No Frills Airline vs First Class Airlines Essay - 2200 Words

No Frills Airline vs First Class Airlines (Essay Sample) Content: No Frills airline vs first class airlinesIn past airlines were only considered useful only to those who have economic power. However, with the introduction of no frills airline this is not the case anymore. No frills airline has made it possible for individuals with low economic power to access airlines all over the world. On the other hand, First class airlines are more expensive as compared to no frills airlines due to the additional services offered. However, in order to balance between its low charges, no frills airlines usually charges for food incase its offered and additional charges on luggages. Due to high demand of on frills airlines, they must be booked in advance before the travel date. Furthermore, in First class airlines they are readily available since they are not usually on high demand. They are mainly used by the governments executives, companies directors and businessmen among others with the financial muscle to use the.First class airlines are more expensive due to additional services that they give to their passengers such as free meals among others. Also, First class airlines offers privacy chambers, extra baggage, presence of flights attendants, beds for long distance travels and entertainment options. On the others hand, no frills entertainment is limited while the space is limited as the airlines companies fits additional seats in order to cover up for low transport charges. However, personalized services are only offered by first class airlines in compensation to the high charges associated with it. In case food is offered at no frills airlines, customers are expected to pay fully for such services. Nevertheless, first class airlines have access to all airports in the world mostly execute airports. On the other hand no frill airlines mostly have the access to the remote airports worldwide due to low costs charged by those airports. This makes it hard for passengers accessing some of the airports since their destination s may be specific and hence may add additional cost for a person to reach their destination. Failure of no frills airlines to access some airports have made them less popular among businessmen. Also, they may not be suitable to passengers who need specialized care since they do not have the necessary services. One of the most dominant airlines in no frills airlines is Southwest Airlines which pioneered this industry.Customer service and satisfaction is the main concern of the First class airlines. Ticket prices compliment the services offered by these airlines. In airline industry customers must get the value for their ticket prices and its upon the responsible airline to ensure all is done to ensure all is done to satisfy their customers. Customers in First class airlines must handled in the right way dueSIPOC is normally used to visually show processes right from suppliers to final services received by customers and map process at high level map a procedure at high level. This pr ocess involves suppliersà ¢Ã¢â€š ¬ activities, inputs, processes, outputs and consumers. For a company to be successful all the variables in SIPOC diagram must be followed to the latter. The main suppliers in first class airline industries include travel agencies which deals booking of tickets and offers timetable of the flights to the customers. Internet and other entertainment providers are crucial in first class airlines since they distribute the entertainment needed. Airport personnel and facilities are both important in first class and no frills airlines and must be available if they are to function efficiently. However, their demand depends with how regular an airline is in a given route. Both airline and airport security are crucial to ensure the flow of services is complete. This is because law and order must be maintained at the airport and in respective airline routes. On the other hand, food, beverage and catering services are important in both airlines. However, in Firs t class airlines it is a requirement that food is provided and hence must be outsourced. Consequently they are sparingly used by no frills airlines since when food and drinks are provided they must be paid for. Air traffic control supply is crucial to both airlines. Air traffic controls aeroplanes in airports to ensure that there is order to avoid accidents that are likely to occur in their absence. Inputs common in airlines industry include airports which are universally used, Tickets, timetable, security, baggage and baggage handling and identification documents among others. However, Aircrafts are similar input but are of different make and prices. First class airplanes are expensive to acquire and maintain as compared to the no frills airplanes. However, both airless have the same target customers and they only differ depending with the services offered by a given airline.SIPOC Diagram for First class commercial airlinesuppliers input process output customer Commercial airliner passengerSafe, effective, efficient, on-time transportation for people and baggage at a friendly price (Your sustainable Travel)Flight BookingFlight timetableTravel Agency-Booking Flights, TicketsSecurity checkInternet and entertainment providersTicketChecking inIdentification Card ID. PassportDeparture Airport personnel and facilitiesBaggageAircraft MFG, maintenanceFlight (s)AirportAirport securityAircraftTransfer (s)Passport controlFood and beverage providersSecurity checkBaggage handlingAir traffic controlBaggage handlingAir traffic controlSIPOC Diagram for a no frill airlinesuppliers input process output customer Safe, cost -effective transportation for people and baggage at an affordable price Commercial airliner passengerFlight BookingFlight timetableTravel Agency-Booking Flights, TicketsSecurity checkTicketAirport personnel and facilitiesChecking inIdentification Card ID. PassportAircraft MFG, maintenanceDepartureBaggageFlight (s)Airport securityAirportAircraftTransfer (s)Pas sport controlFood and beverage providersSecurity checkBaggage handlingAir traffic controlBaggage handlingAir traffic controlHeading 3:Explain how they achieve profitability by managing variation, utilisation and waste. Explain the interconnections between, muda, mura and muri in service operation management for each of the chosen example.To increase utilization No frill (low cost airlines) have achieved profitability through offering, short-haul routes. They have altered the operational methods exploiting point-to-point routes on secondary airlines, their aim is to reach people from diverse locations as the tertiary airlines operate from few locations with bigger spaces like major towns. The No frills offer lesser services and those available are charged for example, charges for in-flight catering, and distribution efficiencies like internet-only bookings. This helps them lower their expenditure cost and at the same time lower the customer prices. The number of employees per Availa ble Seat Mile (ASM) in the low cost airlines is reduced to reduce costs on salary and pensions. The working hours are increased for the pilots in the low cost airlines to avoid chances of employing more pilots in the companies. The low cost airlines are trying to reduce the fuel gallon per flight.For the first class airliners have increased the services they offer in the flight time. These services for example food, beverages and entertainment are accounted for while paying for the ticket. Using the Revenue Per Mile flown by passengers give the first class airliners an advantage in cost utilization as they charge a higher Revenue Per Mile than the Low cost carriers offering them more profits than the low cost carriers. Load factor has been the source of profit utilization for most American first class airliner. They use the measure of asset utilization. Load factor is the ratio of the number of occupied seats to the number of flown seat...