All Strategy articles – Page 1153
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Road to Damascus
Lord Hesketh, the charismatic chairman of British Mediterranean Airways, celebrates the airline's first anniversary in style. Guynter Endres/BEIRUT and DAMASCUS BRITISH MEDITERRANEAN Airways' charismatic chairman Lord Alexander Hesketh might not be the archetypal airline boss, but he has achieved success in one of the ...
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Brunei plans to expand
THE BRUNEI Department of Civil Aviation (DCA) is drawing up a three-phase expansion plan to develop the country's airport into a regional hub. Brunei wants to develop the airport following the formation of the East ASEAN Growth Area (EAGA), formed between Indonesia, Malaysia and the Philippines. Under the ...
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BA's Marshall eases back into non-executive role
British Airways chairman Sir Colin Marshall is to hand over his executive responsibilities to the group's current managing director, Bob Ayling, on 1 January, 1996. Under the changes, Ayling becomes chief executive, and Marshall becomes non-executive chairman. Ayling is a solicitor who joined BA in 1985 as legal director. He ...
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Caribbean airlines make fleet plans
Graham Warwick/MIAMI NEWLY PRIVATISED Caribbean airlines Air Jamaica and BWIA International Airways are moving ahead with fleet replacements and acquisitions of local regional carriers. Progress was detailed at the SH&E/Airline Business conference on Latin American aviation in Miami, Florida, held on 2-3 November. Air Jamaica has ...
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Air Greece almost breaks even after first year of operation
AIR GREECE, one of the new batch of privately owned Greek start-up carriers, says that it came close to break-even over its first year of operations to September 1995. The airline had sales of GDr2.1 billion ($9 million) over the year, carrying nearly 121,000 passengers on its scheduled ...
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Northwest action to block hostile bids angers KLM
Kevin O'Toole/LONDON SPECULATION OVER an impending shake-out in the US airline industry has sharpened with attempts by Northwest Airlines to put a cap on the amount any one shareholder can own in the carrier. The move has already run into controversy, with Northwest's partner KLM preparing ...
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Aircraft news
EVA Air, Taiwan's major independent airline, has signed a letter of intent to buy six new MD-90s, with an option for a further six. Tyrolean Airways of Austria has ordered four Canadair Regional Jets with an option on four more. British Airways Express operator CityFlyer Express ...
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Appointments
Mauricio Botelho has been appointed president and chief executive officer of Embraer. At KLM Cargo, Jan Meurer has been appointed vice president, operations, Enno Osinga is named vice president customer service, and Michael Kimman becomes business systems manager. Sjaak Hofstra becomes operations and marketing director, cargo service centre ...
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Moving targets
Singapore Airlines' chairman J Y Pillay calls it 'The genius of the organisation at work.' Productivity has become a mantra in an airline industry which is desperate to find ways of improving its long term financial performance. All airline managers are putting in a great deal of effort to improve ...
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The quest is on for market power
In coping with more airline consolidation, regulators could well be out of their depth.In a recent television interview, a reporter asked a simple question: 'Why would anybody want to buy an airline which has lost over $3 billion in the last five years?' Put like that, the interest being ...
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Hong Kong runway
The Orient Airlines Association (OAA) has joined with the International Air Transport Association to press Hong Kong to begin work on a second runway at Chek Lap Kok Airport. The OAA warns that Hong Kong's new airport could be saturated when it opens in 1998. Source: Flight International
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Hawaiian set to post profit
American Airlines has reprieved Hawaiian Airlines for the fourth time over $6.9 million in payments due on its leased DC10s, as the carrier continues its restructuring efforts after emerging from bankruptcy 14 months ago. The payments Hawaiian owes American represent lease and maintenance charges that accumulated late last ...
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Growing up
The flag carriers of the scattered Pacific islands are maturing and learning how to cooperate both with one another and major airlines. However, geography and colonial legacies remain the biggest obstacles to their future development. David Knibb reports. Isolation makes the scattered Pacific islands different from all other developing countries. ...
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Get smart inside the system!
For Northwest Airlines, record profits this year have been less a result of recent, company-wide efficiency programmes than of a series of initiatives - including route restructuring, employee concessions and alliance-building - stretching back several years. Nonetheless, 'smarter' flying and pricing have produced lower costs and higher yields for the ...
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Profit share: a stroke of genius
Singapore Airlines' chairman J Y Pillay has absolutely no doubt that in an unforgiving airline industry, survival rests on the continuing struggle to improve productivity and keep ahead of costs. And there can be little doubt that Pillay's message is getting through at an airline which consistently turns in some ...
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More than a fleeting gain?
At Malev Hungarian Airlines, a major improvement in efficiency is one of the main outcomes of a modernisation programme that started back in 1991 but only really started to take root last year. Indeed, commercial director Ferenc Turi says the restructuring has really only just begun in earnest. 'We are ...
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Express trial grinds to halt
After a year's trial of its innovative Lufthansa Express product, the German carrier has cherry-picked parts of the pilot scheme for a revamp of its domestic operation. A poor performance halted the extension of the pilot to the whole system as originally planned. The German flag carrier was ...
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European rules must be tighter
Sir - In your editorial "Associate membership" (Flight International, 20-26 September), "bizarre anomalies just around the corner" is a good description of what is being allowed to happen to civil aviation within the European Union. This particular club (non-affiliated) must be the only such to charge high subscription ...
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EVA enjoys the fruits of youth
If spectacular improvements in efficiency and productivity are a measure of success, then on the surface at least Taiwan's international newcomer EVA Airways appears to be setting new standards. Productivity, measured in terms of revenue per employee, soared 62 per cent last year. Unit costs plunged 21 per cent and ...
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PAL struggle: end in sight?
The seven-month standoff over control of Philippine Airlines between chairman Lucio Tan and the government is still delicately poised, but a compromise may yet settle the dispute. The future of the struggling Philippine flag carrier has been in limbo since March, when the government shareholders invoked a 1992 ...