South African Airline Research Articles

An assessment of South African airlines’ growth in the era of Fourth Industrial Revolution technologies: the unexplored dimension

Purpose Aerospace is a demanding technological and industrial sector. Several regulations and policies via innovative digital transformation have been integrated to impact production systems and supply chains, including safety measures. Studies demonstrated that the Fourth Industrial Revolution (4IR) technologies could enhance productivity growth and safety measures. The 4IR role in influencing airlines’ growth is yet to receive in-depth studies in South Africa. Thus, this study aims to investigate the role of 4IR technologies in influencing airlines’ growth in South Africa. Design/methodology/approach This research used a qualitative research method. Primary data were compiled via 56 face-to-face semi-structured interviews with major stakeholders. The study achieved saturation. A thematic method was used to analyse the collected data. Findings Findings reveal the nine major factors influencing South African airlines’ growth in the 4IR era. This includes investment in ergonomics applications and research, governance is driven by 4IR, collaboration and incorporation of 4IR concepts, partnership with drone technology and high precision and efficiency with 4IR. Others are reskilling and upskilling, investment in 4IR software, policies to promote 4IR usage in the industry and policies to reduce human interface. Originality/value Understanding the relative significance of 4IR technologies’ role in airlines’ growth can assist critical stakeholders in promoting innovative policies and regulations tailored towards digitalised aerospace. Thus, the study contributes to strategies to improve digital innovation, airline growth and safety as components of the air travel demands in South Africa.

A qualitative approach to investigate governance challenges facing South African airlines in the fourth industrial revolution technologies era

PurposeDynamic governance practices are key in the administration of 21st-century airlines. Knowledge transfer via the fourth industrial revolution (4IR) is germane in governance practices. Studies have proven that the 4IR technologies could enhance airline governance and improve safety measures and productivity. The 4IR role in improving airline governance is yet to receive in-depth studies in South Africa. Thus, this study aims to investigate the governance challenges facing South African airlines in the era of 4IR.Design/methodology/approachThis research used a qualitative research method. The main data were collected via 56 face-to-face semi-structured interviews with key stakeholders. The research achieved saturation. A thematic technique was used to analyse the collected data.FindingsFindings reveal 12 challenges and are grouped into six governance barriers facing South African airlines in the era of 4IR. Also, findings suggest measures to mitigate governance barriers and promote 4IR technologies usage in the airline sector.Originality/valueThe study assesses critical governance challenges facing South African airlines in the era of 4IR. Understanding the importance of vital governance challenges can assist critical stakeholders in promoting innovative policies and regulations tailored towards digitalised aerospace. Thus, the study contributes strategies to improve digital innovation and reduce airline risks in South Africa. Also, it contributes to the paucity of academic literature on developing countries’ airline governance in the 4IR era and the South African aviation sector.

Accessibility Evaluation on Ethiopian and South African Airlines Website and Mobile Applications

Air transport is one of the major transportation modes in Africa. It has been showing a growth due to significant increase of tourist flights and intercontinental flights. Ethiopian Airlines and South African Airlines are the leading airlines in Africa in terms of working capacity and annual profit. Both Ethiopian and South African Airlines have a website that lets their customers search and book a flight. They also have a mobile application for both android and iOS platforms. The airline industry in Africa is facing market competition from different airlines outside the continent. The competition is getting intense due to the usage of different technological artifacts in the air transport infrastructure by competitors. The development of an accessible and usable website and mobile application for flight booking and related services can help African airlines to compete well. This paper is about evaluating the accessibility of Ethiopian and South African airlines’ websites and mobile applications using manual and automatic accessibility evaluation techniques. As per the evaluation result, both airlines shall work hard to inclusively design their interactive online reservation systems. To do so, they need to consider the seven principles of Universal Design whenever they enhance their interactive systems.

South African Airways – born again?

