DOCSLIB.ORG

LOADED Qantas Group CEO, Alan Joyce, Answers His Critics with Record Profits and Transformed International Operations

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
LOADED Qantas Group CEO, Alan Joyce, Answers His Critics with Record Profits and Transformed International Operations Vol. 23 No. 6 July-August 2016 orientaviation.com LOADED Qantas Group CEO, Alan Joyce, answers his critics with record profits and transformed international operations Lucrative Business Class King Power’s football U.S. open skies days are numbered says loving Thai tycoon buys policy changing Emirates Airline boss into Thai AirAsia course? innovation Industry insight:in global aerospace B:8.35” T:7.95” S:7” An oil that’s tough on scuff. Mobil Jet™ Oil 387— Specifically designed to prevent costly wear on the gears and bearings in your jet engine. We put our energy into a formulation that provides advanced load protection while resisting deposits and coking, because engine performance starts with the oil. B:11.14” T:10.75” S:9.9” mobiljetoil387.com Copyright © 2016 Exxon Mobil Corporation. All rights reserved. All trademarks used herein are trademarks or registered trademarks of Exxon Mobil Corporation or one of its subsidiaries unless otherwise noted. Component photographed courtesy of MD Turbines. Copyright © 2016 Exxon Mobil Corporation. All rights reserved. All trademarks used herein are trademarks or registered trademarks of Exxon Mobil Corporation or one of its subsidiaries unless otherwise noted. Component photographed courtesy of MD Turbines. Filename: 716639-4_V1.indd CLIENT: NYC BBDO New York ExxonMobil PRODUCT: AVI-Oil that’s tough-Inlet Gear Box Agency Job Number: P00002387 Cradle Job Number: 716639-4 JOB#: 716639-4 SPACE: Full Pg 4C Proof #: 1 Path: EG-PLUS-NY:Volumes:EG-PLUS-NY:EGPlus_ Created: 3-29-2016 4:54 PM BLEED: 8.35” x 11.14” Departments:Print:A‚ÄîF:BBDO:Exxon:716639-4:716639-4_Mechanicals:716639-4_V1.indd Saved: 6-22-2016 4:01 PM TRIM: 7.95” x 10.75” Operators: Chong, Patricia / Chong, Patricia Printed: 6-22-2016 4:01 PM SAFETY: 7” x 9.9” Print Scale: None GUTTER: None PUBS: Orient Aviation Ink Names: Cyan OOH Scaling Info: Fonts: EMprint Semibold, Bold, Regular, ISSUE: None Magenta Build Scale: 100% Condensed Regular TRAFFIC: Darcey Lund Yellow Final Safety : 9.9” H x 7” W ART BUYER: None Black Final Viewing Area : 10.75” H x 7.95” W ACCOUNT: None Final Trim : 10.75” H x 7.95” W RETOUCH: None Final Bleed : 11.14” H x 8.35” W PRODUCTION: None ART DIRECTOR: None COPYWRITER: None Ink Density: None Page: 1 of 1 IMAGES: xom_mjo_print_image_04_layered_071814.psd CMYK 525 ppi, -526 ppi exmo_elh_tm_w.eps Mobil_Jet_BLL_Technology_H_4C_R-TM.eps CONTENTS Volume 23, Issue 6 COVER STORY 22 LOADED Qantas Group CEO, PUBLISHED BY Alan Joyce, answers his ORIENT AVIATION MEDIA GROUP critics with record profits Mailing address: GPO Box 11435 Hong Kong and transformed Office: international operations 17/F Hang Wai Commercial Building, 231-233 Queen’s Road East, Wanchai, Hong Kong Tel: Editorial (852) 2865 1013 E-mail: [email protected] Website: www.orientaviation.com Publisher & Editor-in-Chief Christine McGee E-mail: [email protected] Chief Correspondent Tom Ballantyne Tel: (612) 9638 6895 Fax: (612) 9684 2776 E-mail: [email protected] Greater China Correspondent COMMENT NEWS BACKGROUNDERS Dominic Lalk Tel: (852) 2865 1013 5 U.S. barriers to regional airline expansion 14 India’s feeble aviation reform disappoints E-mail: [email protected] industry North Asia Correspondent ADDENDUM 15 China rides to the rescue at Virgin Australia Geoffrey Tudor 8 No more excuses warns THAI CEO 18 Garuda Indonesia’s Arif Wibowo: a bottom line Tel: (813) 3373 8368 E-mail: [email protected] zealot India Correspondent R. Thomas Tel: (852) 2865 1013 E-mail: [email protected] Photographers Rob Finlayson, Colin Parker, Graham Uden, Ryan Peters Chief Designer Chan Ping Kwan Printing Printing Station(2008) 