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Naresh Goyal's success storyJanuary 21, 2006 14:14 IST
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Naresh Goyal had to walk for a few miles everyday to school as his parents could not afford a bicycle for him, and started his career as a cashier at his maternal uncle's company at a starting salary of Rs 300 a month.
Today, the net worth of the Jet Airways [ Get Quote ] promoter is over Rs 81 billion (Rs 8100 crore), which makes him the sixth richest Indian as per the Business Standard Billionaire Club.
Goyal, however, hasn't forgotten his humble past. A reason why he remains modest and avoids the limelight. For e.g. minutes after announcing his decision to buy Air Sahara for Rs 2,225 crore (Rs 22.25 billion) - a deal, which gives him control over almost half of India's domestic aviation airspace - Goel refuses to give it much importance and said, "It's no big deal. I am neither happy nor excited. Such acquisitions have been the way of life in the west."
The modesty has been interpreted in many ways. While his associates say it shows that the man has his feet firmly on the ground, others say it's his way of avoiding controversies.
Which is understandable, as Goyal has had his share of questions raised about the origin of funds. More recently, the US government has been dragging its feet on giving Jet permission to fly to that country because of what it called the airline owner's questionable links.
For the moment, however, the 56-year-old Goyal is on Cloud 9, and says he is "open to all new trends and will grab the opportunities coming his way."
He has been doing precisely that ever since he got into the civil aviation industry 36 years back. He also has clear ideas about which way to go. For example, he thinks low cost airlines are just a myth in India.
There is nothing to call low cost carriers in India because there is no alternate second airport such as in Europe or the US. All airlines are paying for the same fuel, navigation, landing charges, which add up to 80 per cent of the total cost. There is hardly anything you can do with the balance 20 per cent.
Goyal holds a Bachelors of Commerce degree and after completing his education in 1967, joined the travel business as a general sales agent for Lebanese International Airlines.
Subsequently, he was appointed the public relation manager of Iraqi Airways in 1969 and from 1971 to 1974 was the regional manager for ALIA, Royal Jordanian Airlines.
During this period, he also worked with the Indian offices of Middle Eastern Airline, where he gained experience in various areas including ticketing, reservations and sales.
He was, thereafter, appointed regional manager of Phillipine Airlines where he handled the commercial operations of the airline in India.
He started on his own in 1974 by floating Jetair Private Ltd (then known as Jetair Transportation Private Ltd) to provide sales and marketing representation to foreign airlines in India. Shortly thereafter in 1975, he was appointed regional manager of Phillipine Airline in India.
Finally, in 1992, he took the big step of setting up his airline - Jet Airways. A firm believer in numerology, Goyal is fond of number "5". People close to him say his decision to acquire Air Sahara was also taken on the 5th many months ago.
How Naresh Goyal built Jet AirwaysJuly 24, 2007 13:12 IST
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Naresh Goyal might not have the height or the hair of Virgin founder Sir Richard Branson [ Images ], but he's certainly got his fellow airline owner's charisma.
The founder and chairman of Mumbai-based Jet Airways [ Get Quote ] was in New York for one of his "road shows," part of a campaign to introduce Americans to the 14-year-old airline that begins service from Newark, N.J. to Europe and India next month.
He met with reporters in his suite at the Waldorf-Astoria, showering them with compliments and hearty laughs.
He says he can't be compared to Branson because unlike his British counterpart, he's not the face of the brand. That may be true, but like Branson, Goyal built Jet Airways from the ground up.
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Goyal started working in the airline industry right after college in his great uncle's marketing agency for Lebanese International Airlines. His salary was so low -- $40 per month -- that he had to sleep on the floor of his office.
But he moved up the ranks quickly, becoming a publicist for the airline and from there, moving on to other international airlines.
After a few years, he started Jet Air, a marketing organization that represented several international airlines in India. His mother sold her own jewelry to give him money to start the business.
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In the early '90s, he looked into buying an airline in Scotland since there was no "national" carrier there, but his plan came to nothing. At home, though, things were changing.
From 1953 until 1992, the only airlines allowed to be based in India were owned and operated by the government. They were less than hospitable -- there were no printed schedules, and service was abominable.
"They [thought they] were doing you a favor to carry you from point A to point B," says Goyal. But when the government opened the airline industry to private competition, Goyal jumped at the opportunity.
"There was a huge market for good value and a high level of service in a marketplace that had never seen that before," says Bob Mann, an airline consultant with R.W. Mann & Company. "He got in front of the wave before it reached the shore."
Goyal now runs an airline that flies from India to 50 destinations. Starting in August, Jet Airways will have a European hub in Brussels.
Goyal still remains true to his marketing roots, which were showcased in a lavish press conference recently.
He might not be able to bring one of the airline's Boeing 777s into the Grand Ballroom of the Waldorf-Astoria to show off the upgraded cabins of Jet Airlines, but he did the next best thing: He brought life-size replicas of the cabins and showed off the flight attendants' newly designed mustard-colored ensembles.
Goyal markets service and comfort as the keys to his airline. For about $10,000, passengers in first class get a private suite, complete with closing doors; a full bed; a flat-screen television; and a meal that might be served at a top restaurant in any city. Business and coach offer levels of comfort too, with televisions and ergonomically designed chairs.
This isn't entirely new, says Mann. The Dubai-based airline Emirates and Etihad Airways, the national airline of the United Arab Emirates [ Images ], both have first-class closed-door cabins. Plus, there's lots of competition from the likes of Virgin and British Airways, which also fly to India.
But with globalization and India's economy opening up, Goyal is counting not only on the Indian diaspora looking to travel around the world, but businesspeople who increasingly need to go to the Indian subcontinent for work. "The demand has been pent up for a long time," says Mann.
Goyal recently sat down with Forbes.com to discuss his airline's past and future.
Forbes.com: Are you the Richard Branson of India?
Goyal: No. I don't want to follow someone else, but he is a very dear friend of mine. We know each other through the industry. He's the best marketing person in airlines. He is the Virgin brand. I don't want to be the brand because an organization lasts longer than the individual. The institution is there for a long time to come, while individuals come and go.
Our airlines work together very closely. We bring traffic from India to London [ Images ] and transfer them to him. We have a commercial alliance.
How did you pick Newark as the first American destination for Jet Airways?
We found there's less congestion at Newark after you leave the airport than at JFK. Eventually we'll fly to both because both airports are important. If I have a choice, I fly into Newark.
After Newark, there's a lot more North American expansion planned. Some observers say it's too fast, but you don't agree. Why?
There is traffic already. You don't have to do anything and traffic exists. There are 2.5 million Indian-Americans living in the U.S. We want to serve that population. Also, Indian companies are becoming global. People in the west used to think India is something hidden. Today, U.S. companies have so much interest in India.
Next is Toronto on September 5. There are 800,000 Indians in Canada [ Images ]. We'll start service to JFK, San Francisco, Chicago and L.A. in the next year.
There are so many options in the airline industry. Why would someone pick Jet Airways?
