New Delhi: What makes IndiGo the largest airline in India in terms of
passengers carried, with a track record of consistent profitability too?
Well, now that the notoriously reticent airline is planning to get
listed on the Indian bourses, some details are emerging courtesy its
Draft Red Herring Prospectus (DRHP). In the DRHP, IndiGo claims it has
managed to remain the market leader and a profitable one at that due to a
consistent strategy. The pillars of this strategy include consistent
low fares, young and trouble free fleet, consistent on-time performance,
no offers of lounges, frequent flyer miles or other full service
airline trappings, using a single type of aircraft and making sure
aircraft usage is at its maximum.
Indigo says it has a low number of employees per aircraft at 110 as on April this year. This helps with keeping overall costs low. Air India, in comparison, has had to hive off labour intensive functions like ground handling, engineering and MRO services to come close to this number. And SpiceJet had to reduce manpower significantly over the last few months while restructuring all aspects of the organisation to turn around.
Read news in full 01/07/15 First Post
Indigo says it has a low number of employees per aircraft at 110 as on April this year. This helps with keeping overall costs low. Air India, in comparison, has had to hive off labour intensive functions like ground handling, engineering and MRO services to come close to this number. And SpiceJet had to reduce manpower significantly over the last few months while restructuring all aspects of the organisation to turn around.
Read news in full 01/07/15 First Post
No comments:
Post a Comment