D2.TTA.CL2.02 Slide 1

Subject elements Slide 2 Comply with IATA BSP agents’ remittance procedures Comply with IATA BSP reporting procedures Identify a Billing and Settlement Plan (BSP) Comply with IATA BSP billings and statements requirements This unit comprises four Elements:

Assessment methods Assessments for this unit may include:  Oral Questions  Work Projects  Written Questions  Workplace Observation  Third party report from your Supervisor Slide 3

Element 1: Identify a Billing and Settlement Plan (BSP) 1.1Define and explain the role and operation of the IATA BSP 1.2Describe the advantages of the IATA BSP 1.3Identify participants and supplies in a BSP 1.4Identify and explain how the IATA BSP works 1.5Identify the role and function of IATA BSP documents and manuals Slide 4

Element 1: Identify a Billing and Settlement Plan (BSP) 1.6Expand and explain BSP acronyms and abbreviations 1.7Explain the Glossary of Terms for the IATA BSP 1.8Describe the automation of interfaces between agents, airlines and the BSP 1.9Describe IATA management of the BSP Slide 5

1.1Define and explain the role and operation of the IATA BSP IATA – International Air Transport Association  The peak industry body for many of the world’s airlines  Ensures inter-airline cooperation in promoting safe, reliable and secure airline services  IATA’s mission is to represent, lead and serve the airline industry Slide 6

1.1Define and explain the role and operation of the IATA BSP IATA BSP  Developed in 1971  Designed to simplify the selling, reporting and remitting procedures of IATA accredited agents on behalf of BPS airlines  Shift from paper to electronic documentation  BSP now operates in 181 countries worldwide Slide 7

1.2Describe the advantages of the IATA BSP Advantages of BSP include:  Airline sales are automatically reported to BSP  One report is prepared for each agent for all airline sales during a period  One report is prepared for each airline for all agent sales during a period  Simple system for users to learn and use Slide 8

1.3Identify participants and suppliers in a BSP Participants  IATA BSP airlines  IATA accredited agents Slide 9

1.3Identify participants and suppliers in a BSP Suppliers  GDS – Global Distribution System Used by agents to book flights Performs the function of an automated Ticket System Provider (TSP)  DPC – Data Processing Centre Captures ticketing data from the GDS daily Prepared BSP reports for agents and airlines Slide 10

1.3 Identify participants and suppliers in a BSP Suppliers  Clearing Bank Responsible for control of on-time agent remittance Responsible for payments to airlines  BSP Manager IATA official designated to manage a BSP region or country Provides guidance and information for all local BSP participants and suppliers Slide 11

1.4Identify and explain how the IATA BSP works Agent set up and selling processes  Access to a GDS and electronic tickets  Access to BSP link  Attain ticketing authority from airlines  Sell and issue airline tickets Slide 12

1.4Identify and explain how the IATA BSP works Reporting of air ticket transactions  GDS reports to DPC each evening  DPC prepares reports of all transactions  Agent Billing Statements are prepared for each period  Agent can access statements in BSPlink Slide 13

1.4Identify and explain how the IATA BSP works Payments and transactions  Agents make one single payment to BSP for all transactions within a reporting period  BSP make one single payment to each airline for all transactions within a reporting period Slide 14

1.5Identify the role and function of the IATA BSP documents and manuals BSP Documents and Manuals  BSP Manual for Agents Written for IATA accredited agents Basic elements and rules of BSP operations  Local Procedures / Information Chapter 14 of BSP Manuals Local information for a specific region Slide 15

BSP Documents and Manuals  BSPlink Manuals and Functionality Guides Written for agents and airlines Guides for using BSPlink functions  Travel Agents Handbook IATA regulations and procedures Slide Identify the role and function of the IATA BSP documents and manuals

BSP Documents and Manuals  Standard Traffic Documents (STD) Electronic tickets are issued in a GDS Multi purpose documents (V-MPDs) are used for payment to airlines for non-air services. Issued in BSPlink  BSP calendar Reporting and remittance dates for a 12 month period Each BSP country/region has its own calendar Slide Identify the role and function of the IATA BSP documents and manuals

