Gone are the days when you would have to physically visit or call an airline company just to make ticket reservations. This is because with the many technological advancements that have come to exist, the system has improved considerably. If you want to make ticket reservations for a certain business trip or a holiday trip with your family, all you have to do is go online and book these flight reservations. Pretty easy, right? However, this convenient system would not be in existence without the implementation of airline reservation KPI or airline reservation key performance indicators.
It would not be surprising to find key performance indicators in the business setting. However, you just might be surprised to know that these are also needed in the airline industry. Simply put, key performance indicators would not really be out of place in the airline industry. This is because these indicators exist to measure the present state of any company in any industry against the goals and objectives that have been set during its foundation. Similarly, there would then be a need to implement KPIs for airline reservation.
In its simplest form, the scorecard would have quantifiable measures, known as metrics, that would determine the present state of a company against goals and objectives that have been set during the foundation and the early years of the company itself. Now, there are a lot of measures that you can include the scorecard, and it would even seem sensible to do this so as to make the scorecard all encompassing. However, this should not be the case at all, since the presence of many indicators would just make the whole measurement process more complicated. With many indicators, it would also be difficult to interpret and represent all these measures in a coherent manner. Thus, it would be wiser to just stick with a few metrics and KPIs at hand.
For the most part, and just like in any business or industry, these KPIs would actually be grouped according to function and need. The following categories would make great additions to your airline reservation scorecard: the financial perspective, the customer perspective, and the internal perspective. There is still a need to group these metrics so that the proper direction and assessment of the measures would be implemented.
A metric that should be included in the financial perspective is the compensation of ticket agents. Now, airline reservations can indeed be done online, so there should not be any need to hire ticket agents, right? Wrong. Ticket agents should still be hired, to oversee the whole process. You would not want to issue or reserve duplicate tickets for your customers now, would you? This would just result to customer dissatisfaction.
As for the customer perspective, the charges for seat preferences would make a good metric. There are some passengers who do prefer certain seats, and they are typically charged for this service. This metric should be included to measure the satisfaction that comes with this service. Ticketing errors should be a metric included for internal perspective. Errors should understandably be measured so that these would be minimized in the long run.
These are just some of the airline reservation KPI that should be included on your scorecard. With these supporting your airline company, success would be the next logical step.