Business Aviation: A Critical Part of Success For Companies Across America
Q: Aren’t business aircraft
used mostly by major corporations?
A: No, the vast majority
of companies using business aviation–85%–are small
and mid-
size businesses and other entities, including nonprofit organizations.
For every Fortune 500 company that relies on business aviation,
there are several small businesses that also need their airplane.
Most companies use just one business airplane, which typically
seats six passengers and flies relatively short stage lengths,
mostly using small community airports.
Q: Aren’t the planes used
just for CEO transportation?
A: While each company has its own policies for
use of business aircraft, an NBAA survey
revealed that 86% of passengers aboard business airplanes are mid-level
people, including salespeople, engineers, or other employees. Many
companies have a first-come-first-served policy for use of the
aircraft.
Q: Why would a company ever require an executive to fly
exclusively on a company airplane?
A: Some companies want their top people to be
in constant communication with the home
office. Security is also often a consideration, especially for
companies with a high public profile; business aircraft allow employees
to discuss proprietary information in a secure environment and
without fear of eavesdropping. And companies want to ensure that
executives are able to maintain flexible and nimble schedules,
with reliable transportation access to all the places they may
need to reach on a moment’s notice.
Q: Do companies just use these planes to avoid the hassles
of airline travel?
A: Companies that have their own airplane often
use the airlines. A survey conducted by
NBAA several years ago revealed that the Association’s Member
companies spend $11 billion annually on travel with the airlines.
NBAA makes available software called “Travel$ense,” which
helps businesses determine the best transportation option for a
given mission.
Q: What are the kinds of trips where business aviation
makes more sense than a commercial flight?
A: Some examples might include trips that involve
destinations with little or no airline
service; missions that involve multiple stops in a single day;
delivering people or parts in real time (for example, flying emergency
equipment to a broken assembly line or providing a flight for employees
who need to discuss proprietary information).
Q: What should shareholders know about companies that
have an airplane?
A: Companies that have an airplane return more
to their shareholders than their
competitors without aircraft. Studies show business
use of general aviation adds value to a company’s bottom
line. Businesspeople can make a trip involving stops at several
locations, then return to headquarters the same day, saving time
and travel expenses that would be needed to make the same trip
over several days via auto, train or airline transport. Business
aviation is a productivity tool – when traveling aboard business
aircraft, employees can meet, plan and work with each other.
