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Case Study of Air Blue for Organizational Development

| 1Federal Urdu University of Arts Science and Technology Islamabad

Submitted to: Dr. M. Azhar Naeem FUUAST Islamabad

Submitted by: Nauman Naveed Arslan Noor Muhammad Tariq Geffery Gul MBA 4th

Over View

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One of the most popular mode of transportation is

Aviation.

Currently more than 200 Airlines are working

across the Globe.

Aviation industry was the fastest growing industry

of 20th century.

Company Overview

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Airblue was established in 2003

It started operations on 18th June 2004 with 3

leased air bus A320-200.

It is a private owned company.

Air blue is incorporated under companies

ordinance 1984.

We have come a long way…

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As per international standards, Air blue is

considered as a small domestic and regional

airline.

Corporate Vision

“Airblue will be a cost effective airline aiming to provide

affordable and convenient air travel with luxury and

elegance”

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Mission Statement

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“Enjoy The Difference – Freedom, Flexibility And Savings”

Air Blue Fleet

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As of October 2011 the air line fleet consists of

following Air crafts as average age of 3.4 Years:

Aircraft In Service Passengers

Airbus A319-100 4 144

Airbus A320-200 1 146

Airbus A321-200 0 195

Total 5

Brief SWOT Analysis

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Strength• L

eading market position

• Superior operating structure

• Hub airport at Karachi

• Brand recognition

• Air blue is a low-cost carrier (lcc)

Weakness• H

igh Dependence on Passenger Revenue

• DEBT

• Outsourcing Promotion

• Limited Route & Tight Schedule

Opportunity• G

rowing demand for low cost airlines

• Expansion of freight business

• Shifting customer needs

Threats• H

igh interest rates

• Accidents

• Strong competition

SWOT

Problem Statement

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Failure of Flight Operations in Quetta:

Air Blue in its expansion plan had expanded its Domestic flights to Quetta

but unfortunately could not maintain it and had to roll back its operations

from Quetta airport. Which has reduced its share in the domestic airline

industry. The Air line is in high debts therefore it is necessary for its

survival to expand its wings to other domestic Destinations.

Failure Reasons in Quetta

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Technical issues regarding availability of good aviation

engineers and airport support staff.

Flight cancelation and flight delays.

Dissatisfied travel agents due to flight cancelation and

customers refund issues.

CAA (Civil aviation authority) issues regarding greater

service charges as compared to PIA and priority given to

PIA in every aspect of Airport services.

Continued………..

Failure Reasons in Quetta

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Limited flights and coverage.

Customer services.

Lack of promotional activities.

Re-launch Strategies

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Hiring well trained and competent technical staff at

Quetta airport.

Negotiation and new agreements with CAA.

Increase in number of travel agents and there profit

margin (commission).

Humble and caring customer services and sales staff in

airblue reservation offices Quetta.

Continued………..

Re-launch Strategies

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Daily / alternative flights between major cities.

Timely departure and arrival of flights.

Re-launch and promotional campaign of airblue both in

print and electronic media

References

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o http://en.wikipedia.org/wiki/Airblue

o http://www.airblue.com/index.asp

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Thank you..