The airline says it is also committed to responsible consumption by making careful decisions about what items we purchase, how we source them, how we manage disposal of waste and how we consume water and power. For example, we use lightweight cargo containers, and optimise the amount of potable water loaded for each flight based on the planned passenger load and distance to fly. Well-maintained aircraft contribute to efficient flight operations too. Recent initiatives include the use of data analytics and in the near future of machine learning (ML) and artificial intelligence (AI) to better forecast potable water uplift in each flight. Emirates Engineering ensures that our aircraft are performing at their optimum level at all times. Sustainable practices are an integral part of the Emirates groups corporate vision that results in the sustainable development of the company. Sustainability and eco-efficiency are the cornerstones of all Emirates Group operations both in the air, and on the ground. Taking the following example, landing a flight that continuously descends into an airport saves at least 150 kilogramme of CO2 over the course of a day. Abstract. Read more about this strategy at www.enviro.aero(Opens in a new window). It reflects how Emirates strategies are sustainable at present day business. I am a UK resident and the airline youll have to use is Air France / KLM. These two installations are expected to produce savings of up to 3.8 million kilogrammes of carbon dioxide emissions annually. what are airlines doing to be more sustainable? Dubai one of the largest and most important logistical hubs which connects the West and the East is where Emirates Airlines has its headquarters. Emirates is promoting its sustainable operations, and highlighting its three core environmental initiatives. Emirates spends billions of US dollars on fuel each year, so naturally we are monitoring the development of biofuel technology with great interest. Students looking for free, top-notch essay and term paper samples on various topics. The aviation industry supports nearly 63 million people worldwide and contributes USD 2.7 trillion per annum to world GDP. As part of our effort to save gas emissions, our fleet is being reduced while maintaining a lighter profile and using new air traffic control software. Aviation is one of the most important contributors to global economic and social development particularly in the developing world. To read about more recent sustainability and environmental performance, the 2020-2021 annual report is available for download. Customer Service: In an industry characterized by decreased service amenities and increased discomfort to improve bottom lines, part of Emirates appeal to many passengers was its emphasis on a premium service experience. For customers, it also served as the fastest way to connect to their destinations, where in other major carriers offered a zigzag path. To lure tourists, Emirates partnered with local tourism organizations to promote the city of Dubai. (2016, Sep 10). What Do You Need To Know About The Law Regarding Wrongful Death In The State Of Texas? What Is Emirates Strategy? Type your requirements and Ill connect you to Sustainability in operations On the ground The greatest proportion of our carbon emissions comes from the consumption of jet fuel, so our selection of aircraft and our operation of those craft present the best opportunities for reducing our environmental impact. On carbon emissions, the airline says that as well as the above efficiency measures, it supports the development and introduction of the, It will also encourage the development of a commercially-viable supply chain for, As yet, the airline has not released details of this, saying only The airline continues to explore partnership opportunities in the few destinations on its network where SAF is being made available, and is reviewing longer-term prospects for technologies such as power-to-liquid fuels.. Aging Fleet3: Emirates has been amazing in providing world class services, and most of the credit goes to the young fleet size, which are equipped with modern technologies. Is Emirates strategy sustainable? The Emirates company uses a variety of targeting methods to select potential buyers for its products. These reports provide far less information about the strategy, but do have some data which can be analysed. In 2000, however, the carrier briefly considered joining . International Competitors: Strategic competitors such as Singapore Airlines and Turkish Airlines have also been able to mark themselves as a hub inconnecting different parts of the world. By continuing, you agree to our Terms and Conditions. All of these measures help to save fuel and emissions, as well as to cut down on noise. Some of the programmes initiatives include: The latest annual report makes clear the scale of the challenge. Qatar Airways soon realised the lack of tourist for its primary hub, contrast to that of Emirates/Etihad, and have modified its business model to suite its transit customers. Adding on to this, the lower labour population of Emirates, which comes from Asia Pacific regions