8 Lucrative days of business class numbered predicts Emirates Airline boss ADMINISTRATION 8 China’s home grown Asian Regional Jet, the 20 U.S. open skies changing course? General Manager ARJ21, completes first revenue flight 26 Struck off: Airbus boss loses patience with Shirley Ho 9 Thai billionaire and Leicester City football team delinquent suppliers E-mail: [email protected] owner expands empire to Thai AirAsia ADVERTISING 9 CEO-designate says Star Alliance offers value to INDUSTRY SIGHT: INNOVATION IN Southeast Asia and the Pacific airline joint ventures GLOBAL AEROSPACE Christine McGee 28 Airbus’ astonishing ink jets of the future Tel: (852) 2865 1013 E-mail: [email protected] MAIN STORY 10 The invisible foe: countering cyber threats to The Americas / Canada Barnes Media Associates airlines’ safe operations Ray Barnes Tel: (1 434) 770 4108 Fax: (1 434) 927 5101 E-mail: [email protected] Europe & the Middle East REM International Stephane de Rémusat Tel: (33 5) 34 27 01 30 Fax: (33 5) 34 27 01 31 E-mail: [email protected] © All rights reserved 29 Digital passports make airport security obsolete? Wilson Press HK Ltd., 30 Airport security experience is the worst part of Hong Kong, 2016 travelling JULY-AUGUST 2016 / ORIENT AVIATION / 3 OUR ENGINEERS HAVE DISCOVERED A WAY TO MAKE HEARTS BEAT CLOSER Regional turboprop airplanes powered by Pratt & Whitney Canada engines are in service with more than 550 operators in 130+ countries. We have produced more than 8,300 regional turboprop engines, accumulating more than 165+ million flying hours. This is evolutionary engineering. COMMENT U.S. barriers to regional airline expansion As the U.S. presidential election approaches on November 8, the U.S. believe the policy threatens American jobs and puts an issue of concern for Asia-Pacific airlines is the fate of the undue pressure on the big U.S. carriers, despite their booming Trans-Pacific Partnership Agreement (TPPA), a groundbreaking businesses. regional free trade agreement that was formally signed in New Examples supporting the changed U.S. position are Zealand last February. Signatories to the TPPA were the U.S., attempts to halt the accelerating capacity foreign airlines, Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, Peru, particularly from the Middle East, but also from Mainland China, New Zealand, Singapore and Vietnam. want to put into North America. As well, discussions on an open Republican presidential contender, Donald Trump, has said skies treaty between the U.S. and China have stalled, with no he will dump the TPPA if he is elected. Democratic presidential resolution in sight. candidate, Hillary Clinton, favoured the TPPA when she was Another indicator of a changed U.S. approach to liberal U.S. secretary of state. She changed her mind earlier this year skies is the U.S. Department of Transportation’s (DoT) lengthy to counter support that then rival Democratic candidate, Bernie delay in approving the joint venture between Qantas Airways Sanders, had garnered by opposing the TPPA. and American Airlines. Australia and New Zealand have Since then, the Democratic Party has voted against approved the partnership, but it is felt the U.S. is holding off an amendment to a platform that would have opposed the consent until the country’s aviation bureaucrats know who their TPPA, but said any trade deal must protect workers and the president will be. environment. While no one wants to overreact to these separate sets Asia-Pacific supporters of the TPPA regard it as critical of circumstances, if it is true that the U.S. is beginning to to the region’s economic growth - and therefore air traffic re-regulate to protect its own airlines, then it would hardly be expansion. But there is a growing fear, exemplified by the visit to surprising if other nations did the same, including countries Washington DC by Singapore prime minister, Lee Hsien Loong, where U.S. carriers either do