Revenue accounting is a highly complex, time-consuming and labor-intensive process for airlines. At the same time, accurate and rapid accounting is hugely important 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.
45 percent of IT costs in operations can be saved by airlines thanks to the Sirax AirFinance Platform.
The Sirax AirFinance Platform from Lufthansa Systems is the first integrated platform to cover all aspects of airline finance, from revenue recognition to cost control. Since the platform is a modular solution, it flexibly covers 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 entire revenue accounting process. Sirax currently handles 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, the actual revenues are then calculated within a very short timeframe. Airlines using the Sirax AirFinance Platform to settle tickets with their interline partners can generate additional revenues of up to USD 2 per passenger thanks to more exact calculations. For a medium-size airline with some 750,000 interline passengers, this could boost revenues by up to USD 1.5 million.
By deploying the Sirax AirFinance Platform, airlines can generate additional revenues while simultaneously reducing costs by using automated processes. This is especially true if the system is implemented while migrating from a legacy system to state-of-the-art IT technology. 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.
Extensive overview of the financial situation
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, 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 products not only support current standards but also take future developments into account. Indeed, Sirax was 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 many airlines to migrate to the Sirax AirFinance Platform than to invest in their legacy systems.