InterGlobe Aviation Ltd.

, doing business as IndiGo, is an Indian low-cost airline headquartered in

Gurgaon, Haryana, India. It is the largest airline in India by passengers carried and fleet size, with a
57.7% domestic market share as of August 2022. It is also the largest individual Asian low-cost carrier in
terms of jet fleet size and passengers carried, and the fourth largest carrier in Asia with over 64 million
(6.4 crore) passengers carried in financial year 2018–19. The airline operated 1,500 daily flights as of
2019 to 96 destinations – 71 domestic and 25 international. It has its primary hub at Indira Gandhi
International Airport, Delhi.[8]

The airline was founded as a private company by Rahul Bhatia of InterGlobe Enterprises and Rakesh
Gangwal in 2006. It took delivery of its first aircraft in July 2006 and commenced operations a month
later. The airline became the largest Indian carrier by passenger market share in 2012. The company
went public in November 2015.

IndiGo was founded in 2006 as a private company by Rahul Bhatia of InterGlobe Enterprises and Rakesh
Gangwal.[10] InterGlobe had a 51.12% stake in IndiGo and 47.88% was held by Gangwal's Virginia-based
company Caelum Investments.[11][12] IndiGo placed a firm order for 100 Airbus A320-200 aircraft in
June 2005 with plans to begin operations in mid-2006.[13] IndiGo took delivery of its first aircraft on 28
July 2006, nearly a year after placing the order.[14] It commenced operations on 4 August 2006 with a
service from New Delhi to Imphal via Guwahati.[15] By the end of 2006, the airline had six aircraft, and
nine more were acquired in 2007.[15] In December 2010, IndiGo replaced state-run carrier Air India as
the third largest airline in India, behind Kingfisher Airlines and Jet Airways with a passenger market
share of 17.3%.[16]

In 2011, IndiGo placed an order for 180 Airbus A320 aircraft in a deal worth US$15 billion.[17] In January
2011, after completing five years of operations, the airline got permission to launch international flights.
[18] In December 2011, the DGCA expressed reservations that the rapid expansion could impact
passenger safety.[19]

In February 2012, IndiGo took delivery of its 50th aircraft, less than six years after it began operations.
[20] For the quarter ending March 2012, IndiGo was the most profitable airline in India and became the
second largest airline in India in terms of passenger market share.[21] On 17 August 2012, IndiGo
became the largest airline in India in terms of market share surpassing Jet Airways, six years after
commencing operations.[22]

In January 2013, IndiGo was the second-fastest-growing low-cost carrier in Asia behind Indonesian
airline Lion Air.[23] In February 2013, following the announcement of the Civil Aviation Ministry that it
would allow IndiGo to take delivery of only five aircraft that year, the airline planned to introduce low-
cost regional flights by setting up a subsidiary. Later, IndiGo announced that it planned to seek
permission from the ministry to acquire four more aircraft, therefore taking delivery of nine aircraft in
2013.[24] As of March 2014, IndiGo is the second-largest low-cost carrier in Asia in terms of seats flown.
[25]

In August 2015, IndiGo placed an order for 250 Airbus A320neo aircraft worth $27 billion, making it the
largest single order ever in Airbus history.[26] IndiGo announced a ₹3,018 crore (US$380 million) initial
public offering on 19 October 2015 which opened on 27 October 2015.[27][28][29]

In October 2019, IndiGo placed another order for 300 Airbus A320neo aircraft worth ₹2.3 lakh crore
(US$33 billion), surpassing its own record of the largest single order ever in Airbus history.[30][31]

In December 2019, the airline became the first Indian airline to operate 1,500 daily flights.[32] On 31
December 2019, it became India's first airline to have a fleet size of more than 250 aircraft.[33]

Role and Importance of Information Technology in Aviation industry

The airlines want to progress, increase revenue and business, bring in more machines and automation
but they do not want to lose their touch with their customers. Innovation management along with new
partnerships between the IT giants and the aviation players will be forged, which will define the future.

