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JOURNAL OF MONETARY ECONOMICS AND MANAGEMENT
Journals / JOURNAL OF MONETARY ECONOMICS AND MANAGEMENT / Issue 9 / Optimization of business processes of an air transport company based on functional and cost analysis
UDC 330.3

OPTIMIZATION OF BUSINESS PROCESSES OF AN AIR TRANSPORT COMPANY BASED ON FUNCTIONAL AND COST ANALYSIS Optimization of business processes of an air transport company based on functional and cost analysis

Published in JOURNAL OF MONETARY ECONOMICS AND MANAGEMENT · Issue 9 · Pages 367–376 · Rubric: SCIENTIFIC ARTICLES
DOI: https://doi.org/10.26118/2782-4586.2025.26.85.023
Received: 30.11.2025 Accepted: 03.12.2025 Published: 03.12.2025
Authors
OL
Ol'ga P. Sushko
ABSTRACT
The article presents a number of research results on the current topic of optimizing business processes of an air transport company based on functional cost analysis. In the context of increasing competition and escalating costs in the aviation industry, the optimization of internal business processes is becoming a key factor in improving the operational efficiency of airlines. Functional cost analysis (FSA) is one of the most effective tools for analyzing and improving activities. An analysis of the current costs of ground handling indicates that a significant proportion of resources are allocated to perform functions, the economic return from which is not always commensurate with the invested funds. In particular, the process of passenger registration and ticket processing requires significant investments in staff and rental of premises, while the added value created remains moderate. There is potential in this area to reduce costs through the introduction of automated systems and the expansion of online registration capabilities, which is in line with the digital transformation trends observed in the industry. Baggage handling is also one of the resource-intensive operations that require significant costs for specialized equipment and personnel. At the same time, cleaning the cabin of an aircraft, despite the high costs, has a direct impact on the perceived quality of passenger service, which necessitates maintaining a high level of service while increasing the efficiency of this function. Aircraft maintenance and refueling are among the most capital-intensive and at the same time mission-critical processes. Optimizing the coordination of operations and the introduction of automated resource management systems contribute to reducing aircraft downtime and associated costs. According to IATA research, automation of maintenance processes can reduce airline operating costs by 10-15%.
KEYWORDS
air transport company, business processes, functional and cost analysis, key cost items
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