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					PROJECT REPORT ON:




   REVENUE


SUBMITTED BY:
TAQDEES TAHIR

INSTITUTE OF BUSINESS AND
TECHNOLGY (BIZTEK)



                            1
                   ACKNOWLEDGEMENT
I am thankful to Almighty ALLAH who gave me the strength to work on such a project
and gain tremendous knowledge. With all due respect I would like to thank our instructor
Mr. Nazeer Tahir who have been a great influence through out the project and help with
the entire problems encounter, he taught us and been very polite and helpful. It was
indeed due to his effort we achieve success.

I am thankful to Management of PIA who provides us the platform to learn and gain
practical knowledge and to work in group context as well as individual all those who help
out in making report.

I would like to express my heartfelt thanks and appreciation to the following dignitaries
whose assistance and support, has done so much to contribute in completing my project.

      Mr. Abdul Jawad Khan
      Mr. Aijaz Chaudry
      Mr. Nazeer Tahir
      Mr. Ali Arshad
      Mr. Jamal Waseem
      Mr. Khalil
      Miss. Gulshan
      Mr. Tariq
      Mr. Pervaiz
      Mr. Aqeel Chisti




                                                                                       2
CONTENTS
  INTRODUCTION TO PIA

 o   Brief History
 o   PIA’s Subsidiaries and Associated Companies
 o   Personnel
 o   Organo gram
 o   Destinations
 o   Domestic route map
 o   International route map

  FINANCE DEPARTMENT

 o   General Accounting
 o   Budget
 o   Funds Management
 o   Revenue

  REVENUE DIVISION

 o Pax Revenue
            Physical Checking Units
            Quasar System Units
            Other Units/ Sections
 o Cargo Revenue
            Cargo Lift
            Cargo Sales
            Cargo Pricing
            Cargo Interline
            Cargo Mail


  APPENDIXES




                                                   3
                           INTRODUCTION

Pakistan International Airlines is the national flag carrier, and as a symbol of

National pride. PIA head office is located in Karachi Airport. Principal

activity of the PIAC is to provide air transport services (passengers and

freights). In addition, the corporation is engaged in providing engineering,

training, and other allied services. PIA play vital role in the growth of GDP

as well as earn sufficient foreign exchange for the country. It became

member of IATA (International Air Transport Associations) and commercial

operation as a scheduled carrier for passenger and cargo transportation.


Pakistan   International   Airlines   Corporation    (the Corporation) was

incorporated on April 18,1956 under the Pakistan International Airlines

Corporation Act, 1956(PIAC Act, 1956) and its shares are quoted in all the

stock exchanges of Pakistan.57 % shares held by Government of Pakistan,

and rest of 43 % shares held by Financial Institutions, Investment

Companies, Individuals, Joint Stock Companies, Foreign Companies etc. As

the government is the principal owner of the airline so the government

selects the Board of Directors and the Chairman/CEO.




                                                                              4
                         BRIEF HISTORY

In the days when Pakistan was still in the revolting position (June 1946) Mr.
Mohammad Ali Jinnah, the Founder of the upcoming Nation, instructed Mr.
M.A. Ispahani, a foremost industrialist, to set up a national airline, on
precedence basis. With his stupendous vision and forethought, Mr. Jinnah
had anticipated that with the formation of the two wings of Pakistan,
alienated by 1100 miles, a swift and well-organized mode of transport was
imperative.

The novel airline was primarily a pilot project, registered in Calcutta as
Orient Airways Ltd, on 23rd October, 1946. With A.M. Ispahani as the
Chairman and Air vice Marshal O.K. Carter as the General Manager of the
new air hauler, operating license for the airline was obtained in 1947 with
Calcutta as the base.

Orient Airways was a privately owned company, with limited capital and
resources. It could not be expected to grow and expand on its own. It was
then that the Government of Pakistan decided to form a state-owned airline
and invited Orient Airways to merge with it. The outcome of the merger was
the birth of a new airline, named Pakistan International Airlines (PIA) on
11th March, 1955.

Pakistan International Airlines established in 1954. PIA's first Super-
Constellation (AP-AFQ) registered on Apri'24, 1954. PIA started its regular
service from May 10, 1954. Pakistan International Airlines Corporation
formed with merger of PIA and Orient Airways. PIA entered the world of
international aviation with a service from Karachi to London via Cairo and
Rome. Boeing 707-320 "International" introduced on the London route. First
three of five Fokker F-27s received and order placed for three Boeing 720B
jet aircraft. PIA is the first Asian airline to operate a pure jet aircraft.

At present, PIA operates to 75 destinations (38 international and 37
domestic) in countries spread over 4 continents of the globe. One could say
that since its inception in 1955, PIA has indeed, come a long way.




                                                                           5
PIA'S SUBSIDIARIES + ASSOCIATED COMPANIES
PIA'S SUBSIDIARIES

  1) PIA Holdings (Pvt.) Limited
  2) Duty Free Shops Limited
  3) International Advertising (Pvt.) Limited
  4) Sky rooms (Pvt) Limited
     Airport Hotel, Karachi Airport
  5) PIA Shaver Poultry Breeding Farms (Pvt) Limited
  6) Midway House (Pvt.) Limited
     Hotel Midway House, Karachi Airport

ASSOCIATED COMPANIES

(Overseas)
  1) PIA Investments Limited
  2) Minhal incorporated Pakistan
  3) Pakistan Services Limited
  4) Pakistan Tourism Development Corporation Limited.


                                PERSONNEL
       Captains / Pilots / Co - Pilots           538
       Aircraft Engineers                        697
       Flight Engineers                          90
       Airhostesses                              1055
       Flight Stewards                           978
       Others                                    15,028
       Total Number of Employees                 18,386




                                                          6
                                                                  ORGANO GRAM




                                                                                                                                            CORPORATE ORGANIZATION




                                                                                              CHAIRMAN & CEO
                                                                                               CHAIRMAN & CEO

                                                                                                                                                      SA (EXT) TO
                                                                                 SA (INT) TO                                                         CHAIRMAN &
                                                                              CHAIRMAN &CEO                                                               CEO
                                                                               & GM SECURITY



                                                                                                  G.M.                                                                           CH. ENGR
                                                      CH. INTERNAL                                                                   SECRETARY
                                                                                             PUBLIC AFFAIRS                                                                      QUALITY
                                                        AUDITOR                                                                         PIAC
                                                                                                & COMM.                                                                          SYSTEMS




                                                                                                                 DEPUTY
                                                                                                            MANAGING DIRECTOR


                                                                                     G.M.                                                                  G.M.
                                                                                     TGS                                                                 SPEEDEX




