Airline Business Plan Development: How to Operate a Successful Start-up or
Transcription
Airline Business Plan Development: How to Operate a Successful Start-up or
Airline Business Plan Development: How to Operate a Successful Start-up or Established Airline Friday 1st March 2013 London, UK Hosted & Sponsored by In Association with Sponsored by Media Partners © Copyright 2013 Aeropodium. All rights reserved. AGENDA Friday 1st March 2013 8.30 Registration & Networking Coffee Sponsored by 9.00 Opening Remarks 9.10 The Airline Industry Dr. John Wensveen, President, Airline Visions 9.40 Trends, Challenges, and Strategies of the Global Airline Industry Dr. John Wensveen, President, Airline Visions 10.10 Networking Coffee Break Sponsored by 10.40 How to Start an Airline Introduction to the airline industry Generic vs. airline business plan Common business plan mistakes Non-disclosure agreement Business introduction Mission Strategy Market opportunity Market demand levels Route structure and schedule Financial analysis and the Financial Model Sales and promotion strategy Aircraft operating strategy Competition and competitive response Management and support team Risk factors Invitation to participate Certification Steps to achieve success Dr. John Wensveen, President, Airline Visions © Copyright 2013 Aeropodium. All rights reserved. 12.00 Developments in Airline Pricing and Revenue Management Dr. Nigel Dennis, Senior Research Fellow, Transport Studies Group, University of Westminster 12.30 Networking Lunch Break Sponsored by 13.40 Flight Planning - From Start up to Advanced Thomas Schori, Area Manager Airline, Air Support 14.10 What distribution channels do you want to use? Pros and Cons of Direct versus Indirect Sales Will you sell through travel agents and if you do will you pay them commission? Costs comparisons of different channels Can you make more revenue in one channel versus another? What sort of relationships will you have with other airlines? Interline Codeshare What sort of technology will you need? How much should you pay for it? Which organisations will you need to do business with and what are their roles? IATA BSPs GDSs SITA/ARINC Ian Tunnacliffe, Director of Business Development and Professional Services, Radixx International 15.10 Networking Coffee Break Sponsored by 15.30 From Plan to Implementation: Hits and misses Jordan Karatzas, Administration Advisor, Olympic Airlines 16.30 An Overview of Operating Leases Background and growth of the market for operating leases Benefits for start-ups Distinction from finance leases, dry and wet leases Diego Garrigues, Senior Associate, Gates and Partners 17.00 Aviation Insurance Jerry Flaxman, Jerry Flaxman Consulting 17.30 End of Workshop and Concluding Remarks © Copyright 2013 Aeropodium. All rights reserved. SPEAKERS Dr. Nigel Dennis, Senior Research Fellow, Transport Studies Group, University of Westminster Nigel has worked in the Transport Studies Group for 24 years. Airline hub operations and network planning has been Nigel’s primary research specialism. This was his PhD topic at the University of Birmingham (1988). Subsequent research in this area has been conducted for a wide variety of organisations including British Airways, AENA Spanish Airports, the European Commission, BAA, DHL and Hochtief AirPort. Other air transport research includes long-term traffic forecasts for the new Berlin-Brandenburg Airport and for regional airports in the UK (as part of the DTI VANTAGE project), a market study for London City Airport, an appraisal of airport forecasting methodologies for the New Oslo Airport, a study of air transport in southern Europe for the European Commission, an examination of the role of secondary airports for the Melbourne SE Airport Study, a review of airline fares within Europe for the European Commission and an analysis of airport charges and airline economics for Ryanair. Nigel is course leader for the MSc Air Transport Planning and Management programme and is organiser of a number of annual aviation seminars and short courses. He is also a member of the Aviation Economics and Forecasting committee of the US Transportation Research Board and a programme committee member for the European Transport Conference. Nigel has published a large number of articles and papers in industry and academic journals and contributed to several books on air transport. Nigel also has a BSc in Mathematics from Imperial College (1984) and an MSc with Distinction in Transport Planning and Management from the Polytechnic of Central London (1985). Jerry Flaxman, Jerry Flaxman Consulting Jerry Flaxman has over 30 years experience in the Aviation insurance sector with prior experience working as a light aircraft engineer for seven years. The eighteen years with Willis as Claims Director, Client Services Director and Managing Director of the Space Division give him a clear perspective of the broker role. Jerry left the broking side in 2000 to join Holman Fenwick & Willan, a major City of London law firm, to develop their Aerospace capability and three years later was invited to join Allianz Aviation as Senior Claims Manager for the London operation. In 2006 Jerry joined QBE as part of the senior management team to create a new Lloyd’s Aviation Syndicate, 5555, as Claims and Business Development Manager. Jerry is now Managing Director of Jerry Flaxman Consulting Limited, working as an independent, specialist advisor on aviation and space insurance related matters. Jerry is also a Fellow of the Royal Aeronautical Society. Diego Garrigues, Senior Associate, Gates and Partners Diego specializes on multijurisdictional aircraft transactions (purchases and sales, aircraft financing including