good business or where they want in August, that the pact won’t be ratified by President Obama to build their businesses. And that includes the Asia-Pacific. and that it won’t see the light of day after he departs from office. In an era where airlines are seeking more freedom to Adding to the uncertainty about future U.S. trade policy operate across borders rather than less, a new wave of U.S. are indicators that U.S. aviation regulators are being pressured aviation protectionism would be a grim prospect indeed, by special interest groups to roll back the open skies aviation particularly if airlines in the world’s largest future market policy the country has pursued for years. Open Skies critics in decided to retaliate against a retrograde U.S. aviation policy. ■ TOM BALLANTYNE Chief Correspondent Orient Aviation Media Group The most trusted source of Asia-Pacific commercial aviation news and analysis ORIENT AVIATION ORIENT AVIATION ORIENT AVIATION CHINA INDIA “It has established itself as the primary source of information on industry topics in the Asia-Pacific region” JULY-AUGUST 2016 / ORIENT AVIATION / 5 What is today’s best aircraft investment that ensures profitability? Airbus Widebody aircraft. Offering standard 18 inch wide seats in economy. Unrivalled low operating costs of the A330, 25% less fuel burn with the A350 XWB, up to 65% more profit per flight with the A380. Airbus is the answer. airbus.com © AIRBUS, 2016. All rights reserved. Airbus, its logo and the product names are registered trademarks. Airbus_OrientAviation_July.indd Pg1 Prodigious UK 16/06/2016 12:07 What is today’s best aircraft investment that ensures profitability? Airbus Widebody aircraft. Offering standard 18 inch wide seats in economy. Unrivalled low operating costs of the A330, 25% less fuel burn with the A350 XWB, up to 65% more profit per flight with the A380. Airbus is the answer. airbus.com © AIRBUS, 2016. All rights reserved. Airbus, its logo and the product names are registered trademarks. Airbus_OrientAviation_July.indd Pg1 Prodigious UK 16/06/2016 12:07 ADDENDUM No more excuses warns THAI boss Thailand remains Europe’s favourite long-haul conference in Zurich, Charamporn conceded Charamporn arrived at THAI there were 11 getaway.
Load more

Recommended publications
  • Air Transport Industry Analysis Report
    Annual Analyses of the EU Air Transport Market 2016 Final Report March 2017 European Commission Annual Analyses related to the EU Air Transport Market 2016 328131 ITD ITA 1 F Annual Analyses of the EU Air Transport Market 2013 Final Report March 2015 Annual Analyses of the EU Air Transport Market 2013 MarchFinal Report 201 7 European Commission European Commission Disclaimer and copyright: This report has been carried out for the Directorate General for Mobility and Transport in the European Commission and expresses the opinion of the organisation undertaking the contract MOVE/E1/5-2010/SI2.579402. These views have not been adopted or in any way approved by the European Commission and should not be relied upon as a statement of the European Commission's or the Mobility and Transport DG's views. The European Commission does not guarantee the accuracy of the information given in the report, nor does it accept responsibility for any use made thereof. Copyright in this report is held by the European Communities. Persons wishing to use the contents of this report (in whole or in part) for purposes other than their personal use are invited to submit a written request to the following address: European Commission - DG MOVE - Library (DM28, 0/36) - B-1049 Brussels e-mail (http://ec.europa.eu/transport/contact/index_en.htm) Mott MacDonald, Mott MacDonald House, 8-10 Sydenham Road, Croydon CR0 2EE, United Kingdom T +44 (0)20 8774 2000 F +44 (0)20 8681 5706 W www.mottmac.com Issue and revision record StandardSta Revision Date Originator Checker Approver Description ndard A 28.03.17 Various K.
