Airline Development Project

Goal:

Develop a strategic plan and organization for an airline that will operate in the domestic US only. This plan will encompass all necessary components to operate a functional and efficient airline.

Requirements:

• The presentation should be conducted using PowerPoint and presented to the class.

• Include the following in your airline project:

o Summary of your proposed company

o What are your objectives?

o What is your mission statement?

o Provide a start-up summary.

o Where will your company be located? What type of facilities are needed?

o What type of aircraft will you be using?

What is the flight schedule?

How many pilots/flight attendants/ramp/gate agents/ticket agents?

o What type of maintenance will you provide? In-house? Contract? How many maintenance employees?

o What type of services, amenities will you offer?

o Market analysis: Who is your targeted customer base? Who is your competition?

o What are your financial expenses? Give a projected 5-year estimate.

How much will you pay your employees?

Procedures:

• StartupBoeing is a good source of information as well

• All airline employees must work together to develop the airline.

• Communication channels should be developed as necessary.

• Work should be allocated among employees to provide for the best distribution as possible.

• Regular meetings should be conducted to provide for sufficient communications and development of all airline components.

• The primary investor, your course instructor, will be available after each class period for consultation.

• You will be graded on:

o Language use and delivery: Are the ideas in the presentation clearly explained and are they presented clearly and effectively.

o Organization and Preparation: Is everything explained in a logical order. Is there a clear focus on the airline topics? Are there smooth transitions between key points?

o Content: Explain the process and findings of the different points of your airline. Is it well researched and thought out?

o Teamwork: Did everyone play a part? Does everyone participate in the presentation? Did the management team work well together?

VP, Flight Operations

Maintenance Department

• In-house maintenance or contract maintenance

o For all maintenance requirements or specific

A, B, C, D checks

• Spares/parts

• Give a rough estimate based on what your maintenance department will be. Will you have a maintenance department? Will you contract out? Will you partner with Boeing? Will you partner with another airline?

Schedule Planning Department

• Routes/frequency

• Cities served/airports

• Number of crew required

Training Department

• Pilot

o How many pilots will you need?

o Simulators

Own/lease

Will you purchase a simulator to train your pilots or will you contract out?

• Flight Attendant

o How many flight attendants will you need?

o Will you train your flight attendants or contract out? (Flight attendants are required to physically open the doors of the aircraft they are qualified on-AA has its own training center)

• Rampers

• Gate Agents

• What will the salaries be for personnel (pilots, flight attendants, ramp personnel, agents)

• How many people will you need now and in 5 years?