    SVP
     SVP        SVP
                 SVP        SVP
                             SVP       SVP
                                        SVP             SVP
                                                         SVP        SVP
                                                                     SVP                                                                  SVP
                                                                                                                                           SVP                          SVP
                                                                                                                                                                         SVP                   SVP
                                                                                                                                                                                                SVP                          SVP
                                                                                                                                                                                                                              SVP      SVP
                                                                                                                                                                                                                                        SVP
                                                                              SVP
                                                                               SVP                                      SVP                                SVP                                                SVP
FLT.SAFETY
 FLT.SAFETY PRECISION
              PRECISION    COORDI
                           COORDI      HR &
                                       HR &        FIN MON’RING
                                                    FIN MON’RING  FLIGHT
                                                                   FLIGHT                                                SVP            FLIGHT
                                                                                                                                         FLIGHT
                                                                                                                                                            SVP        PRO.
                                                                                                                                                                        PRO.                 QUALITY
                                                                                                                                                                                              QUALITY
                                                                                                                                                                                                               SVP       CORPORATE INFORMATION
                                                                                                                                                                                                                         CORPORATE INFORMATION
                                                                           MARKETING                                   WORKS                           ENGINEERING                                         FINANCE
   & HSE
   & HSE    ENGINEERING
             ENGINEERING   NATION
                           NATION     ADMIN.
                                      ADMIN.       & APPRAISAL OPERATIONS MARKETING
                                                    & APPRAISAL OPERATIONS                                             WORKS          SERVICES
                                                                                                                                       SERVICES
                                                                                                                                                        ENGINEERING & LOGISTICS
                                                                                                                                                                    & LOGISTICS             ASSURANCE
                                                                                                                                                                                            ASSURANCE
                                                                                                                                                                                                            FINANCE       PLANNING TECHNOLOGY
                                                                                                                                                                                                                           PLANNING TECHNOLOGY




  CH. PILOT                              G.M.           G.M.                             G..M.                             G.M.            G.M.                                                                                            G.M.
                 G.M.       CMO                                          CH.PILOT                           G.M.                                                    CH. ENGR.        G.M.       G.M.           G.M           G.M.
 CORPORATE                             HUMAN       FIN. MON’ING                       PASSENGER                         FACILITIES       FLIGHT                                                                                         COMPUTER
                 SITE      MEDICAL                                      TECHNICAL                         AMERICAS                                                 LINE MAINT.       P&L        MIS        ACCOUNTING    FLEET PLNNG.
   SAFETY                             RESOURCES    & APPRAISAL                          SALES                          MANAGEMENT       SERVICES                                                                                         SERVICES


                 G.M.                    G.M.         G.M.               CH. PILOT       G.M.                G.M.                          G.M.                                                  G.M.                                      G.M.
                                                                                                                                                                CH. ENGR.
                                        ORG’L      MARKETING           STANDARDS &   RESERVATION             U.K &                        FOOD                                                 QUALITY        G.M.                      COMMUNI-
                 P.E.C.                                                                                                                                        BASE MAINT.
                                                                                                                                                                                                           REV. ACCTG.
                                     DEVELOPMENT   PLANNING             INSPECTION    PLANNING             IRELAND                      SERVICES                                             IMPROVEMENT                                 CATIONS


                                        G.M.                            CH. PILOT                            G.M.                          G.M.                     CH. ENGR
                                                                                          G.M.                                                                                                PRINCIPAL       G.M.
                                       ADMIN                           PLANNING &                         SAUDI ARAB                  PAX HANDLING                  AVIONICS
                                                                                     INT’L AFFAIRS                                                                                               PTC        BUDGET /
                                      SERVICES                         SCHEDULING                          & YAMEN                      SERVICES                      O/H                                  FUNDS MAGT.
                                                                             .

                                                                                         G.M.            G.M.                                                       CH. ENGR.
                                                                        CH. PILOT
                                                                                     MKT SUPPORT      GROUP TOURS                                                    POWER
                                                                        TRAINING
                                                                                      SYSTEMS         & CHARTERS                                                     PLANT


                                                                                                   G.M.                                                             CH. ENGR.
                                                                        CH. PILOT
                                                                                                  CARGO                                                            PLANNING &
                                                                       NORTH (ISB)
                                                                                                  SALES                                                             PROJECTS


                                                                          CHIEF                                                                                     CH. ENGR.
                                                                         FLIGHT
                                                                                                                                                                   DEV. ENGG.
                                                                        ENGINEER


                                                                          G.M.                                                                  CH.ENGR.
                                                          CH. PILOT.                                                                                             CH.ENGR.
                                                                        CENTRAL                                                                 BUSINESS
                                                        COORDINATION                                                                                           CABIN MAINT.
                                                                        CONTROL                                                               DEVELOPMENT




                                                                                                                                                                                                                                        7
                        DESTINATIONS
PIA takes flights around the globe that are

      Asia
      Europe
      North America
      Domestic

For details see appendix-A.


                  DOMESTIC ROUTE MAP




                                              8
INTERNATIONAL ROUTE MAP




                          9
                   FINANCE DEPARTMENT
Finance department is divided into 4 sub departments that are:

   1-   General Accounting
   2-   Budget
   3-   Funds Management
   4-   Revenue




                 Finance Department Hierarchy
                                      S.VP
                                     Finance




    G. Manager          G. Manager             G. Manager       G. Manager
     Revenue            Accounting               Budget      Funds Management




                                                                            10
                                 REVENUE
Revenue department deals with all the revenue generated by PIA through
sales of tickets and other freight services. It is divided into three sections that
are

   1- Physical Checking Units
   2- Quasar System Units
   3- Others Units/Sections



PHYSICAL CHECKING UNITS
    Domestic Sales Unit

          A.   Domestic counter sales R-1
          B.   Domestic counter refund R-6
          C.   Domestic Agents Sales
          D.   Domestic Agent Refund

    International Sales Unit

          A.   International counter sales
          B.   International counter refund R-6
          C.   Agents sales
          D.   Agents refund

QUASAR SYSTEM UNITS
    Pax Lift

          A.   Prep
          B.   Scanning
          C.   Tile verification
          D.   Visual Quality Assurance
          E.   Extended Ticket Capture




                                                                                11
  TCN
  Interline Revenue

        A. Receivable unit
        B. Payable unit

  Sales Balancing



OTHER UNITS/SECTIONS
    Credit Control (R-8)
    Reconciliation
    Tax
    General Refund




                             12
                  PHYSICAL CHECKING UNITS
Domestic Sales Unit
The Domestic Sales Unit is a unit of Pax Revenue Accounting in which the following
activities are being performed:

       Receiving the sales reports.
       Checking of fares, taxes, commission, fare basis and class of travel.
       Physical checking of all sold and supporting documents.
       Checking of values, validity and rules of all refunded and surrendered coupons.
       In case of any discrepancies, Raise debit memos and maintain the record.
       Preparation of boxes and binders and handed over to the record room.


RECEIVING OF SALES REPORTS
The sales reports contain passenger coupons/tickets, EBTs, MCO, PTAs etc. with other
supporting documents. These sales reports are received either daily or fortnightly at the
Head Office sent by all stations.
We receive the sales reports of a month in an unsorted manner. The sales reports includes
documents, supporting documents, refund reports with documents.



                            TYPES OF REPORTS


  I. Agent Sale Report (ASR)
       Reports from all Agencies in Pakistan And PIA Agents.

 II. DQB
       Report by agents through ABAKUS System.




                                                                                          13
                               TYPES OF TICKETS

   1)   Paper Ticket.
   2)   E-Ticket.
   3)   Prepaid Ticket Advice (PTA).
   4)   Miscellaneous Charges Order (MCO).
   5)   Excess Baggage Ticket (EBT).

