Upgrade your airline
financial management
One example of how the Sirax AirFinance Platform supports you
Airlines today face many uncertainties. In this respect, the Sirax
AirFinance Platform recognizes how important it is for an airline to have
the right information at the right time. It empowers airlines with reliable
information that keeps them informed about their own operations and
fi nancial situation. For Global Airline, a fi ctitious airline, responding
to these contingencies meant being proactive. Recently, in the face
of the economic downturn and slower ticket sales, John, the airline’s
marketing executive, decided to launch a special promotion and use
television to advertise. Following the campaign’s run, Robert, his
supervisor asked for an accounting.
Did the dollars spent generate
the expected revenues?
Using more limited technologies, John may have found the task of
quantifying the return on this investment diffi cult. Assisted by the Sirax
AirFinance Platform, he is able to perform a thorough analysis of the
campaign’s return on investment. With its quick, real-time reporting
capability, he identifi es the specifi c regions where tickets were sold and
where the television commercial aired. Applying the platform, he
retrie-ves detailed ticket sales fi gures within specifi c regions. John compares
them with sales from previous months, the most recent months, and with
sales fi gures for regions where the television commercial did not air. He
is now in a position to respond in detail to Robert’s request.
Armed with this information, Global Airline was in the best position
to identify and capitalize on future market opportunities – as well as
to increase revenues and profi tability.
The power of readily available
and accurate information
>
Reduce costs
>
Increase profi tability
>
Improve accounting
When the unexpected happens, your airline must be able to adapt quickly and
implement new scenarios
–
regardless of whether it is an economic downturn or
a natural disaster. To address these circumstances effectively, it is vital that you
have immediate access to the most accurate and valuable information.
Positioning your airline for
maximum opportunity
At the same time, you must be in a position to capitalize on every potential opportunity for revenue generation and cost savings. Our Sirax AirFinance Platform meets these requirements and is in full compliance with industry standards, even exceeding IATA demands. It is no secret that airline business dynamics and com-plexities place great pressures on an airline’s financial operations, demanding maximum adaptability. To meet market challenges and maintain compliance with all IATA requirements (i. e. SIS and EMD), airlines must be able to make fast, correct decisions which leverage advanced technology to generate greater savings, revenues and profitability. Without the best information available they are more likely to make wrong decisions.
Just as it is IATA’s goal to help airlines improve opera-tions with simplified, streamlined and standardized processes, the Sirax AirFinance Platform supports this goal and related requirements. Additionally, by combining best practices with IATA standards, the platform helps improve efficiencies and raise overall profitability.
As the first fully-integrated solution to truly cover all finance core processes, the Sirax AirFinance Platform is modular in structure. It has three complementary modules – Sirax Revenue Accounting, Sirax Cost Accounting and Sirax Business Intelligence. They can be used together to reap the full benefits of this all-in-one integrated solution, or independently as stand-alone applications to meet individual needs.
Sirax AirFinance Platform
Sirax Revenue Accounting Sirax SiraxCredit SiraxLink SiraxProfit SiraxPCI SiraxCargo Sirax Cost Accounting SiraxInvoice SiraxCharge Sirax Business Intelligence SiraxCockpit SiraxView
The Sirax Revenue Accounting module is the plat-form’s core, providing the full scope of modern rev-enue accounting. It covers sales, uplift, interline and reconciliation processes and related functions, includ-ing data security. It provides high-quality revenue information instantly.
The Sirax Cost Accounting module gives airlines a powerful tool to optimize and control processes for airport charges and fees, ATC charges, fuel as well as other flight-related costs.
Relying on information derived from the revenue and accounting modules, the Sirax Business Intelligence module generates timely, accurate and valuable
management reports. The module’s near real-time reporting of sales and flight revenue figures enables airlines to closely monitor operations, optimize route and network structures, and make the best and fastest decisions.
Whether using the Sirax AirFinance Platform’s entire suite or one of its main modules, the ‘brain’ of the platform provides reporting and simulating functional-ity. It gives airlines a clear and accurate view of their situation. This big-picture view, in turn, helps airlines to quickly adapt to market conditions, adjusting cost structures accordingly, and positioning them for maxi-mum opportunities.
?
“ During severe economic crises and unexpected natural disasters,
how can I receive the most accurate and valuable information on
an airline’s everyday operations in order to make the best decision
at all times?”
!
