Study Guide NBAA [PDF]

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D E D I C A T E D T O H E L P I N G B U S I N E S S A C H I E V E I T S H I G H E S T G O A L S.

CAM STUDY GUIDE NBAA’s Certified Aviation Manager (CAM) Program identifies qualified professionals to lead flight departments and companies that use business aircraft. Through certification, these individuals prove their level of expertise and commitment to the aviation industry, enabling them to achieve their professional goals. The purpose of this CAM Study Guide is to assist individuals in preparing to take the CAM exam. This document provides a description of the CAM exam, a list of suggested NBAA, industry and government reference material, sample exam questions and study tips. For more information about the CAM Program, visit www.nbaa.org/cam or contact NBAA at [email protected].

CAM STUDY GUIDE 7th Edition, Fall 2016

TA BL E OF C ON T EN T S

CAM Program Overview.......................... 3 Study Guide Overview............................. 4 Exam Description...................................... 5 Test-Taking Tips......................................... 6 CAM Program Domains........................... 7 Exam Reference Material......................... 13 Sample Exam Questions.......................... 15 Answers for Sample Exam Questions.... 30

Committed to Excellence, Prepared to Lead

CAM PROGRAM OVERVIEW From certified public accountants and certified financial planners to specialties within the medical profession, many professional career fields certify individuals to improve their professionalism and provide industry recognition of their achievement. The National Business Aviation Association (NBAA) created the Certified Aviation Manager (CAM) Program to fill this need for the business aviation industry. The CAM Program identifies qualified professionals to lead flight departments and companies that use business aircraft. Through certification, applicants prove their level of expertise and commitment to the aviation industry, enabling them to achieve their professional goals. NBAA and the business aviation community acknowledge CAMs as professionals who have reached a distinct level of industry knowledge and skill. A fundamental purpose of the CAM Program is to promote the interests of business aviation stakeholders – including employers, direct users of the company flight department and others, such as the general public – by certifying flight department managers who are committed to excellence and prepared to lead. The certification process tests proficiency in five subject areas: Leadership, Human Resources, Operations, Aircraft Maintenance and Facilities Operations, and Business Management. To begin the certification process, individuals first must qualify to take the CAM exam by submitting an application. Exam qualification is based on job experience, education, licenses, attendance at business aviation industry events and enrollment in the NBAA Professional Development Program. For full details, refer to the CAM Program Guide and Application PDF, found on NBAA's website. The beneficiaries of certification programs like the CAM Program are not only individuals but also their employers and the industry as a whole. Because certification benefits both individuals and their employers, many companies provide financial support for their employees to obtain the CAM credential. Certification does not guarantee competence, ability or quality of work, so NBAA encourages CAMs to constantly strive throughout their careers to improve their knowledge, education and experience in the field.

C A M DEF INI T ION A CAM is an individual who has completed the CAM application process; has qualified to take the CAM exam based upon a combination of education, work experience and industry involvement; and has demonstrated his or her knowledge and management skills through the successful completion of the CAM exam process. NBAA and the business aviation community recognize this individual as someone who has reached a high level of industry experience and training, and is qualified and prepared for management roles within the business aviation industry.

W HO SHOUL D BE CER T IF IED? Certification through the CAM Program is appropriate for any individual currently managing, or aspiring to manage, any aspect of business aviation operations, including flight department managers, pilots, maintenance managers and technicians, schedulers, dispatchers, flight attendants, FBO managers, contract employees and charter operators.

DISCL A IMER Certification is not a substitute for compliance with federal, state or other applicable laws, rules or regulations. NBAA cannot and does not guarantee, warrant, endorse or otherwise make representations with regard to an individual applicant or certificant’s ability or performance. NBAA expressly disclaims any and all liability, costs or damages, including but not limited to direct, indirect or consequential damages that may result from the certification program or the actions of a Certified Aviation Manager.

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STUDY GUIDE OVERVIEW This study guide and accompanying documents provide an exam description and other information designed to assist the applicant in preparing to take the CAM exam, including: •

Descriptions of the five CAM Program domains – Leadership, Human Resources, Operations, Aircraft Maintenance and Facilities Operations, Business Management - as well as the specific tasks associated with each domain.

•

A list of all NBAA, industry and government references used to develop CAM exam questions.

•

Sample questions provided to give the applicant a sense of how exam questions are phrased and the depth of knowledge that will be evaluated.

•

Study tips designed to assist applicants who may not have taken an examination in many years. This common-sense test-taking guidance is intended to provide helpful strategies for preparing for and taking the exam.

The CAM exam questions and this study guide are updated on a regular basis. NBAA reserves the right to revise, update and amend its applications, examinations, policies and other material related to the CAM Program at any time. Such changes may be made in response to changes in corporate philosophies, strategic visions and government regulations. It is therefore in an applicant’s best interest to possess the most current copy of the CAM Study Guide. If applicants are familiar with and competently able to address each of the domains listed in this study guide, they should be able to obtain certification through a successful evaluation of their knowledge and skills. The study guide is intended to provide information that will allow the applicant to focus his or her studies on relevant and applicable areas.

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EXAM DESCRIPTION The CAM exam is offered in a computer-based testing (CBT) format at over 300 testing centers worldwide, and is made available every month throughout the year in one-month testing windows, providing CAM candidates with flexibility, convenience and accessibility. The exam contains 175 questions in multiple-choice format covering the five domains that encompass a business aviation manager’s education and experience: Leadership, Human Resources, Operations, Aircraft Maintenance and Facilities Operations, and Business Management. Each exam question has four possible answer options, of which only one is correct. The remaining three answers are incorrect but plausible to unprepared candidates. Each exam question was written by a qualified subject matter expert according to strict technical guidelines for writing multiple-choice exams. Consultants guided the initial exam development process, ensuring that each step follows Institute of Credentialing Excellence standards. Besides the requirement that every question must be linked to one of the knowledge or skill statements in the five CAM Program domains, each examination question also must be referenced and pass several reviews for content validity. The exam development process is continuous. After each exam administration, the results are evaluated by statistical analysis. The Testing Committee of the CAM Governing Board thoroughly reviews the results of each exam and writes and validates new questions for future exams. Of the 175 exam questions, 25 are included for experimental purposes and do not count in computing a candidate’s score.

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TEST-TAKING TIPS These test-taking tips are useful for taking the CAM exam or tests in general.

RE V IE W T HE T E S T

C OME P REPA RED A ND A RRI V E E A RLY

• Resist the urge to leave as soon as you have completed all the items.

•  Bring all the materials you will need, such as pencils and pens, a calculator and a watch. This will help you focus on the task at hand.

S TAY REL A X ED A ND C ONF IDEN T • Remind yourself that you are well-prepared and are going to do well. • Don’t let yourself become anxious; anxiety is contagious.

• Reserve 10 percent of your test time for reviewing your test.

• Make sure you have answered all the questions.

IF YOU A RE UNCER TA IN OF T HE C ORREC T A N S W ER • Cross out the options you know are definitely wrong and mark the question so that you can reconsider it at the end of the exam.

• Be comfortable but alert. • Choose a good spot to take the test.

IF YOU ’ RE NO T SURE A BOU T A NUMBER A NS W ER

• Make sure you have enough room to work.

• Toss out the high and low answers and consider the middle-range numbers.

P RE V IE W T HE T E S T • Spend 10 percent of your test time reading through the test and directions carefully. • Mark key terms and decide how to budget your time. • As you read the questions, jot down brief notes indicating ideas you can use later when answering the questions.

W HEN TA K ING A MULT IPL E- CHOICE T E S T, K NOW W HEN T O GUE S S • First eliminate answers you know are wrong. • Don’t guess if you have no basis for your choice and if you are penalized for guessing. • Since your first choice is usually correct, don’t change your answers unless you are sure of the correction.

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IF YOU H AV E NO IDE A OF T HE A NS W ER • Check for “lookalike” options to find what you consider the best answer among them; check for the most inclusive option – the option that contains the most information.

SOURCE S: These test-taking tips are adapted from Walter Pauk’s How to Study In College and the Study Guides and Strategies web site, which was created and is maintained by Joe Landsberger, academic web site developer at the University of St. Thomas, St. Paul, MN.

CAM PROGRAM DOMAINS The CAM Program comprises five domains: Leadership, Human Resources, Operations, Aircraft Maintenance and Facilities Operations, and Business Management. The CAM exam includes questions in each of the five domains. Exam applicants are encouraged to review and study all five domains and their detailed itemizations, which are provided in this section. The five domains are separated into tasks; each task is further divided into knowledge and skill statements. Each knowledge and skill statement focuses on a measurable aspect of the required task. Applicants familiar with the information covered by the knowl-edge and skill statements in each task of the five domains should be well prepared for the CAM exam, because every question on the exam is directly linked to one of the knowledge or skill factors within the five domains.

