- Delta Airlines aims to enable online ticket sales, provide real-time flight information to employees and customers, and deliver agile solutions to business requests through improved IT infrastructure.
- The company seeks to increase ticket sales and customer satisfaction while reducing costs through various eBusiness initiatives across sales, distribution, and employee engagement.
- Delta faces challenges around employee morale, customer service, and prioritizing technology projects, but sees opportunities to grow revenue through eCommerce and strategic partnerships.
Airport Economics contains of revenue & cost.
Revenue including aeronautical revenue & non- aeronautical revenue while cost including airside, landside & overall airport cost. Lets study what is Airport Operating Cost in aviation!
JetBlue Airways is an American low-cost airline founded in 1998 by David Neeleman. It uses a young fleet of airplanes. A notable incident was in 2007 when weather caused flight delays and cancellations. As a result, JetBlue created a "Customer Bill of Rights." David Neeleman retired after this incident in 2007. JetBlue focuses on low operating costs, good customer service, and effective technology use, but also faces threats like rising fuel prices and strong competition from other airlines.
This document provides information about airline business, including major aircraft manufacturers, aircraft types, minimum connecting times, and classes of service. It discusses key aircraft manufacturers like Boeing, Airbus, Embraer, Bombardier, and Tupolev. It describes different types of aircraft like passenger, cargo, and combination aircraft. It also outlines components of aircraft like wings, empennage, fuselage. The document explains minimum connecting times required by airlines and defines classes of service on flights.
This presentation by Brian Pearce from IATA was made during a roundtable discussion on airline competition held at the 121th meeting of the OECD Competition Committee on 19 June 2014. Find out more at http://www.oecd.org/daf/competition/airlinecompetition.htm
Improving the efficiency of aircraft turnaroundAppear
Implementing innovative app toolkit for airport workers that improve aircraft turnaround. Airport IQ will develop a mobile information sharing system connecting back-end A-CDM systems with mobile devices (smartphones, tablets and other wearable devices) carried by ground staff. The system will provide the right information at the right place and time to the right people, making it easier for planners to make optimal use of resources.
We are looking for potential partners to participate in the project whether they are Airports, Ground Handlers, Airlines, System providers and other commercial entities. If you would like to know more, then get in touch
Principles of airline and airport managementJetline Marvel
Sushan Pradhan
Sushan Pradhan
Roll no: 27 ( BBA 2nd Year 4th Semester)
Institute: Agragami Group of Institutions
Topic: 1) Flight Information Display System
2) Reservation and Ticketing
3)Check in and Issue of Boarding Pass
4) Customs and immigration formalities
www.jetlinemarvel.net
Comprehensive Marketing Presentation on Emirates AirlinesSheikh_Rehmat
Emirates Airlines was founded in 1985 in Dubai with backing from the royal family. It began operations with two leased aircraft flying routes out of Dubai. Emirates has since grown significantly and now flies to over 120 destinations globally with a large fleet of wide-body aircraft. The airline focuses on premium service and experiences for passengers, offering amenities like onboard lounges and fine dining. Emirates utilizes a variety of marketing strategies including value-added pricing, peak/off-peak pricing, and strategic partnerships and sponsorships to promote the brand.
Airport Economics contains of revenue & cost.
Revenue including aeronautical revenue & non- aeronautical revenue while cost including airside, landside & overall airport cost. Lets study what is Airport Operating Cost in aviation!
JetBlue Airways is an American low-cost airline founded in 1998 by David Neeleman. It uses a young fleet of airplanes. A notable incident was in 2007 when weather caused flight delays and cancellations. As a result, JetBlue created a "Customer Bill of Rights." David Neeleman retired after this incident in 2007. JetBlue focuses on low operating costs, good customer service, and effective technology use, but also faces threats like rising fuel prices and strong competition from other airlines.
This document provides information about airline business, including major aircraft manufacturers, aircraft types, minimum connecting times, and classes of service. It discusses key aircraft manufacturers like Boeing, Airbus, Embraer, Bombardier, and Tupolev. It describes different types of aircraft like passenger, cargo, and combination aircraft. It also outlines components of aircraft like wings, empennage, fuselage. The document explains minimum connecting times required by airlines and defines classes of service on flights.
This presentation by Brian Pearce from IATA was made during a roundtable discussion on airline competition held at the 121th meeting of the OECD Competition Committee on 19 June 2014. Find out more at http://www.oecd.org/daf/competition/airlinecompetition.htm
Improving the efficiency of aircraft turnaroundAppear
Implementing innovative app toolkit for airport workers that improve aircraft turnaround. Airport IQ will develop a mobile information sharing system connecting back-end A-CDM systems with mobile devices (smartphones, tablets and other wearable devices) carried by ground staff. The system will provide the right information at the right place and time to the right people, making it easier for planners to make optimal use of resources.
We are looking for potential partners to participate in the project whether they are Airports, Ground Handlers, Airlines, System providers and other commercial entities. If you would like to know more, then get in touch
Principles of airline and airport managementJetline Marvel
Sushan Pradhan
Sushan Pradhan
Roll no: 27 ( BBA 2nd Year 4th Semester)
Institute: Agragami Group of Institutions
Topic: 1) Flight Information Display System
2) Reservation and Ticketing
3)Check in and Issue of Boarding Pass
4) Customs and immigration formalities
www.jetlinemarvel.net
Comprehensive Marketing Presentation on Emirates AirlinesSheikh_Rehmat
Emirates Airlines was founded in 1985 in Dubai with backing from the royal family. It began operations with two leased aircraft flying routes out of Dubai. Emirates has since grown significantly and now flies to over 120 destinations globally with a large fleet of wide-body aircraft. The airline focuses on premium service and experiences for passengers, offering amenities like onboard lounges and fine dining. Emirates utilizes a variety of marketing strategies including value-added pricing, peak/off-peak pricing, and strategic partnerships and sponsorships to promote the brand.
The document provides guidelines on using operations research for scheduling and revenue management in the airline industry. It discusses optimization methods for two subproblems: [1] fleet assignment, which involves assigning aircraft types to flight legs while maximizing profit; and [2] maintenance routing, which identifies aircraft rotations that allow for maintenance checks while satisfying operational constraints. The author conducted research on practices used by major airlines and solution vendors, focusing on decomposition approaches and solving methods like column generation and branch and bound for modeling and optimizing these problems.
Aircraft can be categorized in three ways: by basic design as either lighter-than-air or heavier-than-air, by propulsion as either power driven or non-power driven, and by wing design as either aeroplanes with fixed wings or rotorcraft with rotary wings. Lighter-than-air aircraft rely on gases for lift while heavier-than-air aircraft use air flowing over wings. Power driven aircraft use engines for propulsion and non-power driven use gravity and aerodynamic forces. Aeroplanes have stationary wings and rotorcraft have rotating wings.
Revenue management first appeared in the airline industry in the early 1980s. It arose from the need for accurate demand estimates and profit-generating resource allocations in a newly deregulated environment. We begin this program and this module with a look back at the main causes and consequences of airline deregulation in North America. We describe how the deregulated North American airline industry has encouraged a trend toward deregulation, or at least liberalization, worldwide. We then move on to introduce the basic concept involved in airline revenue management.
1) The document discusses the International Civil Aviation Organization (ICAO), which was created in 1944 by 54 nations to ensure safe and orderly growth of international civil aviation.
2) ICAO aims to promote safety and uniform regulations through establishing international standards and recommended practices.
3) ICAO is a specialized UN agency with 191 member states that coordinates assistance and capacity building for states on issues relating to aviation safety, security, and performance.
Revenue management is the practice of maximizing revenue from a fixed inventory of airline seats. It originated in the 1970s after airline deregulation in the US. Revenue management systems deliver 3-9% additional revenue gains through analytics-based inventory control and price differentiation. They help airlines set optimal booking limits and prices to reduce unsold seats and maximize revenue based on demand forecasts. While revenue management is widely used, integration challenges remain for some airlines.
This document summarizes the contribution of the air transport industry to macroeconomic stability. It discusses how aviation contributes significantly to global GDP and employment, facilitating over 3 billion passengers and 50 million tons of freight annually. This supports over 8.7 million direct jobs and generates $606 billion for the global economy. Aviation also stimulates tourism, which contributes $2 trillion to world GDP and over 101 million jobs globally. The document then discusses the air transport industry in Pakistan, how passenger traffic has grown significantly in recent years, and projections that transit traffic in Pakistan will continue growing rapidly through 2022.
JetBlue was founded in 1999 with a mission to bring humanity back to air travel. It announced plans for live TV on all flights and had its first flight in 2000. Over the next several years it grew rapidly, adding amenities like more legroom and launching programs like TrueBlue rewards. By the mid-2000s it had over 100 planes and was offering services like in-flight WiFi not found with other US airlines. As it grew, it focused on aspects like safety, customer service and low fares to remain competitive in the mature airline industry.
- JetBlue experienced major communication failures and customer service issues during a winter storm in February 2007. Thousands of passengers were stranded on planes for hours with little information from the airline.
- This crisis damaged JetBlue's reputation for excellent customer satisfaction. However, the CEO implemented a new "Customer Bill of Rights" that established clear compensation policies for flight delays or cancellations.
- The Customer Bill of Rights helped rebuild customer trust and confidence in JetBlue. It raised industry standards of passenger treatment and demonstrated JetBlue's commitment to putting customers first even in difficult situations.
This document discusses route profitability systems and challenges in airline cost accounting. It outlines a cost hierarchy including direct, indirect, fixed and variable costs. It also discusses system dependencies and different models for route profitability analysis from traditional to advanced. The advanced model allows for multi-level profit analysis for strategic, operational and managerial decisions. It emphasizes the need for a system that reconciles to financial reports in real-time and supports activity-based costing and planning/budgeting.
The document provides an analysis of JetBlue Airlines. It discusses JetBlue's founding, competitive strategy, strengths and weaknesses. Key points include:
- JetBlue was founded in 2000 and had significant financial success in its early years, achieving profits while other airlines lost billions.
- It differentiates itself from competitors like Southwest by offering amenities like seat-back TVs and leather seats.
- JetBlue keeps costs low through efficiencies like operating a standardized fleet and selling tickets exclusively online.
- Though it faces threats from larger competitors, JetBlue has significant strengths in management, customer focus, and low costs relative to the industry.
A Term Project Submitted in Partial Fulfillment of the Requirements of 1202332 Globalization and Logistic Management Course,
Mae Fah Luang University
Second Semester, 2014
Malaysia Airlines was founded in 1947 and is based in Kuala Lumpur, Malaysia. It operates flights to over 60 destinations using a fleet of 98 aircraft that includes Airbus A330, A380 and Boeing 737 and 777 models. The airline has experienced financial difficulties in the past but underwent a successful turnaround program in 2006-2007. It has also taken delivery of new widebody aircraft like the Airbus A380 to expand its international route network.
Fly Emirates aims to be the world's best airline through excellent service. Its mission is to deliver the best in-flight experience and its vision is to make aviation safe, leading and sustainable. Emirates operates over 1,990 flights per week to 157 destinations in 55 countries from its hub in Dubai. It employs over 38,000 staff and has a large fleet of aircraft. Emirates focuses on business and first class travelers to be profitable but also serves economy passengers and uses a low-cost carrier strategy to target new markets.
This document discusses route development strategies for airlines. It outlines analyzing supply (available seats) and demand (passengers) trends on routes to forecast performance. Three outcomes are possible: converge, where passenger growth exceeds seat growth; leveling, where growth is equal; and diverge, where passenger growth lags. Monthly seasonality patterns identify peak periods. The goal is adjusting flight frequencies, aircraft size, or other factors to achieve the annual load factor target based on supply-demand analyses. Examples of route analyses between various city pairs are also presented.
This virtual simulation program was developed to help airline management teams understand competitive market dynamics and improve problem solving and decision-making skills.
