SpannerTwister
22nd Jul 2011, 04:27
Or maybe not :ugh: :ugh: :ugh:
Here it is..............
"Qantas is in trouble.
Make no mistake about that, decisions of previous management and board members has left us in this very worrying position we find ourselves in today"
I am here today to outline my new package for the business, a package for change, and make no mistake the changes start today and the airline you see in twelve months time will be vastly different from the one you see before you today.
First, it is obvious that we have an excess of staff, and this is something I will be addressing within the next seven days.
There will be a total reorganisation of the companies management structure.
There will be several “divisions” such as Flight Operations (everything to do with flight and cabin crew), Maintenance Operations (everything to do with aircraft maintenance), Airport Operations (everything to do with the Airports) and just a few others.
All divisions management structure will be the same, let me give you an example………….
The Flight Operations Manger will report to me.
Reporting to the F.O.M will be two people, Pilots Manager and Flight Attendants Manager.
The Pilots Manager will have two people reporting to them, Long-Haul Pilots Manager and Short-Haul Pilots Manager. Similarly with the F.A.M.
The L-H.P.M and S-H.P.M will be responsible for managing their areas, all pilots will report directly to their appropriate manager.
Short-Haul Pilot ==> Short-Haul Pilots Manager ==> Pilots Manager ==> CEO
Long-Haul Pilot ==> Long-Haul Pilots Manager ==> Pilots Manager ==> CEO
As well as significant cost savings, removing many unnecessary and duplicate layers of existing management will ensure that senior management is always fully aware of their applicable departments, “keeping their finger on the pulse” if you will.
Next, I have instructed our HR department to settle all outstanding industrial matters without further delay.
We must use common sense, we cannot afford to pay our pilots one million dollars a year, and on the other hand we recognise that they will not work for us for one hundred dollars a week either.
To this end I have instructed our HR department to finalise these matters with common sense and give and take, and I expect that the relevant industrial associations will join us in a new spirit of moving forward.
On the subject of these industrial claims, I have agreed that all Qantas flights will be operated by Qantas pilots.
This brings me to our next strategy change.
As you are aware Low Cost Carriers seem to be forming each day.
After examining our cost structure it is obvious that the Qantas we know cannot win with these carriers on price.
To this end, I announce that Qantas prices will be “competitive” with these LCC, but we will not be competing with them on price.
Instead we are going to compete with them, and win, on reliability, service, safety and something no other carrier in the world has, “The Qantas Brand”.
To ensure reliability effective immediately I have ordered that all of our engines will be overhauled “in-house”. Also, all heavy maintenance will be done by us in the future.
We have a very limited “window of opportunity” to correct the errors of previous management when they off-shored our aircraft maintenance.
We currently have sufficient senior and experienced engineers with the company to re-start this process, but many of these engineers will retire in the next ten years and once their experience has gone it will take a generation for us as an organisation to “re-learn” it, that is why we are doing this immediately, so these senior engineers can pass their life-time of experience to the next generation before these skills are lost from the company forever.
To the core of our business now.
As I have said, we cannot compete with the LCCs on cost.
To this end “Qantas” will ensure that it remains a premium airline, offering a premium product at all time.
“Qantas” will target both the business market and the VFR (visiting friends and relatives) market.
This market is less price-sensitive then the budget-end of the market and will pay a premium to fly with the “Qantas Brand”.
This price-premium will offer these passengers all the “bells and whistles” of a full-service airline.
Jetstar will aggressively target the low-budget traveller, with service levels comparable to other LCC’s.
We are working with regulators to reconfigure our routes so that internationally Qantas flies to premium destinations that we know that our passengers want to fly to, as a LCC Jetstar will fly to those destinations where we have identified that our budget-conscious customers wish to fly to.
We hear constantly that our aircraft look “old and ragged”.
To this end we have ordered a large number of new aircraft to replace our aging fleet.
However, it will be many years before these aircraft are all delivered.
In the meanwhile, as a matter of urgency, all of our aircraft will be getting an interior facelift.
We can, very quickly, and at a relatively cheap cost replace all of the sidewall panels, carpets, curtains and seat cushions in our aircraft.
This will give our passengers a much more comfortable flight experience while we await deliveries of the next generation of aircraft.
As far as finances within the company go we are also making a quantum change.
While it is of course both necessary and prudent that all departments are required to have an operating budget, all expenditure with any department will be required to be mindful not only of the effect of their decisions on their own department, but more-so on the effect of their decisions on the company as a whole.
No longer will departments be permitted to make financial decisions that save “them” money but have a negative effect on the companies bottom-line.
Department managers will not be criticised if “their” department runs “over-budget” if they can show that none-the-less their decisions were better overall for the Qantas group.