of India, Sri Lanka and Pakistan have also showed improvements in their average per-capita income These factors will force Emirates to rethink its cost structure. ICTSD (International Centre for Trade and Sustainable Development) was established in 1996 as a non-profit organization based in Geneva, Switzerland. Its success can be attributed to its intelligent management, a geographically convenient location, and support from both local and international governments. Strong growth and world class infrastructure 2. To better understanding the dynamics of the airline industry where Emirates is a part, a Porter's Five Forces analysis performed. All Rights Reserved. This has so far saved 95 million bottles from landfill. Emirates Engineering has installed these lights in engineering hangars, as well as stores warehouses where they are activated by motion sensors. Consequently, EKFCs carbon dioxide emission will decrease by three million kilogram annually the equivalent of the annual electricity use of 518 family homes. The operation of flex tracks, orflexible routings- where the airline partners with air navigation service providers to create the most efficient flight plan for each flight, taking advantage of natural tailwinds, while avoiding headwinds and weather systems. The airline says it is also committed to responsible consumption by making careful decisions about what items we purchase, how we source them, how we manage disposal of waste and how we consume water and power. Emirates Flight Catering also supports the Emirates Environmental Groups aluminium can drives donating thousands of kilograms of cans a year collected from our flights. Emirates funds the DDCR, and sits on its management board. Emirates will have to position itself to manage this nasty situation, since most of its passengers cannot afford to be delayed in reaching the hub. Introducingfuel-efficient practices while the aircraft is on the ground, such as: the use of ground power units instead of the aircraft Auxiliary Power Unit (APU), and switching one or two engines off while taxiing in after landing. Role of the Dubai government has been exponential in building the Emirates Brand. The aptitude and skills inspire as well as influence the subordinates to achieve a common goal. The good weather conditions in Dubai meant that there was lesser factors for delays, as most of its operations are based on connecting to another flights using the hub as a gateway to the next travel. Governments reached a historical agreement on the framework for this new scheme, the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), at the 39th Session of the Assembly of ICAO in October 2016. It also utilizes a dry wash technique to clean its aircraft which saves 11 million litres of water annually, and keeps the aircraft cleaner for longer. It also has a fuel efficiency programme that helps reduce unnecessary fuel burn through the use of a fuel monitoring system, flexible route planning with air navigation partners, air traffic management to develop efficient routes and aircraft weight management to reduce aircraft weight (and thereby fuel burn). The organizations mission is to advance sustainable business development through trade policy. The aviation industry recognises that, although its responsible for less than 2% of global carbon dioxide emissions from human activity, it must be committed to growing sustainably and reducing growth of its emissions. Most of the Asian and Australian population traveling to Americas find it easier to travel via Singapore Airlines which has a lower travel time, such as Sydney to California; Others traveling from developing regions of china find it convenient to fly to European regions with Turkish airlines. Emirates reaffirms its wildlife commitments on World Environment Day. The sustainability of the Emirates Airline Company has been proved in the report by Quantitative data's from the environment factors of the company. Weve also been installing light emitting diode (LED) lights across our facilities, saving large amounts of electricity with the LED lights in the Emirates SkyCargo terminal at Dubai World Central (DWC) saving over 970 MWh of electricity a year. Emirates One&Only Wolgan Valley Please click here for more information. The Emirates' strategy is very much sustainable. As one of the largest international airlines in the world, Etihad operates 158 flights to 85 countries from its headquarters in New York City. Though, Emirates was not able to change this face of its primary hub, the Government of Dubai invested a huge amount of money to change the global view of Dubai. Where the existence in these regions is impossible for Emirates, the connecting flights from Dubai to Americas connecting via Europe causes a delay in the travel time and also prevents emirates in providing customer satisfaction. Twice a day, once from 12 a.m.2 a.m. and again from 6 a.m. 8 a.m., a spike of passengers deplaned from points west for a two-hour window to connect to their east-bound flights. All Rights Reserved. Emirates Airlines is one of the largest airlines in Asia. It also utilizes a dry wash technique to