As we all know, aeronautical engineering studies are one of the most demanding and dedicated among all engineering studies. After four years of studies and two years of specialization, employment in the current aeronautical market is not guaranteed, so new engineers must adapt to the possibilities offered by the aeronautical industry.
In this article, we will describe the important performance of an aeronautical engineer in the commercial strategy management department of an airline.
At first glance, it is not expected for an aeronautical engineer to develop his professional career in the management and strategy area of an airline, but the reality is that the passion for the aeronautical world creates a magical link that makes it possible to adapt the figure of the engineer to the strategic area of any company dedicated to the aerospace sector.
The commercial strategy and management department is the heart of any airline, it is like the kitchen of a restaurant where the most delicious dishes that make the restaurant unique are designed and created, that is why the engineer becomes a master chef analyzing data to create the best commercial strategy and this can generate profits for the airline.
Business strategy management areas
The following sub-departments are part of the commercial strategy management:
- Network Planning: in charge of the design and management of new air routes, i.e. planning which cities to fly between, frequency of flights, optimal flight schedules, and possible benefits generated by the new routes. Studies and management of competition such as new routes created by competitors, current routes they join, their possible impact, and developing measures to compete efficiently and profitably.
- Scheduling: in charge of scheduling all flights according to the resources available to the company.
- Slots: in charge of managing airport permits for airline operations.
Revenue: responsible for the study and design of commercial ticket sales according to the demand of each route.
Systems: the systems department is a link between the decisions made by Revenue and the different ticketing systems so that it fits the company’s current system.
The commercial performance department serves as a link between the strategy department and the revenue department in which daily and weekly sales in the different markets are reported and analyzed. He is in charge of creating the budget and sales forecasts for the company, following the economic income and the reports of possible sales prepared by the strategy department so that the revenue department can adjust the price of the tickets and meet the objectives set. This department is also responsible for reworking budgets to adapt them to the current economic situation in the event of commercial changes, such as the entry of a competitor on a route or the outbreak of a global crisis.
As you can see, the figure of the aeronautical engineer can adapt very well to the commercial area of a company in the aeronautical industry.
If you liked the article I invite you to attend the webinar organized by the Association of Aeronautics and Space Students in collaboration with ITAérea on Friday May 15 at 17:00 (Madrid time) in which the Volotea analyst engineer and professor at the aeronautical business university ITAéra Alejandro Baró Larriba will explain directly the key role played by the strategy department in an airline and consistency with the state of the current market.
You may join the webinar using this link LINK