1.6Expand and explain BSP acronyms and abbreviations Acronyms and abbreviations  Widely used throughout the travel industry  Important to learn as many as possible, including: ADM and ACM IATA and BSP GDS and DPC STD and V-MPD Slide 18

1.7Explain the Glossary of Terms for the IATA BSP Glossary of terms  Widely used throughout the industry  Important to learn as many as possible, including: Accountable transactions Agent Billing Billing and Remittance dates Ticketing authority Slide 19

1.8Describe the automation of interfaces between agents, airlines and the BSP BSPlink  Global interface to access BSP online  Facilitates the flow of information  Used by agents and airlines  Have many functions and advantages Slide 20

BSPlink functions  Downloading reports and statistics  Agents can issue V-MPDs  Airlines can issue ADMs and ACMs  Refund applications and authorisation processes Slide Describe the automation of interfaces between agents, airlines and the BSP

1.9Describe the IATA management of the BSP  IATA Management Appoint local BSP Managers Intervene in urgent situations  Local BSP Manager Provides agents with access and instructions to use BSPlink Advises agents and the DPC on BSP procedures Can impose penalties for non-compliance Publishes the local BSP calendar Slide 22

Element 2: Comply with IATA BSP reporting procedures 2.1Identify required submission dates 2.2Describe accountable transactions 2.3Complete AST form 2.4Complete Group Sales Summary Form (GSS) 2.5Process airlines’ own accounting memoranda 2.6Process Missing Traffic Document Report form 2.7Process Refund Documents form Slide 23

2.1Identify required submission dates Annual BSP calendar  Reporting dates For accountable transactions  Agent Billing date Agency receives their bill  Agent Remittance date Agency makes payment Slide 24

2.2 Describe accountable transactions Accountable transactions  Agent issued transactions included in the reporting: Issuing tickets Refunding tickets Issuing Virtual MPDs Slide 25

2.3 Complete AST form Agency Sales Transmittal  Since the introduction of BSPlink, agents no longer need to complete an AST as reporting is automated Slide 26

2.4Complete Group Sales Summary Form (GSS) Group Sales Summary form  Since the introduction of BSPlink, agent groups no longer need to complete a GSS form as reporting is automated  Agent Groups Agencies with multiple locations Slide 27

2.5Process airlines’ own accounting memoranda Airline accounting memorandum  ADM – Agent Debit Memo Agent owes airline money  ACM – Agent Credit Memo Airline owes agent money  Reported through BSPlink Slide 28

2.6Process Missing Traffic Document Report form 2.7Process Returned Documents form  Other documents no longer in use since introduction of BSPlink and automated reporting Missing Traffic Document Report Returned Documents Form Slide 29

Element 3: Comply with IATA BSP billings and statements requirements 3.1Process Agents’ Billings 3.2Process refund documentation Slide 30

3.1 Process Agents’ Billings Agent Billing  Agent Billing Statement  Agent Billing Analysis Detailed view of the Statement  Billing Date appears on the BSP calendar Slide 31

3.2 Process refund documentation Refunding airline tickets  Agents can request refunds through the GDS  BSPlink used when seeking airline authority and advice on refunds Slide 32

Element 4: Comply with IATA BSP agents’ remittance procedures 4.1 Implement agents’ remittance procedures 4.2 Handle irregularities and defaults Slide 33

4.1Implement agents’ remittance procedures Agent Remittance Procedures  Payment is preferred by direct debit from agent to Clearing Bank  Post settlement errors – agent contacts airline to request ADM or ACM to correct Slide 34

4.2Handle irregularities and defaults Irregularities  Notices of irregularity Maximum 4 per year or an agent is in default Overdue or dishonored remittance is an irregularity Slide 35

4.2Handle irregularities and defaults Agent in default  Airlines are notified and agents can no longer issue tickets  Payment is demanded  Default is reversed if genuine error found Slide 36