But with the aging fleets, Emirates will have to either face difficulty in pleasing its customers with an outdated technology or spend a fortune on new fleets to maintain customer experience. 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. Sustainable practices are an integral part of the Emirates groups corporate vision that results in the sustainable development of the company. Since, we can see that Emirates strategy is not only. In 2021-01, the state intends to receive $1 billion in revenues. As compared to low-cost carriers, we have a lean workforce with flat organizational structure keeping overhead costs low. Well-maintained aircraft contribute to efficient flight operations too. Is Henkel Corporation An Rspo Sustainable Certified Palm Oil Company, 12 Steps to Clear Safari Browser Cache on Mac, Vaccine Waitlist Dr. B Helped Millions: Heres How. 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. 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. You can read more about the CORSIA on ICAOs website(Opens in a new window). Emirates relied on only three types of aircraft, because of which planes could be deployed onto existing routes to supply much more easily to match the demand. 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. operates 158 destinations in 85 countries, making it the worlds largest airline. Introducing a robust fuel monitoring system and advanced data analytics, which has resulted in reduction of discretionary fuel uplift from crews and dispatchers. Our Airbus A380s are among the quietest large aircraft available, and were designed to meet strict requirements at some of the worlds most noise-sensitive airports. The environmental benefits of operating a modern wide-body fleet include both reduced noise and lower engine emissions. Getting more customers is the main goal. The airline operates across more than 140 destinations in six continents, with over 3600 flights every week. Weather: Dubai benefited from relatively good weather; aside from occasional fog and the general heat, airport operations remained relatively free of the rain and snow storms that often caused delays in European and American airspaces. Emirates also enjoyed subsidised fuel, no income tax, and strategic synergies with the Government at its principle hub which also aided the success of the airline. Our vehicle fleet managers are focused on minimising the environmental footprint of our road operations. It has not just increased its fleet size, but has also held stakes8 in many major airlines around the world such as Alitalia, Air Serbia and Jet Airways. The greatest proportion of our carbon emissions come from the consumption of jet fuel, so our selection of aircraft and how we operate present the best opportunities for reducing our environmental impact. In order to promote a sustainable global business environment, the company ensures the bio-diversity of the trees and animals in Australia. 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. The invasion of Etihad Airways, the national airline of the UAE, is an in house competitor for Emirates. Its competitive with low-cost carriers. Local government support 3. Meanwhile, in a complete contrast, The Emirates Airlines have passed a massive order of 32 Airbus 380 super jumbo jets at the Berlin Air show 2010. The location of Emirates primary hub does not allow it to take any advantage of people traveling from Europe to Americas. Emirates reaffirms its wildlife commitments on World Environment Day. See a whole year of Reward Seat Availability on one page at SeatSpy.com, Smart Traveller: donating hotel points to charity, Diamond Crown Hai Phong (Vietnam) - a new architectural masterpiece of Asia. Dubai is using tourism infrastructure development to help boost demand for flights between Dubai and points along its shoreline. The Emirates Groups commitment to sustainability means multi-billion dollar investments in the most modern, eco-efficient technology available in aircraft, engines and ground equipment, and by operating our assets in the most environmentally-responsible manner. By continuing, you agree to our Terms and Conditions. Highly priced tickets compared to competitors 2. To better understanding the dynamics of the airline industry where Emirates is a part, a Porter's Five Forces analysis performed. Realising the Advantages: The government-owned Dubai carrier has lower personnel costs than much of the industry, in part by drawing many workers from the nearby lowwage nations of Pakistan and India1. 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. Etihad has agreed to be in code-shares9 with some of the major players in the industry. The Emirates' strategy is very much sustainable. an academic expert within 3 minutes. Emirates promotes its sustainable operations through three core environmental initiatives: Emirates used to publish its Environmental Reports, but from 2018-19 the whole Emirates Group combined its annual environmental reporting with its financial reporting and so it is now included in its Annual Financial Reports. 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. The airline is also actively involved in the fight against illegal wildlife trafficking and exploitation, and is a member of the United for Wildlife Transport Taskforce, and is also a partner of ROUTES (Reducing Opportunities for Unlawful Transport of Endangered Species). 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. Is Emirates strategy sustainable? Emirates was capable of reducing their fixed cost, and the subsidies and Tax exemptions by the government fused many of the profits made by the company into its own development. This allowed Emirates to take maximum advantage of its connectivity. 