Description:
Write a case study report to analyze the effectiveness and value of fuel hedging by
airlines using the attached 2 articles. In your case study report begin with a summary
overview outlining the main logistics issues facing the companies. Then, add detail and
analysis by responding to the following topics and questions:
1. Describe how each airline used procurement methods to hedge against fuel cost
increases. Explain what internal and external considerations are relevant to the airlines’
decision to hedge fuel prices?
2. Evaluate the relative effectiveness of each airline’s approach to hedging. Provide an
analysis of which method was most successful and describe what factors made the
difference in success or failure of the hedging method.
3. Discuss the logistics lessons to be learned from the hedging efforts of the airlines.
Do you think airlines, in general, will continue to use fuel hedging in the coming months
and years? Explain why you think so. Justify your answer with data or findings from the
research and professional literature in the Hunt library.
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