    [Show full text]
  • Silk Road Air Pass: a CAREC Proposal
    Silk Road Air Pass: A CAREC proposal Revised Draft, 1 August 2020 This proposal/study was prepared for ADB by Brendan Sobie, Senior Aviation Specialist and Consultant for CAREC Table of Contents: Concept Introduction ……………………………………………………………. Page 2 Summary of Opportunities and Challenges …………………………… Page 3 Historic Examples of Air Passes and Lessons Learned ……………. Page 4 Silk Road Air Pass: The Objective …………………………………………… Page 9 Silk Road Air Pass: Regional International Flights …….…………… Page 11 Silk Road Air Pass: Domestic Flights ………………….…………………. Page 14 Silk Road Air Pass: Domestic Train Travel ..…………………………… Page 18 Silk Road Air Pass: the Two CAREC Regions of China ………….. Page 19 Silk Road Air Pass: Promoting Flights to/from CAREC …………… Page 21 Silk Road Air Pass: Sample Itineraries and Fares…. ………………. Page 23 Conclusion: Why Now? ……………………………………………………….. Page 26 Conclusion: Possible Conditions to Facilitate Success …………. Page 27 Addendum: Embracing New Technology ..………………………….. Page 28 Concept Introduction: Air passes have been used for over three decades by the airline and travel industries to facilitate travel within regions by offering a block of several one-way flights at a discount compared to buying the same flights separately. They are typically sold to tourists from outside the region planning a multi-stop itinerary. By selling a package of flights, often on several airlines, air passes can make travel within a region easier and more affordable, enabling tourists to visit more countries. While their overall track record is mixed, air passes have succeeded in the past at stimulating tourism in several regions, particularly regions that were suffering from high one-way air fares. In recent years one-way air fares have declined significantly in most regions, limiting the appeal of air passes.
    [Show full text]
  • Stations Monitored
    Stations Monitored 10/01/2019 Format Call Letters Market Station Name Adult Contemporary WHBC-FM AKRON, OH MIX 94.1 Adult Contemporary WKDD-FM AKRON, OH 98.1 WKDD Adult Contemporary WRVE-FM ALBANY-SCHENECTADY-TROY, NY 99.5 THE RIVER Adult Contemporary WYJB-FM ALBANY-SCHENECTADY-TROY, NY B95.5 Adult Contemporary KDRF-FM ALBUQUERQUE, NM 103.3 eD FM Adult Contemporary KMGA-FM ALBUQUERQUE, NM 99.5 MAGIC FM Adult Contemporary KPEK-FM ALBUQUERQUE, NM 100.3 THE PEAK Adult Contemporary WLEV-FM ALLENTOWN-BETHLEHEM, PA 100.7 WLEV Adult Contemporary KMVN-FM ANCHORAGE, AK MOViN 105.7 Adult Contemporary KMXS-FM ANCHORAGE, AK MIX 103.1 Adult Contemporary WOXL-FS ASHEVILLE, NC MIX 96.5 Adult Contemporary WSB-FM ATLANTA, GA B98.5 Adult Contemporary WSTR-FM ATLANTA, GA STAR 94.1 Adult Contemporary WFPG-FM ATLANTIC CITY-CAPE MAY, NJ LITE ROCK 96.9 Adult Contemporary WSJO-FM ATLANTIC CITY-CAPE MAY, NJ SOJO 104.9 Adult Contemporary KAMX-FM AUSTIN, TX MIX 94.7 Adult Contemporary KBPA-FM AUSTIN, TX 103.5 BOB FM Adult Contemporary KKMJ-FM AUSTIN, TX MAJIC 95.5 Adult Contemporary WLIF-FM BALTIMORE, MD TODAY'S 101.9 Adult Contemporary WQSR-FM BALTIMORE, MD 102.7 JACK FM Adult Contemporary WWMX-FM BALTIMORE, MD MIX 106.5 Adult Contemporary KRVE-FM BATON ROUGE, LA 96.1 THE RIVER Adult Contemporary WMJY-FS BILOXI-GULFPORT-PASCAGOULA, MS MAGIC 93.7 Adult Contemporary WMJJ-FM BIRMINGHAM, AL MAGIC 96 Adult Contemporary KCIX-FM BOISE, ID MIX 106 Adult Contemporary KXLT-FM BOISE, ID LITE 107.9 Adult Contemporary WMJX-FM BOSTON, MA MAGIC 106.7 Adult Contemporary WWBX-FM
    [Show full text]
  • Thailand's Internal Nation Branding
