A recent pilot program at Heathrow Airport, conducted by Aventus, an enterprise-grade blockchain-as-a-service provider, has demonstrated a 7% reduction in airline cargo handling costs. Aventus founder Alan Vey highlighted that beyond the cost savings, airlines also achieved enhanced operational efficiency. Vey noted that improvements such as faster turnaround times, quicker container location, and more efficient communication between airlines and ground handlers allow for redeployment of time to more productive tasks.
This pilot underscores the disruptive potential of blockchain technology, suggesting that further adoption could lead to substantial savings across the cargo handling sector. While blockchain’s broader impact on various industries remains largely theoretical, its current applications in aviation illustrate its significant potential for cost reduction and operational improvements.
Fewer than 10% of Communication Errors Occur with Blockchain Technology.
Aventus also reduced 90% of communication and incident issues for airlines. Most of the improvement came from outdated unit load devices, as most airports worldwide still use the model issued in the 1990s.However, Aventus reduced the human errors caused by the outdated ULD models. Vey explained:
“We enable airlines and ground handlers to digitize these processes, saving time and streamlining operations. Blockchain is a crucial part of this process, used to securely store important documentation for compliance purposes.”
According to Aventus, outmoded ULD management systems cost airlines over $1.6 billion annually. If blockchain technology is used, these costs can be considerably decreased, thus demonstrating the potential for even further Airline Cargo cost savings.
Already, Averus is working with global airlines across Asia, Europe, and the Middle East to digitize their tracking solutions, underscoring the requirement for blockchain to reduce Airline Cargo costs while enhancing its efficiency.
28% Reduction in Loading Times
One pilot cut 28% of loading time by optimizing the outdated ULD workloads. This reduction in loading time will eventually support Airline Cargo in cost reduction and boost, in general, the airlines’ operational efficiency. The manual documentation time was reduced by 83%, making more capacity available among airline workers.
According to a recent report, Michelle Roosevelt, the director at Aviation Perishables Handling, said Aventus’ Web3 stack was “fast and responsive.”
“We’ve seen huge improvements in productivity. The app is more than a tool – it’s reshaped how we manage and track our aircraft containers…”
Blockchain’s Potential in the Aviation Industry
According to Vey, the aviation industry can no longer ignore blockchain technology, which is “ripe for innovation in general.” Reducing Airline Cargo costs and enhancing efficiency through blockchain use is the tip of the iceberg in the potential applications of this technology within the industry.
Blockchain offers a significant boost in transparency and security for airline operations, revolutionizing how cargo handling is managed. By leveraging its immutable ledger, blockchain ensures that all parties involved in the cargo process have access to accurate, real-time information. This technology securely stores critical documents necessary for compliance, thereby reducing the risk of errors and inconsistencies.
As a result, communication errors are minimized, and overall reliability in cargo-handling procedures is greatly enhanced. This enhanced transparency not only streamlines operations but also builds trust among stakeholders, leading to a more efficient and secure cargo management system.
Conclusion
So far, blockchain technology has proved that it can reduce airline cargo costs while improving efficiency in the airline industry. According to a study conducted at Heathrow Airport by Aventus, significant cost savings of Airline Cargo and operational efficiencies were shown, thus proving that blockchain may be the key to overall cargo handling processes.
By embracing blockchain technology, airlines will be better positioned to pull off substantive cost savings in airline cargo while improving operational performance toward a more efficient and reliable aviation industry. Stay updated with current news from Turkishnyradio, learn about blockchain and crypto in general with ease.
