Aviation Festival Digital Disruption Advisory Report - Q&A with Datalex CMO, Ornagh Hoban
Q: Has the mood around NDC changed recently? Are the voices more harmonious…?
A:Yes, as a distribution technology standard, there appears to be more positive regard for NDC and how it can foster better exchange and co-creation of value across a rapidly evolving supply chain. However, NDC as a technology can’t change the landscape until people, systems and processes catch up.
Q: How do you see the role of the GDS evolving in the near future?
A: The GDS will foster better exchange and co-creation of value across an evolving supply chain in which both suppliers and aggregrators will compete as ‘platform businesses’ to deliver products and services with exceptional precision and leverage the network effect of a digital marketplace.
Q: What is the potential for blockchain technology to disrupt airline distribution?
A: The ability to move from a centralised database or ledger to a decentralised system will allow the airline to dynamically price and share inventory with partners across a digital marketplace – this has the potential to disrupt traditional supply chain dynamics.
Q: What is your vision for the future of airline distribution?
A: Customers, products and operations are now fundamentally digital and the digital marketplace will continue to reshape airline distribution and value chains. As owners of precious inventory, assured customer demand and valuable brand equity, the airline will compete for more revenue and profit source. IATA predict double the volume of travellers by 2037 to 8.2 billion yet the harsh reality is the airline as a global business will need do more and faster with fewer resources and compete to be on the right side of the disruption curve.
Protests such as ‘I’m too costly to be competitive’ or ‘my industry is under disruption’ will only open the door to those willing to challenge the establishment and reinvent the industry.
Q: Two challenges to implementing ONE Order are existing technologies and processes. Has the planning for ONE Order adequately taken this into consideration? Do you view ONE Order as something which will affect your distribution strategies near-term, medium-term, or longer-term?
A: ONE Order represents a new enterprise gearbox that will allow the airline to scale its distribution beyond what current legacy enterprise systems were designed to do.
There are however some tough choices to make across people, processes and systems if we are ever going to shift gear to One Order.
Many innovative airlines are taking a bi-modal approach: keeping legacy order systems running for predictable outcomes, while experimenting with new order management capabilities and proving how inherently critical One Order will be for the commercial future of the airline.
Download the Digital Distribution Advisory Board Report Part 2
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