    Petra Desatova, Nordic Institute of Asian Studies CHAPTER 4: THAILAND’S INTERNAL NATION BRANDING In commercial branding, ambassadorship is considered a crucial feature of the branding process since customers’ perceptions of a product or a service are shaped through the contact with the employees who represent the brand. Many companies thus invest heavily into internal branding to make sure that every employee ‘lives the brand’ thereby boosting their motivation and morale and creating eager brand ambassadors.1 The need for internal branding becomes even more imperative when it comes to branding nations as public support is vital for the new nation brand to succeed. Without it, nation branding might easily backfire. For example, the Ukrainian government was forced to abandon certain elements of its new nation brand following fierce public backlash.2 The importance of domestic support, however, goes beyond creating a favourable public opinion on the new nation brand. As Aronczyk points out, the nation’s citizens need to ‘perform attitudes and behaviours that are compatible with the brand strategy’ should this strategy succeed. This is especially the case when the new nation brand does not fully reflect the reality on the ground as nation branding often produces an airbrushed version rather than a truthful reflection of the nation, its people, and socio-political and economic conditions. Although some scholars are deeply sceptical about governments’ ability to change citizens’ attitudes and behaviours through nation branding, we should not ignore such attempts.3 This chapter examines Thailand’s post-coup internal nation branding efforts in the education, culture, public relations and private sectors: what were the political motivations behind these efforts? I argue that the NCPO was using internally focused nation branding to diffuse virtue across Thai society in preparation for the post-Bhumibol era.
    [Show full text]
  • ASX/Media Release
    ASX/Media Release QANTAS GROUP POSTS SIGNIFICANT LOSS FROM FULL YEAR OF COVID • Underlying Loss Before Tax: $1.83 billion • Statutory Loss Before Tax: $2.35 billion • $12 billion revenue impact from COVID-19 crisis in FY21 • Net debt reduced in 2H21 to $5.9 billion • Statutory Net Free Cash flow of $267 million in 2H21 • Restructuring program ahead of target, delivering $650 million in year one • Total liquidity of $3.8 billion, providing buffer against uncertainty • 95 per cent of domestic flying cash positive • Record performance by Qantas Freight mostly offsetting cost of idling international operations • Continued strong cash generation, growth in members at Qantas Loyalty • Updated plan for restart of international services from end-2021 • Ongoing flexibility for customers in response to booking uncertainty 26 August 2021: The Qantas Group has posted a substantial full year loss as a result of the COVID crisis – but has started FY22 in a fundamentally better position to deal with uncertainty and manage its recovery compared with 12 months ago. Total revenue loss from COVID reached $16 billion as the full year impact of minimal international travel and multiple waves of domestic border restrictions continued to hit travel demand. The Group’s Underlying PBT loss was $1.83 billion. The statutory loss before tax – which includes one-off costs such as redundancies and aircraft write downs – was $2.35 billion. Underlying EBITDA was $410 million, in line with guidance provided in May. Periods of open domestic borders in the second half saw significant cash generation by Qantas and Jetstar, which helped the Group to reduce net debt from $6.4 billion in February 2021 down to $5.9 billion by the end of June.
