Internship Report on

Pakistan Civil Aviation Authority

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 Internship Advisor:
Dr. IMRAN KHAN
Assistant Professor, Management Sciences

Submitted By:
USAMA SAOOD
ROLL #: FA16M3BQ5

ISLAMIA UNIVERSITY OF BAHAWALPUR BAHAWALNAGAR

CAMPUS

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 Abstract

By definition “internship is a working program arranged for gaining experience.” During

study after completion of the 6th semester the students of the department of management
sciences and program of BBA (Bachelor of Business Administration) of IUB are required
to undertake training in an organization selected by them, for a period of 6 weeks. The
benefits of internship are:

1. Internship will provide students the opportunity to test their interest in particular
career before permanent commitments are made.
2. Internship student will develop skills in the application of theory to practical work
situations.
3. Internship will provide students the opportunity to test their aptitude for a
particular career before permanent commitments are made.
4. Internship students will develop skills and techniques directly applicable to their
careers.
5. Internships will aid students in adjusting from college to full-time employment.
6. Internship will provide students the opportunity to develop attitudes conducive to
effective interpersonal relationships.
7. Internship will increase a student`s sense of responsibility.
8. Internship students will be prepared to enter into full time employment in the area
of specialization upon graduation.

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 Table OF Contents
Sr. No Title Page No
01 Dedication 05
02 Acknowledgment 06
03 Executive Summary 07
04 Introduction. PCAA (Pakistan Civil Aviation Authority) 08
05 Mission statement and Core values 09
06 Analysis of CAA mission statement 09
07 CAA Audit Committee 10
08 CAA Executive Committee 10
09 PCAA Board 11
10 Competitive Strategy 12
11 Intro. AIIAP Lahore 13
12 Department of AIIAP 14
13 About Commercial Branch (Weekly Report) week-1 15
14 2nd Week 16
15 3rd Week 17
16 4th Week 18

17 5th Week 19
18 6th Week 19
19 SWOT Analysis of PCAA 21
20 PEST Analysis of PCAA 24
21 Learning as Student Internee 26
22 Issues Encountered as an Internee 27
23 Conclusion & Recommendation 27
24 References 28

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Dedication By the Grace of Almighty, I would
like to dedicate my work to my parents and
family, who were always there for me, they
backed me up every time I made a tough
decision. And to all other persons, who stood
by my side, helped me and kept me motivated
so that I can accomplish this work.

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 Acknowledgment
In the name of Allah, the most gracious the most merciful.

I had the internship opportunity at Pakistan Civil Aviation Authority, it was a great chance for
professional development and learning new things, as this was my first time in a corporate
environment. I was very delighted to meet so many qualified and wonderful people, who helped
me and guided me throughout my internship period. The staff was very helping, and they helped
me every time and was always there for me.

During the six weeks of internship, I always received help from everyone in this office, I would
like to take a moment and extend my sentiments of thankfulness to everyone who helped me in
completing my internship.

I would like to use this opportunity to thank and show my gratitude to Mr. Hafiz Muhammad
Faisal, my internship in-charge, who carved out time from his busy schedule and duties to teach
me and guide me at every step and corrected my path that allowed me to carry out my
responsibilities in a correct manner at their honored organization.

It is my honor to place on records my best regards and thankfulness to Mr. Hafiz Muhammad
Faisal, Mr. Ishrat and to Mr. Mubeen for their kindness and friendly attitude, as they precisely
guided me throughout the routine tasks, which was extremely important for both my practical
career and theoretical studies.

I am also grateful to all other professionals and officials who were working in Commercial
Branch and all the office staff workers for their support and co-operation in completing my
internship.

Finally, I would like to thank ISLAMIA UNIVERSITY OF BAHAWALPUR,

BAHAWALNAGAR CAMPUS, that they provided me with a platform that helped in
accomplishing this task. I am grateful to my teachers specially my Internship Advisor, Dr.
Imran Khan and faculty of Business Administration.

No words are suitable to express my gratefulness and gratitude to all of those who helped me in
completing this task, but I wish to continue to meet such great people in life.

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 Executive Summary
This report is about the summer internship, which I did in Pakistan Civil Aviation Authority. The
duration of my internship was 6 weeks. The overall experience was pretty good. The staff of
PCAA was very helpful and kind. They added value to my knowledge. In this report I have
discussed what new tasks I performed, being at the Commercial Branch.