Service is everything. I'm paying $750 per day to stay here [the Waldorf-Astoria Hotel] and there's lousy service. I ordered my breakfast at 9 a.m. and my breakfast never came. I went hungry. This would never happen in India. Hospitality is in our blood -- to look after our guests. Even if you come from a poor family, the lady of the house will offer you tea or coffee.
In terms of American passenger-airlines service, they dump people from one point to another. With us, you get a hot meal within a half hour of takeoff. It's a three-course meal in every section of the airplane -- even in coach.
What about pricing?
We are not here to get into fare wars. We are here to give you the best product, which hopefully no other airline gives you.
Your flight attendants are outfitted by a fashion designer, three-course meals are served in all sections and you're pouring Dom Perignon to passengers in first class. How can you afford that without raising prices?
Productivity. It's higher and better than other carriers. Our cost ratio in the aircraft is one of the lowest in the world. We have created high morale for our people. Our employees believe in the company. They believe it's their company. There's a feeling among
employees that if the company makes money, it's their money and if the company loses money, that's their loss.
With your love of airlines, have you ever learned how to fly an airplane?
No, I can't even drive a car. I don't even know how to swim.
Why do you enjoy the airline industry?
It connects cultures. You make friends. And, of course, there's a certain glamour in this business.
Naresh Goyal (60), the founder Chairman of Jet Airways, India's premier airline, has over 38 years of experience in the Civil Aviation industry. He is the recipient of several national and international awards.
After graduating in Commerce in 1967, Mr. Naresh Goyal joined the travel business with the GSA for Lebanese International Airlines. From 1967 to 1974 he underwent extensive training in all facets of the travel business through his association with several foreign airlines. He also extensively travelled overseas on business during this period.
With the experience, expertise and technical know-how thereby acquired, in May 1974, Mr. Naresh Goyal founded Jetair (Private) Limited with the objective of providing Sales and Marketing representation to foreign airlines in India. He was involved in developing studies of traffic patterns, route structures, operational economics and flight scheduling, all of which has made him an authority in the world of aviation and travel.
In 1991, as part of the ongoing diversification programme of his business activities, Mr. Naresh Goyal took advantage of the opening of the Indian economy and the enunciation of the Open Skies Policy by the Government of India to set up Jet Airways for the operation of scheduled air services on domestic sectors in India. Jet Airways commenced commercial operations on May 05, 1993.
Mr. Goyal has been re-elected to IATA Board of Governors for the year 2008-09.He has earlier served on the Board of Governors of the International Air Transport Association (IATA), from 2004-2006.
In 16 years, Jet Airways has emerged as India's largest private domestic airline and has been acclaimed by frequent travellers as the most preferred carrier offering the highest
quality of comfort, courtesy, standards of ground and in-flight services and reliability of operations. Jet Airways currently operates a fleet of 10 - Boeing 777-300 ERs, 48 New and Next-Generation Boeing 737s, 12 Airbus A330-200 aircraft and 14 ATR72-500s turbo-prop aircraft. With over 330 daily flights, the Airlines network connects 63 destinations, of which nineteen are international, i.e. New York (both JFK and Newark), Toronto, Brussels, London, Singapore, Kuala Lumpur, Hong Kong, Bangkok, Abu Dhabi, Riyadh, Jeddah, Bahrain, Kuwait, Muscat, Doha, Colombo, Kathmandu and Dhaka.
Jet Airways has been voted India's "Best Domestic Airline" by several organisations of world-class repute. The airline has also been conferred with several national and international awards instituted by leading organisations including the Market Development Award for 2001 of Air Transport World (ATW) of USA. Jet Airways has also won the 'Service Excellence Award' hosted by Global Managers at Mumbai. Mr. Goyal in his capacity as Chairman, Jet Airways has won the 'Entrepreneur of the Year Award for Services' from Ernst & Young and also 'Distinguished Alumni Award-2000' for meritorious and distinguished performance as an Entrepreneur' and also the 'Most Respected Company in Travel and Hospitality Sector'. Other awards conferred on Mr. Goyal include the 'Outstanding Asian-Indian' award for leadership and contribution to the global community given by the Indian American Centre for Political Awareness, 'Aerospace Laurels' for outstanding contribution in the field of Commercial Air Transport twice, in April 2000 and February 2004.The airline has also been given the 'Pride in Excellence' award from Boeing Company for maintaining the highest Technical Dispatch Reliability for the second year in succession in April 2004.In August 2003, the airline was awarded the 'Superbrand' status by the world's leading authority on branding, the Superbrands Council.
Jet Airways with the acquisition of JetLite, today has a combined fleet strength of 107 aircraft and offers customers a schedule of over 444 flights daily.
In July 2005, Business Week selected Chairman, Naresh Goyal as one of the five leaders from India in their Asia Edition cover story "Stars of Asia - 25 Leaders at The Forefront of Change."
Chairman, Naresh Goyal received the first BML Munjal Award for Excellence in Learning & Development in the Private Sector category from the Honourable Minister for Civil Aviation, Shri Praful Patel along with a citation at a special function at Hotel Maurya Sheraton, New Delhi on January 6, 2006.
The Prime Minister, Dr Manmohan Singh presented the first NDTV Profit Business Award 2006 to Jet Airways, which was received by the Chairman, Naresh Goyal at a glittering function at Taj Palace Hotel on July 28, 2006. The award, in the aviation category, is to salute the men and women who fuel India's journey to the forefront of the World Economy.
Chairman, Naresh Goyal was accorded the prestigious TATA AIG - Lifetime Achievement Award at the Abacus-TAFI Awards ceremony organized during the TAFI (Travel Agents' Federation of India) International Travel Convention 2007, on Saturday 8th September, 2007 at the Sutera Harbour Resort in Kota Kinabalu, Malaysia.
Chairman, Naresh Goyal, was conferred with "Travel Entrepreneur of the Year" award at the 19th annual TTG(Travel Trade Gazette)Travel Awards. The awards were presented at a glittering ceremony and gala dinner on Thursday 25th October, 2007 at the Sofitel Centara Grand, Bangkok.
Chairman, Naresh Goyal was awarded the prestigious "Man of the Year Award" by the Aviation Press Club (APC) at its 30th Anniversary on Wednesday, April 09, 2008, in Belgium. The Aviation Press Club is an influential club of Belgian Aviation Journalists.
Mr. and Mrs. Goyal have also received the "International Entrepreneurs of the Year" award at the house of commons, UK . The award was presented by Rt Hon Geoff Hoon MP, UK Secretary of State for Transport, before an august gathering of British parliamentarians and other distinguished guests at the House of Commons, as part of the Asian Voice Political and Public Life Awards 2008.
Naresh Goyal ProfileAchievement: Founder Chairman of Jet Airways; Recipient of the first BM Munjal Award for Excellence in Learning & Development in the Private Sector category in 2006.
Naresh Goyal is the founder Chairman of Jet Airways, India's largest domestic airline. Jet Airways presently operates
over 320 flights daily to 48 destinations, of which five are international. Naresh Goel also figures in Forbes list of Indian billionaires.
