If you was the Qantas boss what would you have announced on Monday?

[RSD]

It would be interesting to see what others on here would have done if they were the boss of Qantas - it could be quite interesting to hear some other ideas.

 

[Reggie]

It would be interesting to see what others on here would have done if they were the boss of Qantas - it could be quite interesting to hear some other ideas.

I would have bought a heap of QF shares, then announced my immediate resignation, made a motsa from the increased value in my shares, and flown home first class with EK, on the A380, using the onboard shower to clean off the muck, with only one stop in DBX, whilst counting my enormously large payout.

 

[RSD]

Perhaps I should have been a little clearer...

If you was the boss at Qantas what would you have announced regarding routes, aircraft purchases, new airline startups etc etc

 

[russ]

That's easy! I would have announced this:

[video=youtube;_NRKrmEjVNM]http://www.youtube.com/watch?v=_NRKrmEjVNM[/video]

 

[Sifor]

He looks like a teapot at the start..

 

[TimB]

It would be interesting to see what others on here would have done if they were the boss of Qantas - it could be quite interesting to hear some other ideas.

Any business that sets out to make money will lose money, but a business that sets out to provide good service to customers will make money.

So I would have announced two pillars for Qantas moving forward:

1. Provide good service to customers. (Where "good" should mean "on par with the best in the world".)
2. Keep the staff happy (because unhappy staff provide poor service).

To implement these pillars, starting with the second, I'd:

• Come to the table with the pilots and maintenance unions, and also the other unions that don't currently have protected industrial actions. Note that coming to the table implies the start of a conversation, not caving to every demand.
• Announce that for the past month, I'd been meeting with senior and mid-career Qantas staff from across every job role (except management) and every division, to get their ideas about the problems Qantas has and how they could be fixed. Those meetings would have helped shape all the decisions that are being announced.
• Reassure staff that they are the spirit of Qantas, that their service is cherished, and that they will be the ones who in five years' time will be proud to say that they helped restore Qantas to world-class status.
• Announce that with upcoming fleet changes, the Qantas workforce (pilots, cabin crew, maintenance, etc.) would need to increase; the increases would all be met with new Australian-based staff on comparable contracts to existing staff.

To improve the service, I'd announce equipment and route changes:

• Due to the delays with the 787, Boeing has been nailed to the wall to provide 777-300ERs and 777-200LRs at ridiculously cheap prices, with A380-standard seats and interiors, and deliveries starting within 3 months. The 773s will replace all 747-400s and some 747-400ERs. The 772s will replace the 747-400ERs that are currently struggling to service SYD-DFW-BNE; the service will become SYD-DFW-SYD, and will be daily.
• To help pay for the 777s, the 3-class A380 orders have been deferred for 10 years.
• Inter-operation with Oneworld partners will be improved by adding flights to their hubs (much like DFW replacing SFO).
• QF will begin flying to Amman (base of Royal Jordanian) within 3 months, with flights from SYD, MEL, PER and BNE. RJ will provide much-needed one-stop flights to the Middle East and Europe.
• From June 2012, QF will fly to BER instead of FRA, to link up with new Oneworld member Air Berlin. This will provide additional destinations in Europe.
• There would be improvements in Asia as well, but I (speaking for myself, not as this hypothetical AJ-standin) don't know the region well enough to say what they'd be -- insert your pet idea here.
• Negotiations with the AU and NZ governments have led to rights for non-AU, non-NZ carriers to fly trans-Tasman being withdrawn. To make up the slack, A330s (displaced from other QFi routes by the new 777s) will be moved to the TT routes; Air NZ will also be able to increase their capacity on the routes. Jetconnect will be used to add services other than SYD/MEL-AKL/CHC.

There would also be service improvements on board and in lounges:

• All QCs would have pancake machines, with J lounges fitted with waffle machines in addition.
• All lounge wifi (domestic and internationally) would be immediately replaced with something faster than carrier pigeons.
• All CSMs would be retrained. They would greet each WP before departure, and supply a feedback card to be returned at the end of the flight, or on the first occasion when service was not up to standard. CSMs would have the responsibility (and power) to address any poor service, and report flight attendants for retraining if not up to standard.
• All flight attendants would subject to 6-monthly performance reviews, with seniority increases for good performance. (This would be possible through new contracts, negotiated as mentioned above.)
• A new "inconsistency" hotline would be set up; any substandard service could be reported there, with weekly summary reports of improvements made posted on the Qantas website.

More importantly, Jetstar would hardly be mentioned in the announcement. It would continue operating, but would be required to be self-supporting, and would not cannibalise any more routes from QF. It would be rebranded as the leisure brand, and would be replaced by QF on non-leisure routes.