(L2) Objective 2: Develop and implement goals that align with the aviation department vision, mission and/or values. a. Identify components of the goal setting process and strategies for writing goals (e.g., Specific Measureable Attainable Realistic Timely [SMART] goals, collaborative effort) b. Develop and document the department goals c. Measure and interpret results against established criteria (L3) Objective 3: Exercise effective leadership to achieve aviation department goals and company objectives. a. Recognize characteristics of an effective leader (e.g., leadership styles and strategies) b. Recognize and apply motivational theories and techniques c. Recognize and apply mentoring strategies

DOM A IN I: L E A DERSHIP This domain covers issues related to vision, strategic planning, team building, decision-making, communication and currency with professional knowledge (23 percent of the exam; 34 items).

d. Recognize sources of expertise within the department, company and industry e. Assemble effective teams and recognize group dynamics (e.g., meeting management, interpersonal skills, conflict resolution, trust building, decision making)

(L1) Objective 1: Develop and ensure the strategic direction of the aviation department through the development of appropriate vision, mission, and/or values statements.

f. Integrate diversity principles to maximize individual and group potential

a. Identify general components of vision, mission and/or values statements

h. Practice ethical, moral and legal behavior, both internally and externally to the company

b. Recognize the elements of the overall company vision, mission and/or values statements

i. Practice effective communication techniques (e.g., listening, speaking, correspondence, feedback, 360-degree communication)

c. Develop strategies for writing, aligning and revising department vision, mission and/or values statements d. Integrate aviation department business plan and mission statement to coincide with the overall company vision, mission and/or values statements e. Identify techniques to communicate aviation department vision, mission and/or values statements that are understood by internal and external stakeholders f. Develop a plan to implement the vision, mission and/or values statements

g. Employ a Just Culture to maximize performance

(L4) Objective 4: Enhance personal and professional knowledge. a. Employ strategies to increase professional expertise in the aviation department (e.g., technical, educational and professional certifications; conferences; publications; local, regional, and national associations; and legislation) b. Practice lifelong learning concepts to improve expertise

g. Review and revise the vision, mission and/or values statement to meet the changing needs of the business

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(L5) Objective 5: Prepare for and lead the aviation department through changing circumstances. a. Recognize changes in the business climate and company business plan b. Identify sources of information concerning evolving technologies, regulatory issues, and best practices c. Identify strategies to advocate for change to evolve the aviation department d. Formulate plans to manage the aviation department through a business crisis, including prioritization and demonstration of personal courage (e.g., Business Continuity Plan)

e. Evaluate effectiveness of training f. Define training record retention and tracking requirements (HR3) Objective 3: Fill positions identified during staffing analysis. a. Determine recruitment strategies b. Develop screening criteria c. Recognize interview and selection techniques, processes and restrictions d. Identify key elements of new employee orientation program

e. Manage a network of support contacts inside the company and industry

DOM A IN II: HUM A N RE SOURCE S This domain covers issues related to staffing, training, performance, compensation, human factors and compliance with Human Resources (HR) requirements (18 percent of the exam; 27 items).

(HR1) Objective 1: Determine the level of staffing needed for the aviation department. a. Identify optimum staffing levels for mission and/or fleet changes b. Identify methods, resources, and qualification requirements to assess workload activity c. Identify role and responsibilities for position (e.g., job description) d. Evaluate use of direct employees and independent contractors e. Utilize effective succession planning strategies

(HR2) Objective 2: Determine and assess job-related and professional development training for all personnel. a. Identify regulatory requirements (e.g., Occupational Safety and Health Administration [OSHA], Federal Aviation Administration [FAA], Environmental Protection Agency [EPA], state and local regulation) b. Recognize company requirements c. Determine additional training and professional development needs (e.g., Cardiopulmonary Resuscitation [CPR] and First Aid, Safety Management System [SMS], HAZMAT, upset recovery, cabin safety) d. Select training programs/methods to meet and maintain requirements

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(HR4) Objective 4: Develop and conduct effective employee performance reviews. a. Recognize appropriate performance indicators based on job description, company goals, and other applicable criteria b. Compare employee achievement results to defined performance indicators c. Employ techniques and guidelines to conduct employee performance review d. Develop and implement follow-up plan and monitor progress

(HR5) Objective 5: Evaluate compensation levels in the aviation department using accepted tools to attract and retain employees. a. Identify and evaluate key elements of compensation norms in the industry (e.g., salary, bonus, benefits) b. Identify company policy on compensation and budgets c. Recognize applicable federal, state, and local compensation regulations (e.g., Department of Labor [DOL], Internal Revenue Service [IRS], exempt v. non-exempt, Fair Labor Standards Act [FLSA], state) d. Recognize the importance of using industry benchmarks when selecting compensation elements e. Select compensation elements

(HR6) Objective 6: Respond to employee performance by rewarding or disciplining. a. Recognize the need to promote equity among team members b. Identify performance level guidelines c. Utilize parameters of company's employee reward programs and disciplinary procedures (e.g., pay increase, promotions, appeals, termination)

d. Identify and communicate performance expectations and outcomes/results to employees e. Employ effective performance feedback communication

(HR7) Objective 7: Ensure compliance with additional HR regulatory requirements and company policies. a. Recognize applicable federal, state, and local regulations, policies, and guidelines (e.g., Equal Employment Opportunity Commission [EEOC], Family and Medical Leave Act [FMLA], Health Insurance Portability and Accountability Act [HIPAA], Uniformed Services Employment and Reemployment Rights Act [USERRA]) b. Recognize signs and symptoms of substance abuse and remediation techniques c. Recognize symptoms of and response to discrimination, harassment, and violence in the workplace (e.g., age, retirement issues, hostile environment) d. Employ industry-accepted practices regarding time off for all employees (e.g., hard days off, duty rest, vacation)

(HR8) Objective 8: Recognize and comprehend how Human Factors (HF) affect performance in the workplace. a. Employ policies and procedures to support effective human performance b. Identify the effect of ergonomic design in the work environment (e.g., illumination, noise, vibration, external and internal operating conditions) c. Recognize signs and causes of degraded human performance (e.g., individual stress, workload, circadian rhythm and other physiological factors)

DOM A IN III: OP ER AT IONS This domain covers issues related to the operations management of aircraft to ensure safe and efficient service (21 percent of the exam; 32 items). (OPS) Objective 1: Create and manage a set of Standard Operating Procedure (SOP) documents. a. Identify applicable topics and sources of information (e.g., Original Equipment Manufacturer [OEM] handbooks, Aeronautical Information Manual, Safety Management System [SMS], company and regulatory requirements) b. Compose and implement applicable SOP with stakeholder support c. Review operational results for compliance with SOP and identification of needed revisions (OPS2) Objective 2: Ensure that procedures are in place to plan and conduct safe and efficient flight. a. Manage practices to optimize aircraft and crew utilization (e.g., duty time/crew fatigue, positioning legs, crew augmentation, supplemental lift options, aircraft availability status) b. Prepare trip plan and related documents (e.g., National Airspace System [NAS] considerations, weather, fuel, Fixed Base Operator [FBO] selection, Customs, special airspace and airports, international trip requirements, special corporate events, electronic flight devices) c. Review and explain operational control designation for the leg(s) d. Interpret and apply company policies for trip plan (e.g., insurance, training, business continuity, noise abatement)

d. Identify mitigation strategies and countermeasures for degraded human performance

e. Predict basic issues of passenger and customer satisfaction (e.g., trip purpose, catering, ground transportation, medical issues, special needs passengers)

e. Recognize signs and causes of fatigue and apply fatigue management countermeasures

f. Produce a trip confirmation for affected stakeholders (e.g., trip times, NAS restrictions, ground logistics)

f. Identify performance and communication issues related to diversity in the workplace (e.g., multi-generational, cultural, language, interpersonal)

g. Employ flight scheduling resources to maintain trip, passenger, aircraft availability, and crew records h. Recognize pilot-in-command (PIC) authority to commence and conduct flight (e.g., aircraft performance standards, Minimum Equipment List [MEL] usage, flight crew attentiveness/distractions, fitness for duty, passenger safety briefing) i. Employ strategies to ensure the safe storage and handling of food and cabin service items in compliance with applicable regulations j. Employ techniques to measure and promote service excellence (e.g., surveys, debriefings, training)

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(OPS3) Objective 3: Develop, implement, and manage an effective record-keeping system. a. Identify the information needed to report on applicable international and federal tax requirements (e.g., international value added taxes, federal fringe benefit rules, expense disallowance rules and characterization of employee for tax calculations) b. Recognize applicable state and local tax implications (e.g., registration fees, property taxes, sales and use taxes) c. Collect the information needed to meet record-keeping and reporting requirements (e.g., regulatory and tax requirements for agencies such as Federal Aviation Administration [FAA], Internal Revenue Service [IRS], Securities and Exchange Commission [SEC], Customs and Border Protection [CBP], Department of Labor [DOL], and Occupational Safety and Health Administration [OSHA], including state and local agencies as applicable) d. Implement and manage record-keeping systems (e.g., data analysis techniques, audit requirements, regulatory compliance, and non-compliance resolution) and provide required information to management e. Evaluate the record-keeping system for intended results

