Cost Index
12-23-2010, 05:43 PM
#2
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Joined APC: Jun 2010
Posts: 233
To be most effective, and to maximize the benefit available by using the cost index system, the value should be adjusted for each segment depending on conditions at dispatch, by those encountered enroute, or by the operational requirement for arrival within xx minutes of schedule (for whatever the operational driver is). However, most commonly users simply define one number for normal operations and one for use when time is more critical.
That said, few operators actually use this the way it should be used, and there are a variety of reasons for that. Sometimes it's a simple as management doesn't really understand it....at other properties the driver is crew legality, etc. Most ground based flight planning systems use some sort of cost reduction logic, but unless they have a proprietary cost index engine embeded in them, the true cost savings available are probably being missed. In all cases, management must continually revise and update the actual costs, both fuel and time related, used in their calculations. In my experience, in spite of talk about cost control, this is not often the case.
A value of 6 is negligible, meaning the operator has decided the cost of fuel far outweighs the cost of time related items.
That said, few operators actually use this the way it should be used, and there are a variety of reasons for that. Sometimes it's a simple as management doesn't really understand it....at other properties the driver is crew legality, etc. Most ground based flight planning systems use some sort of cost reduction logic, but unless they have a proprietary cost index engine embeded in them, the true cost savings available are probably being missed. In all cases, management must continually revise and update the actual costs, both fuel and time related, used in their calculations. In my experience, in spite of talk about cost control, this is not often the case.
A value of 6 is negligible, meaning the operator has decided the cost of fuel far outweighs the cost of time related items.
12-23-2010, 05:45 PM
#3
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Joined APC: Jul 2009
Posts: 410
Originally Posted by FAULTPUSH
Hi everyone - For you Airbus operators, I'm curious what you are all using for cost index currently. We're doing 6 at Frontier unless we're late. I'm just wondering if anyone else is that low.
12-23-2010, 06:32 PM
#5
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Joined APC: Jan 2007
Posts: 401
At Virgin America it is usually 35 on short hauls, and whatever the release says on long hauls. I've seen as low as 11 with a strong tailwind, and as high as 65 all the way across the country into the wind and trying to maintain schedule.
captfurlough has it right. To really be effective all the cost variables have to be considered, and weighed against short term goals of crew legality, connecting pax and on time stats.
Then ATC will slow you and turn you, then the next sector will want max forward and direct to the arrival fix!
captfurlough has it right. To really be effective all the cost variables have to be considered, and weighed against short term goals of crew legality, connecting pax and on time stats.
Then ATC will slow you and turn you, then the next sector will want max forward and direct to the arrival fix!
12-23-2010, 07:55 PM
#9
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Joined APC: Jun 2007
Posts: 2,598
At Delta we can have a different CI for climb, cruise, and descent phases. Usually the climb and cruise CI is the same and will typically be between 35 and 60. The descent CI is usually 55 or 60 so we keep the speed up in the descent since most places don't want you doing 250 indicated on the descent. If we go into a place like RAP then I have seen the descent CI down at 35 to save fuel. Our guys tend to adjust the CI numbers alot depending upon what we are up against.
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