What United Has To Do To Increase Profits
#71
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Joined: May 2017
Posts: 64
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It doesn’t matter to me if United or the regionals go bust. I have nothing at stake. Last time the majors went bankrupt, SkyWest and AirWisconsin had to loan money to American and United. Skywest is large enough now, they could just buy the used aircraft being parked at mainline should another bankruptcy occur and start their own airline. Time will tell. This industry never ceases to surprise me.
#72
It doesn’t matter to me if United or the regionals go bust. I have nothing at stake. Last time the majors went bankrupt, SkyWest and AirWisconsin had to loan money to American and United. Skywest is large enough now, they could just buy the used aircraft being parked at mainline should another bankruptcy occur and start their own airline. Time will tell. This industry never ceases to surprise me.
#73
It doesn’t matter to me if United or the regionals go bust. I have nothing at stake. Last time the majors went bankrupt, SkyWest and AirWisconsin had to loan money to American and United. Skywest is large enough now, they could just buy the used aircraft being parked at mainline should another bankruptcy occur and start their own airline. Time will tell. This industry never ceases to surprise me.
https://en.wikipedia.org/wiki/Independence_Air
#74
It doesn’t matter to me if United or the regionals go bust. I have nothing at stake. Last time the majors went bankrupt, SkyWest and AirWisconsin had to loan money to American and United. Skywest is large enough now, they could just buy the used aircraft being parked at mainline should another bankruptcy occur and start their own airline. Time will tell. This industry never ceases to surprise me.
#75
What is the problem with United compared to its' peers? The same exact sentence has been uttered, well, forever.
For the first time in my two plus decades, we have a great CEO, and he has helped to make the workforce at UAL (lCAL was better at this) more engaged than it has ever been. Heck, maybe even me.
So what is the problem? Outside forces? Competition? We need more software? More RJ's will fix us?
When you eliminate all other factors, what is left? Post merger, lUAL employees were happy that CAL "took over" UAL. Unfortunately that CAL management was not the same as it had been 10 years prior. It was then "infected" and taken over by United management in the ensuing years.
I find it hard to believe that there is anything else to blame at United than a massively bloated, entrenched, "swamp" of management. Everything we do is too complicated, custom, and expensive.
A couple of years ago we bought new flight planning software, Sabre. It was so labor intensive, we had to hire 400 additional bodies in Dispatch to run it. Brilliant. We pay for automation, and we have to hire MORE people to run the automation.
God knows how many new employees "manage" our iPads. I am pretty sure it is in the hundreds. We only need WSI and Jeppro, and should just outsource everything else to them.
And EVERY department at United does this.
Our middle management is too bloated, too unaccountable, and too entrenched. When we "automate" something, it results in more employees making the automation work.
What we need is a hatchet man. My favorite quote about fixing management is to cut personnel until you notice a difference, then cut 10% more.
As an example, just look at Flight Ops. We could just pay Boeing and Airbus for Flight Manuals and flight planning software, WSI and Jeppeson to manage our IPADs (SWA does this). But no, our hundreds of minions at TK and Wanker Drive are smarter than everyone else, and we have to do it ourselves. I took a swag and I would bet it costs over 200 million dollars for all the extra bodies.
18 years ago, when we had 12k pilots, United flights ops had a Sr VP of flight ops, aka the "Chief Pilot". Now we have a Sr. VP of flights ops, AND a chief pilot, And a Managing director of Pilot Base Administration. I guess it takes 3 half a million dollar managers to do what 1 used to do.
Extrapolate that to every division of United.
Kirby is not the problem. The front line employees are not the problem. The problem is the middle.
For the first time in my two plus decades, we have a great CEO, and he has helped to make the workforce at UAL (lCAL was better at this) more engaged than it has ever been. Heck, maybe even me.
So what is the problem? Outside forces? Competition? We need more software? More RJ's will fix us?
When you eliminate all other factors, what is left? Post merger, lUAL employees were happy that CAL "took over" UAL. Unfortunately that CAL management was not the same as it had been 10 years prior. It was then "infected" and taken over by United management in the ensuing years.
I find it hard to believe that there is anything else to blame at United than a massively bloated, entrenched, "swamp" of management. Everything we do is too complicated, custom, and expensive.
A couple of years ago we bought new flight planning software, Sabre. It was so labor intensive, we had to hire 400 additional bodies in Dispatch to run it. Brilliant. We pay for automation, and we have to hire MORE people to run the automation.
God knows how many new employees "manage" our iPads. I am pretty sure it is in the hundreds. We only need WSI and Jeppro, and should just outsource everything else to them.
And EVERY department at United does this.
Our middle management is too bloated, too unaccountable, and too entrenched. When we "automate" something, it results in more employees making the automation work.
What we need is a hatchet man. My favorite quote about fixing management is to cut personnel until you notice a difference, then cut 10% more.
As an example, just look at Flight Ops. We could just pay Boeing and Airbus for Flight Manuals and flight planning software, WSI and Jeppeson to manage our IPADs (SWA does this). But no, our hundreds of minions at TK and Wanker Drive are smarter than everyone else, and we have to do it ourselves. I took a swag and I would bet it costs over 200 million dollars for all the extra bodies.
18 years ago, when we had 12k pilots, United flights ops had a Sr VP of flight ops, aka the "Chief Pilot". Now we have a Sr. VP of flights ops, AND a chief pilot, And a Managing director of Pilot Base Administration. I guess it takes 3 half a million dollar managers to do what 1 used to do.
Extrapolate that to every division of United.
Kirby is not the problem. The front line employees are not the problem. The problem is the middle.
I would also like to bring this post forward so this conversation can continue down a productive path with GOOD discussion.
#76
There are a whole slew of reasons why UA is in third place. In my mind, the damage done during the smizek era is number one. It will take time to repair that damage.
#77
What? Who exactly was happy that smizek was handed the keys? I submit only those not paying attention. I sure wasn't. The deified CAL management team was gone before the merger occurred. Infected? What was GOOD about UA pre-merge was infected post-merge is more like it. Don't you recall our FC pax all leaving in droves?
There are a whole slew of reasons why UA is in third place. In my mind, the damage done during the smizek era is number one. It will take time to repair that damage.
There are a whole slew of reasons why UA is in third place. In my mind, the damage done during the smizek era is number one. It will take time to repair that damage.
I did try and temper their enthusiasm by warning them that the guy steering the ship at the moment was in no way comparable to the guy 2 steps previous not to mention that our Flight Ops leadership was a disaster. Not one CAL Pilot, except for some of our ass-kissing scabs, thought Smizek was a good leader at any point during his tenure. The dude had no business sweeping up garbage let alone running a multi-billion dollar corporation.
Basically it all ended up being a grass is always greener scenario that turned out way worse than either Pilot group could have imagined. We do have a well respected figure-head CEO who's a great front guy and a minority share holder president appointee who hopefully isn't in it for the quick buck.
I have my doubts as PAR Capital and Altimeter Capital aren't here to stick around for decades so we'll just have to wait and see.
#78
Banned
Joined: May 2017
Posts: 64
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Thanks for the career advice. But, flying is not my career. Some people like you were probably hired at mainline with low qualifications. You don't have any skills that RJ pilots don't have...sorry to burst your bubble.
#79
#80
But why not the rest of them?
I suggest it has like the guy who can bench press 4-500lbs in his Garage but never goes to a National meet and competes against the best.
In both cases stepping up to the big time is not as simple as it looks and you really have to want it enough to play by their rules.
In both examples it is worth it. At least in my opinion.
Good luck.
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