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The innovative ways that Airlines make money with frequent flyer points

Idea to Value

Airline loyalty programmes are fascinating. Not just because we happen to have enough frequent flyer points with one airline to fly around the world, but instead because of how they completely changed the business model of airlines.

Video 202
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Lessons From Airline Industry Downtime

Daniel Burrus

If you were one of the millions of travelers impacted by the technology breakdown of two major airlines a few months ago, you have my sympathies. But condolences aside, the unexpected and massive shutdown should serve as a warning to us all about the significant risks associated with an aging and often volatile IT infrastructure—that, and the value of being anticipatory with regard to changing IT requirements.

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Ten Things United Airlines Might Have Done

Gregg Fraley

Improving Customer Service at United Airlines Requires a Paradigm Shift and Recognizing They Have a Problem. 10 Things United Airlines Might Have Done (see below). Once again we have an incident of extremely poor customer service from a major airline. United Airlines is a jaded, faded, uninspired, culture — that will die — unless they pull out of this lack-of-innovation, and lack-of-consumer-empathy death spiral.

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Branding Strategies – A Scary Mistake for Southwest Airlines

BrainZooming

I’m not sure where to start with the brand experience problems for Southwest Airlines in this picture. The entire Southwest Airlines ticketing area was decorated for Halloween. No, the Southwest Airlines ticketing area went with an over the top death theme for its Halloween decorations: multiple hanging skeletons, ghosts, and tombstones (sitting on an overhang, front and center) featuring RIP (Rest in Peace) on them.

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Can Airlines Survive the Worst Year in Airline History?

Linda Bernardi

2020 has been a horrific year for the airline and hospitality industry and one which will go on for potentially another year, with so many mass events going virtual. Also, cultures are changing, and millions of deals are being closed without needing/using in-person meetings.

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Change Management and the Structure of Innovation

Innovation Excellence

It also encompasses process and structure, where change. Innovation change management heirarchy Holacracy Malaysian Airlines Organizational Structure P&G Shimano WalgreensOften innovation is cast in the minds as a pure product related process. Apple’s iPod to iPhone to iPad, for example, is, perhaps, a perfect reflection of how most people would define innovation. But innovation doesn’t have to be limited to product design and new product ranges.

Change 54
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Southwest Airlines President: ‘If You Don’t Like Change, You’re Going to Hate Extinction’

Innovation Leader

We spoke with President Tom Nealon about how Southwest is working to address customer and employee pain points

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The Risks of Sticking with Legacy Technology

Daniel Burrus

In a world of exponential change, legacy technology is trouble. In July 2016, Southwest Airlines canceled 2,300 flights when a router failed, delaying hundreds of thousands of passengers. Legacy technology is like that old pair of jeans you wore as a teenager. They are comfortable” was always your answer to any inquiry.

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United Airlines Eliminates Bonuses, Angers Employees

Michael Roberto

News reports this morning indicate that United Airlines has announced a significant change to its employee compensation policies. United Airlines President Scott Kirby issued a memo to employees explaining the change. The Points Guy" online travel site obtained a number of employee comments posted over the weekend on tthe airline’s “Flying Together” internal forum (in total, the Points Guy reports that more than 1,700 comments were posted on this forum).

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United Airlines Reverses Bonus Policy Decision

Michael Roberto

After a firestorm of criticism, United Airlines has walked back their compensation policy change. Here is an excerpt: "Since announcing our planned changes to the quarterly operations incentive program, we have listened carefully to the feedback and concerns you've expressed," Kirby wrote. " Our intention was to introduce a better, more exciting program, but we misjudged how these changes would be received by many of you. Well, that didn't take long.

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The Dangers of Legacy Thinking

Daniel Burrus

For example, Delta Airlines’ entire fleet in the United States was temporarily grounded because of computer problems—the second shutdown over a period of six months also shutting down the carrier’s website and mobile apps. One example is agility—the ability to respond quickly to changing events and market conditions. However, we are now in a period of transformational change. Legacy Thinking—Changing Your Thinking Changes Your Results.

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Change Your Thinking, Improve Your Results

Daniel Burrus

Change Your Thinking and you will Change your Results. Just ask Delta Airlines , the British bank Tesco or any other company whose legacy software caused breakdowns and data breaches. One example is agility, the ability to respond quickly to changing events and market conditions—a seeming silver bullet. Agility is very important, but the benefit of reacting and responding to change decreases as change itself accelerates.

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Robotic Process Automation: what changes with the automation process

mjvinnovation

For example, companies like airlines employ thousands of customer service agents, but customers are still waiting in line. Therefore, as in other technology projects, it is very important to implement quality change management, which includes preparing users for the transformation. .