Naresh Goyal completed his graduation in Commerce in 1967 and joined the travel business with the GSA for Lebanese International Airlines. From 1967 to 1974 he learnt the intricacies of the travel business through his association with several foreign airlines.
In May 1974, Naresh Goyal founded Jetair (Private) Limited to look after Sales and Marketing operations of foreign airlines in India. Naresh Goyal was involved in developing studies of traffic patterns, route structures, and operational economics and flight scheduling. His rich and varied experience made him an authority in the world of aviation and travel.
In 1991, when the Indian economy was being opened up, Naresh Goyal took advantage of Open Skies Policy of the Government of India and set up Jet Airways for the operation of scheduled air services on domestic sectors in India. Jet Airways started commercial operations on May 05, 1993.
Today, Jet Airways has evolved into India's largest private domestic airline. Jet Airways has been voted India's "Best Domestic Airline" by several organisations of world-class repute. In 2005, Jet Airways came up with an IPO and it was a huge success. Jet Airways was recently in controversy over its merger deal with Air Sahara. The merger was called off and the too airlines are currently considering arbitration.
Along with Jet's meteoric rise, Naresh Goyal too rose in the entrepreneurial arena. He has won several honors and accolades. These include Entrepreneur of the Year Award for Services' from Ernst & Young in 2000, 'Distinguished Alumni Award-2000 for meritorious and distinguished performance as an Entrepreneur', Outstanding Asian-Indian' award for leadership and contribution to the global community given by the Indian American Centre for Political Awareness, 'Aerospace Laurels' for outstanding contribution in the field of Commercial Air Transport twice, in April 2000 and February 2004. Naresh Goyal also received the first BM Munjal Award for Excellence in Learning & Development in the Private Sector category in 2006.
Naresh Goyal is Flying SoloNaresh Goyal brought in expats to build Jet Airways into a world-class airline, but ended up alienating his Indian staff. Now where will he go?by Cuckoo Paul | Oct 5, 2009
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Image: Malay Karmarkar
O n September 13, 2009, a few hours after the six-day-long agitation was called off by the pilots at Jet Airways, Naresh Goyal held out an olive branch. In an attempt to bury the hatchet and tell each other “let bygones be bygones,” Goyal, chairman of India’s largest airline, invited 200-odd pilots to join him for high tea at a five-star hotel near Mumbai International airport. But there’s a thing or two about relationships. They’re awfully fragile. And when fractured once, the demons are incredibly difficult to exorcise.
Which is why, when the pilots reached the venue and discovered Capt. Hameed Ali, who is chief operating officer (COO), Declan Conolley, vice-president (VP) flight operations and Capt. Hassan Al-Mousawi, senior VP-operations and on-time performance, already seated in the conference hall, they flew into a fit of rage. Never mind everything else you’ve heard about why they agitated in the first place. Call it xenophobia, call it imagined anguish, or call it real anger — to everybody’s embarrassment, not a single pilot would enter the hall until the expats in the room left.
Their gripe? That they take home $7,200 a month and are expected to fly 22 days during the time. Their expatriate counterparts, on the other hand, are paid $12,000 a month with taxes being picked up by the company; fly 12 days, take 10 days off when they get business class tickets to go home. This, the Indians argued, was discrimination. Over the last one year, they claimed they had tried their damndest best to reason it out with the three men now accompanying Goyal. If things had come to a boil, they believed the blame had to rest squarely on the shoulders of these managers. Eventually, Goyal conceded ground and the team of negotiators accompanying him left the place and he was left to himself to manage the evening.
Now, Naresh Goyal is the kind of man who has handled an incredible number of conflicts in his life in a manner that can only be described as infuriating. He simply avoids them.
Two years ago, he told a colleague of mine that if he doesn’t like somebody in the organisation, he doesn’t sack them. He just gives them a newspaper. After three months of reading newspapers and with little else to do, they get the message and leave. But more importantly, it saves him the heartache. (Goyal declined to comment for this story.)
The trait was visible in October last year too when Jet Airways took a call to lay off 800 cabin crew. The perfectly manicured and well-coiffured crowd took to the streets, attracted attention by the truck loads and managed to attract the political munificence of Raj Thackeray who heads the Maharashtra Navnirman Sena. Goyal feigned ignorance and swore on his “dead mother” the decision was taken without him being in the know. And now that he knew about it, the crew would be reinstated. By all yardsticks, we know that was a stretch — but you get the general drift?
The problem is, the way things are at the airline, Goyal’s almost Sun Tzu-ish approach to conflict is the problem. On the one hand, there is his obsession and reliance on expat managers to run the place. In his mind, the reasons were obvious. Like he always says to anybody who cares to listen, to fulfil his dream of building an airline with the technical efficiency of Lufthansa, the on-time performance of Swiss Air, the service quality of Singapore Airlines and the accident free record of Qantas, he needs to hire the best the aviation business has to offer.
Be that as it may, his obsession with expats has stoked incredible anger within the ranks of his Indian managers who are convinced their careers have run into a glass ceiling. “It was frustrating that there were always foreigners at the top, who were always paid and treated better” says Nandini Verma, former VP, corporate affairs, who worked for 20 years with Goyal, and then quit to join Kingfisher.
An Obsessive ManDon’t assume, even for a moment, that because Goyal avoids conflict, he is a wimp. The man is tough as nails, knows what he wants and will do what it takes to get what he wants. There was this time for instance, when upset at how the toilets were on a flight, he flew into a fit of rage and cleaned one himself to show the cabin crew how spotless the place ought to be. “I get into detail. That makes me passionate about my business, not a control freak,” he once said.I
mage: Dinesh Krishn
His “passion” pushed him into seeking out the “best talent” the world has on offer. That is also why when he started the airline 16 years ago, he was clear top jobs in the organisation would be manned by expats. This included that of the CEO, the COO and the head of engineering. His board was eventually packed with stalwarts like Vic Dunca who came from Philippine Airlines and Ali Ghandour, former chairman of Royal Jordanian who was advisor to the late King Hussein. Insiders at Jet privately joke that Goyal trusts his expat managers more than his wife Anita who runs sales and marketing for the airline out of her base in London.
Whatever the case be, the fact remains, in the early years, Goyal’s reliance on expats paid off. For instance, Nikos Kardassis, a Greek American who was the second CEO at the company, is credited with creating a global footprint for the airline though it operated only in India. He engineered code shares with dozens of foreign airlines which enhanced the upstart airline’s connectivity. Eventually, this translated into Jet’s dollar bookings (tickets booked by overseas travellers to India) being significantly higher than other carriers like Indian Airlines. These tickets were sold at much higher rates than tickets booked in India. Expat CEOs also helped build the foundation for making Jet the carrier of choice for business fliers. Jet’s carefully structured mileage programme was the envy of its rivals.