(I'm sure there's plenty more I could have added, but compiling that list has exhausted me. Imagine how tired AJ must be, poor chap! :shock

The bottom line would be that Qantas would invest significantly in the immediate future, taking advantage of the $500m forecast profit. Shareholders would not see dividends for at least three more years, but once Qantas is re-established as a quality airline providing real service on routes it can claim as its own, profitability will naturally return.

Oh, and AJ would be never be seen uttering the word "Qantas" again.

(All of these ideas are of course culled from various posts on AFF and elsewhere -- sorry not to credit individuals, but if you see your idea here, "thanks", and if I've mangled it in some way, sorry.)

 

[harvyk]

I would have announced "I have been reviewing the suggestions made by the members of Australian Frequent Flyer. Their members are some of our most frequent flyers and thus have a unique insight into airline operations both with us and others around the world. As such and have decided that Qantas will implement every recommendation made on their forum"


Just kidding, but it would have been nice.

 

[notzac]

I would announce a program to improve staff satisfaction and engagement. Sure, it adds costs in the short term - but would certainly add profit in the long term. Plenty other things that I'd like to do from here in my armchair, but that's probably no. 1 on my list.

 

[ajw373]

• Come to the table with the pilots and maintenance unions, and also the other unions that don't currently have protected industrial actions. Note that coming to the table implies the start of a conversation, not caving to every demand.

They have sat at the table many many many times over the past few years and have not caved into every demand, hence why we now see the unions running a very public xenophobic based fear campaign, which is what is destroying the brand.

 

[ausi ski bum]

You know, with the current world market and the unions not realising the world of aviation has changed, the Aussie dollar staying so high for so long and Juliars carbon tax, my announcement would have sounded pretty much the same as we heard. Why wouldn't you set up a hub to Asia and a new airline based there when all of those points I raised would no longer be an issue.

Like it or not, for Qantas to survive it just may need to make these moves for a while, give it 10 years and all the Jetstar planes will suddenly get a roo on the tail.

 

[nonpop]

I would bring back the hot (temperature) egg, ham & cheese english muffin (was wrapped in foil) breakfast option we used to get several years ago. It was great on a cold winters morning.

I used to bring my own tomato sauce mini-serve squeeze thingy with me as well. Everyone sitting next to me would always look and say "what a great idea".

But sadly it has now long gone.

 

[straitman]

A fairly simple first off input from me would be to reinstate customer service.

A very simple example in BNE this morning. With MEL flights delayed there was quite a queue at the service desks this morning. With only three of the counters open they were just coping. Then the nice lady at #18 just closed up shop and wandered off to no where in particular and stood around. One of the other three who were chatting down the end could have picked up the slack, but no, the lines simply got longer :!:

 

[markis10]

The change in supplier for the red paint so the aircraft start to look the part, I mean seriously, QPE in front of me looks 20 years old thanks to the faded tail!

 

[mannej]

[/LIST]They have sat at the table many many many times over the past few years and have not caved into every demand, hence why we now see the unions running a very public xenophobic based fear campaign, which is what is destroying the brand.

Just like Senator Xenophon?

From my armchair, it seems that QF has had some very poor choices made in recent history. Would QF be in a better position if they had ordered the 777's? There are some people who say no, but look at the likes of SQ during the 380 saga. The 777 was able to provide them more more flexibility than the 747's did, and as the 330's could not pick up the slack, QF got stuck. A different choice in fleet strategy may have helped QF keep the likes of FCO and routes that they could not justify a 747 on.

I believe that QF are currently paying for an over reliance on new unproven technology. If they had known that the 787 would be so late, why did they not push Boeing for compensation or discounts, such as the 330's with Airbus and the 380 delays. Who knows maybe Boeing could have freshened the 767's up for QF as an apology. Forget the failed fleet purchases, QF have IMO been way to slow to update any fleet that they have- in reference to the interior or exteriors.

The route planner's know best, but the network is limited outside Aus. Even worse from Perth. Really you have Singapore and Hong Kong. I found it annoying that I would struggle to get PER-KUL and v.v using QF and it's partners. There was a big period where you could not book it online after JL pulled out of the SIN-KUL leg. These limitations, not just in S.E Asia but in Europe is a disadvantage. This is where EK, SQ and all that with their more sensible fleet's pick up.

The little things in the service that are disappearing may cut costs, but these are the things that people remember. I am sure there are ways to make cheese and crackers cost effective again, or make the food or wifi in the QP make it worthwhile. It is doing these basic's that will bring the majority of people back. The current DJ lounges have their wow factors, but can they do the basics once the wow factor rubs off?

Perhaps QF need an external auditor to provide a scathing report on their customer service and their soft product/offerings in comparisons to other airlines before AJ will realise it is much more than bean counting.

FWIW, can anyone find out what SQ's market share out of SIN is, or MH out of KUL etc to see how the 18 out of 100 passengers stack up.

