Aviation

Case Study
Birmingham International Airport

In the space of just 30 minutes every weekday, around 5.00 in the evening, around 20 flights arrive and depart from the Eurohub Terminal. At the same time, aircraft are arriving and leaving from the Main Terminal next to the Eurohub. Across the runway and acres of tarmac, at the site of the original airport, the overnight freight operation is just beginning to wake up with the arrival of staff and the preparations for the first aircraft from Europe or the United States. Some of the 7,000 staff from the 150 organisations based at Birmingham International Airport (BIA) see to the needs of their customers. The baggage handling operation is sorting, checking and dispatching bags to the many departing aircraft. The ground crews are loading and unloading aircraft, putting meals on board, filling the fuel tanks and cleaning aircraft during their brief spell at the airbridge.

The airlines’ ticketing staff are dealing with lines of passengers, each of whom may have a different final destination. The information desk is fully staffed, dealing with the many queries, such as people wanting to know if their plane is on time, the location of a bank or hotel, or trying to work out how to get by road or rail to their final destination. Passengers flow through the lounges, passport control and security checks, and use toilets, duty free shops and restaurants, all of which have to be kept clean and stocked for their convenience. All of these activities, and more, are coordinated by BIA’s Operations Director, Richard Heard. Richard explains his role: ‘Out of all the people that work at the airport, BIA employs about 700 and I oversee about 600 of them. These operations people are basically concerned with the day-to-day running of the airport and the short and medium-term operational planning. This includes a whole raft of things on the airfield and in and around the terminals.

The air-field side of things essentially involves maintaining the runways, agreeing slot allocations with the airlines, developing and implementing the safety management systems and keeping the fire crews fully trained. For example, this is a heavily regulated area so we work very closely with the Civil Aviation Authority. The other side of the operation is about managing the terminal buildings and other facilities. This is almost like running a shopping centre with its focus on customer service but with special security arrangements. Airport security is a key task which we run in-house, employing about 300 people. I also have a facilities management team and an engineering services team that look after the maintenance of the whole site.

‘In terms of long-term design and development, we set up teams to oversee the planning of new building projects, such as new catering outlets, car parks and people mover systems. This plan uses the forecasts of passenger numbers and guides our decisions about what to build and when, and how to pay for it. We have been growing at a rate of about 10 per cent a year over the last 10 years. In 2000 the airport handled 7.6 million passengers and our growth is set to continue, with an anticipated 10 million passengers expected to travel through Birmingham by 2005. This plan involves serious money; we are talking about a capital plan of about £50 million a year over the next 15 years. This is all very much driven by operational needs. Managing and developing the airport’s operations are huge challenges.

‘One of the major tasks for operations is not just to provide the infrastructure for all the other organisations on site – such as airlines, handling agents, retailers, cargo handlers – but also to provide the leadership and coordination for them. There are also groups off site, such as community groups, which we liaise with as we work to monitor and improve the environment. My personal job is about coordination and setting the safety and customer service standards for everyone to adhere to.

‘All of us from the different organisations try to work together as a team and there is a great community spirit here that has built up over the years. Everyone wants their own bit to work well and the whole thing to work well together. We all have a great understanding of everyone’s problems and there is an excellent spirit of cooperation.

‘The real secret of managing operations, if you are ever going to sleep at night, is to make sure you have really good processes and procedures in place. We can’t have people making it up on the spot. Everything has to be thought through and tried and tested. We spend a great deal of time reviewing and developing processes. We have to have procedures for fires, evacuations, bomb threats, ill passengers and even deaths in the terminal. Unfortunately, we do have medical emergencies, not surprising since we have about 30,000 people passing through the airport every day in the summer.

‘Another key task is operational planning. We do this on an annual basis. Operational planning is about making the operation as efficient as possible by working out how we can best allocate our infrastructure to the airlines. For example, we need to decide who is going to get the airbridges, who is going to get certain stands, who is going to have their passengers bussed to the terminal at peak times and so on. However, you have to remember that the operational plans are just that and as ever, things go wrong – schedules fall apart because of plane delays or mechanical problems, for example. So we also have terminal duty managers whose job it is to sort out the day-to-day operational problems. Our team of terminal managers covers the airport 24 hours a day, every day of the week, with one senior manager overseeing each shift.

‘Many of the things that happen are recurring problems, such as delays or diversions and you know you will end up with a lot of passengers waiting around a lot longer than they want to. The job of the duty manager is to coordinate all our efforts, ensuring that the catering people know what’s happening and making sure our information services people know so they can tell the passengers, for example. The terminal managers need to keep their own ears and eyes open. Passengers may report that they have seen someone acting suspiciously and the managers need to know what to do. When passengers get off the plane and their bags are not there, although it’s the responsibility of the airlines or their handling agents, our people may have to pick up the pieces. When people try taking prohibited items through security, such as a family heirloom with a large curved blade, we have to explain patiently to them that they have to leave it with us.

‘ The terminal managers also have to deal with major incidents – things like bomb threats or, like last year, when Spanish coach drivers went on strike leaving many passengers stranded at the airport. The job of the terminal manager is to sort it all out and make sure everyone knows what is happening. It involves a great deal of common sense but it is not easy. If you do an evacuation, for example, everyone will be at different stages in the passenger processing and security clearance procedures, so when the incident is over, we have to try and put them all back where they came from without mixing them up or making them start the process again!

