John Borghetti reflects on his time at VA and hints at his future | Australian Frequent Flyer
Australian Frequent Flyer

Welcome to Australia's leading independent Frequent Flyer and Travel Resource since 1998!
Our site contains tons of information that will improve your travel experience.

Joining AFF is fast, simple & absolutely free - register now and take immediate advantage of these great BENEFITS.

Once registered, this box will disappear. And you will see fewer advertisements :)

Login Now to remove this and all advertisements (GOLD and SILVER members)
Not a member? Register Now for free

John Borghetti reflects on his time at VA and hints at his future

Status
Not open for further replies.

smit0847

Established Member
Joined
Aug 24, 2011
Messages
4,044
What it takes to get paid $2.77m: Virgin Australia’s John Borghetti says he’s ‘tried really hard’

Very interesting and frank story that I'm surprised hasn't been talked about here already. I found his 'we could cut costs in the short term but it would hurt us in the long term' comment interesting - its exactly the opposite of what QF are doing!
I don't really understand why he's taking 7 flights a week. I would have thought the majority of an airline CEO's role would be sitting in an office/board room pouring over figures, strategies. yields, inventory etc. I can understand needing to travel for press events, new destinations etc but VA don't do that many - I wouldn't think he would have time to take many flights?
 
Last edited by a moderator:

rlarosa

Member
Joined
Dec 1, 2010
Messages
154
Flights
My Map
I think the guy has done an absolutely incredible job. If you cast your mind back to what he started with and look at where the airline is today you can't not marvel at a job well done (in my opinion!)
 

Zerosignal

Member
Joined
Oct 9, 2012
Messages
104
I don't really understand why he's taking 7 flights a week. I would have thought the majority of an airline CEO's role would be sitting in an office/board room pouring over figures, strategies. yields, inventory etc. I can understand needing to travel for press events, new destinations etc but VA don't do that many - I wouldn't think he would have time to take many flights?
Status runs of course.
 

toowongman

Member
Joined
Aug 2, 2006
Messages
477
Just as a sales manager drops into their stores, JB taking a few flights keeps him close to the action.
 

williamsf1

Established Member
Joined
Jun 1, 2010
Messages
1,189
I don't really understand why he's taking 7 flights a week. I would have thought the majority of an airline CEO's role would be sitting in an office/board room pouring over figures, strategies. yields, inventory etc. I can understand needing to travel for press events, new destinations etc but VA don't do that many - I wouldn't think he would have time to take many flights?
he does attend a large number of industry meetings / conferences where he is a guest speaker
 

cove

Enthusiast
Joined
Feb 15, 2008
Messages
13,858
Mrscove is doing another tester in J today. She has been the unluckiest out of our family so hopefully this one to Sydney and back is an improvement this weekend. I would hope that JB has copped the mixed/ordinary product from time to time by flying a lot and has fixed stuff.
 

BAM1748

Senior Member
Joined
Jul 22, 2008
Messages
5,983
It's important to get out and about, just to thank the customers you have today.

It's also import for him to test the service, yes I know the staff would know who he is but if he is good he would walk down to the toilet at the back just to make sure he is satisfied it's clean and flushes. He should also walk around a few gates at the airport for the same purpose.

Matt
 
Vinomofo is the best wine deals site on the planet. Good wines, real people and epic deals, without all the bowties and bs.

Recommended by the Australian Frequent Flyer

ermen

Established Member
Joined
Oct 9, 2010
Messages
1,238
I don't really understand why he's taking 7 flights a week. I would have thought the majority of an airline CEO's role would be sitting in an office/board room pouring over figures, strategies. yields, inventory etc. I can understand needing to travel for press events, new destinations etc but VA don't do that many - I wouldn't think he would have time to take many flights?
actually, that is probably the job of his COO if he has one (or someone else to that effect). CEO's job is to go out and meet investors, customers, suppliers, staff, review / set / communicate the strategy. A lot of the nitty gritty is done by others...

Interesting article on bloomberg on CEO travel...
Death on a Moscow Runway: The Modern, Homeless CEO - Bloomberg
 

JessicaTam

Enthusiast
Moderator
Joined
Jan 29, 2012
Messages
15,136
Qantas
Platinum
Virgin
Red
Flights
My Map
It would be interesting to see where the respective airlines would be if JB and AJ's roles were reversed. I am not trying to be inflammatory, just curious.
 

cove

Enthusiast
Joined
Feb 15, 2008
Messages
13,858
It had to happen. Mrscove finally got a modern A330.
In between time VA has been caught with Tiger and have had to acquire all of it and the losses. That is a tough one to fix because 90% of capacity is producing those results.
VA needs more premium customers and they need to stop subbing out planes that catch frequent fliers out as we can be running on very tight schedules. It is hard to have back up planes when one goes tech.
We need absolute reliability that a service will be running.
The capacity war was pretty stupid but in a free competitive business like our 2 main airlines have, VA had to be saved by the largest shareholders getting issued shares (lots of shares actually).
I was surprised by the size of JBs pay when the airline is losing a lot of money.
Mostly the product is right now so they have a chance of surviving by getting to break even in the next 2 years.
 

maninblack

Established Member
Joined
Aug 14, 2006
Messages
2,310
I can't agree that the product is right at all, especially in J but it's okay in general. Share price is in the dumps and it's hard to see where revenue growth is going to come from. CEO gets a passing grade but nothing more.
 

amaroo

Enthusiast
Joined
Sep 22, 2011
Messages
13,639
Qantas
Platinum 1
Flights
My Map
It would be interesting to see where the respective airlines would be if JB and AJ's roles were reversed. I am not trying to be inflammatory, just curious.
He would have had to clean up the same stinking mess that accumulated during the 36 years he was involved with QF.
 

jaspon

Member
Joined
Jun 26, 2011
Messages
181
I think JB lives in SYD, so he's probably up to the BNE office a couple of times a week.
I would think the fact he is out and about in lounges/terminals/ aircraft regularly is a good thing , as he would have his finger on the pulse of what's going on with guests but staff as well
 
D

Deleted member 29185

Guest
I was surprised by the size of JBs pay when the airline is losing a lot of money.
Mostly the product is right now so they have a chance of surviving by getting to break even in the next 2 years.
I thought he would have been on more TBH.

As for the airline being "right now"....I'd disagree.

My take is that JB was good news for VA and JB did indeed make dramatic changes...and did it exceptionally well for a short time, but he seems to have run out of puff (or cash, or both) before reaching the finish line. He's the Jamie Whincup of the airline race. He may even see the blunderer who's been bouncing off the concrete for most of the race, pass him at the finish!
 

carwashhair

Member
Joined
Oct 24, 2011
Messages
349
Flights
My Map
I think JB lives in SYD, so he's probably up to the BNE office a couple of times a week.
I would think the fact he is out and about in lounges/terminals/ aircraft regularly is a good thing , as he would have his finger on the pulse of what's going on with guests but staff as well
I could swear I saw him in Annandale cellars the other month, putting a sizeable dent in the shops stocks (and in that salary, judging by the labels!). Quite short if I recall, but impeccable taste :)
 
Status
Not open for further replies.

Community Statistics

Threads
86,315
Messages
2,081,454
Members
53,725
Latest member
patrickmcgarry1962
Top