Price vs. Quality?

A lot of people are not aware that India is the cheapest in domestic airline services in the entire world and the average cost per 100km is Just 2.2 dollars and still all airline companies are making a profit.

What we can learn from it?

Domestic airline service is the perfect example of Lean practices recommended in every type of Industry and service segment.

The Prime asset of any airline company is Airplanes and they ensure that airplanes should be in flying mode for max hours in a day.

Learning – Maximize utilization of your prime ( costliest ) asset.

2. All support activities like cleaning, fuel refilling, Air filling, inspection, luggage loading/unloading are done at the time of boarding and deboarding of passengers.

Learning – Save Time.

identify all secondary activities in your organization like searching for next change tools, cleaning, routine maintenance, etc that can be clubbed and done at the time of changeovers.

3. All the staff of airline companies is highly trained, they have a checksheet of their work. They have scripts for everything they speak.

Learning – Make systems, train the people for the system, and monitor it for efficient working.

4. On small airports where traffic is comparatively low they are multitasked to complete check-in formalities and after that, the same staff is used for boarding of passengers.

Learning – Do multitasking on workstations where work pressure is low.

5. Almost 10 Years back airline companies identified that India is a big market size and they made strategies to capture that hidden potential and now flying is cheaper than traveling in the first class of train.

Learning – Tap the market size. Think Big.

India and China are big markets and their cost of production can be reduced significantly by bulk production and we can sell to other parts of the world at a price even lower than their local cost of production.