ABSTRACT
This chapter focuses on the organizational part of the airline that would be optimizing the existing business model within the context of investments, costs, and revenues, as well as making the business much more nimble. While the network and schedule–planning function is the heart and soul of planning the airline product, other vital components of commercial and operations planning functions add their own constraints and complexities. Conventional network- and schedule–planning systems do not have the capability to analyze numerous options quickly and consistently and select the optimal path. The new modules in the network- and schedule–planning suite help to address complexity. Consider the lack of integrated network planning by various members within the group in which Etihad Airways purchased equity stakes, particularly the three struggling airlines Alitalia, Air Berlin, and Jet Airways. The inability of conventional planning systems to adequately take into consideration the changing nature of competition is serious.
