Embracing Digital Transformation in Aviation
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SKY Airline

Felipe Izquierdo Chadwick, Chief Information and Digital Officer

Embracing Digital Transformation in Aviation

Felipe Izquierdo Chadwick, Chief Information and Digital Officer
Felipe Izquierdo Chadwick, Chief Information and Digital Officer, SKY Airline

Could you brief us on your role at SKY Airlines?

I am the Chief Information Officer (CIO) of Sky Airline, a prominent South American airline operating primarily in Chile and Peru. With operations extending throughout South America and international destinations such as the Caribbean, Brazil, Argentina, Colombia, and Hawaii, we have established ourselves as a key player in the aviation industry. Our fleet consists of 30 state-of-the-art A320neo aircraft, enabling us to provide exceptional service to our customers.

While interacting with your clients what are some of the major challenges and trends you see in the industry?

To navigate post-COVID challenges, we embarked on a technology-driven transformation process, prioritizing flexibility and adaptability. Our comprehensive approach encompassed organizational enhancements, operational adjustments, and agile methodologies. By swiftly adapting to evolving customer behaviors, we aim to stay ahead in the dynamic airline industry landscape.

What is your outlook on the future of the airline industry?

The exact future of the airline industry is uncertain. However, what I do know from my extensive 14 years of experience in this field is that continuous adaptation and readiness for change are essential. The airline industry has consistently required flexibility and the ability to navigate various challenges, both in terms of the services provided and operational procedures.

To thrive in this dynamic sector, it is imperative to swiftly adapt to the ever-evolving changes that occur within the industry. One notable area where adaptation is crucial is the way offerings are delivered. We must embrace contemporary selling methods, such as those employed in retail and e-commerce.

This transformation will enable us to offer services that extend beyond the conventional boundaries of the airline industry. Additionally, we will introduce more dynamic and modular pricing models, breaking away from the traditional approach of pricing solely based on tickets and associated ancillary products.

Could you please share an example of a project you have worked on and describe the technological and process elements you utilized to ensure its success?

SKY Airline has undertaken a comprehensive digital transformation program. To ensure the success of this initiative, we began with a strategic phase, defining our vision and desired outcomes. We recognized that digitalizing an airline extends beyond mere functionality; it encompasses agility, culture, and dynamic business models. Our aim was to create a more modular, flexible organization that generates value across the company.

 To thrive in this dynamic sector, it is imperative to swiftly adapt to the ever-evolving changes that occur within and around the industry. 

Previously, technology and business functions operated separately, with a segregated software factory. To align technology with decision-making, we transitioned from a functional business model to an integrated business process model. Specific areas such as payment processing and digital sales were empowered to autonomously execute and manage digital initiatives.

To establish standardized processes and ensure alignment, we established cross-functional teams responsible for maintaining consistency in standard throughout the integrated business-technology landscape.

This transformative journey required a 360-degree overhaul, changing objectives, strategies, and priorities regarding digitalization. It also necessitated a profound cultural and behavioral shift, emphasizing alignment, autonomy, empowerment, and a mindset of experimentation.

Leadership and talent within the organization were also reevaluated and adjusted to support the digital transformation.

What is your advice to your peers in the industry?

Starting with a smaller-scale project is often more manageable and advisable. While substantial resources may allow for ambitious pilots, beginning with a modest initiative enables a deeper understanding of the challenges unique to one's organization, as copying and pasting approaches from other companies may not yield optimal results.

Another crucial factor is to clearly understand the organization's objectives for undertaking the transformation. This holds significant value as it establishes the desired outcomes and benchmarks throughout the process. Without a clear vision, it becomes challenging to conduct assessments or measure progress effectively.

It is vital to have a comprehensive understanding of the purpose and goals, rather than rushing into implementation. I also recommend securing strong support from the board and executive committee, commencing with manageable projects, and having a clear understanding of the organization's motives and aspirations before embarking on a digital transformation journey.

The articles from these contributors are based on their personal expertise and viewpoints, and do not necessarily reflect the opinions of their employers or affiliated organizations.