AIRLINE ORGANIZATION

Airline Industry
Airline Industry
Carriers, General Aviation, Airports

Travel &
Suppliers Services Passengers Tourism
• Insurance • Travel Agents
• Aircraft • Business Travelers
• Tourist Attractions
• Engines • Financing • Leisure Travelers
• Conferences and
• Electronics • Distribution
Conventions
• Computers • Telecom
• Hotels
• Maintenance • Restaurants
• Chemicals
• Fuel • Retailers
 PRODUCERS
MANUFACTURERS
Airframes/Engines
Mechanical Systems
Computer Systems
Aircraft Parts
Materials/Chemicals
GOVERNMENTS
Legislative Bodies
Regulatory Bodies
Aviation Authorities
Customs
Immigration
AVIATION SERVICES
Insurance/Leasing
Sales Distribution
Suppliers Telecoms Aircraft
Maintenance
Fuel & Oil/Consultants
CONSUMERS
AIRLINES PASSENGERS
Trains/Car-Hire/
Major/Regional/Charter
Air Taxi Operators Hotels/Restaurants/
Tourism/Retails
Air Cargo Carriers
Special Services Travel Agents
Meetings/Events
General Aviation
AIR TRANSPORT INDUSTRY
AIRPORTS/SERVICES
Major Airports
FREIGHT
General Aviation Airports Freight Forwarders
Training Centers Terminal Transport Warehousing
Maintenance Catering Consolidation
ATC Services Input to Other Industries
Mail
 Generic Value Chain
SUPPORT ACTIVITIES

FIRM INFRASTRUCTURE

HUMAN RESOURCE MANAGEMENT

TECHNOLOGY DEVELOPMENT

PROCUREMENT

INBOUND OPERATIONS OUTBOUND MARKETING SERVICE

LOGISTICS LOGISTICS AND SALES

PRIMARY ACTIVITIES
 Airline Industry Value Chain
FIRM -Financial Policy - Accounting -Regulatory Compliance - Legal - Community Affairs
INFRASTRUCTURE

HUMAN Flight, route and

Pilot Training Baggage Handling Agent In-flight
RESOURCE yield analyst
Safety Training Training Training Training
MANAGEMENT training
Product Baggage Tracking
Computer Reservation System, In-flight System
TECHNOLOGY Development System
Flight Scheduling System, Yield Management System
DEVELOPMENT Market Research
Information Technology
PROCUREMENT Communications

•Route Selection •Ticket Counter •Baggage System •Promotion •Lost Baggage Service
•Passenger Service Operations •Flight •Advertising •Complaint Follow-up
System •Gate Operations Connections •Advantage
•Yield Management •Aircraft •Rental Car and Program
System (Pricing) Operations Hotel Reservation •Travel Agent
•Fuel •On-board Service System Programs
•Flight Scheduling •Baggage Handling •Group Sales
•Crew Scheduling •Ticket Offices
•Facilities Planning
•Aircraft Acquisition

INBOUND OPERATIONS OUTBOUND MARKETING SERVICE

LOGISTICS LOGISTICS AND SALES
 Basic Functional Organization

Board of
Directors

CEO

Commercial Finance Administration Line

Operations
 Administrative Organization

CEO

Administration

Safety Corporate Security Legal Human Audit

Communications Resources
 Commercial Organization

CEO

Commercial
Group

Sales External Mrktg Info Revenue Corp e- Planning

Affairs Support System Mgt. Business
 Airline Industry External Affairs
CAB
G DOTC
O ATO
V Negotiating Foreign
E Congress Panels Gov’ts.
E R Airports
X N
M DFA
T
E
E N
R DOT
T
N
A IATA Foreign
L Airlines
ICAO
I APEC
A N
F D Economic EAGA
F U Forum
A S WTO
I T
R R BAR
S Y
AOC
 Financial Organization

CEO

Financial
Group

Financial Corp Treasury Fuel Risk Logistics &

Services Finance Mgt. Management Purchasing
 Line Operations Organization
CEO

Operation
Group

Flight Cabin Airport Catering Operation Training &

Operation Services Services Services Control Dev’t.

Airworthiness Aircraft
Management Engineering
Airline Organization

Any Questions?
Airline Organization

Thank You