0% found this document useful (0 votes)
173 views18 pages

Emirates Airline Report

The document outlines Emirates Airline's operations, strategic objectives, and performance measurement metrics, emphasizing its commitment to innovation, customer experience, and operational excellence. It details the airline's approach to integrating technology and enhancing service delivery while analyzing key performance indicators (KPIs) for growth and efficiency. Additionally, it includes a simulation model to assess and improve the boarding process at airports, aiming to reduce delays and enhance customer satisfaction.

Uploaded by

Areeba Malik
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
173 views18 pages

Emirates Airline Report

The document outlines Emirates Airline's operations, strategic objectives, and performance measurement metrics, emphasizing its commitment to innovation, customer experience, and operational excellence. It details the airline's approach to integrating technology and enhancing service delivery while analyzing key performance indicators (KPIs) for growth and efficiency. Additionally, it includes a simulation model to assess and improve the boarding process at airports, aiming to reduce delays and enhance customer satisfaction.

Uploaded by

Areeba Malik
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
You are on page 1/ 18

2024

Emirates Airline
Airline operations and sceduling
Student name:
Contents
Introduction......................................................................................................................................2

Strategy Map....................................................................................................................................2

Strategic Objectives:....................................................................................................................3

Integrated Performance Measurement.............................................................................................5

KPI...................................................................................................................................................5

Lagging Indicators.......................................................................................................................5

Leading Indicators.......................................................................................................................6

Analysis of KPI................................................................................................................................6

SECTION TWO: SIMULATION....................................................................................................9

The simulation problem...............................................................................................................9

Aim/Objective..............................................................................................................................9

KPI.................................................................................................................................................10

Assumptions..................................................................................................................................10

Simulation Scenarios.....................................................................................................................11

Flowchart Analysis....................................................................................................................12

As if...........................................................................................................................................13

What if.......................................................................................................................................14

What if II....................................................................................................................................15

Conclusions....................................................................................................................................16

Recommendations..........................................................................................................................16

References......................................................................................................................................17
Introduction
Emirates Group which is owned by the government and based in Dubai. This airline flies to more
than 140 locations on six continents with over 3,600 weekly departures. Globally, Emirates
Airlines ranks fourth in terms of revenue passengers per kilometer flown. Compared to other
airlines, it carries more passengers worldwide.

Emirates, a first-class airline renowned for its exceptional service, is the primary subject of this
case. The government of Dubai owns 100% of the Emirates, which has enabled the company to
grow and expand internationally consistently.

Passengers typically must go through the boarding process when they leave an airport. Although
the boarding process for 40 passengers will be the focus of this study, it can become more
intricate as the operation grows in scope. Their characteristics are identical, and they travel in the
same class.

Strategy Map
A strategy map can visually represent a management team's or organization's strategic objectives.

Due to strategic considerations, Emirates does not participate in global airline alliances. To avoid
being too reliant on its alliance partners, the airline builds its competitive edge by establishing
itself as an independent player in the market. Using a differentiation approach and offering first-
rate luxury services to elite customers and the public, the firm has maintained its position as
market leader.

The company stands out in the market by investing in airports and other services and cultivating
tight relationships with aircraft suppliers like Boeing. Its primary focus is on constructing high-
quality infrastructure.

