one airline and the one
IT system
 Airlines need a more collaborative, co-creative
approach to the digital challenge along with the
OEMs
10

11. What's in ‘IT Priorities’ for the Business
11
Current IT Priorities at respondents’
organisation
IT Executives Non-IT Executives
Improving effectiveness of business
processes
57 72
Reducing IT Costs 44 16
Improving cost efficiency of business
processes
44 47
Creating new business processes or services 38 35
Providing managers with information to
support planning and decision making
34 45
Ensuring compliance with regulations 25 20
Managing risks 20 19
Entering new markets 11 19
* IT Executives: 422; Non-IT Executives: 287
* Respondents who answered “Other” or “Don’t know” are not considered
Source: McKinsey & Company
% of respondents, by function

12. Skill set of Future Aviation Leaders
12
As the aviation industry embraces new technologies, new employee skill sets are required.
What kind of competencies have been introduced today and what is envisioned for the future?
Cross industry experience and point of view (e.g. multi airline internship)
Out-of-the box thinking (e.g. the process is not made forever)
Innovation minded (e.g. early adopters of technology)
Understanding the basics of Information Technology (e.g. IT should be an enabler)
Pro-Active and steady learning (e.g. fight the boiled frog syndrome)
Should have a Master in Change Management (not an MBA)
Intercultural perspective (e.g. international studies, going abroad)
English Proficiency (e.g. still some areas where communication is a challenge)
Future Aviation Leaders

13. Developing Future Aviation Leaders
At IBS, we are about INNOVATION. IBS is about setting new global industry standards and creating a roadmap
for the future.
ONE IBS
Campaign
Intercultural exchange (Twin City program)
• Pair two cities together through video conferencing
• Share ideas and experiences at their respective locations
Developing
Future
Leaders
 Foundation Programs
 Continual Training Program
 Leadership Development Programs
 Young Talent Program – Japan & German
 Dedicated Airline Operations Event (Ops, Crew, Hub)
 Collaboration and Networking
 ‘Think Tank’ on industry challenges and major topics
 Foster OCC Know-How transfer
 http://ops2020.ibsplc.com

14. Developing use cases on emerging technology trends
Artificial Intelligence & Machine Learning
Loyalty fraud detection, journey recommendation and social search
Intelligent Apps & Conversational Systems
Voice Personal Assistance applications using Amazon Alexa
Augmented Reality
Eye tracking, Cargo applications using Google and Vuzix glasses
Application & Services Architecture
Enhanced architecture framework for micro services and public
cloud
Focus on developing POCs for select applications
Social Search
Recommendations based on reviews in social media, and
preferences of friends & family
Wearable
Passenger check-in & airport way finding
Sentiment analytics
Analyzing social data and responding to customer sentiments
CBAE
Simulation based user training solution to build user
expertise before go-live
Partnering for Transformation

15. Airline Operations Digitization
• Situational Awareness – iFlight NEO provides a unique way of monitoring your daily operations. The
Situation Awareness Windows is a dashboard which provide single source for information depending on the
users interest
• Disruption Management – iFlight NEO is designed to help the operational controllers in making decisions
during severe disruptions, rather than trying to create a tool designed to replace their expertise.
• Configurability – iFlight NEO project has been developed to give the power of configurability at the hands of
the airline. The solution provides configurability across multiple levels includes
• UI’s – Almost all of components including dashboards and Gantt charts can be configured to address the
needs of individual business functions
• Rule Engine – A state of the art rule engine with rule authoring capability
• Configurable messaging
• Collaboration – OCC requires the various functions to work together to produce effective results. iFlight NEO
provides the ability to share your thoughts across multiple user groups using Plan Sharing and when combined
with Crew Module, provides a unique way for the OPS and CREW user groups to work together on scenarios.
• Enhanced Management by Exception – An exception is only good as the information it conveys to the
user. iFlight NEO extends the limits of Exception management by provide configurable alerts texts, core reason
analysis and centralized inbox.
• Web & Mobility – In this digital age, it is a must have requirement for solutions to be accessible across
multiple devices and platforms. iFlight NEO is fully web based and launches off a browser independent of the
device used to access it.

16. THANK YOU
© IBS Software Services | 2017 | www.ibsplc.com
Daniel Stecher
Vice President Airline Operations
daniel.stecher@ibsplc.com
+49 177 56 00 077