PAPER TICKET
In Paper Ticket, we have four coupons which include Audit coupon, Agent Coupon,
Passenger coupon and Flight coupons along with the Jacket.


E-TICKET
Pakistan International Airlines has just introduced the Electronic Ticket. In E-Ticket, we
have three coupons which include Audit coupon, Passenger coupon and Passenger
Itinerary.

PREPAID TICKET ADVICE
In Prepaid Ticket Advice (PTA), a person can buy a ticket from any other country or city.
But For this service, a passenger has to pay some extra charges i.e
For Domestic they charge Rs.250
For International they charge Rs.1500

MISSELLANEOUS CHARGES ORDER
Miscellaneous Charges Order (MCO) is used for the adjustment of the fares.
In MCO, we have three coupons which include Audit coupon, Agent coupon and
Exchange coupon.

EXCESS BAGGAGE TICKET
Excess Baggage Ticket (EBT) is used for excess luggage. PIA has given a limit of
baggage to their passengers for domestic and international flights. If the baggage is over
weight then they charge some extra money as per Kilogram.




                              TYPES OF AGENTS


   1) Domestic Sale Agent (DSA)
   2) Passenger Sale Agent (PSA)
   3) General Sale Agent (GSA)



                                                                                         14
                                COMMISSIONS


 1) Domestic Sale Agent (DSA)  7% of Fare.
 2) Passenger Sale Agent (PSA)  7% of Fare.
 3) General Sale Agent (GSA)    5% of Fare.




TYPES OF CLASSESS

        FOR DAY

        1) Economy Class (K)
        2) Economy plus (P)
        3) Business Class (C)

        FOR NIGHT
        1) Economy Class (N)
        2) Economy plus (L)
        3) Business Class (B)


                                      TAXES

 Pakistan International Airline (PIA) takes some taxes with fare which includes,

   i.     Central Exercise Duty (CED)  15% of Fare.
  ii.     Embargation Fee  Rs.120

     The CED goes to the Government and Embargation fee goes to Civil Aviation
     Authority (CAA).




                                                                                   15
                      DIFFERENT FARES

1) PIA has different fares for different age group:

            Adult           Full Fare.
            Child           50% Fare (below 12 years).
            Infant          10% Fare (below 2 years).

2) PIA has different fares for different people:

            Groups
            Family.
            Senior Citizen.
            Journalist
            Handicap
            Industrial people
            Defence People (APW)




                                                           16
International Sales Unit
The International Sales Unit is a subunit of Pax Revenue. International Sales Unit
receives sales reports from stations all around the world where PIA has its online &
offline stations. These stations send the sales reports to the Head office on daily, weekly,
monthly & fortnight basis.


WORKING PROCEDURE:

The International sales unit performed following activities:

   1- Receiving the sales reports from Int. Stations.
   2- Receiving of funds report from Int. Stations.
   3- Checking the physical availability of all supporting documents.
   4- Checking physical availability, values, validity and rules of all refunded and
       surrendered coupons.
   5- Checking fares, taxes, fare basis, class of travel.
   6- Preparation of Batches and sequential arrangement of Sales Repots.
   7- Fare audit with approvals and to clear.
   8- Check collection and reporting of all applicable Taxes (Pakistani & Foreign).
   9- Check all Reissued transactions (PK / OAL) for values, routing, and ensure
       physical availability / validit7y of all surrendered coupons.
   10- Preparation of boxes and binders and handing over to the record room.
   11- Raise debit memos in case of any discrepancies.
   12- Maintaining Debit memo following report.
   13- Maintaining Dad approval record.
   14- Maintaining email record.
   15- Maintaining correspondence record.
   16- Correspondence with all Int. stations sending sales report.




                                                                                         17
TYPES OF SALES REPORT:

  1. Counter sales report.
  2. Refund reports (R6).
  3. BSP (Bank Settlement Plan)
  4. Agency sales report.
  5. ARC (Airline Reporting Corporation)


                    ACTIVITIES OF INT. SALES UNIT

  1. Receiving of Sales reports from mail control unit & balancing unit.
  2. Segregation of Sales reports according to station, Agent & date wise
  3. Processing of Sales Reports.
  4. Keeping record of various files.
  5. Setting of Target Date for processing, checking of sales reports.
  6. Controlling of sales reports (counter & Agents) on control sheet.
  7. Controlling of R-6 from various station on control sheet.
  8. Distribution of counter sales, Agent sales, Refund reports to processing stall, dully
     sorted & arranged.


RECEIVING OF SALES / REFUNDS REPORTS:
  1. The sales reports contain Audit coupons, void flight coupons, MCO, PTAs, and
     EBT with other supporting documents.
  2. These sales reports are received either daily, weekly, monthly fortnightly at the
     Head Office sent by all stations through mail control & balancing units.
  3. The sales reports of a month are in unsorted manner which includes documents,
     supporting documents, refund reports with documents.
  4. The sales reports received are to be segregated by the staff according to region,
     station & date wise.
  5. The sales reports to be given to the processing staff according to the stations
     allocated to them.




                                                                                         18
   6. A sales report control sheet is to be entered when the segregation is complete. It
       would indicate the status of reports received from the stations.
   7. The sheet would be given to MIS for entry in to system.

SEGREGATION OF SALES REPORTS:

The sales reports are then segregated by staff into regions and given to them region-wise.
The regions are:

 Far-East
 Middle East /Gulf
 Europe
 USA & Canada
 London Territories.
The sales reports are further segregated by them station and then date wise.

PROCESSING OF SALES REPORTS:

The staff performs the following functions during the processing of sales reports:

       1. Physical checking of all the tickets reported in the sales reports.
       2. Missing tickets/coupons are checked
       3. Checking of all voided coupons with auditor’s coupons.
       4. Check fare basis, class of travel, late reporting, Date of travel, Approval codes
           etc.
       5. Checking the amount of DADS amount being reflected on the tickets as per
           procedure.
       6. Checking collection and reporting of all taxes implemented from time to time.
       7. Checking all refunded flight coupons are physically available.
       8. Ensure refunded tickets are stamped as “Refunded” along with supporting
           documents
       9. In case of any discrepancy, the debit memos should be raised. These debit
           memos are issued to the concerned station.
       10. These debit memos includes the amount that is short collected with proper
           working/calculation and supporting documents.


                                                                                           19
QUERIES/INFO CELL:

    The query cell is made for accepting the queries from the processing staff relating
       the processing procedures/approvals.
    The query cell handled the queries from audit & refund sections.
      After handling these queries would be entered in the query sheets and then these
       sheets would be given to MIS.


RECORD KEEPING:

      After the handling of queries the record keeping process comes in. This section
       includes the record in the form of boxes, registers and binders.
      Debit memos be are allocated to the regions serial wise.
      Debit memos sheets
      Correspondence through emails, mail, telexes and faxes.
      Follow-up sheet.


FILES MAINTAINED:
 Approvals
 Box registers
 Binder files
 Debit Memos
 Monthly status of reports processed.
 Wrongly uplifted coupons.




