The goal of profit optimization is to leverage all hotel functions and maximize their profits in unison with one another. It encourages hotels to intelligently decide which business to accept across multiple revenue streams at all times, based on the greatest overall value to the asset. This book provides the secrets of how advanced analytics helps profit optimization. It is written with candor to show the limitations of today's most widely used systems and how new futuristic systems are needed for optimized decision-making. It describes the systems, processes, and governance that align the entire management from the CEO down to the managers in making profitable decisions every time. Using numerous cases from the commercial functions of sales, revenue management, marketing, and network planning, the book provides an insider look into the sub-optimal decision processes today. It shows how embedding advanced analytics from an enterprise perspective optimizes the decisions. It provides a playbook for the CIO and C-Suite to build and ensure governance of the models, data, and process for enterprise analytics.
Essay from the year 2012 in the subject Business economics - Business Management, Corporate Governance, Northumbria University, course: Bachelor of Arts in Human Resources Management, language: English, abstract: The commercial airline is an extremely competitive, safety-sensitive, high technology service industry. People, employees and customers, not products and machines, must be an arena of organization's core competence. Sustaining airline profitability, ensuring safety and security, and developing adequate air transportation infrastructure are the important challenges to the airlines. In the following chapters, the strategic reasons that lead Singapore Airline (SIA) success will be discuss with strategic frameworks.
In Cruising to Profits, a very thought-provoking book, co-authors and airline strategy and profitability experts Ricardo Pilon and Kofi Sonokpon share transformational strategies and tools they conclude would contribute to a fundamental shift in turning commercial aviation into a profitable business. Some radical, but necessarily drastic, views and methodologies are offered. The content is primarily based on their practical airline management and business consulting experience, but also combines results from the authors' academic involvement in airline economics with management science. The authors introduce a three-pillar visionary leadership framework BeProFit-able (BPF) that redefines the role of commercial aviation. They further discuss the human element in profitability and advance T.A.L.E.N.T. and Vision Load Factor (VLF) instruments. Lastly, Cruising to Profits offers valuable, actionable management tools so as to execute on the vision and include day-to-day operations towards commercial airline strategy formulation. BeProFit-able (BPF) WHAT visionary leadership framework and management methodology it would take to turn commercial aviation into a profitable business and HOW to apply a unique combination of business model expertise with modern convergent governance. Vision Load Factor (VLF) WHY most airlines are consistently running well below their true potential and HOW to measure and deliver on an airline's vision load factor in a profitable manner. T.A.L.E.N.T. WHY even the most talented airline employees must meet the T.A.L.E.N.T. criteria before they can positively contribute to profitability and HOW to attract and retain true talents. First in a series of eye-opener work, Cruising to Profits is a must-read for those at the heart of senior airline management and those who take a close interest in the business.
In Cruising to Profits, Volume 1 - 2nd Edition, a very thought-provoking book, strategic airline business transformation and profitability expert Ricardo Vincent Pilon shares transformational strategies and tools he concludes would contribute to a fundamental shift in turning commercial aviation into a profitable business. Some radical, but necessarily drastic, views and methodologies are offered. The content is primarily based on his practical experience, his airline management and business consulting work, and also combines results from his work with academic involvement in airline economics as well as management science. The author introduces a three-pillar visionary business transformation and leadership framework entitled BeProFit (BPF), which redefines the role of commercial aviation. The book is an elaborate introduction to a possible evolution in commercial aviation and airline management and paves the way for Volume 2 - The Practical Guide. He further lays the foundation for H2 - Human Capital Profit Multiplier and S.T.A.R., two management tools that identify and enable leadership, as discussed in Volume 3 - The Human Capital Factor. Cruising to Profits offers valuable, actionable management tools so as to execute on the vision and include day-to-day operations towards commercial airline strategy formulation.
In the rapidly evolving airline industry, new technologies play an increasingly critical role in the delivery of real and perceived value in reducing costs, enhancing revenue, and improving customer service and customer safety/security. This book focuses at a senior executive level, examining the key forces affecting the airline business and their potential in terms of short and long-term strategies. The author discusses the role of emerging technology on the airline industry, defined very broadly and including computers, information, databases, aircraft, telecommunications, Internet, wireless, speech recognition, face recognition, etc. His argument is that technology should not only be an enabler of business strategy but crucially the driver of business strategy. The central theme is the vital interaction between technology and business strategy across a wide spectrum of functions - executives sharing their insights of what is needed in terms of revolutions in consumers, technologies, and productivities. What has held airlines back are not so much legacy systems but legacy mindsets, organizational structures and processes, as well as the intelligent selection, investments, and implementation of value-adding technologies. The book is the outcome of the author's own experience while working with a number of airlines and his participation in many discussions with practitioners in the airline and technology firms.
