Is Alan Joyce doing a good job?

[bertair]

Having a talk about the QF "issue" today with a long time Qantas Club member, over a long lunch, the name of Andrew Demetriou came up as a man who could bring Qantas back to earth as a replacement for Alan Joyce.
For 11 years he has run the AFL, over all pretty successfully, he has even stood up to Eddie Maguire and Patrick Smith, and has made the AFL one of the wealthiest sporting organisations in the world.
Maybe he needs to be head hunted before his indicated wind up at the end of the AFL season has others lining up with job offers.
Go and get him now in what would be a major coup for the Qantas Board.

 

[EmilyHoward]

I think the one thing that could be laid at AJ's feet is the fact that he hasn't addressed the problem that Qantas now faces 4 or 5 years ago. It would have been obvious to both the Board and the CEO that eventually the staff costs would be an issue. It should have been addressed there and then despite the fact that the government was Labour.

It was known that this would happen but it was a bit of a 'heads in the sand' approach until now.

I think what needs to be done now is not easy but pretty obvious:

The QSA needs to be changed so that any jobs can go offshore but actual ownership of the international side is still majority Australian.
Ownership rules re the domestic side can be fully relaxed.
Australian staff will have to compete on salary terms with overseas applicants.

Just have to get that lot through the Senate!


EH

 

[Fruitcake]

Having a talk about the QF "issue" today with a long time Qantas Club member, over a long lunch, the name of Andrew Demetriou came up as a man who could bring Qantas back to earth as a replacement for Alan Joyce.

How about capacity caps for domestic airlines?

 

[moa999]

Reality is with a Labor Govt and powerful unions, AJ couldn't really tackle staff costs aggressively until now
- after-all he had to ground the airline just to force the Unions to give up some outrageous ambit claims in the middle of the GFC

Re Demetriou, while he might be a nice guy.
The AFLs revenue is just over $300m p/a - the scale of operations is vastly different to Qantas.
It doesn't have union issues.
It doesn't really operate in a competitive environment - (albeit there is some choice between events, but you can still record and watch both)

 

[dk4]

...the name of Andrew Demetriou came up as a man who could bring Qantas back to earth...

LOL, the man who had his Qantas Chairman's Lounge membership cancelled after he took the AFL's business to Virgin? Sure could ruffle a few feathers in the flying kangaroo's fur.

 

[Moody]

Actually, it achieved an immediate end to the (illegal) wild cat strikes and gave certainty back to his loyal customers. I disagree with some of the other things that he's done, but his actions on that issue vastly increased my level of respect for him. He was prepared to do what was necessary to fix the problem for the medium to long term, even at the cost of much short-term pain.

Do you think that spouting the same rubbish across various threads will give it more credibility? You are only fooling the already foolish, I'm afraid.

Can you please point me to the evidence that the unions were engaged in illegal wild cat strikes in the lead-up to the shutdown. Or if it's easier, you could stop peddling that particular lie.

And what has he fixed, exactly? Seems pretty broken all 'round to me ...

 

[drron]

But I will agree with winfred as well - AJ inherited a shockingly bad fleet strategy and then "doubled down" with the B787 order after the A380 mistakes, and I argue that he has been there long enough to correct or adjust the fleet planning.
.

Not correct.The B787 orders were placed in December 2005.So on Geoff Dixon's watch not AJ

1 Regardless of his actual performance ( appropriate or lacking) much comment/opinion is based on perception of personality, charisma and personal appearance.

He has the public personality and charisma of a brick and unfortunately for him he acts/sounds like a jumped up short cough which does nothing to alleviate the first two issues.
Wrong, irrelevant ........but that's folk, folks.

He rubs me up the wrong way the moment he opens his mouth so his utterances are tainted..

And this is the reason I also think he should be replaced.The QF CEO needs to restore the public confidence,get support from both sides of politics and hopefully even open a dialogue with the unions.I cant see AJ being that man.

 

[casanovawa]

Do you think that spouting the same rubbish across various threads will give it more credibility? You are only fooling the already foolish, I'm afraid.