(OPS6) Objective 6: Develop and implement a Safety Management System (SMS). a. Identify regulatory requirements related to SMS b. Formulate safety policy and objectives (e.g., management commitment, safety accountability, appointment of key safety personnel, SMS documentation) c. Practice safety risk management (e.g., hazard identification, safety risk assessment and mitigation) d. Evaluate safety assurance (e.g., safety performance, monitor, measurement, change management, review and revision of the SMS) e. Practice safety promotion (e.g., safety culture survey, communication, training, education)

(OPS7) Objective 7: Recognize and operate within the National Airspace System (NAS) and international Flight Information Regions (FIR). a. Recognize the structure of the NAS and Traffic Flow Management (TFM) principles b. Apply strategies to effectively integrate with airspace constraints to minimize operational impact (e.g., weather, high density airspace, Temporary Flight Restrictions [TFR])

(OPS4) Objective 4: Recognize the International Standard for Business Aircraft Operations (IS-BAO).

c. Utilize appropriate principles for operations in domestic and international airspace

a. Determine benefit and applicability of IS-BAO to the aviation department

(OPS8) Objective 8: Apply procedures to conduct operations in a secure manner. a. Identify security procedures for operations at the home base and transient locations (e.g., passengers and crew, aircraft and cabin, food, communication, ground transportation, luggage, facility and airport)

b. Identify the registration process and levels c. Identify elements of the standard (e.g., Safety Management System [SMS], training and proficiency, flight operations, organization and personnel requirements) d. Prepare for initial and subsequent audits (e.g., documentation, protocol checklist, selection of auditor, application package)

b. Apply and evaluate security procedures c. Recognize and integrate corporate risk management and security procedures d. Recognize international security issues related to equipment, vendors, and personnel

(OPS5) Objective 5: Develop aviation emergency response plans (ERP). a. Identify elements of an aviation ERP (e.g., notifications, hazardous materials, response teams' action items, local coordination, regulatory requirements)

e. Identify applicable regulatory security programs (e.g., DCA Access Standard Security Program [DASSP], TwelveFive Standard Security Program [TFSSP], Private Charter Standard Security Program [PCSSP], airport and Fixed Base Operator [FBO] security)

b. Identify and integrate corporate and department procedures c. Identify strategies for developing and implementing ERP d. Identify strategies to test and exercise ERP (e.g., training, tabletop exercise) e. Review and revise ERP

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(OPS9) Objective 9: Apply resource management techniques. a. Identify principles of resource management techniques (Crew/Cockpit Resource Management [CRM], Dispatch Resource Management [DRM] and Maintenance Resource Management [MRM])

b. Recognize similarities and differences among CRM, DRM and MRM c. Develop policies and procedures which utilize available human, technical and communication resources safely and effectively

DOM A IN I V: A IRCR A F T M A IN T EN A NCE A ND FACIL I T IE S OP ER AT IONS This domain covers issues related to aircraft, facilities and ground support equipment (19 percent of the exam; 28 items).

(AF1) Objective 1: Implement a system of Standard Operating Procedures (SOP) for aviation department facilities and maintenance operations. a. Develop aviation department maintenance manual (e.g., regulations, Original Equipment Manufacturer [OEM] manuals, ground handling and servicing, duty times, fatigue management) b. Identify, develop and communicate key elements of relevant SOPs c. Identify hazards, associated risks and mitigation techniques (e.g., Job Safety Analysis) d. Use established SOPs and maintenance manual procedures e. Audit internal procedures for relevance and compliance (e.g., regulations, OEM procedures) (AF2) Objective 2: Maintain aircraft and components in accordance with manufacturer's specifications and pertinent regulations. a. Identify applicable regulatory requirements and documents (e.g., Federal Aviation Regulations [FAR], Airworthiness Directives [AD], Original Equipment Manufacturer [OEM] manuals, Return to Service, and Minimum Equipment List [MEL] procedures) b. Determine appropriate airworthiness program c. Comply with manufacturer's specifications and standard practices (e.g., maintenance control programs, procedures for inspections, repairs, prevention) d. Manage contract aircraft/engine maintenance and parts programs e. Recognize the importance of evaluating, selecting and incorporating pertinent technical data (e.g., service bulletins, Supplemental Type Certificate [STC], field approval) f. Identify components of effective tool control program

(AF3) Objective 3: Ensure facility emergency preparedness to ensure effective service and responsiveness in an emergency. a. Identify and develop key elements of facility emergency preparedness plan and equipment (e.g., general health, safety and emergency equipment and systems) b. Identify and communicate hazards, associated risks and appropriate responses (e.g., fire, weather, medical, security) c. Identify strategies to test and exercise the plan (e.g., training, tabletop exercise) d. Use established plan procedures e. Comply with relevant regulations and guidelines for tracking and maintaining emergency equipment (e.g., Critical Safety Devices in facility)

(AF4) Objective 4: Maintain cabin information systems and passenger service items to ensure reliability, comfort, and effective service. a. Identify characteristics and expectations of the end users b. Identify relevant regulations, security protocols and guidelines c. Identify and train the operational capabilities of the equipment and aircraft limitations d. Explain the capabilities of available communication and information systems and cabin service components (e.g., Wi-Fi, video conferencing, Internet)

(AF5) Objective 5: Maintain availability of spares and supplies. a. Determine maintenance inventory levels and control procedures b. Identify procurement resources (e.g., manufacturers, repair facilities and aftermarket vendors, quality, costs) c. Maintain applicable aircraft maintenance documents, specifications and records d. Select appropriate methods and carriers for shipping, receiving and storage of materials within regulations and guidelines (e.g., HAZMAT, Uniform Commercial Code [UCC], compliance with Occupational Safety and Health Administration [OSHA], Environmental Protection Agency [EPA])

(AF6) Objective 6: Apply procedures to provide a secure facility for passengers, employees and assets. a. Identify key elements of facility security (e.g., Transportation Security Administration [TSA] and airport regulations, cor

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porate policies, Fixed Base Operator [FBO] practices, airport security and access) b. Analyze and communicate hazards, associated risks, and appropriate mitigation techniques (e.g., access control, badging, surveillance, lighting) c. Identify strategies for training the facility security procedures d. Manage facility security in accordance with established procedures (e.g., monitor, review and modify)

DOMAIN V: BUSINESS MANAGEMENT This domain covers issues related to financial matters of the aviation department, to include contracting, confidentiality and community relations (18 percent of the exam; 27 items).

(BM1) Objective 1: Communicate strategic value of business aviation. a. Identify unique capabilities of business aviation to achieve company goals b. Apply various communication techniques and tools to convey message of value to a broad audience (e.g., community, peers, team members, executives) c. Facilitate ongoing discussion regarding key issues (e.g., appropriate operational structure, security, compliance, safety, tax requirements)

(BM2) Objective 2: Implement the appropriate aircraft ownership and operational structure. a. Recognize applicable Civil Aviation Authority (CAA) requirements and issues (e.g., cost sharing, operational control) b. Recognize applicable international and federal tax implications (e.g., international value added taxes, federal fringe benefit rules, expense disallowance rules, characterization of employee for tax calculations)

(BM3) Objective 3: Create, implement and manage budgeting and financial process. a. Recognize and apply generally accepted accounting principles (e.g., valuation and depreciation, use of general ledger) b. Identify aviation department budget components including immediate and forecasted (e.g., life cycle, maintenance, training, depreciation, fixed and variable costs) c. Create budget based on accounting principles and budget components d. Implement strategies to align the aviation department budget into the overall company budget and financial systems e. Utilize periodic financial and accounting reports to monitor budget progress (e.g., budget vs. actual, run rate, profit & loss, balance sheet) and implement strategies for controlling revenues and expenses f. Identify permitted cost allocation and recovery plans (e.g., charge backs, warranty) g. Determine applicable regulatory requirements (e.g., Sarbanes-Oxley, Foreign Corrupt Practices Act [FCPA]) h. Determine and apply internal controls and audits using expertise within department and company

(BM4) Objective 4: Manage aviation department processes in line with strategic and tactical goals, consistent with data gathered within and outside the company. a. Identify necessary elements and strategies for implementing aviation department goals b. Execute a series of tactical plans to achieve strategic goals c. Apply principles of benchmarking for goal and business plan achievement d. Compare department results to goals and benchmarking data e. Identify any required modifications to tactical plans

c. Recognize applicable state and local tax implications (e.g., registration fees, property taxes, sales and use taxes) d. Recognize risk management considerations (e.g., applicable liability, property and worker's compensation insurance coverages, acceptable risk tolerances and mitigation, principles of valuation, business continuity) e. Identify components necessary to develop and implement corporate policies and strategies f. Describe to company subject matter experts the applicable aviation authority, tax and risk management considerations

(BM5) Objective 5: Implement procedures using company policies to safeguard information and intellectual property of the company. a. Recognize necessity for maintaining a high degree of integrity and personal accountability (e.g., code of conduct, ethics, discretion, social media) b. Identify key elements and intent of confidentiality requirements (e.g., nondisclosure agreements, contractual obligations, personal electronic devices) c. Apply internal and external policies and procedures regarding safeguarding relevant information (e.g., record retention, document security)

