Wednesday, October 9, 2019

A case for curbing CO2 emissions through the introduction of lighter passenger seats at British Airways


1. Introduction
The proposal in this report is to reduce the weight of aircrafts by installing lighter seats. The aim is to make the aircrafts lighter. The level of fuel consumption and carbon emission are directly related to the weight of the aircrafts. This means that when the aircrafts are made lighter, less fuel will be used and consequently, there will be a reduction on the level of carbon emissions produced.

The innovation achieves two goals: financial and environmental goals. The financial goal is achieved by facilitating saving on the cost of fuel. In a large aircraft, a 40% reduction in the weight of seats translates into savings on fuel spent. This provides financial benefits for the organisation. Reduction of carbon emission is also beneficial as it contributes to environmental conservation. The innovation is therefore likely to be very useful for the organisation. The benefits and challenges expected are explained in the following sections in the report.

2. Project overview
Installing lighter seats helps in making the aircrafts lighter. The lighter the aircraft, the lower the amount of fuel consumed. For each seat, the weight reduction may be negligible. For instance, reducing the weight of one seat by 5kgs may be negligible. The impact is more significant when this is done for the entire plane: often resulting in the reduction of about 750kg for an A320 plane (AirFrance, 2014). Reducing the weight of seats therefore helps in reducing the amount of fuel consumed by the aircrafts. This translates into lower levels of carbon dioxide emissions.

The transport industry, and especially airlines, is among the highest emitters of carbon dioxide and other greenhouse gases into the atmosphere (World Economic Forum, 2014). As the society becomes more sensitive towards the environment, there’s a growing expectation for organisations to play a role in conserving it. The expectation is for them to invest in environmental conservation by reducing the intake of fuel as well as participating in sustainability projects within the society.

The alternative approaches for lightening the aircrafts could include using alternative wiring systems, getting rid of unnecessary amenities fixed on the seats, and using lighter materials for production. These options are as follows:
Option 1: Entertainment gadgets can be connected to each other using the wireless technologies. This would enhance the quality of connectivity while reducing on the weight of cables needed to enhance connectivity.
Option 2: Removal of unnecessary amenities could include removing reclining equipment and restrict flexibility of sitting position among passengers.
Option 3: The third option would be to use thermoplastics to replace metal parts and be able to create lighter seats whose strength and sturdiness is the same. Thermoplastics are much lighter yet very strong and this makes them suitable for making aircraft seats (Fiberforge, 2014).

Market research findings are consistent that while customers may value sustainability, few are willing to pay a price premium on green products or ready to sacrifice on the quality of service demanded (Finnair, 2014). This means that in the attempt to modify the seats, quality must only get better and not worse. The use of wireless technology is acceptable for as long as it doesn’t compromise on quality of service. However, removal of amenities considered unnecessary may be detrimental where customers find them enjoyable. The only options available for installing lighter seats are therefore options 1 and 3.

Ideally, a project would have greater value if it satisfies the needs of more stakeholders. In this case, the stakeholders would be the shareholders and the general public. While the general public demands environmental accountability that is even implemented at the cost of the organisation, the shareholders desire to turn every project into profit; or at least minimise the net cost of the projects. The financial justification of the project is explained in the section below.

3. Financial estimates and project payback period
The financial value is determined by the extent to which it is possible to recoup the investments made either through savings or through additional incomes. Each project should have an acceptable payback period. This differs from organisation to organisation. In this case, there are two possible benefits of investing in the environmental sustainability project: additional revenues from customers happy with the organisation’s care for the environment; and savings made from the consumption of less fuel due to the aircrafts being lighter.

On the ability to inspire more customers to use British airways on account of the environmental conservation project, prospects would either be minimal or non-existent. This is because the trend has been quite common among airlines seeking to reduce the weight of aircrafts. Failure to implement the project may, on the other hand, be detrimental as customers may be tempted to use airlines that are more environment-friendly. This means that even though additional revenues are guaranteed, failure to implement the project could lead to loss of revenue in future. This makes the project a necessity for the organisation.  There is a positive evaluation on the projected saving on fuel with an estimated payback period of 50months as explained in the paragraphs below.

