Case Study 2: Schiphol International Hub
INTRODUCTION
Schiphol
Amsterdam airport is Europe’s fourth-busiest airport. Handling about 50 million
passengers and 1.5 million tons of freight per year. It is often ranked among
the world’s best airports by the Skytrax passenger survey. Producing that sort
of quality 24 hours a day, seven days a week imposes high demands on the
infrastructure and services, including Schiphol’s network.
Problems: According
to a 2009 LATA CATS survey. Moreover, mishandled baggage is a $2.5 billion
problem for this industry every year. Annually affect about 51 million
passengers travelling through Schiphol airport alone.
Goals: Realize
a monumental 1% maximum loss of transfer baggage (against the initial 22
million lost baggage); Increase capacity from 40 to 70 million bags and reduce
cost per bag without increasing wait time.
CASE STUDY QUESTION
Question 1:
How Many Levels Of Complexity Can You Identify In Schiphol’s Baggage
Conveyor Network?
Answer
There are 3 levels of complexities for Schiphol’s baggage conveyor
network:
- 21kilometers of transport tracks,
- 6 robotic units, and
- 9,000 storage capacitors, (No extending the system with more surfaces)
Schiphol's
involved gigantic baggage conveyor network that includes 21 kilometers of
transport tracks, 6 robotic units and 9000 storage capacitors, all behaving as
one system. Extending the system with more surfaces is not possible given the
land conditions surrounding the airport. The baggage conveyor network goal
is to have the right bag must be at the right place at the right time.
Network must
perform several key roles that are moving bags from check-in area to the
departure gate, move bags from gate to gate, move bags from the arrival
gate to the baggage claim and plan and control peripheral hardware and
software. System involves a wide variety of sensors, actuators, mechanical
devices and computers and this network uses over 3 million lines of source
code. Some advance technology used in baggage-handling system includes
destination-coded vehicles (DCVs), automatic bar code scanners, radio frequency
identification (RFID) tags and high-tech conveyors equipped with sorting
machines. Baggage should move from its current location to its destination
before travelers do. Further complications shows that all of this must be
available and robust that are it must operate 99.99% of times while being able
to minimize loss or damage in that 0.001% of time it doesn't.
Question 2:
What are the management, organization and technology components of
Schiphol’s baggage conveyor network?
Answer
Management;
- Manager sets organization strategy for responding to business challenges. Manager has estimated the budget for renewing the baggage control system is amounting $1.0 billion over a period of about 10 years.
Organization;
1. Hierarchy of authority
- Management and the employees to be working toward the same vision
- Different task for employee according to their authority e.g controller, security and maintenance worker
- Training all employees from the earliest stages of the project, and doing so in the most hands-on way possible.
- Employees were to be trained about managing a robot to handle the baggage process.
- When the customers arrived at check in desk their bags are tagged
- The tags contains the flight information/bar code/FRID that all of the computer in the baggage handling system can read.
- When computers in the system scan the bar code/detect the RFlD, they process the information it contains and determine where to send your bag.
- After being scanned (at least) once, the system always knows where the bag is at any point, and is able to redirect it based on three parameters: (a) time of its flight; (b) priority: (c) size.
Driving a
major effort to increase baggage processing capacity on the strength of
intelligent routing and optimization.
Technologies;
1. Networking
and telecommunication technology
- 3 million lines of source code
- Networks; the internet
2. Plan
and control peripheral hardware and software
- wide variety of sensor, actuators, mechanical devices and computer
3. Advanced
technology
- Baggage- handling systems (includes destination-coded vehicles (DCVs))
- Automatic bar code scanners,
- Radio-frequency identification automatic (RFID) tags,
- High- tech conveyors equipped with sorting machines.
Question 3:
What is the problem that Schiphol is trying to solve? Discuss the
business impact of this problem?
Answer
The problem
they are trying to solve is the increase efficiency in baggage handling in the
Schiphol International airport, in Amsterdam, the Netherlands. Mishandled
baggage is a $2.5 billion problem for industry every year and this problem may
annually affect about 51 million passengers travelling through Schiphol airport
alone. With the new system, the manager of Schiphol estimated this system
operate 99.9%of times while being able to minimize loss and damage in that
0.01%. This system is extremely expensive, but if implemented successfully it
can save 0.1% of $2.5 billion.
Question 4
Think of the data that the network uses. What kinds of management reports
can be generated from that data?
Answer
Data Network
|
Reports
|
Number of baggage
|
Total number of business handling every year
|
Total loss
|
Profit and loss report
|
Defect system-minimum loss
and damage
|
Risk management report/ improvement system
|
Capacity of the baggage
|
Actual capacity for the
baggage
|
Automatic data scanner
|
Efficiency of the data scanner
|
Thank u bro
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