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. strategy and people, helping clients navigate a dynamic environment through four global businesses. In addition to that, you can recycle used magazine materials (and even take them out completely), drink carts (making them lighter), in-flight headsets, and drink glasses. Jet planes can reduce their carbon dioxide emissions by at least 150kg per flight if they use a continuous descent. The strategy lays out steps toward optimising energy, smarter transport and recreational areas. This air traffic increase will be also aided by the next door airline Etihad, being in almost the same region. Emirates moves passengers west-east, east-west, north-south and vice-versa and many of them only touch Dubai in transit. Emirates enjoy the low price of fuel and also the low cost labour in this region, which is more than just convenient for an Airline operator. Saving fuel inflight begins with planning on the ground. focused on one strategy but is rather open to change. Sustainability and ecoefficiency are the cornerstones of all Emirates Group operations - both in the air, and on the ground. Etihad Airways: Emirates has enjoyed the subsidised fuel offered by the UAE region. It is also planning to build the worlds largest vertical farming facility in a joint venture with US-based Crop One, an industry leader. With huge number of population traveling between the European and the American (South/North) regions, there is nothing much Emirates can do to attract these customers. Representing about 5 per cent of Dubais total land area, this is the biggest piece of land which Dubai has dedicated to a single project. Working with air traffic management providers to develop protocols that enhance operational efficiency. Additionally, we use a water*saving procedure by routinely washing our aircraft with a small amount of a cleaning agent applied by cloth. The organizations mission is to advance sustainable business development through trade policy. Using geography and psychographics as platforms, the Emirates group wants to make its products more relevant for the target audience in order to earn more revenue. Its emissions were 11,106,670 tonnes of carbon. What Is Emirates Strategy? But, in the upcoming future few of the factors which Emirates enjoy today will start to deteriorate such as. Emirates lower operating cost, and the premium services had brought huge profitability to the company, but Etihad by dropping down the premium services one-step below has been successful in attracting more customers at a lower price tag. 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. On carbon emissions, the airline says that as well as the above efficiency measures, it supports the development and introduction of the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) through the International Civil Aviation Organization (ICAO). the coming days aswell. Our business units are constantly on the lookout for opportunities to reduce resource consumption, repurpose items, and recycle materials when they reach the end of their life all essential aspects of a circular economy. SIA to acquire 25 per cent stake in Air India. A geographic & psychographic segmentation strategy has worked for Emirates in order to create offers that are more relevant for target audiences. Introducing a robust fuel monitoring system and advanced data analytics, which has resulted in reduction of discretionary fuel uplift from crews and dispatchers. 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. Additional materials, such as the best quotations, synonyms and word definitions to make your writing easier are also offered here. The purpose of this research is to know, how Emirates as a company in aviation came into business and to determine various strategies used by Emirates to gain competitive advantage over . Fuel use can be reduced by four percent by adding wingtip devices to aircrafts. These two installations are expected to produce savings of up to 3.8 million kilogrammes of carbon dioxide emissions annually. Dubai hub. High profile projects such as the Burj-al-Arab, the World andPalms development projects, and the Burj-Khalifa tower helped grow the citys global renown, which in turn led to higher volumes of tourists. 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. 3. Emirates promotes its sustainable operations through three core environmental initiatives: Reducing fuel emissions; . Qatar airlines, capitalizing on the above figures, has reduced its waiting time significantly, gaining customers attention who are in longer routes. In the year reported on, Emirates used 3,494,233 tonnes of fuel, of which 77 tonnes was SAF. Fall in oil prices a business paradox. In its first years, 70 Arabian Oryx were re-introduced and 6,000 indigenous trees and shrubs planted. 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. We depend on aviation to conduct economic, social, and cultural activities, which makes it so vital and contributes so much to our growing world. More than 125,000 visitors made their way to the DDCR in 2021, and plans are underway for a Visitors Centre at the reserve to enhance the visitor experience and will also be used as a platform to develop educational programmes for schools and higher educational institutions. For more information, you can read the Emirates Group's Environmental Policy(Opens a PDF in a new tab). Aircraft. Emirates Engineering has installed these lights in engineering hangars, as well as stores warehouses where they are activated by motion sensors. But, when it comes to the pacific travels, they have no existence. 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. To install StudyMoose App tap Dont know where to start? You can read more in the Aviation Benefits Beyond Borders report(Opens a PDF in a new tab) written in July 2016. 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. Its location will enable quick delivery of fresh products within hours of harvest, maintaining the foods nutritional value and reducing carbon emissions associated with transportation. Resources: UAE being the major exporter of oil in the world meant that the major resource for the Emirates the fuel was available at a very low price than many of its competitors. The strategy followed enables the company to; 1. Emirates airline has been sustainable because of the measures taken by the company regarding Eco-Efficiency and environment practices reveals that they have sustainable approach in the business. Their efforts have seen them receive several awards for sustainable transport in Dubai. Emirates also maintained a younger fleet in the industry, with an average airplane age of 6.4 years, which enhanced the passenger experience and increased fuel efficiency. 