Risk Management through cost control - Aviation Industry
G.Rajesh1, Yamuna Krishna2
1. Ph.D Scholar, School of Management Studies, Hindustan University.
2. Head, School of Management Studies, Hindustan University.
Introduction:
It is a well-known fact that aviation sector not only brings immense benefits to communities and economies around the world, but also acts as a key catalyst for the overall economic growth, social development and tourism thereby facilitating connectivity and access to international markets. Approximately 56.6 million jobs are created by Air transport which accounts for over US$ 2.2 trillion of the global gross domestic product (GDP) and moreover Air passenger traffic in India is increasing at a very fast pace and the sub-continent’s airport infrastructure has undergone a sea change due to modernization as well as induction of most advanced facilities i.e. setting up of new Greenfield airports, installation of security, surveillance and air traffic navigation systems. At present, India is the 9th largest aviation market handling 121 million domestic and 41 …show more content…
In the long run, one of the alternatives for managing Risk is crisis management. In order to survive, Airline Industry may formulate and develop more rigorous policies and procedures for managing the risk and reduce its impact on the Aviation industry. Formally specified risk management model and tried and tested procedures, which are available to normal industries to avoid the risk, are not available in the Aviation Industry. Hence, as and when the situation demands, planning to identify risk appetite, risk strategy and create risk transparency for a strong risk association, sharing risk culture and effective risk processes would enable the aviation industry in effective risk
G.Rajesh1, Yamuna Krishna2
1. Ph.D Scholar, School of Management Studies, Hindustan University.
2. Head, School of Management Studies, Hindustan University.
Introduction:
It is a well-known fact that aviation sector not only brings immense benefits to communities and economies around the world, but also acts as a key catalyst for the overall economic growth, social development and tourism thereby facilitating connectivity and access to international markets. Approximately 56.6 million jobs are created by Air transport which accounts for over US$ 2.2 trillion of the global gross domestic product (GDP) and moreover Air passenger traffic in India is increasing at a very fast pace and the sub-continent’s airport infrastructure has undergone a sea change due to modernization as well as induction of most advanced facilities i.e. setting up of new Greenfield airports, installation of security, surveillance and air traffic navigation systems. At present, India is the 9th largest aviation market handling 121 million domestic and 41 …show more content…
In the long run, one of the alternatives for managing Risk is crisis management. In order to survive, Airline Industry may formulate and develop more rigorous policies and procedures for managing the risk and reduce its impact on the Aviation industry. Formally specified risk management model and tried and tested procedures, which are available to normal industries to avoid the risk, are not available in the Aviation Industry. Hence, as and when the situation demands, planning to identify risk appetite, risk strategy and create risk transparency for a strong risk association, sharing risk culture and effective risk processes would enable the aviation industry in effective risk