“ The Sirax AirFinance Platform covers core operational revenue accounting
processes. The ‘brain’ of the platform affords reporting and simulating, while
relying on the most accurate and reliable information. This enables you to
see the big picture and adapt quickly to changing conditions, thereby
help-ing secure your success in the marketplace.”
Sirax
Sirax, the revenue accounting solution from Lufthansa Systems, optimizes the whole process of back-office accounting. Sirax delivers precise and comprehensive planning and controlling information that becomes the basis for management decisions. Maximize the poten-tial for increased profits and efficient cost reduction that Sirax represents:
■ enhance your revenue by using powerful
sales audit functions
■ reduce your labor costs with highly
automated process chains
■ reduce your operation costs by using
state-of-the-art technology
■ enhance your revenue accounting
accuracy and quality through automation
■ use high process transparency to make
effective decisions
SiraxCredit
SiraxCredit provides accurate, fast, and highly auto-mated accounting and invoicing of credit card and direct debit ticket sales. Those sales include internal sales (station, internet and call center) as well as agent sales through BSP and ARC. In addition, other credit
card sales, such as in-flight sales and cargo business, can also be settled via SiraxCredit:
■ save on credit card commission fees, reduce fraud ■ sophisticated analysis capabilities
■ centralized credit card clearing ■ customer billing
■ claim & chargeback handling
SiraxLink
SiraxLink provides IATA member airlines with a direct link between Sirax and the IATA clearing house pro-ducing the WEB F12-file. SiraxLink completely auto-mates the process of outgoing inter-airline claims, keeping errors to a minimum and reducing the work-load. This in turn promotes speedier payment settle-ment, while concurrently supporting IATA norms and providing the benefits of full automation.
Automated processing of non-ICH settlements is possible with SiraxLink as well:
■ automated transfer of passenger invoices and
UATP invoices from Sirax
■ automated loading of invoices into SiraxLink ■ manual processing of invoices inSiraxLink
SiraxProfit
SiraxProfit offers a complete sales audit solution that includes a fare, tax and commission audit. The sys-tem provides a high degree of automation to reduce manual workload. Furthermore, additional revenue is generated by a workflow-controlled agent debit memo process. All industry-standard formats and interfaces are supported (BSP, ARC, BSPLink):
■ complete sales audit functionality ■ agent debit memo workflow process
and payment control
■ permanent balanced accounts ■ flexible workload control with fully
customizable margins
■ tax audit and reporting at coupon level ■ ad hoc MIS reporting functionality
SiraxPCI
Airline revenue accounting processes an enormous amount of credit card data. The handling of these sensitive data must fulfill the requirements of the inter-national Payment Card Industry Security Data Security Standard (PCI DSS). SiraxPCI is certified according to
the latest PCI standard and meets the toughest security requirements while reducing overall complexity:
■ integrates seamlessly into the
Sirax AirFinance Platform
■ helps meet PCI Compliance requirements
for your company
■ fast and easy to implement
■ protects your customers’ personal data ■ PCI-related fines no longer apply
SiraxCargo
SiraxCargo optimizes all cargo revenue accounting processes. Starting from pricing and proration, SiraxCargo includes an interline billing and auditing as as an ad hoc reporting tool. SiraxCargo increases automation, delivers reliable information for booking, billing and auditing and allows for earlier cash-in through the use of CASS:
■ complete revenue accounting functionality for cargo ■ in-depth knowledge of cargo revenue accounting
SiraxInvoice
SiraxInvoice is an airport invoice verification system. The solution automates auditing of the individual sta-tion costs, i. e. the fees that an airport charges to air-lines. SiraxInvoice allows for automatic adoption of the data calculated by airports or other service providers as well as the airline’s own data originating from Sirax or other systems:
■ identification of discrepancies ■saves unnecessary costs ■high degree of automation
SiraxCharge
SiraxCharge is an efficient cost-monitoring system that offers complete control of all charges made in con-nection with flight movements. The solution calculates charges such as the costs of take-offs and landings, including the respective landing, parking, and handling charges. Other types of costs can be added individu-ally. The amounts can be booked subsequently in the general ledger system. In addition, SiraxCharge sup-ports budget planning, forecasts or the simulation of individual flight events.
■ complete control of flight-related costs ■ reduction of resources for auditing ■ simulation and budget planning
Excellence in cost accounting
SiraxCockpit
SiraxCockpit provides near real-time reporting on the profitability of your airline’s operations, taking into account flight revenues and costs at route level. Ongoing analysis throughout the month helps you adapt quickly to new circumstances and optimize your route and network structure.
