Air India CMD Ashwini Lohani faces the biggest challenge of his career. The Modi administration has entrusted him with the unenviable task of reversing the fortunes of this debt-laden and loss-ridden airline. For perhaps the first time ever, the aviation ministry is not 'interfering' in how the Maharaja should be managed. While low oil price will help the airline save Rs 2,000 crore this fiscal, Lohani is aiming at increasing revenue by sweating AI's aircraft more. In an interview with TOI, Lohani talks about the challenges at AI and his strategies to revive the airline.
You took over as AI CMD almost seven months back. What are the biggest challenges that you have identified here so far?
The biggest constraint in turning around AI is the unhappy legacy of merger (of AI and erstwhile Indian Airlines). Mergers take place in corporate world and they have to be taken to their logical conclusions in terms of integrating the companies coming together and their employees. That did not happen in this case. The second challenge is the big gap in revenue and expenditure. Majority of the government's equity infusion in AI has taken place (of the Rs 30,231 crore, Rs 22,380 crore has been put in with the balance to come by 2020). It will not continue forever. And finally, there was no premium on decision-making at AI apart from the airline lacking a vision for the future.
How are you tackling these issues?
These are legacy issues, which are being taken up one by one. The staff is convinced that this management is keen to resolve all issues and they trust me. Happy employees will lead to satisfied guests on board. The management is no longer in an ivory tower but on the shop floor.
01/04/16 Saurabh Sinha/The Times Of India
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You took over as AI CMD almost seven months back. What are the biggest challenges that you have identified here so far?
The biggest constraint in turning around AI is the unhappy legacy of merger (of AI and erstwhile Indian Airlines). Mergers take place in corporate world and they have to be taken to their logical conclusions in terms of integrating the companies coming together and their employees. That did not happen in this case. The second challenge is the big gap in revenue and expenditure. Majority of the government's equity infusion in AI has taken place (of the Rs 30,231 crore, Rs 22,380 crore has been put in with the balance to come by 2020). It will not continue forever. And finally, there was no premium on decision-making at AI apart from the airline lacking a vision for the future.
How are you tackling these issues?
These are legacy issues, which are being taken up one by one. The staff is convinced that this management is keen to resolve all issues and they trust me. Happy employees will lead to satisfied guests on board. The management is no longer in an ivory tower but on the shop floor.
01/04/16 Saurabh Sinha/The Times Of India