Find out more at: http://www.iata.org/airline-business-simulation
This document discusses various aspects of airport management including lessons learned, maintenance, repair and overhaul (MRO), air traffic control (ATC), and the concerns of an airport manager. It covers terminal operations, airport access, the role of MRO, how ATC works and the systems that assist them. As an airport manager, concerns include the terminal area, landside operations, and airside facilities. Effective management of airport facilities is vital for safety and efficiency.
The document discusses market segmentation considerations for the airline industry. It identifies different types of air travelers including business travelers, independent leisure travelers, package tour travelers, and last-minute deal seekers. It also discusses profiling consumer segments using demographics, socioeconomics, and psychographics, as well as organizational segments. An effective segmentation approach combines descriptive characteristics with behavioral considerations like purpose of travel and predicted customer loyalty.
Jet Blue Airway: Case Analysis (Strategic Audit)Anna Osmanay
The presentation analyses a case of Jet Blue Airway. Jet Blue Airway is an airline company that operates in the United States. Background information about the company as well as a strategic audit of the company is presented. The strategic audit has to do with the internal and external analysis of the environment of the company.
Explains in detail what Revenue Passenger Kilometer & Yield is. There are 7 examples to illustrate the explanations. There are 2 exercises to test the reader's knowledge.
The document discusses the commercial aviation industry in the United States. It notes that commercial aviation helps drive $1.142 trillion in economic activity, $346.4 billion in earnings, and 10.2 million jobs. It also contributes $692 billion per year to US GDP, which is 5.2% of total US GDP. Additionally, there are over 40,000 daily commercial flights in the US carrying around 2 million passengers daily.
Business Proposal for Delta Airlines by Team 14marquez419
This business proposal outlines a plan for Delta Airlines to improve customer service and increase membership in its SkyMiles frequent flyer program. The proposal recommends launching a multi-year marketing campaign involving celebrity endorsements and partnerships with companies like iTunes and Beats By Dre to offer perks to SkyMiles members. This is estimated to cost $2 million over 2-5 years but improve revenue by 10% in the first year through increased ticket and membership sales. The campaign aims to reengage current members and attract new customers starting in April 2014 and running through December 2016.
The document provides guidelines on using operations research for scheduling and revenue management in the airline industry. It discusses optimization methods for two subproblems: [1] fleet assignment, which involves assigning aircraft types to flight legs while maximizing profit; and [2] maintenance routing, which identifies aircraft rotations that allow for maintenance checks while satisfying operational constraints. The author conducted research on practices used by major airlines and solution vendors, focusing on decomposition approaches and solving methods like column generation and branch and bound for modeling and optimizing these problems.
Aircraft can be categorized in three ways: by basic design as either lighter-than-air or heavier-than-air, by propulsion as either power driven or non-power driven, and by wing design as either aeroplanes with fixed wings or rotorcraft with rotary wings. Lighter-than-air aircraft rely on gases for lift while heavier-than-air aircraft use air flowing over wings. Power driven aircraft use engines for propulsion and non-power driven use gravity and aerodynamic forces. Aeroplanes have stationary wings and rotorcraft have rotating wings.
Revenue management first appeared in the airline industry in the early 1980s. It arose from the need for accurate demand estimates and profit-generating resource allocations in a newly deregulated environment. We begin this program and this module with a look back at the main causes and consequences of airline deregulation in North America. We describe how the deregulated North American airline industry has encouraged a trend toward deregulation, or at least liberalization, worldwide. We then move on to introduce the basic concept involved in airline revenue management.
1) The document discusses the International Civil Aviation Organization (ICAO), which was created in 1944 by 54 nations to ensure safe and orderly growth of international civil aviation.
2) ICAO aims to promote safety and uniform regulations through establishing international standards and recommended practices.
3) ICAO is a specialized UN agency with 191 member states that coordinates assistance and capacity building for states on issues relating to aviation safety, security, and performance.
Revenue management is the practice of maximizing revenue from a fixed inventory of airline seats. It originated in the 1970s after airline deregulation in the US. Revenue management systems deliver 3-9% additional revenue gains through analytics-based inventory control and price differentiation. They help airlines set optimal booking limits and prices to reduce unsold seats and maximize revenue based on demand forecasts. While revenue management is widely used, integration challenges remain for some airlines.
This document summarizes the contribution of the air transport industry to macroeconomic stability. It discusses how aviation contributes significantly to global GDP and employment, facilitating over 3 billion passengers and 50 million tons of freight annually. This supports over 8.7 million direct jobs and generates $606 billion for the global economy. Aviation also stimulates tourism, which contributes $2 trillion to world GDP and over 101 million jobs globally. The document then discusses the air transport industry in Pakistan, how passenger traffic has grown significantly in recent years, and projections that transit traffic in Pakistan will continue growing rapidly through 2022.
JetBlue was founded in 1999 with a mission to bring humanity back to air travel. It announced plans for live TV on all flights and had its first flight in 2000. Over the next several years it grew rapidly, adding amenities like more legroom and launching programs like TrueBlue rewards. By the mid-2000s it had over 100 planes and was offering services like in-flight WiFi not found with other US airlines. As it grew, it focused on aspects like safety, customer service and low fares to remain competitive in the mature airline industry.
- JetBlue experienced major communication failures and customer service issues during a winter storm in February 2007. Thousands of passengers were stranded on planes for hours with little information from the airline.
- This crisis damaged JetBlue's reputation for excellent customer satisfaction. However, the CEO implemented a new "Customer Bill of Rights" that established clear compensation policies for flight delays or cancellations.
- The Customer Bill of Rights helped rebuild customer trust and confidence in JetBlue. It raised industry standards of passenger treatment and demonstrated JetBlue's commitment to putting customers first even in difficult situations.
This document discusses route profitability systems and challenges in airline cost accounting. It outlines a cost hierarchy including direct, indirect, fixed and variable costs. It also discusses system dependencies and different models for route profitability analysis from traditional to advanced. The advanced model allows for multi-level profit analysis for strategic, operational and managerial decisions. It emphasizes the need for a system that reconciles to financial reports in real-time and supports activity-based costing and planning/budgeting.
The document provides an analysis of JetBlue Airlines. It discusses JetBlue's founding, competitive strategy, strengths and weaknesses. Key points include:
- JetBlue was founded in 2000 and had significant financial success in its early years, achieving profits while other airlines lost billions.
- It differentiates itself from competitors like Southwest by offering amenities like seat-back TVs and leather seats.
- JetBlue keeps costs low through efficiencies like operating a standardized fleet and selling tickets exclusively online.
- Though it faces threats from larger competitors, JetBlue has significant strengths in management, customer focus, and low costs relative to the industry.
A Term Project Submitted in Partial Fulfillment of the Requirements of 1202332 Globalization and Logistic Management Course,
Mae Fah Luang University
Second Semester, 2014
Malaysia Airlines was founded in 1947 and is based in Kuala Lumpur, Malaysia. It operates flights to over 60 destinations using a fleet of 98 aircraft that includes Airbus A330, A380 and Boeing 737 and 777 models. The airline has experienced financial difficulties in the past but underwent a successful turnaround program in 2006-2007. It has also taken delivery of new widebody aircraft like the Airbus A380 to expand its international route network.
Fly Emirates aims to be the world's best airline through excellent service. Its mission is to deliver the best in-flight experience and its vision is to make aviation safe, leading and sustainable. Emirates operates over 1,990 flights per week to 157 destinations in 55 countries from its hub in Dubai. It employs over 38,000 staff and has a large fleet of aircraft. Emirates focuses on business and first class travelers to be profitable but also serves economy passengers and uses a low-cost carrier strategy to target new markets.
This document discusses route development strategies for airlines. It outlines analyzing supply (available seats) and demand (passengers) trends on routes to forecast performance. Three outcomes are possible: converge, where passenger growth exceeds seat growth; leveling, where growth is equal; and diverge, where passenger growth lags. Monthly seasonality patterns identify peak periods. The goal is adjusting flight frequencies, aircraft size, or other factors to achieve the annual load factor target based on supply-demand analyses. Examples of route analyses between various city pairs are also presented.
This virtual simulation program was developed to help airline management teams understand competitive market dynamics and improve problem solving and decision-making skills.
Find out more at: http://www.iata.org/airline-business-simulation
This document discusses various aspects of airport management including lessons learned, maintenance, repair and overhaul (MRO), air traffic control (ATC), and the concerns of an airport manager. It covers terminal operations, airport access, the role of MRO, how ATC works and the systems that assist them. As an airport manager, concerns include the terminal area, landside operations, and airside facilities. Effective management of airport facilities is vital for safety and efficiency.
The document discusses market segmentation considerations for the airline industry. It identifies different types of air travelers including business travelers, independent leisure travelers, package tour travelers, and last-minute deal seekers. It also discusses profiling consumer segments using demographics, socioeconomics, and psychographics, as well as organizational segments. An effective segmentation approach combines descriptive characteristics with behavioral considerations like purpose of travel and predicted customer loyalty.
Jet Blue Airway: Case Analysis (Strategic Audit)Anna Osmanay
The presentation analyses a case of Jet Blue Airway. Jet Blue Airway is an airline company that operates in the United States. Background information about the company as well as a strategic audit of the company is presented. The strategic audit has to do with the internal and external analysis of the environment of the company.
Explains in detail what Revenue Passenger Kilometer & Yield is. There are 7 examples to illustrate the explanations. There are 2 exercises to test the reader's knowledge.
The document discusses the commercial aviation industry in the United States. It notes that commercial aviation helps drive $1.142 trillion in economic activity, $346.4 billion in earnings, and 10.2 million jobs. It also contributes $692 billion per year to US GDP, which is 5.2% of total US GDP. Additionally, there are over 40,000 daily commercial flights in the US carrying around 2 million passengers daily.
Business Proposal for Delta Airlines by Team 14marquez419
This business proposal outlines a plan for Delta Airlines to improve customer service and increase membership in its SkyMiles frequent flyer program. The proposal recommends launching a multi-year marketing campaign involving celebrity endorsements and partnerships with companies like iTunes and Beats By Dre to offer perks to SkyMiles members. This is estimated to cost $2 million over 2-5 years but improve revenue by 10% in the first year through increased ticket and membership sales. The campaign aims to reengage current members and attract new customers starting in April 2014 and running through December 2016.
Delta Airlines primarily targets business travelers with its marketing strategy. It focuses on this profitable segment by offering frequent flights, premium services like WiFi, and loyalty programs. Delta analyzes business travelers' needs for awareness, personalized service, and flight convenience. It then implements actions like advertising campaigns, quality customer service, and increased flight options to meet these needs. By targeting this price-inelastic segment, Delta gains a competitive advantage over its major competitors like United and American Airlines.
Delta Airlines aimed to target and reposition its brand for business travelers. It analyzed its strengths, weaknesses, opportunities, and threats. It found business travelers were decreasing but paid more. Delta's strategy was to increase visibility through advertising, gain a competitive edge with pricing, and differentiate through improved service like on-board offices. It lowered fares, enhanced loyalty programs, and aimed to provide quality service with a personal touch.
Delta Airlines - New Business Pitch BriefCubeyou Inc
Delta made Fortune's 2015 list of the 50 most admired companies and also landed the top slot on
Business Travel News' annual airline survey for the fourth consecutive year, an unprecedented
achievement for an airline. Wichita State University's 2015 Airline Quality Rating placed Delta in
the top three of all airlines
Indo Africa Times, a weekly newspaper has its key intend to create extensive awareness amongst people about Africa and India concerning different sectors like economy, politics, culture, fashion, sports and many more. It is our sincere endeavor to bridge the information gap between Africa and India by endowing our readers with updated and latest developments occurring in both the countries.
The document discusses three key strategy-making tasks for companies:
1. Developing a strategic vision or mission that defines the company's future direction and goals. This provides guidance and motivation.
2. Establishing specific financial and strategic objectives to measure performance and progress. These include targets for revenue, market share, costs and other metrics.
