Announcement

Collapse
No announcement yet.

The fragile cobweb of BA's computer network is nothing to be concerned about.

Collapse
X
 
  • Filter
  • Time
  • Show
Clear All
new posts

  • #31
    Interesting Article. https://www.theglobeandmail.com/repo...ticle35191510/

    Comment


    • #32
      Originally posted by Schwartz View Post
      Not available without subscription...

      --- Judge what is said by the merits of what is said, not by the credentials of who said it. ---
      --- Defend what you say with arguments, not by imposing your credentials ---

      Comment


      • #33
        Linked above.

        There was a time when British Airways, the carrier that left 75,000 passengers stranded last weekend after a computer meltdown, carried elite status. In sober blue and white livery, it was the airline of Britain’s lost empire, capable of delivering passengers in style to the bits of the planet that were coloured pink in the imperial maps. It was the airline you flew to Rome or Marrakesh if you wanted your upscale holiday to start at the boarding gate. BA was (and remains) the Royal Family’s go-to airline.

        Then came the so-called discount airlines, Ryanair and easyJet. Ryanair took off in 1985, making the short hop from Waterford, Ireland, to London. Today, it is Europe’s largest airline, measured by passenger numbers. EasyJet’s launch came a decade later and would become Europe’s second-biggest discount airline and fifth-biggest carrier over all. Its business model has been copied by a slew of other cheap airlines, the most successful being Norwegian Air Shuttle (in North America, Southwest Airlines and WestJet are low-cost leaders).

        BA’s response to the low-cost airline onslaught was predictable. BA unleashed the cost-cutters, driving the airline downmarket to the point where its bosses have been accused of trying to “Ryanair-ize” the airline.


        BA may find the Ryanair comparison harsh, but it seems mostly accurate. Bifurcation is defining the airline market. You’re either a low-cost operation or going low cost, hollowing out the middle. In the future, the market might consist of airlines such as easyJet, at one end, private jets at the other and not much in between. The retreat of the middle class as salaries stagnate and inequality rises will probably ensure the trend remains intact.

        The man behind the cost-squeezing at BA was Willie Walsh – “Slasher Walsh,” as he was known in his Aer Lingus days. He ran BA from 2005 to 2011 and is now chief executive of the parent company, International Airlines Group (IAG), which owns BA, Aer Lingus, Iberia and Vueling, a low-cost airline based in Spain that comes with sardine-can seating. It is no accident that BA’s boss, Alex Cruz, was recruited from Vueling.

        Mr. Cruz’s mission was to make BA ever more “efficient,” which was code for more cost cutting. He admitted as much last November at IAG’s annual investor day. “When we look at economy [class], we are looking at a commodity product, without a doubt,” he said.

        Out went free snacks and drinks on short-haul economy-class flights. In came more rows of seats, making flying miserable for anyone with long thighbones. In March, the news came out that BA was reducing the seat pitch – the distance between the seats – on its Airbus A320 and A321 jets from 30 inches to 29 inches, matching easyJet’s pitch. Ryanair’s pitch, at 30 inches, is more generous (Air France gives you a spacious 32 inches on short-haul flights). On the lowest-price fares, charges came in for checked luggage. Jobs were outsourced, including 700 IT positions that went to Tata Consultancy Services in India.

        BA’s cost cutting may have backfired, although the company denies the strategy had anything to do with the computer disaster that triggered three days of travel chaos last week. BA attributed the IT collapse to a power-backup system that malfunctioned, cutting off the electricity to the computers. When the power came back on in an “uncontrolled way,” the computers failed. A few IT experts didn’t entirely buy BA’s explanation.

        BA’s strong profit and rising share price suggest its efforts to compete with Ryanair and easyJet are working. On many European routes, the airlines’ ticket prices are comparable. The cost-cutting exercise at Alitalia, to cite but one traditional airline, utterly failed and the Italian carrier has gone bankrupt for the second time in a decade. Surviving the low-cost onslaught apparently means cloning the low-cost model.

