Selecting a Set of Financial KPIs for Measuring Companies` Performance in the Airline Industry in Europe

Nowadays measuring the effectiveness of companies is one of the crucial tasks in the work of manager. It is especially important in highly competitive markets such as Civil air transportation market. Today many different theories for measuring the effectiveness were created, but this work is taking into consideration only 2 which are being developed in the sphere of air transportation in the context of KPI theory. Thus, this work goals are to analyse the effect of the two existing models of KPIs and to decide which one is more acceptable for being used in the LCC companies and which one can be used in FSNC. It is important for the author that the companies are registered and running their business in Europe. For the purposes of the research 10 companies, 5 of which were of LCC business-model and 5 of FSNC business model, were selected (period of analysing is 2014-2017). To decide which model is more acceptable for each type of airlines such statistics methods as regression and correlation analyses are used in this study. The software used are SPSS and MS Excel. The results of this work are compared to the previous work with the same topic. This makes this work important as the results of it can be used practically being adopted in the LCC and FSNC companies. Keywords:CBA; KPI; Airlines; LCC; FSNC.