Blog
Life and leadership at BA after Willie Walsh
12th April 2012
This is an interesting article that I came across while looking for updates on how industrial relations and strike threats have been progressing at BA over the last year or so - the article was published last September so apologies if you are already familiar with it, but I think it is well worth reading.
When studying leadership for BUSS4 we often use the example of Willie Walsh, and the rather deeply entrenched conflicts that became established with BASSA (the cabin crew branch of Unite). So it is interesting to see what has happened since Walsh moved on from the position of CEO of British Airways at the start of 2011 to become CEO of IAG instead.
Willie Walsh was succeeded by Keith Williams, the former Chief Finance Officer of the airline. It seems that the change of leadership, from the abrasive Walsh who seemed to be on a collision course with the unions, to Williams who is described as ‘more emollient’, has enabled the disputes to be settled.Williams started by bringing in a psychologist to facilitate the discussions, so diffusing the direct and personal confrontation that had developed over the previous two years. And in the new improved atmosphere, it has been possible to find a new approach to leadership which may enable BA to move on. The airline needs to make other changes to restore BA to profitablility and manage the attempt to re-establish the customer base and reputation of the airline, while working out the best strategy to find a new niche in a market which is dominated by the unashamedly budget airlines who occupy the cost-leadership segment of Porter’s strategic theory.
The article is a good read for BUSS4 students, who can compete to see how many aspects of business theory they can find within it.