It is possible to estimate the amount of fuel that could be saved. Based on the estimations in a similar project by a competing airline, a reduction of about 40% in the weight of a plane translates into savings of about 1700tonnes per year (AirFrance, 2014). A more accurate estimation is that each pound shed from the weight of the plane would be expected to generate a $500 saving on fuel in a year (World Economic Forum, 2014). The estimation is assumed to have factored in inflationary trends that impact the net present value of investments. In this case, the estimated reduction of weight for each plane is 750kg or 1653pounds. The annual saving as per the estimation above is 1653 x 500 = $826,500 per plane.

The estimated cost of installing lighter seats can be estimated from a budget outline of a company similar to British Airways in scale and market leadership: Delta Air Lines. In an ongoing project to install lighter passenger seats on their planes, Delta estimates to $770million on its 225 passenger fleet (Mayerowitz, 2014). This means that the cost of installing seats per plane (A320 or equivalent) translates into $3.42million. From the estimation above where the project is estimated to save $826,500 per plane, it can be said that it will take 4.14yrs or about 50months for the cost of installing new seats to be recovered through fuel savings.

4. Challenges and recommendations
The main challenge expected is the high cost of implementing the project. It can be estimated that it would cost the organisation $3.42million per large place plane (A320 or equivalent) in implementing the project.  This is a substantial investment and it may be a deterrent. However, the payback period is reasonable with full returns expected in just over 4 years of operation.

Supply chain issues are also likely to occur. Changing the design and components of airplane seats implies changing suppliers or demanding that the old suppliers be able to master the new component specifications (Brussels Airlines, 2014). It may lead to breaking off of long standing ties with suppliers that have been enjoying a strong relationship with the airline. This could lead to conflict and internal resistance. Any resistance anticipated should be countered by building internal support for the change within the organisation. Communication should be clear on the importance of the project and the need to endure sacrifices where necessary.

There are also risks associated with design problem. Being a design that is to be implemented, the organisation is not guaranteed to implement changes that would be desired by customers. Customers emphasise quality above considerations of environmental friendliness and this means that they’d not be willing to accept low quality in order to contribute to environmental sustainability. This challenge can be countered by conducting market tests on the newly designed seats to establish what is acceptable in the market before the project is rolled out.

5. Conclusions
In conclusion, the installation of lighter seats would include two design elements: replacing wiring with wireless connection for the entertainment services; and replacing heavier materials like metals with thermoplastics which are strong but lighter. The aim of the project is to reduce carbon dioxide emissions by getting the aircrafts to consume less fuel. This is done by making the planes lighter. For an A320 or equivalent, it is projected that a 5kg weight reduction per seat could translate into the whole plane being lighter by 750kgs. This could lead to an annual saving of $826,500 on fuel consumption per plane. Considering the estimated cost of the project, the payback period would be 50months. This project is therefore viable: both financially and environmentally.




References
AirFrance, 2014. AirFrance reduces emissions with lighter seats. (Online) Available at: http://www.enviro.aero/AirFrancereducesemissionswithlighterseats.aspx (Accessed 21 April 2014)
Brussels Airlines, 2014. Brussels Airlines takes the environment at heart. (Online) Available at: http://company.brusselsairlines.com/en_be/corp/citizenship/bgreen.aspx (Accessed 21 April 2014)
easyJet Plc, 2014. easyJet lightens the load with new lightweight seats, trollies and sharklets. (Online) Available at: http://corporate.easyjet.com/media/latest-news/news-year-2013/18-03-2013-en.aspx?sc_lang=en (Accessed 21 April 2014)
Fiberforge, 2014. Thermoplastic composites. (Online) Available at: http://www.fiberforge.com/thermoplastic-composites/thermoplastic-composites.php (Accessed 21 April 2014)
Finnair, 2014. The four pillars of fuel efficiency. (Online) Available at: http://www.finnairgroup.com/responsibility/responsibility_13_1.html (Accessed 21 April 2014)
Mayerowitz, S., 2014. Delta: New seats added amid aircraft buying spree (+video). (Online) Available at: http://www.csmonitor.com/Business/2014/0109/Delta-New-seats-added-amid-aircraft-buying-spree-video (Accessed 21 April 2014)
World Economic Forum, 2014. Lighweight commercial aircraft seating. (Online) Available at: http://www.cleanenergyawards.com/top-navigation/nominees-projects/nominee-detail/project/38/?cHash=a722fc666b (Accessed 21 April 2014)

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