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d. Identify legal requirements and protections governing intellectual property and proprietary information (BM6) Objective 6: Employ methods to optimize overall aviation department asset utilization and efficiency. a. Identify principles of cost-benefit analysis (e.g., net present value, internal rate of return, capital investments) b. Conduct travel analysis (e.g., company-owned aircraft, airline, charter, fractional ownership programs) c. Measure, evaluate and report on use of assets (e.g., aircraft, personnel, facilities, equipment, technology) d. Identify principles in a comprehensive asset utilization audit (e.g., tax, corporate governance, fleet analysis) e. Recognize benefits of utilizing applicable transaction and business resources (e.g., brokers, tax and regulatory counsel, maintenance representation at pre-purchase inspection) f. Identify applicable contract terms, conditions and clauses in support of vendor negotiation strategies g. Integrate effective supply chain resources to optimize working capital and parts availability

(BM7) Objective 7: Manage the aviation department in a socially responsible manner. a. Identify environmental impact and abatement (e.g., emissions, noise, hazardous materials) b. Recognize importance of managing community relations (e.g., educate, advocate, communicate, volunteerism, charity, careers in business aviation) c. Identify the value of engagement with local/regional aviation groups and airport authorities

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EXAM REFERENCE MATERIAL

ISBN 978-1-53282-469-2

Below is a list of the NBAA, industry and government references used to develop CAM exam questions. Primary industry references are sources that the applicant should be very familiar with in preparing to take the CAM exam.

• Business and Corporate Aviation Management, by John Sheehan. McGraw-Hill, 2013. ISBN 0-07-180190-1.

NBA A REF ERENCE S

• Contemporary Business, 16th Edition, by Boone and Kurtz. Thomas Higher Education, 2015. ISBN 1-11877239-3.

The following references published by NBAA are provided with the CAM Study Guide: • NBAA Management Guide • NBAA Aircraft Operating and Leasing Guide • NBAA Best Practices for Utilizing Independent Contractors • NBAA Federal Excise Tax Handbook • NBAA Guidelines for Business Aviation Maintenance Training • NBAA Personal Use of Business Aircraft Handbook • NBAA Safety Committee Prototypical Safety Program Manual • NBAA’s Small Aircraft Exemption

• Employer’s Legal Handbook, 12th Edition, by Fred S. Steingold. Nolo, 2015. ISBN 1-4133-2146-3. • The Leadership Challenge, 5th Edition, by Kouzes and Posner. John Wiley and Sons, 2012. ISBN 978-0-47065172-8. • Management, by R. L. Daft. Thomson Higher Education, 2014. 12th edition. ISBN: 1-285-86198-1. • Occupational Safety and Health for Technologists, Engineers and Managers, 8th Edition, by David L. Goetsch. Pearson Prentice Hall, 2014. ISBN 0-13348417-3. • Practical Aviation Law, 6th Edition, by J. Scott Hamilton. Iowa State Press, 2015. ISBN 978-1-61954-2716.

• NBAA Taxes web site article, “Extension of Bonus Depreciation Rules,” by Keith Swirsky and Troy Rolf

• Practical Applications in Business Aviation Management, by James R. Cannon and Franklin D. Richey, Government Institutes, 2012. ISBN: 978-1-60590-763-5.

• NBAA Taxes web site article, “Purchase vs. Lease Considerations,” by Jed Wolcott

• Practical Airport Operation, Safety, and Emergency Management, Jeffrey Price & Forrest, 2016.

• NBAA Taxes web site article, “State Taxes on Aviation,” by Phil Crowther • NBAA Tax Website

• Safety Management Systems in Aviation, 2nd edition, 2015, Alan J. Stolzer and John J. Goglia. ISBN 978-147243-178-3

P RIM A RY INDUS T RY REF ERENCE S

GOV ERNMEN T REF ERENCE S

These references are not included with the study guide. • Aviation Maintenance Management, by Harry Kinnison. McGraw-Hill, 2004. ISBN 0-07-142251-X. • Aviation Safety Programs, A Management Handbook, 3rd Edition, by Richard H. Wood. Jeppesen, 2003. ISBN 0-88487-329-3. • Aircraft Insurance Fundamentals: A Concise Guide For Aircraft Owners and Operators, Timothy K. Bonnell 2016.

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Of the following, only the advisory circulars are provided with the CAM Study Guide. The other references are publicly available on government web sites. • AIM: Aeronautical Information Manual • Code of Federal Regulations (CFR), Title 14, Department of Transportation • Federal Aviation Regulations (FAR) Part 21

• FAR Part 25 • FAR Part 39 • FAR Part 43 • FAR Part 61 • FAR Part 91 • FAR Part 135 • FAR Part 145 • Code of Federal Regulations, Title 29, Department of Labor • Code of Federal Regulations, Title 49, Part 47, Aircraft Registrations

• FAA Advisory Circulars (ACs) • AC 20-168, Certification Guidance for Installation of Non-Essential, Non-Required Aircraft Cabin Systems & Equipment • AC 20-177, Design and Installation Guidance for an Airborne System for Non-Required Telecommunication Service in Non-Aeronautical Frequency Bands • AC 43, Maintenance, Preventative Maintenance, Rebuilding & Alteration • AC 60, Airman • AC 65-15A, Airframe & Powerplant Handbook

• Code of Federal Regulations, Title 49, Part 65, Certification: Airman Other Than Flight Crewmembers

• AC 91, Reduced Vertical Separation Minimum

• Code of Federal Regulations, Title 22, Part 122, Registration of Manufactures and Exporters

• AC 120-68C, Pilot Records Improvement Act

• Code of Federal Regulations, Title 49, Part 125, Certification & Operations • Code of Federal Regulations, Title 49, Part 175, Carriage by Aircraft, Hazardous Materials • Code of Federal Regulations, Title 49, Part 830, National Transportation Safety Board • Code of Federal Regulations, Title 49, Part 1500, Transportation Security Administration

• AC 120-51E, Crew Resource Management

• AC 120-76A, Electronic Flight Bag • AC 120-78A, Electronic Signatures, Recordkeeping, and Manuals • AC 120-82, Flight Operational Quality Assurance • AC 120-92, Safety Management Systems • AC 150, Airports Projects • FAA Type Certificate Data Sheet • Customs and Border Protection's Guide for Private Flyers

• FAA Order 8900.1, Flight Standards Information Management System • FAA-H-25A, Pilot’s Handbook of Aeronautical Knowledge • FAA-H-8083-30, Aviation Maintenance Technician Handbook – General

CAM STUDY GUIDE 15

SAMPLE EXAM QUESTIONS The 100 sample exam questions included in this study guide cover knowledge or skill statements that are consistent with the CAM exam and are therefore representative of the format and types of questions that a candidate can expect to encounter in the CAM exam. An answer key is provided at the end of this document.

1. The Director of Maintenance has been tasked with ensuring security of the airport facilities for the passengers, employees and airport based assets. The first step should be to: A. prevent unauthorized access to the facilities.

C. assess the threat and vulnerabilities.

D. evaluate and update the B. develop a security program specific to the location. Emergency Response Plan. Reference: Sheehan, J.J., Business & Corporate Aviation Mgmt, 2013, 2nd ed., McGraw-Hill Content Area: AF6

4. Flight operations hazard/incident report should be submitted: A. when a hazard needs to be eliminated.

C. when a safety concern is detected.

B. when a hazard is likely to be duplicated in other departments.

D. after an investigation to determine the validity of the hazard or incident.

Reference: NBAA Prototypical Safety Program Manual Content Area: OPS6

5. Where in the corporate structure should the aviation department be placed? 2. A corporate flight operations manual should be reviewed and approved by the: A. CEO of the organization. B. CFO of the organization.

C. corporate aviation manager. D. vice president of operations.

A. Under the vice president of operations B. In the logistics/transportation area

C. Under human resources D. As high as possible in the corporate structure

Reference: Practical Applications in Business Aviation Managemen Content Area: BM1

Reference: NBAA Management Guide Content Area: OPS1

3. In order for safety precautions (e.g., guard rails, personal protective equipment) to be effective, safety requirements must be a part of: A. Air Operations Area policy C. company standard operating procedures. guidelines. B. federal and state OSHA regulations.

D. local airport rules and regulations.

Reference: Business and Corporate Aviation Management, 2nd edition Content Area: AF1

16 CAM STUDY GUIDE

6. A crewmember reports for duty at 0430 for a schedule involving multiple legs into high-density airports. In this situation, what should be done to ensure a safe operation? A. Give the crew extra time off C. Have all crewmembers do their share of the flying B. Schedule a late return in order to provide crew rest dur- D. Reduce the length of the duty day ing the day Reference: NBAA Management Guide Content Area: Human Resources 8 – HR8

7. A former maintenance technician is hired to perform cleaning and refueling operations on the ramp and given the job title of Ramp Manager. They are classified as exempt from overtime pay. Is this classification correct? A. No, the employee works different shifts during the day or night and is therefore non-exempt

C. Yes, aircraft refueler job descriptions can meet the general test for professional exemption

B. No, the job title alone does D. Yes, as a manager the employee has to exercise not determine whether the discretion regularly and is employee is exempt therefore exempt Reference: Employer’s Legal Handbook, 8th edition Content Area: HR5

8. A thorough understanding of the various styles of leadership allows one to: A. write better personnel evaluations.

C. build a more effective team.

B. improve personnel tracking.

D. be more introspective.

Reference: Business and Corporate Aviation Management Content Area: L3

9. A Part 135 operator is subject to the Twelve-Five Standard Security Program. The operator must adopt and carry out a security program that: A. is approved by the POI at the local FSDO. B. is subsequently posted in a common employee area.