I think the new spirit is not a bad idea, but the customers need to feel a tangible change before they will buy any of the change.

And that leads to my announcement of Willie Walsh as the next CEO of QF

 

[777]

I would have very publicly met the unions half way -- offered up a commitment to staying in Australia and building the Australian brand, supporting Australian jobs etc. providing the unions at Qantas agree to a medium term plan to bring their costs and work practices in line with Australian industry norms (eg. what Virgin pays not necessarily what jetstar screws everyone down to). On one level Qantas does have a big cost burden from being a legacy carrier (more so than because it is based in Au) so why not offer to work constructively with the unions and the workforce to reenergise the company, invest in the product and keep and grow jobs in the long term rather than strip it back to it's bare bones and move everything offshore?

I reckon there's a considerable room to move there. I actually think a lot of the frustration of the employees is that they're not even being asked to join the company in building its long term future - they are being treated as an impediment to be gotten rid of. In the long term it's the employees, the pilots, the safety culture etc that are Qantas' competitive advantage but Joyce is too stupid to see any value in it.

 

[serfty]

Maybe Steve Purvinas was simply intransigent?

 

[drewbles]

I would have bought a heap of QF shares, then announced my immediate resignation, made a motsa from the increased value in my shares, and flown home first class with EK, on the A380, using the onboard shower to clean off the muck, with only one stop in DBX, whilst counting my enormously large payout.

Where is DBX?

(also, the grammar naz_ in me is cringing at the thread topic having 'was' instead of 'were')

Sorry, slow day

 

[777]

Maybe Steve Purvinas was simply intransigent?

Perhaps.

Although it's pretty obvious that current Qantas management have decided to marginalise and ultimately to the extent that they can reduce/ replace the existing workforce rather than seek to reform within the current structure. That's ultimately what these disputes are about - they are not particularly about pay, or terms or conditions but about whether Qantas will invest the necessary resources in remaining a predominantly Australian company or not. I think it's fairly clear that management have decided that they shouldn't and that they would rather invest their resources off shore and let the Australian part of the company whither.

I'm not a fan of Allan Joyce but or Leigh Clifford but they have clearly made what they think is the best long term decision for the company and that's a strategy based on replacing rather than reforming the workforce as much as they can. I think they are making a particular mistake both strategically and tactically by not even trying to offer up a grand bargain of the kind outlined above with the unions. I believe it's possible - after all VA pay their employees less on average, demand much more flexible T&Cs and on the whole have a much, much happier workforce because the workforce is engaged in the future of the company which is not something that has even been attempted under Joyce's watch.

I think Qantas is making a mistake that fundamentally misunderstands where the value in the company actually is but it is time and not my opinion that will ultimately tell. If Joyce can steer the company back into stronger profit and get the share price off the floor then he will, by the measures he is measured against, have succeeded. But it's worth noting the company has gone backwards by those measures since he's been at the helm - but then again it's been tough times for airlines in general.

 

[samiam]

[/LIST]
They have sat at the table many many many times over the past few years and have not caved into every demand, hence why we now see the unions running a very public xenophobic based fear campaign, which is what is destroying the brand.

IMO, it's a pretty long bow to draw that the union campaign is destroying the brand...

... the management have been doing a pretty good job of that, without any help, for the past few years (on the balance of such statements on AFF).

 

[piperlance]

Re: If you were the Qantas boss what would you have announced on Monday?

My recent experience transferring from domestic to international terminals in Sydney left an indelible impression. I guess it's just a small thing, but it probably illustrates the general malaise in a proportion of QF staff (not all of them). I arrived in the transfer lounge to await the bus, to find it full to overflowing, with those coming down the escalator queuing down the corridor. Two buses were parked there ready to take pax across, with one driver in the driver's seat reading a book. Nothing happened for 5-7 minutes, and the crowd kept growing... I know that's not a long time, but for those eager to keep moving through the interminable processes that comprise international travel, it seemed longer. And the driver with his feet up, studiously ignoring everything around him was very grating.

Eventually, a driver showed up, the bus was loaded to standing room only, and away we went.

If that driver had made some small effort to find out what was going on, and possibly advise pax what was happening it would have made an enormous difference. I am pretty forgiving of delays and schedule changes when travelling by air. There are numerous reasons why planes are delayed, and I can pretty much accept it with equanimity, if I am treated with respect and kept informed, and if I can see that staff are making an effort. But if they're not, it's absolutely exasperating.

Airlines are, after all, a service industry. And simple as it sounds, I think that really is the key to making QF work. I am not saying the whole process of implementing it is simple, just the concept at the core of the business model - a level of service commensurate with the price paid.

I have been flying a little bit with Jetstar out of SIN, and I live in fear of things going pear-shaped, and there being no safety net... I stick with QF when I can, because they have provided reasonable service in the past. I may even stick with new QF - but that remains to be seen.