Air NZ appoints new Group GM & readies for battle

[flyjoe180]

Air New Zealand has appointed Bruce Parton group general manager for all its shorthaul international and domestic operations, making him effectively number three in the airline

Parton, 41, who has been with the airline for 12 years is at present manager of the domestic fleet.

He succeeds airline veteran Norm Thompson who was recently appointed deputy chief executive.

Parton will be responsible for more than $2 billion of the company's revenue from regional airlines (Mt Cook, Eagle Air and Air Nelson), domestic jet services, transtasman and Pacific Island services as well as the New Zealand and Australasian airport operations.

The airline's chief executive Rob Fyfe said Parton had demonstrated a strong ability to implement change and drive profitability.

Parton said one of the most challenging jobs was managing domestic and airport operations at the time 1700 ground staff jobs were under threat of being outsourced.

"So much was at stake. It was very difficult emotionally for people - living and breathing it every day."

The jobs were kept inhouse after a settlement union officials described as making the best of a bad situation.

Parton takes up the role as competition on domestic routes intensifies following the entry of Pacific Blue and Qantas' plans to match Air New Zealand's push to improve services for business travellers.

Parton said Air New Zealand was revelling in the competition.

"As far as competition goes we see it as good for the market, a stimulation in demand. A whole lot of mums and dads start travelling. We just want to make sure we get our share of the pie," Parton said.

Air New Zealand, which is boosting the size of its Air Nelson fleet, plans over the next few months to complement its expanded main trunk services with new routes and improved frequencies to provincial centres.

"What most people are clamouring out for is more frequency. That's what tourists want, not a 737 dropping in every two days."

Parton said he enjoyed the tradition of top executives working with frontline staff.

It is a requirement to do at least a day a month in other airline jobs and he estimated 10 per cent of his time was spent working with cabin crew.

"It's absolutely critical for me and the other executives that we understand what the people are doing every day. Often you see your friends there - usually they're quite surprised. It's really important to us that we do that sort of thing."


* Air New Zealand yesterday announced growth in passenger numbers last month.

Numbers across all parts of the airline were 6.2 per cent higher in October 2007 than in the same month last year. This growth was achieved across both short-haul and long-haul routes, with 3.5 per cent and 28 per cent growth respectively.

BRUCE PARTON

* Age 41
* 12 years with Air NZ
* Roles include:
GM domestic airline
GM Pacific airline
GM Airline operations

www.nzherald.co.nz/category/story.cfm?c_id=97&objectid=10477616

[flyjoe180]

From putting two and two together in the article, it looks as though Air Nelson is in for some serious expansion. That has to be good for all of us doesn't it? Better and more frequent services. I think Air NZ realise they are going to have a real fight on their hands with the newcomers, and the only real trump cards they have are the feeder airlines (Air NZ Link airlines). It might mean better airline coverage for the towns and cities that do not presently get represented very well.

[area51]

I think you will find that the Air Nelson expansion plans are already well established in their creation as the Saab fleet only stood at 17 and initial plans called for only 17 Q300's, which was then increased to 19 (which it is now), and will now increase to 23 during 2008. This is when they plan to introduce services from Paraparaumu. Eagle Air are still looking to operate services from/to Masterton using Beech 1900's.

[corsair67]

From The Australian.


Air NZ ready for dual Aussie onslaught
Steve Creedy, Aviation writer | November 22, 2007.


AIR New Zealand's new head of short-haul airlines is confident the Kiwi carrier can comfortably handle twin assaults on its domestic market by Qantas and Virgin Blue.

New group general manager short-haul Bruce Parton - who takes over responsibility for New Zealand domestic, trans-Tasman and Pacific operations, which generate more than $NZ2 billion ($1.72 billion) in revenue - said yesterday that recent changes to the airline had left it well placed to defend its turf.

Mr Parton takes on the role as Virgin subsidiary Pacific Blue has recently entered the New Zealand domestic market and Qantas is introducing a Cityflyer service there.

He said the two threats were quite different.

"We quite welcome people like Pac Blue coming into the marketplace with a low-cost approach," said Mr Parton, who replaces recently appointed deputy chief executive Norm Thompson in the short-haul role.

"They tend to stimulate the market, which is quite useful.

"We have to ensure that we continue to play our own game.

"For me, with the domestic jets, it's all about making sure that we are delivering exactly what our customers want.

"If our customers feel that we're doing that, all the Pac Blues in the world can come into your marketplace and it doesn't really make any difference because you've got happy customers."

Mr Parton said Pacific Blue's offering also seemed "pretty ho-hum".

It appeared to mimick Air New Zealand's offerings and New Zealand was already a low-fares market where Air NZ was undercutting its opponent by $NZ20-$NZ30 in most categories.

"Air fares have dropped a little bit but when you look at the forward picture for the next 12 months, their $NZ9 fares and $NZ39 fares just aren't there any more," he said.

"It's not that different to when Jetstar came into the Christchurch market with $NZ39 fares. Well, go and find one now."

Parton acknowledged that the arrival of Pacific Blue was adding capacity to the market but said air travel was also growing in New Zealand, as it was in Australia.

He said Air New Zealand was also adding planes and would have 16 737s flying by February.

Looking at JetConnect, Mr Parton said the Qantas subsidiary had suffered from a "tired" product and reliability problems for some time. Its new Cityflyer product was not the same as the Australian service and Air New Zealand had a similar product.

Mr Parton said the Qantas unit had also been hurt by pulling its fifth 737 from the New Zealand market and said it was not delivering the frequency Air NZ could.

"At the end of the market they're looking at, really, network coverage and frequency is king," he said.

[beagle]

I am just pondering the thought that if origin Pacific had survived and now had teamed up with Pacific Blue feeding the main trunk lines, then Air New Zealand would have had some more competition.
It might have meant that some of the smaller airlines might have gone under, ie ones that serve only a few routes that the biggies would either look at or are already there on a small scale.
I would like to see Mt Cook get the Q400, as ANZ has them on options, plus maintenance, spares, crew costs etc would be maybe more economical than operating 2 different manufacturers types.