C. prevents the carriage of firearms aboard program aircraft. D. includes the name of the Aircraft Operator Security Coordinator.

Reference: 49 CFR 1544.103 Content Area: OPS8

11. An aviation department is planning to complete in-house pilot flight training in a light, twin engine aircraft. Which of the following TSA considerations are applicable? A. Pilots who receive training C. A copy of acceptable proof must complete TSA security of US citizenship must be kept for five years awareness training B. The TSA must be notified and sent a copy of the US citizen's passport

D. US citizens must pass a criminal history record check

Resource: CFR 49 part 1552.1 - 1552.3 (h)(I), (II) Content Area: OPS8

12. During an employment interview of a potential candidate, an interviewer asks questions related to the candidate’s family plans and whether her spouse approved her taking the job. What is the proper action by the company conducting the interview? A. Immediately following the interview, ask the applicant to sign a waiver of liability B. These are acceptable questions and the interview should continue uninterrupted

C. The interview should be terminated immediately and the interviewee dismissed without further comment D. The applicant should be advised not to answer the questions

Reference: Employer’s Legal Handbook, 8th edition Content Area: HR3

13. What MUST be included in the maintenance record entry for inspections conducted under FAR Part 91? A. Inspection date and aircraft total time B. Reference technical data (page and paragraph)

C. FAA Form 337 D. Aircraft make, model and serial number

Reference: FAR 43.11 Content Area: AF2

10. Strategic, tactical and operational would be a part of the hierarchy of: A. goals.

C. visions.

B. planning.

D. missions.

Reference: Management, 8th edition Content Area: L2

CAM STUDY GUIDE 17

14. De-icing fluid, waste jet fuel, and used engine oil are stored at the company hangar. In accordance with the Superfund Amendments and Reauthorization Act (SARA), the aviation manager must: A. provide state and local authorities with a current copy of the company emergency response plan.

C. practice the hazardous chemical spill plan in coordination with state and local authorities.

B. immediately report any hazardous chemicals releases exceeding state or local limits.

D. ensure that personnel trained in spill control are available to respond to hazardous chemical releases.

Reference: Occupational Safety & Health for Technologists, Engineers & Managers, 2010 Content Area: AF3

15. Which of the following BEST describes the corporate vision? A. A statement of purpose for an organization B. A defined objective for an organization to achieve

C. A set of boundaries, goals and objectives to set the direction of an organization D. A realistic, credible and attractive future for an organization

Reference: The Leadership Challenge, 4th edition Content Area: L1

16. Which of the following is an example of an Aviation Department Tactical Goal? A. Provide monthly aircraft utilization reports B. Respond to client's questions within two hours

C. Decrease operating expenses by 10 percent this fiscal year

18. The Airport and Airway Development Act of 1970 assures the public access to development plans through public hearings. This exchange is vital to implementing a master plan because: A. community recognition of the need for progress typically minimizes complaints.

D. public awareness equals B. the plan goes before a com- public acceptance. munity review board in which a two-thirds margin to pass is required Reference: Airport Planning and Management, 4th edition Content Area: BM7

19. What are the two types of depreciation that an aviation department manager should understand? A. Residual and tax

C. Capital and residual

B. Tax and book

D. Book and capital

Reference: Business and Corporate Aviation Management Content Area: BM3

20. A maintenance technician was involved in a serious accident at the company hangar. After contacting emergency services, the company's first responsibility is to: A. accommodate the family of the technician.

C. contact local OSHA district manager.

B. inform the Emergency Response Plan manager.

D. notify the manager of the local FSDO.

Reference: NBAA Management Guide Content Area: AF3

D. Obtain a 12 percent rate of return for investors

Reference: Management, 8th edition Content Area: L2

21. Obtaining CAM certification status indicates the aviation department manager has achieved the highest level of corporate aviation recognition. To uphold the professional principles, which the CAM embodies, the aspiring professional should:

17. The principal advantage of operating a corporate aircraft under an FAA Part 135 certificate is to permit the aircraft operator to:

A. strive to achieve the most prestigious aviation department within the region.

A. avoid the applicability of the C. lease the aircraft to earn a truth-in-leasing clause require- return on the aircraft investment. ment of FAR 91.23.

B. strive to enhance the safety, security, efficiency and acceptance of business aviation worldwide.

B. wet lease the aircraft under a time-sharing agreement.

D. utilize large and turbinepowered multi-engine aircraft.

Reference: NBAA Management Guide Content Area: BM2

18 CAM STUDY GUIDE

C. it is a plan for improving consumer awareness.

C. maintain the highest level of scrutiny of performance of all aviation department associates. D. maintain the highest level professional appearance and conduct while performing management duties.

Reference: NBAA CAM Application Content Area: L3

22. What is the MINIMUM number of flight attendants required on an aircraft carrying more than 19 but fewer than 51 passengers under FAR Part 91? A. One

C. Three

B. Two

D. Zero

26. Relating to aircraft fixed cost, which of the following BEST describes book depreciation? C. Depreciation requires A. For equal time horizons, inclusion of a 25 percent book depreciation must be the same as tax depreciation residual value D. Depreciation is considered B. For equal time horizons, book depreciation will usually to be a major nonrecurring be less than tax depreciation expense

Reference: 14 CFR FAR 91.533 Content Area: HR1

23. An RFP for contract maintenance work should consist of which of the following? A. Work to be performed, task action items, Hangar Keepers Insurance and parts availability

C. Work to be performed, quote from vendor, parts availability and task action items

B. Work to be performed, completion standards workers' compensation clause and service bulletins

D. Work to be performed, completion standards, worker qualifications and recourse provisions

Reference: Business and Corporate Aviation Management Content Area: AF5

24. Which of the following subjects should be emphasized in a maintenance training/recurrent training plan? A. Line diagnostics and main- C. Operation and control tenance skills D. Dispatch and post-flight processing B. Reliability and maintainability Reference: NBAA Management Guide Content Area: HR2

25. In a synthetic lease, who retains the title to the aircraft? A. The lessor

C. The FAA

B. The aircraft operator

D. The aircraft owner

Reference: “Purchase vs. Lease Considerations in Acquiring an Aircraft Used in Business” Content Area: BM2

Reference: NBAA Management Guide Content Area: BM3

27. Which of the following describes how an aviation department manager would facilitate uniform participation when facilitating a meeting with an employee team? A. Directly ask the nonparticipating team members what they are thinking in order to draw out their ideas

C. Criticize all the ideas being brought up by the team members to encourage positive contributions

B. Allow the dominant team members to continue to talk, which will encourage the non-dominant members to speak out

D. Call on senior team members first to encourage junior members to speak out and increase their participation

Reference: Management, 8th edition Content Area: L3

28. An advantage of maintaining an aircraft on a continuous inspection schedule is: A. maintenance technicians are not required to hold Inspection Authorization.

C. continuous review of Airworthiness Directives is not required.

B. complete inspection of the aircraft is made every 12 calendar months.

D. exemption from FSDO oversight of maintenance process.

Reference: Management Guide Content Area: AF2

CAM STUDY GUIDE 19

29. If the Aviation Department Manager must provide feedback on an employee’s marginal performance, the BEST approach is to: C. confront the employee A. focus on the employee’s performance, not the person. with specific areas of improvement. B. develop key objectives for D. decrease expectations and improving performance. link them to the employee’s performance. Reference: Leadership Challenge, 4th Edition Content Area: HR4

30. An employee performance appraisal process that uses multiple raters, including self-ratings, is called a: A. behaviorally anchored rating scale.

C. performance review ranking system.

B. performance improvement plan.

D. 360-degree feedback.

Reference: Management, 8th edition Content Area: HR6

31. If a goal established for an employee is unrealistic and beyond their capabilities, it could: A. allow the employee to experiment with new performance levels and increase morale.

C. lead to employee failure but will push the employee to higher performance levels.

D. lead to employee failure B. allow the employee to rise and a decrease in employee to a higher performance level morale. and morale. Reference: Management, 8th edition Content Area: L2

33. The aviation department is undergoing a major restructuring, and employee buy-in is required. To ensure an efficient and productive meeting, the MOST important tool for the manager to use is: A. detailed minutes.

