NP-PF-15 · Low Fare Guarantee Program Management

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Process Flow Diagram (BPMN)

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L4 Process Steps

Step	Step Name	Role / Swim Lane	System	Input	Output	KPI	Dec?	Exc?
Phase 1 1.1	Define LFG eligibility scope & fare rules	Pricing Policy Manager	ATPCO Automated Pricing	Annual pricing strategy review, commercial policy mandate	Documented eligibility criteria (route scope, booking class, advance-purchase limits, fare conditions)	Policy configuration cycle ≤5 business days; zero ambiguous eligibility clauses flagged by Legal	N	N
1.2	Configure claim window & compensation tiers	Revenue Management Analyst	Amadeus Altéa PSS (Pricing Module)	LFG policy document, approved compensation tiers (refund / travel credit / miles)	Configured claim submission window (e.g. 24 h post-booking) and compensation rule tables in Altéa	Configuration accuracy ≥99% — zero erroneous payouts in first 30 days post-launch	N	N
1.3	Validate policy against DOT tariff requirements	Pricing Compliance Analyst	ATPCO Automated Pricing (Rulebook validation)	Configured LFG policy parameters	Compliance sign-off or revision request with specific ATPCO rule references	Compliance review completion ≤3 business days; zero DOT tariff violations at launch	Y	Y
Phase 2 2.1	Schedule automated competitor fare data feeds	Pricing Analyst	ATPCO OTA Transparency (fare shopping feed)	LFG-eligible route and market list	Scheduled fare monitoring jobs; competitor fare baseline dataset refreshed ≤4 h	Market coverage ≥95% of LFG-eligible routes; data freshness ≤4 hours	N	N
2.2	Capture immutable reference fare at time of booking	Pricing Rules Engine (automated)	Amadeus Altéa PSS (fare quoting engine)	Customer booking transaction	Fare snapshot stored in PNR history: fare basis, amount, booking class, applicable conditions	Fare snapshot latency ≤2 s per booking; capture rate ≥99.9% of LFG-eligible transactions	N	Y
2.3	Classify competitor fare for LFG comparability	Pricing Rules Engine (automated)	PROS RM (fare rules comparison module)	Customer's booked fare snapshot; competitor fare from ATPCO feed	Comparability flag (eligible / ineligible) with structured rationale stored against PNR	Correct comparability classification ≥97%; false-positive ineligibility rate ≤2%	Y	Y
Phase 3 3.1	Receive LFG claim via digital or voice channel	Customer Service Representative / Self-Service Bot	Salesforce Service Cloud (CRM)	Customer claim submission: booking reference, competitor fare evidence, claimed price	CRM claim ticket with booking reference linked, channel source, and timestamp	Claim intake acknowledgement ≤4 business hours; self-service digital claim completion rate ≥55%	N	N
3.2	Verify booking eligibility against LFG policy rules	Claims Processing Analyst	Amadeus Altéa PSS + Salesforce Service Cloud	CRM claim ticket; PNR booking history from Altéa	Eligibility determination (eligible / ineligible) with policy rule reference; rejection letter if ineligible	Eligibility verification turnaround ≤2 business hours; accuracy ≥98%	Y	Y
3.3	Authenticate competitor fare evidence via GDS/ATPCO	Claims Processing Analyst	ATPCO OTA Transparency + Sabre GDS (fare display)	Customer-submitted competitor fare screenshot or URL; ATPCO feed for the claimed market and date	Authenticated competitor fare record with airline, booking class, conditions, and availability timestamp	Evidence authentication turnaround ≤1 business hour; false-positive acceptance rate ≤3%	Y	Y
Phase 4 4.1	Calculate fare differential & compensation amount	Claims Processing Analyst (automated calculation)	PROS RM (compensation calculation module) + Amadeus Altéa PSS	Authenticated competitor fare; customer's booked fare from PNR snapshot	Calculated net differential; proposed compensation type (refund / travel credit / miles) and amount	Calculation accuracy ≥99.9%; average compensation computation time ≤30 min	N	N
4.2	Escalate large-differential claims for manager approval	Senior Pricing Manager	Salesforce Service Cloud (approval workflow)	Compensation calculation where differential exceeds authority threshold (e.g. >$300)	Approved or denied compensation decision with manager sign-off and rationale	Escalated claim approval turnaround ≤4 business hours; escalation rate documented monthly	Y	N
4.3	Issue compensation decision notification to customer	Claims Processing Analyst	Salesforce Service Cloud + Amadeus Altéa PSS	Approved (or denied) compensation decision	Multi-channel customer notification (email, app push) with compensation type, amount, and redemption instructions	Notification delivery ≤15 min of decision; post-claim CSAT ≥4.2/5.0	N	N
Phase 5 5.1	Process refund or travel credit to customer account	Revenue Accounting Analyst	SAP S/4HANA Finance (FI/CO) + Amadeus Altéa PSS	Approved compensation decision; customer payment method on file	Refund posted to original payment method or travel credit added to customer wallet	Refund processing ≤7 business days (per DOT requirement); travel credit issuance ≤24 hours; zero incorrect postings	N	Y
5.2	Award frequent flyer miles compensation if applicable	Loyalty Operations Analyst	Amadeus Altéa Loyalty (FFP module)	Compensation decision specifying miles award type and quantity	Miles credited to customer frequent flyer account with transaction reference	Miles credit turnaround ≤24 hours; posting accuracy ≥99.99%	N	Y
5.3	Update PNR & CRM record with claim disposition	Claims Processing Analyst	Amadeus Altéa PSS + Salesforce Service Cloud	Completed settlement confirmation from SAP and/or Loyalty	PNR OSI remark with LFG claim reference number; CRM ticket closed with structured disposition code	Record update completeness ≥99.5%; full audit trail retained for 24-month regulatory period	N	N
Phase 6 6.1	Aggregate LFG claim volume & payout metrics	Revenue Management Analyst	AWS Redshift + Tableau	Salesforce CRM claim exports; SAP settlement records; Altéa PNR data	Monthly LFG dashboard: claim volume, approval rate, average payout, market distribution, denial reasons	Dashboard refresh ≤T+1 business day; cross-system data completeness ≥98%	N	N
6.2	Benchmark program cost against revenue retention	Senior Pricing Manager	Amadeus Revenue Management (NRM) + AWS Redshift	LFG payout totals; revenue from retained bookings; customer churn analysis	Program ROI assessment; markets where LFG drives positive retention vs. net cost centres	LFG program ROI ≥2.5× (revenue retained per $1 paid out); cost-per-claim ≤$45	Y	N
6.3	Recommend & implement LFG policy adjustments	Pricing Policy Manager	ATPCO Automated Pricing + Amadeus Altéa PSS	Program ROI assessment; competitive fare environment trends from OAG	Revised LFG policy parameters (eligibility scope, claim window, compensation tiers) filed to ATPCO and updated in Altéa	Policy revision cycle ≤30 days; zero lapse in published guarantee terms during transition; ATPCO filing lead time ≥7 days before effective date	N	N

