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This chapter from The Handbook of Airline Economics (1995) analyzes irregular airline operations—unplanned disruptions primarily due to weather and maintenance. It details how such events can significantly impact revenue and operations, particularly in hub-and-spoke systems. The chapter introduces innovative concepts like the “dump plan” to preemptively mitigate disruptions, outlines decision support systems to optimize recovery, and emphasizes the need for a coordinated operational philosophy. Cost implications, passenger dissatisfaction, and strategic planning methods are thoroughly examined to reduce long-term damage and enhance operational resilience.
This chapter from The Handbook of Airline Operations (2000) delves into the complexities of defining and achieving operational efficiency in airlines. It covers strategic impacts like network design, fleet selection, and organizational structure, as well as tactical areas including scheduling, turnaround times, maintenance, and crew utilization. The chapter also addresses the risks of misinterpreting financial and performance data, and emphasizes system-wide coordination through a centralized System Operations Control center. Through practical frameworks and case examples, it offers actionable insights for improving cost-efficiency, reliability, and overall performance in airline operations.
This chapter from The Handbook of Airline Strategy (2001) explores how Third World airlines, particularly Lan Chile and Air Jamaica, have successfully expanded through “strategic regionalization.” In a market dominated by global alliances and First World carriers, these airlines built competitive advantage by targeting ethnic markets, offering differentiated service, achieving economies of scale via regional reach, securing favorable traffic rights, and forming strategic alliances. The case studies highlight practical tactics and policy approaches for making regional carriers economically viable engines of national development and global competitiveness.
This chapter from The Handbook of Airline Operations (2000) explores how Lan Chile revolutionized its business model by integrating cargo and passenger operations following its merger with Fast Air Carrier. Using a combi operation strategy, Lan Chile maximized aircraft payload efficiency, capitalized on directional cargo flows, mitigated seasonality issues, and expanded its market presence. The chapter provides deep insights into operational constraints, cost efficiencies, route planning, and load optimization—highlighting how cargo operations can become a strategic growth engine for passenger airlines in the global marketplace.
This chapter from The Handbook of Airline Marketing (1997) introduces a transformative, network-based approach to revenue management. Moving beyond traditional leg- and segment-based systems, it advocates for Origin & Destination (O&D) revenue optimization that dynamically integrates inventory control, pricing, scheduling, and sales planning. Key concepts include O&D inventory management, group and fare deal coordination, and real-time response to demand and customer value. With detailed strategies for aligning departments and leveraging data across the network, this chapter lays the foundation for maximizing profitability through intelligent, system-wide decision-making.