Case overview This case focuses on the business rescue of South African Airlines. SAA, four times rated the best airline in Africa (SAA, 2019), was already insolvent when in early 2020 COVID-19 decimated the world. The state-owned airline, which had last made profits in 2011, continued to lose millions of passengers to competitors over the next decade and, despite bailouts of more than R40bn, entered Business Rescue in December 2019, still owing creditors more than R26bn. To the surprise of many, Public Enterprises minister Pravin Gordhan was determined to rescue the airline. In May 2021, the business rescue practitioners handed SAA back to the interim board and Thomas Kgokolo (CA) (MBA) was appointed interim CEO. In June 2021, Gordhan announced a “born again” SAA, “almost ready to take off” and promised no more bailouts. But, with several billion rand outstanding to complete the rescue plan, a grounded fleet, unresolved labour problems, an critical but unnamed “strategic-equity partner” and a largely unvaccinated country entering its third COVID wave – what were the chances? Expected learning outcomes Within the framework of a country desperately in need of jobs and short of capital, the case raises questions about ethics, accountability, responsibility, management, economics and strategy. Should retrenched workers in airlines feel the consequences of their unfortunate career choices? Ought government’s bail-out already failed industries? Should governments run airlines? What sources of funds are available? Have all the necessary requirements for “restructuring” to succeed been satisfied? Supplementary materials Teaching notes are available for educators only. Subject code CSS 11: Strategy. Study level/applicability MBA, Exec-ed.

Drivers of efficiency and their influence on airline performances in South Africa: a bootstrapped meta-frontier approach

PurposeThis paper aims to identify drivers of efficiency and their influence on airline performances in South Africa. Unfortunately, the methods currently used to measure airline efficiency fail to address the heterogeneity problem, which blurs inefficiency.Design/methodology/approachTo remedy the heterogeneity problem, this paper adopts the meta-frontier framework to identify drivers of efficiency. The interesting feature of the model is that it ensures that heterogeneous airlines are compared based on one homogeneous technology. The model is tested using a panel data sample of nine South African airlines, which operated from 2015 to 2018.FindingsThe paper demonstrates that structural drivers, namely, “aircraft size”, and “airline ownership” and one executional driver, namely, “the cost structure” significantly influence (p < 0.05) airline efficiency thereby corroborating evidence from some prior studies.Research limitations/implicationsFirst, because of the small size of the industry, fewer airlines and a lack of detailed data, the study could not consider other important factors such as optimal routing and network structure. Second, a more rigorous analysis over a period of time would yield better understanding about the growth of the industry in South Africa and recognise the variation in the influence of drivers of efficiency on airline performances over time.Practical implicationsThe results have potential policy implications. First, as the market in South Africa is too small to operate with a smaller aircraft probably, for airlines that operate with smaller aircraft to operate efficiently they should first identify niche markets where they can have a route monopoly. Second, while all state-owned airlines are perfect statehood symbols that define and represent countries, most state carriers in South Africa are highly inefficient. The researcher recommends policymakers to privatise state airlines or seek equity partners. Many nationalised airlines have turned losses to profits in the run-up to privatisation. British Airways, once a large burden on the British taxpayer, is now one of the world’s most efficient airlines. After the privatisation of Air France and Iberia, all two turned from loss-making concerns into profitable airlines. It, therefore, makes no sense for the South African government to expect state carriers to pursue a commercial mandate with such political interference. The very notion of efficiency itself is at risk.Originality/valueThis paper is a first attempt to identify drivers of operational efficiency using a bootstrapped meta-frontier approach in the airline industry in South Africa. By applying the meta-frontier approach the paper ensures that all heterogeneous airlines are assessed based on their distance from a common and identical frontier.

The Influence of Perceived Justice on Recovery Satisfaction in the Airline Industry

ABSTRACTThis study examines the influence of perceived justice on customer satisfaction with service recovery and on the future behavioral intentions of customers in the airline industry. The study uses an exploratory research design that is quantitative in nature. Questionnaires were used to collect data, and structural equation modeling was used for hypothesis testing. The study revealed that the three dimensions of perceived justice, namely interactional, distributive and procedural justice, influence satisfaction with service recovery in the South African airline industry. However, only interactional and distributive justice had a positive influence on future behavioral intention.

Emerging Information Technologies and Delivering of Service Quality to Air Passengers: Case of South African Own-Registered Airlines

Increasingly services to airline passengers have evolved into the digital and technological realms. This study examined the extent to which South African own-registered airlines (SAORA) utilize emerging information technologies in delivering service quality to air passengers. The acronym “SAORA” refers to Six South African own-registered airlines which was focus of this study. The research methodology adopted for this study was a descriptive approach focused on cross-sectional analysis. Using a quantitative research method and non-probability convenient sampling technique, primary data was collected from 684 passengers at O.R. Tambo International Airport in Johannesburg and King Shaka International Airport in Durban. The study revealed that by utilizing emerging technologies, SAORA stand to offer superior service quality to air passengers, thereby gaining competitive advantage, continuous patronage, loyalty and increased profitability.

