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BCS secures Honolulu Airport contract

Wins multi-million dollar baggage handling systems deal

Friday, May 27 2011 || Progress report || BY Claire Rogers, Businessday.co.nz

Auckland airport technology company BCS Group has won a multimillion-dollar contract to provide baggage handling systems at Hawaii's Honolulu International Airport.

BCS service and solutions general manager Marc Michel said the contract was part of a US$61 million project to install an explosive detection system at the airport, which processes 21 million passengers a year.

The company's North American subsidiary was subcontracted by United States firm Horsley Company to provide high-level software for sorting baggage and monitoring and controlling baggage handling systems, as well as "low-level" controls – such as basic electrical controls for conveyors.

BCS's software lets operators see 3-D representations of their systems, including the baggage in them, to help with decision making and improve efficiency in processing bags.

Those software smarts, developed in partnership with the Science and Innovation Ministry, had caught the attention of the US Transport Security Administration and BCS was developing an application for it, Mr Michel said.

The TSA manages security screening at US airports.

"They'll be able to understand how much is coming into the system and open X-rays and plan accordingly."

BCS's software could help lower barriers to the entry of self-service bag-drop systems into the security conscious US market.

The firm was talking to some large carriers there that could install BCS's bag-drop system, he said.

The company has developed a baggage reconciliation system with Air New Zealand, which lets operators see in real-time the status and location of bags and reduces human error in handling them, removing a lot of the cost and hassle associated with lost luggage.

Baggage reconciliation systems were vital in the roll-out of self-service, as they ensured only authorised bags made it on to aircraft, he said.

Air New Zealand was rolling out the system for its international and domestic operations and the companies planned to sell it globally.

BCS's revenue will be about $70m this financial year, and it expects to soon hit $100m.

The company is a finalist in the Air New Zealand cargo export awards for a $39m deal it won last year to supply baggage handling systems for a low-cost carrier terminal at Kuala Lumpur International Airport.

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