Top 7 Critical Risks and Threats Facing Aviation Industry

by Admin on September 5, 2022

The airline industry has always been a tough industry. With its global reach, dependence on technology, labour force and fuel oil consumption, it faces many risks and threats. Much of this is outside the control of airlines and operators. This situation has been dramatically emphasized over the past two years by the Covid-19 pandemic, but the challenges to success in the industry are nothing new where airline industry got through the global COVD-19 pandemic better than expected. Our blog looks at some of the main risks facing aviation field.

Top 7 Critical Risks and Threats in the Aviation Industry:


1- The Coronavirus Returns or Another Virus

By the summer of 2022, most countries had lifted their testing and quarantine requirements, and few were still restricting entry.

While everyone is trying to overcome the COVID-19 pandemic, the Omicron wave shows that the virus is still highly contagious and unpredictable. Most governments say lockdowns are over, but fears remain that a new twist could herald a return to travel restrictions.

The rapid spread of coronavirus has been a vivid reminder of the interconnectedness of the modern world. Virus outbreaks will continue to occur, as the monkeypox epidemic shows.


2- Rising and Volatile Fuel Prices

Oil prices hit a 13-year high in March 2022, but have continued to fall since then. Fuel is one of the major costs in operating an airline, and fuel increases can have a significant impact on profitability.

For sure, airlines have strategies to hedge against rising fuel prices, but this has been especially difficult given the unpredictable future demand due to COVID. Over the past two decades, oil prices have proven to be highly volatile (from highs of $126 in 2011 to lows of just $36 in 2016, for example). As in many industries, such unpredictability can be very difficult to manage.

iJET flight support provides Sustainable aviation fuel SAF in best prices for customers which is the most effective type of environment-friendly fuel.


3- System Failures and Aging Technical Infrastructure

Unfortunately, there are many examples of the far-reaching impact of major airline system failures.

Here are 2 examples of two major airlines:

The 1st airline experienced a network interruption resulting at least 270 flight cancellations and many more delays. It also missed an additional booking as this issue affected its website and mobile apps in addition to an equipment fire in another year that lead to an estimated 2,300 flights were cancelled, costing the airline $150 million in lost revenue.

The 2nd airline experienced a router failure that caused a cascade of malfunctions in its system. As a result, 2,000 flights were cancelled, costing the airline $54 million to $82 million in lost revenue and increased costs.

These events highlight the risks of trying to build new programs on legacy infrastructure. As with many industries, the underlying technology that supports many airline operations is decades old and in dire need of an overhaul, but the costs involved make it a coveted A pending update has been blocked.


4- Pilot Shortage

Increased demand combined with a shrinking pool of qualified pilots has led to an ongoing pilot shortage. The aviation sector will require approximately 790,000 pilots and 754,000 new maintenance technicians over the next 20 years due to the expected influx of new aircraft. At the same time, more than 42% of airline pilots will retire within the next decade.

Private sector aviation companies tend to recruit highly qualified former Air Force pilots. Private and business aviation sector suffer the most, as commercial airlines can typically offer more competitive salaries and more regular flight schedules.


5- Uncertainty in Business Travel

As business travel picks up, many expect things to change dramatically. With more and more meetings and interactions moving online, businesses haven’t had to travel much in the past two years. The need for movement and personal contact will continue, but definitely less.

We need to change the way business travel is offered and marketed. Traditional airlines that rely on profitable business and first-class cabin placement will have to rethink their pricing models. On the bright side, charter companies could see renewed interest from companies that lease aircraft.


6- Economic Recession

When the shrinking economy forces individuals and businesses to tighten their budgets, travel is usually high on the list of spending cuts.

The inability to predict when a recession will strike or how long it will last poses constant uninsured risk to the commercial aviation sector.


7- Climate Change

Flight punctuality is highly weather dependent. In the past, airlines have sometimes expected cancellations depending on the season. But the effects of climate change have made planning nearly impossible.

Global warming has made storms more frequent and severe. This means more and more confusion for travelers as pilots cannot get enough lift to take off safely in the heat. Heat will continue to be a factor in keeping aircraft grounded. With the aviation sector responsible for 2-5% of global emissions, airlines are under pressure to find ways to be more fuel efficient and environmentally friendly.


