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Author Topic: Airplane Expenses  (Read 1308 times)

eqthomas

  • Former member
Airplane Expenses
« on: April 25, 2009, 03:40:45 PM »
I'm trying to figure out why my expenses related to my planes increase as I add more planes of a different type?  for instance my Airbus330 has increase from $400M to $1MM as i have added new Fokkers.  Why wouldn't the Airbuss expense remain the same.  I understand it going up if I added another Airbus 330.

Offline Sami

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Re: Airplane Expenses
« Reply #1 on: April 25, 2009, 03:49:08 PM »
See Fleet commonality page.

eqthomas

  • Former member
Re: Airplane Expenses
« Reply #2 on: April 25, 2009, 04:17:52 PM »
I understand the fleet commonality but the fixed maintenance cost shouldn't continue to rise as I add subsequent Fokkers.  I understand it rising after added the first one but to continue to rise as I add more doesn't make sense.  Then it is really not fixed maintenance cost it's variable maintenance cost.  I understand you have extra cost for having more than one type but for it to continually rise as I add more planes doesn't make much sense. 

Offline Sami

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Re: Airplane Expenses
« Reply #3 on: April 25, 2009, 04:33:07 PM »
Well its sort of both. Fixed cost (base cost) and then airplane number related cost. As each individual plane has also admin / documentation work and so on.. And more training as there are more pilots, to name few items.

Offline Big Ern

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Re: Airplane Expenses
« Reply #4 on: May 19, 2009, 01:54:10 PM »
Sami, I did hit search, but couldn't find an absolut answer.

Could you please explain why the cost does go up on fleet group A, if you add a new group B?

Why does the fixed fleet costs for A rise when B fleet group is added? I do understand fixed costs for A go up when I add planes to A.

I just had this happen to me. Adding MD-11's to my fleet and all of my 3 other fleet group staff trainings etc. went up.

/BE

Jps

  • Former member
Re: Airplane Expenses
« Reply #5 on: May 19, 2009, 02:09:29 PM »
Staff training costs are of course rising, since with a new type, you have to train all your engineers to be able to maintain the new type as well.

Kontio

  • Former member
Re: Airplane Expenses
« Reply #6 on: May 19, 2009, 02:38:47 PM »
Staff training costs are of course rising, since with a new type, you have to train all your engineers to be able to maintain the new type as well.

Why can't you just keep the old engineers for the old planes and get new engineers solely for the new ones?

bluemoon

  • Former member
Re: Airplane Expenses
« Reply #7 on: May 19, 2009, 02:56:22 PM »
That's interesting.
When you have new type of A/Cs in the company, you also add employees to fly and maintain the A/Cs.  And you probably have different teams to deal with different type of A/Cs. For example, you will have one team, including the pilots and engineers, for A343 and another team for B747 without overlaps. I believe that pilots who fly A343 will not fly B747 because the operating systems are different.  To learn more systems just make them easy to confused and increase the chance to make mistakes.  I believe this is why we have aircraft commodity.  
Moreover, when you add a B744 to your pure A343 fleet, you will add a new team to fly and maintain the new B744 not training recent team to fly and maintain the new B744.  This should not affect the cost of original A343 team.  Maybe employees in logistic and warehouse have to train to manage the additional component, but the cost should be little.

Offline Big Ern

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Re: Airplane Expenses
« Reply #8 on: May 19, 2009, 02:59:03 PM »
Staff training costs are of course rising, since with a new type, you have to train all your engineers to be able to maintain the new type as well.

Why bother hiring so much more people then? It just does not add up what you're saying.  ;) Plus it says CREW training, engineers are not part of the crew...

/BE

bluemoon

  • Former member
Re: Airplane Expenses
« Reply #9 on: May 19, 2009, 03:13:03 PM »
oh, i forgot.
The flight attendants do need extra training to familiar with equipment in the new A/Cs and the different layout.

Offline Big Ern

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Re: Airplane Expenses
« Reply #10 on: May 19, 2009, 03:56:11 PM »
Again, I always have to employ new ones. The old do not need training as they are for one type only. This is a simple way of thinking.

/BE

eqthomas

  • Former member
Re: Airplane Expenses
« Reply #11 on: May 19, 2009, 10:30:37 PM »
Big Ern,

Good luck on getting a legit answer to this question.  There is no reason A's cost should continue to rise because you are adding to the total of B.

 

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