                                                                                         20
                    QUASAR SYSTEM UNITS
PAX LIFT
                               PAX LIFT


From sales report control unit, the coupons send to the department where
physical checking is done. From there, the coupons send to Pax lift unit. In
this unit, the coupons are passed from different stages.

DIFFERENT STAGES:
Following are the different stages of Lift unit:

   1)   Prepping
   2)   Scanning
   3)   Tile
   4)   Visual Quality Assurance (VQA)


   PREPPING:
   In Prepping, the coupons are separated according to the class and then the
   child or infant coupon is separated.

   SCANNING:
   In this, the coupons are scanned in a system with the help of bar cade
   present on a coupon through scanner.

   TILE:
   In this, fare and actual amount is matched.

   VISUAL QUALITY ASSURANCE:
   In this, the stock number and ticket number is matched.




                                                                               21
         TCN (TRANSACTION CONTROL NUMBER)
INTRODUCTION

TCN stands for Transaction control number. Every ticket sales data
electronically recorded in Computer Reservation System and then
transferred through TCN file and ETC file to TCN Edit Process. Where it is
corrected in work flow queue and then tickets are prorate and saved in ticket
data base.

SOURCES OF DATA

In TCN data comes from different sources which are
   1- BSP (Bank settlement plan)
   2- ARC (Airline reporting corporation)
   3- ETC (Extended ticket capture)


                     TCN PROCEDURE
TCN procedure has following steps:

   1- Logon to client manager by entering user id and password.
   2- In client manager window click on server in menu bar and click on
      send trans to connect with QUASAR system.
   3- In quasar security logon window enter password and press ok. Button
      to proceed further.
   4- In quasar main menu press the workflow icon button to open
      workflow window.
   5- In workflow window click on queue on main menu bar and then list
      exceptions.
   6- In list exception by queue window input the desired criteria and select
      list to view exceptions.
   7- Now select any ticket to open for correction.
   8- In tickets coupon window read the message and correct the error.
   9- Tickets coupon and fare bases are corrected and then up date the
      information and then press the save /send button..



                                                                          22
                        TCN PROCESS

ETC FILE
                 TCN
FROM
                 FILE
LIST
                                                         TICKET
 TCN EDIT PROCESS              TICKET                   DATABASE
                               PRORTION




     ERRORS

                                                     MANUAL
REJECT         WORKFLOW QUEUE                        CORRETION




1. Ticket information recorded in computer reservation system.

2. Through CRS data is send to TCN file and ETC file and from there it
   comes in TCN edit process.

3. Through TCN edit process errors and rejected tickets are corrected in
   workflow queue.

4. In workflow queue data is manually corrected and send back to
   workflow queue.

5. After correction data again comes in TCN edit process and forwarded
   to ticket proration process if any other errors and rejections does not
   exist.

6. When ticket is prorated data is stored in ticket database for further
   usage.




                                                                           23
                         TCN PROCEDURE
Step 1
WINDOW: LOGON




PURPOSE:
To connect with Client Manager by entering User ID and Password

FIELDS                 DEFINITIONS

USER ID                It is unique identity of every employee.

PASSWORD               Security key words to control unauthorized access.

BUTTONS                DEFINITIONS

OK                     It is used to proceed further.

CANCEL                 It is used to close the window.

HELP                   It is used to when any help is required.




                                                                            24
Step 2
WINDOW: Client Manager




PURPOSE:
To be connected with Quasar system through server connection.


      FIELDS                               DEFINATIONS
      Server name                          It shows the server list to be
                                           connected with.
      Status                               It shows that server is connected
                                           or disconnected.




                                                                               25
Step 3
WINDOW: Quasar Security Logon




PURPOSE:

To access the Quasar system by entering password of provided user id.


FIELDS                  DEFINITIONS
USER ID                 It is unique identity of every employee.

PASSWORD                Security key words to control unauthorized access.
BUTTONS                 DEFINITIONS
OK                      It is used to proceed further.

CANCEL                  It is used to close the window.
Change password         It is used to change or reset the password if desired by
                        employee.




                                                                                   26
Step 4
Window: Quasar Main Menu




PURPOSE:
This window contains different functions of Revenue Accounting. In TCN it helps to
access the workflow window.

FIELDS                 DEFINITIONS
Work flow              It is used to correct the errors.




                                                                                     27
Step 5
Window: WORK FLOW SYSTEM MAIN MENUE




PURPOSE:

This window helps to access the list exception window.

Field                     Definition

Queue                     It is used for exception selection.




                                                                28
Step 6
Window: List Exception by Queue




PURPOSE:
This window helps to input desired criteria and select List to view exceptions.

FIELDS                  DEFINITIONS
Queue                   It is used for exception selection. E.g. tax audit, TCN,
                        Unmatched usage etc.
Filter method           It is used to Shrink the data according to need.
Status                  It shows the ticket working status. E.g. all, new. in work.
Employee ID             It shows the employee ID who is working on TCN.
Cycle #                 It shows the reporting frequency of ticket.
Queue Date              It shows the date at which ticket comes into system.
BUTTONS                 DEFINITIONS
Correct                 It is used to correct any ticket.
Refresh                 It is used to refresh the list.
List                    It is used to show the desired list of documents.




                                                                                      29
Step 7
Window: TCN/CRS Coupon




PURPOSE:
To correct fair calculation area and errors those are mentioned in message window.

Fields              Definitions
Agency              The unique agency code provided by IATA.
Fare currency       The currency in which fare is paid.
EAP currency        The currency in which fare is converted.
Fare calculation    Whole ticket journey is constructed with flight carrier and fare
                    amount.
Itinerary           Coupon wise ticket detailed is given.
Messages            Errors are mentioned in this area.
Conjunctive         It shows that ticket is conjunctive or not (if more than 4 coupons are
                    attached it is conjunctive.)
Issue date          Date on which ticket is issued.
BUTTONS             DEFINITIONS
Ticket form type    It shows the type of ticket like EBT (excess baggage ticket), MCO
                    (miscellaneous charges order) etc.
Save                It is used to save the changes that are made.
TSL List            It is used to show the list of ticket sales location (agency).


                                                                                        30
Step 8
Window: Update TCN/CRS Coupon




PURPOSE:
To update the ticket coupon information if wrong filled.

FIELDS                  DEFINITIONS
Origin                  Shows the place from where journey is started.
Flight date             Shows the date of travel.
Destination             Shows the place where the journey is ended.
Airline                 Shows the airline carrier.
Fare basis              It shows the conditions of fare to be valid or not. E.g. NOW
                        (night one way) etc.
Book                    It shows the class e.g. Club (c ), economy (k) etc.
Ticket Designation      In this any type of discount is mentioned.




                                                                                       31
                            INTERLINE UNIT

INTRODUCTION:

Interline unit works on those documents (Tickets) which includes more than one Airline.
When a passenger buys a ticket of more then one sector and he will travel through two
different airlines on a single ticket. In interline documents of one airline is also used by
other airline to provide services are Interline Documents.