This branch keeps the records of the and deals with any case or issue they face at PCAA. My
internship advisor over there was very helpful, and taught me very valuable things, which
includes tender proceeding and many other small tasks as well.

In this report there is a detailed view of the departments that operates under the PCAA and what
are their functions. Along with this, I have also discussed how actions and responsibilities are
carried out with respect to Commercial Branch. The organizational structure is discussed, with
the organograms of the organization and the department as well.

A detailed Internal and External analysis is conducted about the PCAA, highlighting its
Strengths, Weaknesses, Opportunities and Threats. An overview of the organization, its
hierarchy, its business operations and its departments structure are also discussed in this report.

My overall experience was good, and I got to learn a lot, thankfully to the cooperative staff of
PCAA. This experience has shaped my career totally in a different way. I always looked at
Marketing in a different and a narrower way, but after this experience, I came to know that
Marketing is not only about Customer handling or selling of anything, instead it is a very vast
filed. So, I got to see a whole new
perspective of Marketing, due to my internship.

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 Introduction
PCAA (Pakistan Civil Aviation Authority)

History
Pakistan Civil Aviation Authority (CAA) is a public sector autonomous body working under the
Federal Government of Pakistan through Aviation Division Cabinet Secretariat. CAA was
established on 7th December, 1982 through Pakistan Civil Aviation Authority ordinance 1982.
Prior to creation of CAA, a Civil Aviation Department (CAD) in the Ministry of Defence (MoD)
used to manage the Civil Aviation related activities. Ministry of Defence (MoD) continued to be
the controlling Ministry even after creation of CAA on 7th December, 1982. However, in June,
2013, Government of Pakistan assigned this responsibility to Cabinet Secretariat (Aviation
Division).

The day of 7th December has significance, as it coincides with the date of creation of International
Civil Aviation Organization (ICAO) in 1944 as a result of the famous Chicago Convention.
Incidentally, the United Nations have declared 7th December as the International Civil Aviation
day and celebrated as such every year all over the world.

The purpose of establishing CAA is to provide for the promotion and regulations of Civil
Aviation activities and to develop an infrastructure for safe, efficient, adequate, economical and
properly coordinated Civil Air Transport Service in Pakistan.

CAA not only plays the role of the aviation regulator of the country but at the same time performs
the service provider functions of Air Navigation Services and Airport Services. The core functions
of CAA are therefore, ‘Regulatory’, ‘Air Navigation Services’ and ‘Airport Services’. These core
functions are fully supported by various corporate functions of the organization. The Headquarters
of CAA is located at Karachi.

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 MISSION STATEMENT AND CORE VALUES
To provide top class and economical Flight Inspection / Calibration services at the right time for
safe Flight Operations

• Commitment

• Professional Excellence

• Customer Focus

• Safety and Security

• Integrity

Mission statement is also called the core values or our aspirations. Organization’s mission
statement defines its reason for existence, its core values. “A mission is the primary guidance in
creating plans, strategies or making daily decisions”

Mission statement is important because it gives out information about organization’s products,
services, geographic markets, targeted customers, philosophies, values and plans for future
growth to all of its stakeholders. The basic purpose of the mission statement is to communicate
the driving force behind the organization operations to its employees, suppliers, customers and
its community.

ANALYSIS OF CAA MISSION STATEMENT

PCAA mission statement is poor as it lacks to mention about the Market, that which market they
are targeting and providing their services, The Technology, that what sort of advanced
technologies they are using in their operations, Concern for Survival, that what are its goals
towards survival expansion and financial soundness , concern for public image, that what are the
CSR activities they are doing in the society and concern for employees, and how they care about
their man force. The mission statement of PCAA only include these factors, customer focus,
philosophy, self concept.

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 CAA Audit Committee
• Mr. M. Bashir Jan Mohammad

Chairman Westbury Group of companies / chairman CAA Audit Committee.

• Mr. Zafar Hasan

Secretary planning & development division / Member of CAA Audit Committee.

• Dr. Jawwad Uwais Agha

Member Customs, Federal Board of Revenue / Member of CAA Audit Committee.

• Dr. Arshad Mahmood

Additional Secretary, Finance Division / Member of CAA Audit Committee.

• Mr. Qazi Azmat Isa

CEO / MD Pakistan Poverty Alleviation Fund / Member of CAA Audit Committee.

