British Airways

Helping British Airways to make substantial savings in user charges

Executive Summary

British Airways is a truly global airline flying approximately 44 million customers a year to more than 200 destinations around the world, meeting demand for both business and leisure travel whilst supporting the UK economy by providing vital channels for trade and investment. RDC has worked with British Airways for over five years helping them to monitor and reduce airport charges.

Substantial savings have been achieved from airports and air navigation service providers.

Challenges

In the face of growing low cost competition, British Airways has to stay competitive to succeed. Technology and the intelligent use of data has already contributed significantly to the achievement of this objective.

British Airways turned to RDC to better understand their user charges, verify that invoices properly reflected the actual scale of operations and identify areas where they could make savings.

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RDC helps us achieve our corporate target of reducing non-fuel costs one percent every year

Peter Jukes, User Charges Manager | British Airways

Why RDC?

British Airways was very clear from the outset — they were looking for a partnership based on trust built from a number of components:

  • Capability (experience, skills, knowledge)
  • Dependability (doing what you say you will do)
  • Integrity (fair, honest and open)
  • Mutuality (degree of common interest)

British Airways found all of these qualities in their partnership with RDC.

British Airways initially sourced airportcharges.com to resolve the issue of not having up-to-date information regarding airport tariffs. Peter Jukes, British Airways User Charges Manager, expands on this, "When I became the budget owner for User Charges I started to construct a database of original contractual documents that related to airport and air traffic control suppliers. That process was very time consuming and was difficult to keep current."

He continues, "When we conducted our market review of what was commercially available, RDC’s solution provided superior access to up-to-date tariff data via an intuitive online portal. This functionality fulfilled the brief exactly." British Airways also gained access to the charges modelling capability within airportcharges.com which Peter and his team find invaluable.

"The quality of the training is excellent. As new functionality is added and new people join British Airways, RDC make sure our staff are kept up-to-date."

The Benefits

The benefits to British Airways of using the system include:

  • Better governance and control of spend through access to up-to-date and original contractual/tariff documents and summary level charging data.
  • Easily conducted modelling to consider options and costs when making fleet or network changes. This provides more confidence when proposing and implementing changes.

Peter concludes, "I have always been impressed with RDC’s desire to proactively and continuously improve their offering.

If we have ever faced any issues in our use of the solution we have been readily supported in a very responsive manner. I can think of numerous occasions when RDC has gone the extra mile to ensure that we have remained a happy customer."

The Future

The partnership continues to prosper based on the components of trust that have always been so important to the success of the relationship.

RDC continues to lead the market in airport charges and will continue to help ensure that British Airways retains its competitive edge.