From trucks on the highways to cargo ships sailing across the ocean, logistics keeps the wheels of commerce spinning. Check out these 10 fun logistics facts to discover the ingenuity and innovation that power this vital industry.
For example, did you know that air freight can cut the shipping time from China to the United States by up to six weeks?
Transportation
Transportation is a vital part of our modern economy. It enables us to get access to the things we value and need in order to live, such as work, food, shelter, and entertainment. It is the backbone of a global network that trades $18 trillion worth of goods and moves the world’s population over 81 trillion kilometers each year. It also impacts the climate, accounting for 23% of the planet’s greenhouse gas emissions.
Airline logistics is one of the most important aspects of the airline industry, providing a critical service that enables companies to transport their products and services around the world quickly and efficiently. The aviation logistics industry encompasses all of the activities necessary for managing and coordinating airline freight transportation, including booking cargo space on flights, preparing and packaging goods for air travel, and arranging shipping from origin to destination.
Cargo handling and storage: Airline logistics companies are responsible for handling, storing, and managing cargo at airports. They also prepare goods for air travel and ensure that they are loaded onto aircraft correctly. They may also provide secure storage facilities. Air freight companies often form alliances with other cargo airlines to offer a comprehensive logistics solution, such as SkyTeam Cargo, which regroups companies such as Aeromexico Cargo, Air France Cargo, KLM Cargo, and Alitalia Cargo.
The transportation aspect of airline logistics involves the actual movement of goods and passengers between destinations. This is usually done using vehicles such as cars, buses, trucks, trains, ships, and planes. It can be a complex system, especially in large cities where many modes of transportation intersect and operate simultaneously. In the United States, for example, the transportation web is densest in the general area bounded by the Ohio and Potomac rivers, as well as several corridors connecting major industrialized areas such as New York City; Philadelphia, Pennsylvania; Baltimore, Maryland; and Washington, D.C. The underlying systems that support the transportation of goods and passengers are equally complex and include highways, railways, ports, and pipelines. Transportation is a global network that links businesses with customers, suppliers, and workers.
Logistics
Airline logistics is the process of planning and coordinating the flow of goods and services through the aviation industry. It involves a wide range of activities, including transportation, inventory management, and distribution. Effective aviation logistics management can improve efficiency and reduce costs, making it an important aspect of the airline industry.
Airlines rely on the effective management of transportation and warehousing to provide passengers with a seamless travel experience. As the demand for air travel increases, airlines need to ensure that their supply chain is capable of accommodating this increased volume without impacting operational efficiency and customer satisfaction. The industry is also faced with a growing number of regulatory challenges, which add to the complexity of airline logistics management.
The logistics industry is one of the most important sectors in the global economy. It provides vital services that support the entire value chain, from raw materials to consumer products. In addition, logistics companies help to reduce cost and time in the supply chain by ensuring that goods are delivered on time and in full. The industry also plays a key role in supporting the global economy by creating jobs, providing opportunities for growth, and contributing to sustainable development.
For example, in the United States, trucking is the most common mode of freight transport, with over 3.5 million truck drivers. However, there is also a significant amount of freight transported by rail. This is partly due to the fact that rail transport is much more energy-efficient than trucks, as it uses less fuel and emits fewer emissions. In addition, rail transport is more flexible and can accommodate a wider range of shipping requirements than road transportation.
The aviation logistics industry is a complex and dynamic field, with many different aspects that require careful planning and coordination. The success of this industry depends on the ability to respond quickly and efficiently to changing demands. For example, how Vail businesses face challenges, or if there is a sudden increase in passenger demand due to a major sporting event, effective logistics management can help airlines to quickly procure additional aircraft and coordinate the transportation of extra fuel, catering supplies, and luggage.
Passenger Services
In the airline industry, passenger services are a crucial aspect of airline operations. Keeping passengers happy and comfortable onboard is important to ensure passenger loyalty, especially during a stressful time like flight delays or cancellations. Fortunately, airlines have many tools to address passenger needs and ensure a positive experience.
Passenger service systems (PSS) are key to this effort. These systems enable airlines to manage a wide range of passenger-related tasks, including check-in procedures, baggage handling, and ancillary service offerings. They also enable airlines to communicate with passengers throughout the travel process.
The core functionality of a PSS resides in three key subsystems: the Airline Reservation System, the Airline Inventory System, and the Departure Control System. Each module has its own specifics, but they are all connected to each other and collaborate seamlessly to proficiently support airline passenger management.
Airline Reservation Systems allow travelers to purchase flights via online and offline channels. This includes GDSs, OTAs, and third-party booking platforms. These systems also facilitate interline partnerships and provide real-time flight status updates and connections to connecting flights. They can even handle booking changes and cancelations.
Ticketing Solutions help airlines create and sell ancillary bundles, event tickets, city tours, and more. They are tightly integrated with the reservation system and can be used across check-in touchpoints such as websites, mobile apps, and kiosks. They can also offer advanced merchandising tools and a powerful e-commerce engine that is compatible with multiple payment gateways.
Inventory Management automates inventory control and boosts yield on high-demand flights, while providing a seamless experience for connecting passengers. It also enables airlines to identify their most valuable customers and prioritize them accordingly. Additionally, this component can automate seat selection and wait-list access rules and optimizes pricing based on customer value.
While airline passenger services can be complex, there are many software and IT solutions that can help to make it more streamlined and efficient. By implementing these systems, airlines can better meet the demands of their customers and maximize their revenue potential. Several airlines, even those that stick with a low-cost business model, have started investing in passenger services solutions and upgrading their outdated IT platforms.
Maintenance
Maintenance is the functional inspection, servicing, repairing, or replacing of necessary devices, equipment, machinery, building infrastructure, and utilities in industrial, business, and residential installations. Aviation logistics technology platforms, such as TRACTIAN, can help with various aspects of airline maintenance, including:
improving inventory accuracy and accountability by enabling smart, transparent inventory tracking and verification;
