Ms Aneesha was a former employee of the trouble hit Kingfisher Airlines (KFA), and is now with another major airliner. When contacted about the miseries of her former company, Aneesha, reacted that she is little surprised about the present condition of the company, citing that the firm was extravagant on many front.
Insiders of the company who have already joined other firms have similar opinion. Most of them assess that the company was extravagant on service delivery and on brand developing. For KFA, air hostesses were ‘flying models’ and they should have a model look. KFA has incurred big money for their training. All these were done without considering the financial discipline demanded by the aviation industry.
Red was the brand colour of KFA. The management was always alert even altering the minute look of the passenger crafts they possessed to look completely in a red finish. The cost it incurred for undertaking such cosmetic extravagance was very huge given the least cost nature of its competitors and the low profit scenario of the aviation industry at present.
One of the major lenders to KFA when contacted opined that the cowboy type managerial practices of the company were responsible to the KFA’s downfall in an industry where cost cutting should be the lead strategy for survival. “Calendar girl type product promotion campaign is good for the beverage industry to expand volume but not good in the aviation industry”- he added. KFA is now looking like an abandoned baby as nobody is taking the responsibility of rehabilitating it. Indeed, this is a lesson for the financial managers of the corporate sector.