Publishers
Well-known member
- Joined
- Sep 20, 2002
- Posts
- 1,736
The points brought up here are certainly valid. Being in charge of working with the owners in our operation, I can say that it is amazing how cost concious some of the owners are when it comes to crew cost. Nor being a fractional, they are billed for the crew as a separate item and I assure you that becomes a point of contention that does not exist where it is lumped in with the other costs.
A GIV operating 500 to 650 hours cost about $500k per year for flight crew. That same owner does not want to hire a permanent flight attendant nor even pay a $300 a day flight attendant fee. Is that rare? Not at all.
What Magoo complains about is really the fractional model. We hear this all the time. If you look at the big picture, the fractionals do a relatively good job of producing the product they are selling. The scheduling, chartering, and elimination of dead head are the toughest operatonal problem. Success in that area does not mean it remains personal.
We recently had a customer who was with some major management companies, and they felt the same way. The thing that is lost is the personal aspects and the person who is putting up all the money feels that he has lost control. It is the most difficult aspect for fractionals and large management companies to overcome.
A GIV operating 500 to 650 hours cost about $500k per year for flight crew. That same owner does not want to hire a permanent flight attendant nor even pay a $300 a day flight attendant fee. Is that rare? Not at all.
What Magoo complains about is really the fractional model. We hear this all the time. If you look at the big picture, the fractionals do a relatively good job of producing the product they are selling. The scheduling, chartering, and elimination of dead head are the toughest operatonal problem. Success in that area does not mean it remains personal.
We recently had a customer who was with some major management companies, and they felt the same way. The thing that is lost is the personal aspects and the person who is putting up all the money feels that he has lost control. It is the most difficult aspect for fractionals and large management companies to overcome.