The integration level of your operational systems within SiraxCockpit, such as departure control, flight planning, human resource management etc. defines the accuracy of the results. Predefined default values per revenue and cost element as well as intelligent calculation help reduce complexity.
■ accurate and fast reporting
■ optimizes route and network structure
SiraxView
SiraxView combines cutting-edge business intelligence software based on the latest SAP BI technology with the completeness and accuracy of the data contained in Sirax Revenue Accounting. This powerful combina-tion enables you to generate standardized reports easily and perform ad hoc queries, user statistics, and productivity analyses quickly. SiraxView contains four comprehensive information sources:
■ sales
Boost your revenues by up to $1.5 million?
The Sirax AirFinance Platform has enabled Lufthansa Systems customers to achieve considerable savings in their finance department. Carriers using the powerful IT solution to automatically audit inter-line documents or settle tickets with their interinter-line partners can generate additional revenues of up to $2 per passenger thanks to more exact calculations. For a medium-size airline with 750,000 interlining passengers, this could boost revenues by up to $1.5 million.
1.5
?
“ Flexibility and seamless integration are key factors in the success of
IT solutions, but often seem contradictory. Is there a way to benefit
from both at the same time?”
!
“ Our Sirax platform has made a quantum leap in air finance IT. It is the
first integrated platform to support and optimize all of an airline’s financial
processes. The modules can be used together or independently as
stand-alone applications. Whether you use the entire suite to reap the full
benefits of our all-in-one integrated solution, or you select specific modules
and combine them to address the individual needs of your business, you
never fail to benefit.”
Business as usual is not enough in today’s market. Airlines need to be in the know
across all areas of operation and cost centers. It is essential that they optimize
processes, maximize revenue by correcting unprofitable areas, and eliminate all
non-essential costs. The answer is the Sirax AirFinance Platform.
Benefit from the
platform solution
Identify and adjust unprofitable areas
It all begins by having the right information at your fingertips. The Sirax AirFinance Platform affords quick identification of unprofitable areas where changes are required. The platform exceeds IATA’s goals to help airlines simplify processes, improve efficiency, enhance passenger satisfaction and reduce costs. In addition it helps airlines gain their most competitive market position.
Adhering to the latest financial standards such as Sarbanes-Oxley (SOX) and SAS70, and reflecting IATA’s most recent developments (i. e. SIS and EMD), the Sirax AirFinance Platform provides highly accurate and reliable information. This information is available in real time in the form of robust reports with different levels of detail to best meet your information require-ments.
Realize faster ROI from increased savings and revenues
Where the Sirax AirFinance Platform really stands out is in its generation of additional cost savings and revenues for airlines. Cost reductions are achieved via higher levels of automation and reduced labor requirements. Cost containment is further advanced through its application of leading-edge technologies and ongoing compliance with industry requirements. The platform provides a complete sales auditing func-tionality that encompasses fare, tax and commission audits. Airlines also benefit from the platform’s effective workflow-controlled agent debit memo process and payment control functionality. Added to this are perma-nently balanced accounts, tax audit and reporting at the coupon level. Benefit also from robust MIS report-ing and flexible workload control with fully customiz-able margins. Combined, these superior functionalities promotes increased revenues.
Lead the market from the leading edge
The Sirax AirFinance Platform sets high standards for your business’ financial operations. It keeps your airline on the leading edge of business processes and tech-nology. The platform reflects the best in standardized products driven by customer needs and priorities.
It is fully compliant with the specific requirements of all global alliances. The platform was developed to pro-vide continuous compliance with industry requirements such as EMD and SIS.
?
“ With airline business dynamics and complexities demanding steady
changes in an airline’s financial operations, how can I achieve
com-pliance and still concentrate on the business?”
!
“ In view of the market situation and IATA recommendations, we have
developed a solution that both meets market challenges and exceeds IATA
demands. Sirax AirFinance Platform customers benefit from our ongoing
solution updates. Additionally, Sirax is in full compliance with all IATA
requirements (i. e. SIS and EMD) and leverages the latest technological
standards. In short, it combines best practices with IATA standards.”
The Sirax AirFinance Platform is continuously upgraded to meet industry
requirements and anticipate future developments in the airline business.
