Ever wondered how the Abu Dhabi-based carrier, Etihad, managed to fly its way out of the UAE desert and right into aviation success?
Well aside from being backed by a wealthy kingdom, Chief Executive, James Hogan, said the carrier’s rise has been driven by partnerships and innovation.
Over the past few years, you may have noticed the airline spreading its wings by purchasing into outside carriers such as Alitalia, Air Serbia, Jet Airways and even Virgin Australia.
James Hogan attributes Etihad’s success to partnerships and innovation.
Through its minority equity stakes, Etihad has assisted airlines like Alitalia to further their success by giving them the collateral to reinvent where necessary and deliver profits.
This investment has also benefited Etihad by reducing its costs through shared services and complimenting timetables; and delivering benefits to its passengers such as reciprocal frequent flyer programs.
Etihad helped rebuilt Italy’s Alitalia.
Hogan described these partnerships as a means of surviving an “incredibly challenging” global network.
“The UAE is actively leveraging partnerships with the world’s biggest aviation players including Rolls-Royce, GE, Boeing and Airbus as it becomes a leading global player and centre of excellence.”
James Hogan, Etihad Chief Executive
While Hogan described partnerships as “more important than ever”, he also said it was vital for businesses to innovate in order to stay relevant.
Etihad led the way in innovation when it launched the world’s first suite in the sky, The Residence. The carrier was also quick to purchase the fuel efficient Dreamliner when it launched and even introduced a ‘Perfect Flight Program‘ to reduce its environmental impact.
The Residence is one example of Etihad’s more recent innovations.
“We know that a sustained innovation process is fundamental in a competitive environment such as aviation.”
James Hogan, Etihad Chief Executive
“It is absolutely central to providing remarkable products and services to our guests now and into the future.”