High-flying Hawaiian Airlines boss in race to pilot Virgin Australia

[The Bullwinkle]

https://www.theaustralian.com.au/business/dataroom/highflying-hawaiian-airlines-boss-in-race-to-pilot-virgin-australia/news-story/6dcae8777549b10042ed7de2355fff23?login=1

[Dewa_Gede_70]

Behind a firewall

[coaldemon]

I thought he had only been CEO at Hawaiian for this year? Big move to leave Hawaii for Sydney.

[ebt]

The article talks about Mark Dunkerley, who retired from Hawaiian in March. He did amazing things with them, but I expect that Merryn will be the board's pick, despite her relative lack of achievements (IMHO) at the VA group.

[stormfury]

The article talks about Mark Dunkerley, who retired from Hawaiian in March. He did amazing things with them, but I expect that Merryn will be the board's pick, despite her relative lack of achievements (IMHO) at the VA group.

Achievments, who needs them when you’re a ‘popular leader’

From the article:
Group executive John Thomas was in line to take the top Virgin job but he departed last year, and Tigerair boss Merryn McArthur has been cited as a strong possibility to take the Virgin Australia job, given her reputation as a popular leader.

[PoppaJo]

I assume the three candidates are

CW
MD
RS

First two would be a step forward. Third fella...well yeah.....no thanks.

They need the expertise of CW to fix the Tiger mess which has dragged on a decade too long underperforming.

Then take it private and let SIA take the thing over.

[The Bullwinkle]

Tigerair boss Merryn McArthur has been cited as a strong possibility to take the Virgin Australia job, given her reputation as a popular leader.
Seriously! You can’t make this **** up!

[Buster Hyman]

Then take it private and let SIA take the thing over.Isn't it merging with VARA?

[Rated De]

Tigerair boss Merryn McArthur has been cited as a strong possibility to take the Virgin Australia job, given her reputation as a popular leader.

Precisely who and in what statistically valid sample confirmed this?
Or is it a throw away line, a bit of virtue signalling to fill column width for an otherwise very poor choice, who appears to have one strong redeeming feature; gender?

[Livinthedream320]

Isn't it merging with VARA?
Do you mean Tiger merging with VARA or VA ?

[Buster Hyman]

Do you mean Tiger merging with VARA or VA ?
VARA. Two tails, one 'office'.

[wheels_down]

From what I’ve got it’s as good as done.

MD starts 2 Qtr next year

Let the boning begin 👍

[Tommy Bahama]

From what I’ve got it’s as good as done.

MD starts 2 Qtr next year

The sooner the better....and let’s hope he drains the swamp.

[Gate_15L]

10 years of consistent turnaround performance... And one blip.... ?!:rolleyes:Virgin CEO search hits turbulence in final legBy Sarah Thompson (https://www.afr.com/sarah-thompson-j7ger) and Anthony Macdonald (https://www.afr.com/anthony-macdonald-j7gcx)10 Dec 2018 — 12:15 AM
The fasten seatbelts signs are flashing at Virgin Australia after its search for a new chief executive (https://www.afr.com/business/transport/aviation/virgin-australia-ceo-john-borghetti-to-step-down-20180612-h1195a) hit some unexpected turbulence.
Street Talk understands Virgin Australia's board was about to sign off on the appointment of former Hawaiian Airlines boss Mark Dunkerley, before a shocking and unexpected profit result from his former employer late last week prompted one final round of diligence.

Sources said Virgin Australia will ask Dunkerley for a please explain – and as long as he has a good explanation for Hawaiian Airlines' unexpected sales and earnings softness, then he expected to be steering the Australian airline in the new year. https://static.ffx.io/images/$width_343%2C$height_193/t_crop_fill/t_sharpen%2Cq_auto%2Cf_auto/5a218963ed2e43353df9f2419ca25ca143d46ad2 It is understood the first target Virgin Australia had in mind to replace outgoing boss John Borghetti (pictured) was an internal candidate.

It is understood the British born executive has already made plans to move to Australia to run Virgin Australia, but leave his family back in the United States. It means the CEO should have plenty of time to test his company's (and codeshare partners') services across the Pacific.

Dunkerley is said to be motivated by the challenge of running Virgin Australia's hefty P&L – which is fat at the top with almost $6 billion in revenue expected this financial year, but skinny at the bottom line. His job is to try and get more of that revenue flowing through to profit for shareholders.Shareholders are expected to be a big part of the focus. It is no secret that Virgin Australia (https://www.afr.com/street-talk/hna-fire-sale-spares-virgin-australia-for-now-20181202-h18m0h)is one of the most difficult companies to run in the country, with about 90 per cent of its issued equity owned by a handful of strategic investors. The strategics each have their own reasons for investing in the airline, as do minority investors. Bringing it all together is no easy task.