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. The airline has also had economy class blankets made from recycled plastic bottles since 2017. Cutting down on unnecessary weight carried helps us to save fuel. Don't use plagiarized sources. Qatar, being one of the major oil sources in the gulf has allowed Qatar airways to enjoy similar facilities as its competitors. 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. But with the increased air traffic by Emirates itself, having being forecasted to carry twice as capacity soon in future. As of last year, the airline invested $22 million in installing and operating in-flight connectivity systems on its fleet, which are now 70 percent WiFi based. 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. Emirates supports the efforts in ICAO to establish this global approach, and were committed to working with the ICAO to achieve carbon-neutral growth from 2020 and help to create a safe, efficient and environmentally responsible civil aviation sector. 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.. If case of the former option, Emirates determined whether to add new service to an existing route or to swap out a services existing plane with a larger and newer craft. Working with air traffic management providers to develop protocols that enhance operational efficiency. Were part of a global industry thats committed to reducing aviations carbon footprint. Strong growth and world class infrastructure 2. Second, there has not yet been a holistic, structured approach for designing sustainable business model innovations that generate full value. See a whole year of Reward Seat Availability on one page at SeatSpy.com, Safe Travels - the UK's most trusted COVID-19 testing provider. Highly priced tickets compared to competitors 2. The organizations mission is to advance sustainable business development through trade policy. Copyright 2023 by Ictsd. Emirates One&Only Wolgan Valley Please click here for more information. Lastly, our refurbished London office features LED lighting, upgraded air conditioning, and a more efficient use of floor space, resulting in a reduction of 60% in electricity consumption. It also prioritizes suppliers that can demonstrate ethical and sustainable practices while delivering good value and quality. Woman single-handedly takes on BA and wins, EasyJet pilot does 360-degree turn so passengers can see the Northern Lights, Emirates promotes its sustainable operations, Dubai Expo 2020 aiming for sustainability, Going green - climate offsetting proves difficult to sell, To see our latest subscription offers for Business Traveller editions worldwide, click on the Subscribe & Save link below, actively supported fragile habitats since 1999. 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. 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. International benchmarks illustrate that even todays aviation system does not fulfil current demand. The UAE government supported Emirates entry into new markets by negotiating bilateral aviation agreements with foreign states whose markets Emirates wished toenter. The improvement of loading efficiency to match the ideal trim line, resulting in a more aft Center of Gravity (CG) position and less fuel burn. The Emirates Flight Catering solar rooftop power plant has 8,112 individual solar panels and is expected to generate 4,195 megawatt-hours of electricity annually, allowing the company to reduce traditional energy consumption by 15 per cent across its laundry, food manufacturing and staff accommodation facilities. These two installations are expected to produce savings of up to 3.8 million kilogrammes of carbon dioxide emissions annually. Explain. Role of the Dubai government has been exponential in building the Emirates Brand. Emirates Engineering ensures that our aircraft are performing at their optimum level at all times. Based in Dubai, the company is a subsidiary of the Emirates Group, a government-owned corporation. Due to the lower operation cost, Emirates was able to pass the benefits on to the customers which many of its competitors couldnt afford to. I am a UK resident and the airline youll have to use is Air France / KLM. Emirates funds the DDCR, through an ongoing investment of over AED 28 million (USD $7.6million) and sits on its management board. Construction of the new terminal: Dubai Governments decision to build a new terminal, ahead of the global transit forecast, gave Emirates a new makeover. 14. Emirates uses an innovative foam wash technique for cleaning aircraft engines that helps us saves about 200 tonnes of carbon dioxide emissions per year across our fleet. Emirates also enjoyed subsidised fuel, no income tax, and strategic synergies with the Government at its principle hub which also aided the success of the airline. 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 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. 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. For details on how we use your information, please see our privacy policy. The gateway created by Emirates, has no upper hand in these unfortunate situations as their hub will take a longer flight time. Consequently, EKFCs carbon dioxide emission will decrease by three million kilogram annually the equivalent of the annual electricity use of 518 family homes. 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. We also regularly clean our aircraft with a water-saving drywash procedure, which uses a small amount of cleaning agent applied with cloths. Our flight operations specialists collaborate with air traffic control organisations internationally to deliver more efficient routes and operational procedures, applying the latest in technology to support these enhancements. 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