    [Show full text]
  • This Company Was Founded 100 Years Ago in the Wake of a World War and a Devastating Pandemic
    QANTAS ANNUAL REPORT 2020 QANTAS ANNUAL REPORT 2020 CEO’s Report “This company was founded 100 years ago in the wake of a world war and a devastating pandemic. We know that things will improve, and that the Qantas Group will thrive when it does.” This year was one of sharp contrasts. After years of record profits, our balance sheet is strong. That enabled For most of FY20, the Qantas Group us to raise over $2 billion in debt in was focused on growth. We opened Support from the Australian Seeing so many people leave this This company was founded 100 years addition to a $1.4 billion equity raising, our pilot academy in Queensland, Government — for the aviation organisation, and many more stood ago in the wake of a world war and giving us the extra liquidity to make it announced new routes and were industry and for the broader economy down from the jobs they love, has a devastating pandemic. We know through to the other side of the crisis. actively hiring new people. We — was a key feature of FY20. In been the hardest part of this crisis. that things will improve, and that the had completed historic non-stop The Group’s strengths are also clear in particular, JobKeeper provided a We continue to offer them as much Qantas Group will thrive when it does. research flights from New York and its FY20 performance. crucial safety net for the thousands support as we can. One positive is the London direct to Sydney, and we of our people on stand down, and feedback from other companies that Despite a 21 per cent drop in revenue, were preparing to order the aircraft continues to do so.
    [Show full text]
  • Standard on Future Airline Distribution – a Critical Analysis
    IMPACT OF THE NEW DISTRIBUTION CAPABILITY (NDC) STANDARD ON FUTURE AIRLINE DISTRIBUTION – A CRITICAL ANALYSIS Yvonne Ziegler Frankfurt University of Applied Sciences, Frankfurt, Germany Jörg Troester Hahn Air Lines Abdul Mu’ti Sazali Frankfurt University of Applied Sciences, Frankfurt, Germany ABSTRACT In 2012 IATA has initiated a new communication standard in airline distribution called New Distribution Capability (NDC) that will enable airlines, IT providers, and travel agents to work together to create new capability in the distribution of airline products and services as well as to simplify the business. NDC has been introduced to solve limitations of the existing programs in the distribution system and to represent the modernization of future air travel distribution. NDC standard intends to give a potential impact on future airline distribution where airlines will have wider opportunities to directly interact with intermediaries and reduce commission fees to the Global Distribution System (GDS). This study, in particular, confirms that airline distribution specialists firmly believe that NDC constitutes an important development in the airline industry and, while still being in its development stage, it clearly has the potential to address today´s market issues and to solve tomorrow´s challenges. Keywords: New Distribution Standard, Airline Distribution, Global Distribution Systems. Professor Dr Yvonne Ziegler: Frankfurt University of Applied Sciences, Germany. E-mail: [email protected] (corresponding author) Jörg Troester: Hahn Air Lines, Germany. E-mail: [email protected] Abdul Mu’ti Sazali: Frankfurt University of Applied Sciences, Germany. E-mail: [email protected] Journal of Air Transport Studies, Volume 8, Issue 2, 2017 Page 104 1.