Achieve compliance with
SIS & EMD requirements
Sirax & SIS
At present, IATA is switching to the next generation of interline billing: Simplified Interline Settlement (SIS). Starting in 2011, a complete electronic paperless workflow will replace all existing clearing mechanisms (Form 1&2, ICH Web, IDEC and paper invoices). Over a period of two years up to the end of 2012, all airlines worldwide that participate in the ICH and ACH are requested to change their processes and sys-tems – until SIS becomes mandatory in the industry. With Sirax, activities to achieve compliance with SIS requirements are already in progress. By the end of 2010, Sirax will be able to produce and receive the new IS-XML format which is the basis for the SIS settle-ment. This allows for important cost reductions.
Sirax processes for interline billing can be streamlined significantly
■ reduction of any registration or data correction
process as well as manual data capture effort
■ automation of the audit trail for invoices due to
the availability of data details
■ significant reduction of shipment costs due to
the elimination of all paper
■ reduction of the entire invoice processing cycle
For most airlines with the need to deploy the new stan-dard, it is more cost-effective to switch to the proven Sirax AirFinance Platform than to invest in their existing legacy systems. Besides SIS compliance, Sirax offers a multitude of advantages when it comes to optimizing an airline’s revenue accounting processes.
Implementing EMDs also opens up new product and merchandising opportunities:
■ EMDs replace MCOs and excess baggage
documents
■ EMD-documents can be used for various charges ■ an EMD can be allocated to a ticket in order
to link it to a flight
■ an EMD document has 1 – 4 coupons
Sirax & EMD
Compliance with IATA’s next-generation electronic doc-ument standard – the Electronic Miscelllaneous Docu-ment (EMD) – is already in progress. The EMD project is part of the “IATA Simplifying the Business” initiative in which Lufthansa Systems is a preferred partner. The EMD replaces paper documents such as excess baggage tickets, tour orders, and prepaid ticket advices with one standard electronic document type. This results in less processing time, more accuracy and faster revenue collection.
?
“ To maximize our overall profitability, we need to capitalize on
both full revenue and cost-saving potentials. How does the
Sirax AirFinance Platform support this need?”
!
“ The Sirax AirFinance Platform was specifically designed to help increase
profits. Its sophisticated auditing functionalities enable you to identify and
maximize revenue opportunities. Concurrently, the platform reduces the
costs associated with high levels of automation, state-of-the-art
technolo-gies, and ongoing compliance with industry requirements.”
Sirax Application Service Providing
You concentrate on your business, and we will do the rest. Take advantage of Lufthansa Systems’ outstanding infrastructure services. They range from process-relat-ed consulting to the management of high-performance networks, and the operation of complex, heteroge-neous IT systems. In conjunction with the Sirax Com-petence Center, Lufthansa Systems takes care of oper-ating your system.
Enjoy Sirax fulfillment from Lufthansa Systems:
■ Level 1 support (24 / 7 helpdesk) ■ maintenance and operation of the
Sirax AirFinance Platform
■ Sirax server hardware operation and maintenance ■ SAP-certified hosting capabilities
■ certified data center according to PCI-DSS
requirements
Sirax as a Service
Share your environment and take full control of your costs with Sirax as a Service, Lufthansa Systems’ trail-blazing solution for small airlines. Maximize the ben-efits of industry-proven and standardized best practice
functionality of the world’s leading revenue accounting system featuring:
■ one shared environment ■ usage-driven price models
■ fast and straightforward implementation within weeks ■ dedicated sub-user group for SaaS customers
Training and consulting services
Extend your lead by significantly improving the efficiency of your finance resource management. Profit from our consultants’ industry process know-how and improve your administrative processes using the most advanced IT solutions.
Our Sirax Academy offers advanced training services available within the Sirax Academy, drawing on our consultants’ extensive experience in the field of airline financials:
■ optimize financial processes through
business process reengineering
■ improve the efficiency of your airline’s specific
and administrative IT solutions
■ individual or classroom training available
for each module
■ refresher sessions and certifications for participants
Sirax Advanced Services
The Sirax Community brings together a growing number of airlines, from regional carriers to international networks. With Sirax, you become part of our international community of Sirax Users. We take our customers’ requests and priorities into
Lufthansa Systems provides platforms and forums within the community for exchang-ing information through the Sirax Extranet, the annual Sirax User Conference and recurrent web conferences held throughout the year.
Join the Sirax Community!
All Sirax customers can share:
■ common product enhancements and
related costs
■ experiences
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