ESSENTIALS OF AVIATION

MANAGEMENT
TOPIC FOR PRESENTATION

 AVIATION MANAGEMENT OVERVIEW

 AVIATION REGULATION
 COMPONENTS OF MODERN AVIATION INDUSTRY
 HANDLING OF PASSENGERS
 AIRLINEFINANCIAL MANAGEMENT OVERVIEW
AVIATION MANAGEMENT OVERVIEW

 Aviation industry is the business sector that manufactures,

maintains, and operates the aircrafts and the airports.
When it comes to aviation, there is a broad range of
responsibilities within. It comprises activities at the
airport as well as in the aircraft. It involves ground duties
that are required to perform before the flight takes off, the
activities during the flight, and the activities after it lands.
 What is Aviation? The term aviation, was coined by a French
pioneer named Guillaume Joseph Gabriel de La Landelle in 1863.
It originates from the Latin word avis that literally means bird.
Aviation means all the activities related to flying the aircraft. What
is Aviation Management? Aviation management involves managing
the workflow of airline, airport, or other businesses pertaining to
aviation or aerospace industry by carrying out the day-to-day
operations of an airport or an airline.
A BRIEF HISTORY OF AVIATION

 The original idea of kite-flying from China was the first attempt
of humankind to fly some man-made object high into the air.
Chinese used kites to send messages, lift humans, measure
distances, and test winds during the 5th Century to the 7th Century
AD. They also prepared Hot Air Balloons to scare away enemies in
the 3rdCentury BC. Later during the period of Renaissance,
Leonardo Da Vinci studied the flying principles of birds and
anticipated that the equal amount of resistance is offered by an
object to the air, just as the resistance air offers to the object.
 During the 17th century, the then experts tried to create copper
spheres containing vacuum and lift an airship as they knew by then
that the objects lighter than the air can remain up in the air. During
the 18th Century, they conducted five flights using balloon
successfully in France. In 1647, the Polish King Władysław-IV
invited the Italian inventor, Tito Livio Burattini to his court in
Warsaw and built a model aircraft with four fixed glider wings. The
aircraft had successfully lifted a cat with minor injuries while
landing.
 During the 19th and the 20th centuries, the experts around the world
experimented continuously and came up with improved flying machines or
aircrafts, which were heavier than air and based on the principles of
aerodynamics. Most notable names are the Wright Brothers — Orville and
Wilbur Wright. According to the Smithsonian Institution and Federation
Aéronautique Internationale (FAI), the Wright brothers made the first sustained,
controlled, powered, and heavier-than-air fight at Kill Devil Hills, North
Carolina on December 17, 1903. Orville Wright took the first flight at 120ft high
for 12 seconds.
AVIATION MANAGEMENT REGULATION

 An aviation regulator is a government authority that works on a

national level to approve and regulate civil aviation 
 These regulators are often referred to as a National Aviation
Authority (NAA) or a Civil Aviation Authority
 There are hundreds of such regulators, each working to
implement and maintain a series of standards outlined by the
International Civil Aviation Organisation
RESPONSIBILITIES

 Giventhat aviation regulators are national agencies, the

responsibilities of each can vary according to the specific
needs of each country.
 One of the key responsibilities of an aviation regulator is
to maintain an aircraft register and issues certificates of
registration to aircrafts. Aviation regulators will often
work to ensure
AVIATION MANAGEMENT REGULATION

 KEY REGULATION AUTHORITIES

 The International Civil Aviation Organisation (ICAO) is a special
agency of the United Nations
 The ICAO helps its 191 Member States to create shared
international standards.
 In the US, the Federal Aviation Administration (FAA) is
responsible for regulating air travel and air traffic management.
 The European Aviation Safety Agency adopts a similar role in
Europe
COMPONENTS OF MODERN AVIATION
INDUSTRY

The aviation industry is structured into three main

components:
 Commercial
 General
 Military
COMPONENTS OF MODERN AVIATION
INDUSTRY

