Air Nuigini

Establish Air Niugini’s Present Technical Limit Capacity To Optimise Demand & Capacity

Recently our Air Niugini has had increase frequencies of technical issues that have ground and weigh down our ‘Bird Of Paradise’ from soaring up and higher. View the LinkedIn Article ——->

Our ANG is a physical asset intensive GoPNG SOE which productivity and profitability rests on the reliability and the eventual availability of its fleet of aircrafts. Reliability (and Availability) is a probability that a process/system/equipment/component will perform a specific function over a specific time period and under specific support conditions.

The specific support conditions are the critical success factors or the support conditions that prop up or improve and sustain aircraft fleet reliability and maintainability to meet the demand for ANG’s services. Click link below for more on the specific support conditions.

The demand for ANG’s services is the driving force for productivity of its airplane fleets. This demand is established by the sales and marketing function which will have its budget called the ‘Sales Budget’. This ‘Sales Budget’ projects the revenues from sales of ANG’s services. The ‘Sales Budget’ is usually the starting point in preparing the ‘Master Budget’ which is comprised of other budgets. A budget, therefore and if you like, is in essence a promise that is made to the clients, the stakeholders and the shareholders and that promise must be endeavoured to be kept.

It is important that the ‘Sales Budget’ must be as accurate as possible. ‘Sales Budget’ accuracy depends on a number of factors and what should be primary among them is understanding the true ‘inherent production capacity’ and making accurate the ‘Production Budget’ as much as possible to deliver on its promise. Having inaccuracies can end up in two cases: the best case scenario is to under promise then meet or exceed budget expectations; the worst case is overpromising our clients in the market as well as the stakeholders and shareholders as we struggle to deliver on the budget promises over the specific budget period.

Accurately measuring ANG’s airplanes fleet’s availability and production capacity plays a big part in the accuracy of the ‘Production Budget’ promise. ANG’s airline fleet’s availability is the output of the efforts, primarily in maintenance and reliability functions that feeds into establishment of the ‘Production Budget’.

The technical limit capacity of ANG’s aircraft fleets can be established from the maintenance and reliability perspectives using ‘optimisation’ by graphical solution via ‘Linear Programming’ and ‘Availability Block Diagramming’ in order to make accurate production forecast.

See the link below for a STAR (situation target action result) story of a mine mobile fleet and how this approach could be considered for possible application to the airline fleet if not done yet to established its current technical production limit capacity with the present aircrafts fleets.

Only when we know ANG’s true inherent technical limit capacity, then we can take decisive actions to restore it to a reputable airline in our region. One of such actions will be to introduce a redundancy configuration or standby aircrafts per airline fleet to improve reliability and eventually availability.

A suggested possible approach: treat each of Air Niugini’s aircraft fleet as a ‘system’ with a ‘MISSION FUNCTION’.

Our ANG needs a bold vision, strategic thinking and pragmatic mission going into the future. To mitigate the risk of fleet unreliability impacting on operations and cash flow and to improve and sustain its vital service as it serves the nation, a bold decision is needed to build redundancy (i.e. a standby aircraft per fleet) into its aircraft fleets so it can reliably soar into new heights. Yes it will cost more, but we pay now or we will pay later but many times over in effects cost (in increasing frequency of flight delays; frustrated customers and esp overseas tourists; and loss of reputation which puts a dent in our country’s pride). It should not be a question of ‘Economic Rationalisation’ but rather based on ‘National Rationalisation’.

Air Nuigini GoPNG

Why Would GoPNG Not Rush Into ‘Putting Down’ ANG As A ‘Panting Dog’?

In our country where many places are still not linked by road and air access is still vital, Air Niugini is more than just our national airline, it is a symbol of our country’s astonishing progress from independence and with the background of this physical accessibility challenges, ANG has helped to bring diverse local communities together in creating a more unified nation.

Air Niugini has been a reliable air service provider for many years since its formation almost incidentally with the birth of our country. However, in the recent past years ANG’s services appears to have deteriorated which was brought on by an onset of many technical issues which threaten to ground the airline.

