Let's Start an Airline-Hypothetically

[Astra Guy]

There are a number of private investors that want to start an airline. They want to be the leader in customer service and consistent high levels of performance and reliability. They are in the exploraty stage of building this airline. Because they know that their ultimate success will be dependent upon hiring highly qualified and motivated employees, they are willing to permit six members of the 11 member board of directors to come from their workforce. Members of the board will serve no longer than two years.

The investors will guarantee funding for the purchase of airplanes, support equipment, gates, etc., to keep the airline afloat for the first five years.

From their market analysis they have determined that a 200 passenger airplane capable of flying coast to coast might be their best option but they are open to suggestions.

The investors are adament about keeping their workforce non-union and are willing to pay above median scale to accomplish this.

Due to your airline experience and apparent business knowledge from testing they want you to join their team. Your input will help establish pay rates, upgrade times, work rules, benefits etc., as a minimum but they are also looking for input in all areas of their operation.

Hiring mins are expected to be high due to their idea that their ideal crew would be headed by two Captains, alternating crew days in the PIC/SIC position. That being said they will start with highly experienced Captains and FOs. Upgrade times are expected to take two years from FO to Captain. Having two captains on board will be used, along with high levels of customer service, to seperate themselves from their competition.

Anyone interested?

 

[Dragonbravo]

We currently have reserve Captains that act a FO's if needed. I would recomend not starting out that way. You need an Capt and FO. not Capt and Capt. This way it is clear who is the PIC of the aircraft. Furthermore, each crew member has flows in acrodance with there duties. If you are a Capt. one day and an FO the next. You will start to get the flows messed up. I've seen it happen. And when it happens things start getting missed and it becomes a safety issue.

 

[Astra Guy]

I have authorized by the owners to put you on the board. First come first served is the way they see it.

Point taken about the crew assignments/duties. Let's see what other posters have to say. All matters affecting crews will be left to the crewmembers on this board.

How about that for an immediate promotion?

 

[Dash8]

even without an official 'union' persay i'd still say you need to have some form of a CBA, there has to be a framework to draw off of that everyone can agree too

while the ca/ca theory might be good in practice I can see where it may have it's shortfalls, plus what manner of route structure would be involved? hub/spoke, point to point, some amalgimation of the two? many many questions need to be addressed in a startup particularly in the oversaturated airline market....

 

[Astra Guy]

dash8,

The method of arbitration framework is left for the employee members to determine. Employees will be evaluating employees. The founders have determined this is in the best interests of all concerned.

The founders are leaning towards a point to point system vs a hub network but are open to ideas.

Remember the members are here to determine what is best for the company and their employees while keeping the customer service and safety bar high.

If you are willing to join the board to help determine the companies direction I have been given the authority to accept you as our second member.

BTW all board members are given a contract for six years at the compensation rate for the senior level of their position. Their board member tenure can last for only two years from startup.

 

[Astra Guy]

Shadow,

I will let our members determine what those should be. The only preference from the founders is that they want highly qualified pilots and for the new hires that are brought in for them to be able to upgrade within two years. All pilots are guaranteed a type rating within that time period. This will afford them the ability to use this as a marketing tool as well as keeping the safety bar high.

Are you interested in becoming a board member?

 

[bart]

I respectfully decline the offer. One does not have to look far down the tracks to see the train wreck that your airline will be within five years. As a financial manager, I encourage all the investors to take their money and run quickly. Your average expected return on investment in this business historically is something less than zero.

 

[Astra Guy]

Bart,

I respect your position. The investors are determined to make this work and they are relying on their employees experience to help shape this business.

 

[Astra Guy]

Shadow,

Ok, you are in. Welcome aboard. We have three remaining positions left on this board.

BTW my role in this is to act as a moderator and not as a voting member of the board. I may throw some ideas out from time to time but the board will have the ultimate decision making responsibility.

 

[Astra Guy]

I have to go do my real job for a while so I will leave dragonbravo in charge of accepting new board members in my absence. Feel free to kick around some ideas that may come to you.