The prime focus of the airlines has to be on the internal protocol technologies and areas like end to end
services and airport integration can also not be neglected.

EARLY YEARS AND THE NEW TECHNOLOGICAL AREAS OF THE AIRLINES INDUSTRY

More and more functionality has been added with regards to the CRM or customer relationship
management. Every aspect like enquiry, check in desk boarding has been touched by technology
revolution. The focus of air carriers has also been their internal systems, which needed integration too.

These were areas, which were ignored for too long and needed dire attention in the modern times.
Distribution channels of the airlines sectors also were requisitioned and revisited. The sales departments
moved towards the e-commerce, which was growing at a fast pace and looked promising. Rom the
generalist approach the approach was shifted towards the specialist one which included

“CONTENT MANAGEMENT” which focused on a customer friendly site movements.

“BUSINESS INTELLIGENCE TOOLS” from superficial knowledge handling to move deeper into the
knowledge domain.

“PERSONALISED SOFTWARE” Each visitor or customer will feel that the site has been tailor-made as per
his/her choice.

These solutions, which are mentioned above, may have not been tried and tested by all the players but
many airlines have started toying with them. The airlines are developing the technology and their
business around these frameworks. Of course cost management is one of the most quoted business
challenge that these aviation players have been stating.

Once certain processes are developed then their new usages in other areas could also be found out. And
be integrated into overall e-commerce platform. A simple example could be the catering activities which
are defined by streamlining, quick communication with other vendors and business partners.

TECHNOLOGY OF INTERNET

The internet has been the revolutionary object in the technological domain of an airline. It could lead
aviation industry to work with effectiveness and safety, that too yielding cost effectiveness. There are
certain areas where the airlines fight for technology with their competitors but in certain areas it serve
the common purposes of these aviation players.

The two strategic goals in front of the airlines in the modern era are is to attain proximity to the
customers and become cost efficient as much as possible. The pace at which the technology is changing
is too high and hence to strategize for the airlines is difficult and challenging.

As we enter 2017 the future seems both exciting and worrying. As the technology sector moves forward
faster than any other sectors can keep up, issues such as cyber security becomes more and more
challenging at a faster rate. Some of the insights provided by IATA regarding such problems are:

DRONES AND CHATBOTS THE NEW ERA TECHNOLOGY FOR AVIATION INDUSTRY

Augmented reality (AR) – is more likely to penetrate the airlines and airports in future to support
ground operations by the use of AR.

Chat bots or simply known as Artificial Intelligence, which could act as a single gateway for passengers.

Indoor positioning system or beacon technology- beacon makes it possible for airports and airport
venders to know where people are and to send them relevant personal information like gate number,
baggage carousal, flight status, or even a passenger’s favorite coffee shop.
Though these new advance technology may be used in future to make aviation sector more convenient
and advanced.

CONTRIBUTIONS OF TECHNOLOGY IN AVIATION INDUSTRY

Social CRM (customer relation management) – the use of social media has contributed a lot as it proved
to be a crucial element in customer relationship management. Platforms like Twitter and Facebook have
opened up new channels through which companies can engage their clients and foster customer loyalty.

Digitalization is another factor which has made the work of airlines easy by the adoption of electronic
formats for key regulatory and tracking documents.

Use of advanced and highly equipped passengers service units like overhead PSUs and armrest PSUs
along with wireless headgears and tablets instead of backrest TVs for entertainment of the passengers.

For comforts many airlines are also planning to install new technological equipment’s such as
automated passenger seats for comfortable flights where passenger do not have to struggle with the
positioning of the seat for comfort.

Navigation technology is another such contribution of technology made in aviation industry.

Highly secured software to protect the private information of the company and the passenger both is
another such or rather very important contribution of technology.

