aaco 5 th technical forum – cairo 10-13 november 2008 connected planning on the ground delivering...
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AACO 5th Technical Forum – Cairo 10-13 November 2008
Connected Planning on the GroundDelivering
Fuel Burn Reductions of 2%
Gerard BerrySales & Marketing Director
AACO 5th Technical Forum – Cairo 10-13 November 2008
Presentation Theme Introduction to Liberator.aero Airlines - Challenges & Operating Environment View from the Cockpit & the Ground The Liberator perspective
• The Liberator Fuel Index System (LFI)
Adopt ‘Measure to Manage’ principle Attitude is everything – ‘Savings or Cost
Reductions’
AACO 5th Technical Forum – Cairo 10-13 November 2008
Company Profile• Formed in 2003 and is owned and
managed by airline professionals with in excess of 100 man years experience.
• Based in Dublin with IT expertise in Hyderabad.
• Investment by Irish Government Agency - Enterprise Ireland.
• Developed LFI System in 2006 and have just recently deployed Version 3.
AACO 5th Technical Forum – Cairo 10-13 November 2008
Airlines with whom we have worked
AACO 5th Technical Forum – Cairo 10-13 November 2008
The Challenges for Airlines• Economic Downturn and fluctuating
exchange rates.• Mergers and company consolidation
for survival• Managing costs in an ultra
competitive market• Order delays for new aircraft• Extending further use of costly older
aircraft• Shortage of pilots to match fleet
expansion
AACO 5th Technical Forum – Cairo 10-13 November 2008
Operating Environment• Fluctuating fuel costs – airlines
have to re-examine ops processes.• Airlines are withdrawing own
staff from outstations.o Impact on Service Levels
• More airlines considering moving to centralised load planning
• Operational efficiency delivers competitive advantage.
AACO 5th Technical Forum – Cairo 10-13 November 2008
The View from the Cockpit
AACO 5th Technical Forum – Cairo 10-13 November 2008
• Flight Operations• Variable Cost Index / Aircraft Performance & Engine Health
Monitoring / Continuous Descent / Single Engine Taxi / Alternate Route Selection
• Design• Blended Winglets
• Innovation• Bio Fuel initiatives
Combating Fuel Costs – Current Initiatives
AACO 5th Technical Forum – Cairo 10-13 November 2008
The View from the Ground up
AACO 5th Technical Forum – Cairo 10-13 November 2008
• Maintenance • Engine Wash / Aircraft Wash
• Ground Operations• Aircraft tow to runway
• Preferred Parking Stands
• Conservative APU usage
• GPU upon arrival
Combating Fuel Costs – Current Initiatives
AACO 5th Technical Forum – Cairo 10-13 November 2008
Combating Fuel Costs – The final piece
Ground Operations• Weight & Balance
2% Savings of Fuel Costs
AACO 5th Technical Forum – Cairo 10-13 November 2008
The Question…
How can we achieve cost penalty reductions of
2% of the annual fuel bill ?
AACO 5th Technical Forum – Cairo 10-13 November 2008
• Measure and highlight performance in Weight and Balance management from a fuel burn perspective.
• Managing the Cultural Changeo Load Control / Cargo
o ICT / Commercial / Marketing
The Answer…
AACO 5th Technical Forum – Cairo 10-13 November 2008
AACO 5th Technical Forum – Cairo 10-13 November 2008
‘Measure to Manage’
The Liberator.aero philosophy
AACO 5th Technical Forum – Cairo 10-13 November 2008
Loading Efficiency & Weight Reduction• Airlines can do more to reduce fuel burn and costs by paying
more attention to aircraft loading for all departing flights from all airports.
• Target the measurement of ‘below wing’ performance• Planning Gaps – EZFW versus Actual ZFW
• Discretionary Fuel
• Achieve an optimised initial CG on the ground - Before the aircraft takes off.
Apply a US$ value to the inefficiencies / cost penalties that are identified.
AACO 5th Technical Forum – Cairo 10-13 November 2008
The Focus• Create awareness of how loading increases costs
• Express cost penalties in US$ for each departing flight
• Highlight ground handlers role in Fuel Savings Programme.
• Include loading efficiency as part of Service Level Agreements – Outstations / 3rd party Handling Agents
• Consistently deliver optimised loading
• Start at home base and roll out to all airports
AACO 5th Technical Forum – Cairo 10-13 November 2008
LFI System
Data Requirements (Automated)
MVT/Fuel InfoLoadsheets
Flight Plans AHM560Web-based,located in
Dublin
Flight / Weight / Balance / Seating
EZFW / Required Fuel
Fuel on board - O/O/O/ITimings
AACO 5th Technical Forum – Cairo 10-13 November 2008
LFI System
Web-based
Graphical Reports
MarketingLoad/Underload Factors,Missed revenue opportunitiesFuel Surcharge verification
OperationalFuel Usage, Planning Gaps,Trends Identification & Analysis, Departure Station Performance Analysis
FinancialCG & Weight Cost Penalties,Savings Potential
Dublin
CO2 EmissionsPer Pax / Flight
AACO 5th Technical Forum – Cairo 10-13 November 2008
LFI SystemPerformance Monitoring
Tool
Finance &Budgetary
Pilots & Fleet Captains
All Bases
Flight Planning&
Operations
Load Planning&
Dispatch
ExecutiveManagement &
Departmental Heads
Ground Handlers&
Outstations Network
Air TrafficManagement
Sales & Marketing
Cargo
AACO 5th Technical Forum – Cairo 10-13 November 2008
W&B Fuel Management Programme Steps
Evaluate and confirm Ideal Trim policy for each aircraft type Communicate loading policies to the loading community Monitor loading performance across the network Identify and fix any performance gaps Sustain effective loading performance for all flight departures Adopt a continuous monitoring programme to save fuel and
emissions
AACO 5th Technical Forum – Cairo 10-13 November 2008
Carrying extra weight on board will result in additional fuel burn equivalent to about 4% per hour of the extra weight carried.
(Source: Airbus)
On a 7 hour flight for every extra 5,000 kg of fuel, it burns 1,300
kg of that fuel just to carry it. (Source: IATA Fuel Book)
Our own extensive research over the last three years has shown us that 66% of flights dispatched with a forward trim resulted in
higher fuel burn per block hour. (Source: Liberator.aero 2006-2008)
AACO 5th Technical Forum – Cairo 10-13 November 2008
‘Measure to Manage’ - The Psychology of Airline Cultural Change• Respect for Pilots on issue of Discretionary Fuel
• Attitude of accountable business owner is key
• Requires opening up – ‘stand up and be counted’
• Deliver Savings – seen as a threat
• Deliver Cost Reduction – seen as an opportunity
• A collective challenge for survival
AACO 5th Technical Forum – Cairo 10-13 November 2008
The Benefits• Target fuel cost savings of 2%
annually
• Save 3kg of CO2 for each 1kg of fuel
• Improved ground handling
• Increased fuel costs awareness
• Competitive advantage through
enhanced operational efficiency
AACO 5th Technical Forum – Cairo 10-13 November 2008
“Keep it simple but focussed. Starting from the ground up, use
technology to build a team approach to reducing fuel burn and emissions”
The Liberator.aero recommendation
AACO 5th Technical Forum – Cairo 10-13 November 2008
Thank You