PPRuNe Forums - View Single Post - MERGED: Alan's still not happy......
View Single Post
Old 21st Dec 2013, 20:22
  #1237 (permalink)  
tartare
 
Join Date: Oct 2007
Location: A better place.
Posts: 2,319
Received 24 Likes on 16 Posts
With respect - I think the calls here for Fyfe to be headhunted are a little misguided.
I haven't worked with Luxon - don't know him.
It's my view that Fyfe would simply not be able to cope with the depth and complexity of the problems QF faces.
He's very charming, looks the part - talks the talk - but....
I wouldn't be surprised if there had been secret squirrel discussions with him already - but I would be very surprised indeed if he accepted.
For a start, Norris had already stabilised the business when he took over the position at NZ, and the unions had been smashed. They weren't able to mount any effective opposition.
The airline had also been propped up with $800 million of cash.
FARSA was a spent force and made a pretty pathetic attempt at a strike, and the airline kept flying with little disruption.
NZALPA - despite the vitriol from some reps appeared to have a workable relationship with the airline. Things got a bit sporty at the time of the creation of Zeal - the shorthaul holding company - but from the limited amount I saw of the Industrial Relations side of things, it was managed.
The fleet decisions had been already been made with an early commitment to the 787 - despite pressure from two senior execs (one of whom is no longer with the airline) to seriously look at the A380 for LAX-LHR (thank God they didn't).
NZ's total staff numbers at the time were around a third of QFs.
It is much easier to implement profound change in engagement in a smaller organisation.
NZ's fleet at the time was also much smaller (x8 744s in longhaul for example) and had less types.
And it's long-haul route network is much less complex - long and skinny, and importantly, all routes terminate in NZ.
All Fyfe needed to do was come up with marketing ideas really.
Lets use exclusively kiwi food and beverage, products, leather on seats, decor, slogans etc.
That resonated with staff - and it became a virtuous circle of engagement.
Not really rocket science, or grand and radical business strategy.
The only thing he did that I thought was gutsy, is something that many of you would find utterly unpalatable.
Heavy maintenance in New Zealand was ended.
That made a big difference to the bottom line.
By contrast - as I learn more about your business, QF is big, much bigger.
I remember doing a back of the fag packet market cap calc at the time I was at NZ and QF on value alone was six times the size of NZ.
QF has a large number of fleet types. Some utter howlers of fleet decisions have been made.
It has a much more complex long-haul network.
It appears to be overstaffed in many areas.
It's still holding on to what appears to be an economically unsustainable heavy maintenance operation.
Engaged and no doubt decent staff appear outnumbered by a public service entitlement mentality.
Unions are strong, aggressive and highly vocal.
Quite a chalice to drink from.
And for the record - am not gloating - don't want to see QF fail - at all.
I shout at the TV whenever stories come on about it because I wish someone would get on with the job.
Maybe you do need a Willie Walsh at the helm.

Last edited by tartare; 21st Dec 2013 at 21:51.
tartare is online now