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Process Attributes

Identification

Process IDNP-PF-15

L1 DomainNetwork Planning & Scheduling

L2 ProcessPricing & Fare Management

L3 NameLow Fare Guarantee Program Management

L4 Steps18 across 6 phases

Decision Gates6 (all with iteration loops)

Exceptions7 documented

Swim Lanes (Roles)

Pricing Policy Manager

Revenue Management Analyst

Pricing Compliance Analyst

Pricing Analyst

Pricing Rules Engine (automated)

Customer Service Representative / Self-Service Bot

Claims Processing Analyst

Claims Processing Analyst (automated calculation)

Senior Pricing Manager

Revenue Accounting Analyst

Loyalty Operations Analyst

Systems & Tools

ATPCO Automated PricingAmadeus Altéa PSS (Pricing Module)ATPCO Automated Pricing (Rulebook validation)ATPCO OTA Transparency (fare shopping feed)Amadeus Altéa PSS (fare quoting engine)PROS RM (fare rules comparison module)Salesforce Service Cloud (CRM)Amadeus Altéa PSS + Salesforce Service CloudATPCO OTA Transparency + Sabre GDS (fare display)PROS RM (compensation calculation module) + Amadeus Altéa PSSSalesforce Service Cloud (approval workflow)Salesforce Service Cloud + Amadeus Altéa PSSSAP S/4HANA Finance (FI/CO) + Amadeus Altéa PSSAmadeus Altéa Loyalty (FFP module)AWS Redshift + TableauAmadeus Revenue Management (NRM) + AWS RedshiftATPCO Automated Pricing + Amadeus Altéa PSS

Key Performance Indicators

Define LFG eligibility scope & fare rulesPolicy configuration cycle ≤5 business days; zero ambiguous eligibility clauses flagged by Legal

Configure claim window & compensation tiersConfiguration accuracy ≥99% — zero erroneous payouts in first 30 days post-launch

Validate policy against DOT tariff requirementsCompliance review completion ≤3 business days; zero DOT tariff violations at launch

Schedule automated competitor fare data feedsMarket coverage ≥95% of LFG-eligible routes; data freshness ≤4 hours

Capture immutable reference fare at time of bookingFare snapshot latency ≤2 s per booking; capture rate ≥99.9% of LFG-eligible transactions

Classify competitor fare for LFG comparabilityCorrect comparability classification ≥97%; false-positive ineligibility rate ≤2%

Receive LFG claim via digital or voice channelClaim intake acknowledgement ≤4 business hours; self-service digital claim completion rate ≥55%

Verify booking eligibility against LFG policy rulesEligibility verification turnaround ≤2 business hours; accuracy ≥98%

Airline-Specific Risks & Pain Points

ATPCO fare rule structures make same-fare-basis comparisons across carriers difficult; mismatched fare conditions (e.g. refundability, baggage) trigger spurious customer claims that are hard to reject

Altéa PSS compensation rule tables require manual maintenance; there is no native LFG workflow module, so each rule change must be scripted separately for web, call-centre, and API channels

DOT price advertising rules (14 CFR Part 399) require precise disclosure of LFG terms in all channels; a mismatch between the ATPCO-filed rule and the website copy has triggered enforcement action at peer carriers

Screen-scraping competitor OTA prices violates most carrier terms of service and is legally risky; ATPCO-published fares lag real-time OTA dynamic pricing by several hours, creating a window where a competitor's low fare expires before the airline can verify a claim

Dynamic pricing means the fare quoted to a customer can change within minutes of booking; the snapshot must be cryptographically signed or write-once to prevent retroactive manipulation by either party

Bundled fares (seat + bag + flexibility) vs. unbundled competitor fares create apples-to-oranges comparisons that PROS cannot resolve automatically; a manual adjudication queue exists but has no SLA, causing consumer complaints

Inputs / Outputs

Primary InputAnnual pricing strategy review, commercial policy mandate

Primary OutputRevised LFG policy parameters (eligibility scope, claim window, compensation tiers) filed to ATPCO and updated in Altéa

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