In that sense, all was well. Then something happened in June 2005 that rattled even seasoned veterans at the airline. One June morning, his A-team members woke up at their homes, picked up the newspapers and choked on their coffee. Headline writers in newsrooms across the country had gone crazy over Goyal’s decision to order 20 new wide-bodied aircraft at the Paris air show. Goyal told the goggle-eyed media that these planes would be inducted into the airline’s fleet over the next 18 months to propel his aspirations of taking Jet global — that he wasn’t content with being a domestic airline anymore.
Until the papers wrote of it, nobody at the airline — not the CEO, not the COO, not
the board of directors — knew this was coming. They were horrified. There was no way in hell the airline could be readied to manage the complexity of running international operations in the frame Goyal wanted. It had just begun flying to London after years of lobbying and maneuvering through bureaucracy — thanks largely to the tenacity of Saroj Datta, the 73-year old executive director, and one of the few Indians at the airline Goyal trusted.
But for Goyal, this was the big moment. For a man who started life working as a flunkey
Image: Paul Morris/Corbis FLYING AWAY FROM IT: Naresh Goyal is the kind of man who has handled an incredible number of conflicts in his life in a manner that can only be described as infuriating. He simply avoids them.
Image: Dinesh Krishn
at his uncle’s travel agency in Delhi, this was what he had waited for all his life — to build a global airline and take on the best in his business like Singapore Airlines, a company he was always in awe of. A premium, full service carrier with an incredible business class offering, it attracted upscale businessmen and executives willing to pay extra dollars to fly. If getting there meant replacing the heads of various departments with expats, he didn’t flinch. In one swoop, finance excluded, expats were brought in to man key positions.
In a matter of weeks, the six Indians managing in-flight services, airport services, corporate affairs and the head of its Asia-Pacific operations left in a huff. “The resentment against foreign pilots is deep-rooted and goes beyond the events of the last two-three years,” admits Saroj Datta. In the years that followed, Jet inducted close to 400 foreign pilots, almost 40 percent of its total strength. They came from the US, Columbia, Romania and so on. Airline folk derisively referred to Jet as the UN of the industry.
Not that Goyal cared. As far as he was concerned, his ever growing cadre of expats was a badge of honour to be worn proudly. No other Indian company had bet on a diverse a talent pool as he had. He spoke proudly of how his vast network was employed to hunt for the best people, wherever they were. In some sense, it had become a bit of an obsession. So while Goyal, with his pronounced Punjabi accent, exuded a rustic charm, his expat managers became his sophisticated, public face in global forums or to raise Rs. 1,899 crore for a hugely successful IPO. “CEOs are handsome. Entrepreneurs are ugly,” he once said and roared with laughter.
Gaurang Shetty, senior vice-president, is one of the few Indian nationals in Jet’s top rung. He says the discipline, practices and experiences expats introduced benefited the airline tremendously. “Growth was exponential over the years,” he says. “The issue was how to manage this growth,” Goyal, he says, had two choices. Either get in global talent or nurture people from within. He opted for the former.
Starting in 2005, Jet planned operations at a dozen international airports all the way from Brussels to San Francisco. “No one had heard of the airline in these markets. And it meant negotiations with dozens of vendors, suppliers and airports. We needed someone who understood this and did this regularly,” says Shetty, stoutly defending Goyal’s choices.
Image: Dinesh Krishn
Grapes of Wrath Even as Goyal kept carving one victory after another, there was something creeping up behind him. Simmering discontent in the ranks and low cost airlines, an idea he has always dismissed condescendingly. Both of which, he was blindsided to.
For various reasons, he had always maintained that in India, low cost carriers wouldn’t work. He was wrong. They did. The numbers proved it. And when the global downturn hit home towards the end of 2008, passengers shifted en masse to the lowest cost options they had. They were simply unwilling to pay more to fly on a full service, premium carrier like Jet and Goyal was compelled to do a U-turn. At the company’s annual general meeting in August this year, he acknowledged “Demand for premium class travel is declining and the air travel market has become price sensitive. We have introduced low cost travel on routes where there is sluggish demand for premium travel.” Earlier this year, Goyal quietly launched a low fare brand called Jet Konnect with Sudheer Raghavan, a veteran at Singapore Airlines and a citizen of the city state, at its helm. Goyal ignored the sniggers it attracted because Raghavan had never run a low-cost airline in his career.
The way things are panning out, three quarters of Jet’s capacity will soon operate as Jet Konnect. And therein lies the rub. Expats brought in from across the world for their expertise in shaping a premium service model are now being forced to craft an all-economy airline from the shell of a full service one. Critics of this model, like Kapil Kaul of Centre for Asia Pacific Aviation, say it takes more than selling tickets at low fares to make a successful low cost carrier. To morph into an airline that can pare costs to the bone will be tough with the same managers at the backend.
It is not a game either Goyal or his expatriate managers have played earlier. Until now, the airline has axed jobs, stopped flying on several routes and leased out its brand-new planes. Domestic capacity was reduced by 15 percent in 2008-9, while 23 percent of the international routes got the axe. Foreign cabin crew and ground staff hired at stations like San Francisco and Shanghai were given pink slips. But for the most part, Jet has retained more than a 100 foreign pilots on its roster. All this hasn’t stemmed the bleeding though. In 2008-09, it lost Rs. 1,350 crore. Debt is up to 8.5 times equity. With competition showing no sign of flagging, the next few quarters don’t look any better either.
The losses continue to raise questions on why does the chairman persist with the more expensive foreign talent — particularly when their expertise doesn’t seem to add value in the changed circumstances.
The answer, though, isn’t difficult to figure. If he lets go of them, it will be an admission that his vision of a full service carrier is all but over. No one inside the airline, including his senior managers, believes Goyal is ready to acknowledge that the ground rules in aviation have changed forever. So for the moment, he has an incredible balancing act to perform — at least until the market recovers.
By all accounts, the pressure is mounting. The pilots’ strike is only one sign of things to
come. The DGCA (Directorate General of Civil Aviation) has told airlines that foreign pilots will have to be phased out by 2010. Airlines, including Jet, are expected to appeal for an extension, because they believe they need experienced commanders, trainers and examiners.
Over the years, Goyal has managed these dichotomies smartly. He has run Jet Airways with an iron hand. The fact that Jet has never had a strike before is testimony to the maneuvering he is adept at. That is why September’s strike is being seen as evidence that his magic may be fading.
Part of the problem also has to do with the fact that Goyal doesn’t trust his CEO anymore. Wolfgang Prock-Schaeur, an Austrian national, was conspicuously missing from public view during the recent face-off with pilots. Prock-Schaeur had a formidable reputation in managing workforces, built during his earlier stint at Austrian Airways.
The rift between the two of them started when Prock-Scheur took a call to quit Jet and move to arch rival Kingfisher in November 2007. Goyal used his charm to persuade Prock-Schaeur to stay. He did. But things never got back to how they were. Though he continues as CEO, Prock-Schaeur isn’t in the thick of things anymore. He wasn’t part of the decision to reinstate the sacked cabin crew; or to join the group of private Indian carriers in their decision not to fly if the government didn’t cut taxes on aviation fuel.
