Abstract
The paper aimed to identify and analyze the explanatory variables for airlines productivity during 2000 2005, by testing the Pearson correlation between the single factor productivity capital, energy and labor of a sample of 45 selected international airlines (4 Brazilian carriers among them) and their productivity explanatory variables like medium stage length, aircraft load factor, hours fl own and cruise speed for selected routes besides aircraft seat confi guration and airlines number of employees. The research demonstrated, that a set of variables can explain differences in productivity for passenger airlines, such as: investment in personnel training processes, automation, airplane seat density, occupation of aircraft, average fl ight stage length, density and extension of routes, among others.
Highlights
In the age of deregulation, great disparities exist between airlines in their ability to reduce unit costs by improving productivity and to generate adequate revenues despite increasing price competition
This paper focuses on the productivity analysis of the main production factors for airlines: (a) labor, (b) capital and (c) energy and the identification and analysis of variables that can statistically explain these single productivities factors labor and, their Total Factor Productivity
The above mentioned authors concluded that capital is a key production factor in the airline industry, and a large part of the improvement of this economic sector depends on investments in infrastructure and equipment
Summary
In the age of deregulation, great disparities exist between airlines in their ability to reduce unit costs by improving productivity and to generate adequate revenues despite increasing price competition. Substantial differences exist, for example, between The United States of America’s (US) airlines and non-US airlines in terms of cost efficiency, revenue generation and, in turn, profitability. Little or no research has been done to identify variables that explain productivity of scheduled passenger airlines in order to develop a model of multiple variables, more. The paper aimed to identify and discuss the explanatory variables for the productivity of scheduled international airlines by testing the Pearson correlation between the productivity changes of airlines and their explanatory variables with the objective of proposing a productivity model Measures of airline productivity to the extent they are used in the industry are limited to relatively simple ratios – such as passenger enplanements per employee and Available Seat Miles (ASM) produced per labor dollar spent – which does not allow reliable conclusions and comparisons among the productivity of airlines.
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