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Robotic Process Automation: what changes with the automation process

mjvinnovation

American Express Global Business Travel uses RPA to automate the process of canceling an airline ticket and issuing refunds. For example, companies like airlines employ thousands of customer service agents, but customers are still waiting in line.

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When Software Can’t Change the Laws of Physics (or Leadership)

Mills Scofield

There have been major 737 design upgrades and changes over the years; it is usually easier to do variations on a theme in terms of design, testing, certification, regulatory approvals, etc. And certainly, proactively notifying airlines and pilots that new training was required should have been a no-brainer. Boeing, FAA, airlines, …) In your business, with your products or services, what are you assuming will ‘fix the problem’? Boeing 737 Max in production.

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Changing Culture: Speaking Up at Boeing

Michael Roberto

That data tells me what we’re doing is working,” said Madar, who oversaw American Airlines Group Inc.’s Source: Wikipedia Julie Johnsson wrote a story for Bloomberg this week about the attempted cultural transformation at Boeing.

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When Software Can’t Change the Laws of Physics (or Leadership)

Mills Scofield

There have been major 737 design upgrades and changes over the years; it is usually easier to do variations on a theme in terms of design, testing, certification, regulatory approvals, etc. Boeing 737 Max in production.

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What’s Really Happening with United’s Board?

Adam Hartung

The airline consistently ranks near the bottom in customer satisfaction, and on-time performance. But is changing the directors going to change the company? Or is it just changing the guest list for an haute couture affair? Retired since 2004, is Mr. Bethune really in step with the needs of airline customers today? Does he really have a current understanding of how the best performing airlines keep customers happy while making money?

Change 36
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Highly creative brains may have more “random” connections

Idea to Value

This is similar to how many airlines will have a regional hub that shorter flights connect to, and then switching planes at those hubs for connections to other international hubs. I have long talked about how the human brain aims to be as efficient as possible.

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Can AI Help Reframe Business Problems?

Stephen Shapiro

Work with airlines and other partners: Collaborate with airlines and other partners to find ways to improve the baggage handling process. Here’s what I got in response: How do airlines typically restrict carry-on luggage?

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Using The Both/And Principle To Increase Trust

Daniel Burrus

A few more similarly accelerating technology Hard Trends that increase in-person trust are contact-less kiosks for self-service in retail stores, and hotel and airline check-in using facial recognition and/or voice and smartphone.

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Understanding the Building Blocks of Hospitality

Business and Tech

The hospitality industry is facing rapid changes as technology advances and the modern consumer demands more. Jan Carlzon, ex-CEO of SAS Airlines, described each occasion when a guest interacts with the hotel or restaurant as “moments of truth.” Change is the only constant in business.

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A Future Shaper Investigation: Response – The real winners of the Future Fund

The Future Shapers

Changing sector and considering government policies for climate change, there is the case of Flypop , a new Indian low cost airline that still needs to fly its first plane, who received in their words “a significant investment from the UK Government’s Future Fund”.

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Your Guide to Fueling Enterprise Innovation in the Transport Industry

Qmarkets

We’re right at the beginning of an era of market disruption affecting sweeping, radical changes to personal and public transport, and the pressure on companies to innovate is coming from all directions.

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Human-centred innovation in a digital world.

Paul Hobcraft

Throughout the presentations, the digital twin was positioned as the catalyst for change, with the digital twin featured in nearly every presentation and across the stories of Siemens customers from multiple industries. Airlines are looking to encourage us back onto their planes.

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Your Guide to Fueling Enterprise Innovation in the Transport Industry

Qmarkets

Huge changes are afoot, as market disruption pressures companies from all directions. Technology is central to these innovations and the pace and scale of change is only going to accelerate as we move through the 2020s.

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Innovating Now for a Post COVID19 World

Innovation Excellence

COVID19 will change the way we behave, conduct business, and indeed how we innovate for years to come. Exactly how much change we’ll see and what those changes will actually be is still unfolding.

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Smisek’s United Ouster – Were You Really Surprised?

Adam Hartung

Since Mr. Smisek organized the merger of Continental (his former employer) with United, creating the world’s largest airline at the time, things have not gone well. Since announcing the merger in 2010, more has gone wrong than right at United: Computer glitches have hounded the airline. Thousands of flights were grounded, distressing millions of customers and wreaking havoc on the airline. Chronic bad experiences have led loyal customers to abandon the airline.

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Personalization: Where Are You?

Linda Bernardi

My passion for data has always been to harness information into useful insights in order to improve services and delight customers, not to collect, archive, then never change business models. This includes major and other credit cards, airlines, hotels, etc.

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Human-centred innovation in a digital world.

