Have you ever gone to the airport, gazed at a giant electronic sign of departures and arrivals and wondered how an airline keeps track of all that? Most passengers probably do not. You just scan for your flight number and destination and then make a beeline for the correct gate. What is behind those shuffling flight numbers and city names is a constant juggling act being preformed day in and day out by airline operations teams around the world. Each airline’s operations team has to move planes, crews and passengers around their cities. Factors like weather and mechanical failure can at anytime throw off the smooth flow of getting planes in the air and back on the ground. The airline industry’s number one rule is that planes only make money while in the air.
However, if the operations team cannot get passengers from one point to another efficiently as possible, cannot get the right aircraft in place to get those passengers, or cannot get the crew to the plane to fly those passengers, this can cause a cascade effect across an airline’s system, may lead to system failure. System failure leads to excessive inconvenience passengers and a lot of lost revenue for the company. Keeping these balls in the air is not easy.
Last week the airline, JetBlue could not keep all the balls in the air. They are still paying for it this week and the financial impact may hurt them for some time to come.
A winter storm that had marched across the United States, by Wednesday was on its way to impact the highly traveled American northeast. Many air carrier’s operations teams responded to the advancing weather by delaying or canceling flights outright. Weather forecasts are pretty accurate these days. Airlines are pretty accurate at knowing when to cancel and when not to because of weather. You can hedge your bet about the weather and delays, but you have a lot to lose. By canceling and adjusting schedules a little ahead of the weather disruption, airlines can usually mitigate the inconvenience for passengers to hours or a couple of days at most. This also helps the airline’s bottom line as planes can get back in the air in a more orderly manner when the weather is considered acceptable to fly again. Someone at JetBlue put all his or her chips on the weather not being that bad, staying more rainy than icy. According to airline analyst, Daryl Jenkins, who spoke on National Public Radio this morning, JetBlue has a policy of never canceling flights. So, the pressure was on to hedge the weather bet just to keep planes in the air. Only today, do they have their system running back at 100 percent! They have a lot of peeode passengers and they are bleeding money.
New York Times reporter Jeff Bailey writes yesterday that JetBlue founder and CEO David Neeleman is “humiliated and mortified,” by what has happened. Neeleman should be humiliated. JetBlue had a lot going for it since taking to the skies in 1999. As low cost carriers go, they seem to have been able to offer an attractive service package to go with the low fares. They seemed like a very hip and professional 21st century airline.
I am not an airline employee. I am an average airline traveler. However, I am an airline enthusiast. I have studied this industry since I was a teenager, some <cough> thirty years ago. I feel I know a professional airline when I see it. After reading the New York Times article and other reports, I question if JetBlue lacks professional leadership acumen. I can say also that they were bit by what bites many start up airlines and even established carriers in the last thirty years and that is growing too fast.
The NYT article quotes Neeleman, “...“We had so many people in the company who wanted to help who weren’t trained to help,” he said. “We had an emergency control center full of people who didn’t know what to do. I had flight attendants sitting in hotel rooms for three days who couldn’t get a hold of us. I had pilots e-mailing me saying, ‘I’m available, what do I do?’ ” To that it is hard not to be sarcastic and say, “Your kidding right?”
JetBlue’s emergency control room had people trained to do what then? Even if trained to handle a crash scenario or another terrorist attack, these people should be flexible enough to handle a major weather event. JetBlue crews could not get through to the company? They may look hip, but in this information age, you are telling me you cannot communicate effectively company wide? Wow. The article reports that Neeleman said that “...JetBlue lacked the trained staff to find them and tell them where to go. Prior to last week, JetBlue had never had so many people out of position...” Ahh, yes. That shows that JetBlue has gotten too big for its britches. They are not the first airline to do that, with various factors crimping on the success of the company. JetBlue seems to be an example of letting a company gets larger and larger in the amount it produces without having the infrastructure to keep up with it. I wonder if this shows an inherent flaw in the small, low cost carrier model. You fly on the margins with not enough aircraft as back ups and not enough staff to weather, well, weather, and other problems that may arise on a day-to-day basis. That is how you keep the costs low and the profits high. JetBlue also lacks inter-airline agreements with competitors to help them out by taking passengers as needed who are delayed for whatever reason. Why? I think for one think major carriers resent the low cost carriers and feel no need to help them out. I do not blame them actually.
I feel the low cost model, made popular by Southwest, has done a lot of financial damage to an industry that is often hard pressed to make profits. Maybe JetBlue will have to do what small, low cost airline, Spirit is thinking of doing. Spirit is considering selling just about everything that they can on-board, food, water, blankets, liquor and who knows what else. But hey, they have eight-dollar fares! What a country! Spirit is getting ridiculous. That really is bait and switch. Other low-cost and long time legacy carriers are not immune to these gambits to attract passengers with a low fare and then make them pay for service on-board either. The low fare obsession has forced them to these measures. To this airline enthusiast’s opinion, the low cost model has led to a race to the bottom in the industry. A low bottom of fares, but also a low bottom of service, comfort and convience for passengers, and the ability of carriers to make any money at all in the end.
I would like to also add something more about JetBlue. If airline analyst Daryl Jenkins is correct and JetBlue has a policy of never canceling or almost never canceling flights for whatever reason, you have to question their professionalism in regards to safety. I wonder what the true limits are of keeping JetBlue planes in the air. Oh, and by the way JetBlue, get a meteorologist and listen to him or her! Then have all managers and senior executives go to a lecture on Bernoulli’s Principle, and how ice can really ruin a plane’s day. Maybe one of the fine engineers where I used to work at the world-renowned, NASA Dryden Flight Research Center can help you out. Thanks for reading Gentleman Agitator.
Post Script: The CNBC cable network aired last December and into January a fairly good documentary about the inner workings of American Airlines. One of the areas they looked at was American’s operations center in Dallas one night with storms affecting planes and people. It is a good example of how an airline properly handles an event like that. From what I have read and heard about their TOC at DFW, I have been really impressed. I do not know if CNBC will show this again. However, you can see clips at:
Inside American Airlines, a Week in the Life. Sadly, the storm clip is edited to show only a bit of the TOC and more of a complaining passenger.
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