Connected Planning on the Ground Delivering Fuel Burn Reductions of 2% Gerard Berry Sales & Marketing Director AACO 5 th 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 5 th 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 5 th Technical Forum – Cairo 10 -13 November 2008
Airlines with whom we have worked AACO 5 th 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 5 th 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 5 th Technical Forum – Cairo 10 -13 November 2008
The View from the Cockpit AACO 5 th Technical Forum – Cairo 10 -13 November 2008
Combating Fuel Costs – Current Initiatives • 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 AACO 5 th Technical Forum – Cairo 10 -13 November 2008
The View from the Ground up AACO 5 th Technical Forum – Cairo 10 -13 November 2008
Combating Fuel Costs – Current Initiatives • Maintenance • Engine Wash / Aircraft Wash • Ground Operations • Aircraft tow to runway • Preferred Parking Stands • Conservative APU usage • GPU upon arrival AACO 5 th Technical Forum – Cairo 10 -13 November 2008
Combating Fuel Costs – The final piece Ground Operations • Weight & Balance Ø 2% Savings of Fuel Costs AACO 5 th Technical Forum – Cairo 10 -13 November 2008
The Question… How can we achieve cost penalty reductions of 2% of the annual fuel bill ? AACO 5 th Technical Forum – Cairo 10 -13 November 2008
The Answer… • Measure and highlight performance in Weight and Balance management from a fuel burn perspective. • Managing the Cultural Change o Load Control / Cargo o ICT / Commercial / Marketing AACO 5 th Technical Forum – Cairo 10 -13 November 2008
AACO 5 th Technical Forum – Cairo 10 -13 November 2008
The Liberator. aero philosophy ‘Measure to Manage’ AACO 5 th 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 5 th 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 / 3 rd party Handling Agents • Consistently deliver optimised loading • Start at home base and roll out to all airports AACO 5 th Technical Forum – Cairo 10 -13 November 2008
LFI System Loadsheets MVT/Fuel Info Data Requirements (Automated) Fuel on board - O/O/O/I Timings Flight / Weight / Balance / Seating Flight Plans EZFW / Required Fuel Web-based, located in Dublin AACO 5 th Technical Forum – Cairo 10 -13 November 2008 AHM 560
LFI System Web-based Graphical Reports Operational Marketing Fuel Usage, Planning Gaps, Trends Identification & Analysis, Departure Station Performance Analysis Load/Underload Factors, Missed revenue opportunitie Fuel Surcharge verification Dublin Financial CG & Weight Cost Penalties, Savings Potential CO 2 Emissions AACO 5 th Technical Forum – Cairo 10 -13 November 2008 Per Pax / Flight
Flight Planning & Operations Pilots & Fleet Captains All Bases Finance & Budgetary Load Planning & Dispatch LFI System Performance Monitoring Tool Ground Handlers & Outstations Network Executive Management & Departmental Heads Sales & Marketing Cargo Air Traffic Management AACO 5 th 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 5 th 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 5 th 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 5 th Technical Forum – Cairo 10 -13 November 2008
The Benefits • Target fuel cost savings of 2% annually • Save 3 kg of CO 2 for each 1 kg of fuel • Improved ground handling • Increased fuel costs awareness • Competitive advantage through enhanced operational efficiency AACO 5 th Technical Forum – Cairo 10 -13 November 2008
The Liberator. aero recommendation “Keep it simple but focussed. Starting from the ground up, use technology to build a team approach to reducing fuel burn and emissions” AACO 5 th Technical Forum – Cairo 10 -13 November 2008
Thank You AACO 5 th Technical Forum – Cairo 10 -13 November 2008
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