Azul Linhas Aéreas Brasileiras Jumpstarts Return on Acquisition Investment by Extending Flexible Applications Environment to Partner Company Within Four Months
 
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Azul Linhas Aéreas Brasileiras Jumpstarts Return on Acquisition Investment by Extending Flexible Applications Environment to Partner Company Within Four Months

Azul—the airline born of the merger between Azul Linhas Aéreas Brasileiras and Trip Linhas Aéreas—is the third-largest airline in Brazil. The company has 124 airplanes, more than 9,000 employees, 837 daily flights to 102 destinations, and it operates 30.3% of the country’s commercial flights.

The company has received several national and international awards for the quality of its service. Azul was elected the "Most Punctual Airline in South America" in 2013 by FlighStats, one of the most popular  travel information sources. In the same year, the company was honored by Skytrax World Airline Awards—an independent airline passenger satisfaction survey among travelers from over 160 countries—as a three-time champion in the "Best Low-Cost Airline in South America" category. It was also named "Best Low-Cost Airline in the World" by the Centre for Aviation—a worldwide aviation organization. In 2012, Viagem e Turismo magazine voted Azul the “Best Airline in Brazil” for the second year in a row.

 
 

 
 

Challenges

A word from Azul Linhas Aéreas Brasileiras S.A.

  • “With Oracle E-Business Suite, we gained the scalability and stability needed for a quick migration and to jumpstart a return on the investment in Trip’s acquisition. Today we provide internal users with complete enterprise applications, so that we can concentrate on improving service to our customers.” – Fernando Michima Hatanaka, Systems Manager, Azul Linhas Aéreas Brasileiras S.A.

  • Create a financial environment to support airline industry expansion strategies, including the development of financial and accounting reports needed for decision-making
  • Align Trip’s financial processes with Azul’s for a smooth transition during the merger
  • Support growth in the Brazilian air travel market through a robust IT infrastructure that can handle a rapid increase in transaction volume

Solutions

  • Implemented Oracle Financials’ module Oracle Internet Expenses; and Oracle Supply Chain Management’s modules Oracle iProcurement, Oracle Purchasing, Oracle Inventory, Oracle Order Management and Oracle Mobile Supply Chain Applications, creating a robust framework to support its aviation operations’ growth
  • Migrated Trip’s back office systems to Oracle E-Business Suite—the management system widely used by Azul—standardizing processes, such as travel-agency billing and revenue accounting, completing the merger transparently and ensuring business continuity
  • Improved information availability for both airlines and enhanced data consistency and transparency for better performance assessments
  • Streamlined reporting to the Agência Nacional de Aviação Civil, thanks to more accurate and accessible operational and financial information—including fuel consumption and flight crew data
  • Consolidated both companies’ financial, tax, accounting and fiscal operations into a single system, enabling Azul to continue normal operations without supplier payment delays during the migration process, ensuring prompt delivery of aircraft and safety equipment supplies, and reassuring customers and users
  • Worked with Oracle partner NineCon to ensure an efficient implementation and reduce migration process risks

Why Oracle

“Oracle E-Business Suite’s flexibility was essential to the successful rollout to the Trip group. It also integrated easily with our airline-specific applications to facilitate reporting and the flow of important operational and safety data,” said Fernando Michima Hatanaka, systems manager, Azul Linhas Aéreas Brasileiras S.A.

Implementation Process

“We had a tight timeline for rolling out Oracle E-Business Suite to the Trip group, and the project involved critical information, such as accounts payable, open orders, and customer records. We completed the project in just four months,” Hatanaka said.

Partner

“The NineCon team demonstrated great skill on the Oracle E-Business Suite technology. We had a very aggressive timeline to meet and the work in tandem with our Oracle partner enabled us to increase speed and efficiency in all our business processes,” Hatanaka said.