Welcome!

News Feed Item

Technology Innovations and Cross-Industry Integration Poised to Transform Travel, Transportation, Tourism, and Trade by 2025

New Research by the World Economic Forum and The Boston Consulting Group Provides a Roadmap for Revolutionizing Global Mobility

LEIPZIG, GERMANY -- (Marketwired) -- 05/20/14 -- Over the next decade, four innovations largely based on existing technologies promise to improve the efficiency, speed, and comfort of travel, transportation, tourism, and trade, according to a new report by the World Economic Forum, produced in collaboration with The Boston Consulting Group. The report, Connected World: Hyperconnected Travel and Transportation in Action, is being released today at the Annual Summit of the International Transport Forum in Leipzig.

Based on WEF's Connected World project -- a three-year research initiative involving senior leaders from more than 50 companies from the travel, transportation, and information and communications technology sectors -- the report analyzes four innovations that have strong potential to provide dual benefits to businesses and society. Further, it identifies existing technologies that can help actuate each innovation and presents potential operating models, recommendations for governance structures, and challenges for implementation.

The four innovations are the following:

  • An automated check-in, security, border control, and "smart" visa system to ease international traveling difficulties while ensuring high levels of security and traveler privacy. This system harnesses technologies such as biometric-identification scanners and electronic visa procedures to improve efficiency and security. The potential benefits of this system are clear. The report cites statistics that show that improving visa processes in the G-20 could generate an estimated additional $40 billion to $200 billion in tourism receipts in four years, resulting in as many as 5 million new jobs. For airport security, the impact of a more efficient baggage-screening system could potentially reduce the personnel costs of the U.S. Transportation Security Administration by almost $500 million over the next five years, according to the report.

  • A condition-based megacity traffic-management system using real-time data collection and analytics to steer or redirect traffic, provide smart-parking capabilities for inner cities, manage public-transportation capacity, and handle congestion and traffic emergencies using dynamic tolling and access restrictions. Individuals would be able to circulate and transport goods efficiently and securely through the megacities of the future. Based on a cost-benefit analysis by WEF and BCG, implementing a comprehensive intelligent-transportation system for a megacity of 10 million would result in a net present value savings of $2 billion to $10 billion, depending on the technology and scope of the system.

  • An integrated, proactive, intermodal travel assistant (IPITA) system to select, book, and navigate different modes of travel customized to individual needs, using real-time information and advanced technology. Easy to steer, the tool would use smart devices or other interfaces such as data glasses or contact lenses as displays. The system would detect any changes or disruptions, such as congestion or weather problems, and suggest alternative modes of travel or rerouting in real time. This innovation would help reduce delays that can be costly to individuals -- and that add up to large amounts at the aggregate level. In the U.S., as much as $20 billion in economic activity could be squandered by 2020 because of delays and cancellations at just 12 major airports, according to the report.

  • A transparency and traceability optimizer for logistics to streamline cumbersome logistics and customs processes. This system would leverage existing technologies to facilitate greater flow of information among companies and between companies and governments, allowing goods to flow more swiftly, less expensively, and more reliably than they have in the past. In addition, this wide-ranging system would not only optimize inventories but also track emissions, leading to a reduction in the environmental impact of producing and shipping goods. Again, the impact of this innovation can be profound; reducing barriers within the global supply chain could increase worldwide economic activity by almost 5 percent and total trade volume by 15 percent, according to a study cited in the report.

"The benefits of these solutions are profound -- from both an economic and a societal vantage," said Antonella Mei-Pochtler, a BCG senior partner and codirector of the Connected World project. "We have analyzed and demonstrated their impact; now we have to begin to work together with private and public stakeholders in implementing them, first as pilots and then scaling those pilots to full operation."

"In years ahead, solutions like IPITA, with real-time updates, customized recommendations, and end-to-end ticketing will become game changers for travelers. There's a great opportunity for the private sector and public agencies to work together to make this a widespread reality," said Margo Georgiadis, president of operations at Google.