        The low-cost trend now threatens to reshape the lucrative transatlantic market, turning it into another cattle-car experience. Norwegian in 2013 launched a low-cost service between Europe and the United States, using wide-body jets. It’s now increasing the service with the latest narrow-body jets, with one-way fares as low as $65 (U.S.). WestJet and Iceland’s WOW are in the transatlantic game, too, and IAG, the BA owner, just launched Level, a budget airline that will fly from Spain to the United States. Not to be outdone, Air France-KLM is starting a low-cost airline called Boost.

        The bifurcation of the market will not end. The financial pressures on middle-class and working-class families – stagnant or falling wages – on both sides of the Atlantic will no doubt accelerate the trend, as will stubbornly high youth unemployment. U.S. President Donald Trump’s plan to cut taxes on the rich and reduce subsidies for the needy can only widen the wealth divide.

        The era when customers could afford to pay for seats on full-service airlines with decent meals and legroom is becoming a quaint memory. If you want a modicum of comfort, you’ll have to pay gruesome amounts of money for business- or first-class seats, or be rich enough to use a private jet. BA’s reputation as an elite airline will soon die, if it hasn’t already.

        Comment


        • #34
          Originally posted by Schwartz View Post
          Jobs were outsourced, including 700 IT positions that went to Tata Consultancy Services in India.
          Aha.

          BA’s reputation as an elite airline will soon die, if it hasn’t already.
          The brand equity built over decades is spent in a weekend. Well done lads.

          You know, I don't really have much of a problem flying snack free with a 29" seat pitch for a fair price. But when you start introducing chaos into the experience, the value proposition sort of vanishes.

          Comment


          • #35
            Originally posted by Evan View Post
            Aha.



            The brand equity built over decades is spent in a weekend. Well done lads.

            You know, I don't really have much of a problem flying snack free with a 29" seat pitch for a fair price. But when you start introducing chaos into the experience, the value proposition sort of vanishes.
            BA's idea of Premium Economy compared to other airlines who have that class leaves a great deal to be desired. OK, you get more legroom and ........ That's it ! Economy seats, maybe with an unsold seat between you and economy class service. That was my last experience of them. I'd like to think it has changed but I doubt it.

            I'm flying Club Class with Air Malta in November. Wider seats and an unsold middle seat which is adjusted to be much narrower than the useable seats and 34 inches of legroom. At 6 feet tall and 24stone that suits me just fine.
            Last edited by brianw999; 2017-06-05, 13:49.
            If it 'ain't broken........ Don't try to mend it !

            Comment


            • #36
              Originally posted by brianw999 View Post
              BA's idea of Premium Economy compared to other airlines who have that class leaves a great deal to be desired. OK, you get more legroom and ........ That's it ! Economy seats, maybe with an unsold seat between you and economy class service. That was my last experience of them. I'd like to think it has changed but I doubt it.

              I'm flying Club Class with Air Malta in November. Wider seats and an unsold middle seat which is adjusted to be much narrower than the useable seats and 34 inches of legroom. At 6 feet tall and 24stone that suits me just fine.
              The last time I flew premium economy with BA, it was a 2-4-2 configuration on the 777. Wider seats, well worth the extra money on a long-haul flight and well less than business class. Hopefully that doesn't change.

              I recently flew premium economy on Air Berlin and it was just economy seating with extra legroom. Still, AB seat pitch being 29", it was worth it.

              Comment


              • #37
                Originally posted by Evan View Post
                The last time I flew premium economy with BA, it was a 2-4-2 configuration on the 777. Wider seats, well worth the extra money on a long-haul flight and well less than business class. Hopefully that doesn't change.

                I recently flew premium economy on Air Berlin and it was just economy seating with extra legroom. Still, AB seat pitch being 29", it was worth it.
                Good to hear. It seems that they've changed their tune then.
                If it 'ain't broken........ Don't try to mend it !

                Comment

                Working...
                X