FlyerTalk Forums - View Single Post - Larry Kellner: “the business cycle is continuing to decline.”
Old Mar 23, 2009 | 9:30 pm
  #79  
mendicantfriar
 
Join Date: Jan 2009
Location: USA
Posts: 39
Originally Posted by TWA Fan 1
I'm not in the least bit surprised that Larry Kellner would advocate for a return to the days of the CAB cartel. In his five-year tenure he has shown himself to be a timid manager, ham-handedly cutting costs and apparently tone deaf when it comes to what constitutes value to the customer.

Larry Kellner would have indeed been a model manager in Juan Tripp's front office.

One phrase that really stood out for me in the article is when Kellner said he agonized over the imposition of the first-bag fee, which he estimates will represent "$100 to $150 million in annual revenues."

I couldn't help but think of the article that appeared in USA Today in January, in which jetBlue announced it has been earning "$40 million" annually from its 6 rows of EML seats.

Now, just imagine if Kellner were a slightly more imaginative leader, if instead of charging to check bags, he actually added value (e.g.: economy plus) and charge the customers for this additional value.

WN makes money because the airline is managed by smart, creative people who are focused on what it takes to make money by delivering value, be it through hedging fuel purchases or otherwise.

Instead of dreaming of the glory days of the CAB, Kellner should try to start thinking outside the box a little bit, by delivering more value (not less) and monetizing that value.
Thank you, TWA Fan 1, for your valuable perspective; it mirrors mine.

Larry Kellner is a very capable manager. He is decidedly not a leader. Leaders lead. They innovate, imagine, and inspire. Larry Kellner does none of these things. The results speak for themselves. Employee morale is stultified. On an almost daily basis, there appear less and less value-added characteristics to our company to positively differentiate us from our competitors.

These things concern me, because where I once enjoyed working for one of the premier carriers in the world, I now find myself relegated to working for a company that seems bent on marginalizing its collective talent, impoverishing its former focus and vision, and crippling its hard-earned prestige.

I don't like the idea of working for an also-ran. I want to work for the best. My management team is obstructing this desire, despite my best efforts.
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