CHANGING TECHNOLOGY IN CHECK INs

1. WEB CHECK IN

The passengers can check in through the websites of the airlines on their computers, laptops or hand
held devices. The passenger can select a seat online, save or take a copy of their boarding cards that too
within the comfort of one’s home or workplace. In case there is no check in luggage then the passenger
can directly report to the governmental formalities.

2. CHECK IN VIA KIOSKS

Kiosks are one of the finest examples of self-service at the airports. These kiosks help the passengers to
check in themselves and even obtain a copy of their boarding pass. In case the check in baggage is there
then the passenger has to report in advance otherwise the passenger can directly move to the security
areas.

3. TELE CHECK IN SERVICES

The check in can also be done through telephone. Generally airlines have a toll free numbers which
when dialed take you through menus and one can complete a check in on phone itself. Generally initially
airlines tried this with only business and first class passengers and frequent flyer, members but later it
was extended to all.

Generally these facilities are available twenty four seven. In tele check in one has to collect the boarding
passes from the counters. In case of issues the toll free numbers provide all possible assistance.

Also read Airport Lounges

OTHER NEW TECHNOLOGY INNOVATIONS AT AIRPORTS GLOBALLY

Technology is ruling the aviation sector not only in terms of crafts and planes but at the airports too.

Cork Airport pioneered with Flightradar24 to offer an app where real time tracking of craft can be done.
The travelers can get the exact location of the craft arriving and taking off from this Irish airport. Just at a
click the passenger can obtain information like aircraft’s altitude, equipment, speed, route, and total
distance travelled.

Tiger air Australia’s efforts to provide ipad check in have provided a revolution at airports. The check-in
agents have ipads in hand and this provides a lot of mobility to the staff. The staff can roam freely and
check in the guest at cafeterias, souvenir shops, anywhere away from the traditional check-in desk.

This provides a break from queues too. These ipads are special as they have an app named “MAX
AIRPORT BY LEVARTI”. Fully automated self-service bag drop systems are a new rage with the airlines.
Senai International Airport has this facility from Air Asia, which is a self-service bag drop solution – SCAN
& FLY.

The passengers have option of printing their own bag tags at the check-in kiosks. The passengers need
to scan their boarding pass with a handheld scanner and if their bags are found in order in terms of size
and weight both the kiosk will accept the baggage automatically. This is one of the first efforts for
unmanned check in and it hardly takes three minutes approx. to complete the check in process that too
unmanned.

Abu Dhabi’s document authentication is an innovation which can speed up the entry process. As soon as
the passenger put their boarding pass for scanning (be it machine, home printed) the data is send for
validation. The information is sent for validation to the airline’s DCS. The information is put in front of
the security agent on a GUI.
This will help quick validation and verification of passenger documentation which will speed up and be
efficiently done. Aruba Airport has its story of “Happy Flow Biometric” where facial recognition
technology will be used for the identification of a passenger at check-in, bag drop, border control and
aircraft boarding.

Once the passport and facial features of passenger are linked together at the first check-in point the
passenger does not have to multiple times display their boarding cards and passports. Customer service
robots are an option for passenger airport experience. This is continuation to online check INS, home
printed and self bag tags, Self service kiosks, and mobile boarding cards.

This if become successful will remove the much talked about human touch. Geneva airport has
introduced the concept of robots. The airport has collaborated with Blue Botics where the customer
service agent services are provided by robots for offering directions and to lead the passengers there.
Initially the robots were deployed in baggage reclaim area where they can be used in optimum.

The robots can guide passengers for baggage collection, foreign exchange counters, washrooms and
train ticket counters. Passengers touch the screen select the service they want to use and they are lead
by a robot to the desired service.

The debate for robots versus humans does exist. As the airport environment is too stressful and humans
by their humane touch provide comfort and relaxation. So the technology experts are of the view that
the robots will complement the humans and will not replace them.

Business model IndiGo is using to script a rare success story

2. Business -To-Consumer Models (B2C):

Business-2-consumer business model is a model that refers to businesses that sell their services or the
products directly to the consumer who are the end users of the products or services.

