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You are here: Home  >  Travel Magazine  >  Executive Travel  >  Airline Briefing  > Time is Money when Tackling Delays 070606.
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Time is Money when Tackling Delays



June  2006

Punctuality is a major concern for both travelers and the airline industry. But, as Colin Ellson discovers, such are the complexities, there appears to be no quick fix in sight

US airline JetBlue faces a quandary. It positively hates canceling a flight, preferring instead to operate a troubled or delayed service, seeing that as slightly less inconvenient to the traveller. Last December, for example, it discarded just 30, four times better than the US national average.

Conversely, the budget carrier had a punctuality score of 71.4% flights on time, six percentage points worse than the norm. Strangely, however, JetBlue's complaint record was 29 passengers per 100,000, three times better than the average.

This goes against the grain, for every airline survey worth its ink identifies punctuality as a major priority for the business traveler. Time, after all, is money, a fact branded into the executive psyche. Stooging around in airports at the mercy of flight delays and cancellations is costly in terms of working hours lost, possibly a missed connection or meeting, and in a worst case scenario, an opportunity snapped up by a rival.

While JetBlue's experience might illustrate the old adage about damned lies and statistics, it could equally reflect the fact that frequent flyers will often accept a hiccup or two, resigned to the fact that frustration is their natural burden.

The facts support this gloomy philosophy. In the first quarter of this year, the Association of European Airlines’ consumer report found that 97.7% of short/medium haul flights and 99.5% of long-haul services operated as planned. However, only 79.3% of the former and 68.7% of the latter departed within 15 minutes of the scheduled time, the yardstick by which performance is measured, with services that fail to meet the criteria regarded as delayed.

There is wide disparity in staying within the parameters. At the go-to-the-top-of-the-class end of the scale, BMI regional was named the most punctual scheduled airline at UK airports for 2005 by www.flightontime.info, achieving 88% success.  And in April this year, Belgian business carrier VLM Airlines recorded 92.4% flights bang on the button.

Such figures contrast sharply with the marks awarded to Asia/Pacific in the Carlson Wagonlit Travel’s Business Travel Indicator, published in January. Disappointingly, it revealed that 61% of travelers in Australia, India and Japan are affected by flight delays.

There is no quick-fix answer to the problem, according to a report by the Performance Review Commission, which monitors the management of European air traffic. Acknowledging that punctuality is of major concern for both industry and passenger, it said performance is the result of a complex interrelated system.

Far from being an exact science, this involves airport scheduling capacity, infrastuctural, political and environmental factors, air traffic control and runway capacity. In what is known as variability, delays can be caused by the airport, the airlines, congestion in the sky, ground handlers, bad weather, tardy passengers, and reaction to late arriving flights.

If fearing all the contributory factors will not combine neatly on the day is a worry for the business traveler, spare a thought for the airlines.  Currently paying a record $72 (€56) a barrel for fuel, much of it wasted queuing for take-off or stacked waiting to land, they must also include strategic time buffers in their planning to account for predictable delays while maintaining an acceptable level of punctuality.

Each buffer costs around €50 a minute for an Airbus A320, and if they could be reduced by an average five minutes on 50% of scheduled flights through better use of airport and airline resources, some €1 billion ($1.27 billion) per annum would be saved in Europe alone.

With such considerations in mind, airlines and airports have working groups dedicated to improving and optimizing their operations. This approach is applauded in the report by the Performance Review Commission, whose subsequent workshop had its own recommendations.

Identifying “the need for a cultural change to more proactive, transparent, no-blame management of air transport operations”, it added that airlines, airports, and air traffic control should move from an “insular perspective” to a more general focus on overall performance. The entire airport community should work more closely together to develop a common understanding of objectives and set clearly defined targets.

The message calling for corporate cooperation seems to be getting through. Hall 2 at Paris Orly West airport, for example, has been completely refurbished by Paris Airports Authority and Air France. It now includes streamlined boarding, disembarkation, security and check-in areas, and an automatic sorting system to speed baggage to the aircraft.

“Thanks to the dedication and continued efforts of Air France teams,” says Jean-Cyril Spinetta, the airline's chairman and CEO, “operational efficiency and flight punctuality are now among the best in Europe.”

Meanwhile, back in the un-reconstituted world, delays will occur as sure as night follows day, and a travel management company (TMC) will ride to the rescue – or at least point out the areas travelers should research.

Says Norman Gage, director of UK-based Advantage Business Travel: “Airlines make it difficult for travel management companies to let their customers know whether there is a delay or not.

So the job of a business travel agent should be to monitor the continual offenders in delayed or cancelled flights in order to alert their customers and, if necessary, find a suitable flight with a more reliable airline.”

Business travelers without a TMC or lacking the resources to scrutinize airline records can always accept the inevitable and while away the wait with a good book.

Ever keen to turn a problem into an opportunity, Amazon.com has come up with a series of novels under the banner ‘Airline Flight Delay Killers’. Titles include The Bourne Identity, The Onion Field, and the aptly named Just Killing Time.

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