The human side of management

[STIS]

In the interest of full disclosure, I'm not the world's biggest Doug supporter, but I thought maybe some people would be interested in hearing about my interaction with him last night...

I just happened to run into Doug last night at an event and actually was presented with the opportunity to sit down at length with him and talk. Now, like I said, I was a bit suspicious, given all that I had heard from people on here, but after talking to him, I realized that he's just like you or me. He's trying to do his job to the best of his ability, but he deals with the same frustrating restraints that anyone in a job has to deal with. It seems that Doug's restraints are the Board, since they're the ones who are all about the stock price and profitability and whatnot.

I get the impression that he legitimately wants this airline to succeed to the best of his ability, but is being hamstrung by a few different things. First, he mentioned that as much vitriol as there is in the pilot ranks, they just can't negotiate until the union issue is fully settled, otherwise the company runs the risk of being sued for enormous amounts of money (that they can't afford to give up). Second, he also mentioned that the airline's niche isn't the same as AA/United/Delta because of the hubs and network we have, we can't get the same types of business traffic, which is why US doesn't make similar revenues to those companies.

I'll be honest, listening to him he had a lot of rational points and from his tone you could tell he was definitely proud of the airline and its future, but I did end up leaving the event with the feeling that Doug was a bit disappointed that the labor issue was as bad as it really is.

Anyway, I thought some people on here might be interested in the story, and before anyone chimes in, Doug only had 1 glass of wine with dinner.

Maybe we can all take a step back and realize that despite how "evil" we think certain people are, they're just humans with normal human lives...

 

[autofixer]

What flavor was that Kool-aid, grape?

 

[FrugalFlyerv2.0]

Second, he also mentioned that the airline's niche isn't the same as AA/United/Delta because of the hubs and network we have, we can't get the same types of business traffic, which is why US doesn't make similar revenues to those companies.

I don't know if I want to believe this statement. An airline wtih a huge presence in LGA, DCA, BOS and along the east coast in general in combination with * alliance should be able to get good bu$ine$$.

 

[psw737]

I don't know if I want to believe this statement. An airline wtih a huge presence in LGA, DCA, BOS and along the east coast in general in combination with * alliance should be able to get good bu$ine$$.

I think they do realize this to an extent, first class is being installed on all the large rj's. Would be nice if they started flying the mainline aircraft on some of these routes again. This place is like status quo forever...............................................

 

[av8tor76]

...I get the impression that he legitimately wants this airline to succeed to the best of his ability, but is being hamstrung by a few different things. First, he mentioned that as much vitriol as there is in the pilot ranks, they just can't negotiate until the union issue is fully settled, otherwise the company runs the risk of being sued for enormous amounts of money (that they can't afford to give up). Second, he also mentioned that the airline's niche isn't the same as AA/United/Delta because of the hubs and network we have, we can't get the same types of business traffic, which is why US doesn't make similar revenues to those companies.

thanks for the insight Jerry..

 

[CallawayGolf]

In the interest of full disclosure, I'm not the world's biggest Doug supporter, but I thought maybe some people would be interested in hearing about my interaction with him last night...

I just happened to run into Doug last night at an event and actually was presented with the opportunity to sit down at length with him and talk. Now, like I said, I was a bit suspicious, given all that I had heard from people on here, but after talking to him, I realized that he's just like you or me. He's trying to do his job to the best of his ability, but he deals with the same frustrating restraints that anyone in a job has to deal with. It seems that Doug's restraints are the Board, since they're the ones who are all about the stock price and profitability and whatnot.

I get the impression that he legitimately wants this airline to succeed to the best of his ability, but is being hamstrung by a few different things. First, he mentioned that as much vitriol as there is in the pilot ranks, they just can't negotiate until the union issue is fully settled, otherwise the company runs the risk of being sued for enormous amounts of money (that they can't afford to give up). Second, he also mentioned that the airline's niche isn't the same as AA/United/Delta because of the hubs and network we have, we can't get the same types of business traffic, which is why US doesn't make similar revenues to those companies.

I'll be honest, listening to him he had a lot of rational points and from his tone you could tell he was definitely proud of the airline and its future, but I did end up leaving the event with the feeling that Doug was a bit disappointed that the labor issue was as bad as it really is.

Anyway, I thought some people on here might be interested in the story, and before anyone chimes in, Doug only had 1 glass of wine with dinner.