‘We have the equivalent of the terminal duty managers looking after the airfield side: operations duty managers. Their job is about dealing with the day-to-day problems, such as changing stand allocations when delays occur or arranging snow clearance if we have a sudden fall. Again plans are in place and everything has to be thought through. We also have weekly communication meetings when we get the operations and duty managers to work with the operational planning department.

‘Our mission is to be the best regional airport in Europe. To do this we need continually to try and improve everything we do. It sounds simple, but it is not easy. For example, we have almost no capacity at peak times, that is between 7.00 a.m. and 8.00 a.m. and between 5.00 p.m. and 6.00 p.m. when we are busy with short-haul European traffic, so we are trying to encourage other airlines to fill in the off-peak times. This is ideal for long-haul operators and we now have flights to South East Asia and America, and just last year we added an Emirates flight to Dubai. This allows us to use the middle of the day when we have runway and terminal capacity and it suits everybody as we can all make better use of our facilities.

‘Running an airport is a fascinating and exciting challenge. No two days are the same. We know that we can make a real difference to our customers, both passengers and airlines, by what we do. We also make a major contribution to the impact on the local economy by encouraging inward investment and exports. As an operations manager, my job is to make it all happen. It’s a fantastic opportunity and it really does make a difference – its great!’

Questions

Identify the micro-operations to be found at the airport. For each one: Identify the transforming and transformed resources

State what is the predominate transformed resource
Describe the output of each micro-operation and say who you think its customers are? Summarise the job of the operations director. What are the main issues/problems he faces in managing the airport?? What do you think Richard Heard actually does each day (how does he spend his time)?? Discuss the relationship between the day-to day tasks and the long-term issues and explain how Richard manages to oversee both at the same time

With the integration of Dragonair into Cathay Pacific Airways in 2006, its influence over the domain of aviation has extensively elevated. From 2006 to 2007, the turnover of Cathay Pacific Airways has raised from HK$60,793 million to HK$ 75,364 million with a percentage increase of 24. 0% . Nevertheless, there are internal and external challenges existing as obstacles to its future development, such as labour conflicts, global financial crisis, high capital cost and emergence of low-cost airlines.

In this essay, the latter two issues with be examined at length in terms of causes, effects and possible solutions. According to Mr. James Tien Pei-Chun, the chairman of Hong Kong Tourism Board, the rising oil prices increase the capital cost of global aviation industry, triggering difficulties in operation. In the first-half of 2008, the average price of aviation fuel that Cathay Pacific Airways paid was 60% higher than that in the first-half of 2007. It is patent that the high capital cost is predominately attributed from perpetual high-priced air fuel which detrimentally influences Cathay Pacific Airways on the whole.

On 2nd July 2008, a profit warning announcement was submitted by Cathay Pacific Airways to Hong Kong Exchanges and Clearing Limited. It stated that high-priced aviation fuel posing a ‘significant and adverse’ impact on financial performance of Cathay Pacific Airways. Effective strategies of reduce the usage and wastage of fuels are urgent and prominent to offset the impact of high-priced oil for the interest of survival of business. To increase cost effectiveness in the short-run, Cathay Pacific Airways has newly adopted redeployment on flights according to capacity.

Owing to the significant demand, 8 flights are provided to Australia in addition and bigger aircrafts were used for 14 European countries. Besides, the number of flights of appreciable revenue potential to the Middle East like Dubai and Bahrain is increased by 4 per week, whereas 10 flights to North American are cut down. For sustainable and profit-maximizing development, targeted solutions of considerably reducing the wastage of fuel in the long-run are of paramount importance. It is worth noting that the weight of aircrafts determines the amount of fuel consumption.

Therefore, another initiative is to reduce the weight of aircrafts by technological improvement on designs. For examples, minimizing protrusions around the aircraft fuselage, enhancing the design of air conditioning air-in-takes and installing large lightweight wing fairings. Cumulatively, higher wing efficiency and smoother airflow are resulted. Stripping the paint of aircrafts is also a direct way to reduce the weight . In the light of CSR report 2006 of Cathay Pacific Airways, it is expected to save 2,730 tonnes of fuel each year approximately.

In addition to the weight of aircrafts, air traffic congestion and regional air traffic control restrictions provoke a substantial wastage of fuel which is 12% of total fuel consumption . In order to improve the air traffic control system, Cathay Pacific Airways work collaboratively with other airline companies and regulatory agencies to strive for opening of flexible entry or exit points into Russian and Chinese airspace and adoption of flexible, fuel-optimized flight paths according to wind variability.

According to the expectation of Cathay Pacific Airways, an estimated 32,000 tonnes of fuel can be saved each year. Consequently, the capital cost can be reduced. Apart from these, a number of low-cost airlines have emerged in recent years such as Hong Kong Express and Hong Kong Airlines . Facing the threat of new competitors, Cathay Pacific Airways emphasized the high-quality service with well-trained employees and introduced various strategies to attract customers.