 Commercial Commercial aviation includes national carriers

such as Delta and American, and regional carriers like Go Jet and
SkyWest Airlines. Commercial airlines may also focus on other
areas of business, such as crop dusting, fighting forest fires, and
rescue operations.
 General aviation includes personal and business or executive
flights and flight instruction. The sub-sectors of the airlines
industry include operations, maintenance, marketing, and finance
divisions.
 Military military Aviation refers to the use of aircraft within
military settings. Typically, this kind of air transportation is
designed to enable aerial warfare, or perform surveillance
operations. The majority of military aviation is related to air forces,
however the concepts of army aviation
HANDLING OF PASSENGERS

 These employees are the front line of customer service

 It is their job to ensure the smooth handling of passengers
at all phases of their airport experience 
 From Check-in to departure, the services provided by the
trained staff are customized to the individualized needs of
the air carrier
HANDLING OF PASSENGERS

 Ticketing. Although most passengers will arrive at the airport with

tickets in hand, there are provisions at most terminals for on-the-
spot purchase
 Check-in. Electronic check-in kiosks have become prevalent in
most major airports. However, there will still be customer service
agents to assist passengers with the check-in process, to verify
documentation, to tag and process their checked baggage and to
ensure that cabin baggage conforms to regulated size, weight and
content
 Over-size Baggage. Provisions will be available, usually at a secondary location,
for the acceptance of over-sized or very heavy baggage items
 Baggage Sorting. Bags will be electronically or manually sorted by flight and
either loaded into Unit Load Devices (ULD) or placed on baggage trolleys in
preparation for aircraft loading
 Lobby Management. Passenger service agents will ensure that the appropriate
number of check-in desks are available, staffed and have the appropriate
identification signage as well as directing and controlling the flow of passengers
in an orderly and efficient manor
HANDLING OF PASSENGERS

 Irregular Operations. Customer Service Agents will be available to

accommodate Irregular Operations requirements such as rebooking passengers
who have missed connections or providing meal and accommodation vouchers,
or alternate transportation arrangements, in the event of delay or cancellation of
flights
 Special Needs Handling. Customer service agents will make arrangements for
wheelchairs or other transport to the departure gate for mobility impaired
passengers and will process, safeguard and supervise any unaccompanied minors
(UMs) from check-in to aircraft boarding and from aircraft deplaning to release
to a parent or other authorised person
 Gate Assignment. In coordination with the airport
authority, aircraft gates will be assigned and the gate
information relayed to the passengers
 Lounge Management. Where available, business and
first class lounges, available to qualified passengers, will
be staffed and provisioned
HANDLING OF PASSENGERS

 Aircraft Boarding. Ground agents will make appropriate boarding announcements,

conduct final passenger screening and document verification and provide a final
passenger manifest and customs documentation to the aircraft crew. If passengers must be
bussed to the aircraft or otherwise be compelled to walk on the ramp, ground agents will
ensure passenger safety whilst on the ramp
 Aircraft Disembarkation. Ground staff will receive any inbound customs paperwork and
accept arriving passengers at the aircraft and facilitate their transfer to the terminal
building, dealing as necessary with issues arising from inbound delay or cancellation of
connecting flights
 Baggage Services. Ground agents will assist with lost, misdirected or damaged baggage
Ramp services

