Afriqiyah Airways - Tripoli, Libya

Second national flag carrier of Libya, founded with the objective of serving Pan-African markets.

Like the economy of Africa, African aviation market have long lacked firm development. As one of the first airlines, Afriqiyah offered a fairly priced alternative to travel to Europe for a growing African middle class. After its first incursions into these markets, the company met fierce resistance from the incumbents.
In a rapid pace, the company was forced to develop the means to deal with some of the world’s strongest competitors.

Schedule Consult was invited to support the airline in several fields to reinforce its capabilities.


QUICK WIN SCHEDULE

Year: 2003

Project Objective: Bringing a halt to spiraling losses that had developed during the start-up of the company.

Project Content: Profitability analysis, identification of bottle-necks and opportunities. Development of schedule corrections that improved load factors and efficiency.

Result: Recommendation implemented. Significant correction in negative cash-flow, stabilizing company results for the first time in its existence.


BUSINESS PLAN

Year: 2005

Project Objective: Development of a clear future perspective for a profitable network development.

Project Content: Development of a multi-year strategy, covering the company's growth ambitions and setting a path to sustainable profit. This was elaborated in detailed schedules for each season.
Included full financial details of investments, cash-flow and earn-back time as well as mapping of sensitivities and risks, a fleet plan, fleet and organizational planning.

Result: Business plan implementation in progress.



PROFITABILITY MONITORING

Years: 2004-2007

Project Objective: Monitor developments of results compared to targets, identify steering possibilities.

Project Content: Monthly analysis of traffic, costs and revenues in connecting citypair detail. Matching to priorly set targets. Reporting to management with identification of special points of attention.

Result: More pro-active input to various departments. This enabled Afriqiyah to take more effective decisions and measures.



OUTSOURCED YIELD & REVENUE MANAGEMENT

Years: 2004-2007

Project Objective: Orderly management of company inventory and optimization of revenues.

Project Content: Conduct of the entire yield- and revenue management of the company including the development of profiles, information tools, configuration policies and an inventory control protocol. Daily steering of capacities according to developments in demand. Training of company staff in preparation of in-house conduct of these tasks.

Result: Substantial improvement in yields, gradual improvement in load factors.



DEVELOPMENT OF THE COMMERCIAL DEPARTMENT


Years: 2006-2007

Project Objective: Support in developing the commercial department's skills and routines to operate in a competitive environment.

Project Content: Support in implementation of the feed-back from profit monitoring and revenue management. Identification of actions needed by the commercial department. Occasional support in developing these measures. Support in pricing and fare development. Setting priorities in line with needs of the network.

Result: Gradual improvement in the effectiveness of Afriqiyah’s commercial efforts. In conjunction with our profitability monitoring, this has saved the company a substantial -undisclosed- amount due to a better quality of tactical decisions.