To enhance the service standard, it provides new arrival lounge at the Hong Kong International Airport with high-quality catering service, well-equipped shower suites computers with Internet access. Meanwhile, in order to attract customers to travel during current economic downturn, ‘World Pass’ with flight discount and a variety of choices on destinations is offered. Apart from these, special fares to senior citizens with a discount of 25% are offered to the elderly .

Not only would this help to attract customers, this improves the image of Cathay Pacific in terms of Corporate Social Responsibility which plays a fundamental role in retaining loyal customers. Building a lifelong and friendly relationship with customers is beneficial to maintain stable market share. To conclude, it is obvious that the fast-changing external environment with numerous unknown factors poses threats to the growth of Cathay Pacific Airways.

High capital cost caused by high-priced aviation fuel and entry of low-cost airlines in the market are expected to be the major challenges faced by Cathay Pacific Airways in foreseeable future which lead to far-reaching influence on the revenue. Among those solutions stated, alliance with other airline companies to technically improve the design of aircrafts and monitor the air traffic system as well as developing lifelong relationship with customers are the most effective strategies to address the problems in the long-term.

Delta Air lines is considered to be the largest airline traffic in the global market, after the industry acquired Northwest Airlines on October 2008.   Delta Air is originally a regional carrier but the integrated industry has been able to serve more than 375 destinations in over 65 nations and the industry also functions a mainline fleet which is about 775 aircraft. Delta Air is also part of the SkyTeam marketing and code sharing industries that permits most airlines to sell tickets on one another’s flight and hence extend their marketing networks which also involved carriers like KLM and Air France.

The mission of the Delta Air is to be an air carrier with highly developed customer service which offers air transportation for cargo and passengers using low-cost carriers as well as regional jets across US and other parts of the world (Beals, Tucker and Vick, 2).

Analysis of the Company Process

Being the number one in its field, Delta Air is considering different company proves to sustain their competitive position. Delta is an Atlanta-Based industry has been able to establish their names in the airline industries in the global market by generating strong brand worldwide. The airline industry has been considered to be one of the DOT’s top three industries in terms of being on time, baggage handling and most importantly customer satisfaction. The company through their management has also been able to resolve labor disputes.

As part of their industrial process, Delta Air has been able to continue to utilize innovative strategic business functions and part of these is their announcement of a new low-fare subsidiary airline that provides services on the East coast known as Song (Beals, Tuck Vick, 2).  In addition, the industry also joins other major industries to generate global alliance which is called the SkyTeam.

This alliance aims on saving costs by sharing passenger and cargo terminal facilities, combining frequent-flyer aspects, sale consolidation, maintaining and administrative functions, integrating information technologies and involving procurement were possible (Corridore, 7). In addition, Delta also give considerations on customer loyalty by their quality trained personnel which is done by providing short waiting times, good on time performance, and quality in-flight food services. Aside from this, Delta air is also considering full maintenance, repair and operations procedure and focused on five aspects: configuration management, supply chain management, technical documentation, execution and planning.

Analysis of the Company Resources

Accordingly, the company cannot be able to sustain their competitive advantage if the management is not able to have efficient company resources. One of the company resources is their highly trained human resources. The company allows unique flexibility among employees to ensure that they will be able to contribute to the company’s growth. Aside from this, another company resource is their ability to innovate and the use of highly improved airport model. Innovation is also considered as one of the company resources that lead to their success. The use of financial aspects, human resources and information technology and innovative facilities has been the resources of the company.

Conclusion

By and large, it can be said that Delta Air is one of the leading airline industries in the world and through their company process and resources; they are able to meet the needs of their target audience.

Sky coach Airlines and Ryan air hoses were the both low cost air hoses and besides both companies were the rivals to each others. Both companies had struggled much to vie each other. The scheme of the both of the companies was about same to offer the low menu to the clients but due to the different installations and services the out semen of the both companies was wholly different.

Basically low cost scheme is considered as a good arm into the market to vie the rival. So we must cognize about the low monetary value scheme that what is it where does it of import till what extent it should utilize. We can better understand it with following.

“ A low scheme in which a company offers the low monetary value to carry through the demands of the economic system and besides to acquire the high market portion into the market any company can utilize this scheme where the merchandise has no advantage of competition

If we see with the point of these air hoses so this consist of

• A individual rider category
• Same type of aircraft
• Point-to -Point Flights
• Flying to Secondary and Regional Airports due to less congestion
• Free services for catering and other complimentary services is been eliminated

Critical analysis of Ryan Air and Sky coach

Introduction

Ryan Air was the first no frills air hose in whole Europe. This air hose was setup by the ryan household headed by TONY RYAN in 1985 with the lowest portion capital we cant believe that the in first when ryan air takes a start the portion capital of this air hose Washington merely & amp ; lb ; 1 at that clip there was merely 25 staff members it lanuch its first fligth in the which is 15 seater aircraft.