• Mr. Zubair Hussain Paracha

Secretary CAA Audit Committee.

CAA Executive Committee

• Air Marshal (Retd) Muhammad Yousaf
• Air Vice Marshal Khawar Hussain
• Mr. Sumair Saeed
• AirCdre Muhammad Nasir-ud-din
• Mr. Amer Habib Sikander
• Mr. Javaid Iqbal

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 PCAA BOARD

• The general direction and administration of CAA and its affairs vest in CAA Board which
exercises all powers, performs all functions and does all acts and things that need to be exercised,
performed or done by the Authority.

• The Chairman CAA Board is the Secretary of the Division to which the affairs of the
Authority are allocated. Presently, it is the Secretary Aviation.

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 • CAA Executive Committee is the highest decision-making body of the Organization. It
exercises such administrative, executive, financial and technical powers as delegated to it by the
Authority.

• DGCAA is the Chairman of CAA Executive Committee. The Federal Government appoints the
Director General who is the Executive head of CAA and exercises such powers and performs
such functions as may be specified in CAA ordinance or delegated to him by the CAA Board
from time to time.

• The CAA Board is assisted by CAA HR Committee and CAA Audit Committee. CAA Quality
Council headed by DGCAA and comprising of Dy. DGCAA, all Principal Directors and
Directors sets the macro level objectives and tasks/targets of the organization and oversees the
organizational drive in pursuit of its vision and mission, adherence to the core values and CAA’s
Endeavour to achieve the International Management System Standards.

COMPETITIVE STRATEGY

PCAA is a regulatory body and is a government institution and is governed by the Aviation
Directorate. That is why there is no competitor of PCAA. However, PCAA has indirect
competitors in the form of the aviation authorities working in other countries. Those can be used
only for comparison and performance analysis.

PCAA is the sole regulator and it performs all the tasks required and all the policy making. There
is no direct competitor of PCAA, but its working, its methods and its performance can also be
compared and evaluated against ICAO.

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 HISTORY OR INTRODUCTION

ALLAMA IQBAL INTERNATIONAL AIRPORT LAHORE

Allama Iqbal International Airport, (IATA: LHE, ICAO: OPLA) is the second largest civil
airport in Pakistan, serving Lahore, the capital of Punjab province as well a large portion of the
travellers from the Punjab province. Originally known as Lahore International Airport, it was
renamed after Allam Iqbal, one of the pioneers that led to the creation of Pakistan. The airport
currently has three terminals: the Allam Iqbal terminal, the Hajj terminal and a cargo terminal.
The airport is located about 15 km from the centre of the city.

Post-independence
At the time of the Independence of Pakistan, Walton Airport was the main airport of Lahore.
When Pakistan International Airlines (PIA) acquired its first Boeing 720 Walton was unable to
handle the load of a jet aircraft. The Government of Pakistan decided to build a brand-new
airport, which opened in 1962.The airport had a specifically built runway and apron to handle
aircraft up to the Boeing 747. This allowed Lahore to open its gates to the world. PIA initiated
direct flights to Dubai and London via Karachi.

AIIA Terminal
Over the course of the next twenty-five years the demand for air travel rose. It meant that the
government had to build a new airport to meet the growing needs for of the region. In March
2003, a new terminal was inaugurated by General Pervez Musharraf originally commissioned by
then Prime Minister Muhammad Nawaz Sharif. The airport was named Allama Iqbal
International Airport and became the second largest airport in Pakistan after Jinnah International
Airport in Karachi. All flights were switched to the new airport and the old airport was passed
onto the military. However, the government later reclaimed the airport from the military and
developed it into a Hajj terminal.
In 2008, the national flag carrier of the UAE, Etihad Airways, opened a dedicated aircraft line
maintenance facility in Lahore. The facility is equipped with the latest technology and
equipment, which will be used for all day-to-day technical line maintenance on Etihad aircraft
including hydraulic structural and instrument checks.

