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New VA CEO ideas.

Old 18th Feb 2019, 12:56
  #21 (permalink)  
Join Date: Jul 2009
Location: Australia
Posts: 519
Originally Posted by Rotate2 View Post

Starting a thread of constructive ideas on the future of VA.
Essentially, what would you do if you were made CEO of VA to bring it to profitability?

If a quote from a recent newspaper article is correct then substantial change has to occur...

”Virgin has run at a statutory financial loss every year for the past six years, running up total losses of $1.6 billion over that period, and peaking at last year's loss of $653 million”.

I take the view that the logistical structure within aviation is the most important, it is an upside down version of the traditional corporate structure.
At the top are “frontline troops” e.g. tech crew, cabin crew, engineers, ground staff etc. The staff who actually get passengers from A to B. They are the most important staff and as such should be supported and rewarded well for their skills. They also are the best people to tap for advice on further efficiencies within the airline and customer experience.
At the base of this model is the CEO and management heads, they are the “support team” for the frontline troops. They provide whatever’s required for the troops to make the airline run.
So to answer my own question, basically if you’re not doing a job that helps get the aircraft airborne then you’re gone.
Close down the Sydney offices, Tigerairs Melbourne head office etc. Run the airline only from the Brisbane “village” with minimal staff, but not under-staffed.
Purchase the best software available (or design your own) with a simple user portal that all staff can access through company provided iPads. A workforce that is connected and informed. Flight and cabin crew rosters should be simplified keeping the same crew and aircraft throughout their duty where possible. A big reduction in overnight expenses and increase in staff morale.
Employ the best fuel hedgers money can buy, pilfer Qantas’ excellent team if possible.
Outsourcing is problematic in aviation. “In-source” all frontline staff; more expensive but ultimately provides stability, experience and loyalty (teamwork). This includes creating Virgins own catering and tarmac operations company. The staff are employed by VA but available to tender work to other airlines as well.
Approach VA shareholders and look for the best synergies e.g. lobby the Chinese for much greater mainland access and run the A330 to these multiple destinations. Offer our politicians “sweeteners” to help here similar to Qantas.
Tigerair should be a low cost domestic and international airline. Purchase REX Airlines (owned by Singapore/Temasek). REX feeds Tigerair and they feed Scoot or fly directly to Singapore. Purchasing REX would also alleviate some of the recent Qantas/ Alliance purchase pressure.
These are just some ideas, there’s so much potential within the VA Group to not only become profitable but a real force within the Pacific. It doesn’t have to be at the behest of Qantas either. Imagine if both airlines (and AIr New Zealand) worked in a loose alliance, a legal cabal. At the very least to cover our Australian “turf”.
Apologies for the long post, glad to hear constructive thoughts on how to turn VA around. A lot of people’s futures depend on it.

Purchase Rex??? Why, so VA can put half it's fleet of 340s up against the fence while still paying the leases, move the others to some other market and then pay Alliance to do the flying...
AerialPerspective is offline  
Old 19th Feb 2019, 20:09
  #22 (permalink)  
Join Date: Nov 2015
Location: Australia
Posts: 10
Hmmm, Aerial Perspective sounds like someone who a) is desperate to get onto the VA management greasy pole or b) who was there, was knocked off the greasy pole and is desperate to get back on again.
Always question the motivation of greasy pole climbers - they are rarely there for the good of humanity - this is true for any industry not just aviation.
Bonegi1 is offline  
Old 19th Feb 2019, 23:22
  #23 (permalink)  
Join Date: Nov 2007
Location: australia
Posts: 131
Originally Posted by RodH View Post
Get rid of that outdated B737 and get some much better A320's.
Very much better to pax in and far more efficient in baggage stowage etc.
Poor old B737 . it was good in it's days but it is old airframe technology that cant be updated much more.
Well I guess VA looked at all options before choosing the best aircraft for their airline and operation.
Sounds like you were never consulted.
SRM is offline  
Old 25th Feb 2019, 12:13
  #24 (permalink)  
Join Date: Sep 2002
Location: Australia
Posts: 554
Hmmm, Aerial Perspective sounds like someone who a) is desperate to get onto the VA management greasy pole or b) who was there, was knocked off the greasy pole and is desperate to get back on again.
Just sounds to me like he’s drawing a parallel with their past performance.
The Bullwinkle is offline  

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