Last year, Goyal hand-picked Ravi Chaturvedi, who had earned a formidable reputation as president of north-east Asia at Procter & Gamble (P&G), to be his new group CEO. But Chaturvedi put in his papers within three months of joining. Insiders say that he didn’t get along with the chairman on several key issues of culture and decision-making.
For now, that leaves Goyal to wage a largely lonely battle to save his vision of building a world-class airline.
From the street to the sky: Tycoon Naresh Goyal's story
Published on Sat, Aug 08, 2009 at 16:45 | Updated at Tue, Aug 11, 2009 at 16:12 | Source : CNBC-TV18
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One of the great things about the new India is that there are many self-made millionaires and many self-made billionaires. For the most part they tend to be engineers who made it big, small traders who became big traders.However, it is very rare to find somebody who was literally on the street, who had to read his school books by the night of a street lamp, who made his home on the floor
of his uncle’s office, who slept on a gadda and went on to create a world-class institution. Went onto not just become a billionaire but to prove that Indians could run something that was really the finest in the world. That is something that always distinguishes Naresh Goyal from just about everybody. Vir Sanghi talks to the Jet Airways chief to find more about his personality on his CNBC-TV18 show Tycoons With Vir Sanghvi.Here is a verbatim transcript of the exclusive interview with Naresh Goyal on CNBC-TV18. Also watch the accompanying video. Q: We’ve talked about where you came from; let us talk about where you are now. You’re actually not in that good a place. Is this the worst crisis of your career?A: I have gone through worst crises. Q: Like when?A: When I had no money to eat. Q: Really? A: I had no money to educate myself and no place to stay.Q: Let me tell you what little I know and I know this because it is not widely known but I have seen a very beautiful film your daughter made for your sixtieth birthday. It turns out that though your family were quite prosperous, they lost all their money and at one stage the home in which you lived in the small town called Sangrur was actually auctioned-off by the government and the bank, and all your possessions were thrown on the street?A: It is correct. Q: How old were you?A: I was 12 years old. Q: You were 12-years old and every single thing you owned had been thrown on the street.A: Everything that the family owned, yes. Q: What did you do then? A: I lived with some close family friends in Sangrur to finish my basic education. Then my brother and mother’s uncle helped get me my Bachelor of Commerce degree. Q: Where did you go for college?A: I went to Patiala. Q: What was the fee at that point in time?A: At that time it used to cost me about Rs 110 a month.
Q: And that bit is true that when you were actually thrown out on the street and you still had to study because there were no lights at home, you would sit under street lamp and read your books? A: Yes. Q: So let us take this forward. Your mother’s uncle and your brother supported you and put you through college. Then what did you do? A: I went to Bikram College of Commerce in Patiala and I was 18 years old when I finished my Bachelor degree. But then I had no money for further studies––for pursuing chartered accountancy or law which I was very keen on. My mother spoke to her uncle, who used to help cinemas in Chandigarh, Patiala and some other cinemas in Punjab. He also had an agency at for Lebanese International Airlines. So I started working for him in 1967 with Rs 300 per month as a cashier. Q: What were you like? Were you sort of Naresh Goyal we see today or were you a rather gawky youth you didn’t speak much English? A: I didn’t know English then; I don’t know English even today.Q: So you didn’t know English?A: Even today my English is weak.Q: Where did you live?A: The office––it used to be called All India Travel Services. It was in Marina Hotel in Delhi.Q: Canaught place?A: Yes. The office was there so I used to sleep there.Q: And your job was what?A: I started as a cashier. Later I started dealing with the documentation processes like passport office, etc. as there were a lot of Indian immigrants for Canada and London. It was very difficult to get passports in those days. Q: When did Bombay come into picture?A: I came into contact with Ali Ghandour who was the Chairman of Royal Jordanian Airlines. He gave me an opportunity, so I started working for Royal Jordanian Airlines and also continued with my uncle. I was involved with their expansion in far East. Q: I want to stop you and ask about a story, that again I’ve heard from the family, but I don’t think has appeared anywhere before which is that when you worked for Lebanese Airlines, there was a manager of Lebanese Airlines who supposed to be taking an Indian Airlines flight from Delhi to Bombay and he arrived late at the airport coming from the Oberoi. You were there and your job was to see him off. You managed by sort of manipulating the duty officer to get him on to the flight even though he checked-in late. But far from being grateful he said to you pick-up his bag and you, which is actually very unlike you as you’re not that kind of a guy, said to him, ‘What do you think I am? I am your servant?" Is that true? A: I felt as an Indian that he has no respect for me. Q: What did he say to you actually?A: He said why don’t you carry my briefcase. I said why should I? It is not my business to carry briefcases. Q: And then what happened?A: He got very upset. He complained and the matter went to the Chairman of Lebanese International Airlines.Q: Whose name was Carlos Arida?A: Yes. He lives in Mexico now. He must be 82-83 years old now. He met me.Q: How did your uncle react to it whose agency you were now jeopardizing by being rude to the manager?A: He was very upset. He had then arranged for me to meet Mr. Carlos Arida. Q: But is it true that your uncle took you there and told you in Punjabi, go and apologise to him?A: Yes. I used to call him Chachaji and I said yes. So when Mr. Carlos asked me to tell me what happened as I believe you have upset our manager in India? He said you don’t know how to behave. But he was a very good listener and I told him. He was an institution by himself in
aviation. Then after sometime he sent a message to my mother’s uncle that I want this young man to come in for training. Q: You are being modest. The version I have heard is that you went in there, your uncle said apologize, you refused to apologize and you said to Carlos Arida, “If you were in my place, what would you have done?” A: I am very happy you know the details. Q: And Carlos Arida rather than sort of taking umbrage as your uncle had expected, said fine all right and then told your uncle I like this boy, send him to Beirut for training.A: This is very true.Q: We all know Jet Airways as this huge success story. But there have been a hell of lot of crisis haven’t they? A: Yes because when we started, lot of friends told me that time, and in fact Pierre Jeanniot, who was the Director General of International Air Transport Association (IATA) for 11 years, I knew him from his Air Canada days, I knew him when he was a Senior VP and became Chief Executive President, I had asked him before he became Director General in 1992, he said my friend people are getting out of the airline business and you want to get into it. Are you all right? You need your head to be examined. I said no, India has a great opportunity and we have a great government. I believe that and I said I am sure we will do it and Indians can create a great airline because Mr. Tata created the best airline in the world. So I am