3. Crafting a strategy to achieve the objectives through actions and resource allocation. Factors like customers, technology and markets shape the strategy.
Generic align media_allairlines_16_17 (nx_powerlite) - copy (nxpowerlite copy)Sanjoy Saha Mondal
This document provides an in-flight advertising proposal for Jet Airways. It outlines several advertising options on Jet Airways flights, including inflight entertainment systems, meal tray cards, and menu branding. The inflight entertainment system reaches over 7.2 million passengers per month across Jet Airways' international fleet. Advertising options include 30-second pre-roll videos and 8-second static slides. Meal tray cards are placed on every meal tray on domestic flights to target 12 million passengers monthly. Newly introduced menu branding allows advertising on the outside of menu cards provided to premium passengers.
comparison of local website and international websitemartabakkeju
The document discusses a presentation by group A about providing access to information resources online but also mentions potential downsides. It also raises the question of whether a "click and mortar" approach combining online and physical access to information resources could be a solution, and provides a link to a blog for more information.
Local Search in a Click and Mortar WorldMatt Lacuesta
This was a presentation given on Local SEO at SearchCon 2015 in Breckenridge, CO. I discussed the Google Pigeon update along with things local marketers need to look at in terms of local search. We covered things you can do on-page, keyword research, building local links, managing citations and much more.
This document provides background information on Delta Airlines, including its history from the 1920s to present. It discusses Delta's mission, vision, values, partnerships, position, SWOT analysis, value chain, Porter's Five Forces analysis, core competencies, distinctive competencies, financial information, strategy and goals. It also analyzes Delta's operating segments, revenues, expenses, stock performance, and provides recommendations to maintain Delta's position as a leading airline.
A HEART-WARMING TALE ABOUT A COAT, AN EXCEPTIONALLY RESPONSIVE CEO AND THE FI...Huw Watkins
Phil Couchman, CEO of DHL Express UK, personally responded within 13 minutes to a customer's email complaining about a delayed package delivery. He apologized, provided delivery options to help the customer, and explained why real-time package tracking was not yet available. The customer's package arrived 30 minutes later. Research showed that Phil has a history of hands-on involvement and improving customer experience at DHL, which has led to market dominance and revenue growth. Consistently exceptional customer experiences are difficult but rewarding for companies that focus on customers and empower frontline employees.
Innovative Africa: The new face of AfricaAfrinnovator
Get it at http://afrinnovator.com/book
"‘Tech in Africa’ has come a long way in a very short time. It took less than five years for a small and fragmented group of pioneers to evolve into a sizeable pan-African community. It includes IT start-up centres, experienced computer literates, profitable start-ups, established businesses serving African and global clients and, most recently, a handful of African hardware companies." - Dr. Jasper Grosskurth (Director of Research & Strategy at Research Solutions Africa and author of Futures of Technology in Africa)
Akamai was founded in 1998 by MIT researchers to develop algorithms to improve internet performance. It focuses on content delivery and security services through a global network of servers. The document discusses Akamai's origins, the complexities of internet infrastructure it addresses, its mission to help customers manage trends in cloud, media, mobile and security, and an overview of its platform, customers, markets, and services.
Drew Dudley believes that leadership is not something reserved only for extraordinary people, but that everyone has the ability to lead. He works to help organizations and individuals discover how to lead from within themselves in order to plan to make a positive impact. Drew Dudley creates cultures of leadership through speaking to large audiences worldwide and helping organizations develop their people into leaders so they can better serve their communities.
- The document outlines the achievements and experience of an individual who served as President and CEO of a $2 billion retail and wholesale organization for 12 years. Their achievements included developing a strategic plan focused on customer relationships with board approval, and ensuring strategic directives were implemented to meet customer needs. They have extensive experience in areas such as corporate financing, IT, business strategy, marketing, and supply chain management. They also have board experience and education in business administration and as a certified public accountant.
Delta Air Lines proposes a solution to introduce music videos during flights to attract new and existing customers. The proposal would expand entertainment options on flights and increase Delta's market share. Delta has come a long way since its founding in 1928, now serving over 160 million travelers annually as one of the largest carriers in the US. While the economy and passenger safety concerns have positively impacted travel, Delta faces competition from other airlines and transportation methods. The proposal aims to create an enjoyable experience for customers and see an increase in long-term, loyal customers and revenue over the next 2-3 years.
Jeff Immelt graduated from Dartmouth with a BA in applied mathematics and Harvard with an MBA. He joined GE in 1982 and rose through the ranks, becoming CEO in 2001. As the new CEO, Immelt had to lead the company after the legendary Jack Welch and deal with the challenges of 9/11 just days into the role. However, he was able to successfully overcome these problems by continuing GE's growth, diversifying its products, and shifting the culture to prioritize customer satisfaction over performance. Immelt's educational background, leadership skills, and GE's leadership program contributed to his success as CEO.
Competitive analysis drives customer insights for Delta
The Challenge
The airline industries is highly competitive – especially online where it’s easy for travelers to quickly search for the cheapest airline tickets. Delta Airlines wanted to understand what is working most effectively and efficiently within the industry online, as well as have the ability to react and adapt swiftly are a must.
The Solution
Using Hitwise, Delta.com was able to run a competitive analysis to determine:
* Where delta.com ranks against specific competitors.
* Daily, weekly and monthly market share changes compared to its competitors.
* The impact of search and display advertising on Delta.com's market share.
The Presentation is about how airline industry has evolved and how systems in airline industry have evolved. The presentation further provided a roadmap on system evolution for airlines
This document provides information about Emirates Airlines and Lufthansa Airlines. It discusses their key details like founding year, headquarters, CEOs, websites, fleet sizes, and top destinations. It also analyzes their strengths, weaknesses, opportunities and threats. Both airlines offer various services to customers at different stages of travel like consultation through websites and apps, order taking through multiple channels, hospitality inflight, and secure billing and payment options.
The airline industry is increasingly challenged to engage guests and passengers anywhere, anytime, across any device, while maintaining brand experience and consistency. Airlines are changing from a traditional business where money was made by selling seats on a plane to a more dynamic and adaptive business, where the services are being delivered in a personalized manner. Insights into the customer’s preferences and other operational processes will allow the airline to adjust functions and maximize profitability and at the same time, offer a differentiated passenger experience. View our webcast on demand if you would like to learn more: https://vts.inxpo.com/scripts/server.nxp?LASCmd=AI:4;F:QS!10100&ShowKey=23371&AffiliateData=slideshare
The document provides an introduction to revenue management (RM), including its history, objectives, applications, and key concepts. It discusses how RM has evolved from yield management in the airline industry to be used across multiple industries. The document also outlines the business conditions that make RM most applicable and beneficial, including demand variability, production inflexibility, and data/technology infrastructure. It provides an overview of the typical components and processes involved in an RM system.
Srilankan Airline Industry - Analysing Challenges and Critical Success FactorsSaatviga Sudhahar
Srilankan Airlines faces many challenges including rising fuel costs, increased competition, and the struggling tourism industry in Sri Lanka. To address these challenges, the airline developed a business turnaround plan focusing on optimizing revenue through new routes and products, improving service delivery by enhancing training and meals, and increasing efficiency in areas like fuel usage and technology. World class airlines that have been successful, such as Singapore Airlines, Emirates, and Thai Airways, implement strategies like maintaining young fleets to reduce costs, providing superior service and amenities, strategic partnerships and alliances, leveraging technology, and investing in branding.
EasyJet aims to provide low fares and frequent flights between major European airports. It targets both business and leisure travelers. Its marketing mix focuses on keeping costs low to offer the lowest fares possible through features like punctual no-frills flights and an orange brand. EasyJet's website is its main distribution channel and advertisements can be seen all over Europe. Factors like heightened environmentalism, terrorism, and energy crises have increased airline costs, affecting pricing decisions. The competitive airline market and price-elastic demand influence EasyJet's decisions to position itself as a low-cost carrier pursuing good value pricing.
Boeing e-enabled Advantage case study and recommendations by Adheesha Dharmakeerthi, Chamith De Costa, Shyamen De Silva, Nishani Fernando, R. Pirasanth, Iresha Karunasena , Rochelle Benedict, Group B2 of Postgraduate Institute of Management(PIM) - MBA 2019 batch
This document discusses passenger experience for airlines. It outlines current challenges in the airline industry, competitive strategies adopted by airlines, and dimensions of the airline passenger lifecycle. It also provides examples of leading practices from global airlines, such as using social media for ticket reservations, mobile check-in services, customer forums for brand building, exclusive airport lounges, and innovative loyalty programs. The overall goal is to evaluate drivers of experience for airline passengers.
The document discusses using Salesforce to improve processes for aviation companies. It describes how Salesforce can emulate aviation data and relationships to create actionable records. This allows precision targeting of prospects and automation of communications. Examples provided include flight cost estimation tools, document generation and delivery, and customer surveys. Benefits outlined include improved collaboration, insights, efficiency, and customer retention. Specific aviation industries discussed include flight service providers, aircraft OEMs, and how Salesforce can simplify their complex sales cycles.
This document discusses how Salesforce can be used in the aerospace industry. It provides examples of clients that use Salesforce, including aircraft OEMs, brokers, and air ambulance providers. For OEMs, Salesforce helps streamline processes across departments like marketing, sales, engineering and more. It provides screenshots of solutions like agreement generation, database connectivity, and automated surveys. Overall, the document outlines how Salesforce eliminates departmental silos and centralizes data to improve collaboration, efficiency and insights.
Star Alliance is the world's largest airline alliance, with 28 member airlines. It was launched on May 14, 1997. Star Alliance provides over 10,000 daily flights to more than 1,172 airports in 181 countries. The alliance offers cost savings through shared facilities and staff among members. It provides benefits to travelers like lower prices, more destinations, and optimized connections between member airlines.
Star Alliance is the world's largest airline alliance, with 28 member airlines. It was launched on May 14, 1997. Star Alliance provides over 10,000 daily flights to more than 1,172 airports in 181 countries. The alliance offers cost savings through shared facilities and staff among members. It provides benefits to travelers like lower prices, more destinations, and optimized connections between member airlines. Before Star Alliance, global travel was more complex and inconvenient due to uncoordinated connections between airlines.
Star Alliance is the world's largest airline alliance, with 28 member airlines. It was launched on May 14, 1997. Star Alliance provides over 10,000 daily flights to more than 1,172 airports in 181 countries. The alliance offers cost savings through shared facilities and staff among members. It provides benefits to travelers like lower prices, more destinations, and optimized connections between member airlines.
The document discusses various systems used in airline management, including reservation systems, revenue management systems, baggage handling systems, flight communication systems, and customer relationship management (CRM) systems. It describes how these systems work and how they help airlines efficiently manage operations, pricing and revenue, maintenance, flight schedules, baggage tracking, and customer relationships. Technology plays a key role in precisely coordinating these complex airline processes.
Airport Analytics (AA+) is an enterprise analytics solution that integrates data from over 10 airport systems to provide analytics and dashboards for finance, commercial operations, infrastructure, airline marketing, ground handling, surveys, and other areas. It enables airports to optimize revenue, costs, operations, and the passenger experience through predictive analytics, forecasting, and what-if scenario modeling. AA+ has been implemented at major airports worldwide and helped optimize performance metrics.
The document discusses key concepts in operations management, including:
1) Most operations produce both goods and services, and transform inputs like materials, products, services, and information into outputs for customers.
2) Operations management is concerned with efficiently producing and delivering products and services.
3) There is variation in operations depending on factors like demand, visibility, variety, and volume. This impacts considerations like capacity, flexibility, and costs.
4) Competitive advantage can come from an operation's speed, flexibility, costs, dependability, and quality. Different operations may prioritize these dimensions differently based on their industry.