I have several other papers that I will let others follow me with below.
Thankyou.
Here it is..............
"Qantas is in trouble.
Make no mistake about that, decisions of previous management and board members has left us in this very worrying position we find ourselves in today"
I am here today to outline my new package for the business, a package for change, and make no mistake the changes start today and the airline you see in twelve months time will be vastly different from the one you see before you today.
First, it is obvious that we have an excess of staff, and this is something I will be addressing within the next seven days.
There will be a total reorganisation of the companies management structure.
There will be several “divisions” such as Flight Operations (everything to do with flight and cabin crew), Maintenance Operations (everything to do with aircraft maintenance), Airport Operations (everything to do with the Airports) and just a few others.
All divisions management structure will be the same, let me give you an example………….
The Flight Operations Manger will report to me.
Reporting to the F.O.M will be two people, Pilots Manager and Flight Attendants Manager.
The Pilots Manager will have two people reporting to them, Long-Haul Pilots Manager and Short-Haul Pilots Manager. Similarly with the F.A.M.
The L-H.P.M and S-H.P.M will be responsible for managing their areas, all pilots will report directly to their appropriate manager.
Short-Haul Pilot ==> Short-Haul Pilots Manager ==> Pilots Manager ==> CEO
Long-Haul Pilot ==> Long-Haul Pilots Manager ==> Pilots Manager ==> CEO
As well as significant cost savings, removing many unnecessary and duplicate layers of existing management will ensure that senior management is always fully aware of their applicable departments, “keeping their finger on the pulse” if you will.
Next, I have instructed our HR department to settle all outstanding industrial matters without further delay.
We must use common sense, we cannot afford to pay our pilots one million dollars a year, and on the other hand we recognise that they will not work for us for one hundred dollars a week either.
To this end I have instructed our HR department to finalise these matters with common sense and give and take, and I expect that the relevant industrial associations will join us in a new spirit of moving forward.
On the subject of these industrial claims, I have agreed that all Qantas flights will be operated by Qantas pilots.
This brings me to our next strategy change.
As you are aware Low Cost Carriers seem to be forming each day.
After examining our cost structure it is obvious that the Qantas we know cannot win with these carriers on price.
To this end, I announce that Qantas prices will be “competitive” with these LCC, but we will not be competing with them on price.
Instead we are going to compete with them, and win, on reliability, service, safety and something no other carrier in the world has, “The Qantas Brand”.
To ensure reliability effective immediately I have ordered that all of our engines will be overhauled “in-house”. Also, all heavy maintenance will be done by us in the future.
We have a very limited “window of opportunity” to correct the errors of previous management when they off-shored our aircraft maintenance.
We currently have sufficient senior and experienced engineers with the company to re-start this process, but many of these engineers will retire in the next ten years and once their experience has gone it will take a generation for us as an organisation to “re-learn” it, that is why we are doing this immediately, so these senior engineers can pass their life-time of experience to the next generation before these skills are lost from the company forever.
To the core of our business now.
As I have said, we cannot compete with the LCCs on cost.
To this end “Qantas” will ensure that it remains a premium airline, offering a premium product at all time.
“Qantas” will target both the business market and the VFR (visiting friends and relatives) market.
This market is less price-sensitive then the budget-end of the market and will pay a premium to fly with the “Qantas Brand”.
This price-premium will offer these passengers all the “bells and whistles” of a full-service airline.
Jetstar will aggressively target the low-budget traveller, with service levels comparable to other LCC’s.
We are working with regulators to reconfigure our routes so that internationally Qantas flies to premium destinations that we know that our passengers want to fly to, as a LCC Jetstar will fly to those destinations where we have identified that our budget-conscious customers wish to fly to.
We hear constantly that our aircraft look “old and ragged”.
To this end we have ordered a large number of new aircraft to replace our aging fleet.
However, it will be many years before these aircraft are all delivered.
In the meanwhile, as a matter of urgency, all of our aircraft will be getting an interior facelift.
We can, very quickly, and at a relatively cheap cost replace all of the sidewall panels, carpets, curtains and seat cushions in our aircraft.
This will give our passengers a much more comfortable flight experience while we await deliveries of the next generation of aircraft.
As far as finances within the company go we are also making a quantum change.
While it is of course both necessary and prudent that all departments are required to have an operating budget, all expenditure with any department will be required to be mindful not only of the effect of their decisions on their own department, but more-so on the effect of their decisions on the company as a whole.
No longer will departments be permitted to make financial decisions that save “them” money but have a negative effect on the companies bottom-line.
Department managers will not be criticised if “their” department runs “over-budget” if they can show that none-the-less their decisions were better overall for the Qantas group.
I have several other papers that I will let others follow me with below.
Thankyou.