There is an ongoing demand for the products as it provides the essential items. This thus eliminates the
risk of fluctuation in demand and helps in maintaining consistency in the business. Since direct contact is
there with the customer’s so information is shared with them directly and easily.

Customers are given products at a low price compared to its competitors for the business to run
smoothly.
IndiGo focuses on three pillars of success: affordable fares, on-time arrivals, and a hassle-free
experience. Unlike other airlines, it does not have a business class; yet, many business travelers prefer
IndiGo because of its outstanding on-time record. IndiGo aims to keep things simple and capitalize on
the benefits of being a low-cost carrier. They do not give complimentary meals like Air India.
Furthermore, they unashamedly charge for all extra services.

Strategies that made IndiGo a consistently profitable airline

Short-term and point-to-point route structure, a shared fleet with single-class seat arrangement, and
high staff productivity.

The bulk purchasing technique resulted in lower aircraft procurement costs. It secured an order for 300
A320 Airbus aircraft in October 2019, making it one of the largest aircraft deals with a single airline
operator.

Lower maintenance costs as a result of a modern, single-type aircraft strategy have made this a cost-
efficient airline.

Sale And Leaseback Model

The majority of IndiGo’s revenue comes from sale-and-leaseback transactions. These financial
transactions have contributed to IndiGo’s increased profitability. In other circumstances, such
as in the fiscal year of 2011, these trades have converted losses into profits. IndiGo profits by
$4-5 million on each sale and leaseback. This acts as working capital.
Via this model, operators sell freshly acquired aircraft to leasing firms while also leasing the
same aircraft. The prices paid to aircraft manufacturers such as Boeing or Airbus are typically
higher than the prices charged by leasing companies.
A leasing business will consent to such an agreement since it will receive an asset and a well-
established client without having to buy a new aircraft.
Sale and leaseback is a popular business model for no-frills airlines due to the flexibility in
keeping balance sheets light. An airline may save on depreciation, increase earnings and save
on tax as the aircraft is owned by a lessor. Among no-frills carriers, IndiGo has been the most
active user of the sale-and-leaseback financial model.
Building financial synergy
IndiGo has preserved a strong financial control system, which aids in the effective management of
working capital. It has also implemented appropriate rules and processes to protect company assets,
prevent and identify fraud, and prepare trustworthy financial reporting on time.

With all of these activities on display, one would wonder what is preventing other companies from
following IndiGo’s lead and reaping the benefits. The harsh reality is that IndiGo has built something
unique while not having access to rare resources, copyrights, or patents.
IndiGo has created a distinctiveness with all its efforts, such as operational or financial efficiency
initiatives, complementing one another, resulting in a strategic fit.

Clearly defined responsibilities for each ground staff and crew member result in a 20-minute turnaround
time, which helps maintain the flight on schedule and improves per-flight utilisation capacity.
Furthermore, this alignment of operations cuts costs significantly. Strategic fit is difficult to create, but
once accomplished, it is priceless. It becomes difficult for competitors to imitate, generating a firm’s
sustained competitive edge.

ER Diagram
The airline reservation system ER diagram shows the relationships of the system’s entities that build its
database design. This describes the logical structure of the system’s database or data storage. It is done
by identifying the airline reservation process entities, their properties, and the interactions between
them.
 Login_role_id
#login_id
Login_username

Login User_password
User_mobile

User_name Role_id

User_id

Role_name

User Has Roles

Role_desc

Per-id
User email User
address

Permission Per-role-id

Per-module
P_password Per-name

Ae-title
P-id
Manage
p-name Ae-id
Ab-pass-id

Ab-desc Airlines
Passenger Enquiry Ae-desc
Ab-date
Airline booking
p-mobile
Ae-date
p-address Ab-type

Has Ab-id Ae-type

p-email

t-booking-date
t-bookin-id Ticket Booking
t-booking-desc