JetBlue Airlines is a low-cost airline founded in 1998 that focuses on point-to-point travel between major metropolitan areas. It uses innovative strategies like leather seats instead of cloth, personal televisions, and secondary airports to reduce costs. JetBlue faces external threats like rising fuel prices and competition from major carriers, but maintains a strong brand through high customer satisfaction. The document analyzes JetBlue's business strategies, strengths, weaknesses and recommends expanding internationally and into new domestic markets to continue its success.
The document discusses trends in mobile commerce, including consumer preferences for mobile shopping and time spent on mobile devices. It notes growing mobile commerce in the United States and Amazon's leadership in mobile retail. Key topics covered include mobile payments and wallets, growth in mobile banking and remittances, and the impact of mobile broadband and commerce on GDP and job creation. The document is a presentation on mobile commerce trends by Kartik Mehta from 2013.
Paper - Growth of mobile services, its global reach and its impact on GDPs of...Kartik Mehta
Mobile internet and the growth of mobile services is expected to have a significant impact on GDP and the lives of billions of consumers. Technological innovations have led to convergence of networks, applications, and devices. This has enabled services like communication, education, entertainment and banking to be accessed anytime, anywhere through mobile internet. While the high costs currently limit widespread adoption, economies of scale are expected to drive down prices and make mobile services more accessible globally, boosting GDP and productivity.
Mobile services and its impact on GPDs and Return on InvestmentKartik Mehta
Mobile internet and social networking are transforming society in three main ways:
1) Mobile internet access through smartphones is growing rapidly and expected to surpass fixed internet access. This is driving economic growth through increased connectivity.
2) Social networking sites like Facebook and Twitter have seen explosive growth as people increasingly share and consume content online. This is changing how individuals and communities interact.
3) The combination of mobile devices and social networking allows people to access networks and share content anywhere, anytime. This is merging social lives with mobile connectivity in fundamental ways.
The document discusses the role of business intelligence in implementing anti-money laundering compliance software according to regulations introduced by the 2001 USA PATRIOT Act. It outlines requirements for financial institutions to establish anti-money laundering programs, conduct customer due diligence and file suspicious activity reports. The objectives are to help banks integrate data across divisions to identify suspicious transactions and comply with directives to prevent money laundering and terrorist financing.
Business Intelligence Role Decision MakingKartik Mehta
The document discusses implementing a business intelligence system at Stevens Institute of Technology to better integrate and analyze student data from various departments. Administrators and faculty want to use data to answer questions about finances, admissions trends, course offerings and more. Currently, student data is scattered across different systems, making it difficult to access and use. The proposal is to create a data warehouse that consolidates all student data and makes it available through tools like Excel, reports and a web portal for improved decision making.
Business Intelligence In Financial IndustryKartik Mehta
As more and more operations of banks operations and use of banking transactions by the customer is being performed on web, the amount of data is growing exponentially. To get insights into the future Business Intelligence in Financial Industry could be the way forward.
Business Intelligence For Anti-Money LaunderingKartik Mehta
The document discusses anti-money laundering compliance software implementation following the 2001 enactment of the USA PATRIOT Act. Key points include:
- The Patriot Act delegated responsibility to FinCEN to set requirements for financial institutions to establish anti-money laundering compliance programs.
- Section 352(a) of the Patriot Act amended the Bank Secrecy Act to require financial institutions to establish anti-money laundering programs, including internal policies, a compliance officer, ongoing training, and independent audits.
- The objectives are to help businesses implement Patriot Act directives regarding information sharing about clients with suspicious activity and investigating client accounts and transactions for money laundering or terrorist funding possibilities.
Trading has changed from local to global and so have the processes from paper to Online. The result is change in process from T+3 to T+1 and real time trading and settlement of a trade.
Pushing the limits of ePRTC: 100ns holdover for 100 daysAdtran
At WSTS 2024, Alon Stern explored the topic of parametric holdover and explained how recent research findings can be implemented in real-world PNT networks to achieve 100 nanoseconds of accuracy for up to 100 days.
20 Comprehensive Checklist of Designing and Developing a WebsitePixlogix Infotech
Dive into the world of Website Designing and Developing with Pixlogix! Looking to create a stunning online presence? Look no further! Our comprehensive checklist covers everything you need to know to craft a website that stands out. From user-friendly design to seamless functionality, we've got you covered. Don't miss out on this invaluable resource! Check out our checklist now at Pixlogix and start your journey towards a captivating online presence today.
Communications Mining Series - Zero to Hero - Session 1DianaGray10
This session provides introduction to UiPath Communication Mining, importance and platform overview. You will acquire a good understand of the phases in Communication Mining as we go over the platform with you. Topics covered:
• Communication Mining Overview
• Why is it important?
• How can it help today’s business and the benefits
• Phases in Communication Mining
• Demo on Platform overview
• Q/A
GraphSummit Singapore | The Art of the Possible with Graph - Q2 2024Neo4j
Neha Bajwa, Vice President of Product Marketing, Neo4j
Join us as we explore breakthrough innovations enabled by interconnected data and AI. Discover firsthand how organizations use relationships in data to uncover contextual insights and solve our most pressing challenges – from optimizing supply chains, detecting fraud, and improving customer experiences to accelerating drug discoveries.
UiPath Test Automation using UiPath Test Suite series, part 5DianaGray10
Welcome to UiPath Test Automation using UiPath Test Suite series part 5. In this session, we will cover CI/CD with devops.
Topics covered:
CI/CD with in UiPath
End-to-end overview of CI/CD pipeline with Azure devops
Speaker:
Lyndsey Byblow, Test Suite Sales Engineer @ UiPath, Inc.
Climate Impact of Software Testing at Nordic Testing DaysKari Kakkonen
My slides at Nordic Testing Days 6.6.2024
Climate impact / sustainability of software testing discussed on the talk. ICT and testing must carry their part of global responsibility to help with the climat warming. We can minimize the carbon footprint but we can also have a carbon handprint, a positive impact on the climate. Quality characteristics can be added with sustainability, and then measured continuously. Test environments can be used less, and in smaller scale and on demand. Test techniques can be used in optimizing or minimizing number of tests. Test automation can be used to speed up testing.
For the full video of this presentation, please visit: https://www.edge-ai-vision.com/2024/06/building-and-scaling-ai-applications-with-the-nx-ai-manager-a-presentation-from-network-optix/
Robin van Emden, Senior Director of Data Science at Network Optix, presents the “Building and Scaling AI Applications with the Nx AI Manager,” tutorial at the May 2024 Embedded Vision Summit.
In this presentation, van Emden covers the basics of scaling edge AI solutions using the Nx tool kit. He emphasizes the process of developing AI models and deploying them globally. He also showcases the conversion of AI models and the creation of effective edge AI pipelines, with a focus on pre-processing, model conversion, selecting the appropriate inference engine for the target hardware and post-processing.
van Emden shows how Nx can simplify the developer’s life and facilitate a rapid transition from concept to production-ready applications.He provides valuable insights into developing scalable and efficient edge AI solutions, with a strong focus on practical implementation.
Sudheer Mechineni, Head of Application Frameworks, Standard Chartered Bank
Discover how Standard Chartered Bank harnessed the power of Neo4j to transform complex data access challenges into a dynamic, scalable graph database solution. This keynote will cover their journey from initial adoption to deploying a fully automated, enterprise-grade causal cluster, highlighting key strategies for modelling organisational changes and ensuring robust disaster recovery. Learn how these innovations have not only enhanced Standard Chartered Bank’s data infrastructure but also positioned them as pioneers in the banking sector’s adoption of graph technology.
Goodbye Windows 11: Make Way for Nitrux Linux 3.5.0!SOFTTECHHUB
As the digital landscape continually evolves, operating systems play a critical role in shaping user experiences and productivity. The launch of Nitrux Linux 3.5.0 marks a significant milestone, offering a robust alternative to traditional systems such as Windows 11. This article delves into the essence of Nitrux Linux 3.5.0, exploring its unique features, advantages, and how it stands as a compelling choice for both casual users and tech enthusiasts.
Dr. Sean Tan, Head of Data Science, Changi Airport Group
Discover how Changi Airport Group (CAG) leverages graph technologies and generative AI to revolutionize their search capabilities. This session delves into the unique search needs of CAG’s diverse passengers and customers, showcasing how graph data structures enhance the accuracy and relevance of AI-generated search results, mitigating the risk of “hallucinations” and improving the overall customer journey.
Observability Concepts EVERY Developer Should Know -- DeveloperWeek Europe.pdfPaige Cruz
Monitoring and observability aren’t traditionally found in software curriculums and many of us cobble this knowledge together from whatever vendor or ecosystem we were first introduced to and whatever is a part of your current company’s observability stack.
While the dev and ops silo continues to crumble….many organizations still relegate monitoring & observability as the purview of ops, infra and SRE teams. This is a mistake - achieving a highly observable system requires collaboration up and down the stack.
I, a former op, would like to extend an invitation to all application developers to join the observability party will share these foundational concepts to build on:
Unlocking Productivity: Leveraging the Potential of Copilot in Microsoft 365, a presentation by Christoforos Vlachos, Senior Solutions Manager – Modern Workplace, Uni Systems
Securing your Kubernetes cluster_ a step-by-step guide to success !KatiaHIMEUR1
Today, after several years of existence, an extremely active community and an ultra-dynamic ecosystem, Kubernetes has established itself as the de facto standard in container orchestration. Thanks to a wide range of managed services, it has never been so easy to set up a ready-to-use Kubernetes cluster.
However, this ease of use means that the subject of security in Kubernetes is often left for later, or even neglected. This exposes companies to significant risks.
In this talk, I'll show you step-by-step how to secure your Kubernetes cluster for greater peace of mind and reliability.
Enchancing adoption of Open Source Libraries. A case study on Albumentations.AIVladimir Iglovikov, Ph.D.
Presented by Vladimir Iglovikov:
- https://www.linkedin.com/in/iglovikov/
- https://x.com/viglovikov
- https://www.instagram.com/ternaus/
This presentation delves into the journey of Albumentations.ai, a highly successful open-source library for data augmentation.
Created out of a necessity for superior performance in Kaggle competitions, Albumentations has grown to become a widely used tool among data scientists and machine learning practitioners.
This case study covers various aspects, including:
People: The contributors and community that have supported Albumentations.
Metrics: The success indicators such as downloads, daily active users, GitHub stars, and financial contributions.
Challenges: The hurdles in monetizing open-source projects and measuring user engagement.
Development Practices: Best practices for creating, maintaining, and scaling open-source libraries, including code hygiene, CI/CD, and fast iteration.
Community Building: Strategies for making adoption easy, iterating quickly, and fostering a vibrant, engaged community.
Marketing: Both online and offline marketing tactics, focusing on real, impactful interactions and collaborations.
Mental Health: Maintaining balance and not feeling pressured by user demands.
Key insights include the importance of automation, making the adoption process seamless, and leveraging offline interactions for marketing. The presentation also emphasizes the need for continuous small improvements and building a friendly, inclusive community that contributes to the project's growth.
Vladimir Iglovikov brings his extensive experience as a Kaggle Grandmaster, ex-Staff ML Engineer at Lyft, sharing valuable lessons and practical advice for anyone looking to enhance the adoption of their open-source projects.
Explore more about Albumentations and join the community at:
GitHub: https://github.com/albumentations-team/albumentations
Website: https://albumentations.ai/
LinkedIn: https://www.linkedin.com/company/100504475
Twitter: https://x.com/albumentations
In the rapidly evolving landscape of technologies, XML continues to play a vital role in structuring, storing, and transporting data across diverse systems. The recent advancements in artificial intelligence (AI) present new methodologies for enhancing XML development workflows, introducing efficiency, automation, and intelligent capabilities. This presentation will outline the scope and perspective of utilizing AI in XML development. The potential benefits and the possible pitfalls will be highlighted, providing a balanced view of the subject.
We will explore the capabilities of AI in understanding XML markup languages and autonomously creating structured XML content. Additionally, we will examine the capacity of AI to enrich plain text with appropriate XML markup. Practical examples and methodological guidelines will be provided to elucidate how AI can be effectively prompted to interpret and generate accurate XML markup.
