Case Study Assignment 1
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School
University Canada West *
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Course
MISC
Subject
Industrial Engineering
Date
Feb 20, 2024
Type
docx
Pages
7
Uploaded by EarlLobsterMaster999
1.
Answer to Question No. 1
GW Air appears to operate a low-cost carrier based on the information provided in the case. The evidence
supporting this classification includes:
The airline’s operation in a small city, its regularly scheduled domestic flights to nearby destinations.
Its reliance on business and leisure travelers for revenue and its fleet of aging Cessna 402s.
These Cessna 402s (aged fleet), produced between 1966 and 1985, are designed with nine passenger seats
and are known for their cost-effectiveness.
The absence of plans to change or upgrade the fleet, staffing level, gate technology, or baggage equipment,
except for normal replacements or equipment failures, align
s with the cost-conscious practices of low-cost
carriers.
Non-implementation of new technology to reduce the costs.
2.
Answer to Question No. 2
The Check sheet of on-time departures (Table 1) tells us about the frequency of different types of defects
occurring at different time slots on a typical day of flight operations at GW Air. The Moving Average under time series model would be the most appropriate forecasting model, which will
help to improve its on-time departure performance. A time series is a structured sequence of data points
collected at consistent intervals over a specific duration (Stevenson et al., 2021). This forecasting model helps
to understand the behavior of series, trends, and cyclic patterns, which enables to capture and forecast such
trends and patterns over time. 8 -9 AM
9 -1 0 AM
1 0 -1 1 AM
1 1 -1 2 AM
1 -2 P M
2 -3 P M
3 -4 P M
4 -5 P M
5 -6 P M
6 -7 P M
7 -8 P M
8 -9 P M
0
2
4
6
8
10
12
14
16
18
20
19
16
8
2
0
2
5
3
2
14
19
9
14.33
8.67
3.33
1.33
2.33
3.33
3.33
6.33
11.67
14
Moving Average Forecasting of Time Series Data
Actual
Forecast
Time Slot
Number of Defects
Graph-1
Tarmac Delay
Wheel Chair
Mishandled Baggage
Maintenance Issues
Crew Shortages
Slow Gate Agents
Overbooking 0
5
10
15
20
25
30
35
13
5
30
10
6
21
14
Details of Defects
Defects
Number of Defects
Graph 2
The above graph-2 shows the historical data and forecasting for next day about the frequency of defects occurring in different time slots. GW Air can use a time series forecasting model to improve on-time departures
by analyzing various factors that contribute to delays and disruption in various time slots. As per the trend analysis, the time slot of 8-10 AM and 6-8 PM has a maximum number of defects, and the most frequent defect identified as per graph-2 is mishandled baggage and slow gate agent. So, GW Air should allocate staff strategically during peak defect hours, taking proactive steps to address delay causes, emphasizing staff training, process optimization, tech adoption, and a culture of continuous improvement for operational enhancements.
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3.
Answer to Question No. 3
The most frequent defects identified in Table 1 are mishandled baggage and slow gate agents. To
determine the root cause of these defects, the most effective quality tool that can be used is Pareto Analysis.
This analysis is based on the concept that 80% of the problems are from 20% of the problems or defects. In this
case, Pareto Analysis helps to identify the 20% of the root causes that create 80% of the defects.
To use this tool, firstly, collect the relevant data and categorize the root causes and their respective
frequencies. Then, the chart is prepared with root causes arranged in descending order of frequencies. By
calculating the commutative percentage, the chart highlights the most significant root causes, following the
Pareto principle that a small number of causes often contribute to most of the defects. Once the fewer
significant root causes are identified, conduct further analysis, and engage the team members to brainstorm and
investigate these factors in depth. After that, develop an action plan with the team members to address these
root causes. Implement these action plans and monitor them on regular basis to achieve continuous
improvement in reducing these defects over time.
4.
Answer to Question No. 4
As presented in figures 1 and 3, late departure and late arrival have been steadily increasing over time,
influenced by several factors such as aging fleet, reduced capacity utilization, and high load factors. GW Air is using an aging Cessna 402, which requires more maintenance, repairs, and store, leading to an
increased likelihood of delays in flight departure and arrival. The case study highlights a continuous rise in load
factors at GW Air. These load factors, which reflect how full the aircraft is, reduce operational flexibility, making it
challenging to accommodate delays or disruptions in the schedule and subsequently causing delays in departure
and arrival times. Figure 1 demonstrates a decline in the airplane utilization over time. This decline suggests that some aircraft
may be undergoing repairs, maintenance, or being placed in store. Consequently, higher demand for the remaining
operational aircraft places added pressure on them, potentially causing late departures and arrivals.
5.
Answer to Question No. 5
Even though GW Air employees are continually asked to work faster, harder, and better, it has not resulted in
higher productivity. The reason for this situation is presented below.
a)
GW Air is using an aging Cessna 402, which requires lot of maintenance work, causing additional stress to the
workforce and delaying on-time performance, which directly impacts the productivity of the operation.
b)
Due to no growth in GW air fleet, “the load factor percentage has increased and use of aircraft as a percentage
of the fleet has decreased which causes pressure on the plane which are in use, loaded with full capacity. c) GW Air does not use any kind of advanced technology and automation for its various operational work, which
impacts the productivity of the operation. d)
Most of the late departures and late arrival occurs due to operational inefficiencies such as mishandled baggage,
maintenance issues, and slow gate agents. These operational inefficiencies are impacting productivity as well as
customer satisfaction.
GW Air has not invested in improving productivity yet. So, the management team of GW Air should explore
and invest in the following aspects to increase productivity. a)
Investing in new aircraft will reduce maintenance-related delays and improve on-time performance, which
automatically will increase the productivity of operation.
b)
Adopt new technology in operation to enhance overall operational performance.
c)
Address late departure and late arrival issues that can lead to increased customer satisfaction, which creates
likelihood of a customer choosing GW Air.
d)
Training to the employees will help them work more effectively and deliver high-quality services.
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Reference
Stevenson, W. J., Hojati, M., Cao, J., Mottaghi, H., & Bakhtiari, B. (2021). Operations Management.