MERGED: Alan's still not happy......

[Nassensteins Monster]

You don't make a profit by siloing and duplication of managerial, supervisory and support roles.

You don't make a profit with 1 manager or supervisor for every 2.1 employees.

You don't make a profit by operating a 4-engine aircraft that burns 30% more fuel and requires more maintenance and spares than a big twin that can do a similar job.

You don't make a profit if you continually erode your core strengths such as engineering training, component maintenance, overhaul, etc etc and don't try to chase work or sell yourself as the best or most experienced in the world.

You don't make a profit by stooping to the lowest common denominator "world's best practice". In so many things we did, WE WERE WORLDS BEST PRACTICE.

You don't make a profit by shutting down the worlds longest constantly operating airline. Over to you, Aeroflot.

You don't make a profit if you alienate those customers with long memories and zero forgiveness (Asians) in the very market you are trying to penetrate and relying on for your future growth. Asians are as parochial as us. We, Qantas, won a toehold in Asia with decades of effort, undone by an overly emotional and needless act - when just the threat of action would have achieved the same result - that to this day will NEVER be forgiven or forgotten by a large proportion of the well-heeled of Asia, our target market. You won't fool them by painting your planes orange and silver instead of red and white. Never treat an Asian like a fool. We are managing to treat them like fools twice. And they will relish the opportunity to pay us back with interest.

You don't make a profit by hanging your hat on securing a chunk of that much vaunted growth in Asia over the next 20 years with a huge fleet of narrow bodies - when Asians' preference is to fly wide bodies; and the airport infrastructure will not cope with the vast new fleet; and airport management do not want you wasting slots in their capacity-restricted airports.

You don't make a profit by alienating, disengaging and fighting your workforce. You make a profit by leading from the front, not managing from the rear.

You don't make a profit when you fail to innovate. We led the world with business class and engine maintenance, but dragged our feet on premium economy, decent IFE, lie-flat beds, internet...

You don't make a profit when you let an accountant/mathematician run the business. Accountants know the cost of everything but the value of nothing.

You don't make a profit when you let HR types build a parasitic empire that insulates the company against its staff.

You don't make a profit when people in offices with no idea about operations dictate practices and procedures upon operational staff that decrease their productivity rather than increase it.

You don't make a profit by spending $600 million on an IT system that results in a 20% loss of productivity, and does little to increase compliance, when a $50 million IT solution would have provided a better result.

You don't make a profit by hiding the true cost of the LCC with highly favourable contract terms, subsidised maintenance and support, gifted routes, etc etc.

You don't make a profit by dithering over the hard decisions. Communicate the need. Make the decision. Act. Support those affected..

You don't make a profit if you don't give your staff the tools to do better, to do more with less: IT, training, logistics, policies, procedures, systems.

You don't make a profit by giving away all your contract work. If nothing else it subsidises your own operations and steals the oxygen from your competitors, preventing them reaching a more competitive critical mass.

You don't make a profit by failing to recognise the inherent weaknesses in your own business model and adjusting accordingly, rapidly and decisively. You don't make a profit by pushing a bad position.

You don't make a profit by drawing a line in the sand. When the tide turns your line in the sand will be wiped clean. You do your best or better with what you have and let your competitors pauper themselves by fruitlessly adding capacity. You run your own race. You act instead of reacting.

You don't make a profit by being a hypocrite. As a business leader you build your foundations on bedrock. You carve your principles, standards, morals and ethics in stone. You live and die judging yourself against what you have carved in stone. You expect the same of your staff. And more than likely you will receive it.

You don't make a profit by lying to yourself or professing to know everything about your business. Disengagement is real and damaging this company. Get real. Get out of the office. Listen. And hear what is said. More importantly act on what you hear.

You don't make a profit with layers of bureaucracy, red tape and bull$h!t. Cut it back, let it go, encourage your staff to participate in fine-tuning your business so that it can sing.