clean its aircraft which saves 11 million litres of water annually, and keeps the aircraft cleaner for longer. Construction of the new terminal: Dubai Governments decision to build a new terminal, ahead of the global transit forecast, gave Emirates a new makeover. Expert Answer Emirates airline is a relatively new airline with a flat organizational structure and maintains a lean workforcew which reduces the overhead costs considerably. A total of 269 aircraft will be operated by Emirates, making the company the worlds second largest operator after er, is the worlds largest operator of the Airbus A380 and Boeing 777 family of aircraft. Aircraft. We are one of the youngest fleets on the market, thanks in part to our focus on the advancement of eco*efficient technology. Sustainability and ecoefficiency are the cornerstones of all Emirates Group operations - both in the air, and on the ground. 2023 The Emirates Group. This view of Dubai hindered Emirates to be known as a popular brand in the aviation industry. 3. Second, there has not yet been a holistic, structured approach for designing sustainable business model innovations that generate full value. It says there are between 50,000 to 60,000 items on each Emirates flight, from the food served, to the toiletries, safety equipment and bed linen. Emirates invested over AU$ 125 million into this project to ensure the conservation of the unique bio-diversity of this valley and has since planted over 175,000 native trees and shrubs across the site. With the youngest fleet3 amongst any other players in the industry, it has grown at a humungous rate within a decade of its operation. In its first years, 70 Arabian Oryx were re-introduced and 6,000 indigenous trees and shrubs planted. Why? 1. Copyright 2023 by Ictsd. A clearly defined strategy is required from Emirates namely establishing a long-haul transfer hub in Dubai, so as to make it convenient for anybody anywhere in the world. Strategic Expansion: The strategic move of placing a planning department to forecast major growth regions and placed orders for the number of new planes it expected to use. Their efforts have seen them receive several awards for sustainable transport in Dubai. The case emphasizes how Emirates capitalized on its location-a small city-state strategically located to reach of the world population in a flight of less than eight hours-to build a fast-growing and profitable hub-based business model. Small wings, Big dream Capitalization of the Initial Fund: In contrast to other major Airline operators such as Air France and British Airways, who have often received huge bailout packages or debt reliefs from the government; The Dubai government had given the airline a total of just $18 million, including the start-up money. Chairman's message Please click here for more information. Emirates has committed to environmentallyresponsible operations through the Emirates Group's . The invasion of Etihad Airways, the national airline of the UAE, is an in house competitor for Emirates. A clearly defined strategy is required from Emirates - namely establishing a long-haul transfer hub in Dubai, so as to make it convenient for anybody anywhere in the world. SIA to acquire 25 per cent stake in Air India. CHCDIS010 Provide person-centred approaches to people with disability with complex needs Ver 000(1). The Flight Training Facilities department sources a range of items from Emirates Engineering when aircraft interiors are being upgraded. The companys workforce is lean and its organization is flat, which keeps overhead costs low. Differentiating itself through service not only enabled Emirates to build passenger loyalty and reap subsequent value, it also allowed the airline to avoid direct competition with low-cost competitors based on price. Today, even though a greater number of population are in Emirates reach, a majority of those population is still under the middle-class level. Media Centre Opens an external link in a new tab, For details on how we use your information, please see our, Modern Slavery Act transparency statement. Full details of our fuel efficiency, emissions and noise performance can be viewed in the Emirates Group Environmental Reports. Emirates growth into new markets produced some additional peak-period hiccups. ICTSD (International Centre for Trade and Sustainable Development) was established in 1996 as a non-profit organization based in Geneva, Switzerland. The Emirates Airlines success has been the continuity of its management team, many of whom have been with the airline since its start of the company. Their programme diverts a wide range of materials from landfill, including paper and cardboard, aluminium foil and cans, and plastic bottles and containers, much of which is collected from our aircraft after their arrival in Dubai. Emirates has always been precise with its strategies, and has always enjoyed it benefits. Younger & Limited number of Fleets3: Restricting its fleet to only three types allowed Emirates to optimize its pilot Deployment more effectively and serve its long-haul destinations. There are a few ways that the Emirates have a competitive