    [Show full text]
  • Qantas Notice of Meeting 2008 2008 Annual General Meeting
    2008 Notice of Meeting 27 October 2008 Dear Shareholder 2008 Annual General Meeting 2. Election of Directors 2.1 Alan Joyce The 2008 Annual General Meeting (AGM) of Qantas Alan Joyce was appointed by the Directors as an Executive Airways Limited (Qantas) is to be held at 11:00am on Friday, Director on 28 July 2008 pursuant to clause 6.5(a) of the 28 November 2008 in the Plaza Terrace Room of the Brisbane Qantas Constitution, which allows the Board to appoint Convention and Exhibition Centre, corner of Merivale and a Director to fill a casual vacancy or as an addition to the Glenelg Streets, South Bank, Brisbane. The formal Notice existing Directors. of Meeting is attached. Mr Joyce retires as required by clause 6.5(b) of the Qantas Shareholders who are unable to attend the AGM and have Constitution and, being eligible, offers himself for election access to the Internet will be able to access a live webcast of as an Executive Director. the AGM on the Qantas website at www.qantas.com.au/info/ about/investors/agms. Mr Joyce will succeed Geoff Dixon as Chief Executive Officer following his retirement at the conclusion of the 2008 AGM. Business Mr Joyce is a former Director of Orangestar Investment Holdings Pte Limited (holding company of Singapore-based . Consideration of Reports Jetstar Asia and Valuair) and Jetstar Pacific Airlines Aviation The Financial Report, the Directors’ Report and the Joint Stock Company (in Vietnam). Independent Audit Report for the year ended 30 June 2008 Mr Joyce was appointed Chief Executive Officer of Jetstar in (which are contained in the 2008 Annual Report) will be October 2003.
    [Show full text]
  • Insight June 2018 Partnerships Between Airlines: the Strategy to Win the Asian Market
    INSIGHT JUNE 2018 PARTNERSHIPS BETWEEN AIRLINES: THE STRATEGY TO WIN THE ASIAN MARKET. In a context of intense rivalry, airlines are facing This agreement allows passengers to switch from multiple challenges: high fleet renewal and one flight operated by the first airline to another maintenance costs, advent of new business models, flight operated by the other airline without picking or regulatory changes. Since internal growth or up their luggage or checking-in a second time. competitors’ takeover may be hard, airlines often The cooperation between two companies can go a choose to cooperate with each other. These little further with codeshare agreements. These are partnerships exist in more or less complex forms commercial arrangements in which two or more and constitute crucial levers for airlines to enter a airlines share the same flight. The marketing airline new market or strengthen their position in fast has the ability to publish and sell the seats offered growing areas like Asia. by the operating airline under its own identification number. This cooperation offers a greater selection of flights and thus a greater network coverage. Origin and types of partnerships Finally, the agreement may relate to the airlines’ The beginning of collaborations loyalty programs. The grouping of loyalty programs and lounges access allows travelers to accumulate After the airline deregulation in the 1980s, airlines the loyalty points and therefore to access the same have been facing a rapidly-growing international benefits and service quality while traveling with demand. Travellers were asking for a wide range of different airlines. potential destinations but traditional airlines wasn’t able to cope with the demand; Therefore, airlines These three types of agreements form the basis of needed to find business partners able to expand all bilateral alliances between airlines but also their network coverage.
    [Show full text]
  • Virtual Interlining Seizing the Opportunity for Airlines and Airports
    PhocusWire White Paper November 2018 VIRTUAL INTERLINING SEIZING THE OPPORTUNITY FOR AIRLINES AND AIRPORTS In cooperation with Written by Linda Fox 2 “We believe that, by 2021, airline distribution will evolve from its current passive, rigid and technology-centric state to a more flexible, dynamic and passenger-centric environment which we call Active Distribution.” (IATA) Airline initiatives - such as IATA’s New Distribution There is no letup as the forecast for 2036 is a near doubling Capability, direct connect and API developments - and of air passengers to 7.8 billion. Say that to yourself a couple tentative explorations around blockchain are conspiring of times and consider the current air shopping, airport and with wider economic factors - such as rising fuel prices, overall travel experience to let it sink in. labor issues and general turbulence in the global economy - to make everyone in aviation stop to consider where New ways of doing things will continue to emerge and revenue will come from going forward. It’s making airlines evolve. In its Future of Distribution 2016 to 2021 report, question how old systems might be improved upon, IATA says: reinvented or ditched in the digital world. “We believe that, by 2021, airline distribution will evolve from Then there’s the consumer who expects everything online its current passive, rigid and technology-centric state to a regardless of the access device. He or she can do more more flexible, dynamic and passenger-centric environment for themselves than ever before via the internet in terms of which we call Active Distribution.” shopping, banking, travel and more and expectations of this The emergence of virtual interlining is a good example and self-service world continue to rise.
