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Dr. Evangelos Xevelonakis

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1 Dr. Evangelos Xevelonakis
„Airlines“ Group A Requirements Written Work: pages Presentation: 20 Minutes Discussion: 10 Minutes University of Crete Dr. Evangelos Xevelonakis

2 Dr. Evangelos Xevelonakis
The Business Problem Continental Airlines is the fifth largest airline in the United States. To win in today’s highly competitive skies, Continental has undergone an aggressive expansion which has included the addition of new domestic and international routes. The airline and its competitors continually face a mix of challenges in the areas of efficiency, logistics and consumer marketing that are unique to their industry. In such a hyper-competitive environment, Continental’s ability to present information regarding travel patterns throughout many sectors of its organisations in various locations has become critical to increasing growth through customer satisfaction. The company lacks a corporate data infrastructure which would allow a broad range of employees quick access to key insight about its customers. The airline’s initial objective is to enable the accurate forecasting of passenger booking levels. The ability to view travel patterns by the origin and destination of each customer – in essence, getting a complete look at a traveller’s itinerary – would provide customer bookings, route scheduling, baggage operations, and many other internal departments with essential information to further improve results. Additionally the airline’s purpose is to be able calculating the profitability of specific destinations. The question is which seats on what routes are generating significant profit for the airline. University of Crete Dr. Evangelos Xevelonakis

3 Dr. Evangelos Xevelonakis
Questions How can Continental Airlines achieve efficiency in the areas of logistics and consumer marketing? Develop a solution for Continental Airlines including data and marketing components using the CRM Framework Show a step by step implementation approach Discuss the needed capabilities Assess the Benefits and Risks of the suggested solution How can the airline determine the destination and customer profitability? Use a framework to show the needed steps Discuss the problem with variable and fixed costs Discuss the observed time period Why is customer profitability very important for the company? Discuss the airline market in Greece University of Crete Dr. Evangelos Xevelonakis


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