Emerging Information Technologies and Delivering of Service Quality to Air Passengers: Case of South African Own-Registered Airlines

Increasingly services to airline passengers have evolved into the digital and technological realms. This study examined the extent to which South African own-registered airlines (SAORA) utilize emerging information technologies in delivering service quality to air passengers. The acronym “SAORA” refers to Six South African own-registered airlines which was focus of this study. The research methodology adopted for this study was a descriptive approach focused on cross-sectional analysis. Using a quantitative research method and non-probability convenient sampling technique, primary data was collected from 684 passengers at O.R. Tambo International Airport in Johannesburg and King Shaka International Airport in Durban. The study revealed that by utilizing emerging technologies, SAORA stand to offer superior service quality to air passengers, thereby gaining competitive advantage, continuous patronage, loyalty and increased profitability.

Barriers to Entry for Low Cost Carriers in the South African Airline Industry: Competitive Dynamics and the Entry, Expansion and Exit of 1time Airline

This paper examines the barriers to entry and expansion of competitor airlines in South Africa. The exit of 1Time from the market as well as the experience of FlySafair, a recent entrant, are used to draw lessons about competitive conditions and constraints that new airlines face in the market. The assessment shows that while the exogenous barriers to entry are not prohibitively high in South Africa (partly evidenced by the number of entrants), a history of repeated anti-competitive conduct by the national carrier, South Africa Airways, has contributed to these challenges. The analysis of price data covering 2014 and 2015 and information drawn from detailed firm-level interviews demonstrates the positive effects of entry in the South African market, including through reducing prices and increasing frequencies to smaller routes which has benefits for local economies. There is preliminary evidence that the entry of LCCs has also contributed to increased passenger volumes, although there are limitations in the data which is available to assess this further.

Interplay between air passengers’ service quality, satisfaction, loyalty and loyalty programmes in South African owned airlines

Orientation: Delivering service quality is crucial for the continuous operation and sustainability of South African owned airlines. The term ‘South African owned airlines’ refers to six South African owned registered airlines, and is used for purpose of anonymity and confidentiality.Research purpose: The main aim of this study was to examine the interplay between service quality delivery, satisfaction, loyalty programmes and passengers’ loyalty to South African owned airlines.Motivation for the study: Intended to provide insight into quality to society of airline services, the global airline industry in general and the airline industry in South Africa in particular.Research approach, design and method: A quantitative research approach was adopted, using a cross-sectional (sample survey) method. Empirical data was directly collected by the researchers from 684 passengers at O.R. Tambo International Airport in Johannesburg and King Shaka International Airport in Durban using a non-probability random sampling technique.Main findings: The study’s main findings were that: (1) generally, passengers of South African owned airlines were satisfied with the airlines’ service quality and rated such satisfaction as moderate to high. (2) Only 22% of passengers were part of a loyalty programme. However, in the South African context, loyalty programme membership is not indicative of passengers’ loyalty to airlines: 86% of the respondents stated that they are consistently loyal to the airlines (3). There was no association between passengers’ loyalty and frequency of travel. (4) South African passengers have limited choice of airlines; therefore, loyalty and patronage does not lean towards a particular airline.Practical implications: By offering superior service quality to passengers, South African owned airlines could gain competitive advantage ongoing patronage and loyalty, thus increasing overall profitability.Contributions: This study provides cognitive information, which management could use to design new marketing strategies to enhance loyalty in the airlines in South Africa and globally.

Service Quality Failure and Recovery Imperatives: Implications for Airlines Owned by South Africa

This article reports on a study that examined service quality and recovery among South African airlines. Service quality is pivotal in the airline industry as service failures could negatively affect operations. The authors created the acronym “AOSA” which stands for “airlines owned by South Africa” for the purposes of anonymity and confidentiality in order to protect the airlines’ identity. A quantitative research approach was used with a cross-sectional analysis (sample survey) conducted with passengers of South African-owned airlines. The questionnaire was designed using a Likert scale tool, adapted to the SERVQUAL model. A non-probability convenient sampling method was used to collect primary data from 684 passengers at O.R.Tambo International Airport in Johannesburg and King Shaka International Airport in Durban. The key findings were that: (1) significant statistical gaps exist between passengers’ expectations and perceptions of AOSA’s service quality and that unsatisfactory service quality is antecedent to service failure. (2) Unsatisfactory service quality is tantamount to service failure in the provision of services by AOSA. (3) A significant positive correlation exists between service quality and the dimensional variables of tangibility, reliability, responsiveness, assurance, and empathy of AOSA. In conclusion, AOSA service quality is unsatisfactory, and management should take steps to empower and train staff in service recovery techniques in other to avoid service failures.

