Japan Airlines (JAL) is reorganising its business structure from 1 October as part of a plan to improve passenger experience, consolidate various functions in the company, increase efficiency and competitiveness, and save costs.
It is forming a 'customer experience division' to coordinate the work of its passenger marketing, airport, and cabin attendants divisions. It will manage the analysis, planning, implementation and feedback stages of customer service, says JAL.
"It will set the basic policies and strategies in maximising JAL's value to customers, and coordinate closely with the corporate safety division to forge a strong foundation for safe operations and customer satisfaction - the highest priorities of the JAL Group," it adds.
The airline is also reorganising its corporate planning, passenger marketing, cargo and mail, flight operations, engineering, airports and human resource divisions, as well as the general administrative departments within each division. This has streamlined the business units by almost 25%.
"The restructure has also streamlined numerous intermediary functions within the organisation in order to speed up decision-making processes that will strengthen the group's overall efficiency, as well as to minimise the backend and overhead costs which is a measure in line with JAL's cost-reduction plans," it says.
The carrier is also merging three subsidiaries that provide airport-related services into a single company - JAL Sky. In addition, a previously announced merger of four aircraft-maintenance companies will result in a new subsidiary, JAL Engineering, that will begin operations from October. It is also merging its travel-related subsidiaries to "strengthening the group's overall travel sales and planning capabilities".
"With the clear objective of improving profitability and securing sustainable growth in the future, the JAL group will continue reviewing its business model and implement necessary changes that will strengthen and rebuild its business foundations," adds JAL.
Source: Air Transport Intelligence news
