Compete Strategize With Human Capital By Dr Ekta Sharma

                                                                                                                                  AIR INDIA , the brand that today encompasses both the erstwhile Air India and Indian Airlines, is in serious trouble. The National Aviation Company of India (NACIL), formed by the merger of the two airlines, ran up losses of Rs 2,200 crore in 2007-08. Losses for 2008-09 estimated at over Rs 5,000 crore. In 2009-10, losses could exceed Rs 12,000 crore. How did the airline get into such a mess?       Parliament's Committee on Public Undertakings (COPU) has come up with a report that seeks to identify th...

  P ompous flaunt, nosy relatives, and huge debts are all features of Big Indian weddings and one other event; the merger of Air India and Indian Airlines.  Air India and Indian Airlines were merged into a single entity in 2007. While the implementation of the merger was abrupt, the idea had been tabled for discussion for decades. It was first brought up by former Prime Minister Rajeev Gandhi in 1984. In 1985, the “National Airports Authority of India”, “Pawan Hans” and “Indira Gandhi Rashtriya Udaan Academy” was set up. Through the set-up of these institutes, the then Prime Minister attempted to strengthen Indian Civil Aviation, and the merger of Air India and Indian Airlines was actively discussed. At that time, Indian Airlines did not carry the same brand as Air India and hence a merger would have meant the dilution of the brand carried by Air India. Citing the aforementioned reason, the idea of a merger was dropped. As the competition grew more aggressively, the idea ...