Air India: How to survive to live another day?
When Rohit Nandan took over as the CMD of Air India in 2011, he had a single objective in his mind i.e. to recover India’s very own airline from the humungous debt that it had accumulated over the last few years. Starting as the flag bearer for India aviation industry, Air India had had many fruitful years, but in recent years it had nosedived to losses becoming one of the worst performing PSUs of India.
Being a state owned enterprise, the attitude of all employees from top to bottom of the hierarchy was that of doing the work as it comes. All was going fine till the time of liberalization. Opening up of market to private players brought with it the advent of more efficient measures of cost saving …show more content…
He had to think of what actions to take to revive the company. But he knew that only doing new things would not solve the purpose. He fully valued the famous adage,” strategy is not only about doing things, it’s about making choices and knowing what not to do.” Company Background
Air India was formed with an idea of running mail flights from Bombay and Colombo that connected with the Imperial Airways flights from the United Kingdom. J. R. D. Tata was the founder of Aviation Department of Tata Sons which was called as Tata Airlines back then.
Tata Airlines became a public limited company on 29 July 1946 under the name Air India. In 1953, 51% of the airline was acquired by the Government of India. In return the airline was granted status to operate international services from India as the designated flag carrier under the name Air India International. So there were two divisions serving customers:
• Air India International
• Indian …show more content…
It catered to passenger services as well as the cargo services. Air India Limited comprised of Air India, Air India Cargo, Air India Express, and Air India Regional.
It was the third largest airline in India in domestic market share, and operated a fleet of Airbus and Boeing aircrafts. It had 101 operational aircrafts and pending orders of 27 aircrafts.
It served various domestic and international airports. It was headquartered at the Indian Airlines House in New Delhi. Air India had:
• Two major domestic hubs at Indira Gandhi International Airport and Chhatrapati Shivaji International Airport at New Delhi and Mumbai respectively
• Two secondary hubs at Chennai International Airport and Netaji Subhas Chandra Bose International Airport at Chennai and Kolkata respectively
Air India became the twenty seventh member of Star Alliance, world's largest global airline alliance, on 11 July
When Rohit Nandan took over as the CMD of Air India in 2011, he had a single objective in his mind i.e. to recover India’s very own airline from the humungous debt that it had accumulated over the last few years. Starting as the flag bearer for India aviation industry, Air India had had many fruitful years, but in recent years it had nosedived to losses becoming one of the worst performing PSUs of India.
Being a state owned enterprise, the attitude of all employees from top to bottom of the hierarchy was that of doing the work as it comes. All was going fine till the time of liberalization. Opening up of market to private players brought with it the advent of more efficient measures of cost saving …show more content…
He had to think of what actions to take to revive the company. But he knew that only doing new things would not solve the purpose. He fully valued the famous adage,” strategy is not only about doing things, it’s about making choices and knowing what not to do.” Company Background
Air India was formed with an idea of running mail flights from Bombay and Colombo that connected with the Imperial Airways flights from the United Kingdom. J. R. D. Tata was the founder of Aviation Department of Tata Sons which was called as Tata Airlines back then.
Tata Airlines became a public limited company on 29 July 1946 under the name Air India. In 1953, 51% of the airline was acquired by the Government of India. In return the airline was granted status to operate international services from India as the designated flag carrier under the name Air India International. So there were two divisions serving customers:
• Air India International
• Indian …show more content…
It catered to passenger services as well as the cargo services. Air India Limited comprised of Air India, Air India Cargo, Air India Express, and Air India Regional.
It was the third largest airline in India in domestic market share, and operated a fleet of Airbus and Boeing aircrafts. It had 101 operational aircrafts and pending orders of 27 aircrafts.
It served various domestic and international airports. It was headquartered at the Indian Airlines House in New Delhi. Air India had:
• Two major domestic hubs at Indira Gandhi International Airport and Chhatrapati Shivaji International Airport at New Delhi and Mumbai respectively
• Two secondary hubs at Chennai International Airport and Netaji Subhas Chandra Bose International Airport at Chennai and Kolkata respectively
Air India became the twenty seventh member of Star Alliance, world's largest global airline alliance, on 11 July