Due to the company's high efficacy in production planning, inventory management, and order
fulfilment, operational uncertainty is managed, and performance can be easily tracked.
Additionally, they have a competitive advantage because of their dedication to product
innovation, which they pursue relentlessly. As part of its "Open Sky Strategy" to promote healthy
competition.
Strategic Objectives:
 Generate Growth Through Innovation.
Emirates has a long history of being a technological trailblazer. They have invested much
money into R&D so customers can have a state-of-the-art experience when flying with
them. Emirates has pioneered new air travel technologies, such as in-flight Wi-Fi, live
television, and a messaging system.
Data is becoming an integral part of Emirates Group's business operations, and the
company is wisely using technology to make data-led decisions. To accomplish these
goals, Emirates has been investigating cutting-edge concepts and technology, including
machine learning, artificial intelligence, and predictive analytics. AIOps is a way to
automate business operations, find problems early, and fix them quickly to save time and
improve service quality.
 Enhance Customer Experience
The instant an Emirates passenger boards the plane, it becomes apparent that this is no
ordinary flight. Most of the billion dollars went toward replacing the flooring and chairs
in the cabins as part of the company's recent effort to enhance the in-flight experience.
Creating a first-rate experience is Emirates' primary priority. In a radically different
direction than other airlines, it invests in ways to make passengers' flights easier and
more pleasant.
Airline cuisine is one of the most prominent examples of how Emirates works to improve
the customer experience by addressing long-standing complaints about flying. Emirates'
in-flight menus were recently modified. As effective as a customer experience plan may
be, it all comes down to the frontline employees. The guiding principles of Excellence,
Attentiveness, Innovation, and Passion enable Emirates' cabin crew and workers to
provide world-famous customer service.
 Create Operational Excellence
The substantial investments made by Emirates in its cabin décor and menus are readily
apparent, but what truly resonates with customers are the intricate nuances. Because
Emirates pays attention to every detail, customers get all the necessary information. The
deliberate decision to provide all vital services to our consumers via a single app is a
fundamental "design" differentiator between the Emirates app and other top airline
applications. The Emirates app consolidates all of the functions other airlines provide in
their own apps—booking flights, viewing in-flight entertainment content before the
flight, and accessing frequent flyer account information—into one seamless experience,
which we can only hope is enjoyable. Even though it started little, Emirates Airlines has
gone a long way. The airline has risen to the top of the aviation business thanks to its
dedication to innovation, customer pleasure, and comfort. It appears that Emirates will
continue to be valued by passengers for many years to come as it strives for excellence.
In keeping with its objective, Emirate Airlines is devoted to providing excellent customer
service. Among airlines worldwide, this one aspires to be first-rate. The airline is
committed to its objective and regularly updates its planes with new features and
products. Emirates has succeeded largely due to its inventive and imaginative problem-
solving and opportunity-seizing strategies. Doing what seems right and leaving what
doesn't quite fit is important to Emirates.
Since an organization's success depends on attention to the smallest details, Emirates is
missing the forest for the trees by failing to take a bird's-eye view of the situation.
Emirates has not relied on the industry's conventional business skills but rather has
succeeded by navigating non-traditional management tactics. The success of Emirates is a
result of a combination of factors, including a master plan that is both ambitious and
visionary, an exceptional geographic position and good management.
Integrated Performance Measurement
An organization's ability to analyze performance in real time and gain insights for enterprise-
wide choices can be greatly enhanced with integrated performance management.

Dimension of Performance Types of Measure


Results Competitiveness Market Share
Lagging Sales Growth
Indicators
Financial Performance Revenue Growth Rate
Profit Margin

Determinant Innovation Performance of the innovation process


s Performance of growth through innovations
Leading Fleet Modernization Environmental Performance
Indicators Age of Aircraft
Technical Specifications
Marketing and Branding Website Traffic and Engagement

KPI

Lagging Indicators
1. Compared to the previous year, how much did Emirates' sales grow?
2. How much money did Emirates make in the most recent fiscal quarter?
3. At what point in time did Emirates become the market leader?
4. Has Emirates' market share grown or shrunk in the past six months compared to its
rivals?
5. Share about Emirates' profit margin and how it stacks against its goal?
6. Has Emirates' profitability decreased in the last year, and if so, why?

Leading Indicators
7. How well did Emirates integrate new technologies into its service delivery and
operational processes?
8. To what extent did the Emirate's most recent product or service launches contribute to
the company's bottom line?
9. How old are Emirates planes on average, and how does that number compare to others in
the industry?
10. Compared to competing aircraft, how do the technological specs of the Emirates model
excel?
11. How has Emirates' online traffic changed over the last six months, and is this pattern
related to the company's new marketing approaches?
12. How long do Emirates website visitors typically spend on the site, and how does that
number compare to industry standards?

Using these key performance indicators, emirates will be able to gauge its competitiveness,
market share, financial health, innovation capabilities, fleet initiatives, marketing and branding
strategy efficacy, and the results of its modernization efforts.

Analysis of KPI
1. Has Emirates' market share grown or shrunk in the past six months compared to its
rivals?

Today, the Emirates Group revealed its most impressive financial performance for the past six
months. Breaking last year's record of AED 4.2 billion, the Group's net profit for the first half of
2023–24 was AED 10.1 billion, an increase of 138%.

