Executive profile: Jet Airways
By Dave Demerjian
Business Traveler, September 2007

"The ultimate goal is customer comfort and satisfaction," says CEO Wolfgang Prock-Schauer of fast growing Indian carrier Jet Airways. An airline veteran who held senior positions at Austrian Airlines and Star Alliance before taking the reins at Jet in 2003, Prock-Schauer attributes much of the airline's success to a dogged focus on benchmarking against the world's best international carriers. "When I began here, the chairman told me that in service we need to be as good or better than Singapore Airlines, and operationally we need to be like Lufthansa," he says. "I think that sums up our philosophy."

Jet Airways began operations in 1993, competing in a newly deregulated Indian domestic market dominated by state-owned Indian Airlines. By 2003 Jet had captured close to 50% of the Indian market, and today flies over 340 flights per day – to 44 markets within India and six international destinations. 

Jet recently purchased rival Air Sahara for $338 million, further bolstering its domestic position. Renamed JetLite, the carrier operates as a wholly owned subsidiary of Jet, serving 34 Indian cities with a fleet of 737s. "We're keeping the operations separate but will make maximum use of synergies in terms of maintenance, common infrastructure, and purchasing power," Prock-Schauer explains. "JetLite is a value carrier, but provides basic service elements like assigned seating and food, and the benefits of Jet's flyer program."

Internationally, the airline is launching a European hub at Brussels, a market chosen for its proximity by car and train to key markets in the Netherlands, France, and Germany, and supported by a code sharing agreement with Brussels Airlines. "Brussels Airlines does not fly on the North Atlantic or to India, but has a strong presence in Europe and Africa. It's a non-overlapping route network that provides both carriers with a lot of synergy," Prock-Schaer explains. He says Brussels also offers high-quality facilities without the major congestion found at other European airports.

 Jet's Brussels operations launch on August 5 with daily Mumbai-Brussels-Newark service, followed on September 5th by Delhi-Brussels-Toronto service three times weekly. Flights will be timed to connect in Brussels, allowing passengers to fly Jet between Delhi-Newark and Bombay-Toronto. Prock-Schaur expects the Brussels operation to be profitable within 12 to 18 months.

Jet has aggressively pursued what Prock-Schaur calls "route specific partnerships." These include interline agreements with over 130 different airlines; frequent flyer partnerships with 12 carriers, including South African, Qantas, Thai, British Airways, KLM, Northwest, Swiss, Lufthansa, and Air France; and through check in with 24 different airlines. But Jet has not yet joined one of the three global alliances. "We will build up our international network before deciding if we should join an alliance," Prock-Schauer explains, adding that Jet enjoys "well developed relationships with most of the major airlines at all three alliances."

Jet currently operates 62 aircraft – 48 Boeing 737s, 8 ATRs, 2 777-300 ERs, and 4 A330-200s. Prock-Schauer says the airline will add 8 777s and 8 A330s to the fleet this year. "This expansion will allow us to launch or expand services in North America, Africa, the Gulf region, Europe, and China." Jet also has 10 Boeing 787 Dreamliners on order, with deliveries beginning in 2011. And he says the decision to order planes from both Airbus and Boeing isn't just about maintaining competition between the manufacturers. "The A330 is tailor-made for regional Asian routes and ten hour flights, while the 777-300 will be deployed on routes to the UK and North America," he says.

Prock-Shaur believes that the biggest challenge facing Jet Airways and Indian aviation in general is the lack of adequate infrastructure to support growth. "There is a lack of slot availability, parking, and terminal space at major airports," he says. "Airports like Bombay (Mumbai) and Delhi are being modernized, and new airports in Hyperabad and Bangalore are opening next year, but it will take several years for our infrastructure to be upgraded." He says lack of manpower is another constraint on growth, with Indian carriers currently employing 500 to 600 foreign pilots to support operations.