Perceived justice in South African airline and hospital industries: measurement model

PurposeThe purpose of this paper is to describe and test a construct of perceived justice from an airline and hospital industry perspective. Furthermore, the similarities and differences of perceived justice in negative service encounters within the airline and hospital setting, and the validity of the constructs in the two different contexts is investigated.Design/methodology/approachThis paper reports on the results obtained from a South African survey on respondents who experienced a negative service incident in the last year in the airline and hospital industries. The two service settings being used purposely to reveal possible differences in the constructs in settings where life and health are at risk compared to a more hedonistic service. Comparative and confirmatory testing of perceived justice during service encounters in a hospital and airline setting was performed.FindingsThree dimensions of the perceived justice construct tested in the airline and hospital service encounters presented a satisfactory fit and were found to be valid and reliable. The three dimensions are distributive, interactional and procedural justice.Research limitations/implicationsThe main research limitations of this paper include that the construct has only been tested on a sample consisting of specific customer‐firm service encounters in airlines and hospitals in South Africa, which may indicate less applicability in other contexts. Yet, the empirical findings provide a basis for future research to refine and extend corporate endeavors in managing negative incidents in both the health care and tourism industries.Practical implicationsThe findings indicate that the notion of perceived justice is the same regardless of service industry. However, the average perception of justice is lower within hospital than in the airline industry. The similarities within these two industries imply that cross‐industry strategies can be developed to understand and manage the perceived justice in negative service encounters based on three justice dimensions.Originality/valueThe paper adds value by complementing and fortifying current theory and research on the justice construct from a service encounter and complaint handling perspective. By comparing the justice hospital and airline industries, this paper contributes to and complements the overall field of study by identifying similarities and the applicability of the justice concept across service industries.

The influence of passenger satisfaction on relationship formation in the South African domestic airline industry

Customers are increasingly becoming aware of alternative offerings in the market place, and are thus more demanding in terms of their expectations pertaining to service delivery. As airlines in particular are vulnerable to competitors’ offerings, they should offer passengers high levels of service and ensure that passengers are satisfied with their service offering in an effort to build long-term relationships. Building long-term relationships is important due to the financial and social benefits it holds to both the business and its customer. This study investigates whether passenger satisfaction influences whether or not passengers have formed a long-term relationship with the airline they fly with most often. Data was collected from South African domestic passengers departing from OR Tambo International Airport in Johannesburg by means of a convenience sample. Main findings from the study indicate that the majority of dissatisfied respondents have not formed a long-term relationship with the domestic airline, while satisfied respondents are more inclined to form a long-term relationship.

A liberalised South African airline industry: Measuring airline

The liberalisation of the South African airline industry through economic deregulation established competitive domestic and international markets. Sustainability of air transport, subject to these liberalisation effects, depends on efficient management information such as total-factor productivity, which necessitates comprehensive financial and operational information. Total-factor productivity in general, however, is not utilised by airlines as a key performance indicator since the measuring thereof is complex and regarded as tedious. Changes in air transport total-factor productivity can be measured in two ways. First, an index approach can be adopted that shows the proportional change in the inputs in relation to a proportional change in output. Secondly, a production function can be determined (econometric approach) that shows a change of productivity as a shift in the production curve. The research on which the article is based, exploited the theory, selection and application of an appropriate approach to determine changes of total-factor productivity of an individual airline to assist/support efficient decisionmaking by management.

A liberalised South African airline industry: Measuring airline total-factor productivity

The liberalisation of the South African airline industry through economic deregulation established competitive domestic and international markets. Sustainability of air transport, subject to these liberalisation effects, depends on efficient management information such as total-factor productivity, which necessitates comprehensive financial and operational information. Total-factor productivity in general, however, is not utilised by airlines as a key performance indicator since the measuring thereof is complex and regarded as tedious. Changes in air transport total-factor productivity can be measured in two ways. First, an index approach can be adopted that shows the proportional change in the inputs in relation to a proportional change in output. Secondly, a production function can be determined (econometric approach) that shows a change of productivity as a shift in the production curve. The research on which the article is based, exploited the theory, selection and application of an appropriate approach to determine changes of total-factor productivity of an individual airline to assist/support efficient decisionmaking by management.

