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Projects: Processes



AmericaWest: Flight Plan



By David F. Carr

  Table of Contents:
  1. AmericaWest: Flight Plan
  2. ' Raising the Confidence Level '
  3. ' Making Connections '
  4. ' America West Base Case '

Poor on-time performance was crippling America West. Then the airline dumped its failing hardware.

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AmericaWest: Flight Plan - ' America West Base Case '


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America West Base Case

Headquarters: 111 W. Rio Salado Parkway, Tempe, AZ 85281

Phone Number: (480) 693-0800

Business: Discount airline with hubs in Phoenix and Las Vegas.

Chief Information Officer: Joe Beery

Financials in 2002: $2 billion, with a net loss of $387.9 million.

Challenge: Improve reliability and cut information-systems costs, as part of an effort to improve the airline's on-time performance.

Baseline Goals:

  • Reduce, and eventually eliminate, flight delays attributed to technology, which averaged about 100 per month three years ago.

  • Drive down cost per available seat mile (CASM). It went from 8.20 cents at the end of 2002 to 7.57 cents as of September 2003.

  • Match Southwest Airlines' third-quarter CASM of 7.51 cents.

  • Return to profitability, following 10 consecutive quarters of losses since the end of 2000. America West earned $2.02 per share in the second quarter of 2003.



     
     
    >>> More Projects: Processes Articles          >>> More By David F. Carr
     


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