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Management for Professionals Judith L. Walls Andreas Wittmer Editors Sustainable Aviation A Management Perspective Management for Professionals The Springer series Management for Professionals comprises high-level business and management books for executives. The authors are experienced business professionals and renowned professors who combine scientific background, best practice,andentrepreneurialvisiontoprovidepowerfulinsightsintohowtoachieve businessexcellence. Moreinformationaboutthisseriesathttps://link.springer.com/bookseries/10101 (cid:129) Judith L. Walls Andreas Wittmer Editors Sustainable Aviation A Management Perspective Editors JudithL.Walls AndreasWittmer InstituteforEconomyandthe CenterforAviationCompetence Environment UniversityofSt.Gallen UniversityofSt.Gallen St.Gallen,Switzerland St.Gallen,Switzerland ISSN2192-8096 ISSN2192-810X (electronic) ManagementforProfessionals ISBN978-3-030-90894-2 ISBN978-3-030-90895-9 (eBook) https://doi.org/10.1007/978-3-030-90895-9 #TheEditor(s)(ifapplicable)andTheAuthor(s),underexclusivelicensetoSpringerNatureSwitzerland AG2022 Thisworkissubjecttocopyright.AllrightsaresolelyandexclusivelylicensedbythePublisher,whether thewholeorpartofthematerialisconcerned,specificallytherightsoftranslation,reprinting,reuseof illustrations, recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission or information storage and retrieval, electronic adaptation, computer software, or by similarordissimilarmethodologynowknownorhereafterdeveloped. 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Theregisteredcompanyaddressis:Gewerbestrasse11,6330Cham,Switzerland Foreword SITA, or Société Internationale de Télécommunications Aéronautiques, was foundedmorethan70yearsagoandistheworld’sleadingspecialistinairtransport communicationsandinformationtechnology.Servingmorethan2500customersin morethan200countriesandterritories,SITAisoneofthemostdiverseinternational companies. SITA has always been on the forefront of technological breakthroughs and is continuously following industry trends to ensure that it is aligned with its customers’ needs. As such, SITA has placed sustainability as a key priority for its business going forward. SITA will achieve carbon neutrality of its own operations before2022andbecomeoneofthefirstcompaniesintheaviationindustrytodoso. SITA for AIRCRAFT is a business unit of SITA providing services to airlines, aircraft and equipmentmanufacturers and airnavigation serviceproviders with the aimtomakeaircraftoperationssafe,cost-effectiveandenvironmentallysustainable. SITAforAIRCRAFTisactivelycontributingtoaviationsustainabilitygoalswhich was our main driver for this collaboration with the University of St. Gallen in Switzerland. Aviation has been the foundation of global development and is essential for human connectivity. Aviation brings people and cultures together and it provides worktomillionsofpeoplearoundtheglobe.PriortotheCOVID-19pandemic,the industryenjoyedunprecedentlevelsofgrowth,particularlyinthelast20years.Such growth and success certainly come with a responsibility to minimise and avoid negative impacts on the environment. The aviation industry has recognised that responsibility early by introducing the first ever industry-wide initiative to tackle CO2 emissions. However, the presumed high level of future growth, as well as capitalintensityandtechnologicalcomplexitytodecarbonise,isexposingaviationto the risk of becoming a key polluter in the transport segment in the next 30 years. Therefore,itisofutmostimportancetofindsolutionsthatwillfast-trackindustry’s sustainability efforts. Only then can the industry continue to grow and further democratisethemobilityofpeopleandgoods. There are a growing number of aviation decarbonisation road maps that governments have put forward with the goal to eliminate carbon emissions by 2050. All of these plans include improvements in aircraft technology, operations andfuels.Accordingtotheseroadmaps,operationalimprovementscancontributeto up to 6% of overall aviation emission savings. If we consider the impact of other vv vi Foreword non-carbonemissionslikenitrogenandclouds,causedbycontrails,thebenefitsthat operationalimprovementscanbringarepotentiallymuchhigher. Therefore, besides insisting on longer term solutions, it is crucial to embrace technology that will provide benefits today. At SITA for AIRCRAFT, we are providingtechnology-basedtransformativesolutionswhichenablesafeandefficient