C. a detailed agenda.

B. starting on-time.

D. advanced preparation.

Reference: Management, 8th edition Content Area: L3

34. In casual conversation, one of the aviation department’s pilots mentions that they have been diagnosed as HIV-positive. Since the employee volunteered the information, which of the following is TRUE? A. The aviation department manager is free to discuss this information with other department personnel B. The aviation department manager is required to maintain the confidentiality of the information

A. active listening.

C. dynamic speaking.

B. concise writing.

D. effective body-language.

Reference: Management, 8th edition Content Area: L3

35. A company’s wholly-owned subsidiary owns an aircraft. Another subsidiary provides aircrews, scheduling and maintenance for the aircraft, and all subsidiaries participate in paying the operational costs. Under these circumstances, what entity is BEST suited to provide regulatory interpretation regarding operational control of the aircraft? A. Department of Commerce C. IRS business services D. Corporate general counsel

Reference: FAR 91.501 Content Area: BM2

36. The four pillars of a Safety Management System (SMS) are: A. safety assessment, safety C. education, safety pracculture, safety standards and tices, safety procedures and execution. indoctrination. B. safety assurance, safety risk management, policy and safety promotion. Reference: FAA AC 120-92 Content Area: OPS6

20 CAM STUDY GUIDE

D. The aviation department manager must contact HR immediately to request HIV testing for all employees within the department

Reference: The Employer’s Legal Handbook, 8th edition Content Area: HR7

B. Local FAA FSDO 32. An essential tool in communicating within organizations is:

C. The aviation department manager is required to contact HR to ensure the employee reported this information to the company’s insurance carrier

D. techniques, processes, safety procedures and safety practices.

37. Which of the following are two key factors in pre-accident planning?

41. Industry best practices recommend that Noise Abatement Programs should:

I. Financing

A. not apply to non-turbine aircraft.

II. Education

B. supersede the manufacturer’s recommended procedures.

III. Jurisdiction IV. Communication A. I and II

C. II and III

B. I and III

D. II and IV

Reference: Business and Corporate Aviation Management Content Area: OPS5

38. As part of an organization’s pre-accident plan, clear procedures for responding to an aircraft accident should be developed that: A. define the responsibilities of the aircraft insurance company during the NTSB investigation. B. support the immediate needs of the next of kin.

C. detail the type of statements that flight crews make to the authorities or media. D. have the flight crew, if not incapacitated, return to home base for a drug test.

Reference: NBAA Management Guide Content Area: OPS5

39. Strategic planning is the process of determining: A. aircraft utilization and operating costs.

C. long-range objectives and capital spending.

B. short-range objectives and D. short-term budgeting and capital spending. contingency plans. Reference: Contemporary Business, 12th edition Content Area: L1

40. The responsibility for the aviation department safety culture originates with the: A. corporate officers. B. corporate aviation manager working with the aviation safety committee.

C. aviation safety committee working with the corporate safety and security department. D. department safety manager.

Reference: NBAA Management Guide Content Area: OPS6

C. only apply to older turbojet aircraft manufactured prior to 1980. D. include procedures that provide for safety and standardization.

Reference: NBAA Management Guide Content Area: BM7

42. The goal of a safety management system (SMS) is to: A. develop standard operating procedures. B. report observed hazards and incidents.

C. evaluate internal hazards for the purpose of reducing risk. D. mitigate risk to a level as low as reasonably practical.

Reference: NBAA Management Guide Content Area: OPS6

43. An out of town manufacturer’s rep has brought special equipment to the airport to perform work on several aircraft located in various hangars. In order to go from one hangar to another, the rep must cross a designated SIDA ramp. The rep can: A. cross the ramp since all of C. cross the ramp using his IBAC ID badge. the ramps are adjoining. B. be escorted by someone with unescorted access.

D. use their employee ID badge.

Resource: 49 CFR 1542.207 Content Area: AF6

44. An aviation department manager is developing a safety management system (SMS). Which of the following personnel should be included in the development team? C. chief pilot, dispatcher, A. chief pilot, dispatcher, CFO and refueling supervisor. maintenance supervisor and refueling supervisor. B. chief pilot, maintenance D. chief pilot, dispatcher, supervisor, airport tower airport tower supervisor and supervisor and CFO. CEO. Reference: Business and Corporate Aviation Management Content Area: OPS6

CAM STUDY GUIDE 21

45. An aviation department manager promotes ethical and professional behavior by demonstrating which of the following traits? A. Sound aviation management B. Effective leadership

C. Communication D. Practical business administration

Reference: Business and Corporate Aviation Management Content Area: L3

46. Life-limited/time-controlled components are scheduled for removal in accordance with the: A. Minimum Equipment List (MEL) requirements.

C. aircraft inspection program and schedule.

B. approved “on condition” inspection program.

D. approved operation specifications.

Reference: NBAA Management Guide Content Area: AF2

47. The flight crew of an aircraft with an electronic flight instrument system received a message indicating an avionics component had failed. What is the first action the crew should take? A. Ask the lead passenger to clarify the importance of the flight

C. Consult the SOP and MEL to determine the appropriate action

D. Obtain approval for disB. Delay the flight and have maintenance repair the discrep- patch from the maintenance manager ancy Reference: NBAA Management Guide Content Area: AF1

48. A pilot in an aviation department may need a permanent cardiac pacemaker implantation. The aviation department requires a first-class airman medical certificate. When the pilot asks about continued employment, what is the BEST reply for the aviation department manager? A. Contact the HR department to identify other positions for which the pilot may be qualified

C. Refer the pilot to the Employee Assistance Program (EAP) for additional medical evaluation

B. Tell the pilot they are permanently disqualified due to 14 CFR 67 requirements

D. Refer the pilot to an Aviation Medical Examiner (AME) to determine eligibility

Reference: FAR/AIM, 8-1-1a.2 Content Area: HR8

22 CAM STUDY GUIDE

49. An aviation department manager seeks to positively influence the use of state aviation fuel tax funds. Which of the following is the MOST effective mechanism for making a positive impact on the legislative process? A. Meet with legislators as a member of a regional business aviation group

C. Send a white paper attached to an email message to state legislators

B. Send a letter to staff members of state legislators

D. Post comments regarding the use of tax funds on a social networking site

Reference: Management, 8th edition Content Area: BM7

50. On a CFR Part 135 flight, the lead passenger was drinking from a flask containing alcohol he brought onboard. The flight attendant confiscated the flask and returned it to the lead passenger at the destination. The lead passenger wants the flight attendant reprimanded. Which of the following statements is true? A. The lead passenger could C. The flight attendant could have served himself the drink have served the lead passenger B. The flight attendant should D. The lead passenger was not have returned the flask the ultimate authority concerning these matters Reference: FAA 14 CFR Part 135.121 Content Area: OPS2

51. When a company provides compensation to its employees based on the skill level required in their positions, the company is utilizing what type of wage and salary system? A. Job-based pay

C. Pay-for-performance

B. Incentive pay

D. Competency-based pay

Reference: Management, 8th edition Content Area: HR5

52. If a pilot’s symptoms from a minor illness are under adequate control with medication, the medication itself: A. will improve pilot performance.

C. must be available without a prescription.

B. may decrease pilot performance.

D. will disqualify the pilot from flying.

Reference: FAR/AIM, 8-1-1(b.1) Content Area: HR8

53. In an aviation department that has recently experienced a decrease in morale and interpersonal effectiveness, how would a newly-hired aviation department manager begin to rebuild team trust? A. Assign all employees administrative duties and projects B. Describe personal aspirations and hopes for the team

C. Ask all employees to share their feelings with each other D. Implement a flexible work schedule for the team

57. An employee sustains a work-related wound at the company hangar that requires opening a first-aid kit for cleaning and bandaging a wound. Per OSHA reporting requirements: A. the incident is not required C. the report must be kept for a minimum of five years. to be reported. B. a report of the incident is due within seven days.

D. the incident must be reported on the OSHA Form 300 log.

Reference: The Leadership Challenge, 4th edition Content Area: L3

Resource: Occupational Safety & Health for Technologists, Engineers, & Managers, 7th Edition Content Area: OPS3

54. An appropriate component of the aviation department mission statement is the ability to provide a transportation option which:

58. An aviation department recently acquired a FAR Part 25 certificated airplane. The decision has been made to hire a first officer. That individual MUST have at least:

A. affords comfort and security to company executives.

C. compares in cost to commercial airline fares.

B. is safe, convenient and efficient.

D. reduces tax liability by generating offsetting expenses.

Reference: NBAA Management Guide Content Area: L1

55. The purpose for a company maintenance manual is to provide the highest degree of safety combined with the: A. most consistent level of support.

C. greatest flexibility for calendar items.

B. lowest operating cost achievable.

D. truth-in-leasing statement compliance.

Resource: NBAA Management Guide Content Area: AF1

56. Which of the following is the MOST effective tactic to create unity between disagreeing participants in a business meeting? A. The meeting leader unilaterally makes a decision B. Each side maintains its viewpoints until a decision is reached

C. Each side explains its assumptions and reasons leading to consensus D. Both sides yield to the majority view

A. a private pilot certificate with instrument rating and a 61.55 endorsement. B. a commercial pilot certificate with a FAR 61.58 endorsement.

C. an ATP with an FAR 61.58 endorsement. D. commercial pilot certificate with an instrument rating and a 61.55 endorsement.