Additionally, the Group's EBITDA was 20.6 billion AED, up from 15.3 billion AED in the
previous quarter, demonstrating its robust operational profitability.

Group revenue increased 20% to AED 67.3 billion in the first half of 2023–24 compared to the
same period in the previous year. The global demand for air travel has been steadily increasing
since the last pandemic, and travel restrictions were abolished, pushing the market to this point.

With a good cash position of 42.7 billion AED as of 30 September 2023, up from 42.5 billion
AED as of 31 March 2023, the Group finished the first half year of 2023-24. The Group has
drawn on its substantial cash reserves to meet operational expenses, such as debt payments.
2. How well did Emirates integrate new technologies into its service delivery and
operational processes?
To improve operational efficiency and service offerings, Emirates is embracing several
emerging technologies. These include artificial intelligence, big data, cloud computing,
robotic process automation, and alternate reality. Several innovations implemented by
Emirates Airlines throughout the years have contributed to the company's increased
profitability by making the airline more efficient and providing better value to customers.
Installing TV systems in all seats of all classes of Emirates Airlines aircraft in 1992 was
the first technological breakthrough the airline implemented. The next year, Emirates
Airlines made history again by enabling in-flight communications.
Emirates is leading the pack in using digital transformation to improve customer
experience. Regarding baggage management at Dubai Airport, Emirates uses Beacons to
boost operational efficiency and customer experience while locating bags.
Regarding operations, Emirates is testing beacons to monitor life jackets' condition
without physically inspecting them. The demand for flights is highly dependent on the
seasons, going through sharp ups and downs. With the help of adaptable cloud computing
platforms, Emirates rapidly increased its infrastructure and maintained a constant level of
service for its customers. Innovations like home check-in exist only to enhance the
standard of customer service. Customers in Dubai and the rest of the Emirate could take
advantage of the new Home Check-in service in April 2018 by checking their bags online
and collecting them from their homes or hotels.
3. How long do Emirates website visitors typically spend on the site, and how does that
number compare to industry standards?
By informing viewers of the vast array of Emirates' destinations, we were able to pique
their interest, increase traffic to our channels, and highlight the brand's human side—its
employees' genuine enthusiasm for travel. It was for this reason that they pioneered a
content marketing strategy. To encourage more people to travel and share the experiences
of their employees, Emirates collaborated with TINT. A company like Emirates can
create a chain reaction with customer-generated material by openly showcasing the
employee experience on social media.
The company's emphasis on training and development is a strategic decision that will
undoubtedly aid in the company's ability to stay up to date with technological
developments and nurture innovation and technical prowess. The corporation showcases
its wares at trade shows and conventions like the International Conventions and Expos to
reach its target demographics. Advertising the airline's First-Class service is one of its
most visible social media campaigns. Emirates flew a popular YouTuber from Dubai to
New York in First Class.
An Emirates customer recently upgraded his flight, thanks to a YouTuber. He took time
out of his hectic schedule to film his impressions on the new cabin, which left him
speechless. More than 38 million people have seen his video.
SECTION TWO: SIMULATION

The simulation problem


This section discusses the report's results for measuring certain performance indicators and the
simulation model developed for a specific airline service operation. The following provides a
model of an airport check-in area. The objective is to identify the impact of various increases in
efficiency in serving customers at the check-in. The Excel file, also located in the same folder, is
used as a basis when passengers arrive at the boarding gate.

The airport is facing a challenge in its quest to minimize boarding delays, which requires it to
optimize the flow of operations. Passengers will face four lines on their way to their seats: the
one at the gate, the one at the seats, the one in the aisles, and the one at the overhead bins.

The primary goal of the airport is to enhance the boarding process by decreasing the number of
interruptions that occur in the plane and the amount of time passengers must wait in line at the
gate.

Aim/Objective
The aims of this simulation encompass the following:

• To analyze the airline boarding process

• To construct a flow chart illustrating the process

• To formulate the business and simulation model

• To execute "As-Is" and two "What-lf" scenarios

• To compare the data before and after the proposed enhancements

The tools employed for this purpose encompass tabular forms, scenarios, SIMUL8, graphs, and
figures.
KPI
The simulation is executed to assess how well this division is doing its job. One of the most
critical elements influencing customer satisfaction in airline offices, like in any service company,
is when consumers are asked to wait in line to receive the required service.