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 LIST OF ALL THE DEPARTMENTS
➢ Airworthiness

➢ Air Transport

➢ Directorate of Airspace and Aerodrome Regulation

➢ Flight Standards

➢ Flight Inspection Units

➢ Personal Licensing

➢ Aero Medical

➢ Air Navigation Services

➢ Airport Services

➢ Safety and Investigation Board

➢ Security Directorate

➢ CATI-Hyderabad

➢ Support Functions

• Safety and Quality Management System-SQMS

• Finance

• Information Technology-IT

• Commercial and Marketing

• Legal Services

• Human resource-HR

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 About Commercial Branch
Departmental structure:
Director General (DG)
Dy. DG / Principal Director
Director
Additional Director
Joint Director
Deputy Director
Assistant Director
Superintendent
Supervisor Grade II
Assistant Grade II
Head Helper / Jr. Operator

Weekly Report
Week 1

Monday
The first day upon my arrival in the admin office for joining Mr. Rao Muhammad Ahmad.
Mr. Rao introduces the CAA and gave me the master copies of the service book for reading. I
quickly go through it and I get to know that If in any case organization needs to access data of
any employees. They didn’t allow to check the data without the consent of employees because its
personal data of employee. The employee organization issued the service book to keep the record
of the employees. This service book keeps the record of policies of the employee depending
upon the duration of the policies like policy will have the duration of a year or two years and
three years. If the organization needs to change the policy, he will change the policy.

Tuesday 2nd day

I went to the commercial department for joining my field. Sir Faisal briefing the branch
introduces the employees and their work especially he shows the work ethics of Mr.Umar
Jamshed (Assistant joint director).

Wednesday 3rd day

Mr. Umar Jamshed (Assistant joint director) summoned me for an interview and he asked so
many questions. After the interview, he gave me little time for freshness and then he assists me
in Air Commodore for the meeting. Through meeting learned countless things which will help
me in the future. I felt jubilant and honoured to meet the well-mannered staff because they taught
me the real meaning of professionalism.

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Thursday 4th day
I met Mr. Faisal (supervisor of the internship). I learned the process of letter proceeding that the
letter comes from the headquarter and the reference no of that letter start from HQCAA and the
letter circular from Lahore airport manager, the reference no of that letter start form
AIIAP.

Friday 5th day

Mr. Faisal (supervisor of the internship) told me about dairy work that how it works. I learned
when the letter comes from any organization. First, we record it into the dairy then passed the
letter to Mr. Umar Jamshed (Assistant joint director) of the commercial branch. He marked the
letter and sent it to the marked employ of a branch. Being a responsible employ, he read the letter
and take the necessary action.

2nd week
Monday 1st day
I learned about dispatches dairy and what the process of dispatched dairy by Mr. Faisal
(supervisor of internship). If in any case, our organization issued a letter to another organization.
We record it into the dispatch’s dairy. After this Mr. Umar Jamshed (Assistant joint director)
summoned me gave me an assignment.
❖ Advertisement spaces
❖ Pet boarding facility
❖ Gaming zone
❖ Souvenir shop

Tuesday 2nd day

I submitted an assignment and presented it in a confident way to Mr. Umar Jamshed (Assistant
joint director) then I did some practical work I received a letter of other organization and record
it into the dairy. After this, I record another letter into the dispatched dairy which our
organization sent to other organization.

Wednesday 3rd day

Mr. Faisal (supervisor of the internship) gave me the system work of the PRCA file. PRCA
depend on
❖ Property name
❖ Business type
❖ Company name
❖ Dimension and measurement
❖ Handover date

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 ❖ License tenure
❖ Security due
❖ PRCA no
❖ Headquarter no

Thursday 4th day

I read the file of DETAIL OF SPACES ALLOTED TO AIRLINES / GHAs for TGS/ ULD/
Line Maintenance/ Engineering at AIIAP Lahore. Though the file I learned how to allotted
the area and what’s the charges of SQFT, Agreement approval, current charges.
For example
Foreign Airlines

❖ SAUDI ARABIAN AIRLINES

❖ EMIRATES
❖ QATAR AIRWAYS
❖ THAI AIRWAYS
❖ OMAN AIR

Friday 5th day

I read the policies of PCAA, l learned how to charge and compartmentalize the Airports because
there are some categories of Airports.
For example
There are three categories A, b and C
In A categories Lahore, Karachi and Islamabad airports are included.

3rd week

Monday 1st day

I keep myself stick with the daily routine work.

Tuesday 2nd day

I keep myself stick with the daily routine work.

Wednesday 3rd day

Mr. Faisal (supervisor of internship) delivered a lecture on Tender proceeding. Through the
lecture, I
learned the process of tender proceeding that how the organization manages it. How an
organization advertises it before the ending date of tender because currently tender is to be

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running by the organization and it has also the expiry date. Before the expiry date organization
advertised it in the newspaper and the PPRA make the policies for tender and showed to the
public that there isn’t any chance of corruption in the tender proceeding. Every year organization
adds 5% charges in the tender.