After wards ryan air started there manner to success by set uping the first flight from Dublin to london luton in merely & amp ; lb ; 99 which the lowesr menu at that clip it was the half monetary value of the ticket comparing the other line.

if we have a expression upon the twelvemonth 2006 the air hose reecord the half twelvemonth porfit of ˆ329m for the first half of financial twelvemonth 2007. The unit cost of the air hose addition by 7.5 per centum. The air hose was incresed by the 9 per centum as entire grosss which Is arise by 33 per centum to ˆ1.256bn. If we have a expression upon the twelvemonth 2006 the air hose reecord the half twelvemonth porfit of ˆ329m for the first half of financial twelvemonth 2007. Ryan air in 2008. Ryan Air has introduced 950 plus low menu paths across 26 states, linking 150 finishs. Ryan air is the World ‘s favorite air hose which operates a fleet of 210 new Boeing 737-800 aircraft with steadfast orders for a farther 102 new aircraft ( before taking history of planned disposals ) , which will be delivered over before the terminal of 2010. There are more than 7,000 people employed and Ryan air expects to transport about 66 million riders in the current financial twelvemonth In 2009 its recorded that Ryan air had carried 65 million riders to different finishs of the universe it increase the growing by transporting the 5 million riders and so 12 % more so it in December 2009

Ryan air ‘s Stephen McNamara said:

“ Ryan air ‘s guaranteed lowest menus and no fuel surcharges and our figure one on clip public presentation, fewest lost bags and least off flights continue to pull more and more riders every twelvemonth. We are delighted that over 65 million riders travelled with Ryan air in 2009 and we are confident that even more riders will choose for our guaranteed lowest menus in 2010.

hypertext transfer protocol: //www.easier.com/64302-ryanair-reports-13-growth-in-2009.html

Lashkar-e-taibas concentrate on some points of Ryan air

OBJECTIVES AND VISION Of Ryan Air

• Customer services
• To acquire the higher market portion
• To be a cheapest and profitable air hose
• Cost decrease
• Generate more gross

Cheap Menus

Ryan air is a low menus air hose. The system of seats is like 70 % of seats are sold at the lowest two fares.30 % of seats are charged at higher menus. The last 6 % are sold at the highest menu. They provide no nutrient on board rider can purchase or can take nutrient with him self. Air line offers Dublin to London with menus runing from & A ; lb ; 18 to Euro & A ; lb ; 152

Cost Decrease

Ryan air have non any bureau to sold the ticket via them it sold their tickets via web site instead so to pay any committee to the agents it create the direct nexus with the client. This reduces the cost of the ticket. You can book the ticket online though Internet. This saves them 15 % on bureau committee. They use secondary airdromes to set down because its is cheaper to wing from a secondary airdrome like Stan stead instead so the Heathrow and these sort of secondary air ports are non normally busy so the air trade can be move easy The finish airdrome of Ryan air are secondary so it cut down the menu every bit good.

Ads

They spend non much on advertizements. They use simple manner that tell riders that Ryan air has low menus. The aircrafts are decorated with advertizers e.g. News of the World, Jaguar and Kilkenny. There is no cheque in for the air hose on airdromes. You merely demo your passport and give your mention figure.

Employees

They recruited the pilots when they are immature as pilot plebes. Cabin crew wage when they want their uniforms to be cleaned. They invest in their ain preparation.

Excess menus on board

You can non hold a preferable place. The regulation is foremost come, foremost served. There are no air bridges or tunnel which connects your manner to aircraft you have to walk or are use coach to the aircraft. Your Baggage is sent straight to the terminus it ‘s speedy. However if your bag is lost or broken into do n’t anticipate high degrees of client service.

Increasing gross

Reducing the cost was the chief scheme for Ryan air. To bring forth the gross was the basic focal point sky coach aircraft has the installation of gift store, nutrient store selling all sort of nutrients and gifts like aromas tickers vesture and toilet articless

The outside of the aircraft and cabin is full of advertizements like on operating expense bins, rugs, tray tabular arraies. Low cost menus and sky coach advertizement

Sky Bus

The company was established in 2003 and is based in Columbus. On April 5, 2008, Sky coach Airlines it is known as the extremist low cost air hoses after the Ryan air. The planning of Sky coach was to offer cheapest menus in USA which will be 25 % cheaper so south west. The aircraft is designed with the advertizement on it all around on the inside. The air hose offers $ 10 on every flight on this point the CEO of Sky coach said that the flight will offer 10 seats at least $ 10 on every flight Sky coach applied for operating blessing on January 1, 2005, received blessing to run on March 15, 2006, and FAA enfranchisement on May 10, 2007. It had been granted a release to get down ticket gross revenues on April 24, 2007, Sky coach ‘ first rider flights out of Columbus began on May 22, 2007. Less than a twelvemonth subsequently, Sky coach announced on April 4, 2008, that it would discontinue operations as of April 5, mentioning the lagging economic system and lifting fuel costs as causes. Not cited: operational issues doing the air hose to run late flights about 50 % of its short history, low employee morale and rapid enlargement non envisioned in the original concern program

Menus

The get downing menus of the all mark finishs began at $ 10 one manner. Airline advertise Al around that 10 seats merely for $ 10. the tickets of the sky coach air hose was the on the half monetary value so the other air hoses. In a 10 dollar one manner ticket the revenue enhancements and other airdrome fees in non included. If we include all of the revenue enhancements and other airdrome fees so a grownup ticket have a cost about $ 40 on manner. So it was the really inexpensive menu to go around