The following KPls will be monitored throughout the simulation:

• The average waiting time at the gate desk

• The average waiting time at the seating interference queue

• The average waiting time at the aisle interference queue

• The average waiting time at the overhead bin interference queue

• The overall average simulation time

Assumptions
The simulation covers one day of check-in processes. Assuming constant resources and steady
arrival of clients, check-in is considered to operate for twelve hours. It is feasible to include
suggested check-in times and tie passenger arrivals to flight schedules in a more intricate model.
For the sake of argument, let's say that two hours before the day ends, customers will cease
arriving.

Various possibilities are considered. The model depicts eight distinct kinds of customers. The
average check-in time and percentage of customers for each customer type are different. The
model estimates the daily passenger arrival rate by considering the number of flights and the
number of customers on each route. The check-in desks are twelve and manned.

The second case study examines the effect of a minor process change on client wait times. To
mimic more efficient staffing, the enhancement consists of a 15-second drop-in service time for
every client.
Above table is a breakdown of average waiting time distributed across the five departments that
make up the Checkout Office.
This DUMMY THING is useful for organizing tasks in the checkout department. The simulation
shows that each activity inside the checkout office is represented separately, even though there is
a team needed to do all of them; this is because the time and tolerance level for customers
waiting in line for different operations can vary.

Simulation Scenarios
System Entities Attributes Activities Event Variable
Operations of Passengers Confirmation Walk to gate Arrival of Average
Airports of Booking Walk through flight waiting
Passport bridge Departure time
Boarding Pass Enter in of flight Average
Ticket Number aircraft boarding
Search for seat time
Length of
queue
Resources Gate checks Boarding Busy Hours of
Terminal Checking of Idle working
Gate Desks Documents
Aircraft Guidance to
terminal
Assistance in
airport
Flowchart Analysis

Please refer to the accompanying flowchart for a simplified representation of the boarding
procedure. The reasoning behind it is simple to understand, even though it initially appears
complicated. Upon arrival at the boarding gate, passengers are asked to stand in line until the
gate agent checks their documents. They must wait longer in line if the gate is not summoned.
They must present the boarding pass to the gate agent for inspection at the requested time.
Passengers must remain at the gate while the agent verifies their passes. Additional waiting may
be involved if the check is still not finished. Before boarding the plane, they must cross the air
bridge once the inspection is complete. They must wait if there is a line at the plane's entrance.
They must go to their designated row when it is their turn to tum.

Further exploration of the aircraft may be necessary if the passenger needs help to reach his
designated row. When the traveler reaches their assigned row, they must place their bags in the
overhead compartment. They will have to look around further until they locate a spot for the bags
if they still need to put them. They should sit down once they've located the spot. Everyone must
sit up and make room for other passengers if they are in the way. He is free to stay sitting once
all the passengers have disembarked and the path is clear. When the cabin crew has checked that
all passengers are seated properly and their bags are in the overhead compartments, boarding can
proceed. Once everyone has taken a seat, the announcement "Boarding Completed" can be made.

As if
Below is a figure that shows the simulation's "As-ls" model. The following components make up
the Airport System: the *Passengers Arrive* starting point, the *Gate Desk 1* queue, the *Gate
Agent 1* activity at the *Gate Desk 1, the *Air Bridge* that passengers must cross, and the
*Seat Interference, Aisle Interference, and Overhead Bin Interference* queues, each with its
resource. Finally, there's the halting point called Seated Passengers. The simulation ends when
there are forty seated passengers.
What if
It is immediately apparent that the "As-Is" scenario's bottleneck locations are the Aisle
Interference and the Gate Agent. Wait times are tolerable in most circumstances. However, the
total simulation time was 84 minutes, which could be better considering that 40 people must wait
nearly 1.5 hours to board. Hypothetical "WHAT-IF" Situation To alleviate the first scenario's
bottleneck, we tried adding another Gate Agent entity in the second scenario, which we called
the "What-lf" scenario.