aircraft leasing). Acting for airlines, lenders, HNW and operators advising on ownership structures, handling the drafting and negotiation of loan/lease agreements, purchase agreements, security documentation and all ancillary documentation. Diego’s expertise also includes commercial agreements including aircraft maintenance, operating, and charter agreements. Whilst working as a legal counsel at Iberia Airlines in Madrid, Diego handled commercial contracts, data protection and litigation cases including criminal, civil and administrative cases, aviation losses, claims against airport authorities/operators and air traffic control and day-to-day passenger injury claims. © Copyright 2013 Aeropodium. All rights reserved. Jordan Karatzas, Administration Advisor, Olympic Airlines EDUCATION: Princeton University, Aeronautical Engineering, 1973 GRADUATE: Princeton University, Aeronautical Engineering, 1975 M.I.T., Aeronautical Engineering and Airline Operations, 1979 EXPERIENCE PanAm 1975-1977 Manager- Network planning, Market development 1979-1983 Director- Pricing, Revenue Management System Director- Sales & Marketing, Product, Customer Service and Loyalty System Director-Strategic Planning, Divestments 1983-1986 Purolator Courier Manager, Express Cargo Services Part of PanAm senior team recruited to set up and develop the air services of the theretofore surface only courier. Purolator was later merged into Consolidated Freightways and eventually absorbed by Emery. 1986-1989 Olympic Airways, Regional Managing Director, Americas 1989-1994 SH&E, Director 1993-1994 Alexander Proudfoot, VP, Airline practice 1994-1995 Olympic Airways, VP, Commercial 1995 General Director, Olympic Aviation 1996-1998 CEO, Olympic Airways Group 1999-2002 Altium Capital, Head, Corporate Finance 2002-2005 Olympic Investors, Managing Director, Airline investments 2006-2009 SkyEurope Airlines, Chairman of the Supervisory Board 2009-present: Olympic Airlines, Administrator Advisor Wind up of Olympic Airlines, SA (Greece’s flag carrier) and maximize proceeds from the disposal of the airline’s fleet of jet and turboprop aircraft. Thomas Schori, Area Manager Airline, Air Support Former career as a Boeing 737 line pilot. Is area manager with focus on sales to new Airline operators as well as add-on sales to existing customers. Joined the company in 2008. Ian Tunnacliffe, Director – Business Development and Professional Services, Radixx Solutions International Ian Tunnacliffe has over 30 years of experience in the application of information technology to the airline and wider travel industries. He has held management positions with British Airways, Galileo, and Amadeus, overseeing both technical and commercial responsibilities in those organisations. Prior to joining the technology research business Ian spent four years as the principal of a consulting company, specializing in the use of IT in the travel industry. During that time, he worked on projects with blue chip clients including British Airways, the oneworld airline alliance, SITA, and Airtours PLC (now part of Thomas Cook Group plc). For the last year he has worked in a business development role for leading airline IT supplier Radixx International. Ian has lived in the UK, Ireland, Kuwait and Spain and has spent extended periods working in the USA. He holds a BSc in Applied Physics from University College London and an MBA from the Open University Business School © Copyright 2013 Aeropodium. All rights reserved. Dr. John Wensveen, President & CEO, Airline Visions Dr. John Wensveen is Global Head of Airline Services at Radixx International (www.radixx.com) where he is responsible for building and overseeing the advisory services division. Dr. Wensveen's previous role was as President of Airline Visions (www.airlinevisions.com), an industry leading aviation advisory and futurist firm specializing in business, strategy and marketing plans for new-entrant and established airlines. Until June 2010, Dr. Wensveen was Dean, School of Aviation, at Dowling College in New York where he was Chief Academic & Administrative Officer for the 120 acre Brookhaven Airport campus. Dr. Wensveen was one of the founding team members of Washington-Dulles based MAXjet Airways. Until March 2005, he was Vice President & Senior Director of International Development. While at MAXjet, he led partnership negotiations and set up of the European infrastructure. From 1999 to 2004, Dr. Wensveen was employed as Professor of Airline Management at Embry-Riddle Aeronautical University where he instructed airline management/operations courses. He holds faculty positions at the University of Maryland University College (UMUC), the University of the West Indies (UWI), and is a certified International Air Transport Association (IATA) instructor. Dr. Wensveen is an expert in airline management and concentrates on the development of business and strategic plans for air carriers of all types and sizes ranging from low-cost passenger airlines to air cargo carriers. Dr. Wensveen publishes frequently in major aviation publications and is an aviation analyst for the media. He is author of the industry’s leading aviation textbook entitled 'Air Transportation: A Management Perspective' (Best Seller 2010, 2011) and is also author of 'Wheels Up: Airline Business Plan Development.' Dr. Wensveen, born and raised in Vancouver, Canada, earned Ph.D. and M.Phil degrees in International Air Transport/Business from the University of Wales Cardiff (UK) and a B.A. in Geography/Transportation Land Use Planning from the University of Victoria (Canada). He also earned a Certificate in Airline Finance and Accounting from IATA. © Copyright 2013 Aeropodium. All rights reserved.