‘The Corporate University’ Training And Learning

The training and development of employees in the airline industry usually take place within a decentralized structure and may result in fragmented and costly initiatives. To improve the current practice a corporate university (CU) model to be implemented in the airline is proposed. For the purpose of the study qualitative interviews were held, human documents were studied and participant observation and the views of employees of the South African airline industry were sought regarding training in general and CUs in particular. The study revealed support for the CU concept because it would encourage continuous learning at all levels in the organisation and would place emphasis on both employee and organisational needs.

DNR Issues In Airport And Airline AED Programmes: The Need For Dialogue And Openness In Developing Policy

This paper is concerned with the safeguarding of patient autonomy in the context of early defibrillation (AED) programmes, with particular reference to airlines and airports. It focusses especially on the role of out-of-hospital Do-Not-Resuscitate (OOH-DNR) orders as a means of communication with non-physician first responders. The ethical and legal issues surrounding OOH-DNR orders and lay first responders are briefly discussed. The implications of extending 'Good Samaritan' protection to operators unschooled in the determination of advance directives are raised. Most of all, the paper stresses the importance of wide consultation and open publicity regarding the DNR policy of any AED programme. In recent years, the use of automated external defibrillators (AEDs) by laypersons both trained and, in some cases, untrained has become increasingly widespread. Among the most enthusiastic adopters of AEDs have been commercial passenger airlines and airports. The Australian carrier QANTAS was the first to equip its fleet with AEDs [1] and since then a large number of both major and minor airlines have followed suit. As a result of federal legislation, all USbased carriers are now obliged to carry AEDs and train flight attendants in their use [2, 3]. Amongst other AED-equipped carriers are the Brazilian airline Varig [4], German Lufthansa [5], Air France [6], South African Airlines [7], British Airways [8], and Virgin Atlantic [9]. With regard to airport programmes, the one at Chicago's O'Hare Airport is probably the most widely publicized [10], though many airports, including London's Heathrow and a number of smaller UK airports, now have similar provision [11].

A Personal Journey Through South Africa with the Curriculum Development Committee of People to People International

People To People Delegation arrived after a fourteen hour flight. As we left the 747 South African Airlines (SAA), an unusual cool breeze greeted us as we unhanded the jumbo jet. We headed for official screening and passport identification, then on to claiming our luggage and through customs. The money exchange rate was R 4.45 to the dollar. After a brief roll call, we boarded the bus for The Balalaika Hotel & Crown Court, where we would spend the next three days. The first corporate logo I noticed driving into town was Xerox, then Siemens, Chrysler, Toyota and many more. The driver's steering column is on the right in South Africa and many Mercedes Benz, BMW, Volkswagen, and Japanese imports stood gleaming in the rush hour traffic. This environment is not much different from

Third culture building: an approach to intercultural communication in a South African airline

SUMMARY This article argues that ‘third culture building theory’ provides a holistic framework for the consolidation of existing intercultural communication theory. The discussion is based on the research problem that intercultural communication in South African organisations is impeded by cultural and racial prejudices from the apartheid era. The cabin crew of a South African airline are used as the study group. Assumptions about intercultural aspects in the channels of communication to which they are accustomed in the execution of their duties are projected. The theoretical groundwork is laid by discussing the concept of culture, organisations as cultures, and ‘third culture building’ as the holistic ideal in the increasingly diverse workplace. An intercultural communication survey of the study group in which the assumptions are tested is described. Conclusions are drawn and a brief plan of action for the instituition of a ‘third culture’ is recommended.

An Efficient Accessibility Model: Applications for Airline Network Analysis

This article describes an efficient, systematic procedure for ranking the accessibility and centrality of stations, using graph theoretic methods to identify pivotal and marginal points. Alitalia Airlines' Far East route structure and South African Airlines' domestic network are used to illustrate the model and its implications on the strategic location of headquarters, technical support services, conference sites and tourist attractions. The impact on aircraft deployment is also examined. The article addresses the logistical implications of the addition or deletion of new sectors or stations by way of sensitivity analysis and anticipates the growth of hub and spoke airline networks to increase total network connectivity and accessibility.