The analysis of performance productivity of air transport organization
The analysis of performance productivity of air transport organization has attracted more attention. Traditional techniques have been applied to access their financial position, such as observing revenue levels and total costs. This led to the development of a new data envelope analysis, which is used to analyze performance basing on the airport’s inputs and output (Singh, 2016). The department tries its best to address the issue of charges and rates at a local level between the airports and the users to minimize the need for Federal Intervention to resolve the problems. Landing fees are computed according to the Airline Operating Agreement. This AOA agreement ensures that the taxes collected can pay all the operating expenses.
Airport charges provide vital information concerning fees and charges that are levied by the airport commission. Many airport commission charges are incorporated in the tenant leases that are fixed in accordance with specific lease terms. All aircraft are subjected to a minimum landing fee based on the weight of the aircraft calculated at a rate of 1000 pounds (Taghipour, Pieren & Schäffer, 2019). Keeping the landing fees low can attract more flights. Different airports will charge a single fee that will carter to everything, including gates and check-in facilities as part of the fee. Landing fees in different airports cannot be compared since various factors affect the amount of fee charged. These factors include operator class, the time, weight, and several seats in a plane. Therefore, some airports charge a very high fee to discourage aircraft from landing in the airlines.
Un-cooperative aircraft owners raise the amount of fee to discourage un-cooperative aircraft owners from landing. The airports and airways improvements act to require that airports should be available for public use on reasonable conditions and without discrimination. Therefore, charging high landing rates will discourage them from landing.
Landing fees should be based upon aircraft weight, aircraft noise emissions, landing time, and other factors. These factors, for example, weight, require vortex separations, which assists in reducing the number of aircraft movements. Different aircraft consume different resources, and therefore different landing fees should be charged (Hoelzen et al. 2018). For example, the massive aircraft will occupy an ample space leading to the congestion in airports, and therefore charging a higher fee will benefit the company and prevent losses. Landing fees adequately contribute to many aircraft operations such as lighting, navigational aids, and emergency services.
Landing fees should be used as a tool for managing aircraft capacity and delay. If an airport wants to reduce congestion, then excess demand should be eliminated through the reduction of planes that land during the peak seasons. This is done through increasing landing fees, which will make an airline shift its flight to a less congested area using larger aircraft. Large aircraft should be charged a higher landing fee as compared to the small planes since they occupy a larger space. Besides, when aircraft delays in the airline, it is charged more fees, thus reducing congestion in airspaces (Chung, Lee & Jang, 2017).