Paul Hobcraft

Throughout the presentations, the digital twin was positioned as the catalyst for change, with the digital twin featured in nearly every presentation and across the stories of Siemens customers from multiple industries. Airlines are looking to encourage us back onto their planes.

Software 130
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Human-centred innovation in a digital world.

Paul Hobcraft

Throughout the presentations, the digital twin was positioned as the catalyst for change, with the digital twin featured in nearly every presentation and across the stories of Siemens customers from multiple industries. Airlines are looking to encourage us back onto their planes.

Software 130
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The Internet of Things Is Creating Smart Airports

Daniel Burrus

The technology failures that caused the widely publicized shutdowns of both Southwest and Delta Airlines in 2016 underscored the very real need to update aging IT infrastructure. Thanks to new technology, many other aspects of airline travel have definitely improved. The tools that we ourselves carry have also improved airline travel. For countless travelers, the term “smart airport” is an oxymoron.

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Practicing for an emerging future

Jeffrey Phillips

I'll address this more shortly, but as the pace of change increases, as we have more interaction and more trade, as there is more and more widely dispersed technology, the future will be different than today. Consider how the Black Plague changed Europe, basically ending the feudal system.

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The real winners of the future fund

The Future Shapers

Changing sector and considering government policies for climate change, there is the case of Flypop , a new Indian low cost airline that still needs to fly its first plane, who received in their words “a significant investment from the UK Government’s Future Fund”.

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Entrepreneurs Bring Ideas to Life

Rmukesh Gupta

They beget change. When Richard Branson was mistreated by British Airways, he went on to start Virgin Airlines. For example, one entrepreneur that I know well is Kumar (name changed). They understand that the only thing that is permanent is the wheel of change. Change: Good entrepreneurs know that the wheels of change are always on the move. So, they are always looking for opportunities to initiate change.

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“Decouple” the Value Chain to Drive Digital Disruption

Leapfrogging

In the case of the travel industry, hotels, airlines, and tour operators decided to bypass the travel agencies and offer their services directly to consumers over the internet. However, it does not fill the medications–that’s still done by CVS (though Amazon recently purchased the company for $1 billion so that may change). “Decoupling” the value chain is the next big strategy for digital innovation and business models.

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#1,908 – Jet Packs

Greatest. Idea. Ever.

As the LA Times puts it: “It sounds like something out of a movie: An American Airlines pilot calls the control tower at Los Angeles International Airport to warn that his plane just flew past someone in midair — a person wearing a jet pack. But perhaps that’s about to change.

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The urge to converge

The Future Shapers

The airline industry is a prime example of a competitive marketplace where no-one gets to rest on their laurels. The low-cost airline (LCA) model was pioneered by Southwest Airlines in the USA in the 1970s, with the sole objective of offering cheaper fares than incumbent airlines. Finnair is a great example of a domestic legacy airline that has taken and sustained a differentiated position.

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The Value of One Good Idea

KindlingApp

As Doss points out, changing company culture is not easy—it’s an organizational shift that takes time and effort. For example, in 1972, Southwest Airlines was in deep trouble: they had already been forced to sell a number of their aircraft, and were still losing money at a rapid rate. By transforming Southwest into an airline that was extremely efficient (and known for it), Franklin turned the business around almost as fast as one of his planes.

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A Lateral Way to Expose War Crimes and Fight Disinformation

Destination Innovation

Bellingcat’s first major success was its investigation into the downing of Malaysia Airlines Flight 17 (MH17) which was shot down on 17 July 2014 while flying over Ukraine. Eliot Higgins.

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Strategy to Execution to enable Intelligent Enterprise

Rmukesh Gupta

If the organisation has a history of acquiring new companies and selling them off at a later time at a discount cant suddenly expect that their next acquisition will be different, unless there is a fundamental change in how they approach integrating the acquired companies or products. Great examples are the one’s that I have mentioned above (Alcoa, Southwest Airline, Apple or Amazon). . Premise. All organisation have a stated strategy – one that they would like to execute on.

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Boeing 737 MAX: Company Culture and Product Failure

Michael Roberto

However, the Federal Aviation Administration (FAA) allowed airlines to continue flying the jet, while Boeing worked on some changes to the MCAS software. Less than five months later, Ethiopian Airlines Flight 302 crashed six minutes after takeoff.

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The Hard-to-Abate sectors need innovation solutions to reach Net-Zero Co2 Emissions

Paul Hobcraft

They recognize that being carbon neutral can play a crucial part in their sustainability and Corporate and Social Responsibility (CSR) strategy while enabling them to do their bit for global climate change. The report also states that any scenario that does not involve a reduction to zero will not stop climate change. Since the Earth already reacts strongly to small changes in the amount of CO?, Source: [link].

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