Can you please point me to the evidence that the unions were engaged in illegal wild cat strikes in the lead-up to the shutdown. Or if it's easier, you could stop peddling that particular lie.

And what has he fixed, exactly? Seems pretty broken all 'round to me ...

Whether they could be described as illegal i don't know, but there were several cases of threats to go on strike and when th ecompany had made pre-emptive changes to the schedule the strike would be called off... If it wasn't illegal it was extremely disruptive and unhelpful to both the company and its passengers....

 

[drron]

Do you think that spouting the same rubbish across various threads will give it more credibility? You are only fooling the already foolish, I'm afraid.

Can you please point me to the evidence that the unions were engaged in illegal wild cat strikes in the lead-up to the shutdown. Or if it's easier, you could stop peddling that particular lie.

And what has he fixed, exactly? Seems pretty broken all 'round to me ...

Well here is the timeline.Includes death threats to AJ.OK if you think that is reasonable-
Timeline of Qantas industrial dispute

 

[Moody]

Well here is the timeline.Includes death threats to AJ.OK if you think that is reasonable-
Timeline of Qantas industrial dispute

Thanks for the link - seems to be balanced and neutral reporting of the facts. How refreshing.

And BTW - I don't think death threats are ever appropriate. I am also against gang rape - and am disappointed that you remain silent on that issue.

 

[Jmrocky]

Well here is the timeline.Includes death threats to AJ.OK if you think that is reasonable-
Timeline of Qantas industrial dispute

No one thinks thats reasonable. Interesting to note the higher than anticipated profit figures from the airline during that timeline.

The biggest thing with QF imo is the lack of consumer confidence, and its showing. There was a time when 'I still call Australia home' bought a tear to hardest eye, now we look at the airline with disinterest. Unions may play a part of that, but its the CEO's job to manage and he simply hasn't. He runs down Qfi, yet expects people to flock to it. He spruiks Jetstar, yet look at the reputation of it in any FF forum or group. He expands in Asia with an LCC in a packed and stacked market. It all adds up to mismanagement no matter what he inherited.

 

[roego]

Obviously Qantas has some future.But the continued bleating from Joyce as he plays all cards to try and get his way, which as an outsider seems to be his way or the highway.1< He blames foreign carriers, but forgets Jetsatra Asia and also where Jetstar Asia is flying.2. He blocked singapore Airlines flying the Pacic route, but whinges when cathay aretrying to block him in Hong Kong.3. Leaves passengers stranded all around the world with no sympathy for them, does he expect loyalty in return.'4. Imposes a service fee???? Nothing short of robbery.5. Says he has inherited this and that from Dixon, but has had over 5 years and has not solved the problem. Obviously he also must have a less than competent board.6.Pushes Australian jobs offshore and wants Australian support.7. Charges some of the highest taxes in te world.8.International fares are never really competitive.9.Frequent flyer program is also non competive.10. Customer service is not that good.Somwewhere I read if a company was failing you look at the CEO????

 

[roego]

Why would chanfing the investment make such a big difference.He needs to engage in some public relations and get people flying in the aerplans he has got.Better fares, better baggage allownaces.When have they made some real discounts to the FFlyer rates. With some other airlines you can fly same routes for 30% lrss.Got empty seats let the FFS' fill them.The unions may have tgreatened strikes but did not do them and he was refusing to talk to them.He ordered a strike himself by closing down the business.He must remember reap what yu sow.

 

[eastwest101]

Not correct.The B787 orders were placed in December 2005.So on Geoff Dixon's watch not AJ



And this is the reason I also think he should be replaced.The QF CEO needs to restore the public confidence,get support from both sides of politics and hopefully even open a dialogue with the unions.I cant see AJ being that man.

Yep - fair enough - the B787 orders were originally in Dec 2005 but I think we can concede that QF had a chance to adapt/adjust their game plan as it became more and more apparent that the B787 would be late, certainly I would have thought that QF would be aware of that, after what they went through with the A380. My complaint is more about the lack of a plan B and also where the B787s have gone anyway, all things under AJ's control.

