Lufthansa leaders take direct roles to improve service at German hubs

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Lufthansa leaders take direct roles to improve service at German hubs

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Simple Flying | Simple Flying

By Sky Industry News

Dec 5, 2024

Lufthansa is taking decisive steps to address service quality and punctuality issues at its Frankfurt and Munich hubs. Starting January 1, 2025, CEO Jens Ritter and COO Klaus Froese will assume additional responsibilities for operations at these airports. This move aims to enhance flight operations, particularly during peak summer months.

"In view of the major operational challenges at the hubs in Frankfurt and Munich, which have led to a decline in quality, particularly during the peak periods of recent summers, Lufthansa Airlines is setting up new responsibilities," the airline stated.

The restructuring will introduce hub managers to improve processes related to station and cabin management and ground operations coordination. The objective is to ensure stable and reliable flight operations in collaboration with local partners.

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In 2023, Lufthansa Group's departure punctuality averaged 65.3%, slightly down from 65.9% the previous year. October data from OAG showed Lufthansa's on-time performance (OTP) at 70.77%. Comparatively, Delta Air Lines had an OTP of 89.93%, while United Airlines achieved 87.46%.

Other carriers within the Lufthansa Group also varied in their OTPs: Austrian Airlines at 85.68%, Brussels Airlines at 80.96%, SWISS at 70.39%, and ITA Airways, partially owned by Lufthansa, at 75.06%.

Lufthansa emphasized that punctuality is crucial for customer satisfaction and that new hub responsibilities should positively impact passenger experiences.

Ritter has been CEO since April 1, 2021, succeeding Froese who transitioned to flying as a Boeing 787 captain after holding the CEO position for over six years.

The airline group expects the new management structure to foster synergies through cross-divisional collaboration.

Lufthansa faces challenges in achieving a breakeven result due to negative market developments in Asia-Pacific and inefficiencies in its operations. The company plans measures targeting €1.5 billion ($1.58 billion) positive impact by 2026 through various strategies including premium offerings and cost management.

"Lufthansa Airlines is particularly confronted with challenges resulting from the negative market development in the key Asia-Pacific traffic region, but also faces inefficiencies in its Lufthansa and CityLine flight operations," it noted.

The airline also cited aircraft delivery delays, high operating costs in Germany, and costly labor agreements as contributing factors to its financial struggles.