Reference: FAR Part 61.55 Content Area: HR1

59. After six months of flying in the company’s new aircraft, the CEO begins flying with key corporate management team members and board members. How should the aviation department manager assess the risk potential? A. obtain recent accident reports and identify similar equipment comparisons. B. obtain recent aviation statistics and work with an aviation attorney.

C. evaluate the magnitude of loss, possible improvements for maintenance reliability of equipment and flight standards within the department. D. analyze the frequency of activity, the severity of the loss, the variation of future loss and the impact of loss to the corporation.

Reference: Introduction to Aviation Insurance & Risk Management, 3rd Edition Content Area: BM2

Reference: Management, 8th edition Content Area: L3

CAM STUDY GUIDE 23

60. A voluntary disclosure program for gaining immunity from violation prosecution is available to aviation organizations operating under FAR:

64. What guidelines should the aviation manager consider when hiring temporary flight crews as a scheduling option during heavy company travel times?

A. Part 91.

C. Parts 91 and 121.

B. Parts 91 and 135.

D. Parts 121 and 135.

A. The crewmember should meet the same experience and proficiency requirements as full-time pilots and be familiar with flight department SOPs

Reference: FAA AC 00-46E Content Area: OPS6

61. A company’s new aviation department manager is working on finalizing goals for the department. This well-defined mission statement is designed to: A. provide specific direction to all the company’s employees.

C. enhance employee motivation and organizational performance.

B. project corporate sales and bottom line profits.

D. build quality services at cost effective rates.

Reference: Management, 9th Edition Content Area: L2

62. Which of the following is a properly written department goal? A. To be a safe and more efficient department next year

C. To reduce the number of service complaints by 10 percent within one year

B. To meet all regulatory requirements within the com- D. To reduce the department budget by $100,000 ing year Reference: Management, 9th Edition Content Area: L2

63. Which of the following is an illustration of the “contingency view” of problem solving? A. Every problem is unique and requires a unique solution B. There is one best solution for every problem

C. Common problems use similar solutions D. A solution can create a new set of problems

Reference: Management, 9th Edition Content Area: L3

B. The crewmember’s training and experience must meet FAA contract pilot requirements

D. The crewmember should meet the same pre-hire requirements, such as completing drug tests and psychological checks as full-time pilots

Reference: NBAA Management Guide Content Area: HR1

65. The aviation department has completed a week-long schedule that could only have been accomplished through a team effort. In rewarding the department for a job well done, the aviation department manager should consider that: C. incentive systems can A. the chosen reward does not have to follow the accept- work if they specifically encourage teamwork. ed company guidelines. B. the best incentive systems D. the department does not need to be recognized since are monetary in nature. this is the job they were hired to do. Reference: Contemporary Business, 16th Edition, 2015, Boone and Kurtz Content Area: L3

66. Which of the following statements BEST explains the recommended ground and flight high altitude training for business aviation flight crewmembers? A. Crewmembers flying aircraft with service ceilings below 25,000 feet MSL should receive familiarization training

C. Crewmembers who completed military service as a second-in-command (SIC) do not require additional training

D. Crewmembers acting as a pilot-in-command and secB. Crewmember training ond-in-command (SIC) must should be included with initial or transition training for receive training aircraft with ceilings above 25,000 feet MSL Reference: FAA AC 61-107 Content Area: HR2

24 CAM STUDY GUIDE

C. The crewmember must have fulfilled all the requirements of FAR 61.56 within the previous 12 months

67. Corporate flight department managers are given the task of establishing pilot flight, duty and rest time procedures for their company’s crewmembers. Which of the following organizations would be the BEST source for recommended guidelines? A. International Business Aviation Council (IBAC)

C. Flight Safety Foundation (FSF)

B. Aircraft Owners and Pilots D. General Aviation Manufacturers Association (GAMA) Association (AOPA)

70. An aviation department manager suspects an employee periodically violates the company/departmental alcohol consumption policy. The MOST appropriate action for the manager to take would be to: A. demand that the employee submits to a drug/alcohol test.

C. consult appropriate company policy for specific guidance.

B. require the employee to attend alcohol counseling.

D. contact the FSDO/FAA representative for guidance on possible enforcement action.

Reference: NBAA Management Guide Content Area: L3

Reference: NBAA Management Guide Content Area: HR7

68. A company is planning to expand on an international level. The aviation department manager is responsible for: A. training pilots within six months of the first international flight.

C. obtaining an aircraft waiver that exempts the North Atlantic.

B. assuring flight crews and aircraft comply with regulations involving airspace that will be flown through.

D. obtaining a letter of authorization from the FAA no later than 30 days prior to departure, and train the pilots within six months of the first flight.

71. When an aviation department manager uses dialogue to settle a disagreement between groups, the manager is seeking: A. immediate short-term resolutions.

C. dominance over the department.

B. solutions to transform mindsets.

D. an agreement by logic.

Reference: Management, 9th Edition Content Area: L3

Reference: NBAA Management Guide Content Area: OPS7

72. If a particular flight is subject to federal excise tax, who is responsible for the tax? 69. On a recurring basis, dispatch is unable to crew aircraft due to extended long flight duty delays. To BEST address this issue, the aviation department manager should: C. change the flight duty day A. re-evaluate the pilotlimitations to accommodate a to-aircraft staffing ratio to determine whether additional longer flight duty day. staffing is required. D. hire a part-time pilot to B. consider the pilot’s fatigue cover the late flight duty schedule. level and write a waiver if fatigue is not a factor. Reference: NBAA Management Guide Content Area: HR1

A. The entity that owns the aircraft is responsible for collecting and remitting the tax B. The entity billing the enduser customer is responsible for collecting and remitting the tax

C. The entity billing the enduser customer is responsible for collecting the tax and the entity that owns the aircraft is responsible for remitting the tax D. The entity that is the enduser customer is responsible for collecting and remitting the tax

Reference: NBAA Federal Excise Tax Handbook Content Area: BM2

CAM STUDY GUIDE 25

73. If FMS, GPS and other advanced navigation systems are certified for IFR approach operations, Flight Operations Manual (FOM) guidance should include: A. procedures for manually inputting FMS approach fixes.

C. mode awareness procedures, including verbal callouts.

B. choice and selection of the D. methods for reversion to raw-data approaches. type of automation. Reference: NBAA Management Guide Content Area: OPS1

74. Which of the following conditions is required for an aviation department, as a whole, to embrace safety in all of its operations? A. Time is provided away from the job to relax

C. All employees accept safety as a lifestyle

B. Flexibility is provided in all operating procedures

D. Stiff penalties are allotted for any safety violation

Reference: Aviation Safety Programs, A Management Handbook, 3rd edition Content Area: OPS6

75. The responsibility for determining the airworthiness of an aircraft for a flight is the pilot-in-command (PIC) and: A. owner/operator.

C. director of maintenance.

B. dispatch.

D. safety manager.

77. In order for a 14 CFR Part 91 operator to lease a U.S. registered large civil aircraft, the lessee MUST notify, by telephone or in person, the: A. lessor prior to the first flight in the aircraft. B. insurer of the aircraft prior to the first flight.

C. FAA FSDO nearest the airport where the flight will originate. D. FAA ACDO nearest the airport where the flight will originate.

Reference: FAR Part 91.23 Content Area: BM2

78. Which of the following should be considered in order to determine a company’s need for business aircraft? A. Acceptance of aircraft ownership by the company’s employees B. Acceptance of aircraft ownership by the company’s stakeholders

C. Confidentiality, control and comparative analysis for potential use of business aircraft D. Consideration, cost and comparative analysis for potential use of business aircraft

Reference: Practical Applications in Business Aviation Management Content Area: BM1

79. Which of the following is a strategic plan for the aviation department?

Reference: Business and Corporate Aviation Management Content Area: OPS2

A. Fuel purchase plan

C. Air transportation analysis

B. Annual training plan

D. Equipment purchase analysis

76. Under Part 91 regulations, when reducing liability to the parent company by placing the aircraft in a separate company, one requirement is that:

Reference: Business and Corporate Aviation Management Content Area: L1

A. the operation of the aircraft is incidental to the business of the newly formed company. B. one CEO is directly responsible for both companies. Reference: FAR Part 91.501 Content Area: BM2

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C. the flight crew is employed by the newly formed company. D. the placement of the aircraft is evidenced by a written purchase agreement and signed by the parent company.

80. Noise certification standards for new design turbo jet and transport category aircraft falls under FAR: A. Part 36.

C. Part 121.

B. Part 91.

D. Part 125.

Resource: Practical Airport Operations, 2016, Jeffrey C. Price and Jeffery S. Forrest, Content Area: AF2

81. Within a corporate aviation department, who should possess a knowledge and appreciation of company business in terms of cost-effectiveness, operational control and planning for future requirements? A. All aviation department personnel

C. Chief pilot and manager of maintenance

B. Aviation department manager

D. Manager of finance

Reference: NBAA Management Guide Content Area: BM2

82. An important factor in determining the success of a safety reporting system is: A. Corrective actions taken B. Acceptance by personnel

C. A personnel reward system D. A short reporting form

Reference: Aviation Safety Programs, A Management Handbook, 2nd edition Content Area: OPS6

83. Someone who delegates authority to others, encourages participation and relies on expert and referent power to influence subordinates is a(n): A. democratic leader.

