Operational Management Case Study
Case A
Birmingham International Airport(BIA) is an international airport located at United
states Alabama as the biggest airport in the state.This case aims to examine the
operational strategies of the BIA and new challenge and opportunities met by BIA.
The essay will discuss the questions given following the case and provide a
reasonable analysis and answer for each question.
Q1.
According to the statement of Richard Heard who is BIA’s operations director and
information given by paragraph two, it can be observed that many micro-operations
are conducted in this airport.
First, it is about the airport security check. Main transformed resources are
passengers. Transforming resources are the security check staff which is mentioned by
Richard about 300 people in BIA. The output is the safe passenger and safety for
plane. Obviously, customers are the passengers.
Second, one of the micro-operations is maintenance of the whole site. Main
transformed resources are buildings and facilities. Transforming resources are
maintenance workers. Output of this micro-operation is building with high safety
coefficient. Customers are the users of the building such as work staff, passengers,
security check staff and so on.
Third, the micro-operations is about air-craft cleaning. Main transformed resources
and transforming resources are planes and cleaners respectively. Output is the neat
plane and customers are the airline staff and passengers.
Fourth, the micro-operations is air ticket check. Main transformed resources and
transforming resources are ticket and ticket staff separately. Output is the correct
ticket without identity error. Customers are passengers.
Fifth, supplementary fuel is also a micro-operation. Fuel is the predominant
transformed resource. Refueling staff is the primary transforming resource. Output is
the plane with full fuel. Customers are the people on the flight such as passengers and
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airline staff.
Sixth, information desk can be regarded as one of the micro-operations. Main
transformed resource is information guideline or query. Main transforming resource is
inquiry staff. Output is the correct information provided. Customers are certainly
passengers and visitors.
Seventh, the last micro-operation baggage handling. Primary transformed resource is
about luggage. Similarly, transforming resource is baggage handling staff. Output is
that passengers’ luggage reaching proper destination. Customers are passengers.
In order to make it clear, the figure 1 will exhibit all the factors mentioned above.
Q2.
The major job of operations director is to supervise about 600 employees of BIA.
Meanwhile, managing short and middle level term operational planning is included in
his work. Also managing the terminal building and facilities need his examination on
the spot. As for security arrangements, he should ensure this procedure to run
smoothly. Finally, it is indispensable for him to manage day-to-day operation properly
so that airport is able to work as efficient as possible. Besides, he has duty to plan for
long-term development and design of the airport. In long-term plan, operations
director should consider expansion of airport and arrange the capital reasonably to
response to forecast of passenger numbers.
The major problems he may faces in managing the airport include:
- Deciding the proper slot allocations for different airways firms
Mostly, slot allocations are the most difficult part for operation director to decide. The
result of unreasonable slot allocations is flight delay which will decrease satisfaction
of passengers.
- Effectively tackling with the delay problem with allocating resources properly
When serious delay problems happen, director should consider whether arrange board
and lodging for passengers, inform passengers timely flight information.
- Handling emergency situations such as bomb threats, fire, evacuations.
Although these situations have a low probabilities to happen, this is the necessary for
operation director to deal with them efficiently.
- Planing for new construction projects.
In the case, BIA aims to expand its scale to deal with passengers increment.
Therefore, operation director should manage how these new buildings design, located
and budget problem.
- Managing and developing daily operation in the airport
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It is the daily work for operation director to do.
Q3.
the work Richard Heard does may include:
- Overlooking the long term development and make an appropriate plan for it.
In the case, the number of passengers are expected to grow up so Richard should
make appropriate plan for expanding the size of the airport. Also this plan involves a
huge number of money. Budget and capital plan are his work too.
- Identifying his leadership and providing co-ordination for organizations
In the terminal, there are many different departments and Richard should corporate
these branched together, such as retailer, cargo handler, security check staff.
- Setting safety and customer service standards for staff adhere to
Richard should establish proper rules or standards for staff in terminal to obey. It will
increase the work efficiency and reduce the transaction cost.
- Developing safety precaution and management to cope with emergency situation
Richard need to ensure all the staff being well-trained about emergency situation. He
can conduct fire-drill regularly. Also he should check whether there is dangerous stuff
in the airport everyday.
- Making sure about good strategy in tackling with day-to-day problem
Richard should adjust the standards allocation when delay happens. When there is a
big snow, Richard should ensure the airstrip without frost.
-Ensuring efficient operational planning for allocating of infrastructure to the airlines
Q4.
Long-term operational management aims to ensure the efficiency of the process and
procedure which makes day-to-day operation easy and run smoothly. Working staff
can identify their day-to-day task clearly if the company plan for a good procedure.
The procedure should be tested and tried for many times so that it can be applied in
reality. We can see some examples in the case how long term operation influence day-
to-day tasks.
As mentioned above, operation director should plan for building maintenance and
agreeing with slot allocations with airlines. This long term plan can ensure each
airline arrange their aircraft take off and land on time. Staff in the control tower can
know their task clearly. For example, staff know what they need to do such as A is
going to direct the airline, B is going to build air bridges, C is going to instruct plane
to land. Meanwhile, efficient procedure will take great effect when emergency
situation happen. Well-trained fire crew and appropriate safety management are the
outcomes of long-term plan. When emergency happens, terminal duty manager can
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make reasonable arrangement to deal with special situation. Besides, new building
project for instance car parks, catering outlets is to cope with the growing passengers
day-to-day.
As operation director, Richard is able to manages to oversee both day-to-day tasks
and long-term issues at the same time. He has his managers to help deal with day-to-
day terminal operation and long-term planing operation. Terminal manager aims to
deal with the daily work in the terminal such as ensuring information desk providing
correct information, dealing with questionable stuff carried by passengers. Besides,
terminal manager should take effective action when emergency situation happens.
Therefore terminal manager’s work focus on the day-to-day task and he should report
to Richard everyday about the situation in the airport. Also there is an operational
manager helps Richard tackle with problem happen in airfield. His work is to handle
the problem about changing slot allocation because the delay and arranging clean the
airport runway if any barriers unexpectedly arise. Finally operation planning manager
aims to make the long-term plan for the airport development. They can provide
suggestions to Richard and help him to make decision.
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Figure 1
Micro Operation Main Main Output Customer
Transformed Transforming
Resources Resources
Security Checks Passenger Security Staff Safe Passenger Passenger
and Plane
Site Building and Maintenance High Safety Users of The
Maintenance Facility Worker Building Building
Air Craft Plane Cleaner Clean Plane Passenger and
Cleaning Airline Staff
Ticket check Ticket Ticket checking Corrected ticket Passenger
staff
Supplement Fuel Refueling Staff Plane with Full Passenger and
Fuel Fuel Airline Staff
Baggage Baggage Baggage Baggage Passenger
Handling Handling Staff Reaching
Destination
Information Information Inquiry Staff Correct Passengers and
Desk Guideline or information visitors
Query
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