The only significant changes from the original model are the addition of a second gate desk
activity, a second gate desk queue, and a second gate agent resource. Furthermore, the document
check durations have been cut from two to four minutes to one to two per passenger. We did this
so the Gate Agents could process more people faster. The following figures have been derived
after approving these modifications. The modifications can be illustrated by comparing the
"What-if" figures to the "As-Is" ones.
People now wait 11 minutes less at the gate thanks to the plan to build a second desk and shorten
processing times, but the bottleneck has shifted inside the plane. There's a simple reason why all
the other queue times have increased. The Air Bridge is overcrowded, which causes passengers
to wait longer in line at each security checkpoint. This bottleneck is addressed in the next what-if
technique, which is in the following section. The total simulation time has been reduced by 5
minutes, nonetheless, since all the interferences' wait times have grown.

What if II

"What-If 2" scenario, an additional air bridge is suggested to be opened so that passengers can
approach the aircraft more easily from two different locations. Another suggestion is to have two
flight attendants on board to assist helicopter passengers in finding their seats and stowing their
bags in the overhead compartment.

Furthermore, the "What-If 2" model restores the Gate Agent papers check timings to the baseline
2-4 minutes/passenger, in contrast to the "What-lf" model. In addition, the two cabin crew
members were instrumental in reducing the durations of Seating Interference, Aisle Interference,
and Overhead Bin Interference. These alterations might be maintained because a second air
bridge would allow passengers to arrive from two points, cutting interference times in half.
Another issue is the assistance provided by the cabin crew while in flight.

Several wait durations, such as the one for gate agents and the overall simulation time, have been
cut in half, as shown in the figures above. Given the circumstances, it is the best way to optimize
the boarding procedure. The outcomes are self-explanatory, even though "What-If 2" is the most
expensive option.
Conclusions
It is clear from the two simulation runs that other performance metrics will have to be sacrificed
to achieve the required performance outcomes.

Based on these two examples, it's clear that adding staff to the boarding time will boost
productivity (i.e., fewer customers getting out of line once their tolerance for waiting time is
met). Although the data show an increase in the number of customers handled and a decrease in
the number of customers who left the queue, the utilization rate of each employee decreases. So,
managers must decide how to maximize the use of corporate resources while simultaneously
growing the number of clients serviced. The trade-off here is between customer satisfaction
levels and the company's utilization rate of its resources. Therefore, such crucial decisions should
be taken meticulously to avoid customer unhappiness due to the low number of clients handled.

Since waiting in line is a major element in deciding customer satisfaction and the company's
reputation, particularly in financial services, I suggest hiring more people despite the lower
utilization rate. There may be some short-term pain from making this choice, but it might boost
customer retention and bring in more business in the long run. Another potential avenue for
further investigation is establishing a time-sensitive office only open during busy periods. This
would reduce the likelihood that customers will leave the queue during lunchtime, for example,
when the office expects the highest volume of customers.

Also, it would be worth looking into ways to train employees to be more productive while
minimizing the average time to complete the activity. But in the process of doing so, keep in
mind that staff satisfaction levels impact both customer happiness and the organization's
productivity, so it's crucial to avoid overloading workers.

Recommendations
Changes in procedure, even seemingly little ones, can significantly impact client wait times, as
seen in the example simulation of an airport check-in line. The model's output strongly supports
enhancing the check-in procedures, no matter how little. Improved segmentation of client
arrivals by flight time, capacity, and final destination (suggested check-in times) is possible with
more work in the model. Other parts of the airport, such as customs and security, might be
modeled using the same methods.

References
Cui, S., & Li, Z. (2022). Airlines Benchmarking Analysis based on Financial Performance-
Emirates, Southwest Airlines, Singapore Airlines and Lufthansa. Academic Journal of Business
& Management, 4(2), 1-9.

Mimović, P., Budimčević, K., & Marcikić-Horvat, A. (2022). Dynamic model of performance
measurement of middle east airlines. Teme, 087-111.

Kucsera, E. (2021). The importance of environmental impacts in the marketing policy of


Emirates, Etihad and Qatar Airways. Turisztikai és Vidékfejlesztési Tanulmányok, 6(2).

Alanezi, F., & Al-Zahrani, R. (2020, January). Strategic Management of Emirates Airlines. In
Proceedings of the 2020 2nd Asia Pacific Information Technology Conference (pp. 172-177).

Kuncová, M., Fábry, J., & Klímová, A. M. (2020). Discrete Event Simulation-Model Of A Call
Center In SIMUL8 Software. In ECMS (pp. 48-55).

You might also like