Further emphasis will be placed on the role of AI in developing XSLT, or schemas such as XSD and Schematron. We will address the techniques and strategies adopted to create prompts for generating code, explaining code, or refactoring the code, and the results achieved.
The discussion will extend to how AI can be used to transform XML content. In particular, the focus will be on the use of AI XPath extension functions in XSLT, Schematron, Schematron Quick Fixes, or for XML content refactoring.
The presentation aims to deliver a comprehensive overview of AI usage in XML development, providing attendees with the necessary knowledge to make informed decisions. Whether you’re at the early stages of adopting AI or considering integrating it in advanced XML development, this presentation will cover all levels of expertise.
By highlighting the potential advantages and challenges of integrating AI with XML development tools and languages, the presentation seeks to inspire thoughtful conversation around the future of XML development. We’ll not only delve into the technical aspects of AI-powered XML development but also discuss practical implications and possible future directions.
20. SA Maturity Assessment (cont’d.) LEVEL 1 Initial Process LEVEL 2 Committed Process LEVEL 3 Established process LEVEL 4 Improved Process 5 LEVEL Optimized Process
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26. Alternatives Key Process change Code Sharing Go International Brick to Click Organization & HR changes Merger, Tie up with other airlines [1] Professor S. Seshadari, IIT Professor slides on Datawarehousing. Only the diagram structure taken by Professor’s slide. The concept & content based on my understanding of Delta case. Fleet Transformation
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31. Key Processes - Cons Ticketing & Check in Cargo management Flight Arrival Departures Personnel, Food, Entertainment management Ground staff, crew, pilot, customers data management ** Above Pictures taken from Google Images
32. Key Process - Pros Online Cargo Management Online Ground staff, crew, pilot, customers data communication and management Online Ticketing & Check in management Delta Personnel, In-flight Food, Entertainment Online Ticketing & Check in management I Communication and Management over Internet Communication and Management over Phone order ** Above Pictures taken from Google Images
35. Stakeholder Role Responsibility Current Desired 1997 - 2003 Leo F. Mullin, President and CEO Be part of session Brainstorming session with CIO, and with Delta Technology team, Make Delta a better IT governed organisation Organisational change processes from Brick to Click kind of organisation Human resources changes to more Technology adaptive employees. Bring in consultant say from IBM where required. in developing systems. Bring Delta software and technology, which was outdated and facing Y2K crisis then, at par with competition like American Airlines Maybe consulting job in airline industry or retire after a long career. 1 Bob Derodes, 2 Vince Caminti, 3 Delta Technology Unit 4 IBM Consultants Implementing new processes, organisational change initiatives taken up by Leo F. Mullin. 1,2 Better processes and computer systems. 1,2 Agile systems, use of Blackberries, Laptops by staff. 1,2 Bring in consultant say from IBM where required. in developing systems. 3,4 Develop Computer systems 1,2 Outdates processes, workforce not able to adopt technology. 3. Some employees in the Delta technology unit would be affected, though unclear how many might lose their jobs. 4. IBM gains business 1,2 Organisational change processes from Brick to Click kind of organisation 3, 4 Delta technology unit and IBM aspire to Manage whole Delta systems, job security. Customers flying Delta Loyal Customers Feedback and desire for easier travel from booking to arrival at destination Buy ticket via ORBITZ, Delta websites Book tickets via Mobile, make tickets deals as done in Hotwire, Priceline.com websites. Ease in travel from ticket purchase to desination Lower fare.
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37. Next Steps # Description Assigned to Target Issues 1 Create vision and business objectives for partnerships with business providers (i.e. UPS, FedEx, Cruise Service providers) Leo Mullin Business ASAP Define limitations and constraints 2 Identify Revenue Recognition Milestones and Target new market areas Vicki Escarra Business ASAP maintain loyal customer base 3 Develop employee loyalty strategies Leo Mullin, Vince Caminti Business 3-6 months Demographics risks 4 Promote Delta's new IT Infrastructure and provide customer access via mobile devices Bob Derodes, Vince Caminti, Users Business & IT 3 -6 months Customer awareness with wireless mobile devices
38. Next Steps # Description Assigned to Target Issues 5 Create eBusiness Portfolio management committee for better eBusiness prioritization. Leo Mullin, Vicki Escarra, Vince Caminti Business /IT ASAP Assigning proper matrices 6 Initiate talk with Cruise service providers for possible partnership Vicki Escarra, Vince Caminti Business 3-6 months None
I pledge on my honor that I have not given or received any unauthorized assistance on this assignment/examination. I further pledge that I have not copied any material from a book, article, the Internet or any other source except where I have expressly cited the source. Name Signature 1. Ashley Pantaleo ___________________________ 2. Divyesh Patel ___________________________ 3. Kartik Mehta ___________________________ 4. Rachit Patel ___________________________ 5. Shirley Samtani ___________________________
Business wants IT to enable its ticket sales via online services . There are huge profits, benefits & customer satisfaction to be realized with having online ticket sales via Delta.com, Orbitz.com, MYOBtravel.com, Priceline.com Business wants IT to provide remote access to employees Business wants IT to provide flight attendants & pilots with live, real-time update schedule information Business wants IT to enable immediate transmission of schedule & flight information to customers Business wants IT to provide personal computers to employees Business wants IT to deliver agile solutions to eBusiness requests Ebusiness is a term used to describe businesses run on the Internet, or utilizing Internet technologies to improve the productivity or profitability of a business. In a more general sense, the term may be used to describe any form of electronic business —- that is to say, any business which utilizes a computer. This usage is somewhat archaic, however, and in most contexts ebusiness refers exclusively to Internet businesses.
1997 In 1997, Delta had rated low on key customer metrics in the airline industry on timely arrivals, customer complaints and baggage handling. Delta had so-called hidden assets such as its brand recognition, a large customer base and purchasing power. 2000 In 2000 Leo Martin, CEO of Delta airlines wanted to focus further on the Internet technology as it was a channel offering lower distribution costs, increased employee productivity and improved customer service. Delta airlines were the 3rd largest airline as it related to revenues & passenger miles & largest as it related to number of departures and passengers. From 1997 to 2000, delta was investing in eBusiness. Delta looked at Priceline.com as a distribution channel. Priceline.com sold Delta’s excess tickets at discounted prices to customer segment that considered ‘price’ as a factor that would determine if they traveled or not. This vision was enforced by the CFO and Leo martin was persuaded and convinced to move on this strategy. As Priceline’s stock rised, Delta banked $750 million. As Delta were the first ones to reap profits in this kind of a business model(start-ups partnering), they decided to further leverage this model by partnering with Softnet Zone (wireless services) & People PC(personal computers). This was to achieve the speed & agility of the start-up companies.
Focus on sales & distribution of tickets B2B Initiatives Although Orbitz is also an example of the B2B strategy – there was still room to grow on that area – not yet very established. B2E Initiatives This was focused around improving productivity & job satisfaction. Delta’s intranet was developed to the extent that it was a means to communicate assignments & schedules to Delta’s pilots & flight attendants. Also, free personal computers were distributed and remote access for employees was built. B2C Initiatives Travel Agents were the main distribution channel and were responsible for 85% of Delta ticket sales. By 2000, this reduced to 60% with the rest being completed via online. Delta aimed to have 50% of its ticket sales done via online by 2003. This would mean a significant cost saving for the company ($2 via online vs. $34 via TA per ticket) – approximately $20 million.
eBusiness Organization 50 employees formed the entire team; pulled into projects as needed Cross-functional phenomenon Changing internal processes to enable firm respond to faster e-business opportunities Partnership with start-up’s Using Consultants & Contractors eBusiness team would disband from projects such as MYOBtravel.com & Orbitz & transfer to functional units such as sales & distribution
Delta had TIBCO as their IT alliance partner to support business event based activities to be captured using technology. IT Infrastructure Business wanted to improve on customer experience, as a result of which old legacy systems were eliminated/rebuilt with new infrastructure – DNS – build around firm’s core processes. Firms Core Data was captured in 9 databases Location Schedule Flight Maintenance Equipment Employee Aircraft Customer Ticket Middleware used was TIBCO – All applications would access all updated & Relevant data. Prioritize – Profitability & Competitiveness Vince did ROI of Projects – Reduce Costs, Increase Revenues, Offer Valuable equity Positions This information was sent to the IB Board, where an evaluation would be done relative to other IT Projects
Lower distribution costs as part of the company’s ongoing restructuring efforts. Continue to charge customers if purchased via ticket agent or ticket booth at airlines. Those purchasing tickets via Delta website do not incur the fees. Focus on enhancing productivity and job satisfaction to create a motivating work environment where all employees are treated fairly. Effective project managers must learn to cultivate this powerful method of worker motivation to increase employee productivity. Reduce cost by promoting greater fuel efficiency and reducing flying times. Delta to retire older, less fuel efficient planes and use new planes as much as possible as a way to cut emissions per flight. Customers to earn and redeem frequent flier miles through opening and using credit cards. Give gift incentives for customers when credit card is charged over certain amount. In addition to getting free mileage they get gifts as well. Continue to provide wireless connection while in flight. Establish partnership with leaders and companies that are passionate to provide the very best experience possible. Ensure every employee under promises and over delivers to each customer to gain their trust to potentially acquire a repeat customer.
Provide millions of worldwide airline passengers each year with new business concepts and other services while in flight. Diversify and expand to encourage other companies to buy in and increase market share. Enable strategic sourcing in support of airport maintenance and provide innovative solutions to meet business needs. Delta’s e-business initiatives to support its core business driving value from it’s hidden assets. Build a promising new future on a solid foundation. Take air travel to the next level with continued excellent service in award winning Mileage Plus program, extensive international network, and premium seating. Merge with airline company to force competition to act as well.
Delta needs to develop, manage and sustain morale values among employees in order to reach a high performing organization. Delta needs to instill and create an environment where managers apply approaches for employees to have increased morale. When developing the vision and strategy the foundation should be customer and client oriented. Customer support is weak with Delta. When a problem occurs, immediate assistance is not provided to the customer. This is a major problem since you want returned customers and build a reputation as #1 airline. Without a strong customer support base, the customer will not be inclined to use the airlines for future service. Delta is facing difficulty with providing excellent customer service. Airline quality is low since flights are not departing in time, passengers are being bumped to other destinations and bags are not being delivered to their proper destination. Delta is receiving complaints that are not related to safety or security issues. These complaints are decreasing the number of passengers choosing to fly with Delta.
Increase sales and distribution of airline tickets by having Delta as one of the airline choices from all online purchases. Incentives to be distributed to customers to boost online tickets sales. The extensive worldwide destination on flights and services will be available for all online purchases to each customer. Online ticketing is cheaper and quicker and customer can readily search for products and compare prices over the Internet. Having Delta available for all online purchases would provide customer with more options to choose to fly with Delta. Rank #1 amongst competition with quality standards and customer service. Delta to be the number one choice of airline when it comes to flying passengers and cargo from anywhere to everywhere. Decrease transportation cost by 10% by using new planes that will save on fuel per flight. Every plane that departs and arrives will be on time with no delay. This will increase customer satisfaction in hopes to establish and gain repeat customers. Lower baggage complaints by increasing staff so that for every 40 baggage's an employee will be responsible and ensure it is taken to the correct destination. Ensure that there are the proper amount of employees available to be responsible for successful delivery to airplane. Hire staff to have a representative available for any questions when baggage arrives. This will increase customer service and lower baggage customer complaints significantly.
Market Penetration – Penetrate further by providing more incentives to further spread in the market. Partner with Credit Card companies to provide free ticket on line. Provide package purchases with special rates. Product Development – Bring new capabilities to existing markets – provide interactive TV on airplanes, provide transportation services, additional meal choices, a separate flight or separate section for families with babies, provide travel plan for the higher end customers, vacation plans that can be sold in combination with tickets & partnerships Market Development – Internationally spread services – so you can gain new markets Diversification – Website for different segment tapping new markets. Provide a complete new bus service. Also collaborate with other industries.
