This was an unexpected announcement from my perspective, and my initial reaction was that Todd may fit in better at VA. However, with a little more consideration on my part, I think this is a excellent appointment from Qantas' Board Nomination Committee.
Qantas have a number of people with aviation or related experience, so unlike some, I don't thing QF necessarily need another person in that category.
As much as I don't think Clifford has been a great Chairman at Qantas, I think there are a number of key benefits from this appointment.
1). Airlines have primarily two types of passengers, those that are wielded on (but usually profitable), and those that are fickle. Simpsons market analytical capabilities would add a lot of value in the board room on market positioning, data analytics etc.
2). Simpson will add some clout in the boardroom on marketing strategies. If this wasn't important, we wouldn't have thread after thread on our views on the latest advertising campaign.
3). QF have lost their dominance with Tourism Australia, (not sure how much due to the personal spat between Joyce and Dixon), Simpson is very well connected in the boardrooms and government halls of power, which will be important, particularly after Joyce overplayed his cards with the Government over the financial situation and need for government support. He is also very well connected in major private sector organisations and obviously in the media. This can only help Qantas.
4). Boards need diversity, and he will fit that card.
5) Off all the directors Simpson would know a huge amount more in relation to social medial than all the directors (and probably many QF senior executives combined). Social media is critical now (and we are part of it), so that will be another strength in the boardroom.
6). He has a very strategic mind, this will be very useful in challenging a number of gaps for Qantas.
7). My perception (and I may be wrong), he appears to have an understanding of technology which every board needs, and probably complements Hey (former MD at Ericsson).
8). He is much younger than other Directors, so this will bring another perspective, which will be useful. Whilst most diversity discussion is about getting women on boards (and we have a long way to go in this critical area (we know from research that boards with at least 2 female dire its and 3 senior executives usually out perform other organisations), given that QF has three female directors (and may be the counter example to the research), adding younger people to boards is one of the next most important options, as wells as people from different ethnic and social groups.
As much as I am critical of QF's performance, and much of Clifford/Joyce strategy, I thing from a corporate governance perspective this is an excellent appointment