Your point about public confidence, and your comments about AJ possibly being unable to even open a dialogue with the unions goes more to his management style, and his now polarizing/divisive reputation. Even if the reputation is unwarranted, I think you have reached the conclusion that a pretty much everyone in the country has got to (except the QF board). Those Ryanair and Easyjet comments a few days ago were the real "jumping of the shark" moment for some.

Even the fact that you and moody (who both violently disagree about a lot of things) would probably both be releived to see Alan Joyce go says it all. Its like Kennet and Latham all over again! THey both recognize the same symptoms, have a similar diagnosis (if left untreated) and even agree on most of the prescriptions (well okay - maybe a different emphasis or priority)....

 

[ReLoad]

I'm taking a longer term view as to his performance, over his coughulative reign, for those that know, what's his total P&L over time?

Given how volatile the global airline industry is, I'm not surprised by the ups and downs of the Airlines performance.

What however In my opinion needs changing is the story that QF gives, it's not a feel good/fly with us story, it's a bleeding heart depressing story which Instills very little confidence or desire to support it from the very top and that has to change.

What I don't like is the geese in the media that take cheap shots or have a hidden agenda. I'm quite the lefty, but people like Steve Purvinas drive me to drink, the nonsense they come up with, it's no wonder the industry is in meltdown.

The US airlines have used chapter 11 to great advantage, that would be an interesting hypothetical if those laws existed down here.

Personally speaking, the single greatest thing Alan Joyce has done is the Emirates tie up, it has worked very well for me and is to be congratulated. The worst thing that AJ has done is pretend even 3 years ago that their A330 services to Asia were any good, you sat back and watched your own left arm get cut off which CX and SQ feasted on.

 

[ReLoad]

9.Frequent flyer program is also non competive.

That is seriously debatable, in fact I'm going to call you out on it, I think you are wrong on this point.

 

[Robert K]

We have so many geniuses here, we should start our own airline

 

[jabirujoe]

Somewhat amazing that QF management is blaming inefficiencies built up by years of prior government ownership and is now for the first time going to attempt to address this issue by proposing a wage freeze despite increases already agreed to a part of current EA's. Good luck in probably the most toxic industrial climate seen in Australia the past 20 years not involving wharves and building sites.
Everything management has undertaken to date has simply been reducing the size of the pie by outsourcing, closures and redundancies which any accountant/manager can easily do.

I agree it doesn't take a rocket scientist to cut expenditure

 

[jabirujoe]

For years and years the un-level playing field has always been in Qantas' favour why is it an issue now........??

 

[jabirujoe]

Have things too far gone to rescue Qantas whether Joyce goes or stays ?
Historically things probably went down hill from the days of Dixon and the typically Aussie "She'll be right mate"syndrome.
No enough lever pulling and pushing was done until it was too late.
As it stands a whole new business plan is urgently needed and maybe won't fix the problems anyway for Qantas to remain as we know it.
The days of air travel being a luxury and filled with frills and bling are gone forever, unless you fly in a private jet like a billionaire mogul, rock star or movie super star.
When you fly with a low cost carrier you see a range of passengers who would never otherwise get to fly (or some may say should never be allowed to fly !). But they are what keep many airlines still in the air while the likes of Qantas flap about wondering what to do.
I think that the trend will be to move away from club lounges, first class and elite services for the majority whether those who are used to it now as part of their loyalty packages like it or not. Airlines cannot rely on that level of business to underwrite their losses. many businesses do not need their execs. flying around when the internet and other communications can suffice.
Probably one class flying will be the way of the future and all in LCC airlines.
A revolution is happening in aviation and while many factors can be held responsible ( yes,unions and poor management are at the top of the list), all ideas of what an airline can be should be brought into the debate and not just the woes of what services and luxuries we are losing...
I think, as do many others, feel that Qantas is doomed to become a LCC, in fact why not just make the whole airline Jetstar and be done with it.
I don't like it, but I am a realist IMHO it is most likely going to happen.

I'm really sorry.... I'm a QFF (only gold) but your elitist comments are obscene to me. I don't even bother going to the Qantas Club.