Because the technology needed to drive these innovations largely exists, successful implementation hinges on surmounting institutional barriers and forging cooperation between companies and the public sector. In addition, other hurdles persist: each innovation will need to incorporate processes and systems to ensure privacy and resilience against cyber attacks, among other issues. WEF, however, believes that corporate and government leaders working in concert can address those challenges.

In its final year, the Connected World project will focus on building policy dialogue to bring together key stakeholders to accelerate implementation -- which could prove to be a major driver of innovation and make travel, transportation, tourism, and trade more efficient, comfortable, and sustainable by 2025.

"There is great potential in all these solutions to improve the way people and goods move across the globe and within cities," said Nikolaus Lang, a BCG senior partner. "To realize that potential, the relevant stakeholders need to come around the table to work together and bring these solutions to life."

The Connected World project and report form part of WEF's Hyperconnectivity Initiative, which aims to provide insight into how the increasing prevalence and speed of connections around the globe will have an impact on issues such as security, cyber crime, and privacy.

A copy of the report and video clips illustrating the innovations and scenarios are available on the Connected World home page and on bcgperspectives.com.

To arrange an interview with one of the authors, please contact Eric Gregoire at +1 617 850 3783 or [email protected].

About The Boston Consulting Group
The Boston Consulting Group (BCG) is a global management consulting firm and the world's leading advisor on business strategy. We partner with clients from the private, public, and not-for-profit sectors in all regions to identify their highest-value opportunities, address their most critical challenges, and transform their enterprises. Our customized approach combines deep insight into the dynamics of companies and markets with close collaboration at all levels of the client organization. This ensures that our clients achieve sustainable competitive advantage, build more capable organizations, and secure lasting results. Founded in 1963, BCG is a private company with 81 offices in 45 countries. For more information, please visit bcg.com.

About bcgperspectives.com
Bcgperspectives.com features the latest thinking from BCG experts as well as from CEOs, academics, and other leaders. It covers issues at the top of senior management's agenda. It also provides unprecedented access to BCG's extensive archive of thought leadership stretching back 50 years to the days of Bruce Henderson, the firm's founder and one of the architects of modern management consulting. All of our content -- including videos, podcasts, commentaries, and reports -- can be accessed by PC, mobile, iPad, Facebook, Twitter and LinkedIn.