Excess fees

Sky bus charge excess fees for any other excess installation other so the ticket this thing is about common in the other cheaper air hoses. A rider can take merely one bag and one personal point in board if he want to transport any excess luggage so he have to pay like if rider want to transport two bags under 50 lbs so he have to pay $ 12 at the counter on the airdrome. If the rider want to transport more extra luggage after two bags so he have to pay $ 50 for each bag. About the over weighting if the weight is over 50 lbs so he have to pay $ 25 but if the weight of the bag exceed 70 lbs so that bag was non acceptable

Cost decrease

Sky coach scheme was to cut down the cost of care so for this the equipments purchased was unvarying which include the engine, electrical parts, and the forces gear. The other scheme of the air hose was to utilize secondary airdromes which are largely non to occupy so it is easy to turn the aircraft and less to rent infinite there is non any tunnel connecting to the aircraft so it cut down the cost on the airdrome the tickets are to be bought online instead so through any agent it cut down the coursers like committee.

Employee rewards

Sky coach wage the rewards to the employee with this scheme the attenders were paid $ 9 per flight hr. This pay to the attender was the lower rewards if we compare it with the viing air hoses. Flight attenders besides received 10 % of all gross revenues made during the flight.

Sky coach paid the rewards the pilot besides low so the others $ 65000 was paid to the captain yearly and for first officers it was $ 30000. sky coach pilots work 8-10 hours and can work maximal 16 hours.

Increasing gross

Reducing the cost was the chief scheme for sky coach. To bring forth the gross was the basic focal point sky coach aircraft has the installation of gift store, nutrient store selling all sort of nutrients and gifts like aromas tickers vesture and toilet articless

The outside of the aircraft and cabin is full of advertizements like on operating expense bins, rugs, tray tabular arraies. Low cost menus and sky coach advertizement.

Ad

The plane was to the full covered with the name of the air hose and a butterfly logo on the tail of the aircraft. The same advertizements were non for all air trade. The plane of sky coach was branded aeroplane so branded planes featured with the full organic structure advertizements along the fuselage with the tail of the plane and engine of the plane with the sky coach colour strategy.

SWOT ANALYSIS

Strengths

• Less cabin crew – no demand of more so plenty cabin crew as there is even no nutrient helping.
• Increase air trade sitting
• Cost difference from others which is much elf for net incomes

Failing

• The company has no past backgrounds
• Poor client covering
• Few finishs
• Limited resources
• Sky coach hubs do non supply connexion chances for riders

Opportunities

• Peoples use to go all around so market is large
• Tax vacations on aircraft leasing
• Bog advantage from less exposure to political hazards

Menaces

• Rivals in market
• World crisis
• Change in oil monetary values

Industry analysis

Business scheme

The concern scheme of sky coach was really similar to Ryan air and sou’-west air hoses if we go through the complete aims and the schemes adopt by these two cheapest air hoses so we have come to cognize that sky coach was based on these two air hoses.

The concern scheme the air hoses was

• It focus on low cost
• Online fining
• Sky coach covered merely 17 finish
• Reduced the costing
• Ad on the plane
• Require immature pilots
• Increase the aircraft infinite
• Excess menus on excess installations

PESTEL ANALYSIS

Political

• Government mark is to pull the foreign investing in the state
• Blessing of declaration of independency
• After acquiring the aircraft enfranchisement ( FAA ) granted for ticket gross revenues

Economic

• Oil monetary values acquiring higher so mite be there will taxation of air going
• Air pollution due to aircraft ]
• Modern turbo fan lessening fuel ingestion
• Buying power of client is acquiring higher

Social

• Addition in growing rate and involvement in touristry
• No frill airlines coming
• Peoples going more because of the low costs

Technological

• Aircraft industries constructing new air trades with more seats
• Engines are created which making less pollution and noise
• E – ticketing

Porter ANALYSIS

Dickering Power of Suppliers:

Now a yearss providers of the aircraft are on the extremum it means they are all holding good market portion because of the high monetary values of the air trade on the other manus the monetary value of oil is altering twenty-four hours by twenty-four hours the providers of oil have a great Impact on the market to supply the oil to the air hoses

Dickering Power of Customers:

Peoples are really witting about the monetary value and besides want the high services for low monetary values the outlook of the clients towards the air hose are acquiring more sing to wellness and safety they appreciate the flights in clip now a yearss the recognition card system have increase the purchasing power of the clients can besides make shopping from cyberspace every bit good as they can be after their vacations and purchase the tickets

Menace

There are allots of air hoses giving the same services at that place no non much large difference in the monetary value many air hoses besides offers low monetary values due to high competition in the market and there are other replacements of going like trains and coachs so it is besides a menace some clip airdromes are much busy Ns take clip a batch so other replacements take less clip in theses all thing

Selling Plan

The scheme of the air hose is to bring forth the gross there is gift store in the air trade for the rider to shop the gifts like aromas, tickers, pocketbooks etc and besides nutrient store which non even the particular nutrient of all types ‘ even particular nutrient for diabetes patient. For the advertizement they have advertise on the inside and outside of the air trade this air hose was known as merely bird fly cheaper because it was merely for $ 10