sure that we can also do the same. Q: Of the crisis you faced there was a phase when the Tatas were trying to start Tata Singapore and the general perception was that you sabotaged it. How accurate was this?A: Unfortunately, this has been going on for a long time. I mean Singapore is a great country. The only thing I always said is that you don’t need foreigners to run airlines. And people thought, which is correct, it is a capital-intensive industry. One needs a lot of money, that how can Indians get this money? How can they arrange for the equipment? How do they know as they don’t have the technical expertise? So there is no way. Only the foreigners can do it. Of course Singapore has a great reputation as a country and as an airline because it is a part of Singapore Inc. I never believed that, so I said why do we need them. I have always said, let the Tatas start why do they need any foreigners? So that is where it was always misrepresented––Mr. Goyal has sabotaged Tata Singapore Airline. I think we as Indians have proven, all of us, that we are second to none if not better. Q: The second controversy related to the ownership of Jet Airways. You were variously a frontman for Dawood Ibrahim, Chota Shakeel––I have lost count of the number of underworld dons you were supposed to have been representing. Was that a hurtful period for you?A: I went through a very bad period because you can take any allegations when you’re linked with anti social elements because I am a very proud Indian—a very happy Indian and I have known ambitions. But it really affected my daughter who is now 19 years old, she was in school and some children asked and she came and cried. Then my wife Neeta says I don’t want children to live here. That time she decided to live in London. Q: I remember talking to Neeta and she often said why are we doing this, we don’t need it, etc. Was there ever the urge to throw in the towel or did you always kept at it? A: I said let the agency check. Let the government check. I am very fortunate that P Chidambaram who was not in the government then advised as to how to start the airline under NRI/OCB. It was all transparent and I am very fortunate––not very only me but also the country. Our great Prime Minister was a Finance Minister, so everything was cleared that time during the government. So I said let them because there is nothing I can stop people to create this type of unfortunate things and jealousy are everywhere in the world. I said I have to go through this and let them check in this and the authorities have checked, as you know.Q: The other crisis, of course, is the current one. How bad is it?A: The situation has nothing to do with the global economy meltdown or slowdown. This has been going on. We all believe in competition. If there was no competition, Jet Airways would not have been born. So birth took place of Jet Airways because of the competition but what happens is that the capacity when it exceeded than the demand, it started irrational pricing for the last almost
three-year and all of us have been selling below cost and not even covering our costs. Then these taxes––the navigation, landing, aviation fuel charges are higher than the rest of the world has compounded the problems aviation. Q: I have heard this and correct me that if you were to get aviation fuel at the sort of global price, if airport charges came down to global levels you still wouldn’t make with any money because the aviation industry is in a bad way. You wouldn’t make profits but at least you wouldn’t be on the verge of extinction. Is that correct? A: This is correct and it will immediately help the industry. The industry will become sustainable; it will be a viable industry. Q: But I have noticed that you don’t seem particularly perturbed by what should be a huge crisis. Is this because of you’ve through worse in your life?A: Crises are all over the world. Who expected the global slowdown? Who expected what will happen in the world? If there were no crisis you don’t know how to run your management. The crisis teaches you how to run business.
Naresh GoyalFrom Wikipedia, the free encyclopediaJump to: navigation, search
Naresh Goyal
BornJuly 29, 1948 (age 61)
Patiala, Punjab, India
Residence Mumbai
Nationality Indian
Occupation Chairman of Jet Airways
Net worth ▲ US$2.2 billion
Naresh Goyal (नरे�श गो�यल) (born December 23, 1950) is an Indian businessman and founder Chairman of Jet Airways. He started operating Jet Airways in 1993. Following
the 2005 IPO of Jet Airways, Forbes magazine declared him the 16th richest person in India with a net worth of $1.9 billion.
He took over Air Sahara giving his company 32% of the Indian travel market.
He has over 25 years of experience in the civil aviation sector. Under his leadership, Jet Airways has emerged as one of India's most preferred airlines.[citation needed] Following the bad times in the airline industry in the second half of 2008, Naresh Goyal joined hands with his prominent rival Vijay Mallya's Kingfisher Airlines in October 2008, entering into an agreement that would rationalize the operation of routes, sharing of codes, prices and availability, fuel management and ground handling, thus making Jet Airways-Kingfisher not only the largest market player, but also enabling both the airlines that would otherwise head for a collapse to economize and save. The Competition Commission of India has launched an inquiry if this arrangement is anti-competitive. He has a son name Nivaan Goyal currently studying in London.
Contents[hide]
1 Early life 2 Education 3 Jet Airways
4 External links
[edit] Early life
He was born in Patiala in Punjab in the house of a jewellery dealer. When he was 11 his family went through an economic crisis and his house was auctioned. He lived with his mother's uncle.
He completed his graduation in Commerce from Vikram College, Patiala.
[edit] Education
After graduating in commerce in 1967, Naresh Goyal joined the travel business with the general sales agents for Lebanese International Airlines. From 1967 to 1974, he took extensive training in all facets of the travel business through his association with several foreign airlines.
[edit] Jet Airways
In May 1974, Goyal founded Jet Airways (Private) Limited with the objective of providing sales and marketing representation to foreign airlines in India.
Mr. Goyal served on the Board of the International Air Transport Association (IATA) from 2004-2006.
Jet AirwaysFrom Wikipedia, the free encyclopediaJump to: navigation, searchNot to be confused with Jetway or Airway (aviation).
Jet Airways
IATA9W
ICAOJAI
CallsignJET AIRWAYS
Founded 1993
Hubs Chhatrapati Shivaji
International Airport
Secondary hubs
Indira Gandhi International
Airport
Chennai International Airport
Brussels Airport
Focus cities
Ahmedabad
Bangalore
Hyderabad
Kolkata
Pune
Frequent flyer
programJetPrivilege
Member lounge Jet Lounge
Subsidiaries
JetLite
Jet Cargo
Fleet size 84 (+ 44 orders)
Destinations 68
Company slogan The Joy of Flying
Parent company Tailwinds Limited
Headquarters Mumbai, India
Key people Naresh Goyal, founder and chairman
Website www.jetairways.com
Jet Airways is an airline based in Mumbai, India. It is India's second largest airline after Air India and the market leader in domestic sector. It operates over 400 daily flights to 68 destinations worldwide.
In July 2008, Which? magazine ranked Jet Airways as the world's best long-haul airline after Singapore Airlines.[1] In a poll conducted by SmartTravelAsia.com in September 2008, it was voted as the world's seventh best airline overall.[2] Jet Airways has also won a survey award for the quality of its catering from Which? magazine.[3][4] Jet Airways also operates two low-cost airlines, namely JetLite (formerly Air Sahara) and Jet Airways Konnect.