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
SYS-CON Events announced today that HTBase will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. HTBase (Gartner 2016 Cool Vendor) delivers a Composable IT infrastructure solution architected for agility and increased efficiency. It turns compute, storage, and fabric into fluid pools of resources that are easily composed and re-composed to meet each application’s needs. With HTBase, companies can quickly prov...
SYS-CON Events announced today that Infranics will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Since 2000, Infranics has developed SysMaster Suite, which is required for the stable and efficient management of ICT infrastructure. The ICT management solution developed and provided by Infranics continues to add intelligence to the ICT infrastructure through the IMC (Infra Management Cycle) based on mathemat...
SYS-CON Events announced today that Cloudistics, an on-premises cloud computing company, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Cloudistics delivers a complete public cloud experience with composable on-premises infrastructures to medium and large enterprises. Its software-defined technology natively converges network, storage, compute, virtualization, and management into a ...
SYS-CON Events announced today that Interoute, owner-operator of one of Europe's largest networks and a global cloud services platform, has been named “Bronze Sponsor” of SYS-CON's 20th Cloud Expo, which will take place on June 6-8, 2017 at the Javits Center in New York, New York. Interoute is the owner-operator of one of Europe's largest networks and a global cloud services platform which encompasses 12 data centers, 14 virtual data centers and 31 colocation centers, with connections to 195 add...
Building custom add-ons does not need to be limited to the ideas you see on a marketplace. In his session at 20th Cloud Expo, Sukhbir Dhillon, CEO and founder of Addteq, will go over some adventures they faced in developing integrations using Atlassian SDK and other technologies/platforms and how it has enabled development teams to experiment with newer paradigms like Serverless and newer features of Atlassian SDKs. In this presentation, you will be taken on a journey of Add-On and Integration ...
There are 66 million network cameras capturing terabytes of data. How did factories in Japan improve physical security at the facilities and improve employee productivity? Edge Computing reduces possible kilobytes of data collected per second to only a few kilobytes of data transmitted to the public cloud every day. Data is aggregated and analyzed close to sensors so only intelligent results need to be transmitted to the cloud. Non-essential data is recycled to optimize storage.
"I think that everyone recognizes that for IoT to really realize its full potential and value that it is about creating ecosystems and marketplaces and that no single vendor is able to support what is required," explained Esmeralda Swartz, VP, Marketing Enterprise and Cloud at Ericsson, in this SYS-CON.tv interview at @ThingsExpo, held June 7-9, 2016, at the Javits Center in New York City, NY.
Interoute has announced the integration of its Global Cloud Infrastructure platform with Rancher Labs’ container management platform, Rancher. This approach enables enterprises to accelerate their digital transformation and infrastructure investments. Matthew Finnie, Interoute CTO commented “Enterprises developing and building apps in the cloud and those on a path to Digital Transformation need Digital ICT Infrastructure that allows them to build, test and deploy faster than ever before. The int...
Culture is the most important ingredient of DevOps. The challenge for most organizations is defining and communicating a vision of beneficial DevOps culture for their organizations, and then facilitating the changes needed to achieve that. Often this comes down to an ability to provide true leadership. As a CIO, are your direct reports IT managers or are they IT leaders? The hard truth is that many IT managers have risen through the ranks based on their technical skills, not their leadership abi...
The essence of cloud computing is that all consumable IT resources are delivered as services. In his session at 15th Cloud Expo, Yung Chou, Technology Evangelist at Microsoft, demonstrated the concepts and implementations of two important cloud computing deliveries: Infrastructure as a Service (IaaS) and Platform as a Service (PaaS). He discussed from business and technical viewpoints what exactly they are, why we care, how they are different and in what ways, and the strategies for IT to transi...
Without a clear strategy for cost control and an architecture designed with cloud services in mind, costs and operational performance can quickly get out of control. To avoid multiple architectural redesigns requires extensive thought and planning. Boundary (now part of BMC) launched a new public-facing multi-tenant high resolution monitoring service on Amazon AWS two years ago, facing challenges and learning best practices in the early days of the new service.
Niagara Networks exhibited at the 19th International Cloud Expo, which took place at the Santa Clara Convention Center in Santa Clara, CA, in November 2016. Niagara Networks offers the highest port-density systems, and the most complete Next-Generation Network Visibility systems including Network Packet Brokers, Bypass Switches, and Network TAPs.
All organizations that did not originate this moment have a pre-existing culture as well as legacy technology and processes that can be more or less amenable to DevOps implementation. That organizational culture is influenced by the personalities and management styles of Executive Management, the wider culture in which the organization is situated, and the personalities of key team members at all levels of the organization. This culture and entrenched interests usually throw a wrench in the work...
SYS-CON Events announced today that Outlyer, a monitoring service for DevOps and operations teams, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Outlyer is a monitoring service for DevOps and Operations teams running Cloud, SaaS, Microservices and IoT deployments. Designed for today's dynamic environments that need beyond cloud-scale monitoring, we make monitoring effortless so you ...
My team embarked on building a data lake for our sales and marketing data to better understand customer journeys. This required building a hybrid data pipeline to connect our cloud CRM with the new Hadoop Data Lake. One challenge is that IT was not in a position to provide support until we proved value and marketing did not have the experience, so we embarked on the journey ourselves within the product marketing team for our line of business within Progress. In his session at @BigDataExpo, Sum...