Digital Transformation in Airfreight IGAirCargo Forum Switzerland Basel, October 16 th 2019 Boris Hueske Head of Digital Transformation
Logistics is transport of goods and information Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 2
Airfreight information still on paper? Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 3
Digitalisation… Disruption… …you all know about …and Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 4 https://unsplash.com/photos/3TRdlKU-3II
Digitalisation changes expectations, processes & services – also in transportation New technology Exponential & connectivity increase of computing power IoT, AI, cloud, API, robotics, ... Moore`s law - processing power for computers doubles every two years 1970 2000 2020 Consumerization Start-ups of B2B 6bn USD invested in logistics start ups in 2018 1 Customization Convenience Digital touchpoints New solutions and business models 1) crunchbase Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 5
Data and connectivity provide new services Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 6
PreCheck and Quick drop off – new services for paperless airfreight Quick feedback about transmitted • data before delivery Check-in at the self-service • terminal: no more need to register at the counter, drivers can proceed directly to the ramp Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 7
eDGD & DGDonline – DGD.online works carrier-independent data and connectivity and is fully compliant to IATA DGR and based collaboration intermodal by supporting ADR and IMO. processes beyond the paper approach PoC platform enables collaboration Other Carrier Stakeholder Shipper Use data and Access DGD data report back according to input role PoC Lead: Operator: DG platform Sponsor: Import Forwarder GHA Agent Assign & GHA Use and Use enrich report back Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 8
Digital connectivity is API – an opportunity for airfreight Application Programming Interface to speed up and enrich information flow Realtime data exchange • Direct connection based on up-to- • date technology New data & services through data • sharing Simple to use and easy to • implement; flexible in operation Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 9
Lufthansa Cargo offers APIs for real-time data exchange and service integration on top of EDI messaging https://developer.lufthansa.com Private APIs: Public APIs: smartBooking getRates getCapacity Shipment Tracking getRoute Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 Source: cargo.one 10
Online selling of services – standard in many industries – too complex in airfreight? Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 11
Some freight forwarders sell online Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 12
New booking portals in airfreight Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 13
Lufthansa Cargo automates spot quotes – 24/7 realtime prices • Spot prices available in eBooking • Each bookable routing will have price information 24/7 price information availability • Dedicated Algorithm • Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 14
Digital interfaces and services to improve quality, speed and transparency in airfreight Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 15
Digitalisation for better services and customer experience Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 16
Thank you! Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 17
Digitalisation in Airfreight 1 Value data. Drive paperless transport. 2 Leverage services. Rethink IT & processes. 3 Get connected. Facilitate data standards. Lufthansa Cargo | Digital Transformation in Airfreight I October 16 th 2019 18
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