BUSINESSWEEK ONLINE : SEPTEMBER 4, 2000 ISSUE
NEWS: ANALYSIS & COMMENTARY

Six Ways to Make Airlines Run Better


SHORT-TERM FIXES:

DESIGN REALISTIC SCHEDULES
The airlines should put aside their hypercompetitiveness at the most congested airports. If they can't develop schedules that really work, they should be forced to disclose to passengers more information about delays and provide alternative transportation earlier in the process.

CHARGE PEAK TRAVEL FEES
Institute some form of congestion pricing to charge airlines--and their passengers--more for flying at times that are most in demand. The extra funds collected by the airports should be used for capacity expansion and to keep low- fare carriers from being driven out.

UPGRADE AIRLINE INFORMATION SYSTEMS
Airlines should be able to provide front-line employees with information about delays in a more timely fashion. Automated tools could speed rebooking passengers when their connections are canceled or delayed.


LONG-TERM FIXES:

A NATIONAL AIRPORT PLAN
The Feds should oversee a plan and provide incentives for building airports and runways in the right places to meet growing demand. Now these are local issues with no federal coordination.

ENCOURAGE THE USE OF ABANDONED MILITARY AIRFIELDS
About 30 military fields are available for conversion to civilian use, including El Toro in Orange County, Calif.

FAA REFORM
Create a private or semiprivate agency that would provide air-traffic services while leaving safety regulation in the hands of the government. Market incentives should speed up adoption of the most promising technologies, such as satellite navigation to create more ''traffic lanes'' in the sky.



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TABLE: Six Ways to Make Airlines Run Better



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