View LinkedIn Article —->

The technical issues can also be attributed to ANG being operated as a SOE with community service obligations and profits not retained to carry out vital maintenance or upgrade its aircraft fleet which were becoming obsolete. These contributes to high cost of ownership. From an economic rationalisation perspective, ANG appears more as a cost burden and a liability: it was making losses and the unit cost was high. Many times it was the subject of debates to sell it off as a non-performing GoPNG SOE and this consideration is still on the table as the GoPNG appears not in a hurry to put down ANG as a ‘panting dog’.

GoPNG recently came to the rescue of ANG with a K2 billion funding but PMJM issued an ultimatum that ANG must make the most of this financial life-line or GoPNG will change its protectionist policy by ‘opening up the skies’ and allow more competition into ANG’s air coverage market. GoPNG’s decision to persist with and patronaging ANG is understandable given our airlines symbolism and status it projected for our nationhood. Hence, pursuits in maintaining a ‘National Airline’ is an endeavour that should be pursuit more on National Rationalisation than Economic Rationalisation.

As another prominent senior citizen Alois Jerewai is noted stating in one of his recent Facebook post, while our country still lacks total connectivity by road, the continued operation of Air Niugini is a public service and not necessarily a business concern while the. For National Security reasons also, this Airline’s survival is the survival of this Country.

Responding to many commentators on his post who viewed the situation with our National Airline from the Economic Rationalisation perspective, Mr. Jerewai said “the Airline is still the biggest mobiliser of our travelling public, business-people, and in case of immediate national state of emergency, the transportation of our security forces. While I agree with your various observations, the fact remains that the airline is not strictly a business concern. It is currently a public necessity.”

I agree with Mr. Jerewai and from a technocratic perspective our Airlines is salvageable from its current situation.

My suggestion for salvaging our National Airline is given in this article below.

Air Nuigini

Lack Of Standardisation With Onset Of Obsolescence Can Lead To High Cost Of Ownership For Air Niugini

Air Niugini’s (ANG’s) fleet consists of three Boeing 767, two Boeing 737, two Bombardier Dash 8-100*, four Bombardier Dash 8-200*, three Bombardier Dash 8-300* and six Fokker 100 aircraft. ANG has one Boeing 787 on order.

This article below is from a post by Exepreneur on 25th June 2023 on Air Niugini when unforeseen technical difficulties with two of the airline’s Boeing 767 aircraft were both temporarily rendered unserviceable in Brisbane, Australia. This had led to major adjustments in Air Niugini’s flight schedules, disrupting travel plans for passengers both domestically and internationally but incurring the high cost of ownership and one among them is reputational loss.