Inflation’s Effect on Airline Industry

Inflation will push prices higher in many industries in 2022. Inflation has also hit the travel industry and airlines. Demand for air travel continues to grow, but airlines do not have the inventory to meet demand. Additionally, airlines continue to struggle to meet staffing needs.

  • Prices have definitely increased, especially in smaller cities, but domestic flights have seen only modest price increases in larger cities. If you live near a small regional airport and a metropolitan area, it’s a good idea to compare airfares between the two airports.
  • Airlines are currently struggling with capacity issues. More people want to fly than planes. There is no magic bullet to avoid a crowded flight.
  • For now, the desire to travel keeps travelers motivated, even as prices rise. And it gets worse before it gets better. The airline industry has been devastated in recent years but still in the process of rebuilding. Many airlines still report staffing shortages. Until airlines can fully ramp up their staffing, no plane will be fully staffed to meet the demands of travelers. So, prices will continue to rise as the number of seats available is limited even now.

Now that airlines have recovered and staff are back, it’s best to get everything done early.To get the best prices for your vacation, you need to book your flights and book early. The good news is that airlines continue to recover, although the recovery is slow. A full return to pre-pandemic capacity could take 2023, but the airline is reported to have recovered to nearly 75-95% of its pre-pandemic capacity.


How to Keep Aviation Security Despite the Risks?

Despite the ongoing crisis, industry stakeholders must not lose sight of safety. Threats to aviation are constantly evolving as airlines, airports, governments, international organizations and independent airlines strive to improve and evolve their aviation security capabilities.

While security challenges and threats may look different during and after a pandemic, traditional threats remain and should not detract from the importance of incident management, collaboration, and ensuring security. Moreover, in order for the industry to expand and develop its business, it must continuously adapt to the challenges posed by the ever-changing regulatory and global security environment.

Enhanced security is always an advantage as you need to improve operational efficiency within your organization, improve relationships between airports, airlines and aviation authorities, and increase customer satisfaction.


Top 5 Occurring Challenges in Airlines Field


  • Maintaining fuel efficiency is one of the most important challenges facing the aviation industry.
  • Passenger comfort is at the heart of the challenges facing the airline industry as the success of the airline industry relies heavily on passenger satisfaction.. No two passengers are the same. At some point, some customers are always dissatisfied. However, this puts more pressure on airlines to ensure seamless operations, including real flight journeys, superior security, reduced airport hassles, convenient baggage claim and customer care.
  • The global economic situation is one of the biggest challenges for the aviation market. The impact of the recession on the tourism sector is one of the major economic factors affecting the airline industry, with economic growth conditions varying from country to country and airlines looking to expand internationally, which must be kept in mind.
  • Technological progress is a double-edged sword, and despite the revolution it has brought, increased reliance on technology can leave entire industries vulnerable. For example, when a software problem occurs, an airline’s operations can remain paralyzed until it is fixed. Insufficient funds could prevent the upgrade of critical infrastructure such as aircraft communication systems, leading to the collapse of the entire system.
  • Airline infrastructure is one of the most important challenges in the aviation market. Airports need to modernize them consistently. Runways, terminals, concourses, hotels, shopping malls, lounges, etc. To maintain an airline’s reputation and stay ahead of the competition, facilities such as aircraft ground handling systems need to be refurbished on a regular basis. Airplanes also require regular maintenance. This is all the more important as it depends on the safety of the passengers.


All risks can be mitigated, and all challenges overcome by partnering with trusted flight support Company and your best choice is iJET flight support which offers different services that help you face any challenge you face and operate successfully and in comfort such as:

  • International trip planning.
  • Flight permits
  • Aviation flight planning
  • Ground handling services
  • Aviation fuel supply
  • Hotel accommodation
  • Inflight catering
  • AVSEC services
  • Navigation fees administration
  • Flight diversion
  • Line Maintenance
  • Aviation Consultant

With iJET we guarantee your satisfaction and your mind will be stress- free.


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