Airline Route and Fleet Planning - Coursework Example

Introduction

It is important to highlight that this paper delves in the discussion of airline route and fleet planning. In the paper, the core class discussed in the premium economy (PE) which tends to bridge the gap that exists between the business class and standard economy class. This is through the offering of certain comforts and privileges of premium seats at affordable rates (Vasigh, Tacker and Flemming, 2013).

SECTION A

Qualities of premium economy

There are various features or qualities that re associated with premium economy. These are as discussed below:

• Comfortable amenities: - The premium economy has good amenities such as customization of the seats in the plane some for couples and individual travelers. There is also prioritized check in services. The seats sizes are very large and comfortable pitching up to 41 inches accompanied with 50% recline. There is also serving premium meals to the passengers in the premium economy class, there is a self-service bar for the drinks served in the plane and snacks. Other comforts in the premium class on amenities are personalized entertainment with own control remote, headphones to cancel or reduce noises during flight. There is a lavatory in the flight which has skin care products for the passengers. The class offers room for the changing games for the children and adults while on board. This inflight entertainment is therefore a very key feature in this class (Curran and Fistcher, 2012).
• Extra legroom seats in the economy class have been upgraded to the class of premium economy. Certain airlines have done this for example the American airline where there are extra legroom seats of about 5-13inches upgraded up from the 2-3inches which is in the moral economy class. These are accompanied with seat telephones and at seat laptop power. The extra legroom helps the passengers in relaxing, stretching out their legs, sleeping and sitting back comfortably too (Vasigh, Tacker and Flemming, 2013).
• The cost: - there is a higher charge that is associated with the passengers that reserve r travel in the premium economy class. In the booking of this class, the amount paid is 85% more than the normal economy class tickets (Wensveen, 2012).
• There is also a smaller and dedicated cabin crew that serve the passengers. There are very few staff who are well trained and equipped with air operation services for the people in the premium class. The service that the crew offer therefore becomes quite committing thereby making them to be quite dedicated in the discharging of their duties (Curran and Fistcher, 2012).

Impacts of cabin layout of several impacts that it is associated with. In regards to this, the effects are noted in terms of revenue generation to the airline company, customer satisfaction, serviceability and service standards, Brand positioning and penetration, aircraft performance and disposal of the aircraft after making the best out of its life in service with your airline. The layout of a cabin in an airline depends on the number of seats that are in the plane. In terms of satisfaction, it can be said that a cabin that has got a socket or power ports at every seat has a more satisfying service especially for the case where the passengers on board would wish to use their computers and other devices. The internet connectivity can as well be very vital in enhancing such kind of passengers’ level of satisfaction thereby making them to always board the plant. Fully flatbed where the passengers can relax is as well another important part of the cabin layout that helps in boosting the services of the airline especially for the case of long haul flights. The airlines similarly position themselves well through the fair pricing that they offer thereby reducing the high disparity that existed initially between the business class and the economy class. This therefore help the people in the premium economy class to enjoy some of the services that the premium class are enjoying. This is quite important move that they are using in luring the passengers in booking for the seats within the position designed for the PE category (Wensveen, 2012).

In the event that the customers are satisfied, it is quite evident that they will always come to the airplane and do their travel with the airline. This therefore helps the airline in enhancing customer retention and consequently increasing the level of revenue generation to the airline. This satisfaction can as well be advantageous to the airline through the referrals that it would get from the friends and relatives of the satisfied passengers (Wensveen, 2012).

Selling a product or a service that is new in the market is quite challenging. However, when an airline has penetrated the market because of the layout of the cabin for instance will easily penetrate the airline market. The penetration as well deserve a good way of maintaining the position and the image of the airline. It is important to highlight that an airline that has strategically positioned itself very well in the market builds a lot of confidence in the perception of the passengers thereby making such flights to have robust sale of tickets thereby increasing the revenue for the airline company (Vasigh, Tacker and Flemming, 2013).

Still in the performance of an aircraft, the layout of an aircraft should be such a way that the technical aspects are conducive. An aircraft with a good speed of about 869km/h for instance is quite faster and therefore the airline will transfer the passengers at the right time. Speed is a very subjective matter that people use in performance measurement. It should therefore be very fast to satisfy the customers’ perception with the airline. Airlines that also have on-board wheel chair and a lavatory that is accessible by the wheelchair is as well perceived as an airline that is passenger oriented and non-discriminative in nature. The important notion that should be in the market is customer satisfaction and passengers’ consciousness as a service provider (Wensveen, 2012).

