Operational Rescue Plan for Air France

Introduction – Operational Rescue Plan for Air France

Providing a sustainable development is the most important aspect in all businesses in the current environment. Companies are trying very hard to ensure that their businesses whether local or global perform well and have a sustainable growth. However, these businesses are faced with several problems and challenges that hinder their effective growth. Airline industry is one of the industries that is faced with diverse challenges ranging from limited resources, heightened competition, need for highly skilled personnel, and low quality customer services. Operational Rescue Plan for Air France.

These challenges have resulted in the industry failing to perform as expected economically calling for managers to design effective ways of rescuing it. Globally, some airline companies have failed to meet their expectations financially and in terms of resources thus failing to attract a large number of customers. Basically, customers in the industry are only interested in high quality services to increase their travel frequency and refer their friends. For instance, most of the European airlines were adversely affected by the prevailing economic conditions in the year 2008 where the number of customers reduced drastically.

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The financial problems facing the Air France can be solved by developing a management that focuses on improving operational services, saving finances, reducing the fleets, and focusing on the domestic and regional markets. In order for the company to retain customer and attract new ones it should ensure that its operational services are of high quality. For instance, time should be effectively kept within the schedules to ensure that customers travel at the stated time. This would help in increasing customer satisfaction as they travel at the stated time. Operational Rescue Plan for Air France.

Additionally, the company should reduce the number of fleets in an effort to save finances. Basically, too many fleets operating in different routes in the global market would be a challenge to the company bearing in mind its financial situations thus if these fleets and routes are reduced to only operate within the country and across Europe, the company would save a lot of money and make profits. This is because the competition is very high in the global market and low- cost carriers usually benefit in the market. Further, the company should change to low- cost carrier in order to attract customers and make profits. Operational Rescue Plan for Air France.

List of References

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Bazargan, M. (2010) Airline Operations and Scheduling. London: Prentice Hall, 155-204

Bruce, P. (2012) Understanding Decision- Making Processes in the Airline Operations Control. New Jersey: Sage, 174-197

Landauro, I. & Pearson, D. (March 25th, 2013) ‘Air France-KLM Shuffles Top Brass.’ The Wall Street Journal. [Online]. <http://online.wsj.com/article/SB10001424127887324789504578382350170177138.html> [Accessed on July 3rd, 2013]. Operational Rescue Plan for Air France.

Moores, V. (February 26th, 2013) ‘Air France-KLM Cargo Losses Deepen to €222 Million.’ Air Transport World. [Online]. <http://atwonline.com/operations/air-france-klm-cargo-losses-deepen-222-million> [Accessed July 3rd, 2013]

Pearson, D. (January 25th, 2012) ‘Air France-KLM Expects Deep Loss.’ The Wall Street Journal. [Online]. <http://online.wsj.com/article/SB10001424052970203806504577182293516238790.html> [Accessed on July 3rd, 2013]

Smith, B. & Johnson, E. (2006) ‘Robust airline fleet assignment: Imposting station purity using station decomposition.’ Transportation Science, 40(4):497-516

Wu, C. (2012) Airline Operations and Delay and Management: Insights from airline Economics, Networks and Strategic Scheduling Planning. London: Sage, 166-200. Operational Rescue Plan for Air France.