Current location - Loan Platform Complete Network - Big data management - Why do airlines need to undergo digital transformation?
Why do airlines need to undergo digital transformation?

Contains two meanings:

One is that for the newly established airlines, it is necessary to digitize the construction and operation of the idea at the beginning of the creation of the airline, in order to avoid and the traditional large-scale airlines in the same track in the same way of the race.

Otherwise, the new airline will have no competitive advantage in cost control, market development, cooperation and operational safety, and will only be supported by local government policies to stay in the middle of the road, unable to move towards an open and competitive market, and will have almost no hope of avoiding losses;

The second is that, for the medium-to-large-sized airlines, due to the closed nature of the airline industry, the market environment and IT systems are highly homogeneous. Secondly, for medium and large airlines, due to the closed nature of the airline industry, the market environment and IT systems are highly homogeneous, with little or no special individual differences except for the differences in route networks, and the conditions for innovation are actually very limited when the main environmental factors depend on the outside world.

This is all determined by the need to reorganize resources, redefine roles, and reorganize processes. The reality is that the resources, roles, and processes that have been relied upon for decades are solidified in existing IT systems, and it is virtually impossible to effectively realize large-scale innovation without breaking the boundaries of existing systems, and even "micro-innovation" is a difficult endeavor.

So what kind of airline needs digital transformation

Simply put, what kind of airline needs digital transformation.

If new entrants to this industry come to compete with the advantages of Internet technology and the big headline players start to improve their competitive efficiency through digitization, those that don't transform in terms of efficiency may be at a huge disadvantage.

So the situation forces all market participants must seek new breakthroughs in the road to improve efficiency and reduce costs, rather than stand still and be eliminated by the market.

From an operational point of view, digital monitoring of the entire process can effectively reduce the cost of unnecessary consumption;

Improvement of the digital management level of material inventory can also effectively reduce the capital pressure brought about by the early procurement and inventory;

The timely collection and analysis of data generated in the process of production and operation can be used to adjust the business process in a timely and effective manner;

Each of these advances will give a new impetus to the development of a more efficient and effective business model, which will be able to meet the needs of the market.

Each of these advances will give companies a huge competitive advantage. And sit and wait for competitors to optimize the process, cost savings, release the pressure of capital and do nothing in the competition in the enterprise will certainly be defeated.