Sources said it had also not been an easy task for Virgin Australia to get the succession plan right. It is understood the first target they had in mind to replace outgoing boss John Borghetti was an internal candidate – John Thomas – however it didn't work out and he left in the middle of last year.

It has taken another 18 months to (just about) hire the next candidate, Dunkerley, who finished up at Hawaiian Airlines on March 1. His former employer has had a rocky run since he left. Its shares dropped heavily late last week when it revealed much softer-than-expected revenue for November, with weak demand and pricing for travel to and from the holiday destinations.

[Icarus2001]

It is no secret that Virgin Australia (https://www.afr.com/street-talk/hna-fire-sale-spares-virgin-australia-for-now-20181202-h18m0h)is one of the most difficult companies to run in the country, with about 90 per cent of its issued equity owned by a handful of strategic investors.

I am crying into my keyboard. Difficult to run in a cosy duopoly with QF? Similar fares and even network timetable. Give me a break. Who writes this rubbish?

[UnderneathTheRadar]

I would hate to be in a position where one would have to try keep the Chinese happy, the Emiratis happy, the Singaporean’s happy as well as keeping Branson himself happy too. Plus the agreements with Delta! And all the shamozzle with AirNZ... And with different code share agreements, they all have different objectives and goals!

This is has been evident in the past with VA’s service to Abu Dhabi... to keep Etihad happy. Tasman services and some services being dropped to keep AirNZ happy in the past. And then services to LA to keep Delta happy. And now services to HKG to keep HNA happy (and they have even said this on record).

The only consistency has been their domestic operation.

I do not envy any CEO going into such an absurd shareholder tug of war.

Don't forget buying Tiger to keep Singapore Airlines happy...

[airdualbleedfault]

Not sure about a 65/35 split being a "cosy duopoly" but yeah the domestic competition is definitely limited

[Icarus2001]

Not sure about a 65/35 split being a "cosy duopoly" but yeah the domestic competition is definitely limited Well what else is it then? QF and Jetstar versus Virgin and Tiger (with VARA tacked on).

I do not envy any CEO going into such an absurd shareholder tug of war. The stress and conflict of interest is at board level. The CEO follows the board and chairman's directions. It's not as if Borghetti has multiple bosses to appease or please. He simply follows what he is told. Of course his input into strategy is part of the mix but ultimately the board sets the agenda. The odd route here and there has been played with, agreed, but the vast majority have not. Just some odd strategic decisions.

[Icarus2001]

https://cimg5.ibsrv.net/gimg/pprune.org-vbulletin/250x216/southpac_1_ab38aaf555d61cfe220969e7cffc99aa51f08338.jpg Closer to 60/40

[Pastor of Muppets]

Anyone would think they were preparing for the second coming.

[Ken Borough]

Anyone would think they were preparing for the second coming.

And even the second coming won't help such a basket case!

[Gate_15L]

And even the second coming won't help such a basket case!
Says the QANTAS stooge.

:rolleyes:

[Bing Gordon]

https://cimg2.ibsrv.net/gimg/pprune.org-vbulletin/640x400/4762fdb9_849a_4b00_b280_3a82e4d0f212_a09294c76c12456567b7f1a 37bdc3e5948ae8916.jpeg
Three cheers for the new CEO

[DUXNUTZ]

https://cimg2.ibsrv.net/gimg/pprune.org-vbulletin/640x400/4762fdb9_849a_4b00_b280_3a82e4d0f212_a09294c76c12456567b7f1a 37bdc3e5948ae8916.jpeg
Three cheers for the new CEO


Dunkerly was largely quite liked by the pilot group. The board is the group that voted for/against pilot contracts, not the ceo.

[wheels_down]

Contract issues has been largely a USA wide issue for decades certainly not unique to HA.

[Bing Gordon]

Dunkerly was largely quite liked by the pilot group. The board is the group that voted for/against pilot contracts, not the ceo.


The placards literally have his name on them

[wheels_down]

Okay thanks for your input Mr Dunkley.
I was at LAX few months ago and Alaska Pilots were picketing on the sidewalk.

If if you have worked over there you would be well aware of industry contract problems. All bar Southwest !

