AE 413 - MODULE 8

AE 413 - MODULE 8

Airline Management​

By Engr. Jahaziel Vargas-Herrera

Every organization has goals, whether they be profits, market share, growth, quality of products or services, community image, or any combination of these. Management is the process of achieving an organization’s goals through the coordinated performance of five specific functions: planning, organizing, staffing, directing, and controlling.

​AIRLINE MANAGEMENT

Multiple Choice

______________ is responsible for the execution and interpretation of policies throughout the organization.

• operating management

• middle management

• top management

Multiple Choice

It is the second level of management in the organization and is responsible for developing operational plans and procedures to implement the broader ones conceived by top management.

• operating management

• middle management

• top management

Multiple Choice

A firm’s _________________ is generally considered to be the policy-making group responsible for the overall direction of the company

• operating management

• middle management

• top management

Multiple Choice

________________ is the highest level of management in the organization. Its job is to determine the broad objectives and procedures necessary to meet the goals established by the board of directors.

• operating management

• middle management

• top management

Multiple Choice

It includes managers, assistant managers, section chiefs, general supervisors, and supervisors who head up sections, groups, or units that report to division or department heads.

• operating management

• middle management

• top management

Multiple Choice

Decisions on which advertising media to use, how many reservations agents are needed, and what new equipment to purchase are examples of those made by ___________________.

• operating management

• middle management

• top management

Multiple Choice

_______________ is directly responsible for the final execution of policies by employees under its supervision.

• operating management

• middle management

• top management

Multiple Choice

__________ is the chief policy-making body of the corporation elected by the stockholders and the forum to whom the president reports.

• Senior Vice-President.

• Board of Directors.

• Executive Vice-President

• General Manager.

Multiple Choice

TRUE OR FALSE. The directors of the corporation are responsible for the appointment of a president, secretary, treasurer, and other executive officers who handle the actual details of management.

• TRUE

• FALSE

Multiple Choice

This individual is the chief executive officer of the corporation and is responsible for the proper functioning of the business.

• Senior Vice-President.

• Board of Directors.

• Executive Vice-President/ General Manager.

• President

Multiple Choice

This individual generally has years of airline experience and is responsible for the day-to-day operation of the company.

• Senior Vice-President.

• Board of Directors.

• Executive Vice-President/ General Manager.

• President

Multiple Choice

This title generally is reserved for those individuals who head up a major administration.

• Senior Vice-President.

• Board of Directors.

• Executive Vice-President/ General Manager.

• President

Multiple Choice

Choose the steps involved in decision making (in chronological order):

(a) selection of the solution believed to be the most favorable

(b) recognition of the problem involved

(c) the attempt to establish two or more alternative solutions and to evaluate them comparatively,

(d) adoption of this solution and implementation of it through the issuing of the necessary orders.

(e) definition of the problem and breakdown into its essential parts

• B, E, C, A, D

• D, A, C, E, B

• A, B, C, D, E

• E, D, C, B, A

Multiple Choice

TRUE OR FALSE. As a rule of thumb, there should be at least one very experienced person on the management team. Often, such an individual is referred to as a “gray hair.”

• TRUE

• FALSE

Multiple Choice

TRUE OR FALSE. The top three costs for an airline are fuel, labor, and maintenance

• TRUE

• FALSE

Multiple Choice

These are the general goals an organization wants to achieve. Some examples might be “earn an annual return of 12 percent on our investment,” “capture 25 percent of the New Orleans–Memphis market,” and “develop a new promotional fare to compete with Airline X.”

• Administration or departmental goals.

• Companywide goals

• Individual goals.

Multiple Choice

These goals should be related to—and should lead directly to—the achievement of companywide goals. Some examples might be “improve on-time performance by 10 percent systemwide during the next quarter,” “develop and implement a new training program for apprentice-level mechanics in the sheet metal shop,” and “hold flight attendant absenteeism to 7 percent.”

• Administration or departmental goals.

• Companywide goals

• Individual goals.

Multiple Choice

These are the goals that specific persons will have to achieve if departmental, division, group, or unit goals are to be met. Some examples might be “increase my cargo sales volume by 10 percent over last year” and “process 10 percent more insurance claims per week.”

• Administration or departmental goals.