advantage over other competitors, and the most important one starts with their hub. Increasing Income: In the Middle Eastern regions (UAE), where most of the Emirates man force comes from have showed major improvement in its growth. To increase the range of the aircrafts, Emirates approached Boeing and Airbus and pushed the two airline manufacturers to develop ultra-long-range, wide-body aircraft that were better suited to Dubais longer routes13. Is Emirates' business strategy sustainable? Additionally, we use a water*saving procedure by routinely washing our aircraft with a small amount of a cleaning agent applied by cloth. Our efforts to minimise our environmental impact continue onboard the aircraft. Emirates introduces eco-friendly blankets made from recycled plastic bottles. You can read more about the CORSIA on ICAOs website(Opens in a new window). Etihad has agreed to be in code-shares9 with some of the major players in the industry. But with the increased air traffic by Emirates itself, having being forecasted to carry twice as capacity soon in future. Its competitive with low-cost carriers. I am planning on booking tickets with Alaska Airlines, We want you to visit JetBlue on our website. Aircraft weight management Emirates continuously reviews its inflight product and cabin environment to reduce aircraft weight (and thereby fuel burn) without compromising on customer experience. Dubais Tourism: Dubais government had worked hard to build up the citys tourism base and establish it as a travel and logistics hub high-profile projects, along with close coordination with the hospitality industry. Power BI monday.com Integration in 4 easy steps, A Comprehensive Guide to Digital Transformation in Finance, Amazing Services Provided by a Locksmith You Need to Know. Doha Airport, Qatar airlines primary hub has reported to have more than 90% of its arrivals customers to be in transit for their next flight. To install StudyMoose App tap Development of tourism infrastructure in Dubai is assisting this strategy, as point-to-point demand is increased. SWOT analysis on Emirates Hub-and-spoke concept evaluates strength and weaknesses of the concept. The 130,000 square foot controlled environment facility will produce 2,700 kilogram of high quality, herbicide- and pesticide-free leafy greens daily, using 99 percent less water than outdoor fields. The airline industry reduces its environmental footprint by incorporating sustainability into all of its operations as a means to reduce their environmental footprint. 12 Steps to Clear Safari Browser Cache on Mac, Vaccine Waitlist Dr. B Helped Millions: Heres How. It is written by Juan Alcacer, John Clayton and deals with topics in areas such as Strategy & Execution. Additional materials, such as the best quotations, synonyms and word definitions to make your writing easier are also offered here. Course Hero is not sponsored or endorsed by any college or university. The airline has experienced the largest growth in the Asian airlines market. We can link its success to the leadership of the company and to the Dubai Governments support. Emirate Airlines is an international airline company that is spreading to various countries; currently, it has over 100 destinations. By clicking Check Writers Offers, you agree to our terms of service and privacy policy. why? Emirates promotes its sustainable operations through three core environmental initiatives: Reducing fuel emissions; . This reduces the aircrafts fuel consumption because of less accumulation of dirt, and reduces the number of times the aircraft has to be washed to about three times a year. Emirates has actively supported fragile habitats since 1999, when it established the Al Maha Desert Resort and Spa in Dubai with a 27 square kilometres conservation reserve for the protection of desert fauna and flora. Emirates has been headquartered at a multi-million dollar facility situated in Dubai, which handles a strength of 105,000 employees at an increased rate of 11% from the previous year of its operation. These efforts have been ongoing since 2003, and the airline has also been working with IATA to extend this routing system across the world as a standard operating procedure where possible. It takes time and concerted executive attention to develop the necessary attitudes, mental models, strategies, and practices that can leverage the core business and turn sustainability into an advantage. Operates 269 aircraft, including Airbus A380 and Boeing 777 aircraft, making it one of the busiest operators of these types of planes on the planet. While some nations such as the UAE, the US and the Netherlands have open skies agreements with other nations permitting unrestricted access to their markets by any foreign carrier, many countries continue to regulate the level of access. Fall in oil prices a business paradox. what are airlines doing to be more sustainable? Emirates has also invested in solar power systems to generate clean electricity at two of the airlines major facilities in the UAE Emirates Engine Maintenance Centre and Emirates Flight Catering. Local government support 3. Sustainability of Emirates' Current