View LinkedIn Article —>


“๐˜ˆ๐˜ช๐˜ณ ๐˜ต๐˜ณ๐˜ข๐˜ฏ๐˜ด๐˜ฑ๐˜ฐ๐˜ณ๐˜ต ๐˜ง๐˜ข๐˜ค๐˜ช๐˜ญ๐˜ช๐˜ต๐˜ข๐˜ต๐˜ฆ๐˜ด ๐˜ช๐˜ฏ๐˜ต๐˜ฆ๐˜จ๐˜ณ๐˜ข๐˜ต๐˜ช๐˜ฐ๐˜ฏ ๐˜ช๐˜ฏ๐˜ต๐˜ฐ ๐˜ต๐˜ฉ๐˜ฆ ๐˜จ๐˜ญ๐˜ฐ๐˜ฃ๐˜ข๐˜ญ ๐˜ฆ๐˜ค๐˜ฐ๐˜ฏ๐˜ฐ๐˜ฎ๐˜บ ๐˜ข๐˜ฏ๐˜ฅ ๐˜ฑ๐˜ณ๐˜ฐ๐˜ท๐˜ช๐˜ฅ๐˜ฆ๐˜ด ๐˜ท๐˜ช๐˜ต๐˜ข๐˜ญ ๐˜ค๐˜ฐ๐˜ฏ๐˜ฏ๐˜ฆ๐˜ค๐˜ต๐˜ช๐˜ท๐˜ช๐˜ต๐˜บ ๐˜ฐ๐˜ฏ ๐˜ข ๐˜ฏ๐˜ข๐˜ต๐˜ช๐˜ฐ๐˜ฏ๐˜ข๐˜ญ, ๐˜ณ๐˜ฆ๐˜จ๐˜ช๐˜ฐ๐˜ฏ๐˜ข๐˜ญ, ๐˜ข๐˜ฏ๐˜ฅ ๐˜ช๐˜ฏ๐˜ต๐˜ฆ๐˜ณ๐˜ฏ๐˜ข๐˜ต๐˜ช๐˜ฐ๐˜ฏ๐˜ข๐˜ญ ๐˜ด๐˜ค๐˜ข๐˜ญ๐˜ฆ. ๐˜๐˜ต ๐˜ฉ๐˜ฆ๐˜ญ๐˜ฑ๐˜ด ๐˜จ๐˜ฆ๐˜ฏ๐˜ฆ๐˜ณ๐˜ข๐˜ต๐˜ฆ ๐˜ต๐˜ณ๐˜ข๐˜ฅ๐˜ฆ, ๐˜ฑ๐˜ณ๐˜ฐ๐˜ฎ๐˜ฐ๐˜ต๐˜ฆ ๐˜ต๐˜ฐ๐˜ถ๐˜ณ๐˜ช๐˜ด๐˜ฎ, ๐˜ข๐˜ฏ๐˜ฅ ๐˜ค๐˜ณ๐˜ฆ๐˜ข๐˜ต๐˜ฆ ๐˜ฆ๐˜ฎ๐˜ฑ๐˜ญ๐˜ฐ๐˜บ๐˜ฎ๐˜ฆ๐˜ฏ๐˜ต ๐˜ฐ๐˜ฑ๐˜ฑ๐˜ฐ๐˜ณ๐˜ต๐˜ถ๐˜ฏ๐˜ช๐˜ต๐˜ช๐˜ฆ๐˜ด” says World Bank.

However, when unexpected technical difficulties arise, airlines face the daunting task of maintaining their operations while ensuring passenger safety.

Air Niugini, the national airline of Papua New Guinea (PNG), is facing a difficult situation as it deals with a longer-than-expected repair time for its Boeing 767 planes.

The Acting Chief Executive Officer, Gary Seddon states that unforeseen technical difficulties with two of the airline’s Boeing 767 aircraft have rendered them both temporarily unserviceable in Brisbane, Australia leading to major adjustments in Air Niugini’s flight schedules, disrupting travel plans for passengers both domestically and internationally.

Beyond the inconvenience to travelers, flight disruptions also have economic consequences. PNG heavily relies on air transport for both domestic connectivity and international trade. Business travelers, who depend on consistent flight schedules, face challenges in conducting their operations smoothly. The country’s tourism sector which has started to recover from the  Covid19 impact suffers setbacks due to the disruptions, impacting revenue and employment in related industries.