INTERLINE DOCUMENTS (TYPYES OF TICKETS):

Interline Documents which are used in Interline Unit are:

   1.   FLIGHT COUPON: Simple lifted Coupon.

   2. EXCESS BAGGAGE TICKET: This ticket is raised when the weight of baggage increased
      from fixed weight.

   3. MISCELLANEOUS CHARGES ORDER: When PIA is credited to customer, PIA raise
      MCO, which shows the evidence at the time of other transaction or claim.

   4. FLIGHT INTRRUPTION MANIFEST: This ticket is raised when other flight is arranged at
      the time of any emergency.

   5.   UNIVERSAL AIR TRAVEL PLANT: When the customer make payment on credit card, this
        ticket issued.

   6. PREPAID TICKET ADVICE: The ticket is issued at on area and the charges of this ticket
      are paid at other destination.


The cases of Prepaid Ticket Advice and Flight Interruption.Manifest tickets are very rare.
Other type of tickets are mostly comes in Interline unit.




                                                                                         32
INTERLINE SECTIONS:
Interline Unit consists of two sections:

      INTERLINE RECEIVABLE.

      INTERLINE PAYABLE.



INTERLINE RECEIVEBLE:
When PIA provide services on documents of other airline, are deals in Interline
Receivable.For Example PIA provide service on documents of Emirates Airline than all
the revenue is collected by Emirates Airline. The revenue of PIA Airline is payable for
Emirates Airline and Receivable for PIA Airline which are deals in Interline Receivable.

      In Interline Receivable, Interline documents are comes from Lift Unit. The Revenue
of PIA from these documents is separated through Proration Method (method of
distribution of revenue between or among participating airline).

PRORATION METHOD=THROUGH FARE ÷ SUM OF SECTOR FARE × REQUIRED SECTOR

TROUGH FARE = Total Fare of Document.

SUM OF SACTOR FARE = Weighted Mileage of all sectors which are showed in
                     Documents.

REQUIRED SECTOR = Weighted Mileage of required sector


INTERLINE RECEIVABLE PROCEDURE:
Interline Receivable works in ARIES SYSTEM in ETC (expended ticket checker) FILE.
Steps of Interline Receivable Procedure are,




                                                                                     33
    RECEIVEBLE UNPOSTED STATUS:

Data of those tickets for which we are supposed to receive revenue are recorded in
Receivable Unposted status.




      After scanning from Lift, these tickets are comes in RECEIVABLE UNPOSTED
       STATUS.
      From RECEIVABLE UNPOSTED STATUS tickets are imported to ETC File.




                                                                               34
             ETC CLIENT. ARIES STATION:
In ETC CLIENT the data of interline tickets are recorded for the purpose of raising the
invoice.




      By selecting the Ticket Number image of ticket showed.
      Fill the itinerary, Date of Issue, Agency Number,Currency/Fare,Commision Rate,
       Number of Tickets then press ENTER.
      If the ticket has no error, then it is electronically saved in Invoice (Link Invoice
       Batch File).
      In case of error in data, that ticket comes back to Work Flow System.




                                                                                        35
           WORK FLOW SYSTEM MAIN MENUE.

Those tickets which are not correct come in Work Flow System for correction.
WORK FLOW SYSTEM works in QUASAR system.




      Select QUEUE from Work Flow System.
      By selecting QUEUE, illustrate List Exception.
      By selecting list Exception, SUSPENCE REVIEW RECEIVABLE opens.




                                                                               36
            SUSPENCE REVIEW RECEIVABLE.
In this File the correction of tickets take place which are comes from ETC File.




      Enter Date, Airline Number and then press Search.
      All the tickets list is displayed which contains error.
      Select tickets and press Ticket Entry.
      Than make the correction of ticket.
      After correction this ticket automatically comes in Invoice.




                                                                                   37
            LIST INVOICE BATCH-RECEIVABLE.
All the Interline Tickets comes in LIST INVOICE BATCH-RECEIVABLE. This file
explain all important information about related ticket.




      In Batch, number shows the number of ticket types which are used in Interline
       Unit.
      SRC shows the correction link of ticket,
                            01 means ticket comes directly from ETC.
                            04 means from other files. For example, from Interline
                                 Payable.
                            14 means ticket of Flight Interruption Manifest.
                          8000 means ticket of Excess Baggage.
                          9000 means ticket which comes from SUSPENCE REVIEW.
      In St, L defines that these ticket are flight.
      Gross show the revenue amount.
      ISC means the Commission.
      Tax which are imposed.
      This invoice is than transfer to Dallas System for further processing.
      Mail of this invoice is raised for related stations.




                                                                                 38
INTERLINE PAYABLE:
Other airline provides services on documents of PIA airline, are deals in Interline
Payable.
For Example Emirates Airline provide service on PIA documents. Then all the revenue is
collected by PIA Airline. The revenue of Emirates Airline is payable for PIA Airline and
Receivable for Emirates Airline which are deals in Interline Payable.
        In Interline Payable, invoices and PK documents comes from different airlines for
which the PIA is payable. In these invoices the payable amount is mention. Interline
Payable Unit verify the mention amount through Proration Method (method of
distribution of revenue between or among participating airline).

PRORATION METHOD=THROUGH FARE ÷ SUM OF SECTOR FARE × REQUIRED SECTOR

TROUGH FARE = Total Fare of Document.

SUM OF SACTOR FARE = Weighted Mileage of all sectors which are showed in
                     documents.

REQUIRED SECTOR = Weighted Mileage of required sector.

INTERLINE PAYABLE DOCUMENTS:
      Lifted PK documents.
      Summary of Invoice.
      Rejection Memo (issuing in case of over billing).

INTERLINE PAYABLE PROCEDURE:

Interline Payable Procedure works in INTERLINE SECTION in QUASAR SYSTEM.

   o All the Lifted Coupons with Invoices are raised from stations of other airlines and
     comes in Interline Payable Unit.

   o All the data of Lifted Coupons are electronically saved in QUASAR SYSTEM,
     which is comes from IDEC (Head office of IATA).

   o Interline unit calculate the fare amount which is payable for PIA through
     Proration Method and tally it with amount, which is mentioned in invoices.

   o If Prorated amount matches with the invoice amount, than that ticket is accepted
     as payable.

   o If not than Rejection Memo will be issued against that ticket.



                                                                                      39
WORK INVOICE RELEASE-PAYABLES:




    This file shows all the lifted documents (tickets) which are payable.
    This data comes from IDEC (Head office of IATA).
    Select any one invoice than press Release.
    By pressing Release, invoice comes in SUSPENCE RAVIEW-PAYABLE.




                                                                             40
SUSPENCE REVIEW- PAYABLES:
Suspense Review –Payables is starting window of Invoices working.




      Put the number of airline than click on Search.
      Than select the invoice through month and click on Unsuspend.
      By clicking on Unsuspend, DETAIL SUSPENSE REVIEW – PAYABLE opens.




                                                                       41
DETAIL SUSPENCE REVIEW – PAYABLES:
Complete tickets of invoice of related month are saved in DETAIL SUSPENCE
REVIEW – PAYABLES.




      Add Invoice Number, Year, Batch Number, and Source Code.
      Select any ticket, by selecting ticket, TICKET DETAIL opens.