New Market Entrants: Foreign Airlines Regional Start up Airlines Substitutes: Alternate Travel Services Fast Trains Boats/Cruise Private Transportation - Business executives can purchase and use personal jet. Groupware - Improved group dynamics with use of groupware software's such as SharePoint, Blogs and Wikis allow less travel for business travelers. Customers: Personal/Business Travelers - Frequent Personal/Business travelers demand additional incentives/benefits. Travel Agents - Travel Agents may request extra commission when referring to Delta Federal Government - Federal Government may request discounted prices for Government Employees. U.S. Military - U.S. Military may force Delta to allow free transportation for Military corps and allocate several routes to overseas military base. Suppliers: Aircraft Manufacturers Labor Unions - Pilot unions enforce considerable power because there is no good alternative to a well-trained pilots. Food Service Companies Fuel Companies - There is very few fuel companies in the market so they have major stack in price of fuel. Airports - Airports can tell Delta to not use it as major hub in the market forcing to use longer routes. Local Transportation Service
Political & Legal Environment: FAA Rules Transportation Security Administration Local Airport Regulations International & Domestic Routes Regulations Complementors: (something that suppose to be good but goes wrong way) Delta.com, Priceline, Orbitz and MYOBtravel.com - Instead of focusing on different customer segments they starts competing with each other and bring ticket prices down. Technical Environment New IT Infrastructure - New Infrastructure most of times takes few years to get stable Online Ticket Sales - Downtime of online ticket sales has direct impact on revenue stream Demographic Environment Costly Employee Training - Pilot training has huge cost associated. Employee Turnover Age - Many pilots retire at early age due to health and vision are not matching government regulations. Social Environment Culture differences between travelers Delta sponsored events - Sponsoring football game may be viewed as encouraging violence for some customers Macroeconomic Environment Increasing cost of Fuel and maintained of aircraft Increasing employee wage Fluctuations between foreign currency - International traveler may buy cheaper ticket from other countries for same trip.
Strengths: Broad customer base and revenue: In terms of passengers carried (87 million in 2004), Delta is the second-largest airline in the world. In terms of total operating revenues, Delta is the fourth-largest airline in the world. Well positioned hub: The Delta’s flight network is spanned across 452 destinations in 95 countries One of nation’s top 50 corporations for multicultural businesses: In 2004, Delta was named one of the nation’s “top 50 corporations for multicultural business” by DiversityBusiness.com Delta Technology: Delta Technology, information subsidiary, won the Computerworld Smithsonian Award for technology innovation in 2000. While Leo Mullin was named by Forbes magazine as a member of “The E-Gang”, twelve executives who were forcing the web to grow up. Weaknesses: Lower fair due to high competition: With so many small and big airlines across the US, there is high competition for every route. That has significantly affected the air fairs. The airlines cut air fairs just to match its competitor for each route. Security Inconvenience: In post 9/11 era, there has been great inconveniency associated with air travel for the flyers. At many airports, the airlines required flyers to come almost 3 hours before the departure to fulfill the security requirements before boarding. Security personals even required flyers to take of shoes for checking and in few incidents suspected the infants and toddlers. Low margins: In 3rd quarter of 2005’s published report from Air Transport Association stated that cents per Available Seat Mile equaled passenger yield at 12 cents. Highly unionized employees: Delta and other industry leaders have highly unionized workers, as it was the business practice in 20th century. Opportunity: Add new routes of Mexico, Africa, South America: Atlanta, Georgia is Delta’s one of the biggest hubs. Atlanta is a gateway to non stop flights to Africa, Mexico and South America. There are no US airlines providing service to Africa, so there is a great chance that Delta can take the advantage of this situation. Add special services in flight for greater customer experience: Delta can provide various services in-flight which are not available to greatly enhance customer experience. Delta can allow flyer to pre-select his/her choice of food during the flight. It can also provide a refreshment area in the international flights for the flyers. During long fly hours, flyers in economy class generally has option to go to toilet to relax a little bit. With this refreshment area, flyer can roam around and socialize for a while. Then Delta can cooperate with its partners to minimize the stay between the halts. Let’s say, I am flying from New York to New Delhi, India and there is 4 hrs. of halt in Paris. If there is a partner flight flying from Paris to New Delhi in next hour, the Delta may be able to shift me to the partner flight and I can save 3 hours of waiting. Implement Low cost model as in SouthWest Airline: The SouthWest Airline uses its employee base most efficiently. It’s employees are working almost 20 hrs more than industry average. It doesn’t have the employee union. It completely rewards employees based on profit sharing and stock options. It greatly optimizes the airplane by flying it for almost 11 hours a day which is more than any major airline. Threats: Low fair and special airline companies: There are many small airlines who fly only in small regions. With low profile and low fair strategy, it can lure customers away from big players. Airlines such as Hooters Air, for their special services can also lure customers away from Delta. Rising fuel and Labor costs: The US Airline cost Index report published from Air Transport Association states that labor and fuel cost amount to 49% of total administrative cost. High bargaining power for travelers: Presently, the current focus of an average flyer is on low price. The internet services such as Travelocity, Expedia and Priceline have made very easy for customers to find lowest available price to fly. High rival among large players: To avoid bankruptcy, the airlines are making reactionary price adjustments where every single dollar counts. They have opened many loyalty programs to retain customers and it has greatly affected their relations. Technology Advance: Tele/video conferencing & Virtual Meetings have greatly affected the frequent fliers. More and more companies are trying to implement this technology in their strategy to reduce the travel expense.
Create Customer database : Need a database to contain information about customer profiles, booking records etc. to capture customer activities Data Analysis: Analyze database for various patterns and look for similarities on customer preferences, behavior, travel frequencies, frequency of online eBusiness sites etc. Decision about which customer to Target: Based on customer behavior determine how to engage customer. For example, if a customer visits delta.com few times in a month then send him/her monthly e-mail with special fare offers. Use different tools for targeting the customer: Segment Customers : Use different website like MYOBTravel.com, Orbitz.com, Delta.com to server different customer segments Offer free Goodies : Very loyal customer of Delta, for a long time offer goodies with delta logo. Build relationship with targeted customers: Proactive Customer Service: Offer proactive service to targeted customer. For example, in event of flight delay or cancellation call customer as soon as event is triggered. Loyalty Programs: reward customers for repeat purchasing. Offer special incentives upon site visits from frequent computers. Cross-selling: Airline ticket sales, ecommerce products, car rentals, hotel reservations, internet services, wireless services, Delta has partners in all of these areas and can sell all of these products/services Privacy issues: Make customer aware about where his/her information is being used and let customer pick in case of he/she wants to opt out. Metrics for CRM Success: CRM tools measures metrics for success of CRM. This way Delta can determine success of their current and future e-business initiatives. Also Delta can determine new product development which provide value. For example, based on data analysis if customer are interested in better personal entertainment while in flight then Delta may want to consider partner with Entertainment System Vendor and offer services to other airline companies.
The Generic Value chain analysis, is a concept that was first described and popularized by Michael Porter in his 1985 best-seller, Competitive Advantage: Creating and Sustaining Superior Performance. Value chain is a useful analysis tool as a model that helps to analyze specific activities through which firms can create value and competitive advantage. The concept has been extended beyond individual organizations. It can apply to whole supply chains and distribution networks Delta can gain “Competitive Advantage” by performing these activities more cheaply or better than its competitors. Competitive Advantage can be achieved by optimizing the value chain. This optimization can be achieved by improving the linkages between individual value chain activities or by reconfiguring the value chain.
Under Leo Mullin’s leadership enabled Delta to enter in entrepreneurial mode. Many different new initiatives were established. B2C was instituted and Delta customers could choose from a variety of online channels. Delta joined a consortium of thirty airlines working to establish a B2B exchange. B2E initiatives focused on enhancing productivity and job satisfaction of Delta employees. Delta’s intranet enable its mobile workforce and was used as a means of communication. Delta employees got free PC encouraging PC literacy and the ability to work from home. Delta saw the benefits of this as employees familiarity with computing technology increased. Delta entered alliance with Priceline. No other airline in the industry had attempted this. Priceline sold tickets to customers for whom price was the major determinant guiding their travel choices. Delta sold $250 million in tickets through Priceline in 2000. For customers who typically compared prices, Delta formed Orbitz.com with United, American Continental and Northwest. Leo Mullin also wanted to strong IT infrastructure for Delta. The firm spent hundreds of millions of dollars to tear out it old legacy system and rebuild its IT infrastructure called the Digital Nervous System was built around Delta’s core competencies. Information needed by the core businesses was captured in nine central databases and middleware built around the databases so new applications could access and update relevant data. In September 2005, Delta introduced a comprehensive restructuring plan to achieve $3 billion in annual financial improvements by the end of 2007. Therefore on September 14, 2005 Delta and its subsidiaries file voluntary petitions for reorganization under Chapter 11 of the U.S. Bankruptcy Code to address financial challenges and support ongoing efforts to become a simpler, more efficient and cost-effective airline. During the reorganization process, Delta succeeded at cutting costs and eliminated some unprofitable routes transforming the airline into a strong, financially viable company. After Delta came out of bankruptcy, there has been various talks going on with merging with another airline in order to reduce cost and minimize competition. This is favorable in short term due to increasing competitions from international airlines and increasing fuel costs.
Leo Mullin, CEO of Delta, falls into Level 4 in the Five Levels of Leadership method. Delta employees followed and respected Leo because of what he did for the company. When Mullin became CEO in 1997, Delta rated last on all three of the key customer metrics in the airline industry. Three years later, Delta was the only airline to score in the top three on all three of the customer metrics. Mullin also lead Delta in actively pursuing e-business initiatives as well as other IT initiatives. He was prepared to initiate and accept responsibility for growth by developing a purpose and seeing it through to completion. Mullin made the difficult decisions that resulted in positive long term gains. Investment in robust IT infrastructure and notion of e-business to every delta employee helped Delta to come out of Chapter 11 file about a year ahead of expected time frame.
Strategic Alignment Maturity Assessment Communications: Level 4 – Bonding & Unified Understanding of Business by IT: Level 3 – Limited IT awareness Technology upgrades correspond to new services, for example Delta has very new IT Infrastructure in house so IT may not aware of proper capabilities since there is some learning curve and they may not aware of full capabilities until its full use. The IT group uses state of art technologies into proposed services, but only after new services have been decided upon by business units. Understanding of IT by Business: Level 4 – Very good business awareness Business units are aware of functionality, the finished product Business units are involved in details behind implementation or why an upgrade is needed Inter/Intra-Organizational Learning: Level 3 – Informal Protocol Rigidity: Level 4 – Limited, relaxed Knowledge Sharing: Level 5 – Very structured process for sharing knowledge Liaison(s) Breadth/Effectiveness: Level 5 – Limited tactical knowledge Based
As –Is: Products and Services: Delta is an airline service provider for international and domestic destinations. It also provides charter services corporate clients as well. Delta uses different platforms to reserve tickets. Platforms include reservation via telephone, internet and travel agents. Customers/Clients: Delta’s list of clients include individuals, small to large corporates and other vendors. Delta also has partnered with other airlines to expand its services and vice versa. Competitors: Current competitors of Delta includes domestic and international airlines. Domestic airlines include United, US Airways and Jetblue etc. International competitors include Air India, Singapore, British and other airlines. To-Be: Products and Services: Delta has future plans to improve its technology infrastructure to offer better services to consumers. Also, this will enable them to offer services to more destinations across the globe. Delta is continuously investing in its aircrafts for its improvements. Customer/Clients: Delta’s future plans will enable them to attract new domestic and international clients using competitive rates. The company is also trying make the US Government, postal carriers such as FedEx and UPS and Army as its clients. Competitors: Airline is rapidly growing industry and Delta’s list of competitors will be increasing with the time.