Thursday 4th day

I read technical proforma and get to know how it works. If companies are interested in the
tender, they filled the proforma with the required documents. This proforma depends on 100
marks and the companies which secure 80% marks for tender. They are supposed to eligible for
the tender and the companies put the proforma in the tender box.

Friday 5th day

A tender committee that works under the APM (Airport Manager). This committee showed the
tender proforma in front of the companies. The company bids the highest rate of tender. They
announce the winner of the tender. In this way, the company purchases the tender. Through the
whole process, I learned the tender proceeding process and also the bidding system.

4th week
Monday 1st day
I keep myself stick with the daily routine work.

Tuesday 2nd day

I keep myself stick with the daily routine work.

Wednesday 3rd day

Mr. Ishrat delivered a lecture on SQFT charges and make me understand that how we charge
according to categories
For example
There are three categories of airports A, B, and C
We consider AIIAP Lahore in the A category and we charged accordingly.

Thursday 4th day

I keep myself stick with the daily routine work.

Friday 5th day

I keep myself stick with the daily routine work.

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 5th week

Monday 1st day

I keep myself stick with the daily routine work.

Tuesday 2nd day

I keep myself stick with the daily routine work.

Wednesday 3rd day

Mr. Umar Jamshed (Assistant joint director) gives me an assignment which is
v Propose an appropriate product pricing policy at the airport which affords a win-win situation
for the airport operator and the tenant/concessionaire?
v Propose an airport concession plan for AIIAP Lahore keeping in view socio-economic and
cultural aspects of the market

Thursday 4th day

I went for room measurement with Mr. Mubeen. We measured the room of SHAHEEN
AIRLINES and submitted a measurement report to MR. ISHRAT.

Friday 5th day

I keep myself stick with the daily routine work.

6th week
Monday 1st day
I read what the purpose, scope, core responsibilities, description of policy and procedure file
grant of the business license at CAA airport.

Tuesday 2nd day

I read the policies file and get to know about policies and procedure for grant of the business
license at CAA
Airport. Through the policy, file learned about
❖ Mobilization period
❖ Rebate in license fee
❖ Annual enhancement in license fee
❖ Reduction in reserve fee
❖ Utility charges

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 ❖ Deduction of income tax

Wednesday 3rd day

I keep myself stick with the daily routine work.

Thursday 4rth day

I keep myself stick with the daily routine work.

Friday 5th day

It was the last day of my internship, Mr. Umar Jamshed (Assistant joint director) called me and asked
me how was the internship period, what you have learned throughout this period. I responded and he
asked countless questions depend upon tender proceeding and policies etc. He further guided me about
the fieldwork and give me a motivational speech.

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 ORGANIZATIONAL/DEPARTMENT/BRANCH SWOT
ANALYSIS

STRENGTHS

• The staff which PCAA has is devoted and is inclined to perform well under any conditions.

• The staff has confidence in cooperation and brilliant guideline of collaboration.

• The executives Information System is presently implantation on practically every one of the
air terminals or Airports.

• Airports terminals are presently being furnished with most recent innovation for security and
traveler taking care of administrations.

• Had a training institute of International standard at Hyderabad of aviation services.

• Follows the rules and regulations of ICAO efficiently.

• Plays an important role, during any natural disaster.

• Pakistan's air course geologically assumes a significant job in global flight development, thus
PCAA job turns out to be increasingly indispensable.

• 13 International Airports have been certified by ICAO.

• Best salary package among all the government institutions.

• During the Universal Safety Oversight Audit Program (USOAP) ICAO audited Pakistan in
June 2011 and rated Pakistan as about 83% compliant against the world average of 65%.

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 WEAKNESS

• The workplace design is regular, similar to all other run of the mill legislative associations. In
the event that advancement and changes can be acquired the design, it will expand the
representative's efficiency.

• Unnecessary political interference in internal affairs and recruiting for the organization, which
has let down the whole output of the organization.

• There is still deficiency of highly skilled employees in the organization, which has the
advanced technical and computer related skills.

• There is no competition within the country, as PCAA is the only organization regarding
aviation services.