flights.Forexample,weprovideinformationtopilotsonhowtoselectmoreoptimal flight levels and routings based on most actual weather information. This enables themtosavefuel,reduceemissionsandimprovepassengercomfortandsafety. As we transform our business, by integrating sustainability in its core, we fully understandthechallengesandbarriersthatallbusinessesarefacing.Consequently, we strive to support all activities that can ease the transition to more sustainable businessmodels.Wefocusonthepracticalapproachtosustainableaviation,looking for solutions that are open for all with easier transition, yet high impact. The University of St. Gallen followed this exact path, and in this book, they proposed practicalsolutionsforenablingsustainableaviation throughaunique collaboration betweenbusiness,aviationandsustainabilitydomains. The collaboration between different domains within academia, and its consecu- tivesuccessinyieldingpracticalandaccessiblesolutionstotheposedsustainability challenges, also highlights the importance of collaboration between the aviation industry organisations and academia. Working together enabled the University of St.GallenandSITAforAIRCRAFTtobringtwodifferentperspectivesonthesame issue,exposingconflictingopinions,whichthenfacilitatedacollaborativeenviron- mentofseekingresolutionssuitableforbothworlds. We certainly gained new insights from the research done by the University of St.Gallen.Ithashelpedustodevelopnewideasandgainanoutsideperspectivein how SITA can tackle industry challenges. We believe that this book provides an excellent and impartial 360-degree view of key issues facing sustainable aviation, andmoreimportantly,itprovidesideasandhands-onframeworksonhowindustry leaderscantackletheseissues. I am personally very grateful to the University of St. Gallen team on this collaboration, especially to Alexander Stauch and Adrian Müller for their patience andopenness,toAndreasWittmerforhissupportandtoJudithL.Wallsforteaching methatbusinessescanandmustlookatsustainabilitychallengesasanopportunity. The SITA for AIRCRAFT team that generously provided their expertise and insights to enrich this book are Elham Boozarjomehri, Viktorija Kucerova, Laura Leonardis,JoseDeOliveiraandAndrewYang. SITAforAIRCRAFT IgorDimnik Geneva,Switzerland Preface Iam,andhavealwaysbeen,inlovewithaviation.IcannotrecallthefirsttimeIever flew—I was a toddler, accompanying my parents on a Mediterranean holiday. My childhood was full of travel, both near and far. As early as I can remember, I had interests in becoming a pilot—dreams that were dashed when I heard about mini- mum eyesight requirements as a teen, and the carbon footprint of flying in later years. As kids, my brother and I badgered air hosts and hostesses to let us visit the cockpitateveryopportunity,somethingthatwasstillpossiblepre-9/11.Once,asa teenagertravellingalone,Iwasinvitedtojointheflightdeckduringalanding.The shockofcockpitalarmsblaringastheplanedippedbelowacertainaltitudecreated anadrenalinesurgethroughmybody.Tothisday,Idonotknowifthepilotsmeant to tease me by omitting to tell me, but upon seeing my shocked face the flight engineertookpityonmeandinformedmethatthiswasnormal.Asthepilotsguided thegiantbirddowntoearth,itoccurredtomethatgetting500tonnesofmetalinthe airisnothingshortofaminormiracleinhumanandtechnologicalingenuity. Someofthehappiestandsaddestmomentsofmylifehavebeenspentonplanes andinairports.Asalifelongexpatand‘thirdculturechild’,flyingrepresentedtravel forbothfunandnecessity.Myfirstlong-distancetravelandre-homingwastoSouth Korea. Things were different back then. For one, people still smoked on planes (Iwillforeverbegratefulthatthoseregulationschanged).Foranother,youcouldnot flydirectlytoSouthKoreafromEurope.TheoptionsweretogoviaAlaskaalongthe northernpartoftheglobe,orviamultiplehopsalongthesouthernpartsofAsiaand the Middle East. I was just old enough to become aware of the complex role of internationalpoliticsinindustrieslikeaviation. Ialsohavefondandlessfondmemoriesofairports.Iracedthroughtheworld’s largestairportbecause oftakingthewrongpiertowards thegatewhichwasonthe oppositeendoftheairport.Ifondlyrecallalittleshackonadirtrunwayoptimisti- callylabelled‘airport’insomeone’selegantcursivehand.Ihavehadtoexplainwhy I had a bread knife in my suitcase (thankfully, also pre-9/11), which due to delays endeduptravellingwithmeonboardratherthancheckedin.Ihavebeenstoppedby customs for having too many bags, or too few. I was once so sick from food poisoningthatIfellasleeprightnexttothegateandmissedmyflight.Ihavegone swimming and