AVM 303001 Aviation Management

1) Step 1: Recognize the Problem

An airline would use this step to identify what the problem with the current aircraft is. I currently work for Southwest Airlines and we recently retired an aircraft and acquired a new aircraft. We retired the old Boeing 737-300 series and upgraded to the Boeing 737 Max-8.  The problem that Southwest had was the 300 series was becoming old at an average age of 15-20 years old. They were being taking out for maintenance more than they were flying. Southwest needed to do something. Another problem Southwest had was they are growing bigger and bigger every year with further routes. The 300 series couldn't accomplish this.

Step 2: Develop product specifications to solve the problem

Some of the product specifications that needed to be developed were ETOPS, or Extended Operations. This allows the airline and the aircraft to fly over water for extended periods of time. They also wanted the same style aircraft but a bigger version. The 300 series held 137-143 passengers where the Max-8 hold 175 passengers. 

Step 3: Search for and evaluate possible products and suppliers

Southwest is one of few airlines where it will only fly a specific plane, which is the 737. It will only look at purchasing variants of this type of aircraft. We currently have the 737-800, and the Max-8 is an upgraded version of that. 

Step 4: Select product and supplier and order product

Southwest purchased the 737 Max-8 and was supposed to be the launch customer, which means they are the first to fly that aircraft commercially. They ordered 200 of the Max-8's.

Step 5: Evaluate Product and supplier performance

Still currently we are flying the Max-8. On day one it had a maintenance issue and went out of service for several hours. Some bugs need to be worked out of it. But in the long run the plane is set to be a changing point for Southwest Airlines. 

1.The steps taken by the Southwest Airlines to upgrade to the Boeing 737-Max 8 aircraft is great decision considering the fact that most of its fleet of the 737-300 aircrafts were fifteen to twenty years old. The cost of maintenance of the 737-300 is rising and the grounding of the Aircrafts is adding to the costs incurred to the airlines. The fuel economy of the aircraft is also below par to the new 737-Max 8. The 737-Max 8 is an ideal replacement because it has a better seating capacity with improved fuel economy (Boeing: 737 MAX, 2017). The bulk requirement of the Southwest Airlines will be supplied by the Boeing headquarters located at Chicago. The Max 8 will be an ideal replacement with minimal maintenance and ensure profitability.

2.The Gulf airline choosing to expand to USA and Canada with single stop flights need to pay a lot of attention to issues like where the flight takes off and to what destination. However, choosing a single stop flight the Airlines will need aircrafts with long haul capacities. The aircrafts ideal for this will be Airbus A380 or Boeing 787-9.  Boeing 787-9 is a better choice since it is more affordable compared to Airbus A380 (Boeing: 787 Dreamliner, 2017). The company needs to contact the supplier Boeing for buying a few aircrafts for initial tests. The comfort during these flights will be the prime concern for the gulf passengers. The seating and the cabin is comfortable in the aircraft for long haul flights. This will be an ideal choice with the fuel economy and the long haul capacity.

References

Boeing: 787 Dreamliner. (2017). Boeing.com. Retrieved 29 November 2017, from http://www.boeing.com/commercial/787/

Boeing: 737 MAX. (2017). Boeing.com. Retrieved 29 November 2017, from http://www.boeing.com/commercial/737max/