C. skillful manager.

B. autocratic leader.

D. laissez-faire manager.

85. Of the following, the most important responsibility assigned to the maintenance manager is: A. maintaining operational control of the aircraft.

C. reporting the aircraft trip log for property taxes.

B. properly documenting the aircraft records.

D. managing the facility upkeep and airport security plan.

Reference: Practical Applications in Business Aviation Management Content Area: AF5

86. A pilot was conducting a preflight when an individual walked up and asked if it would be alright to take a look inside the aircraft. The company pilot should respond to the individual by: A. offering a complete tour of C. ignoring the request and continuing the preflight. the aircraft. B. showing the flight deck but not the cabin.

D. acknowledging but declining the request.

Reference: Practical Applications in Business Aviation Management Content Area: AF6

87. Under the provisions of the Pilot Records Improvement Act of 1996 (PRIA), an air carrier or other person who has employed an individual as a pilot of a civil or public aircraft at any time during the past:

Reference: Management, 8th edition Content Area: L3

A. two years has 30 days to provide the appropriate records to the prospective employer.

C. two years has 90 days to provide the appropriate records to the prospective employer.

84. An effective method for the Aviation Manager to communicate key elements of the company SOPs would be to provide:

B. five years has 30 days to provide the appropriate records to the prospective employer.

D. five years has 90 days to provide the appropriate records to the prospective employer.

A. training to new employees during a company-wide safety meeting.

C. evaluations of employees during regular safety meetings.

B. an SOP supplement to all their aircraft within the approved MEL.

D. SOPs to outside training organizations to reinforce learning.

Reference: FAA AC 120-68F Content Area: HR7

Reference: NBAA Management Guide Content Area: AF1

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88. The aviation department manager improves organizational health and communication within the maintenance organization by integrating technical skills, human factors, and interpersonal skills training. This is an example of which of the following? A. Maintenance resource management B. Human resource management

C. Total quality management D. Management by objectives

Reference: Business and Corporate Aviation Management, 2nd edition Content Area: OPS9

89. When planning a flight over water that is more than 100 NM or more than 30 minutes flying time, the items required on board include: A. life preservers and life rafts.

C. pyrotechnic signaling devices and life rafts.

B. life preservers only.

D. life rafts only.

Reference: FAR Part 91.509 Content Area: AF2

90. In an operation conducted under FAR Part 135, the operator has been asked to transport a disabled passenger and a battery-operated wheelchair in the corporate aircraft. Should an emergency occur, this passenger could evacuate the aircraft only with the assistance of two other people. The company’s Operations Manual MUST contain which of the following procedures concerning this operation? A. Carrying individuals who may need evacuation assistance and procedures for carrying batteries

C. Carrying batteries but no procedures for carrying persons who may need evacuation assistance

B. Carrying individuals who may need evacuation assistance but no procedures for carrying batteries

D. Training all crewmembers involved to support the disabled passenger in the event of an emergency evacuation situation

Reference: FAR Part 135 Content Area: OPS2

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91. Which of the following is the MOST important activity of a safety audit? A. Conduct proficiency checks C. Conduct personal and confidential interviews with of all flight procedures and employees at all levels of the practices organization B. Conduct detailed analysis of maintenance records and D. Arrive on site without prior knowledge of organizational passenger logs operations to avoid bias by investigators Reference: Safety management Systems in Aviation, 2nd edition Content Area: OPS4

92. An aviation department manager is in the process of deciding which of two similar aircraft to purchase. Included in the data are costs for the flight crew (same for both), airplane acquisition costs, fuel consumption per hour per airplane, maintenance costs expected for each airplane and parking/landing fees. The cost considerations relevant to the decision are: A. all costs (e.g., taxes and delivery) that are included to determine total acquisition cost for each aircraft. B. all costs related to the purchase and future use of the aircraft.

C. the costs that vary between alternatives. D. any costs that do not vary among alternatives, if they are critical to the future operation of aircraft.

Reference: Accounting, 11th edition Content Area: BM6

93. Weather, weather radar and storm scope recurrent training should be conducted every: A. year.

C. five years.

B. two years.

D. 10 years.

Reference: NBAA Management Guide Content Area: HR2

94. “Substantial damage” is defined as damage or failure that adversely affects: A. structural integrity or flight C. performance and normally requires repair or replacecharacteristics. ment of the affected compoB. structural integrity of fusenents. lage, wing and flight control D. structural strength, persurfaces, and normally requires repair or replacement formance or flight characterof the affected components. istics and normally requires repair or replacement of the affected components.

97. An aviation department manager wants to motivate employees to accomplish an ambitious and demanding schedule. Which of the following leadership behaviors uses intrinsic motivation to “bring out the best” in employees’ performances? A. Creating a monetary incentive culture with employee recognition

C. Generating changes in the department to keep employees alert

B. Appealing to employee sense of purpose and ability to serve others

D. Making a direct challenge because employees readily respond to challenges

Reference: CFR 49, Part 830.2 Content Area: AF2

Reference: The Leadership Challenge, 4th edition Content Area: L3

95. Which of the following BEST defines the direct operating expenses that may be charged in a FAR 91.501 Timesharing Agreement?

98. To mitigate the possibility of passengers inadvertently being injured during the boarding process on the ramp, passengers should:

A. Fuel, additives, travel expenses, landing fees and an additional charge of 100 percent of the fuel used B. Fuel, travel expenses, maintenance accrual, landing fees and an additional charge of 100 percent of maintenance

C. Fuel, travel expenses, catering, landing and customs fees, maintenance accrual and an additional charge of 100 percent of the fuel used D. Fuel, insurance, catering, travel expenses, flight planning, maintenance accrual and an additional charge of 100 percent of the fuel used

Reference: Business and Corporate Aviation Management Content Area: BM2

96. When signing a work service contract for maintenance to be performed on aircraft, it is important that the aviation department manager: C. Use approved FAA-regisA. Maintain the company’s insurance rights despite liabil- tered maintenance facilities when feasible ity restrictions imposed by the maintenance facility D. Use approved documentaB. Avoid limiting the scope of tion for the scope of work to work to what is listed on the be performed maintenance contract Reference: Introduction to Aviation Insurance & Risk Management, 3rd edition Content Area: AF2

A. walk directly to the boarding door of the aircraft.

C. not be allowed unescorted access on any ramp.

B. control their baggage until entering the aircraft.

D. proceed as soon as the hangar/lobby door is opened.

Reference: Business and Corporate Aviation Management, 2nd Edition Content Area: AF6

99. Which of the following is a fixed cost? A. Shop equipment expenses C. Engine overhaul B. Repair parts

D. Inspections

Reference: NBAA Management Guide Content Area: BM3

100. In preparing an aviation department budget for the next fiscal year, the aviation department manager is looking at implementing a chargeback system. A chargeback rate that incorporates only direct aircraft operating costs (DOC): A. will tend to encourage overall use at all levels of the company unless limited by policy.

C. is prohibitive for turbojet aircraft due to high fuel consumption costs.

D. will be hard to sell to B. is the only practical meth- company officials since it od since direct operating cost ignores the greatest portion of aircraft costs. is readily measurable. Reference: NBAA Management Guide Content Area: BM3

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ANSWER KEY FOR SAMPLE EXAM QUESTIONS

1. C

21. B

41. D

61. C

81. A

2. A

22. A

42. D

62. C

82. A

3. C

23. D

43. B

63. C

83. A

4. C

24. A

44. C

64. A

84. D

5. D

25. A

45. B

65. C

85. B

6. D

26. B

46. C

66. B

86. D

7. B

27. A

47. C

67. C

87. B

8. C

28. A

48. D

68. B

88. A

9. A

29. A

49. A

69. A

89. A

10. A

30. D

50. C

70. C

90. A

11. C

31. D

51. D

71. B

91. B

12. D

32. A

52. B

72. B

92. C

13. A

33. D

53. B

73. C

93. B

14. B

34. B

54. B

74. C

94. D

15. D

35. B

55. A

75. A

95. A

16. A

36. B

56. C

76. A

96. A

17. C

37. D

57. B

77. C

97. B

18. A

38. B

58. D

78. D

98. C

19. B

39. C

59. D

79. C

99. A

20. A

40. A

60. D

80. A

100. A

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About NBAA

FOR MORE CAM INFORMATION

Founded in 1947 and based in Washington, DC, the National Business Aviation Association (NBAA) is the leading organization for companies that rely on general aviation aircraft to help make their businesses more efficient, productive and successful. Contact NBAA at (800) FYI-NBAA or [email protected]. Not a member? Join today by visiting www.nbaa.org/join.

Tel: (202) 793-9000 Email: [email protected] Web: www.nbaa.org/cam

NOT A MEMBER? Join NBAA at www.nbaa.org/join/cam

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