• Immigration, Customs and ASF (Airport Security Force) report to their respective ministries,
which challenges the authority of the Airport Manager given by the PCAA.

• There is a cultural change required in being customer-centric, safety and security-conscious

and being positive in our attitude with high moral values and good work ethics for all PCAA
personnel in particular and the aviation industry in general.

• The development of infrastructure for air services is slow, aerodrome facilities and navigation
facilities.

• Huge improvements are required in communication and surveillance coverage in northern hilly
areas and western part of the county’s airspace. Currently there are limitations to this hilly
terrain because still old conventional technology is being used in transmitters and sensors.

• The rules, regulations and procedures for new entrant’s act as a barrier, the procedure is very
much complicated which hinders the new entrants into the market and market growth is right
now is stagnant.

• There is insufficient technology awareness and usage in the major part of the organization.

• The existing monopoly in the fuel supply for piston engine aircraft has resulted in artificially
high fuel prices. This has increased cost of pilot training and other general aviation flying
activities in Pakistan.

• In the past, rules and regulations were made but not were enforced. Which has been the major
cause of the major issues in the organization at present.

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 OPPORTUNITIES

• PCAA has 43 airports, there are only 3 domestic airlines working in Pakistan. If the policies
are less strict, then more opportunities can be created for new airlines.

• Taxes on flying clubs and expenses on aviation sector should be reduces, so that more people
would opt for this profession, by this way unemployment can also be reduced.

• CATI can also launch professional and private courses, which will add to its revenue, as it has
state of the art technology.

• PCAA calibration aircrafts can be used in more countries through advertisement to earn more
revenue.

• Chief Operating Officers (COO) shall be appointed at major airports. The operational control
of all agencies working at airports like ASF, Customs, and Immigration shall be placed under
COO for efficient airport operations.

• Increasing trends in participative style of business have given birth to the concept of the PPP
(Public-Private Partnership) models for the operations and management of airports.

• The correspondence and observation issue can be presently explained by utilizing the most
recent innovation of CPDLC (Controller Pilot Data Link Communication). This innovation is
likewise helpful in sloping territory and is additionally less expensive interchange to the
conventional accessible devices for a similar reason essential for ATC (airport regulation
framework), at longer separations.

• The taxes and duties on investment in the aviation sector shall be decreased. Exemption on
CAA charges shall also be decreased, so that more investors can be attracted in different sector
of aviation business, which includes MRO, (Maintenance, Repair and Overhaul) organizations.

• Layered security system shall be implemented in letter and spirit and its quality should also be
enhanced. This system shall be efficient and effective so that it may not become a reason of
frustration for the passengers.

• Pakistan ought to take part in the approaches of opens skies with its neighboring nations and
should execute this commonly between the nations.

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 THREATS

• Terrorists activities in this region, international tourism in decreased significantly.

• Not healthy relations with neighboring countries India and Afghanistan.

• Huge cost of new green filed Airports.

• Uncertain political conditions of the country.

• Due to terrorism many airlines have stopped operations in Pakistan.

• Lack of collaboration with other developed countries in aviation field due to distrusting Govt.
policies.

PEST Analysis of PCAA

The large-scale condition incorporates all variables impacting an organization that are not inside
its control. These incorporate political social, monetary and mechanical components. These are
known as PEST factors. A procedure of examination of the large-scale condition is PEST
investigation. Ecological examination ought to be constant and go before all parts of arranging.
Since the aircraft business is particularly impacted by changes occurring in the earth and has
experienced fast and sensational changes during the most recent decade.

POLITICAL FACTOR
Political factors consistently have an incredible impact, in transit organizations work in the CAA
business and the spending intensity of clients. Governments mediate in the CAA business for
different reasons, including:

• It is a major employer and provider of livelihoods.

• Transport systems are subject to legislation and
regulation.
• International tourism flows mean that governments benefit directly from incoming
tourists.

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 • Government still owns a significant stake in national carrier, Pakistan International
Airlines (PIA) and gives it frequent subsidies in terms of
financing and oil.

Economic Factors

Currently, Airlines industry has four major players: Pakistan International Airlines, Air Blue,
Aero Asia. Their target market includes domestic travellers as well as Pakistanis living abroad
particularly in the UK and
USA.

