Salvaging PIA

| 6th May, 2012
14
Send to Kindle

REPORTS that some quarters suggest hiring a foreign professional to revitalise PIA must arouse mixed reactions. While there is no harm in the idea itself, the suggestion begs a question or two. Does Pakistan not have professionals of its own capable of sorting out the mess in the national carrier? After all, when it was launched, PIA was a national effort, and those who turned it into one of the world’s finest airlines were Pakistani. It had some ‘firsts’ to its credit, including the groundbreaking flight to Shanghai, with PIA becoming the first ‘free world’ airline to fly to China. Then why this search for a foreigner now? Previously, several retired PAF chiefs were at the helm at PIA, and some of them acquitted themselves honourably, despite the onerous task of changing their outlook to the needs of a commercial fleet. But then the airline fell on bad times, revenues fell and the quality of service declined. Any plans now to restore it to its previous status and make it a commercially viable venture must first determine what led to the rot.

Left to itself, the air-line might have continued its happy journey. But decades of political interference by both military and civilian governments and the appointment to the top positions of favourites led to consequences that are before us — nepotism, overstaffing and inefficiency at all levels, besides lack of transparency in transactions ranging from outsourcing to aircraft purchases. Expansion has stopped, and the once money-spinning airline is struggling to survive with an aging fleet, a phenomenal rise in fuel prices, disgruntled passengers and grumbling workers, while its finances have dipped to a low where PIA demands that the government pay the Rs20bn bailout package promised last year if the airline is to pay taxes and other government dues. The appointment of former PAF chief Rao Qamar Suleman is not an event that in itself will swing PIA’s fortunes one way or the other. His success or failure will depend upon whether the government lets him run the airline as a completely commercial enterprise unaffected by political changes in Islamabad.

COMMENTS

  1. It is no rocket science to turn this airline around. Some one has to own this airline. Not taking dictations.
    It is my considered opinion that one can turn it around if following four steps are taken but this is a big IF.
    1. No political interference from any quarter
    2. All appointments, inductions and promotions on merit
    3. Accountability, reward and punishment
    4. All contracts, deals, purchases, from buying tissue papers to airplanes it's parts, Procurements on AOG etc made transparent.

    You bet you can turn it around the day you have the resolve to do it.
    For this one has to own this airline.

    Viewers may differ only to utter that it is impossible.
    Rgds,

  2. Nice editorial,but foreign consultants have failed in the past and ex pia retired professionals have turned pia around at least three times. why not take their assistance.

  3. Fire all extra staff.
    No political appointments or jobs.
    No free vouchers or tickets.
    Close all extra field offices and staff especially abroad.
    stop theft of PIA paper products being used in homes of employees.
    stop chaninging the livery with every new chairman, does not make a difference, stick to one like KLM.
    adjust ticket price per cost and fuel charges, it is OK to charge for the price hike, you cannot become profitable unless you charge for your expenses.

  4. I think the adhocism needs to be ended,, since all the time we run around searching for temporary solutions,, i think very rightly said that ,, first of all the ill needs to be diagnosed,, those found responsible should be brought to the justice and then a clear mandate to be given without political interests ,,that too to local administration,, there is no fun in spending huge amounts for hiring foreign expert

  5. In todays shrinking world, getting foreign experts to run any establishment, especially which has been ruined by military and civilian governments equally is not a bad idea. Emirates Airline is the best example where best professionals around the world are sitting on the key positions and making decisions without any interferrance from government. We are all proud on the past achievements but todays decsions should be based on the ground realaties, and we all know the realaties for the past many decades.

  6. The Editorial of DAWN has very correctly pointed out the reasons for the present mess. Air Marshals Asghar Khan and Noor Khan have managed the National carrier with flying colours. During their times, not only the Airline was one of the best but also produced and sponsored world champions like Jahangir Khan and a platoon of Olympions. The last Chairman Mr Abbasi had not only refused any financial help from the Government but led the airline to a self-sufficient organization. Our top politicians have destroyed the Airline.

  7. well said that the local can efficiently and effectively run the institution if political quarters dont interfere. but there is one argument in favor of granting the institution to a foreigner,that is the foreigners wont allow politicians to interfere with the institution; locals can be pressurised for interference.

  8. very correct analysis, the organization needs a sincere person to steer it out of the difficulties. Rising fuel prices might not hit PIA as bad as it would in the case of other airlines around the world. In pakistan, railway is out and the class of people who normally travel by PIA have also got their profits increased, so no problems for them. Sincerity and Honesty. Nothing is Impossible……….

  9. We hope newly appointed strong and honest man will improve the performance of PIA and reduce the staff to make is viable.

  10. What PIA needs is a man of integrity who can rid this organization of corruption and pilferages that haunt marketing and maintence divisions. The retired Air Marshall can succeed if he assumes the role of Nur Khan or Rafique Saigol, or be a disaster like AVM Niaz, AVM Viqar Azeem, Aijaz Haroon etc. PIA needs to appoint qualified and experienced executives to head its marketing, instead of a crony who started as a clearing agent and then managed with political wrangling to get into PIA stores. Similarly appointment of vendors for parts procurement should be transparent, instead of the single vendor nominated in Dubai with poor devastating results and half the fleet grounded.

  11. The airline needs a thorough professional at the helm. The retired airforce officers and corrupt political appointees will bring more miseries to it.

  12. Let us give it a try. Foreigners are really professional people and it will be interesting to see how they handle something we have messed up so bad.

    • Of course Pakistan has professionals capable of running the airline. They are running PIA and the results are there for everybody to see.

  13. Altaf Hussain-Mumbai

    Quite amazing that an untrained business person like Mr. Rao Qamar Suleman is in-charge of a national carrier, unless off-course PAF is also involved in managing large commercial ventures. Keeping customers happy by offering best of services and at the same time managing healthy bottom lines is not the forte of soldiers. It beats common sence why PIA cannot have a CEO who is a trained MBA and a Board of Directors who are trained business leaders.