    [Show full text]
  • Aviation Scenario in Today's World
    Aviation Scenario in Today’s World With over 3000 jetliners on backlog and over 800 delivered in 2004, all signs indicate that we are just pass the high point of the jetliner “boom” in the classic boom/bust order cycle. But this has been a very unusual boom. For one thing, 2003 was expected to be a recovery year, not a peak year. With well over 650 orders it turned into a peak year although 2004 matched it with over 700 orders. And then to use an overused metaphor it just kept going like an Energizer Bunny—2005 has already passed 2004 in orders within a 7 month period and with major orders from the likes of Virgin Atlantic Airlines, Emirates, Qantas, Singapore Airlines and Gulf Air still expected to come, 2005 could well be the peak year for orders placed in Commercial Aviation History. Yet this cycle looks different. Airlines dint really queue up to place orders, rather manufacturing giants Airbus and Boeing pounded the pavement, aggressively selling aircrafts at a discount. In 2003, the leasing companies began to replace actual airlines in the order’s book—about 30% of the backlog now compromises lesser, who are essentially buying planes in the hope that the market will continue to grow. Jetliner pricing has been extremely soft with the list prices of both Boeing and Airbus remaining frozen from 2002-2004, the first time this has happened in a decade. In 2005 both manufacturer’s announced that they are raising list prices but list prices have become irrelevant. Anecdotal evidence suggests rampant discount pricing with rumors of as low prices as 80 million dollars for the Airbus 330s that were bought by North West Airlines which are listed at 240 million a piece.
    [Show full text]
  • The Future of Leadership
    The Future of Leadership The Future April 2010 Abu Dhabi Chicago Kuala Lumpur New Delhi Stuttgart Amsterdam Cologne Lisbon New Jersey Sydney Athens Copenhagen London New York Taipei Atlanta Dallas Los Angeles Oslo Tokyo Auckland Detroit Madrid Paris Toronto Bangkok Dubai Melbourne Philadelphia Vienna Barcelona Düsseldorf Mexico City Prague Warsaw Beijing Frankfurt Miami Rome Washington Berlin Hamburg Milan San Francisco Zurich The Future of Leadership Boston Helsinki Minneapolis Santiago Brussels Hong Kong Monterrey São Paulo Budapest Houston Moscow Seoul Conversations with Leaders about Their Challenges and Opportunities Buenos Aires Istanbul Mumbai Shanghai Canberra Jakarta Munich Singapore Casablanca Kiev Nagoya Stockholm bcg.com The Boston Consulting Group (BCG) is a global manage- ment consulting firm and the world’s leading advisor on business strategy. We partner with clients in all sectors and regions to identify their highest-value opportunities, address their most critical challenges, and transform their businesses. Our customized approach combines deep in- sight into the dynamics of companies and markets with close collaboration at all levels of the client organization. This ensures that our clients achieve sustainable compet- itive advantage, build more capable organizations, and secure lasting results. Founded in 1963, BCG is a private company with 69 offices in 40 countries. For more infor- mation, please visit www.bcg.com. The Future of Leadership Conversations with Leaders about Their Challenges and Opportunities Grant Freeland Kimberly Powell Rolf Bixner Andrew Dyer April 2010 bcg.com © The Boston Consulting Group, Inc. 2010. All rights reserved. For information or permission to reprint, please contact BCG at: E-mail: [email protected] Fax: +1 617 850 3901, attention BCG/Permissions Mail: BCG/Permissions The Boston Consulting Group, Inc.
    [Show full text]