Ryan Air

SWOT ANALYSIS

Strength

• Ryan air developed a place in the market in 14 old ages
• It acquire the benefit of low air port charges by cut downing cost
• 94 % of engagement of ticket done from cyberspace
• Point to indicate flight salvage the clip and money
• Use of aircraft for long clip to do more money

Failing

• Poor client service
• Limited finishs
• Increase in values
• Low Employee lesson

Opportunities

• Many more other finish will be unfastened in European sector
• Other sectors from European sector will be unfastened
• No frills air hoses can increase the market portion

Menaces

• Oil monetary value fluctuation
• Many planes fly in the air every twenty-four hours so air traffic
• Conscious client about monetary values

Plague Analysis

Political

• US is a politically stable state
• In first the states save there national air hoses but after the bilateral understanding between Ireland and UK. Ryan air can wing to different states

Economic

• Fuel and Energy costs are cause of uncertainness.
• Economic resection is all over

Social

• Tourism tendency is spread outing in every state
• Low cost ticket pull the individuals more towards touristry.

Tourism has expanded the market in the unexpected states

Technological

• Internet installation to look into in.
• Ryan air uses same type of aircraft -Boeing 737s. This reduces operating costs to a higher extent.

Industry Analysis

Business scheme

The company offers the low menu tickets and point to indicate flights between Ireland and UK. The menu of air hose was extract to the demand of the riders 70 % of seats in a flight are sold at less menus for the path Ryan Air flight Dublin to London was really inexpensive with menus runing ˆ19.00 to ˆ169

The characteristics of Low Cost Carrier:

1. Ticket monetary values should be every bit low as possible in Europe.
2. Use of secondary and smaller airdromes
3. 100 % E-distribution of tickets
4. To increase the capacity of aeroplanes
5. Maximal use of aircrafts due to fast turnaround times.
6. Extra charges for extra service
7. Fuel Hedging
8. Cost-cutting steps
9. To do a chief base location in London – United kingdom.

Analysis of the Low – Cost Airline

Dickering Power of Suppliers:

There are merely two chief providers of planes Boeing and airbus and different provider in the market have different standards so if the air hose wants to exchange the provider from one to other so its hard for the company because air hose has to retrain the pilots and mechanics. in fuel cost is straight connect to the oil monetary value so Ryan air controlled it with the aid of fudging

Dickering Power of Customers

Normally client are really sensitive in the instance of monetary value they expect and demand more from the air hoses there are many air hoses in the market who offer besides inexpensive tickets so we have to care of this menu dickering client can easy exchange to the most inexpensive line through cyberspace

Menace

there are other many option of going like autos, trains, ferries, etc so this is besides a menace because some clip airdromes are busy on cheque in due to several flight at same clip. The monetary value of oil does non acquire stable any clip.

Selling program

Ryan Air will go on the same services and schemes of low monetary value to pull the client and bring forth the more income. The company is seeking to increase the seats in the aircraft to transport more riders from topographic point to put this thing will increase the fiscal growing of the company ryna air is a low cost service every bit good as a low quality service but company is still seeking to do it up in different manner company is traveling to present the fleet of Boeing 737-800 really shortly.

hypertext transfer protocol: //www.ryanair.com

hypertext transfer protocol: //solvay.ulb.ac.be/cours/alle/BuspPresRyanair04.pdf

hypertext transfer protocol: //www.ryanair.com/en/about

hypertext transfer protocol: //www.planespotters.net/Airline/Skybus-Airlines

hypertext transfer protocol: //www.ehow.com/about_5499571_history-skybus-airlines.html

hypertext transfer protocol: //www.airfleets.net/flottecie/Skybus-history-a319.htm

hypertext transfer protocol: //www.ryanair.com/ie/news/ryanair-calls-for-yes-to-europe-vote-on-2nd-october

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According to budgetairliners. com, the concept of providing low cost services can be traced in the airline industry of the United States in 1971, by the Southwest Airlines. The idea behind the said airline was very simple: to offer no-frills service to its customers by providing the lowest possible prices on its flight. Since then, the emergence of low-cost business providers has carved its own way in today’s market. For some, it has managed to compete with head-to-head with household names in the industry, as that of Aldi, a small retail outlet in Germany that managed to make it big worldwide as mentioned in the case.

Very true indeed, price wars eventually developed in the early in the 1990s not only in the wholesale-retail industry, even extending to hospitals, insurance services, pharmaceuticals, and the like. With the presence of these low-cost business providers, a new form of competition is being created, changing the views of executives in the twentieth century. What is academic on the Kumar’s point-of-view that his research shows that ignoring cut-price rival is a mistake because it eventually forces the companies to vacate entire market segments.

And that companies only have three (3) options in competing with low-cost rivals: First, is to attack directly, second, is to co-exist with them uneasily and lastly, become or convert into a low-cost player. Kumar’s Framework below for responding to low-cost rivals seemed realistic and applicable only for certain industries, but not all, specially here in the Philippines. Coming from the travel industry, I have noticed cut-throat competitions between travel agencies to make about a $5 to $10USD mark-up in airline tickets and package tours.