This title presents problems faced by aircraft business operations with solutions thay work in economic terms. Features include: simulated trips for profit-and-loss analysis; methods of fuel conservation; foreasting methods, accuracy and applications; and perfomance case studies.
Competition in air transport has been transformed by industry liberalization initiatives, resulting in the emergence of a wide array of new airline start-ups. Restrictions on low fares have been removed, uniform control requirements have been established, and legislation has facilitated the proliferation of low-fare carriers and competition. The new breed of independent low-fare airlines (LFAs) use market freedoms to shake up the industry's competitive dynamics and offer the customer the alternative of low prices and basic service. A successful low fare business model requires a ruthless and relentless focus on cost cutting and increased operational productivity, combined with an ability to generate and maintain a cash surplus and a cautious but steady fleet and route network expansion. The mastery of these techniques has made Southwest and Ryanair industry leaders, but others such as EasyJet also have a proven record of profitability and market growth, despite not always being the lowest cost or price providers. In this comprehensive and topical study the author systematically provides: · a step-by-step approach to understanding the conditions and choices shaping airline competitiveness, and an assessment of the nature of the low fare market · a comprehensive study of the low fare airline sector's evolution and growth and arguments as to why the European low fare industry is here to stay despite the inevitability of a shake out (reminiscent of the early 1980s in the USA). · unique insights into the success of low fare market leaders in Europe, North America and Australasia and an examination of the experience of US new entrants in the post-deregulations era, to discern strategic lessons for their counterparts; · critical perspectives on strategic management principles and practices in modern airline companies, discussing strategies for survival, and comparing competitive strategies for the main low fare airlines and their limitations; · key reasons for the robustness of the low fare business model during industry crises The book also determines the conditions and strategies that shape sustainable advantage for LFAs in highly competitive deregulated markets where established airlines seek to force out new entrants and considerable political interference remains. Moreover, the book considers why, during the airline industry crisis of late 2001, the market capitalizations of low fare leaders held steady in the wake of the US terrorist attacks, while the major carriers on both sides of the Atlantic were decimated. Cleared for Take-Off is essential reading for airline executives, aerospace manufacturers, regulatory and government transportation agencies, researchers or students of aviation management, transport studies, the travel industry and/or corporate strategy.
Designing and Executing Strategy in Aviation Management is designed to provide an intensely practical guide to this critically important topic. Comprehensive in coverage and easy-to-read in style, it allows both professionals and students to understand the principles and practicalities of crafting and executing business strategies with an aviation context. The result is a comprehensive and multifaceted teaching/learning package, which includes applied case studies on a wide range of airlines and aviation businesses, setting out how these organizations deal with strategy formulation and implementation in critical areas. Topics covered include: corporate strategy, generic strategy, competitive strategy, internal and external environment assessment, mergers, alliances, safety and security. Written directly for both aviation professionals and student courses in aviation strategy, aviation management and aviation operations, it will also be of great interest to aviation professionals in a variety of different fields, including airlines, corporate aviation, consultancy, etc., as well as academics within the field of aviation and those within the field of strategy and management science.
Thesis (M.A.) from the year 2009 in the subject Business economics - Business Management, Corporate Governance, grade: 1,3, Schmalkalden University of Applied Sciences, language: English, abstract: Therefore the FIRST chapter in this paper is going to have a look at the developments of the international airline industry in Europe. Here we are going to have a look at the historical development. It is going to be described in detail how the deregulation and liberalization in Europe happened, and what changes have been put in place. The liberalization packages are going to be described in detail, and the outcomes of the liberalisation and deregulation are going to be stated. In chapter THREE, the LCC's are going to be introduced. Here we are going to have a quick introduction on what 'NO-Frill' means in the context of air travel. Further the development of LCC's in Europe is going to be shown. After that there is going to be a focus on the development of LCC's in Germany. Here the airlines which operate in Germany are going to be stated, and how they have developed over the years. Chapter FOUR is going to focus on the marketing strategy of LCC's in Europe, and how they operate. This chapter focuses on how they operate, how they choose their network and fleet. Also important is to find out what their target market is, and how they manage their sales and pricing strategy. This chapter gives a detailed explanation on how such airlines function. After having had a look at the LCC's strategy, Chapter FIVE focuses on the effects such airlines have on secondary airports. Also this chapter describes what regional effects such an airport has on its surrounding. In Chapter SIX the Airport Frankfurt Hahn stands in the centre of discussion. This chapter describes the several development stages of Frankfurt Hahn in terms of terminal or runway extension, and passenger development. Also this chapter analyses the catchment area of Frankfurt Hahn, and its infrastructure. After havi
Pricing is about deciding your market position whereas revenue management is the strategic and tactical decisions firms take in order to optimize revenues and profits. This book offers insights into research, theories, applications and innovations and how to makes these work in different industries.
