Simulation of the effect of safety investment on flight safety level in the airlines

Abstract

Safety investment planning is a strategic issue of increased complexity for airlines due to inter-related flight safety system. In this work, the elements of flight safety system were classified as seven subsystems, and a dynamic model of the relationship between safety investment and flight safety level was developed using system dynamics (SD) theory. Then, two examples were used to demonstrate the application of the developed methodology and some interesting insights obtained were discussed, which are useful to decision-makers making optimal plans and dealing with long-term strategic management issues.