Today, even airlines are competing head-to-head with travel agents in their efforts to go directly to passengers via internet bookings. When Tiger Airways and JetStar Asia came into the Philippines, the Filipino market was skeptical and overwhelmed with its offers, as it seemed to-good-to-be-true. Passengers’ back then would often ask travel agents, “what’s the catch with this airline? ” or would probably say “I don’t think its safe. . . ” as people would tend to associate low fares with poor service.

But as time went by, the Filipino market was able to accept the low-cost carrier concept especially with the conversion of Cebu Pacific Air from a once full-service airline to a low-cost carrier (LCC) or budget airline. In-flight changes were gradually introduced by converting meals to snacks, to nibblets and eventually eliminating serving free food and drinks on-board. Tighter implementation of baggage allowance was also enforced together with the phasing out of manual tickets shifting to paper or electronic tickets (e-ticketing).

With the vision of providing lowest possible fares to the traveling public, its CEO, Lance Gokongwei, re-launched its airline with a tagline/slogan: Its time every JUAN flies, making it affordable for an ordinary person to experience flying as a convenient and cheaper mode of transportation. Imagine paying only Php1,999, Php99 or even Php1 per flight per way, exclusive of taxes! If a traveler were indeed price-sensitive, he/she would definitely consider Cebu Pacific Air. This concept indeed altered the mindset of many, if not majority of Filipino travelers in accepting less value for a lower price.

And this is a reality for some Filipinos. Whether we accept this or not, one cannot prevent or stop the emergence of low-cost providers, either you beat them or join them. After all, at the end of the day, still there will always be competition. How a business approach or attack rivals will be dependent on their chosen strategy and its implementation. It is therefore suggested to weigh or study all angles of strategy of a company/business organization in treating, dealing and competing with rivals, whether, traditional or not. Otherwise, a wrong move/decision would be enough to jeopardize its existing operations.

The strength of international aviation plays a predominant role in tourist industry. Tourism has continued to empower many of the world economies. However, the volatility of the same has been closely related to the aspect of geopolitics where the strengths and weaknesses allied to geopolitics would affect it positively or negatively. By its definition, geopolitics is the geographical and historical analysis as attributed to the political spatiality whose capacity (political) is taken to vary at various levels.

Elsewhere, it tries to incorporate the economic and political significance in geography with various variables such as size and location above resource dispensation been attributable. Consequently, the relationship found within geopolitics is important in defining the governmental and non-governmental organizations (NGOs) strengths. This is virtually via the variables captured by the aspect of geopolitics whose values would direct and indirectly affect governmental and NGO’s structures.

Apparently therefore, international aviation is directly correlated to strengths and weaknesses of the government and NGOs within a specific geopolitical scenario. Either, international aviation is a basic subject that defines the state of global tourism. Through such aviation, tourist adventures are exchanged between various geopolitical areas. (Agnew, 2003, p. 37) The rigidities allied to international aviation was however provided with refuge by the International Air Transport Association (IATA). Its foundation can be credited in the April of 1945 at Havana (Cuba).

Through its structures, IATA seeks to provide a corporation in the international airline system to prevent the weaknesses of international aviations as dictated by geographical authorities. Through IATA, the international aviation is provided with the basic regulations which provide measures of safe custodies for materials under aviation. It provides basic regulations which helps to define the terms under which hazardous material is to be on transport through air. It forms an organization for trading and also service packages for airline transport allied to many countries.

It seeks to define the international commercial roles that govern the air transport. (www. iata. org/) The basic role of IATA is to provide an authentic environment in which the weakness of geopolitical variables has on air transport. It is an international commercial association whose foundation is based on principles and regulations for safeguarding the air transport. It seeks to regulate the basic concepts and parameters found within the subject matter of international aviation. Generally, geopolitical authorities act to formulate various regulations and control structures on the concepts of aviation.

The nature of aspects operating within a geopolitical scenario is made to directly persuade for various concepts that are adaptations to its authorities. Since the world states are defined by varying trends of geopolitical phenomena the resulting aspects are international aviation functions which are dictated by the specific states geopolitical authorities. (Burton, 1995, p. 64)Consequently therefore, the next arising issue is conflict in the global imagery of aviation. Conflicting issues of aviation within the global industry are threat to various phenomena which are allied to international aviation.

However, this conflict is no longer a bother. The IATA came as a basic refuge to such global conflict. It seeks to formulate regulations and requirements for global aviation. There are various basic variables that define geopolitics. These ranges broadly from geographical, locations, resource endowments, political structures, socio-cultural authorities, size, non-governmental organizations above others. To each of these variables, they act to affect international aviation either directly of indirectly. (Elliot, 1996, p.

85) The same effect can however, be attributed to the strengths and weaknesses of the same in terms of the aviation industry. At one level, non-governmental organizations have a diversity of roles towards aviation. They form a comprehensive factor of attribute and consideration in relation to aviation. There foundation is based on roles that foster humanity and providing support of inhibiting the weaknesses of the states or international authorities towards aviation. Various factors have been captured by this subject matter of NGOs towards aviation.