                                                                       42
TICKET DETAIL:
In TICKET DETAIL, all the information about ticket is there.




      Check all the data of ticket.
      Compare the fare of Coupon Value with Proration Method Value.
      If fare is same, click on Accept.
      If case of Over Billing, print the Rejection Memo.




                                                                       43
PRINT REJECTION LIST and MEMO:
PRINT REJECTION LIST and MEMO is used in case of over billing.
PRINT REJECTION LIST and MEMO print the Rejection Memo of related ticket.




      Enter Beginning and Ending date.
      Select MEMO than click on Print.
      If you want to print the Rejection Memo of all ticket of Invoice which are Over
       Billing, than select Pull Listing.
      These Memo than send to related airlines through IATA.




                                                                                   44
                    SALES BALANCING UNIT

INTRODUCTION:

Sales balancing unit is also one of the sub unit of Pax Revenue department. The main
function of the sales balancing unit is to check the balancing of the ticket that have been
sold by checking the fare and the taxes. In SALES BALANCING, we balance the amount
of International and Domestic tickets. It includes Counter sales and Agent sales through
out the world. It includes every type of ticket.

Sales balancing
In sales balancing, all unbalanced transactions are processed and discrepancies are settled
through debit memo, when sales are generated, there are two data generated, one goes to
TCN and others go to sales balancing. Basically there are two types of unbalanced
transactions.

Types of unbalanced transactions
 There are tow types of unbalanced transactions which are as follow

1. Sales
2. Exchange

Sales:-
       In sales credit card, AC and APW are included


TAC:-
It stands for transfer assurance certificate. it is issued to government officials
(These have 50% discount)

APW:-
It stands for air passenger warrant. it is for armed forces

There are three types of credit card

1. American Express. Its code is CCAX and no commission is charged.
2. VISA:-Its code is CCVI and 2% commission is charged.
3. Master card. Its code is CCIK and 2% commission is charged.




                                                                                        45
EXCHANGE:-
 In exchange the coupons are exchanged. They may be several reasons for that may be he
or she wants to change their destination. In exchange there are two things are involved.

1. PREPAID TICKET ADVICE (PTA)
2. MISCELLENEOUS CHARGE ORDER (MCO)

Types of reporting in sales balancing
There are two types of reporting in sales balancing

ABACUS
It is used for agency sales.
ASR
 It is stand for agent sales report .it is used for PIA ticket office domestic, international
agencies.

TYPES OF TICKETS:
   1. Paper Ticket.
   2. E-Ticket.
   3. Prepaid Ticket Advice (PTA).
   4. Miscellaneous Charges Order (MCO).
   5. Excess Baggage Ticket (EBT).


PAPER TICKET:
In Paper Ticket, we have four coupons which include Audit coupon, Agent Coupon,
Passenger coupon and Flight coupons along with the Jacket.


E-TICKET:
Pakistan International Airlines has just introduced the Electronic Ticket. In E-Ticket, we
have three coupons which include Audit coupon, Passenger coupon and Passenger
Itinerary.

PREPAID TICKET ADVICE:
In Prepaid Ticket Advice (PTA), a person can buy a ticket from any other country or city.
But For this service, a passenger has to pay some extra charges i.e


                                                                                          46
For Domestic, they charge Rs.250
For International, they charge Rs.1500
MISSELLANEOUS CHARGES ORDER:
Miscellaneous Charges Order (MCO) is used for the
In MCO, we have three coupons which include Audit coupon, Agent coupon and
Exchange coupon.

EXCESS BAGGAGE TICKET:
Excess Baggage Ticket (EBT) is used for excess luggage. PIA has given a limit of
baggage to their passengers for domestic and international flights. If the baggage is over
weight then they charge some extra money as per Kilogram.



TYPES OF CLASSESS:


           FOR DAY
           1) Economy Class (K)
           2) Economy plus (P)
           3) Business Class (C)

           FOR NIGHT
           1) Economy Class (N)
           2) Economy plus (L)
           3) Business Class (B)



TAXES:

DOMESTIC:

   Pakistan International Airline (PIA) have some taxes on its domestic flights which
   includes,

    iii.     Central Exercise Duty (CED)  15% of Fare.
    iv.      Embargation Fee  Rs.120




                                                                                       47
       The CED goes to the Government and Embargation fee goes to Civil Aviation
       Authority (CAA).
INTERNATIONAL:

Pakistan International Airline (PIA) has some taxes on its international flights also which
includes,

   1) Embarkation Fee (SP)
       For Economy class  Rs.700
       For Economy Plus  Rs.700
       For Business class  Rs.1300
  2) Capital Value Tax (CVT)  15% of Fare
  3) Foreign Travel Tax (FT)       Rs.1500 / passenger


  4) Fuel surcharge  $ 10
     Only Europe, USA, UK and Canada have  $20

DIFFERENT FARES:
         3) PIA has different fares for different age group:

                       Adult              Full Fare.
                       Child           50% Fare (below 12 years).
                       Infant             10% Fare (below 2 years).



         4) PIA has different fares for different people:

                       Groups
                       Family.
                       Senior Citizen.
                       Journalist
                       Handicap
                       Industrial people
                       Defense People (APW)




                                                                                        48
TYPES OF AGENTS:
  1) Domestic Sale Agent (DSA)
  4) Passenger Sale Agent (PSA)
  5) General Sale Agent (GSA)

COMMISSIONS:

DOMESTIC:

  4) Domestic Sale Agent (DSA)     7% of Fare.
  5) Passenger Sale Agent (PSA)    7% of Fare.
  6) General Sale Agent (GSA)      5% of Fare.


INTERNATIONAL:

  1) Passenger Sale Agent (PSA)      9% of Fare.
  2) General Sale Agent (GSA)      12% of Fare.




                                                    49
                         MISCELLANEOUS UNITS
CREDIT CONTROL UNIT

       Credit control unit function is to manage, categorize, organize, control, scrutinize,
       examine, evaluate, approve and monitor all the credit sales made by issuing
       authority also known as extending authority. Authority extending the credit is also
       accountable for its recuperation. Every single station has its own credit control
       committee whose function is to review all the credit transactions, conduct
       meetings related to credit control and report minutes and outcome of meeting to
       Head Office.


Functions of Credit Control:

Accounts observed, controlled, and checked in credit control unit are


           1. 21033
           2. 21034
           3. 21035
           4. 21036


       1. 21033 ACCOUNT:


           All the credit extensions made at international stations are recorded under this
           account. For e.g. Credit sales made at international stations to any destination
           will be recorded in this account.


       2. 21034 ACCOUNT:




                                                                                         50
       All the credit extensions made at domestic stations are recorded in this
       account. For E.g. sales made at domestic stations to any destination will be
       recorded in 21034 account.
     3. 21035 ACCOUNT:


       All the credit extensions made by head office departments are recorded in this
       account. For e.g. Technical Service provided on credit to Cathay Pacific
       airline by engineering department of PIA.


     4. 21036 ACCOUNT:


       Credit extensions made to armed forces personals are credited 21036 account.
       For e.g. ticket issued on (TAC) travel assurance certificate, (APW) air
       passenger warrant and exchange transaction.