As-Is Distinctive Competency - Delta Air Lines operates service to more destinations than any global airline. They offer flights to 481 destinations in 105 countries on Delta, Delta Shuttle®, the Delta Connection® carriers, and our Worldwide Partners®. Delta's employees, customers, and community partners together form a force for positive local and global change, dedicated to bettering standards of living and the environment where we and our customers live and work. Delta also participates in community affairs to aid services such as cancer research society, Hurricane fund services etc. To-Be: Distinctive Competency: Delta’s goal is to be a leader in customer service to outweigh other competitors. Also, by improving the infrastructure and reduction in operation cost they want to offer the most competitive rates to its consumers.
As-Is: Administrative: Currently Delta has one of most effective approach to operate within its business units. They recently formed an entity named E-business organization who focuses only on the opportunities to grow in that particular sector. Key Processes: At Delta, with the growing need for e-Business, the most key process is to establish and fund e-business projects. The management committee believes that the opportunities are over-whelming and there is a need for some priotaizing. Business also believes that this business is technology driven and continuous investment is extremely necessary. HR/Skills: Business division may need training for business management topics. To-Be: Administrative: The administrative structure will be the same for now and no changes will be introduced. Key Processes: In future, Delta may use various matrix approaches to priotarize the projects. HR/Skills: The firm can also appoint consultants and experts to fulfill its project management needs.
As-Is: Key Applications: Delta currently uses Proprietary applications which are based on TIBCO, Oracle, SQL2000, Windows, Unix technologies. System Competency: Delta has been using cutting edge technologies as the management firmly believes, “this is technology driven business”. Most of its processes are automated and scheduled as a nightly batch process. Governance: To-Be: Key Applications: Delta’s technology division will continue building its applications using cutting edge technologies. System Competency: Delta’s goal is to have a robust platform in place with improved management skills. Governance:
As-Is: Architecture: The information required for the firm’s core processes was captured in nine central databases and TIBCO middleware was built around the databases so that new applications could access and if appropriate relevant data. Key Processes: Delta’s key process for the IT division includes responding to crisis situation such as Y2K. Their current infrastructure is called Digital Nervous System which is built around firm’s core processes. Also, it uses “Publish and subscribe” approach where people can be notified regarding urgent situation at their own discretion. HR/Skills: Delta needs to offer more training to its employees to provide better support. To-Be: Architecture: No changes will made to its technology architecture in near future. Key Processes: With the ongoing improvement, Delta’s technology team would continuously working on enhancing the customer’s experience by providing more robust platform. HR/Skills: Delta may outsource some of non-critical technology tasks to overseas for savings in operational cost.
** Only graph of slide taken from IIT Professor S.Seshadari’s slide, inputs and details are my own understanding of working of Delta case. Details notes are attached in respective slides points. This is only an index slides and so does not have notes.
*** Above Pictures copied from Images in Google Any talk of alternatives must be done taking in mind that For the first time in its 76-year history, Delta files for Bankruptcy protection in September 2005. [1] In December 2006, Delta files a five-year reorganization plan with the bankruptcy court and rejected Tempe-based US Airways' unsolicited offer to buy Delta in a hostile bid now worth $8.4 billion. [1] Source: http://www.cbsnews.com/elements/2005/09/15/in_depth_business/timeline846841_0_main.shtml [1] On September 14, 2005, Delta filed for Chapter 11 bankruptcy protection for the first time in its 76-year history. The company cited high labor costs and record-breaking jet fuel prices as factors in its filing. At the time of the filing, Delta had $20.5 billion in debt, $10 billion of which accumulated since January 2001 [1] Source: http://www.cbsnews.com/elements/2005/09/15/in_depth_business/timeline846841_0_main.shtml Delta Air Lines files a five-year reorganization plan with the bankruptcy court that calls for it to emerge from Chapter 11 as a stand alone company. The carrier says it has rejected Tempe-based US Airways' unsolicited offer to buy Delta in a hostile bid now worth $8.4 billion. [1] Source: http://www.cbsnews.com/elements/2005/09/15/in_depth_business/timeline846841_0_main.shtml [1] http://en.wikipedia.org/wiki/Delta_airlines In era of market consolidation in wake of declining revenues and increasing operating cost, fuel cost and competition. Delta named Richard Anderson, former CEO of Northwest Airlines and executive at United Health Group, as a replacement for outgoing CEO Gerald Grinstein. On January 15, 2008, Delta Air Lines was reported to be in merger talks with Northwest Airlines and United Airlines.[52] Although each airline has declined to comment officially, many notable newspapers, as well as industry analysts, expect an announcement as early as mid-February 2008 as to which airline the Delta Board of Directors would like to pursue a merger with. Code sharing http://en.wikipedia.org/wiki/Delta_airlines Under a code sharing agreement participating airlines can present a common flight number for several reasons, including: Connecting flights - This provides clearer routing for the customer, allowing a customer to book travel from point A to C through point B under one carrier's code, instead of a customer booking from point A to B under one code, and from point B to C under another code. This is not only a superficial addition as cooperating airlines also strive to synchronize their schedules and coordinate luggage handling, which makes transfers between connecting flights less time-consuming. Flights from both airlines that fly the same route - This provides an apparent increase in the frequency of service on the route by one airline Perceived service to unserved markets - This provides a method for carriers who do not operate their own aircraft on a given route to gain exposure in the market through display of their flight numbers
Partnerships, diminishing returns and code sharing More Code Sharing with International and domestic airlines – cooperative services agreement between the major carriers to gain exposure in the market through display of their flight numbers. [1] Pros – Like Australian airline, Qantas Airways and the US's American Airlines to gain exposure in the market through display of their flight numbers like in 1990 when the trio created new business strategy. [1] Cons Tie-up with airlines that does not come at par with standards set by Delta. Possibility of losing Delta long standing customers to competition. [1] http://en.wikipedia.org/wiki/Delta_airlines Code sharing is a business term which was first originated in the airline industry in 1990 when the Australian airline, Qantas Airways and the US 's American Airlines combined services between an array of US domestic cities and Australian cities. The code share was part of a "cooperative services" agreement between the two carriers before the various airline alliances were formed. It refers to a practice where a flight operated by an airline is jointly marketed as a flight for one or more other airlines. Most major airlines today have code sharing partnerships with other airlines, and code sharing is a key feature of the major airline alliances.
Alter route structure Reducing domestic capacity by up to 20% while growing more profitable international route (special Asia, Caribbean and Europe) capacity up to 25%. Focus on emerging markets, notably five nations it dubs the BRICK countries -- Brazil, Russia, India, China, and South Korea. Pros Greater global presence and possibility of higher profits in future over international routes specially in emerging markets of BRICK nations. Cons Late entrant into the market Delta applied to serve a daily non-stop flight from Atlanta to Beijing, China starting in March, 2006, but rights were instead awarded to American Airlines operating from Chicago to Shanghai. Delta served several cities in Asia, including Hong Kong, Seoul and Bangkok, from Portland and Los Angeles, using L1011s with stops in Anchorage for refueling. The hub at Frankfurt would eventually be closed. Discontinued services have included Shreveport-Monroe and Birmingham-Jackson, Mississippi. Closure of the Dallas-Fort Worth hub, created after Braniff Airlines ceased operations in 1982, in 2005. http://en.wikipedia.org/wiki/Delta_airlines
Workers / pilots to be Train / retrenched in order to prepare company to survive in the Internet age in light of big losses and coming out of bankruptcy. Change process – Demand supply, distribution, marketing, Seat reservation like the renowned Sabre system. Strengthening Technology division and Tie – up / Acquire with Online travel websites Pros Save money from Pension benefits, job cuts, hiring younger age call centres workers Cons Face employee wrath, disatisfaction could lead to hostile takeover by a competitor like American Airlines. Source: Google www.Makemytrip.com, the leading online travel agency. Like Zuji, the leading online travel agency in the Asia Pacific region; lastminute.com, Europe’s leading online travel site SynXis Corporation, a privately-held provider of reservation management, distribution and technology services for hotels ShowTickets.com , Las Vegas-based All State Tours, Inc., a leading distributor of show tickets and tours in the entertainment capital of the world Site59, a leading online seller of last-minute merchant model air, hotel and rental car inventory. Source: http://www.cbsnews.com/elements/2005/09/15/in_depth_business/timeline846841_0_main.shtml Dec. 28, 2006 In its latest monthly operating report with a federal bankruptcy court, Delta says its loss in November was reduced to $49 million. The company lost $181 million during the same month last year. Oct. 27, 2004 Delta, pilots reach tentative agreement on pay cuts and other concessions that will save airline $1 billion a year. Around same time, Delta gets $1.1 billion in fresh financing from creditors. Sept. 8, 2004 Delta says it will cut up to 7,000 more jobs over 18-month period and shed its Dallas hub as part of a sweeping turn-around plan aimed at saving the airline. July 20, 2004 Pilots up concessions offer to airline, say they are willing to take a 23 percent pay cut. 2001 - 2003 Delta eliminates roughly 16,000 jobs, or 21 percent of its workforce compared to pre-Sept. 11 levels, by mid-2003.
Only pictures copied from Images in Google, rest concept and diagram drawn using MS Power point are my own creation. Change process – Demand supply, distribution, marketing, Seat reservation like the renowned Sabre system. Strengthening Technology division and Tie – up / Acquire with Online travel websites Source: Google www.Makemytrip.com, the leading online travel agency. Like Zuji, the leading online travel agency in the Asia Pacific region; lastminute.com, Europe’s leading online travel site SynXis Corporation, a privately-held provider of reservation management, distribution and technology services for hotels ShowTickets.com , Las Vegas-based All State Tours, Inc., a leading distributor of show tickets and tours in the entertainment capital of the world Site59, a leading online seller of last-minute merchant model air, hotel and rental car inventory.
Sources: Like American Airlines, Delta can also get computer system support from consulting companies like Sabre. Sabre Online travel system is a world leader in developing and deploying Airlines systems and solutions. From shoot off of American airlines to an independent company which the parent company and one of the popular websites – Travelocity.com American Airlines began offering customer access to its electronic reservation system, SABRE , on the CompuServe Information Service in the 1980s , under the "Eaasy SABRE" [1][2] brand name. This service was extended to America Online in the 1990s . Travelocity was created in 1996 , as a subsidiary of Sabre Holdings , itself a subsidiary of American Airlines and was run by long-time Sabre I.T. executive Terrell B. "Terry" Jones. As one of the pioneers of web-based disintermediation , Travelocity.com was the first website that allowed consumers themselves not only to access Sabre's fare and schedule information, but also to reserve, book, and purchase tickets without the help of a travel agent or broker. In addition to airfares, the site also permits consumers to book hotel rooms, rental cars, cruises and packaged vacations.
Only pictures copied from Images in Google. Change process – Demand supply, distribution, marketing, Seat reservation like the renowned Sabre system. Strengthening Technology division and Tie – up / Acquire with Online travel websites http://www.sabre-holdings.com/aboutUs/history.html Sabre through history http://en.wikipedia.org/wiki/Delta_airlines I have tried to compare the systems Delta has vis-à-vis leader in Airlines Industry solution provider Sabre. Much of Delta woes can be solved with Information systems are adopted and Business Intelligence is gained via better analytical information these systems provide and at a click of a button. Here is historical perspective of developments in Airline systems. 1992 Sabre introduces the Sabre® AirFlite™ flight scheduling system. 1994 Sabre and SNCF (French National Railroad) install the RESARAIL™ rail reservations and distribution system for the TGV network. The system is subsequently extended to the English Channel Tunnel. 1996 The Sabre Group does an IPO of 18 percent of stock. Travelocity.com launches March 12, 1996. 1998 Sabre Airline Solutions completes the largest system migration in the airline industry's history when 200 U.S. Airways systems are shut down and shifted to Sabre systems. Sabre forms a joint venture with ABACUS International to establish the SabreSonic™ passenger solution as the CRS market leader in Asia. 1999 Sabre introduces Best Fare Finder pricing, which allows travel agents to search for flights based on fare, rather than schedule. Travelocity announces it will merge with Preview Travel – the third largest online travel site at the time. 2000s 2000 Sabre spins off from AMR 100 percent. Sabre purchases GetThere, an online corporate travel booking tool. Sabre® eVoya SM Webtop is introduced as the next generation of travel agency technology tools, making it simple for Sabre Connected SM agencies to become Internet ready.