SECTION B

The layout of the cabin basically entails the design of the aircraft and the arrangements that have been used in the categorizing the various classes within the flight operations. In this case therefore, the plane is double deck.

From the diagram above, it can be clearly noted that the premium economy class has been selected to be in three rows from column 81 to 85. Looming at the lay out of the plane, it can be clearly noted that the passengers are well placed at the upper deck in the lane and they are very close to the amenities and facilities that they would use in the plane. In regards to this, it can also be seen that they are falling in between the business class and the economy class and therefore there is an extension of the services and amenities that the business class are enjoying while on boards. The lavatories for instance is closer to them. The type of seat that the passengers will require while reserving is Economy plus (BR). This is because of the accrued benefits that are affiliated to this kind of seat based on the table. The closeness to the passengers is therefore one the key reasons that make this kind of seats reserved for the premium economy (Vasigh, Tacker and Flemming, 2013).

SECTION C

The paper has therefore chosen three routes as below:

• Sydney (SYD) ---------------Dubai (DXB ($1194.40)---------------London (LON) ($1301.30)

Fare construction point being Sydney and London

Neutral unit of currency $1301.30

Rule N/A

Maximum Point Mileage 1435

Total Point Mileage 234

EMA0.16

Higher Intermediate Point

Applicable Fare (0.16*1301) + 1301.30

Bac-Haul CheckNIL

TTL1909.16

Iata Rate of Exchange1.254*1509.16

Local Currency Fare=$1892.49

• Vancouver-----------Seattle----------------Frankfurt

Fare construction point being Vancouver and Frankfurt

Neutral unit of currency $1437.97

Rule N/A

Maximum Point Mileage 2467

Total Point Mileage 789

EMA0.32

Higher Intermediate Point

Applicable Fare (0.32*1437.97) + 1437.97

Bac-Haul CheckNIL

TTL460.15+ 1437.97=$1898.12

Iata Rate of Exchange1.254*1898.12

Local Currency Fare=$2380

• Los Angeles (LAX)---------New York(NYC)------------London(LON)

For this route, the fare that should be paid is calculated as

Fare construction point being Los Angeles (LAX) and London (LON)

Neutral unit of currency $1671.23

Rule N/A

Maximum Point Mileage 1565

Total Point Mileage 582

EMAN/A

Higher Intermediate Point

Applicable Fare (0.372*1465) + 1465

Bac-Haul CheckNIL

TTL$2009.98

Iata Rate of Exchange1.741* 2009.98

Local Currency Fare=$3499.38

The routes that have been chosen will be quite instrumental in enabling the airline making a lot of profits from operations in the following routes.

The fares that the passengers will pay in the reserving the plane to use these routes are Therefore the ones that have been calculated in the calculations above.in my view, it can be clearly noted that the Emirates airline can make a lot of profits by investing the air operations in these routes. This can be very vital in expanding to various global traffics that the airline can choose to invest heavily to make a lot of profits.

SECTION D

Findings from the calculation, it can be noted that the project can be implemented by Emirates airline to expand the operations to the other routes and markets. The expansion to the other markets will therefore help the company in the increasing the profits and thereby lowering the expenses that the company would have incurred.

Conclusion

In conclusion, it can be highlighted that the airline company has all potential of improving its services to attract a large group of travelers who can pay for the various classes that the airline wishes to introduce. The introduction of such kind of seats to a flight are very key in the compensating and recovering process during the recession in the air transport industry or low season. The use of various classes in the air transport management is a very important move as it allows for accommodation of many people especially during the late booking hours. The seats may not be at the price that they ought to have been but the at least half of their intended price which can still help improving the profits of the airline as opposed to leaving the seat to go without any sale (Wensveen, 2012).

One factor which the service customers value is quality. However much a service provider tries had to satisfy the consumers, the quality is what they focus on. And this is quite subjective and coherent. Emirates airline therefore has to put a lot of focus on giving out quality services go the passengers to retain them and to receive referrals from the other satisfied passengers. The ambience of the aero plane, the time taken during the check in procedures and luggage handling is very important to passengers. The security should be very tight and the operations in checking comprehensive with technology in use to save much time as possible. Numerous top over points as well should be limited as an airline because certain passengers get bored while on long haul flights (Vasigh, Tacker and Flemming, 2013).