Minimum Value of Credit:

       Single credit transaction amounting to less then Rs 500/- in Pakistan cannot be
       extended or equivalent to US $ 100 abroad).


Maximum Value of Credit:

       Single credit transaction amounting to more than Rs 500,000/- in Pakistan
       cannot be extended without approval of management or equivalent to US $
       50,000.




                                                                                   51
Categories of Credit

There are seven forms of credit that are administered by credit control unit.
       1.      Agency credit.
       2.      Government credit.
       3.      Commercial credit.
       4.      Departmental credit.
       5.      Personal credit.
       6.      SpeedEx Credit.
       7.      Sundry credit.


AGENCY CREDIT:

       Sales made on credit to any agency are considered as Agency Credit. For e.g. an
       agent desires ticket of worth Rs. 1 million on a credit. The entry for this
       transaction will be Debit Accounts Receivable and Credit Sales account with an
       amount of Rs. 1 million. Resurgence period for this credit according to the credit
       control policy is 30 days which means that who so ever has made sale of Rs. 1
       million on credit is responsible for its collection with in 30 days. Credit sales for
       30 days will be treated as outstanding credit against the agent and if the limit of
       30 days is surpassed than it will be considered as overdue outstanding credit. A
       financing cost of 1.25% per month is charged by PIA if the amount is not paid
       within the specified time period. If agent is unable to pay the debt and goes
       bankrupt or the station has made sufficient efforts to collect the amount and was
       unable to accumulate the credit amount, a minute is generated by the station from
       where the credit sales were actually made for writing off the debt. The only
       authority that has the supremacy to write off the debt is CEO of the company.




                                                                                         52
GOVERNMENT CREDIT:

      Ministries considered as government by PIA are
      Ministry of Defense (MOD).
      Ministry of Foreign Affairs (MOFA).


      Credit sales made by any station or booking office to these two ministries are
      recorded in government credit account. Recovery period for government credit is
      60 days. Till 60 days the credit is considered as outstanding credit and after that it
      is treated as overdue outstanding credit. Sales made to government are not
      recorded as bad debt because whatever sale is made to government is backed by
      its guarantee. If the amount is not recovered with in 60 days government is not
      charged any financing cost i.e. 1.25% per month it means that government can
      pay the debt any time but after 60 days reminders are sent to ministries for
      overdue payment.


COMMERCIAL CREDIT:

      Credit sales made to any commercial organization or any ministry except two
      acknowledged above are treated as commercial credit. For e.g. PIA has a contract
      with Bank Alfalah that whatever amount of tickets for the month will be used by
      the bank for its employees will be invoiced to the bank at the end of month.
      Recovery time period for commercial credit is 30 days and if the bank fails to pay
      the amount with in 30 days credit is considered as overdue credit for which
      reminders are sent to bank for the early payment of credit. Station that has made
      sales on credit to any commercial organization is liable for its recuperation and if
      he fails to do so a minute is generated by that station for head office to write off
      the debt amount.




                                                                                         53
INTERDEPARTMENTAL CREDIT:

   Interdepartmental credit is a class of credit in which expenses rendered on account
   of one department by another section/ division/ department are recorded. After
   rendering these expenses invoice against that department is generated by the
   department that has made expenses on account of that department. The
   department on account of those expenses were made is supposed to payback the
   amount within one month.


PERSONAL CREDIT:

   Station head has been given the authority to extend personal credit on his own
   guarantee by ensuring the credit worthiness of the individual seeking personal
   credit. For personal credit station manager/ head is held accountable for recovery
   within 30 days. If he is unable to recover the amount with in 30 days credit
   amount is deducted from his salary. Maximum credit that can be extended by
   head / manager of domestic station at any specific time is Rs. 20,000 while in case
   of foreign stations credit amount is limited up to $ 2,000.


SPEED Ex CREDIT:

   After realizing the actuality that courier service provided by other companies was
   costing a lot to the organization, a courier service with the name of Speed Ex was
   started by PIA back in year 2002 that is functioning as a subsidiary of PIA whose
   main function is to provide courier service to PIA and other companies. For e.g.
   Speed Ex is engaged in an agreement with Alfalah Bank that it will deliver all of
   its deliverables at any destination on credit for the whole month and after a month
   whatever the bill of service is will be invoiced to the bank. Time period for
   clearing the debt for Speed Ex credit is 30 days that means debtor is supposed to
   pay off the debt with in 30 days, if not paid within 30 days financing cost of
   1.25% per month is charged. After providing the service as per contract Accounts



                                                                                   54
   receivable (Speed Ex) is debited and Service income account is credited. When
   payments are made by the organization, whom service was provided accounts
   receivable is credit and cash / Bank is credited.


SUNDRY CREDIT:

   Credit that cannot be classified into any credit is considered as sundry credit. For
   e.g. credit expenses made on the visit of CEO at any destination by that
   destination station are recorded as sundry credit. After recording these expenses
   as sundry credit an invoice is made in the name of specific department. When
   expenses are made on credit accounts receivable is debited and sundry expenses
   account is credited.




                                                                                    55
                               RECONCILIATION
MAIN REASON FOR RECONCILIATION:

Every organization whose job is to provide goods and services wants to generate a
surplus i.e. revenue exceeding the expenses that it has rendered to provide those goods
and services. The main reason behind reconciliation (R-10) is to find out the net sales in a
given time period.

AGENT SALES REPORT (R-10):

All the sales reports by agents are forwarded at PIA stations from where the reports are
sent to sales report control unit where the information associated to agent and sales report
is recorded after that these sales report are forwarded to reconciliation unit where the
reconciliation process takes place.

These reports are formulated in two ways

   1. Fortnightly i.e. for days ranging from 1 to 15th of a month.
   2. Monthly i.e. for the whole month.

   Agent Sales Report Routing:


         AGENT                  STATION                DATA                STATION
      SALES REPORT            CONTROLLING           PROCESSING             PROCESS
                              HEAD OFFICE            CONTROL




                                                                             R-10
                                               HARD COPY TO GENERAL
                                                      LEDGER



Process of reconciliation:

After receiving the sales report on fortnightly and monthly basis by agents these reports
are sent to Station Controlling Head office. Agents forward their sales report to station,
station process the agent report and advance it to station control and head office for
further processing after that this data is used by DPC (Data Processing Center) to recheck
the process and then a hard copy of that data is sent to General Ledger & station for
further processing which helps in reconciliation of data.

When all the data is received by reconciliation unit by all the processing units, it
generates a final reconciliation report for management perusal.


                                                                                         56
Report:

Reports generated by R-10 unit are in the form of

       Location
       Agent
       Station

Components of R-10:

       Sales
       Commission
       Dads
       War risk (WR)
       Fuel surcharges

Functions of Reconciliation:

Receivable = Sales – commission (domestic &international) –DADS+WR/fuel surcharge +Tax

Net sales = Sales – commission (domestic &international) +WR/fuel surcharge

Net sales = Net sales – DADS

Receivable       Received           Balance

1000                  1000               0

1000                   800         200 (unlinked)

Period for payment:

The grace period for payment is 45 days.