“๐˜‹๐˜ถ๐˜ฆ ๐˜ต๐˜ฐ ๐˜ต๐˜ฉ๐˜ฆ ๐˜ค๐˜ฐ๐˜ฎ๐˜ฑ๐˜ญ๐˜ฆ๐˜น๐˜ช๐˜ต๐˜บ ๐˜ฐ๐˜ง ๐˜ต๐˜ฉ๐˜ฆ ๐˜ณ๐˜ฆ๐˜ฒ๐˜ถ๐˜ช๐˜ณ๐˜ฆ๐˜ฅ ๐˜ณ๐˜ฆ๐˜ฑ๐˜ข๐˜ช๐˜ณ๐˜ด ๐˜ข๐˜ฏ๐˜ฅ ๐˜ต๐˜ฉ๐˜ฆ ๐˜ข๐˜ท๐˜ข๐˜ช๐˜ญ๐˜ข๐˜ฃ๐˜ช๐˜ญ๐˜ช๐˜ต๐˜บ ๐˜ฐ๐˜ง ๐˜ด๐˜ฑ๐˜ข๐˜ณ๐˜ฆ ๐˜ฑ๐˜ข๐˜ณ๐˜ต๐˜ด, ๐˜ธ๐˜ฆ ๐˜ข๐˜ฏ๐˜ต๐˜ช๐˜ค๐˜ช๐˜ฑ๐˜ข๐˜ต๐˜ฆ ๐˜ต๐˜ฉ๐˜ข๐˜ต ๐˜ต๐˜ฉ๐˜ฆ ๐˜ณ๐˜ฆ๐˜ด๐˜ต๐˜ฐ๐˜ณ๐˜ข๐˜ต๐˜ช๐˜ฐ๐˜ฏ ๐˜ฑ๐˜ณ๐˜ฐ๐˜ค๐˜ฆ๐˜ด๐˜ด ๐˜ฎ๐˜ข๐˜บ ๐˜ต๐˜ข๐˜ฌ๐˜ฆ ๐˜ญ๐˜ฐ๐˜ฏ๐˜จ๐˜ฆ๐˜ณ ๐˜ต๐˜ฉ๐˜ข๐˜ฏ ๐˜ช๐˜ฏ๐˜ช๐˜ต๐˜ช๐˜ข๐˜ญ๐˜ญ๐˜บ ๐˜ฆ๐˜น๐˜ฑ๐˜ฆ๐˜ค๐˜ต๐˜ฆ๐˜ฅ. ๐˜ž๐˜ฆ ๐˜ข๐˜ณ๐˜ฆ ๐˜ฉ๐˜ฐ๐˜ฑ๐˜ฆ๐˜ง๐˜ถ๐˜ญ ๐˜ต๐˜ฐ ๐˜ฉ๐˜ข๐˜ท๐˜ฆ ๐˜ฐ๐˜ฏ๐˜ฆ ๐˜ฐ๐˜ง ๐˜ต๐˜ฉ๐˜ฆ ๐˜ธ๐˜ช๐˜ฅ๐˜ฆ๐˜ฃ๐˜ฐ๐˜ฅ๐˜บ ๐˜ข๐˜ช๐˜ณ๐˜ค๐˜ณ๐˜ข๐˜ง๐˜ต ๐˜ฐ๐˜ฑ๐˜ฆ๐˜ณ๐˜ข๐˜ต๐˜ช๐˜ฐ๐˜ฏ๐˜ข๐˜ญ ๐˜ฃ๐˜บ ๐˜ต๐˜ฉ๐˜ฆ ๐˜ฆ๐˜ฏ๐˜ฅ ๐˜ฐ๐˜ง ๐˜š๐˜ถ๐˜ฏ๐˜ฅ๐˜ข๐˜บ 25 ๐˜‘๐˜ถ๐˜ฏ๐˜ฆ. ๐˜›๐˜ฉ๐˜ฆ ๐˜ฑ๐˜ข๐˜ณ๐˜ต๐˜ด ๐˜ธ๐˜ฆ๐˜ณ๐˜ฆ ๐˜ด๐˜ฆ๐˜ค๐˜ถ๐˜ณ๐˜ฆ๐˜ฅ ๐˜ง๐˜ณ๐˜ฐ๐˜ฎ ๐˜ต๐˜ฉ๐˜ฆ ๐˜œ๐˜š ๐˜ข๐˜ฏ๐˜ฅ ๐˜ด๐˜ฉ๐˜ช๐˜ฑ๐˜ฑ๐˜ฆ๐˜ฅ ๐˜ฐ๐˜ท๐˜ฆ๐˜ณ๐˜ฏ๐˜ช๐˜จ๐˜ฉ๐˜ต

