Emergency Evacuation
To remove company employees from harm’s way, usually as a result of a medical emergency, natural disaster, civil strife, or other security threat, particularly in areas of limited or uncertain scheduled airline service.
Goodwill
Providing for personal customer or employee needs, such as travel associ ated with family emergencies or as a favor. There is not always an immedi ate, tangible business benefit from the use of business aircraft for customers or employees with special needs or for public officials (see below). A longer view, however, may suggest that the company’s strategic interests can be best served by this practice depending on individual circumstances. Specific IRS regulations govern this practice regarding calculating imputed income. Further information on these rules may be found at www.nbaa.org/taxes.
Lobbying
Sponsoring transportation for elected or appointed officials. The use of busi ness aircraft for the carriage of public officials is common at all levels of government. Specific IRS regulations govern this practice. Legal restrictions also can limit the availability of spon sored travel for certain government employees. All travel of this type is routinely and publicly reported. In rare instances, business aircraft also are used to carry government officials to company-sponsored events. These can be unusual and invaluable opportuni ties for information exchange. Further information on these rules may be found at www.nbaa.org/taxes.
“Other”
And still more yet to be identified.
Next Steps
1) Consider how on-demand air transportation services can add value to your company and better help accomplish your corporate mission.
2) Share your thoughts with your peers. Start a discussion that generates a list of ways to better utilize the aircraft available to you.
3) Share this list within the company.
4) Conduct an air transportation analysis. What are the on-demand air transportation needs for the company over the next 18 months?
5) Distribute copies of this brochure to the company’s frequent flyers and potential frequent flyers.
6) Educate management about the features, benefits and possibilities available to them via business aircraft.
7) Devise transportation solutions for individuals and departments within the company. Find out what their needs are through directed interviews – many ideas will flow from these discussions.
8) Visit NBAA’s Web site at www.nbaa.org for more ideas.
J.D. Power and Associates Survey Results
J.D. Power and Associates conducted a business aircraft utilization study for NBAA in July and August 1999. A sample of companies and organizations that use fixed wing aircraft and/or helicopters for business purposes was randomly selected from several independent sources. Interviews were conducted among corporate decision-makers who have the capacity to authorize aircraft use for business purposes or have input on how to maximize the usage and benefit of the fleet. Of the individuals interviewed, 37 percent identified themselves as senior company managers while approximately 63 percent identified themselves as senior flight department managers. Telephone contacts lasting 20 or more minutes resulted in 413 completed interviews equated to an approximate 20 percent response rate. Data were weighted to reflect the proportion of helicopter versus fixed wing aircraft incidence among all business aircraft users.
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