Air Canada 2008 Annual Report Download - page 13

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2008 Management’s Discussion and Analysis
13
To remain competitive, in addition to acquiring new aircraft and removing older and less efficient aircraft, Air Canada
offers its customers a world class product. Starting in 2006, Air Canada began the interior refurbishment of its aircraft.
To date, Air Canada has refurbished the interior of its entire operating fleet with the exception of seven Airbus A330
aircraft and one Boeing 767-300 aircraft. The new Embraer and Boeing 777 aircraft are being delivered with new
seats and entertainment systems. Refurbished aircraft have new seats with personal in-flight entertainment systems
and in-seat power outlets accessible at every seat in Economy Class, Executive Class and Executive First.
Refer to section 8 of this MD&A for additional information on Air Canada’s fleet.
• Leveragingtechnologyforenhancedcustomerserviceandcostcontainment
New reservation system
A new web-enabled reservation system continues to be developed to replace Air Canada’s legacy systems for passenger
reservation and airport customer service. The new system, named POLARIS, is designed to be innovative, flexible and
cost-effective and to allow Air Canada to facilitate and streamline the reservation and travel processes for both its
customers and employees. It is also designed to provide Air Canada with the capability to bring new, innovative
products to market faster, and to enhance customer experience. The POLARIS program is being implemented in
phases.
One new feature being designed into the system is a customer profile database which will act as a central repository
of customer information. This will provide new opportunities in improving customer service delivery. Another new
feature under development is a customer account database where flight credits can be stored and compensation
delivered. This will produce a solution for unused credits and enhance customer loyalty.
These and other features are designed to enhance the reservation system experience for both customers and employees.
Customers’ experience will include simplified steps, self-service options, expanded choice and personalization, clear
value and transparency, and consistency across touch points, airports and countries. Employees’ experience will
include simplified steps, an intuitive easy-to-learn and operate interface and consistency across touch points. These
features will reduce the time and effort required to complete transactions and increase the ability to engage in more
direct customer contact and service.
The first phase of implementation which involved the roll-out of a web-based document management system for
all policies and procedures has been substantially completed. The next two phases involve the completion of the
development and cutover of the reservation system and an airport departure control system. Air Canada continues
to evaluate the timeline for completion of POLARIS. Certain components of POLARIS are expected to move into
production before the end of 2010.
Self-service products
In 2008, Air Canada continued to take steps to provide passengers self-service products such as mobile check-in,
web check-in and self-tagging via airport kiosks. This has allowed Air Canada to simplify its business processes
and enhance the travel experience for its customers while generating cost savings. In 2008, 56% of Air Canada’s
customers used self-service products worldwide (55% in 2007). In Canada, self-service increased from 59% in
2007 to 61% in 2008. Mobile check-in and web check-in are available at all Canadian airports, as well as in 42
international stations and 38 US stations. In addition, customers now have the option of prepaying applicable excess
baggage fees as part of the check-in process on the web or at kiosks.
In November 2008, Air Canada celebrated the 10-year anniversary of the launch of the self-service kiosk. The kiosk
product is now available in 41 stations around the world. The Air Canada check-in application is installed on close
to a thousand airport-managed, common-use kiosks. In December, Air Canada and Jazz launched a new streamlined
version of the product called the A-Series Kiosk. It has been deployed at nine Jazz stations across Canada.
Kiosk self-tagging is now available for customers at Montreal Pierre Elliott Trudeau Airport, Vancouver International
Airport, Toronto Pearson Airport, Paris Charles de Gaulle Airport and London Heathrow Airport. In 2008, self-tagging
volumes increased by 413%, and self-tagging was used by approximately one million passengers. Air Canada’s
customers can also experience its new quick bag drop-off solutions in Montreal, Vancouver and London Airports.