(Hall, 1996, 46) Firstly, NGOs have profoundly fought for safety in the global climatic issues. Climatic conditions are directly affiliated to the nature of aviation structures. Air transport has been directly influenced by the atmospheric conditions. Various NGOs have thus risen to provide safe custodies for air transport through promoting campaigns for observation of climatic conditions as influencing global aviation. The cases of accidents allied to aviation have been increasing, with many people loosing their life above other material damages.

This has been through weaknesses of aviation controls in relation to weather conditions. (Agnew, 2003, p. 98) Either, NGOs comes in at the verge of various state dictations of the aviation industry. Many of the state governances provide various state rules which seek to impede the rationality in air transport. They produce various restrictions about the requirements and conditions for such. Some of the regulations are bound to violate the basic rights to human life. As a core aspect, NGOs are founded on grounds of humanity. Such NGOs come up to fight for the inhuman conditions provided by the state aviation regulations.

Generally, they seek to provide better conditions in the aviation industry. ( Mamadouh, 2002, p. 65) Elsewhere, IGOs play a predominant role in the world’s aviation industry. They have been in the forefront trying to provide basic conditions that are human friendly in the industry. They rise up at the global level to fight for better conditions in air transport through rationalizing the various transport regulations of different state aviation controls. At one level, they are allied to the IATA principles and conceptions which have different dictations about the global aviation.

There are an argumentative blocks at the regional level which seek to provide structures for aviation. ( Dudds, 2000, p. 67) Like the IATA, the International civil Aviation Organization (ICAO) is allied to the aviation industry. It seeks to provide basic rules and regulations on a corporate imagery in terms of security and elsewhere understanding in the same industry. It comes in to provide for rationality in the aviation conditions which may have been abandoned by geopolitical structures. (www. icao. int/ ) Summarily, ICAO is predominantly efficient in providing regulations for aviation at the corporate level.

To both (IATA and ICAO) their basic goal is to provide an environment that seeks to break the bondage and rigidities provided by geopolitical structures. They both seek to formulate standardized regulations for harmony in the industry at the global perspective. Either, the basic rationality provides conflict resolution within the global aviation industry. To both therefore they posit a great horror of rationality in the aspect of international aviation. If a an adequate sense of aviation is to be provided then the two should never be compromised. Bibliography Agnew, J (2003) Geopolitics: Re-visioning world politics.

London, Routledge. Burton (1995) Travel Geography. London, Pitman. Dodds, K (200) Geopolitics in changing world. Pearson Education. Eiliot, J. (1996) The Management and Politics of Tourism. London, Routledge. Hall, C (1996) Tourism and Politics: Policy, Power and Place, John Willey& sons. International Air Transport Association. Retrieved on November 2007 from www. iata. org/ International Civil Aviation organization. Retrieved on 11th November 2007 from www. icao. int/ Namadouh, V. (2002) Cities, War, and Terrorism: Towards an urban Geopolitics. The Geographical Review, Vol 95.

The majority of pilots in training have an intended career goal in mind, but many of them ignore some of the obvious opportunities that exist outside of the mainstream. Though commercial airlines offer excellent opportunities for well trained pilots, the market for pilot services extends well beyond that limited field. Among the other opportunities for employment for pilots include agricultural work, operating as a corporate private pilot for a company, working as a helicopter pilot in various capacities, and working as a flight instructor for a private company.

These things are well paying jobs that offer growth opportunities and they are all looking for new, qualified individuals to take the initiative. Each opportunity requires a different skill set that might fit the needs of a particular pilot, but they all take the basic qualifications of flying and offer gainful employment from that. One opportunity that the majority of certified pilots never even consider is serving in an agricultural capacity.

These pilots can be employed by large farms and other farming organizations to perform crop dusting duties. These pilots do not fly large commercial jets. Instead, they take flight in smaller, specially designed aircrafts that have a specific purpose. They fly over large areas of crops and spread out various chemicals over those crops. Among the many things that agricultural pilots spread are herbicides, seeds, and different fertilizers. They are an essential part of the process of farming, as large areas of land must be treated in this way.

The working conditions associated with agricultural flight are somewhat different and slightly more demanding than in other forms of piloting. Since the different chemicals have to be spread evenly over all of the crops, the planes have to fly at a very low altitude. That fact, along with the fact that these planes have to carry heavy loads, can make it somewhat difficult to fly them efficiently. Adding to the difficulty is the fact that landing and takeoff must take place on small country roads instead of the runways that most pilots are accustomed to. Read also emerging business opportunities at IBM case analysis

In addition, while commercial flight can take place year around, crop dusting pilots are usually only needed for between six months and nine months out of every year. For the most part, the salary range for these pilots is dependent upon which farm and how long a pilot works for. In order to get this salary and this job, the only real qualification is a pilot’s license and some experience. Pilots who enjoy getting people to their destination, but do not like the ins and outs of the corporate flight world will often opt to work as a private pilot for a corporation.

This is a field that is expanding in this day and age, as more and more companies, schools, and individuals get their hands on planes. In this job, a pilot could have a couple of different options. They could either be employed directly by a company for the purpose of operating a personal plane or they could be employed by a company that owns planes and rents them out to businesses and organizations. Either way, the job is to be on call for private flights from a given business. Wherever they need to go, pilots have to be ready and willing to take them.