Mid Term 2014 Aviation Management
28-08-2014 (14:30)
 Section A – Objective (10 Question) (10 Mark)
 Section B – Structure (4 Question) (20 Mark)
 Section C – Essay (3 Question) (10 Mark)
Until Chapter 2
* IATA Structure
 Function of IATA
 Consoltan
 Price setting body for international AirFare.
 First 57 members .
 240 member from 118 Country.
 BSP (Billing Settlement Plan)
 Benefit Airline and Airport
 *Essay
 In Your Opinion Why we need secure Aviation ?
 Explain briefly about DCA Malaysia
The Founding of IATA
 IATA was founded in Havana, Cuba, in April 1945. It is the prime vehicle for
inter-airline cooperation in promoting safe, reliable, secure and economical air
services for the benefit of the world's consumers.
The international scheduled air transport industry is more than 100 times larger than it
was in 1945. Few industries can match the dynamism of that growth, which would have
been much less spectacular without the standards, practices and procedures developed
within IATA.
At its founding, IATA had 57 members from 31 nations, mostly in Europe and North
America. Today it has some 240 members from 118 nations in every part of the globe.
The modern IATA is the successor (pengganti) to the International Air Traffic
Association founded in the Hague in 1919 - the year of the world's first international
scheduled services
Core functions
 One of its core functions was to act as a price setting body for
international airfare.
 In an arrangement going back to 1944, international fare prices have been
set through bilateral governmental agreements rather than through
market mechanisms.
 Airlines had been granted a special exemption by each of the
main regulatory authorities in the world to consult prices with each other
through this body
The International Air Transport Association
(IATA)
 IATA is the trade association for the world’s airlines, representing
some 240 airlines or 84% of total air traffic. IATA support many areas of
aviation activity and help formulate industry policy on critical aviation
issues.
IATA's Industry Priorities and Targets
Airline revenues: manage airline revenues securely and
efficiently
 Automate 96% of settlements with a global tool
 Aim to reduce costs 27% by 2017
 Ensure 99.95% of IATA Settlement Systems (Billing & Settlement Plan
BSP and Cargo Account Settlement Systems CASS) funds are settled on time
Value chains: re-balance the value chains, improve airline
revenues, and reduce costs
 Develop a refined standard for New Distribution Capability and implement live
pilots involving airlines and agencies
 Reduce airport and Air Navigation Service Provider air navigation service
provider (ANSP) charges, fuel fees and taxes by $750 million as well as proposed
cost dicreases by 25% in 2013–2014
IATA's Industry Priorities and
Targets
Environment: protect the industry’s ability to grow in a sustainable
manner
 Facilitate a global agreement on market-based measures under ICAO
that reflects IATA’s four-pillar strategy and the industry’s commitment
to carbon-neutral growth from 2020
Regulatory: protect members from burden some regulation
 Ensure governments follow the Worldwide Slot Guidelines (WSG)
when determining slot allocation procedures
 Press for the adoption of harmonized and reasonable approaches to
consumer protection/passenger rights legislation and regulation
Industry costs and customer service: create value, reduce industry costs,
and improve customer service
 Achieve 20% e-Air Waybill (e-AWB) penetration where legally feasible
 Complete implementation of Electronic Miscellaneous
Documents (EMDs) in the IATA Billing and Settlement Plan (BSP)
 Drive Fast Travel penetration to include 20% of eligible passengers
Benefits for airlines and regulators
 Quality audit program under stewardship of IATA
 Continuous updating of standards to reflect regulatory
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revisions and best practices
Elimination of audit redundancy, reducing costs and
audit resource requirements
Accredited audit organizations with formally trained
and qualified auditors
Accredited training organizations with auditor
training courses
Structured audit methodology, standardized checklists
IATA and airport
 Airport Slots
 Security: Checkpoint of the Future
 Airport codes
 Towards user-friendly airports
 Ground Handling Safety
 Airport Charges
IATA and airport
 IATA supports the development and management of standards for the
slot allocation process in consultation with airport coordinators and
airlines. The standards are published in the IATA Worldwide Slot
Guidelines
Department Civil Aviation
 The DCA is established as an agency under the Ministry Of Transport
(MOT) Malaysia to provide safe, efficient and orderly flow of air
transportation, and to regulate aviation activities in Malaysia. The rapid
expansion of Malaysia’s aviation and air transport industries is largely due
to the approach taken by DCA in ensuring compliance to standards and
recommended practices of the International Civil Aviation Organization
(ICAO).
 VISION – to be the worlds leading aviation industry
 MISION – to continuously enhance safety, security and efficiency for a
sustainable aviation industry
 KEY RESULT AREA
 Promote - enhancement to organizational and system capacity.
 Legislation – strengthen the regulatory framework for civil aviation industry
 Safety – assurance for security in the aviation environment
 Sustainability – encourage and uphold sustainability of the aviation industry
THE AIRWORTHINESS SECTOR
 FUNCTION
 The Airworthiness Sector carries the regulatory function in respect of
airworthiness through the establishment of standards, recommended
practices and guidelines, and their enforcement as required by the Civil
Aviation Act [CAA] 1969.
PROGRAMS
 The primary role of this Sector is to enhance and promote
aviation safety through effective and up-to-date
airworthiness regulation and by encouraging industry to
deliver high standards of airworthiness.
 Airworthiness activities are regulated through various
processes, taking into consideration all aspects of the
airworthiness which have an impact on aviation safety.
 These processes include
 registration of civil aircraft,
 certification of aircraft design and built standards, licensing
of aircraft maintenance engineers,
 approval of relevant organizations,
 development of standards
 safety investigation.
FUNCTION ATM
 The Air Traffic Management Sector is responsible for the provision of air
traffic service for the safe and efficient conduct of flight within Malaysian
airspace pursuant to the Chicago Convention 1947. Air Traffic Service is a
generic term which encompasses air traffic control, advisory, flight
information and alerting service
PROGRAM & ACTIVITIES ATM
 The ICAO standard and recommended practices (SARPS)
associated with the responsibility of ATM sector are those
contained in
 Annex 1 – Personnel licensing,
 Annex 2 – Rules of the Air,
 Annex 3 – Meteorological Service for International Air
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Navigation
Annex 4 - Aeronautical Charts,
Annex 5 - Units of Measurement to be used in Air and
Ground Operations,
Annex 10 – Aeronautical Telecommunications
Annex 11 - Air Traffic Services,
Annex 12 - Search and Rescue,
Annex 14 – Aerodromes; and
Annex 15 - Aeronautical Information Services.
 Other relevant documents are
 DOC 4444 – Air Traffic Management Procedures for Air Navigation,
 DOC 9859 - Safety Management System Manual,
 CIR 314 - Threat and Error Management (TEM),
 DOC 9910 – Normal Operations Safety Survey (NOSS),
 Doc 9426 – Air Traffic Services Planning Manual and
 DOC 9683 - Human Factors Manual