Is striving towards sustainability another business opportunity for an airline?

Abstract

Aviation industry plays an increasingly important part in global climate change with its dominant position in the transportation system which acts as one of the major consumer of fossil fuels and garbage creator. In recent decades, the industry starts to place more and more effort in moving towards sustainability. The term ‘sustainability’ can be found all over in their industrial publications. It is currently a common practice for airlines to publish annual CSR reports tackling environmental and social aspects for corporates. These measures can help archiving triple bottom line by not only lead to social wellbeing but also providing financial returns in long run after fighting with the economic sustainability challenge. Despite there are various CSR measures adopted by airlines all over the world, however, they place a predominate focus on emission reduction programs (e.g. Carbon offset program). Other environmental issues such as waste management, on the other hand, receive much less attention. Waste management is one of the dominant issues on sustainable development. This research attempts to examine the current CSR practices and passengers’ preferences towards some proposed non-monetary relief measures. This is achieved by reviewing possible universal sustainable waste management framework; comparing airlines’ ideal meal wastage report and actual field work data; characteristic of target passengers in favor of suggested relief schemes etc. This study concludes by raising some possible challenges that the airline may face during implementations and some recommendations on how the aviation industry could do so to reduce some avoidable waste and hence increase in profit margin by cost reduction. The dissertation concludes the resources currently provided by the airline are not all necessary and different passengers will have dissimilar preference and need. By letting passengers to choose what best suits them for their flights; it is believed that resources waste reduction at source is achievable. These measures may achieve a win-win-win situation by offering passengers a more tailored flying experience, bringing the airline a favorable reputation, increase in fiscal profit and most importantly a more sustainable environment for everyone to live in.