Risk Management in the Airline Industry - Case Study Example

It has also favored the company in protecting its information while changing swiftly to the ever-changing demands in the airline market.... risk management in any organization is perceived to be the responsibility of specific individuals.... the airline has been in operation since 1968.... the airline has grown from being just a conventional charter airline serving tour operators only to being scheduled flights company hence increasing its profit marginsline....

It is worthwhile here to mention that the recessionary trend started off with the US sub-prime mortgage crisis is also making the life difficult for the airline industry.... Particularly after the onslaught of SARS virus and 9/11 events, the airline companies are required to be doubly careful in handling the security matters, installing safety features, recruiting new people etc.... are some of the benchmarks for the airline companies.... Airlines industry is the kind of industry which requires huge investments yet the level of competition is such that airlines often keep investing for years together and keep waiting for break even....

Moreover, the airline start-up may receive a loan for a syndicate of banks since the transaction may be quite large.... Generally, obtaining private financing that is unsecured to purchase an aircraft is very difficult unless the airline start-up is considered especially creditworthy.... One of the most pertinent features of the contemporary airline market is that airlines today come and go, which means that as one airline exits a specific market, it is replaced by another airline, usually an airline start-up (Vasigh et al, 2012: p29)....

Particular attention of the "Risk Management in the Airline Industry Case Study of EasyJet and British Airways" paper is on the exposure to and management of fuel price risk, foreign exchange rate risk, interest rate risks, and other risks related to Airline companies.... nbsp;… The paper is organized as follows: Section 2 looks at the risks associated with Airline companies as well as the risk management strategies commonly employed; section 3 looks at EasyJet and British Airways' risk exposure and the approaches used in mitigating these risks, and section 4 provides some conclusions and recommendations....

On the one hand, in August 2006, an Air Transport World magazine reported that Ryanair was the most profitable airline in the world, based on its operation and net profit margins.... In the essay “Ryanair – the Low-Fares Airlines” the author looks at Ryanair's multitude of opportunities and dilemmas....

This work called "Effects of Working Extended Hours In Maintenance Hangers" describes some methods with particular emphasis on the maintenance of fatigue Risk Management in the Airline Industry and the experiences of industry personnel.... This report presents some methods with particular emphasis on the maintenance of fatigue Risk Management in the Airline Industry and the experiences of industry personnel.... According to the credible safety record the advancements in technology force engineers and mechanics to get updated with theoretical knowledge provided by the airline companies....