Contents[hide]
1 History o 1.1 International Operations o 1.2 Statistics
2 Corporate identity 3 Destinations 4 Fleet
o 4.1 Former fleet 5 Services
o 5.1 Cabin classes o 5.2 In-Flight Entertainment o 5.3 Airport Lounges o 5.4 JetPrivilege
6 Codeshare agreements 7 Awards and achievements [22] 8 Accidents and incidents 9 References
10 External links
[edit] History
Jet Airways was incorporated as an air taxi operator on 1 April 1992. It started Indian commercial airline operations on 5 May 1993 with a fleet of four leased Boeing 737-300 aircraft. In January 1994, a change in the law enabled Jet Airways to apply for scheduled airline status, which was granted on 4 January 1995. It began international operations to
Sri Lanka in March 2004. While the company is listed on the Bombay Stock Exchange, 80% of its stock is controlled by Naresh Goyal (through his ownership of Jet’s parent company, Tailwinds, and has 10,017 employees (at March 2007).[5]
Jet Airways Airbus A340-300E at London Heathrow Airport in 2005 with the 1993-2007 livery
Naresh Goyal, who already owned Jetair (Private) Limited, which provided sales and marketing for foreign airlines in India, set up Jet Airways as a full-service scheduled airline to compete against state-owned Indian Airlines. Indian Airlines had enjoyed a monopoly in the domestic market between 1953, when all major Indian air transport providers were nationalised under the Air Corporations Act (1953), and January 1994, when the Air Corporations Act was repealed, following which Jet Airways received scheduled airline status.
Jet Airways Boeing 777-300ER at San Francisco International Airport in the airline's new livery introduced in 2007
Jet Airways and Air Sahara were the only private airlines to survive the Indian business downturn of the early 1990s. In January 2006, Jet Airways announced that it would buy Air Sahara for US$500 million in an all-cash deal, making it the biggest takeover in Indian aviation history. The resulting airline would have been the country's largest[6] but the deal fell through in June 2006.
On 12 April 2007, Jet Airways agreed to buy out Air Sahara for 14.5 billion rupees (US$340 million). Air Sahara was renamed JetLite, and was marketed between a low-cost carrier and a full service airline. In August 2008, Jet Airways announced its plans to completely integrate JetLite into Jet Airways.[7]
In October 2008, Jet Airways laid off 1900 of its employees, resulting in the largest lay-off in the history of Indian aviation.[8] However, later, the employees have been asked to return to work. Civil Aviation Minister Praful Patel said that the management reviewed its decision after he analyzed the decision with them.[9][10]
In October 2008, Jet Airways and rival Kingfisher Airlines announced an alliance which primarily includes an agreement on code-sharing on both domestic and international flights, joint fuel management to reduce expenses, common ground handling, joint utilization of crew and sharing of similar frequent flier programs.[11]
In May 2009, Jet Airways launched another low-cost airline, Jet Airways Konnect. The new airline uses spare aircraft from Jet Airways' routes that were discontinued due to low passenger load factors. It also uses the same operator code as Jet Airways. The decision to launch a new brand instead of expanding the JetLite network was taken considering the regulatory delays involved in transferring aircraft from Jet Airways to JetLite, as the two have different operator codes.[12]
Starting September 8, 2009, several Jet Airways pilots went on a simulated strike by reporting sick and failing to turn up for duty. The stated reason for the pilots' action is that the pilots "are protesting against the dismissal of two senior pilots last month by the airline." [13] On September 9, 2009, the airline had to cancel over 160 domestic flights due to this reason.[14]. The five-day strike by pilots ended on September 13, 2009. It led to a cancellation of 800 flights where more than 400 of the company's pilots called in sick. According to Indian media reports, the strike cost the airline some $8m (£4.79m) a day.[15]
[edit] International Operations
Jet Airways started international operations in March 2004 between Chennai-Colombo after it had been cleared by the Government of India to do so.
It started its Mumbai-London service on May 2005 and Delhi-London on October 2005 with new Airbus A340-300Es dry leased from South African Airways. Amritsar-London services began on August 2006 and Ahmedabad-London on April 2007 but these routes were discontinued on December 2008 and January 2008 respectively citing poor load factors.
On 2 May 2007 Jet Airways announced Brussels Airport as its European hub for its Trans-Atlantic North American operations. It began its Mumbai-Brussels-Newark service on August 2007 followed by Delhi-Brussels-Toronto on September 2007 and Chennai-Brussels-New York City on October 2007.
On May 2008 it launched its Trans-Pacific Mumbai-Shanghai-San Francisco service followed by Bangalore-Brussels on October 2008; these routes were discontinued on January 2009 due to poor load factors and the worldwide economic recession.
Through 2009, Jet Airways has been adding services to new destinations in the Middle East and connecting existing international destinations to additional cities in India.
[edit] StatisticsJet Airways Domestic Operations Statistics
Year ended
Passengers %
Increase/Decrease
(in PAX)
RPK
Cargo carrie
d(in
tons)
% Increase/Decrea
se(in Cargo)
Aircraft Flown(Block
Hours)
Passenger seat factor (%)
April-05 to
March-06
9,115,459 - 7,875105,17
3- 165,729 73.7%
April-06 to
March-07
9,900,970 ▲8.62% 8,538117,94
6 ▲12.14% 190,911 70.2%
April-07 to
March-08
9,786,980 ▼1.15% 8,565114,24
0 ▼3.14% 194,916 70.9%
April-08 to
March-09
7,972,757 ▼18.54% 6,884 85,046 ▼25.55% 181,232 66.9%
Jet Airways International Operations Statistics
Year ended
Passengers %
Increase/Decrease
(in PAX)
RPK
Cargo carrie
d(in
tons)
% Increase/Decrea
se(in Cargo)
Aircraft Flown(Block
Hours)
Passenger seat factor (%)
April-05 to
March-06
441,142 - 1,701 10,724 - 17,857 65.0%
April-06 to
March-07
825,904 ▲87.22% 3,770 23,846 ▲122.36% 36,238 68.0%
April-07 to
1,641,930 ▲98.80% 8,350 51,517 ▲116.04% 72,598 67.5%
March-08
April-08 to
March-09
3,107,278 ▲89.25% 14,559 96,386 ▲87.10% 131,775 68.2%
[edit] Corporate identity
Current Jet Airways livery-the "flying sun"
Jet Airways' current livery was introduced in 2007.[16] The design retained the dark blue and gold-accented colour scheme of Jet Airways' previous corporate identity, along with the airline's "flying sun" logo.[16] The new livery, created with Landor Associates, added yellow and gold ribbons. A new yellow uniform was simultaneously introduced, created by Italian designer Roberto Capucci.[16] Jet Airways introduced its new identity in conjunction with a global brand re-launch which included new aircraft and seating.[16]
[edit] DestinationsMain article: Jet Airways destinations
Jet Airways serves 44 domestic destinations, 21 international destinations in 17 countries across Asia, Europe and North America.
[edit] Fleet
ATR 72-500
Airbus A330-200
Boeing 737-700
Boeing 777-300ER
Jet Airways' fleet consists of the following aircraft families as of September 2009:[17]
Jet Airways Fleet
AircraftIn
ServiceOrders Options Passengers
(First/Première/Economy)Notes
ATR 72-500 14 6 – 62 (0/0/62) All will be dry leased.
Airbus A330-200
102
5 5220 (0/30/190)226 (0/30/196)
2 dry leased from ILFC.
Boeing 737-700
13 – –112 (0/16/96)135 (0/0/135)
7 dry leased.
Boeing 737-800
37 20 –140 (0/16/124)144 (0/24/120)175 (0/0/175)
14 dry leased.