watched movies at airports during long layovers and read entire vii viii Preface novelsonflights.Ihaveresearcheurekamomentsinairportsandairplanesforlack ofhavingnothingbettertodo. InNamibia,Iflew ina4-seater Cessnafor thefirsttime,totrackpredators. My stomach protested strongly at the aerial acrobatics, but it is an experience I will always treasure. I would later also experience helicopter flight—a totally different wayofbeingairborneandonethatappealstomyspiritofutterfreedom,becauseyou canprettymuchgoanywhereyouwant.Myimaginationhastakenmeevenfurther afield,intofighterjetsandspacecraftfeaturedinmoviesandscience-fictionnovels. (Andgivenmystomach’sobjectionstoflightswithevenminimalturbulence,these journeysshouldprobablystayinmyimagination). As I matured, I came to appreciate the business infrastructure that makes flying possible. The incredible international and local collaborations that are required to makeanairportrun.Thetrainingthatairtrafficcontrollers,pilotsandcrewneedto undergo, the logistics of shifting millions of pieces of luggage from one plane to another at airports, local transport connections to and from airports, feeding passengers,shopping,bordercontrolandimmigrationandsomuchmore. Aviation is a deeply embedded part of my existence. Which also means that Irepresentthetroublingstatisticthat1%offrequentflyersareresponsibleformore thanhalfofthegreenhouseemissionscreatedbyairtravel.WhenexactlyIbecame aware of climate change, I do not recall. It was always on the edges of my knowledge—even in the 1970s, we were already aware that things were going in thewrongdirectionandthatourhumanandindustrialactivitywerethecause.Butit isonethingtoknowclimatechangeisaproblem,andanothertolinkittoyourown behaviour. Foratleastthepastdecade,flyinghasnolongerbeenaromanticadventureforme but rather a guilt-tripped journey full of personal cognitive dissonance, or the discomfort I experience from holding two conflicting values/beliefs. As a truly global citizen, I have friends all over the world. The thought that I may rarely or evennevervisitthemagaintoavoidcreatingemissionsisapainfulone.Butwithmy deep-rooted motivation to preserve our natural environment, flying is increasingly less justifiable. As asustainabilityprofessor, I actively seek (business) solutionsto combat environmental problems. As such, the concept of sustainable aviation motivates me, even if I have some reservations about whether the terms ‘sustainability’and‘aviation’canevertrulygohandinhand. Itispreciselybecauseofmymixedfeelingsaboutaviationandsustainabilitythat Iagreedtotakepartinthisbookproject.Flyinghasalwaysbeenmyreality,allmy life.Butnowitistimeforchange.Tosomeextent,thatmeansI(andothers)needto changeourpersonalbehaviours.Thesedays,Ithinktwicebeforeflyingsomewhere, andconvincepeerstoletmejoineventsonlinetoreducemypersonalfootprint:to walkthetalk,asitwere.Butinaddition,Ibelievethatweneedtocreatetransforma- tionintheaviationindustryfromasystemicpointofview.Peoplearegoingtowant totravel,manyofthemlongdistances.So,thepuzzletoresolveishowcanpeople travelwithoutcreatinglargefootprints? While the COVID-19 pandemic has put a dent in flying for the last year or so, everything points to air travel continuing to grow in the foreseeable future. Preface ix This means the aviation industry faces the challenge of drastically reducing emissions and finding solutions to achieve the goals set out by the 2030 Paris Agreement. Given the ingenuity it takes to get airplanes off the ground, I am confident that the industry can be equally ingenious and creative to move towards net-zeromobility. These are the questions that each chapter in the book seeks to address, from various perspectives. We were fortunate to have seven master’s students in the University of St. Gallen agree to take part in this project. These students worked tirelessly,inless-than-idealconditionscomplicatedbyaglobalpandemic,toinves- tigate how aviation can become more sustainable. These students’ theses—in one case, an award-winning thesis—were the backbone for our project that looked at how technology, consumers, airlines, airports and policy all play a role in moving towards sustainable aviation. In addition, we were fortunate to have the support of SITAasourpartnerontheaviationbusinessside. Thedriveandcombinationoftheseyoungscholarsandindustryexpertsgivesme somehopethatachievingsustainabilityinaviationispossible.Whatweneednowis politicalwill,businessacumenandrapidtransformativeactiontomakethepossibil- ityareality. St.Gallen,Switzerland JudithL.Walls