These countries have strong economies coupled with high purchasing power. Customers’
purchase behaviour depends very much on prices of the competing airlines as well as services
offered. As inflation rate is stable in Pakistan, spending power of
consumers are not affected in the long term. In fact, growth in Pakistani economy has
resulted in an increase in spending power and has positively impacted the airline
industry.
Economically, the new millennium has been highly volatile; the September 11attacks
revolutionized the whole world. Consequently, there was a global depression in the North
America, South America, Australia and Europe. However, in Asia especially Pakistan the effect
in the short term was otherwise. The economy began to boom because of greater
remittances from abroad and whole-sum immigration by expatriates. As a result, demand
for air travel in South Asia rose. PIA because of its monopoly in the market had been dictating
policies and prices. Economic conditions of Pakistan are however improving.

Social Factors

The social and cultural influences on business vary from country to country. The
social structure of Pakistan is closely tied. The trend is now changing as the general
public is educated and is pursuing professional goals. Customers are more aware of
market conditions and available options and want to get best value for their money. They spend
considerable time and money on entertainment hence increasing the need of in-flight
entertainment systems. Also, word of mouth has a significant impact in the use of airline services
and that is one the reasons of CAA’s ever increasing
popularity. Hajj attracts a huge number of customers; however
acquiring a license to provide services to pilgrims is a major hurdle. The social environment of
Pakistan is turning liberal with the new regime. The initiative to automate check-in and ticket
booking process might not be very popular with the general public (even educated population) is
still technology averse. E ticketing might also face significant challenges as consumers are
generally reluctant to provide their credit cards

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information over the phone and the internet. The consumers, however, have a warm reaction to
the prospect of less costly but quality service flights. CAA, however, has untapped market
potential as consumers are unaware of its services because of ineffective and meagre marketing
efforts.

Technological Factors
Technology is vital for competitive advantage and is a major driver of the airlines industry.
Major technological changes are taking place in the airlines industry with innovations in the
reservations and booking systems. In-flight entertainment systems and auto check in counters are
two examples of such innovations. Internet plays a key role in e-ticketing as consumer can easily
reserve tickets or check the status of the flight.
A key issue will be the extent to which technological advancements (such as
Internet) impact distribution and cost synergies from industry consolidation can offset upward
pressures on costs. CAA has led the path of technological innovations by introducing new
technologies ahead of its competitors such as its auto check-in counters which has helped it gain
market share. It was the first airline in Pakistan to install Sabre system followed by the market
leader, PIA. Pakistani Airlines have to be abreast of the technological developments in e-
commerce and aircraft manufacturing technology in order to gain a competitive advantage.

LEARNING AS A STUDENT INTERN

I finished every one of the assignments which were given to me by the sir and was assessed for
my work and commitment. I currently know how government associations work, how the work is
completed, what are the activities of a division. How documenting framework is done, how records
are worked.

It was a first experience for me, to work in an organization and work in a corporate environment.
So, each and everything was a new learning for me. Even though how everyone is behaving, and
the overall environment was also new for me. I learned that how hierarchy plays a role in an
organization, how subordinates are supposed to report to their senior person.

I got to know the policies about PCAA. Before internship I don’t know about tender or how tender
proceeds. And other thing the airport area charges and how its apply?

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 Issues Encountered as an Internee

No legitimate format or timetable was given, that was likely in light of the fact that I was
confined to just a single office. I had no arrangement, that what are my assignments for now, and
what I need to do on the following day. On account of this I was not able set myself up rationally
and was not able relate what I studied and what I encountered in Commercial Branch completely.

Conclusion
By discussing following conclusion have been made:
• Being a monopolistic organization, many advantages and disadvantages are there.
• A thick culture is available in the Pakistan Civil Aviation.
• Large and sound training institute as well as training infrastructure.
• Reliable and competent navigation system.
• Job descriptions are much generalized in nature.
• Responsibilities of employees are not clear.

RECOMMENDATIONS:

• Pakistan civil aviation training institute must be focused because it can be utilized in a
very better way. It should be focused because it can be utilized in a better way. It should
be open for general public who are interested in getting quality technical education on
state-of-the-art training facilities. This will bring revenue to PCAA and qualified
technical work force to the country.

• HRM process should be implemented in true letter & spirit.

• More private airlines should also be introduced for better and competitive services.
• Further improvements of existing airports and construction of new airports on continuous
basis living in available resources.

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References:
• www.google.com
• www.caapakistan.com.pk
• Annual report of CAA 2017
• www.scribd.com
• National Aviation Policy 2019

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