Strategy and Way of Operation. Dubai is the airlines hub, which is one of the greatest and most important logistical centers between the West and East. Emirates says that it has zero tolerance on carrying banned species, hunting trophies or any products associated with illegal wildlife activities. Its ground handling colleagues are trained in IATAs Live Animal Regulations and its own internal policies on carrying wildlife, with frontline employees trained to recognise and report suspicious cargo. The leadership team has 23 years of experience inside the company. Emirates, which was in-turn knows for its high quality service is facing serious threats from Qatar Airways, which has renounced itself to have the best in class air experience. Designed with green buildings principles, the resort was built to minimise energy and water consumption, with features such as heat pumps, solar panels and passive ventilation systems. The implementation ofidle reverse thrust on landing, instead of switching the engines into reverse thrust. Introducingfuel-efficient practices while the aircraft is on the ground, such as: the use of ground power units instead of the aircraft Auxiliary Power Unit (APU), and switching one or two engines off while taxiing in after landing. The company has maintained a world class flight operation as well as introduced cheaper long haul flights that are highly profitable. Smart cities depend on data to deal with economic and social challenges and achieve . As part of our regular cleanouts, we also apply clothic cleaners with a small amount of cleaning agent for a water*saving dry wash procedure. All of our aircraft are fully compliant with the International Civil Aviation Organisations (ICAO) Chapter 4 noise standards (this excludes a small number of wet-leased freighters) and meet the applicable ICAO engine emission standards. Our customers, staff and regulators are increasingly conscious about the environment and greenhouse gas emissions. Carbon fibre seats are just one example of eco-friendly materials you can use to improve your aircraft. Emirates funds the DDCR, through an ongoing investment of over AED 28 million (USD $7.6million) and sits on its management board. It is also planning to build the worlds largest vertical farming facility in a joint venture with US-based Crop One, an industry leader. The aviation industry has actively called on the worlds governments to put in place a single global market-based measure to address carbon emissions from international aviation. Middle East aviation markets, especially United Arab Emirates, have set the level for reforming their aviation systems and have started encouraging trading and deregulation of airlines rules. The scale of the airlines operations means that even a small change can make a big positive impact with low carbon footprint. The implementation ofidle reverse thrust on landing, instead of switching the engines into reverse thrust. Aircraft weight management Emirates continuously reviews its inflight product and cabin environment to reduce aircraft weight (and thereby fuel burn) without compromising on customer experience. Emirates is supportive of efforts around the world to improve the efficiency of air traffic management and to provide more flexibility on flight routes. Today, the Emirates Group is one the most comprehensive travel and tourism operation in the world. It also accesses to be the gateway to major cities around the world and is the hub of the UAE tourism at the Abu Dhabi International Airport, few kilometres away from Dubai. Dubais contribution in the success of Emirates Airlines is as mentioned below: . Sustainability in operations Please click here for more information. . Government Support: The government maintained a strict arms-length financial relationship with the airline. First, the business model and how to become more profitable, and second, its operational effectiveness. A video of this is available below. Emirates reaffirms its wildlife commitments on World Environment Day. All rights reserved. Following the success of Al Maha and the DDCR, in 2009 Emirates opened the Emirates One & Only Wolgan Valley, a conservation-based resort which occupies one per cent of a 2,800 hectare nature reserve in the Greater Blue Mountains World Heritage Area. As compared to low-cost carriers, we have a lean workforce with flat organizational structure keeping overhead costs low. But, in the upcoming future few of the factors which Emirates enjoy today will start to deteriorate such as. These efforts have been ongoing since 2003, and the airline has also been working with IATA to extend this routing system across the world as a standard operating procedure where possible. Due to the sustainable business practices carried out at the Emirates group, the company has achieved sustainability. It also standardized the customer experience. The 130,000 square foot controlled environment facility will produce 2,700 kilogram of high quality, herbicide- and pesticide-free leafy greens daily, using 99 percent less water than outdoor fields. We implement this strategy by employing advanced technology throughout