 Marshalling. The marshalling process at some aerodromes starts as the aircraft

approaches the apron with the provision of a Follow Me Vehicleto guide the aircraft to its
assigned parking stand. As the aircraft approaches the stand, the vehicle relinquishes
aircraft guidance to either electronic Stand Entry Guidance Systems or ground personnel
to direct the aircraft to its final parked position. In many cases, wing walkers will work in
conjunction with the marshaller or guidance system by controlling ramp traffic and to
helping to mitigate any wing tip clearance hazard. On departure, a marshaller will assist in
engine start, confirming that the area around the engine is clear of hazards and watching
for indications of an engine fire. Should a fire occur, the marshaller will advise the crew
by interphone or by using Emergency Hand Signals. Wing walkers will also be provided
when the aircraft is to be pushed off stand
 Chocking and Connection/Disconnection of Ground Services.
Once the aircraft is on-stand, wheel chocks will be inserted and
external services such as passenger bridge(s) or boarding stairs,
ground electrical service and ground air conditioning units will be
positioned or connected as required. As the departure time
approaches, these items will be disconnected and removed as
directed by the flight crew
 Baggage and Freight Handling. Baggage and freight on the inbound aircraft
will be off-loaded using whatever specialised equipment necessary (such as
baggage belts, split loaders and forktrucks) and the outbound bags and freight
will be loaded on the aircraft. Care must be taken to ensure that Loading of
Aircraft with Cargo is accomplished in accordance with the load planner's
loading instructions and that Dangerous Goods are correctly handled
 Aircraft Towing. Movement of an aircraft to or from a maintenance facility, a
remote parking stand or from one gate to another will be accomplished on an "as
required" basis
 Refuelling. Aircraft will be refueled to the requirements of the
outbound flight as specified by the Pilot in Command or, in his
absence, by the dispatcher. Specific protocols are in place in the
event that refueling is to be accomplished with passengers
remaining on board
 Toilet and Water Servicing. Toilet waste holding tanks will be
emptied and serviced as required. Potable water tanks will be
refilled
 Aircraft Cleaning. The cabin, lavatories and galley counter surfaces will be cleaned.
Garbage containers will be emptied and the contents removed from the aircraft. Toilets
will be restocked. Passenger comfort items such as pillows and blankets will be replaced
as required and, where applicable, newspapers will be brought on board
 Catering. The catering trolleys and oven inserts from the inbound flight will be removed
and the catering for the outbound flight boarded. Galley and bar stock will be replenished

 Provision of Documents. Prior to departure, the flight crew will be provided with the
appropriate documentation inclusive of a fuel uplift receipt, the completed Aircraft Load
and Trim form or, if the crew completes their own Load and Trim, the certified Loading
Instruction Form (LIF), freight manifests and the appropriate notifications for any
dangerous goods
 High Pressure Air. In some circumstances, such as in the case of an
unserviceable Auxiliary Power Unit (APU), a high pressure air cart may be
required to start at least one of the aircraft engines.
 Pushback. Where required, ground equipment will be utilised to move the
aircraft off stand at departure
 De-icing. When required, either or both Aircraft Ground De/Anti-Icing and
Engine Core and Fan De/Anti-icing will be carried out. Engine core de-icing is
most often accomplished at the parking position whereas aircraft de-icing may
be done either in situ or at a remote facility.
AIRLINE FINANCIAL MANAGEMENT
OVERVIEW

 AIRLINE FINANCIAL MANAGEMENT Financial management teaches you

to manage your financial resources both on the personal level and within your
business plan. It's comprised of short term and long term goals
Airline Costs
 Startup cost
 Operating cost
 Depreciation cost
Airline Cash Management

 Purpose of Airline Cash Forecasting

 Short-tern cash forecasting is used to accomplish the following
 Determine operating cash requirements.
 Anticipate the need for short-term cash requirements.
 Invest any surplus cash wisely.
 Maintain cordial relations with banking partners.
 Long-term detailed cash forecasting is used to appraise proposed projects that
require working capital and avail loans whenever required.
 Airline Cash Forecasting Methods
 The following are the different types of forecasting methods −
 Casual Forecasting
 Trend Forecasting
 Cyclical Variations
 Seasonal Variations
 Irregular Variations
 Airline Finance
 The following are the four basic factors in airline finance
management
 Income Statement
 Cash Flow Statement
 Stockholders’ Equity Statement
 Balance Sheet
 Airline Revenues
 The airlines come up with ideas of generating revenues in various
ways.
 Airline Taxes and Fees
 À la Carte Pricing Policy
 Add-on Services for Travel
 On-board Sale
 Advertising Sales