Airlines save up to 7% on cargo handling thanks to blockchain technology

Airlines can reduce their cargo handling activities by up to 7% by using blockchain-based supply chain management solutions.

This is according to a recent study conducted by Aventus at Heathrow Airport. Aventus, a company that provides high-end blockchain solutions, also noted improved operational efficiency at airlines during the study.

A lot of time is saved

According to Alan Vey, founder of Aventus, some of the key benefits were faster turnaround times, faster container location and streamlined communication between airlines and ground handlers. “Airlines and cargo handlers can reinvest the time saved in more productive operations, resulting in significant cost savings,” Vey said.

Additionally, Aventus reported a 90% reduction in communication and error incidents, primarily by addressing the legacy Unit Load Devices (ULDs) in use since the 1990s. These legacy systems cost airlines more than $1.6 billion annually. By digitizing these processes, Aventus was able to reduce human error, increasing efficiency.

A pilot study showed that optimizing ULD workloads reduced loading times by 28% and reduced manual documentation time by 83%. Michelle Roosevelt, Director of Aviation Perishables Handling, praised Aventus’ Web3 stack, calling it “fast and responsive.” She highlighted the significant productivity improvements and noted that the app has redefined the way aircraft containers are managed and tracked.

Optimism about the potential of the technology

Blockchain experts are optimistic about the technology’s potential to disrupt major industries. While many of its intended applications have yet to materialize, the cost savings in the aviation sector could significantly boost enterprise adoption of blockchain. Aventus is already working with global airlines in Asia, Europe and the Middle East to digitize their tracking solutions and drive further innovation.

Alan Vey concluded: “Blockchain can no longer be ignored by the aviation industry, which is generally ripe for innovation.”