• Companywide goals

• Individual goals.

Multiple Choice

_______________ is a continuous cycle of goal setting, coaching and feedback, and appraisal of results. It is a natural behavioral process that most individuals follow on a daily basis

• management by objectives

• management by operations

• mandated by objectives

• mandated by operations

Multiple Choice

A _________ is a guide; employees do have some discretion in its implementation

• Rules or regulations

• Procedure

• Policy

Multiple Choice

A _________ specifies in more detail the kind of action required to handle a specific situation.

• Rules or regulations

• Procedure

• Policy

Multiple Choice

________ indicate in very precise terms whether, in a specific situation, something is to be done or not done.

• Rules or regulations

• Procedure

• Policy

Multiple Choice

The management process begins with ___________, which sets the stage for what the organization will do, both globally and specifically.

• Controlling

• Organizing

• Staffing

• Planning

• Directing

Multiple Choice

__________ the process of logically grouping activities, delineating authority and responsibility, and establishing working relationships that enable the employees, and thus the entire unit, to work with maximum efficiency and effectiveness.

• Controlling

• Organizing

• Staffing

• Planning

• Directing

Multiple Choice

__________ includes defining work force requirements for the job to be done, as well as inventorying, appraising, and selecting candidates for positions; compensating employees; and training or otherwise developing both job candidates and current employees to accomplish their tasks effectively.

• Controlling

• Organizing

• Staffing

• Planning

• Directing

Multiple Choice

_________ includes assigning tasks and instructing subordinates on what to do and perhaps how to do it.

• Controlling

• Organizing

• Staffing

• Planning

• Directing

Multiple Choice

_______ involves measuring performance against goals and plans, showing where deviations occur and, by putting in motion actions to correct deviations, ensuring accomplishment of plans.

• Controlling

• Organizing

• Staffing

• Planning

• Directing

Multiple Choice

TRUE OR FALSE. The principle of unity of objectives states that each administration, department, division, section, group, and unit of the company must contribute to the accomplishment of the overall goals of the firm.

• TRUE

• FALSE

Multiple Choice

TRUE OR FALSE. It is impossible to specify the exact number of subordinates that a manager can supervise for each situation, for that depends on such variables as (1) the type and complexity of work being performed, (2) the manager’s ability, (3) the training of subordinates, (4) the effectiveness of communications, and (5) the importance of time.

• TRUE

• FALSE

Multiple Choice

TRUE OR FALSE. A carrier must be flexible so that it can adapt to changing conditions, both internal and external.

• TRUE

• FALSE

Multiple Choice

TRUE OR FALSE. The levels of management principle holds that the number of levels of management in the company should be kept to a minimum.

• TRUE

• FALSE

Multiple Choice

TRUE OR FALSE. Organizational Chart referred to as the blueprint of the company, depicts the formal authority relationships between superiors and subordinates at the various hierarchical levels, as well as the formal channels of communication within the company.

• TRUE

• FALSE

Multiple Choice

________ is the practice of subdividing both people and functions into groups within an organization to gain the advantages of specialization.

• Delegation of Authority

• Departmentalization

• Levels of Management.

• Flexibility

• Communication

Multiple Choice

________ implies that the authority to make decisions should be pushed down to the lowest competent level of supervision. This allows minor decisions to be made at the lower levels of management, and major decisions at the higher levels.

• Delegation of Authority

• Departmentalization

• Levels of Management.

• Flexibility

• Communication

Multiple Choice

The term ________ here means an uninterrupted flow of orders, instructions, questions, responses, explanations, ideas, and suggestions between top management and the rest of the organization. This flow should be two-way—that is, both from management to employees and from employees to management

• Delegation of Authority

• Departmentalization

• Levels of Management.

• Flexibility

• Communication

Multiple Choice

The ________ administration formulates policies for the financing of all activities in the airline and is charged with the receipt and safeguarding of the company’s revenues and the accounting of all receipts and disbursements.

• Finance and Property

• Personnel Administration

• Information Services

• Medical

• Legal

Multiple Choice

_______ is responsible for designing and maintaining the data communications network within the airline. Included are database administrators, who coordinate the data collection and storage needs of user departments, and systems analysts, who are responsible for analyzing how computer data processing can be applied to specific user problems and for designing effective data-processing solutions.

