Optimization of Fuel Tankering and Cargo Maximization at Garuda Indonesia Airline to Gain Profitability (Study Case of Route Cgk-Sub)

Abstract

Fuel is a considerably high cost component in aviation operations. One of the ways to cost savings of an aircraft expense is Fuel Tankering. Fuel Tankering is an additional fuel carrying procedure aimed at obtaining cost savings by resorting to the price gap between departure and arrival airport, as well as minimizing risk. In reality, Fuel Tankering strategy in some airlines is still not favorable. Thus, companies must be able to weigh up expenditures and revenues. Therefore, there is a need for the estimation of fuel tankering and cargo maximization in the aircraft, so that Flight Operation Officer has a reference in estimating the defined formulations. The purpose of this research is to optimize Fuel Tankering and cargo maximization of airline company. It is expected that upon the strategy application within Indonesian airlines, there will be a significant and profitable operations.