Fleet planning
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Presentation Transcript

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Definition

  • Fleet planning is the process by which an airline acquires and manages appropriate aircraft capacity in ordered to serve anticipated markets over a variety of defined periods of time with a view to maximise corporate wealth.

    Source: Buying the Big Jets


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Aircraft Selection Process

  • Current resources

  • Corporate objectives

  • Projected industry environments

  • Marketing Strategy


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Aircraft Selection Process

  • Current Resources

    • Present fleet and their usage

    • Financial data (acquisition cost, unit cost, start-up costs)

    • Technical data (Payload-range, performance, noise-levels, maintenance)

    • Human resource


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Aircraft Selection Process

  • Corporate Objectives

    • Forecasted profitability

    • Operating income

    • Net earnings

    • Market share

    • Cost saving goals


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Aircraft Selection Process

  • Projected Industry Environment

    • National Economy

    • Personal income, disposable income

    • Air transport industry forecasts


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Aircraft Selection Process

  • Market Strategy

    • Level and type of service between city-pairs

    • Long-haul or short-haul

    • Fare and rate structure



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Fleet Commonality

  • Use of similar aircraft types

  • Economical for the airline

  • Minimises crew costs: re-training and re-certification

  • Ease of aircraft and engine maintenance

  • Greater flexibility for planning new routes

  • Ex: B757 & B767, B737 family, A320 family, A330 & A340


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Direct Operating cost

  • Expenses associated with the day-to-day operation of the aircraft such as,

    • Crew salaries

    • Fuel and oil costs

    • Maintenance and overhaul costs

    • Aircraft depreciation costs

    • Airport and en route charges


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Indirect Operating Costs and Revenues

  • Expenses or revenues that are not directly linked with the operation of airline’s services. This can include,

    • Interest paid on loans or interest received from bank

    • Profit or loss from an airline’s affiliated company

    • Gain or loss from foreign exchange

    • Government payments


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