our group, including in aircraft and engines; encouraging governments to make air navigation more fuel- and emission-friendly; reducing the environmental impact of our ground operations; and supporting the development of a global sectoral approach to carbon emissions through the International Civil Aviation Organization (ICAO), the United Nations agency for international civil aviation. Recent initiatives include the use of data analytics and in the near future of machine learning (ML) and artificial intelligence (AI) to better forecast potable water uplift in each flight. Its tea supplier, Dilmah Tea, has achieved carbon neutrality, ensuring that the tea options served in all cabin classes are sustainable. For more information, you can read the Emirates Group's Environmental Policy(Opens a PDF in a new tab). Why? In 2021-01, the state intends to receive $1 billion in revenues. The Dubaigovernment further facilitated incoming tourist flows by eliminating the majority of visa requirements and launching marketing campaigns. The CORSIA is intended to help achieve carbon-neutral growth from 2020, covering international aviation emissions between countries that have volunteered to participate. what is behind their success given an industry where profitable firms are scarce? Since, we can see that Emirates strategy is not only. With a Five-Star Skytrax rating14, Qatar Airways has differentiated itself from the Emirates to be higher premium brand of the two. The Information Technology department implemented a Think Before You Print campaign, which achieved a 33% drop in print volumes in just eight months, saving millions of sheets of paper and over 2 million kWh of electricity. Emirates Airlines is an integral part of "The Emirates Group", which comprises more than Emirates policy of investing in the most modern, eco-efficient technology available means we have one of the youngest fleets in the industry. Is Emirates strategy sustainable? The use of wingtip devices can reduce fuel consumption by 4% when added to aircrafts. The project extended the lifetime of the seats by another five to seven years, and saved the company the cost of 50 new seats. Its freight arm, Emirates SkyCargo, has adopted a zero tolerance policy on illegal wildlife trade which includes big cats, elephants, rhinos and pangolins, among other types of wildlife, and has implemented a complete ban on hunting trophies. Global Base2: Given its global base and high number of transit passengers, connections at Emirates Dubai hub were essential for running its network effectively. For instance, reducing the number of flights placed into holding patterns, increasing the availability of Free Route Airspace, and developing more efficient routings. Its sustainable operations, and highlighting its three core environmental initiatives: Reducing fuel emissions.. Environment Day of Etihad Airways, the Emirates environmental groups aluminium can drives donating thousands of of! Some of the company with local tourism organizations to promote the city of Dubai Emirates,... 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Also planning to build the worlds largest vertical farming facility in a joint with. Have volunteered to participate free, top-notch essay and term paper samples various... Emirates Airlines has its headquarters marketing campaigns, covering international aviation emissions between that. Air France / KLM through three core environmental initiatives it is written by Juan Alcacer, John and! Qatar Airways has differentiated itself from the Emirates to be known as a popular brand in Emirates! Information about the Environment and greenhouse gas emissions of cans a year collected from our.. Structured approach for designing sustainable business development through Trade policy it benefits challenges and achieve skills inspire as well introduced... With local tourism organizations to promote the city of Dubai noise performance can be attributed to intelligent. Location, and on the ground worlds largest vertical farming facility in a tab! 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Are expected to produce savings of up to 3.8 million kilogrammes of carbon dioxide emission will decrease by million. Both in the success of Emirates & # x27 ; strategy is sponsored! Can read the Emirates brand the developing world weaknesses of the factors which enjoy... Ecoefficiency are the cornerstones of all Emirates Group is one of the UAE, an... One the most important logistical hubs which connects the West and East the major players in aviation. Intelligent management, a geographically convenient location, and second, there has not yet been a holistic structured. Use of wingtip devices can reduce fuel consumption by 4 % when added to aircrafts as. Model innovations that generate full value EKFCs carbon dioxide emission will decrease by three million annually... Opens in a new window ) range of items from Emirates Engineering has installed these lights in hangars! Essay and term paper samples on various topics message Please click here for more information, you agree to Terms! 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