โ€œ๐˜›๐˜ฉ๐˜ฆ ๐˜ฐ๐˜ต๐˜ฉ๐˜ฆ๐˜ณ ๐˜ข๐˜ช๐˜ณ๐˜ค๐˜ณ๐˜ข๐˜ง๐˜ต ๐˜ธ๐˜ช๐˜ญ๐˜ญ ๐˜ฃ๐˜ฆ ๐˜ถ๐˜ฏ๐˜ข๐˜ท๐˜ข๐˜ช๐˜ญ๐˜ข๐˜ฃ๐˜ญ๐˜ฆ ๐˜ง๐˜ฐ๐˜ณ ๐˜ญ๐˜ฐ๐˜ฏ๐˜จ๐˜ฆ๐˜ณ ๐˜ต๐˜ฉ๐˜ข๐˜ฏ ๐˜ฆ๐˜น๐˜ฑ๐˜ฆ๐˜ค๐˜ต๐˜ฆ๐˜ฅ, ๐˜ข๐˜ด ๐˜ธ๐˜ฆ ๐˜ข๐˜ณ๐˜ฆ ๐˜ฑ๐˜ฆ๐˜ณ๐˜ง๐˜ฐ๐˜ณ๐˜ฎ๐˜ช๐˜ฏ๐˜จ ๐˜ข๐˜ฏ ๐˜ฆ๐˜ฏ๐˜จ๐˜ช๐˜ฏ๐˜ฆ ๐˜ค๐˜ฉ๐˜ข๐˜ฏ๐˜จ๐˜ฆ, ๐˜ฐ๐˜ฏ๐˜ค๐˜ฆ ๐˜ข ๐˜ด๐˜ฑ๐˜ข๐˜ณ๐˜ฆ ๐˜ฆ๐˜ฏ๐˜จ๐˜ช๐˜ฏ๐˜ฆ ๐˜ฉ๐˜ข๐˜ด ๐˜ฃ๐˜ฆ๐˜ฆ๐˜ฏ ๐˜ฎ๐˜ฐ๐˜ท๐˜ฆ๐˜ฅ ๐˜ต๐˜ฐ ๐˜‰๐˜ณ๐˜ช๐˜ด๐˜ฃ๐˜ข๐˜ฏ๐˜ฆ,” the CEO says

The Airline adds that it is working closely with its industry partners and evaluating the possibility of โ€˜wet leasingโ€™ additional aircraft to supplement its fleet and minimize service disruptions.


Reading through this press release you could sense this underlying challenge of a prevalent lack of standisation as well as a lack of strategic foresightedness (i.e. the complexities of the challenges increases with longer time horizons as this brings increase uncertainties and more variables and requires strategic foresightedness to mitigate the risks associated with obsolescence).

Standardisation in physical asset intensive industries, according to “R.A.I” Chatbot, is a continuous improvement endeavour that aims to lower operational cost, optimise performance as well as improve safety in industries such as in the airlines where safety of people is of the utmost paramount. Standardisation in maintenance refers to the process of establishing and implementing consistent practices and procedures for maintenance activities. This can include standardising equipment maintenance procedures, work instructions and job plans. Standardisation helps to ensure that maintenance activities are performed consistently and efficiently, which can improve equipment reliability, reduce downtime and increase safety. Standardisation can also help to streamline maintenance processes and reduce cost by eliminating unnecessary steps and reducing the need for rework.

The challenge with Standardisation is made harder with obsolescence and unstable BOD and Exec. Mgmnt not providing the strategic foresight to mitigate this risk of obsolescence.

Not many airlines operate B767 anymore and hence parts supply would be an issue. Boeing began developing the B767 nearly half a century ago. The model sold well during the 1980s and 1990s but demand plunged after 9/11 attacks. By 2030 it is expected that Boeing will cease manufacturing of B767. ANG need to move forward faster with the B787 deals to ease up the international routes and free up the 737 for major domestic routes like Lae and Hagen. But this lack of strategic foresight in mitigating the risk of obsolescence can be attributed to instability at the BOD and Exec. Mgmnt levels.

The quicker things change and the suppliers of aircraft fleet parts go out of business then the parts become obsolete. The risk associated with obsolescence includes safety, reputational loss and the economic cost of: re-fleeting the production assets (in this instance the aircrafts); restocking of new inventory of parts to support the new fleet; reviewing of maintenance systems (policies, standards and procedures); and upskilling/licensing of maintenance personnel as well as pilots to maintain and operate the new fleet.