Airline acquisitions, mergers and integrations are complex undertakings that require thorough planning, dedicated resources, and experts that are well versed in both industry and FAA regulations, operations and maintenance processes, and other related requirements. Mergers and integrations move people, equipment and records from one airline to another. This requires an analysis of the best maintenance, operations and safety practices of both operators and deciding which processes and procedures will be utilized at the combined entity. Most importantly, safety must be maintained throughout.

The FAA has published guidance in Inspector Handbook 8900.1, Volume 3, Chapter 34, 9/13/07, which pertains to operator mergers and acquisitions. This is a good starting point; however, the details and complexity of mergers clearly go beyond the FAA's published guidance.

One of the keys to a successful merger is the development and execution of a detailed transition plan that enables the integration of two disparate operations into a single, streamlined business process.

Other key regulatory, operational and safety-related challenges emanating from air carrier mergers include the following areas:

• Compliance with FAA regulations.
• Conformity to ATOS, IOSA and DOD requirements, as applicable.
• Integration of Special Programs (e.g., ETOPS).
• Integration of differing fleet types.
• Standardization of training and checking requirements (Pilots, Flight Attendants, Maintenance and Dispatch personnel).
• Standardization for conducting Aircraft Performance (Runway Analysis).
• Standardization of Ground Operations.
• Standardization of Reliability and Inspection Programs.
• Standardization of Supplemental Operations (Charters).
• Document Publishing - tracking changes, regulatory items, and internal/FAA approvals, as well as coordinating publishing activities.

JDA's Part 121 certification team has assisted with the integration of several airlines, including US Airways and America West, and has over 1,000 years of collective experience and knowledge including working with Shuttle America, Mesaba Airlines, Pinnacle Airlines, Colgan Air, Republic Airlines, Lynx Aviation, Piedmont, American Airlines, and Southwest Airlines. The JDA staff consists of former FAA certificate management and principal inspectors as well as former air carrier personnel who worked in key roles during merger-related activities.

JDA can provide the following services:

• Conduct an independent assessment of Operations, Maintenance and Safety programs, and make recommendations regarding opportunities for improvement and industry best practices to the leadership of the new entity.
• Identify issues related to safety culture differences via JDA's organizational development and human factors experts, and provide recommendations and assistance to the leadership team. A safety culture assessment initiative that is an easy-to-implement first step to learn, compare and contrast the views that exist toward safety in the organizations.
• Utilize detailed project management capabilities to develop a comprehensive integration plan.
• Develop maintenance bridging documents for all checks and all fleets.
• Facilitate within and across company organizations and divisions to ensure the synchronization of tasks and published content.
• Provide dedicated resources to handle the internal coordination of required activities and meet project timelines.
• Validate/implement Safety Management System (SMS) requirements.
• Provide a liaison between FAA Certificate Management Offices (CMOs) and FAA Regional Flight Standards Divisions.
• Revise maintenance, operations and safety manuals to conform to ATOS, and provide training and validation of processes and procedures. (As a side note, I point out that years after an announced merger of two major carriers, the company operating under a single certificate/name is still working on merging operations and maintenance manuals).

The above challenges only scratch the surface of an acquisition, merger or integration. If you would like to know more about how JDA can help, check out our website or call 301-941-1462 (direct line) or e-mail Joe Del Balzo. 

Galaxy FBO Selects JDA for 135 Certification Help

Galaxy FBO, a Conroe, Texas-based aircraft management, maintenance and corporate and line services company, has contracted with JDA for the 135Pro™ certification support program.

135Pro^TM is a low-cost Part 135 certification support program designed to simplify the process and lower costs associated with obtaining a Part 135 Certificate.

The 135Pro^TM certification support program includes manuals specifically tailored to help new charter operators and corporate flight departments satisfy FAA requirements. A customized web-based application and document manager enables the owner/operator to store and access all Part 135 requirements and obtain full-time support from the JDA expert 135 team.

"As a full service fixed based operator focused on our customers' needs we wanted an organization that would assist Galaxy with obtaining a Part 135 certificate with the least amount of impact to our organization. We also needed expert advice and assistance to ensure that we got the job done right the first time. We selected JDA based on their extensive FAA experience and their solution enabled us to stay focused on our business while they worked the certificate process," said Dave Christy, Vice President and owner of Galaxy FBO.

"JDA understands how important the 135 certificate is to companies like Galaxy and structured 135Pro™ so that there is no disruption to the company's day-to-day business," said Tom Stuckey, JDA Vice President of Business and Commercial Aviation Solutions and manager of the 135Pro^TM program. "The 135Pro^TM program includes an array of support services, such as manuals, the Letter of Compliance, HAZMAT as well as mentoring, training and coordination and interface with the FAA. We support the client every step of the way," Stuckey said.

To learn more about 135Pro^TM contact Tom Stuckey at 301-941-1460 (ext 210) or 817-733-6808, or via email.

JDA Regulatory Affairs Training: September 14-15, 2010

1. FAA Flight Standards organization and function of different departments to Regulatory Affairs personnel.
2. FAA CMO organization, duties and responsibilities, positions, i.e. Principal Inspectors, Partial Program Managers, Assistant Managers, etc. Also explain the functions of these positions.
3. Inspection programs and inspector criteria; i.e. surveillance, investigation, complaints, incidents, etc.
4. Understand the variety of inspector methods and how to address them.
5. Inspector authority and limits.
6. Steps for establishing new relationship with the FAA CMO:
   • Procedures for checking in and out at your facilities
   • Inspector in briefing and out briefing
   • Inspector access to facilities, equipment, records and personnel
   • Inspector badges
7. Actions and timeframe for implementing new operating procedures
   • Data to collect
   • Standardized reports
   • Other line stations and facilities
8. Introduction of new procedures to FAA CMO and anticipating FAA reaction.
9. Understand how FAA conducts investigations and what kind of response they expect from Company.
10. How to research FAA regulations, handbooks, policy letters, etc.
11. How to conduct an internal investigation (what to look for) as a result of an FAA Letter of Investigation (LOI) and how to respond to an FAA LOI using actual ongoing cases.
12. When and how to tell the FAA that you disagree with allegations and how to respond accordingly.
13. Procedure (when and how) for elevating an issue to higher authority.

Register today through our website.