Transaction month:

The month in which transactions takes place are called transaction month

Processing month:

The month whose invoices are in process is terms as processing month.




                                                                                         57
Accounting of R-10:

Accounting of R-10 depends upon the following entries



      Account receivable (Dr) X X X

                 Sales (Cr) X X X



      Clash clearness account (Dr) X X X

                  Account receivable (Cr) X X X



      Cash (Dr) X X X

                 Clash clearness account (Cr) X X X




                                                        58
                                 TAX UNIT
Tax unit handle the payment of all sort of taxes.

    Types of taxes:
Embarkation fee

On Domestic route = 120
           100----civil aviation (E bill) 5 % of it PIA takes
             20----- Government of Pakistan (G bill)

On International route = 700 for economy class and 1300 for business class

Billing (invoice) comes from civil aviation.

At the end of month PIA tax units receive invoice from all types of taxes either from
Govt or civil aviation they pay all taxes with in 45 days. All sort of transaction related
to taxes are handled by tax unit of PIA




                                                                                       59
                             REFUND
Refund is claiming back the amount paid by surrendering ticket. The refunds
have been classified under two heads that is cases which are settled at
   1- Station level
   2- Head Office .

TYPES OF REFUND
   1. Refund against domestic documents
   2. Refund against unexpired or current PIA documents
   3. Refund of expired PIA documents
   4. Refund against lost documents
   5. Replacement documents issued in lieu of lost document
   6. Release of bank guarantee/security money or cash deposit
   7. Refund against lost-in–mail or misplaced documents
   8. Refund against wrongly uplifted coupons
   9. Retroactive refund of student rebate
   10.Refund against excess collection
   11.Refund of un-used PTAS
   12.Refund of difference of fare on PIA documents on PK flights
   13.Refund of difference of fare on PIA documents if journey performed
      on other Airlines
   14.Refund of difference of fare on other Airlines tickets if journey
      performed on PIA flights
   15.Refund of other airlines unexpired documents issued in exchange of
      PIA documents
   16.Refund of other airlines expired documents issued in exchange of PIA
      documents
   17.Refund of documents issued against UATP/ATC Cards
   18.Refund of documents issued against credit cards such as
      AMEXP/DINERS club and other Bank cards
   19.Refund of tickets issued against Air Passage Warrants (APW)
   20.Refund of PIA and /or other airlines documents where multiple
      exchanges/complications are involved
   21.Extension of validity/Re-issuance of PIA documents
   22.Refund of employee’s rebated tickets
   23.Unused OCS and 100% free staff tickets
   24.Reporting of refunds


                                                                        60
      CONDITIONS FOR REFUND TICKETS

1. Refunds claims for fully or partly unused documents should be
   supported with the flight coupons intact with Passenger’s Coupon.
2. Each claim for difference of fare should be supported with
   Passenger’s Coupon in original.
3. Refund is made by the office (station, agents or carrier) which
   originally collected the passage money.
4. Refund is made in the country and currency of original payment.
5. Refund is made to the person who originally paid for the document or
   his duly authorized nominee.
6. No refund is entertained after 3 years from date of issue of the
   document.
7. No refund shall be allowed against domestic lost documents.




                                                                     61
                             CARGO REVENUE
Introduction:
Cargo revenue is a sub unit of revenue department. It generates 12 to15% of the PIA total
revenue. There are 4 units of cargo revenue section, which are as follow

      cargo sales unit
      cargo pricing unit
      cargo lift unit
      cargo mail unit

Working Procedure:-

Firstly sales report and airway bill comes from stations to cargo revenue section. Then
they are sent to lift after processing. In lift section the fares of airway bill are matched
with the rates reports which are approved by the marketing department.

 In lift section the lifted air way bills are matched with data of air way bills which is
saved in cargo file. The data of air way bills is transferred from station where the air way
bills are dispatched.

Cargo Revenues

Cargo revenue has grown by implementing Yield Management, basic guidelines of
Which have been an increase in Yield / RFTK, per pallet earning, priority to better
density, commodities etc. From time to time additional capacity has been arranged by trip
leasing aircraft to meet specific market demands.

Due to our market credibility, we are preferred for pure cargo charters business. This is
apparently due to our long-standing and reliability in Air Freight business worldwide.

In Pakistan, Karachi, Lahore and Islamabad are the main cargo stations for PIA.

Outside Pakistan, we have been using handling companies to operate standard Terminals
and are able to handle cargo as per desired international requirements.




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PIA Cargo’s Role in Pakistan’s exports

PIA has played an active role in Pakistan’s export and has pioneered the opening of
certain markets around the globe for Pakistani commodities, particularly perishables
(fresh fruits, vegetables, fresh Flowers, seafood). Inspire of open sky policy since 1992,
as a result of which other carriers have been able to induct capacity at will, PIA cargo has
retained its market share in the uplift of perishables. Annually PIA is uplifting 13,000
tons of perishables, out of which significant movement is the uplift of mangoes during
June-September, which is approximately 5000 tones. PIA keeps a very close liaison with
exporters of Pakistan directly and through various associations, Chambers of Commerce
and Export Promotion bureau. As a national carrier, we remain aware of our
responsibility to assist exports and we continuously plan and formulate policies to ensure
efficient flow of exports. We have also actively participated in various export exhibitions
of Pakistani goods all over the world, by carrying exhibition goods on special terms.

PIA’s Major Commodities ex-Pakistan
PIA is uplifting around 30,000 tons cargo per year including dry and perishables ex-
Pakistan.

                     Commodity
                                                      Percentage of
                                                       Total Uplift

                (Dry cargo . . . . . . 48%)

                    Garments/Textile                         29%

                         Carpets                             12%

               Finished Leather/Leather                      25%
                       products

                         Surgical                            10%

                      Sports goods                           3%

                      General cargo                          21%

               Perishable cargo. . . . . . . .               52%


PIA has specialized in uplift of special cargo like Relief goods, live animals ( sheep,
cows, camels, horses) shipments for cargo aircraft only etc. These commodities have
been uplifted from time to time, on our freighters leased on trip lease basis .




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PIA Cargo Network

Besides country wide domestic network, cargo is directly serving 40 international
destinations round the globe, while rest of the world is being served through interline
carriage beyond PK points. PIA's average cargo revenue is around US dollar 82 million
per year, with system uplift of approx. 75,000 tons, on an average system wide yield of
US dollar 1.10 per kilogram. PIA, s network is spread over internationally defined
freedoms as mentioned in the chart below.




Freedom wise performance average tons uplift per year.


PIA has divided its network in 09 different regions according to the geographical location
of the stations. Out of total revenue, 49% is earned in Pak rupees, while 51% of the
system revenue is being earned in foreign exchange. Region wise revenue/tonnage
contribution to the system is as given below.

Region wise performance

PIA's international network is charted below.




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Automation
During the last decade PIA has systematically automated its cargo reservations,
Warehouse and terminals at all major stations . The FAST-IV system through SITA was
Installed and at the moment almost 80% of PIA cargo activities are automated. The use of
this Electronic system has improved the service standards and brought the airline in with
other developed carriers.




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