OPSIGMA

The Operations and Supply Chain Club,

A legacy of excellence
IIFT Delhi since 1963

Background
OpSigma, the Operations and Supply Chain Club of IIFT Delhi, exemplifies
the need of organizations to migrate towards risk management in
today's supply chain and tries to highlight the importance of being able to
foresee potential operational bottlenecks

Problem Statement - 1
Go First: What went wrong with Indian airline?

GoFirst Airlines is an Indian low-cost carrier that was founded in 2005

and operates both domestic and international
flights. It is known for affordable fares and Skills
point-to-point connectivity. In October 2017, it Presentation skills
was the 5th largest airline in India with 8.4% Understanding of
passenger market share with over 330 daily complex Supply Chains
flights to 36 destinations but in 2023, the
airline declared bankruptcy.
Rewards
PPIs for the top 3
Deliverables performers in JCC
Ø Make a 2 Slider Deck with an in-depth selections
analysis of the reason for bankruptcy and its
impacts on the firm. Naming Convention
Full Name_Application
Ø Co-relate the issue with firms across
Number_Opsigma
the industry and suggest key remedial
measures for GoFirst Airlines to fly again. Deadline

25 June 2023
23:59:59 pm

Submission Link- https://forms.gle/2zpypGDEB19zZ4v8A

 Kindly attempt Problem Statement 2a or 2b

Problem Statement - 2a - Route Optimization

Go First has 20 Flights in its Kitty. 10 Flights are grounded owing to the
frequent failure of engines and the company is on the verge of
bankruptcy and is seeking advice from Teje-Cips and Co, an US-based
Consulting Firm specializing in Aviation Operations for minimising the
overall losses.

You, a senior consultant in "Teje-Cips and Co' are required to examine

the routes of Go First, customer Demand, revenue model and types of
Aircraft available, and come up with an ideal solution to maximize the
profit of flying the available flights to reduce the overall losses of the
company.

The following details are shared with you by the company.

Ø Currently, the firm operates all its flights from Mumbai and flies to 20
different routes (10 domestic and 10 in Europe)

Ø To strike the balance between Customer demand and operational cost,

each flight takes only one trip per day.

Ø In the Board meeting, it was decided that all the flights start from
Mumbai on day 1 and come back to Mumbai on day 2 from various cities
Eg: Mumbai to Destination A on Day 1 and Dest A to Mumbai on Day 2
Mumbai to Destination B on Day 1 and Dest B to Mumbai on Day 2
No flights travel between Destination A and Destination B

Ø The firm has two types of Aircraft - Turbo Prop and Turbo Jet Aircraft

Ø For International destinations, only Turbo Jet aircraft must be used and 5
international trips are to be made on day 1

Ø Each Turbo Prop Aircraft can accommodate a maximum of 150

passengers and Turbo Jet Aircraft a maximum of 300 passengers. (There
are 5 Turbo Prop and 5 Turbo Jet aircrafts)

Submission Link- https://forms.gle/2zpypGDEB19zZ4v8A

 You are given the details for day 1 – Revenue & cost associated with
each route, and customer demand in each route. You are required to
analyze only the data and come up with an ideal solution of routes to
increase the Operational Profit of Flying (10 Flights vs 20 Routes)

Operational Profit = Revenue – Cost–

(Total Unmet Customer Demand x 10)

For Example, If no flight travels to Chennai, there is no revenue nor cost

from Chennai but the unmet customer demand in Chennai will be the
loss (If there are 300 Chennai customers, then Rs.3000 will take a hit on
the Operational Profit)

The details of revenue, cost, and customer demand for each destination
are given below
Domestic Destinations International Destinations

Destination Revenue Cost Demand Destination Revenue Cost Demand

Guwahati 6000 2900 180 Paris 25000 8000 400

Srinagar 6500 3500 170 Rome 28000 12000 350

Delhi 5000 2500 160 Budapest 29000 16000 330

Nagpur 3600 1200 160 Vienna 26000 13000 320

Jaipur 3700 1300 150 Berlin 20000 8000 310

Hyderabad 3900 1800 150 Moscow 22000 7000 310

Chennai 4000 2000 150 London 21000 10000 300

Calcutta 4400 2600 140 Munich 30000 21000 290

Bangalore 3800 2100 130 Istanbul 20000 12000 280

Trivandram 4300 2900 120 Madrid 22000 14000 270

Submission Link- https://forms.gle/2zpypGDEB19zZ4v8A

Deliverable(s)

Ø 10 Different routes to be suggested in such a way that Operational

Profit does not come below Rs.63,000 for Day 1
Action to be done – Refer the attached Excel File, analyze the given data
table and choose the required destination from Column D and Column H.
Ensure the Operational Profit is to the north of the minimum level- SOS.

Click Here to Open the Excel File

Submission Link- https://forms.gle/2zpypGDEB19zZ4v8A

Problem Statement - 2b - Airport Layout

Go First operates majority of it flights via the new terminal at Mumbai

Airport. These are now allotted to the new wing of the terminal, which
hosts Gates 21-37. Due to space constraints, this wing of the terminal is
constructed such that the departures section and arrivals section of the
main terminal are located on the same side (as shown in the below
layout diagram)
Each of the Gates in this wing are serviced only via air-bridges, and will
be expected to accommodate the deplaning of arriving passengers from
an airplane as well as the subsequent boarding of departing passengers
on the airplane's next flight.

Obviously, the two groups of passengers will have to be kept physically

separate for security reasons, even though the two processes will not be
conducted simultaneously. In addition, each departing passenger will
have to pass through a Gate check (triangle in the layout) before
proceeding to board the airplane.

Finally, the wing is set to host a Food & Shopping Area located centrally
designed primarily for the departing passengers.

Submission Link- https://forms.gle/2zpypGDEB19zZ4v8A

Deliverable(s)
You are an airport consultant. You need to design the placement and
positioning of physical barriers (full height glass walls) separating the
arriving passengers from the departing passengers in order to allow the
airport and airline staff to maintain security protocols and conduct their
operations in a smooth manner.
Any doors meant to cross these barriers will require additional
manpower to monitor. The priority in ease of mobility should be given to
the departing passengers.
You may place the barrier in any arrangement that you believe will
solve the task at hand. These will be depicted on the layout as a set of
dotted lines.
Submission Guidelines
Problem Statement - 1
Ø Make a 2 slider deck excluding Intro and Thank you slides
Problem Statement - 2a
Ø Prepare a dedicated slide(only one slide) in the same presentation
deck and explain your approach in brief (maximum of 5 points and
need not to focus on aesthetics) and attach the solved excel file along
with the PPT
Problem Statement - 2b
Ø Work out and draw your solution in a legible and comprehensible
manner along with a single slide explaining the salient points of your
solution.
The solution can be drawn on top of the existing layout (PNG file will be
provided), or you can sketch out the entire layout from scratch and
attach an image of the same. Make sure you follow the notations used in
the problem statement, as well as mark your solution in dotted lines.
Upload the image of the solution layout in the drive folder.

Ø Naming convention for PPT: Name_ Application Number_Opsigma

Ø Naming convention for Excel: Name_ Application Number_Opsigma
Ø Naming convention for Folder: Name_ Application Number_Opsigma

Attempting both 2a and 2b will fetch Bonus Points!!!

Opsigma IIFT
All The Best! opsigma_iift