SECTION E

The lesson that has been learnt from this assignment and from the overall course is that there are various approaches that are used by the airline companies in the increasing the revenues that they earn from the flight operations. In regards to the lesson, premium economy is one of such strategies that the airlines use in enhancing this. A very important lesson that is as well noted in the course is that there are categorized in the airline industry that are being created with the view of increasing the sales revenue if an airline. In regards to this, it can be seen that there are various sub categories of the premium economy which are used as well by certain airlines (Wensveen, 2012).

There are various parameters I would have employed to change so that I could get a different result. In line with the parameters to adjust, I would have opted in purchasing larger aircrafts that when segmented into portions, the premium economy and the business class do get a very large section that can accumulate a large number of passengers. This is very important in the increasing the revenue for the airline thereby leading to the stability of the airline in the air transport industry. It is always very important to create awareness to the public especially when there is a change or a new service offered. I would therefore take the service promotion and market the additions in the routing of the airline. This awareness is very key as it helps in stirring demand as well as propensity among the potential who can be in a position to travel to various places using the seat and the carrier (Curran and Fistcher, 2012).

Increasing the service quality operations and management by the airline is a very crucial factor that is worth considering. Service is very fragile and perishable and therefore needs to be given to the best of the level of the providers. The level of value the customers wants based on the amount of money they spend in transport serves them right. This is therefore to be focused on in the purchasing of fast moving aircrafts that are speedy and have the required technical specifications. They should as well be very spacious and even the comfort the passengers get should be satisfying. Customer satisfaction is very subjective and therefore trying to meet it to the levels of the passengers require very efficient and trained staff as well who are dedicated and determined to make the welfare of the passengers conducive (Williams and O’Connell, 2012).

Most airlines have their focus on the long haul flights compared to the short haul flights. The costs that ae incurred in long haul flights are quite higher than the short haul flights. This therefore can be avoided by the airline having direct short routes thereby reducing the high overhead costs incurred. However, for the short haul flights, the fares should thus be escalated a little just to recover from the long haul deficit that they would have earned from the long haul. Passengers as well do not prefer very long flights and therefore given a service that is very quick and direct, they will definitely opt for the service from such airlines (William and Ferrell, 2014).

Another focus that the company can focus on is by employing few cabin crew who are very dedicated and with the right skills of the industry. The staff will be of immense help to the airline in cutting costs of paying many airline staff so much cash by the end of the month. In the case where there is the need to cut the costs as an airline. These measures need to be undertaken to realize high profits. Employing a large portion of crew is not economically healthy for an airline that wants to get the best profits. Regulating the number or employing on contract basis is therefore quite recommended in the cutting the costs (Wensveen, 2012).

Additional information and research is required to make a sensible decision on a project like this. The most important research that is required in coming up with a project like this is market research and trends prevailing in the air transport industry. The needs and preferences of the passengers are changing and therefore thee is the need for the people coming up with this kind of project to actually passenger traffic continues to vary and they are coming with new demands that the air transport industry need to give a solution. The connection of internet in the airline was not in existence in the olden days but because the current passengers are well educated and know the value of their money, they therefore deserve and demand for quality services by the airline industry investors. Technology and innovation is a very important aspect that needs to be looked at in the air transport industry (Vasigh, Tacker and Flemming, 2013).

Passenger traffic is very important in identifying the routing to undertake in the air transport management. In this, the flow of the people in the airports that the airline intends to operate from at the destination as well as the generating area is very key. The success of the airline industry depends on the traffic flow. An airline can therefore not operate well and be profitable in an area with less traffic. This goes hand in hand with the market knowledge whereby in the event that the airline company has established itself well in the market, there will be the eviction of the competitors who are not offering the best airline services out of the market. This will be a very big advantage to the success of Emirates in flight operations (Curran and Fistcher, 2012).

Reference

Curran R. and Fistcher L., (2012), Air Transport and Operations: Proceedings of the Third International Air Transport and Operations Symposium 2012, IOS Press.

Vasigh B., Tacker T. and Flemming K., (2013), Introduction to Air Transport Economics: From Theory to Applications, Ashgate Publishing, Ltd.

Wensveen J., (2012), Air Transportation: A Management Perspective, Ashgate Publishing, Ltd.

William P. and Ferrell O. (2014), Foundations of Marketing, Boston, Cengage Learning.

Williams G., and O’Connell, (2012), Air Transport in the 21st Century: Key Strategic Developments, Ashgate Publishing, Ltd..