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Etihad Airways

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ETIHAD AIRWAYS

 One of the youngest and fast-growing airlines in the world

 Based in Abu Dhabi, United Arab Emirates

 First National Flights: Al Ain (Nov 3rd, 2003)

 First Commercial Flight: Beirut (Nov 12th, 2003)

 Covering 103 destinations

 Across 63 countries

 Currently having 150 office Locations

 In July 2003 established as the national airline of UAE by Royal (Amiri) Decree issued
by Shiekh Khalifa bin Zayed Al Bahyan

 National Carrier of UAE

 Headquarter in the Capital of UAE, Abu Dhabi

 Started Operation in Nov 2003

SUPPLY CHAIN MANAGEMENT


Main Product (Service)

 Air Transportation of Passengers


Other Products (Services)

 Etihad Ground Services

 Etihad Cargo

 Etihad Holidays

 Etihad Flight College

ETIHAD CARGO
 Dangerous goods

 Mail

 Cold Chain
 Sky stables

 Human Remains

ETIHAD GROUND SERVICES


Etihad Airways acquired 3 subsidiaries of ADAC

 Abu Dhabi Cargo Company (ADCC)

 Abu Dhabi In-Flight Catering (ADIFC)

 Abu Dhabi Airport Services (ADAS-Ground handling Business)


Now, it created its own Subsidiary

 Etihad Airport Services


 Catering (Food, Beverages, Duty Free, Cleaning etc)
 Ramp (Luggage Handling, catering trucks, passenger stairs, and wheelchairs for
passengers, refueling, ground power)
 Cabin (Passengers assistance and in flight)

ETIHAD HOLIDAYS
Etihad holidays is yet another product servicing its customers throughout the destinations
including:

 Travel Packages

 Hotels

 Cab Services

 Cruises

 Events (One good example is Etihad AD Grand Prix-Formula 1)

ETIHAD FLIGHT COLLEGE


 Etihad Airways is in the process of establishing Etihad Flight College, a world-class
flight training facility in the United Arab Emirates for Emirati and international cadet
pilots
 Based in Al Ain, Etihad Flight College will provide fixed wing flight training for ab-
initio cadets, for the Airline Transport Pilot License (ATPL), Multi crew Pilot Licence
(MPL) etc

KEY ELEMENTS-SCM
Etihad Airways Important Supply Chain elements which help executing its Supply Chain
Strategy are:

 Facilities

 Information

 Sourcing

 Pricing

 Inventory

 Transportation

OPERATIONAL STRATEGY POLICIES


 Operational strategy involves establishment of policies and working practices in
order to execute the crucial processes and operations of the company including
effective utilization of resources and personals.

 The basic purpose of operational strategy is to meet the demands of market and
goals and objectives of the company.

SUPPLY NETWORK STRATEGY


 Operations of a company are not complete without successful supply network.

 Supply network refers to the degree to which it is determined whether operations


are being conducted in-house or outsourced

 Supply network is web of interdependencies between key parties who help to


streamline the operations.

PROCUREMENT AND SUPPLIES


FUEL

 Procurement of fuel is one of the most important functions of supply chain


management

 Etihad Airways is working on project of streamlining the supply of biofuel in UAE

 This will result in Administrating smooth and steady operations of airline.


In-flight

 Motivation of passengers

 Entertainment (games, customized iPad)

 On board Shopping
Maintenance Spare Parts

 The purpose is to ensure no delay in flight shortages

 Periodic meetings with contractors and subcontractors in order to ensure timely


availability of material.

 For purchasing of Etihad consumables, effective monitoring and control system is


placed in action by the airline company
Fleet Capacity

 Capacity deals with size of operations in meeting demands of the customers or


clients

 The company is adding more planes to its portfolio

 Number of aircraft by Brands

A330- A340- A340-


Aircraft Family A319-100 A320-200 A321-200 A330-200 A380
300 500 600

Airbus 2 23 3 18 6 4 7 1

B777- B777- B777-


Aircraft Family B777-200LR B787
300ER 300ERM 300ERS

Boeing 5 6 2 1

FACILITIES
 Facilities involve focus of operational resources including size and location

 Improvement of ground services at airport facilities, and waiting lounges

 Warehouses and facilities closed to airport to secure smooth supply of requirements

 Etihad is in the phase of expanding its network with other airlines and this is also one
of the most important strategies regarding operations
PROCESS TECHNOLOGY
 Technology is being used in each part of operations

 SAP implementation

 Etihad Training College

INNOVATION
 Etihad is establishing technology centers in UAE in order to foster innovation and
creativity

 Flying Nanny Service in which specially trained flight attendants provide expert
childcare

 Customized iPad onboard

 A state-of-the-art chair “Go Sleep “that converts into a sleeping pod innovated
product customized to Abu Dhabi International Airport specifications

CONTINUOUS IMPROVEMENT
 Improve performance and upgrade systems that deliver ease and quality.

 Initiative of supporting biofuel supply chain in UAE

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