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Presentation Transcript
forecasting
Forecasting
  • It is the process of estimating the future trends by examining and analysing the available information.
  • Attempt to quantify demand in the future time period
purpose of forecasting
Purpose of Forecasting
  • Planning tool which helps to cope up with uncertainties in the future.
  • Short term forecast – Competitive situation, equipment needs
  • Medium term forecast – Route planning decisions
  • Long term forecast – Fleet Planning and Financial commitments
forecasting techniques
Forecasting Techniques
  • Casual Methods
  • Time Series or Trend Projection
  • Moving average method
  • Delphi technique
  • Regression analysis
  • Exponential smoothing technique
advantages of forecasting
Advantages of forecasting
  • Helps to prepare for the future
  • Less time consuming
  • Economical for the company
  • Adjust the supply according to the future demand
passenger capacity
Passenger Capacity
  • Available Seat Kilometers (ASKs) measure an airline’s passenger carrying capacity.
  • ASKs is defined as the product of the numbers of seats available and the distance flown by those seats.
  • ASKs : No. of seats * Distance flown
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RPKs
  • Revenue Passenger Kilometers (RPKs) : It is defined as the product of revenue passengers carried and the distance flown by them.
  • RPKs : Revenue Passengers * Distance travelled
load factor
Load Factor
  • Load Factor is defined as the ratio of RPKs to ASKs
  • Load Factor : RPKs/ASKs