[JPJP]

I was at LAX few months ago and Alaska Pilots were picketing on the sidewalk.

If if you have worked over there you would be well aware of industry contract problems. All bar Southwest !

Nope.

https://cimg5.ibsrv.net/gimg/pprune.org-vbulletin/750x421/4f4b224b_3b24_4215_84be_36d8064e9bc1_204779ba24c47476ebbb8f0 003eec362df986ea8.jpeg


Southwest Pilots.

https://www.bizjournals.com/dallas/news/2016/08/24/southwest-airlines-pilots-picket-at-love-field-as.html

Southwest Mechanics.

https://www.dallasnews.com/business/southwest-airlines/2017/08/16/southwest-airlines-mechanics-picket-five-years-without-new-contract

[The Bullwinkle]

Virgin has missed a golden opportunity by not appointing John Thomas, so now we’re going to get a FIFO CEO!
I’ll give him 18 months before he “resigns to spend more time with the family” blah blah blah.
It’s become a bloody circus under JB and no amount of banging fists on desks and shouting is going to compensate for the under resourced mess we see here today.
It’s a bloody shame.......

[Snakecharma]

Notwithstanding the personal loyalties that come with the fiefdom that the current CEO has built up around him, the blame for the mess needs to be laid directly at the feet of the chairperson.

There are differing reports about Thomas, but I still think he was the best bet the airline had. The US airline executive experiment has failed dismally in the past, particularly with the ex United band of incompentants, with the US airline environment being significantly different to the Australian one, and the US industrial and pilot environment being significantly different.

The ex Hawaiian Airlines guy is British but has spent a lot of time in the US, but tellingly it would seem has spent sod all in Australia.

How hard is it to find a ceo that is willing to treat people properly - find one of those and there is a half decent chance that the airline will succeed.

[Icarus2001]

It’s become a bloody circus under JB and no amount of banging fists on desks

Become a circus? It started that way and has not changed. Brett Godfrey was the first ringmaster. A legend in his own luch time.

[porch monkey]

The sooner you all get the "Meet the new boss, same as the old boss" mentality squared away, the easier your life becomes. There are no Herb Kellehers left. Especially in this country.

[Snakecharma]

Icarus, while I don’t agree with a number of Brett’s philosophies I believed he genuinely cared about the staff, and recognised that the staff, and more importantly their families, were the key to success. And for the most part the business made a profit.

Yes there were things that were not good, there were things that were poorly done, but at the end of the day it was a much better business and much better company to work for than now.

THAT all said, it is still one of the best jobs in aviation in Australia - and while that sounds like a contradiction, there are a heap of things this joint does well.

Finding the special sauce that puts all the good bits of then and now together into one package is the key. We aren’t there yet, and I am hopeful the new boss, whomever that may be, might go some way towards conjuring that magic.

I live in hope.

[The Bullwinkle]

There are no Herb Kellehers left.
I’d settle for a Gordon Bethune!

[gordonfvckingramsay]

There are no Herb Kellehers left.

There are but they will never get a gurnsey in this country, too progressive for the corporate culture.

[wheels_down]

so who’s actually running the joint at the moment?

[Snakecharma]

Excellent question!

[The Bullwinkle]

so who’s actually running the joint at the moment?
Nobody as far as I can tell.......

[The Bullwinkle]

Stevedore boss Paul Scurrah touted as Virgin CEO candidate.

WTF!!!
Do they just like to add a different name each week!
FFS.

https://aus.remonews.com/stevedore-boss-paul-scurrah-touted-as-virgin-ceo-candidate/

[DUXNUTZ]

Stevedore boss Paul Scurrah touted as Virgin CEO candidate.

WTF!!!
Do they just like to add a different name each week!
FFS.

https://aus.remonews.com/stevedore-boss-paul-scurrah-touted-as-virgin-ceo-candidate/

Maybe someone was offered the gig but didn’t want it. My money is on Merren.

[TBM-Legend]

Robert "Bob" Six.... CEO Continental and Gordon Bethune who wrote "From Worst to First!" on the resurgence of CO. Great read

[The Bullwinkle]

Robert "Bob" Six.... CEO Continental and Gordon Bethune who wrote "From Worst to First!" on the resurgence of CO. Great read
Absolutely brilliant read!
Unfortunately CEO’s don’t come from the same school of thought anymore, much to their detriment, as seen with JB.
Even more telling is where the profits from Gordon Bethune’s book went.
Can’t see JB giving one cent away from his book, not that anybody’s actually bought it!