Rebuilding Qantas: The Road Ahead.
Recent events surrounding Australia’s iconic airline, Qantas, have cast a shadow over its legacy as the nation’s pride. The series of controversies, highlighted by experts from the RMIT, calls into question its future direction and the capacity for reclaiming its esteemed status.
Dr Angel Zhong, a renowned Associate Professor of Finance, provides insightful observations about the current atmosphere within Australia’s airline sector, describing it as a snug oligopoly where just a few players hold considerable market sway. She critically examines Qantas’ choice to deny Qatar Airways’ market entry. While such a move might have been justifiable if Qantas were teetering on bankruptcy, Dr Zhong argues that this blockade appears more about stifling competition than protecting national interest. The lack of clarity surrounding this decision undoubtedly adds fuel to the fire of public scepticism.
Qantas’ recent strategies, like altering travel credit policies and the abrupt departure of its CEO, were presumably aimed at damage control. Yet, market dynamics and consumer feedback suggest that these actions barely scratched the surface of the overarching public relations catastrophe.
Dr Zhong identifies a multi-pronged approach to salvage the situation:
- Public Acknowledgment: Recognize the blunders and missteps.
- Customer-centricity: Prioritize feedback and concerns, veering away from seemingly self-serving decisions.
- Meaningful Actions: Commit to tangible solutions rather than just placating rhetoric.
- Maintain Transparency: Engage stakeholders sincerely, ensuring they’re looped in throughout the crisis mitigation journey.
It is introducing Vanessa Hudson as the new CEO offers a glimmer of hope. Dr. Zhong believes this leadership change may serve as a pivotal moment for Qantas, offering a chance to restore and rejuvenate its tarnished reputation.
Dr. My Nguyen, Senior Lecturer in Finance, further contextualizes the scenario. The premature departure of CEO Alan Joyce amid brewing controversies adds another layer to the saga. Revelations about Qantas selling tickets for cancelled flights without prior intimation and perceived anti-competitive behaviours have triggered accusations of Qantas prioritizing profit over ethical considerations.
Nguyen urges Qantas to adopt the triple bottom line framework, emphasizing profit, people, and the planet. Such a holistic approach ensures financial gains and respects social and environmental responsibilities.
Echoing these sentiments, the Australian and International Pilots Association (AIPA) believes in Qantas’ ability to reinvent itself. The transition from Joyce to Hudson is viewed as an opportunity, a potential turning point. Captain Tony Lucas, AIPA President, emphasizes the need for mutual respect and recognition between Qantas leadership and its staff. While challenges lie ahead, Lucas remains optimistic, emphasizing, “The Spirit of Australia may be deflated, but it is not defeated.”
Written by: Michelle Warner
