How business and data analytics is changing the transportation industry

Every time you fly on a plane or check into a hotel, you generate data – information that can, in theory, help companies beat their competitors while providing customers a richer, more personalized experience.

The right analytical tools, however, are needed for the transportation and hospitality industries to convert data points into findings that can drive business strategy. An increasingly rich array of sophisticated software can help companies navigate the flood of information and identify the trends that are most significant to their operations.

Meanwhile, a new generation of business analysts – trained in the use of such tools – is poised to transform strategic decision-making at their organizations.

“Having professionals on board who can understand and interpret the data from a business perspective is no longer simply an attractive option, but a necessity,” says Dr. Helen G. Barker, vice president of academic affairs at Capitol Technology University. Barker has been instrumental in developing the university’s new undergraduate and graduate degree programs in business analytics undergraduate and graduate degree programs, where the focus is on data-driven decision-making.

The transportation industry is a particularly fertile arena, due to the massive volume of information that service providers have been amassing for decades – often without being able to utilize it systematically. Being able to make effective use of data can yield an array of business advantages. Here are a few:

• In a hypercompetitive market, being able to accurately forecast demand, and allocate resources accordingly, is crucial. “Vacant rooms, idle fleet, unoccupied seats or empty containers represent lost revenue,” a recent IBM report notes. At the same time, events such as severe weather – or a major sporting event – can alter the picture. Better analytics means being able to respond to fluctuating demand more quickly and effectively. 
• Companies can improve their pricing strategies if they have analytical tools that enable them to better gauge market conditions – and forecast conditions in the future, with the help of predictive analytics. 
• Airlines and hotels can better understand their customers, how to market to them, and how to attract them with special deals or packages.
   

The promise of data-driven decision-making is not limited to the private sector. It can also help federal, state, and local authorities better manage the nation’s transportation infrastructure, roadways, and public transit systems. Among the benefits:

• Public transportation systems can use live data to pinpoint route activity and better allocate resources. That means fewer empty buses cruising past stops where nobody waits, and fewer angry passengers struggling to secure a seat on a crowded bus at rush hour.
• Roadwork can be scheduled at low-volume times of the day or night; projects can be coordinated to cause the least amount of disruption to commuters.

“The great thing about data analytics is that you’re really in a position to bring about needed change,” Barker says. “You have tools and knowledge that can help organizations, whether public or private, improve the user experience.”

Want to learn more about how business and data analytics is revolutionizing transportation and other industries, and how Capitol programs can help you build a successful career in the field? Contact our admissions department today at admissions@captechu.edu.