KLM Royal Dutch Airlines and Boston Consulting Group (BCG) have announced an extension of their partnership officially established in 2018 to launch a suite of tools delivering integral planning and control for airline operations.
KLM and BCG’s approach to optimising airline operations leverages a custom-built suite of digital tools paired with business transformation capabilities to ensure the tools are used daily by frontline staff in operations, crew, and hub control.
Using machine learning, artificial intelligence, and advanced optimisation techniques, the digital solutions aim to help the users optimise complex decisions relating to fleet, crew, ground services, and network, and deliver an enhanced customer experience to passengers.
Since the partnership launched back in 2018, KLM reports that the solutions have improved the carrier’s operational metrics across the board. For instance, the number of delayed flights or missed passenger connections have been reduced by up to 40%, and KLM’s Net Promoter Score (NPS) has increased from 38 in 2015 to 41 in 2019.
KLM says that during the COVID-19 crisis, these tools and capabilities have enabled the airline and other global airlines to be “more nimble in the face of unprecedented volatility in the market and operations”. For example, by adapting existing tools to support fleet allocation decisions based on latest passenger data, KLM has achieved a 3% reduction in CO2 emission per passenger kilometre within its European network.
In the past three years, the KLM–BCG partnership has also deployed its tailored solutions at carriers globally. After Delta Air Lines became the inaugural customer, the partnership has expanded its customer base to several other airlines, such as GOL and Virgin Atlantic.
René de Groot, Chief Operating Officer, KLM, said: “Thanks to the existing suite of tools and the in-house capabilities that we have built up in recent years, KLM was able to derive a lot of value from its Operations Decision Support set of tools in 2020, just like in the years before. Our partnership with BCG is one of the building blocks to deliver on our ambition to become the world leading data and technology driven airline and I am extremely excited about having extended this unique cooperation.”
Jason Guggenheim, Global Head of Travel and Tourism, BCG, added: “We are thrilled to continue this one-of-a-kind partnership with KLM. Over the last few years, our mutual track record of innovation and complementary experience has seen our partnership go from strength to strength and has proven very successful in the market. Together, we look forward to continuing to provide airlines around the world with innovative tools that will help them emerge stronger out of the COVID-19 crisis.”
Erik Snell, SVP Operations and Customer Centre, Delta Air Lines, also commented: “As we build industry leading digital capabilities to support our operations, partnering with KLM-BCG has been a key to accelerating this build across technology, process, and implementation. We are excited to continue this journey and collaboration with the KLM-BCG partnership to ensure we continue to deliver world-class operational performance for our passengers in both blue sky and disrupted days.”