• Finance and Property

• Personnel Administration

• Information Services

• Medical

• Legal

Multiple Choice

Its primary goal is to maintain a mutually satisfactory relationship between management and employees. It is responsible for providing fair and adequate personnel policies.

• Finance and Property

• Personnel Administration

• Information Services

• Medical

• Legal

Multiple Choice

_________ provides health services to all employees through physical exams and emergency treatment and establishes health criteria for hiring new employees.

• Economic Planning

• Personnel Administration

• Corporate Communications

• Medical

• Legal

Multiple Choice

This administration is responsible for handling all legal matters, including claims against the company for loss of or damage to the property of others and for injuries to persons. This administration also works closely with government agencies regarding regulatory matters.

• Economic Planning

• Personnel Administration

• Corporate Communications

• Medical

• Legal

Multiple Choice

This department can be seen as the mouthpiece for the carrier. Most announcements regarding company activities, whether it be an impending strike, weather-caused flight cancellations, or the latest traffic or financial statistics, are made by a representative of this department

• Economic Planning

• Personnel Administration

• Corporate Communications

• Medical

• Legal

Multiple Choice

This administration develops all long-range forecasts and projects the company’s financial returns, including revenues and profit-and-loss statistics, and it develops all cost control and capital expenditure programs. In this capacity, the administration works very closely with top-level management, as well as with all other administrations, in implementing corporate goals.

• Economic Planning

• Personnel Administration

• Corporate Communications

• Medical

• Legal

Multiple Choice

TRUE OR FALSE. Staff departments include those areas that provide a service to the line departments.

• TRUE

• FALSE

Multiple Choice

TRUE OR FALSE. Line departments are those administrations that are directly involved in producing and selling air transportation.

• TRUE

• FALSE

Multiple Choice

__________ is the administration is responsible for developing schedule patterns and procedures for the economic utilization of flight equipment and personnel. It also directs an operations analysis and planning service that effectively plans and exercises continuous control over flight operations activities throughout the system

• Engineering Maintenance

• Flight Operations

• Marketing and Services

Multiple Choice

The chief executive officer of _____________ is the senior vice president, whose responsibilities are as broad as the mission of this administration: to keep the company’s equipment in condition to provide safe and salable air transportation

• Engineering Maintenance

• Flight Operations

• Marketing and Services

Multiple Choice

_________ is generally conceded to be the largest, most versatile, and best-equipped facility in the system. It is the overhaul and modification center for the carrier’s entire fleet, and it has the capability of repairing nearly all aircraft components. Few components must be returned to the manufacturer or sent to outside agencies for reconditioning.

• maintenance base

• Major stations

• Service stations

Multiple Choice

_________include the carrier’s large hub cities. These stations have relatively large numbers of maintenance people and extensive facilities. They also maintain a substantial inventory of spare parts, mainly supplied by the maintenance base.

• maintenance base

• Major stations

• Service stations

Multiple Choice

_________are large stations served by the carrier but not located at major hub cities with large banks of connecting flights. These stations are well equipped and well-staffed with line maintenance personnel.

• maintenance base

• Major stations

• Service stations

Multiple Choice

_________ department, working closely with the company’s advertising agency, provides expertise on promotional messages, copy, media, and timing.

• Sales Planning.

• Services Planning

• Marketing Services

• Advertising

• Sales and Services

Multiple Choice

_______ department is responsible for the development of the in-flight and ground services for the various markets identified by market research and forecasting. These include everything from reservations and ticketing services to in-flight entertainment and dining services. The latter includes such details as the type of meal service aboard various flights, the number of courses, and the various menus.

• Sales Planning.

• Services Planning

• Marketing Services

• Advertising

• Sales and Services

Multiple Choice

__________ literally designs the carrier’s products and determines the firm’s market opportunities. Included are such major divisions as market research and forecasting, pricing, and schedule planning.

• Sales Planning.

• Services Planning

• Marketing Services

• Food services

• Sales and Services

Multiple Choice

_________ is concerned with the means by which a carrier’s products and services are delivered to consumers.

• Sales Planning.

• Services Planning

• Marketing Services

• Food services

• Sales and Services