Boeing 737-900
2 – – 160 (0/28/132)
Boeing 777- 10 2 – 312 (8/30/274) 4 dry leased to Turkish
300ER
Airlines
3 to be dry leased to Royal Brunei Airlines
Boeing 787-8 – 10 – ??? (0/??/???) Deliveries starting 2013.
Total 88 44 5
As of December 2009, the average age of Jet Airways' fleet was 4.8 years.[18]
[edit] Former fleet
Previously Jet Airways operated a mixed fleet of owned/leased Boeing 737-300/400/500 and Airbus A340-300E which were leased from South African Airways.
[edit] Services
[edit] Cabin classes
With the arrival of its new Boeing 777-300ER and Airbus A330-200 aircraft, Jet Airways has introduced a new cabin with upgraded seats in all classes. The Boeing 777-300ER aircraft has three classes of service: First, Première (Business), and Economy. The Airbus A330-200 aircraft have two classes: Première and Economy. All Airbus A330-200 and Boeing 777-300ER aircraft have this feature. Boeing 737 aircraft are configured differently. Jet Airways has a three-star rated Business and First Class, and is in the top twenty-five business classes reviewed by Skytrax. Economy class has been reviewed as a three-star product by Skytrax.
Jet Airways First Class Suite on board a Boeing 777-300ER.First Class
First class is available on all Boeing 777-300ER aircraft. All seats convert to a fully-flat bed, similar to Singapore Airlines first class seat but much smaller. It was the twenty-second airline in the world to have private suites All seats in First have a 21-inch widescreen LCD monitor with audio-video on-demand systems (AVOD), in seat power supply, and USB ports etc. Jet Airways is the first Indian airline to offer fully-enclosed suites on its aircraft; each suite has a closable door, making for a private compartment.
Skytrax consumer airline reviewers recently rated Jet Airways First Class as being 14th best in the world.
Première class flat-bed seats on-board a Boeing 777-300ER.
Première class course.Première
Première (Business Class) on the Airbus A330-200 and Boeing 777-300ER international fleet has a fully-flat bed with AVOD entertainment. Seats are configured in a herringbone pattern (1-2-1 on the Boeing 777-300ER, and 1-1-1 on the Airbus A330-200), with each seat offering direct access to the aisle. Première seats on the A330-200s leased from ILFC are configured differently in a 2-2-2 non-herringbone pattern. Each Première Seat has a 15.4-inch flat screen LCD TV with AVOD. USB ports and in-seat laptop power are provided.
On the short-haul/domestic Boeing 737-700/800, all new aircraft are equipped with AVOD. All seats are standard recliner business-class seats with a few newer aircraft with electronic recline and massager.
Economy Class
Economy class on Jet's Airbus A330-200, Boeing 737-700/800 and Boeing 777-300ER aircraft has 32-inch seat pitch. Seats on the Boeing 777-300ER/Airbus A330-200 have a "hammock-style" net footrest. The cabin is configured in 3-3-3 abreast on the Boeing 777-300ER, 2-4-2 on the Airbus A330-200, and 3-3 in the Boeing 737. Each Economy seat on the 777-300ER/A330-200 has a 10.6-inch touch screen LCD TV with AVOD.Some recently acquired Boeing 737-700/800 aircraft also feature Personal LCD screens with AVOD.
All three classes feature Mood lighting on the Airbus A330-200 and Boeing 777-300ER, with light schemes corresponding to the time of day and flight position.
JetScreen IFE in Economy class on-board a Boeing 737-800
[edit] In-Flight Entertainment
Jet Airways' Panasonic eFX IFE system on-board the Boeing 737-700/800 and Panasonic eX2 IFE system on-board the Airbus A330-200/Boeing 777-300ER, called "JetScreen", offers audio video on-demand programming (passengers can start, stop, rewind, and fast-forward as desired). It has over 100 movies, 80 TV programmes, 11 audio channels and a CD library of 125 titles. The system operates via individual touchscreen monitors at each seat, and is available in all classes.[19]
[edit] Airport Lounges
Jet Airways Lounges are offered to First and Première Class passengers, along with JetPrivilege Platinum, Gold or Silver card members. The international lounge at Brussels has showers, business centre, entertainment facilities and children's play areas.[20] Lounges are located in:
Indian Lounges Bangalore , Chennai, Delhi, Hyderabad, Jaipur, Kolkata, Mumbai
International Lounges Brussels , Newark
[edit] JetPrivilege
JetPrivilege is Jet Airways’ frequent flier program.
[edit] Codeshare agreements
Jet Airways has codeshare agreements with the following airlines[21]:
Jet Airways — Codeshare agreements
[show]Airline Codeshare Routes
Jet Airways also has marketing agreements with the following airlines:
Air France Austrian Airlines Cathay Pacific Dragonair Emirates Gulf Air KLM Lufthansa Northwest Airlines South African Airways Swiss International Airlines Turkish Airlines United Airlines
[edit] Awards and achievements[22]
Jet Airways has been given a 3 Star rating by Skytrax.
Best First-Class Service in the World award at Business Traveller’s 20th annual ‘Best in Business Travel’ awards
Full Service Airline by 2006 Galileo Express Travelworld for the sixth year in a row
Nice Customer Service by Freddie Awards 2007 Indian Domestic Airline with Spectacular Growth at the SATTE 2006 Awards Best Business Class & Best Economy Class at the Business Traveller Awards Best Program of the Year by Freddie Awards 2007 & 2006 Best Elite Level for the second year in a row, at the 21st Annual presentation
ceremony of the Freddie Awards 2008 Best Bonus Promotion by Freddie Mercury Awards 2005 Best Overall in Entertainment at the Avion Awards 2010 India's Popular Domestic Airline at the SATTE 2006 Awards Best Single In-Flight Audio Program at the Avion Awards 2006 India’s Airline at the World Travel Awards, 2006 Best Technical Despatch Reliability by Beaver 2002 Customer and Brand Loyalty award in the Commercial Airlines Sector
(Domestic), at the second Goyal Awards Best Cargo Airline of North Asia by Cargo Airline of the Year Awards Best Domestic Airline award for the 1st consecutive year and the 5th time in the
past two years at the 18th TTG (Travel Trade Gazette) Travel Awards 2007 Service Excellence Award at Global Managers in Jurassic Park, Sudan. India’s Most Respected Company in the Travel and Food Sector by
Businessworld 2003 Runner up for Best Affinity Credit Card by Freddie Awards 2006
Runner up for Best Website by Freddie Awards First airline in the world to introduce IFE(Sky Screen) in a Boeing 737 Next
Generation. World's Second airline to introduce private First Class Suites in the air on their
Boeing 777-300ER.
[edit] Accidents and incidents On 1 June 2007, Jet Airways Flight 3307, a ATR 72-212A (registered VT-JCE)
which was flying on the Bhopal-Indore route was involved in an accident which was caused by a storm. There were no fatalities amongst the 45 passengers and 4 crew onboard, however the aircraft suffered damages beyond repair.[citation needed]
