Precise data drive fast settlement processes and revenue growth
For airlines, revenue accounting is a highly complex, time-consuming and labor-intensive process. At the same time, accurate and fast accounting is crucial for their profitability. The Sirax AirFinance Platform from Lufthansa Systems provides airlines with a key competitive advantage by both automating and accelerating the accounting process. The platform enables airlines to promptly collect outstanding payments in full, thus increasing their revenue. The deployment of this integrated platform also reduces financial costs.
The Sirax AirFinance Platform from Lufthansa Systems is the first integrated platform to cover the entire financial management of an airline, from revenue accounting to cost control. The modular solution addresses the full spectrum of airline requirements. All modules work seamlessly together, enabling customers to optimize all of their finance processes. The platform's Sirax Revenue Accounting module offers airlines an extremely capable system for managing their revenue accounting process. Sirax currently processes around 450 million coupons a year, automatically comparing ticket sales with actual flight data. Integrated sub-processes support the billing of interline flights. Based on this analysis, the actual revenues are then calculated within a very short time. Airlines which use the Sirax AirFinance Platform to settle tickets with their interline partners can generate additional revenues of up to US$2 per passenger thanks to more exact calculations.
For a medium-size airline with around 750,000 interline passengers, this could boost revenues by up to US$1.5 million. "By deploying the Sirax AirFinance Platform, our customers can generate additional revenues while simultaneously reducing costs through automated processes. In addition, airlines can also reduce IT costs in their finance departments by migrating from legacy systems to the latest technologies," explains Bernd Appel, Senior Vice President Industry Solutions at Lufthansa Systems. Leading carriers employing the solution managed to reduce costs in this area by up to 45 percent and total costs by more than 35 percent. The platform solution from Lufthansa Systems also offers customers a decisive strategic advantage. Since airlines can quickly gain a comprehensive overview of their financial situation, they can rapidly respond to changing conditions.
The system delivers a daily analysis of route profitability along with precise revenue analysis by sales regions - broken right down to individual cities. Airlines can use these data to decide whether to adjust capacities or, if necessary, to step up marketing activities. In the area of finance, Lufthansa Systems works closely with IATA as a strategic partner to ensure that the company's solutions not only support current standards but also take future developments into account. Indeed, Sirax is now one of the first revenue accounting solutions to support the latest IATA initiatives Simplified Interline Settlement and Electronic Multipurpose Document. In order to meet IATA requirements, it is more cost-efficient for most airlines to migrate to the Sirax AirFinance Platform than to invest in their legacy systems.