High maintenance cost, low fuel efficiency and big size not suitable for many routes. Lockheed L-1011 - for many years the workhorse of the Delta fleet. 3. On September 23, 2004, a Delta spokesperson confirmed plans to sell eight MD-11s to FedEx. The remainder MD-11s were sold to World Airways for charter use, and some were converted to freighters for UPS. Sources: http://www.centennialofflight.gov/essay/Commercial_Aviation/Dereg/Tran8.htm http://www.econlib.org/library/Enc/AirlineDeregulation.html http://www.gao.gov/archive/1999/rc99092.pdf http://www.gao.gov/archive/1999/rc99092.pdf http://www.econlib.org/library/Enc/AirlineDeregulation.html http://onlinepubs.trb.org/onlinepubs/sr/sr255/sr255toc.pdf In 1990, Delta became the first U.S. airline to operate the McDonnell Douglas MD-11 aircraft [14], leasing two from Mitsui. Delta operated 15 MD-11s. Delta's most dramatic expansion (at that time) came with its purchase of Pan Am's European routes in 1991 which included all north Atlantic routes except Miami to London and Paris, and the Frankfurt, Germany hub, after Pan Am declared bankruptcy. The purchase gave Delta the largest transatlantic route network, a fleet of 21 Airbus A310 aircraft, and the Worldport (Terminal 3) at JFK. Due to these acquisitions, Delta became and remains today the largest U.S. transatlantic carrier, in terms of passengers carried and number of flights operated. Delta also acquired Pan Am's northeastern shuttle, inheriting of a number of Boeing 727s, and forming what is today Delta Shuttle. In 1991, as one of the conditions for Delta's financial support of Pan Am, Delta had the rights to use the Pan Am name on flights across the Atlantic. Delta obtained all of Pan Am's remaining transatlantic rights, except Miami to Paris and London, in November, 1991, including the route from Detroit to London, despite Northwest Airlines' objections. It was an unusual route for Delta given its small presence in Detroit, and Northwest's correspondingly larger operations.[15] Northwest later attempted to buy US Air's (now US Airways) Baltimore-London route for $5 million and transfer the route to Detroit[16] but ended up buying the route from Delta in 1995[17] for a rumored $32 million. The naming right was never exercised even though the Pan Am name was a much more widely recognized name in Europe than Delta. Within weeks after the route and asset transfers were complete, Delta ended its financial support, leading to Pan Am ceasing operations on December 4, 1991.[18]
Stakeholders include all those involved or affected by the project Most of the source for this has been website: Source: http://www.cbsnews.com/elements/2005/09/15/in_depth_business/timeline846841_0_main.shtml 1997 - 2003 Leo F. Mullin, President and CEO Be part of session Brainstorming session with CIO, and with Delta Technology team, Make Delta a better IT governed organisation Organisational change processes from Brick to Click kind of organisation Human resources changes to more Technology adaptive employees. Bring in consultant say from IBM where required. in developing systems. Bring Delta software and technology, which was outdated and facing Y2K crisis then, at par with competition like American Airlines Maybe consulting job in airline industry or retire after a long career. 1 Bob Derodes, 2 Vince Caminti, 3 Delta Technology Unit 4 IBM Consultants Implementing new processes, organisational change initiatives taken up by Leo F. Mullin. 1,2 Better processes and computer systems. 1,2 Agile systems, use of Blackberries, Laptops by staff. 1,2 Bring in consultant say from IBM where required. in developing systems. 3,4 Develop Computer systems 1,2 Outdates processes, workforce not able to adopt technology. 3. Some employees in the Delta technology unit would be affected, though unclear how many might lose their jobs. 4. IBM gains business 1,2 Organisational change processes from Brick to Click kind of organisation 3, 4 Delta technology unit and IBM aspire to Manage whole Delta systems, job security. Customers flying Delta - Loyal Customers - Feedback and desire for easier travel from booking to arrival at destination - Buy ticket via ORBITZ, Delta websites Book tickets via Mobile, make tickets deals as done in Hotwire, Priceline.com websites. Ease in travel from ticket purchase to destination Lower fare. 1. Who. Name & Tile : 1997 - 2003, Leo F. Mullin, President and CEO 2. Role in the project Negotiator with Delta workers, Pilots, Grounds staff, Creditors, US Airways Management, Bankruptcy Court. 3. What his/her must accomplish a. Keep Delta surviving and running after Sept. 11, 2001 Terrorist attacks brought company to its knees. 2001 - 2003 b. Negotiate with Delta workers before deciding 22 percent pay cut for pilots & eliminating nearly 16,000 jobs, or 21 percent of its workforce compared to pre-Sept. 11 levels., by mid-2003. c. Use IBM rather than its own employees to maintain its computer systems 4. Current Presently what he/she is doing. a. 2001 - Bring Delta software and technology, which was outdated and facing Y2K crisis then, at par with competition like American Airlines who had introduced websites like Travelocity in 1996 and changed their processes using SABRE software systems and were starting to succeed in transforming organization using IT. 5. What he/she will be doing after the project: Maybe consulting job in airline industry or retire after a long career. Source: http://www.cbsnews.com/elements/2005/09/15/in_depth_business/timeline846841_0_main.shtml Who. Name & Tile: 2001-2003- Delta workers Role in the project: Negotiating between Delta workers, Union and Delta Management What his/her must accomplish: Negotiating with Delta Management and minimizing Job elimination be it Ground Staff duty, Cargo, Customer Front Desk, Pilots, Engineers, Lineman, Support duty staff by mid-2003 Presently what he/she is doing: Ground Staff duty, Cargo, Customer Front Desk, Pilots, Engineers, Lineman, Support staff. What he/she will be doing after the project: Their job be save and not face elimination. Source: http://www.cbsnews.com/elements/2005/09/15/in_depth_business/timeline846841_0_main.shtml Who. Name & Title: Delta Technology Unit, 2. IBM Consultants for Computer system management Role in the project: Implementing new processes, initiatives taken up by Leo F. Mullin. What his/her must accomplish: Top management Use IBM rather than its own employees to maintain its computer systems. Delta Technology manage part of Computer systems, part to be managed by IBM consultants. Presently what he/she is doing: 1. Some employees in the Delta technology unit would be affected, though unclear how many might lose their jobs. 2. IBM gains business What he/she will be doing after the project: Delta technology unit and IBM aspire to Manage whole Delta systems, job security. Source: http://www.cbsnews.com/elements/2005/09/15/in_depth_business/timeline846841_0_main.shtml Who. Name & Title: 2004 Gerald Grinstein CEO Role in the project: Negotiator with Delta workers, Pilots, Grounds staff, Creditors, US Airways Management, Bankruptcy Court. What his/her must accomplish 1. Negotiate with Delta workers before deciding cut up to 7,000 more jobs over 18-month period and shed its Dallas hub. 2. Negotiate which company Delta should tie-up after Tempe-based US Airways' unsolicited offer to buy Delta in a hostile bid now worth $8.4 billion. Presently what he/she is doing. 1. Implement Delta filing for bankruptcy 2. Implement transformation plan, which includes cutting annual costs by $5 billion by the end of 2006. 3. Implement Delta five-year reorganization plan with the bankruptcy court. and rejected.[1] 4. Manage delta emergence from bankruptcy protection as an independent carrier after reorganization What he/she will be doing after the project Retire after a long career. Who. Name & Tile: Dec 2006 Delta Air Lines' pilots union, Pilots Union Role in the project: Flying planes, travel management with ground staff. What his/her must accomplish: Support the with Delta Management in their move to oppose takeover by American Airlines even if it required pay cut for pilots Presently what he/she is doing: Opposition rally to show its opposition to U-S Airways' hostile takeover bid. What he/she will be doing after the project: Fly planes, maybe get IT training.
Recommendations: With Delta’s increased agility in expanding market areas with robust technology, they have the opportunity to expand their international travel services into emerging markets and customer segments. As per To attract more international customers they can use localized flavor of services during flight. For example during flight travel from China to US, All personals in the flight may wear traditional Chinese clothes and offer Chinese food as alternative. International air travel from US is expected to grow at the rate of 33% within next 5 year as per US department of commerce. Reference: http://tinet.ita.doc.gov/ Delta can leverage unused cargo area of passenger services for transportation of shipping goods from UPS, DHL and FedEx. This service can be prime fit since Delta uses hub and spoke model for their airline trips. Moreover, growth in ecommerce industry caused constant increase in shipping goods in last decade. Delta can merge with major competitor which will allow them to gain a great competitive advantage against the other competitors with reduction in cost. Similarly Delta can acquire small competitor to gain specific demographic market share. This strategy is very helpful in current time of increasing resource costs and thinning profit margins. By creating partnerships with various cruise companies, Delta can offer discounted traveling of their passengers in prospective cities. Create new revenue model via leveraging recently renewed event based IT infrastructure "Digital Nervous System". Delta can offer IT services using their flexible IT infrastructure to other airlines. Delta can also use IT infrastructure to integrate with FAA and airport security and share customer information minimizing customer security check at airports. Customer security checkpoints are major hurdle for airline customers so introducing integrated environment would increase customer loyalty.
CEO Leo Mullin will be responsible to create vision and business objectives for partnerships with Cargo business providers for possibility of getting business from them. However defining weight limitations and possibility of safety regulations may be an issue with further progress in this direction. Vicki Escarra will be responsible for identifying revenue recognition milestones and leverage existing resources to target new market areas . However customer service are may get impacted due to resources are allocated to pursue new business and may impact on Delta’s loyal customer base. Within 3-6 months Leo Mullin and Vince Caminti need to come up with various strategies with improving existing employee experience at Delta. CIO Bob Derodes will work with business partners to promote Delta’s new IT Infrastructure in an airline industry, at the same time they would need to provide interface for customers so they can check schedules, book ticket online using mobile devices available in market. Right now there is very small customer base who would utilize this feature, however Delta can be very ahead of offering such services in marketplace. Not only that most of users are expected to be business executives who are also loyal to Delta.
Leo Mullin will need to work with business and IT executives to form a eBusiness projects portfolio committee and come up with a prioritized list of eBusiness initiatives. Since it is relatively new area in Airline industry it would be hard to assign matrices. Vicki and Vince will work together to start talk with various US and Europe based cruise services to transport their passengers to starting point of cruise. Also travel via Delta can be a part of package offered from Cruise companies. Since most of these cities are already covered by Delta they don’t see any major issue with this imitative.
Table of Contents Abstract____________________________________________________2 Company Background__________________________________________3 Objectives__________________________________________________7 Major Opportunities_________________________________________8 Major Problems______________________________________________9 Goals______________________________________________________10 Ansoff Matrix______________________________________________11 Porter's Five Forces_______________________________________12 Porter's Additional Forces_________________________________13 Super SWOT_________________________________________________14 Methods____________________________________________________15 Customer Relationship Management______________________15 Generic Value Chain___________________________________16 Business Planning Model_______________________________17 5 Level of Leadership_________________________________18 Strategic Alignment Maturity Summary_______________________19 Business Strategy__________________________________________21 Business Infrastructure____________________________________23 IT Strategy________________________________________________24 IT Infrastructure__________________________________________25 Alternatives_______________________________________________26 Stakeholders_______________________________________________35 Recommendations____________________________________________36 Next Steps_________________________________________________37 Appendix___________________________________________________41 References_________________________________________________42
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