Maybe we can all take a step back and realize that despite how "evil" we think certain people are, they're just humans with normal human lives...

You can trust your instincts - spot on. Doug has many complex and competing constraints he has to manage and IMO he wouldn't be here if he didn't have an optimistic outlook for the airline's future. If the industry economics were different and the airline could charge more for fares while still remaining competitive, then there would be more money for salaries and wages at every level of the organization. As it is, there are only so many ways to increase revenues, decrease operating costs, gain efficiency/productivity with these kind of market forces at work.

My guess Doug sees the biggest threats to the company's solvency as being 1) controlling operating costs and 2) ensuring the availability of the required cash to operate. If one only looks at the cash on hand on the Balance Sheet and yet fails to see the amount of debt obligations against both short-term and long-term side of the equation, then the severity of the issues at hand will not be appreciated. Labor unrest is not a desirable state to be in, but the worse condition would be to fail to make an operating profit or to be in a state where financial obligations cannot be met without judicial intervention.

 

[MUTATIS MUTANDIS]

GREAT, Now we have Dinner and Drinks at private crew news sessions! He's not like you or me, he gets compensated well for his inability to run an airline, hand out employees personal data, and lose millions in fuel hedging and derivatives, not to mention bad realestate investments! He should be FIRED!

 

[skinvalve]

Not just a mere human but a miracle maker keeping US/HP aloft. Sainthood pending Vatican approval.

 

[Dont call me Shirley]

I don't know if I want to believe this statement. An airline wtih a huge presence in LGA, DCA, BOS and along the east coast in general in combination with * alliance should be able to get good bu$ine$$.

The airline no longer has anywhere near the presence at BOS and LGA that it once had.

 

[STIS]

GREAT, Now we have Dinner and Drinks at private crew news sessions! He's not like you or me, he gets compensated well for his inability to run an airline, hand out employees personal data, and lose millions in fuel hedging and derivatives, not to mention bad realestate investments! He should be FIRED!

You guys do realize that it's not Doug himself doing these things, it's inept people way down the line who Doug has probably never even met?

What you fail to recognize is that this is likely the cause of the management employees not being paid enough, and no, I'm not talking about the Dereks and Scotts of the worlds, I'm talking about the slaves working away in the Sand Castle earning a paycheck just like you or me...

 

[MUTATIS MUTANDIS]

You guys do realize that it's not Doug himself doing these things, it's inept people way down the line who Doug has probably never even met?

What you fail to recognize is that this is likely the cause of the management employees not being paid enough, and no, I'm not talking about the Dereks and Scotts of the worlds, I'm talking about the slaves working away in the Sand Castle earning a paycheck just like you or me...

What you fail to recognize? What rock did you crawl out under? Doug sets the tone, he is the final authority, he hires the people that hires the inept people, He is the SLAVE MASTER, (your analogy, not mine) , He doesn't even have the common sense to order a CAB! HE SHOULD BE FIRED! HE IS A JOKE!

 

[Travelpro72]

Lets just stop this disadvantage BS once and for all. US may not have the revenue from some of the bigger hub cities but they also don't have the overall operating costs of a much larger carrier ie payroll, aircraft, fuel, hub expenses, etc. Sounds like it would be a wash to me. So BS! !

 

[flyinawa]

GREAT, Now we have Dinner and Drinks at private crew news sessions! He's not like you or me, he gets compensated well for his inability to run an airline, hand out employees personal data, and lose millions in fuel hedging and derivatives, not to mention bad realestate investments! He should be FIRED!

And pilots get paid the same whether they taxi on one engine, do flaps 3 landings, and seek out other methods to save fuel or if they drive around with 3 engines running at all times, taxi at 3 knots, and seek out creative new ways to waste it. I'm with you: People who fail to do the job they've been hired to do should be FIRED! It's so cool that you and I finally agree on something.

 

[Phoenix]

... taxi at 3 knots, ...

Yeah 3 knots is not the brisk walk that it used to be. When I was younger I could hit 3.5 or even 4 knots.

 

[ChockJockey]

Lets just stop this disadvantage BS once and for all. US may not have the revenue from some of the bigger hub cities but they also don't have the overall operating costs of a much larger carrier ie payroll, aircraft, fuel, hub expenses, etc. Sounds like it would be a wash to me. So BS! !

Sounds like you have all the numbers right at your fingertips.

Most people here aren't interested in how Doug is unless it reinforces their (usually negative) cognitive perception of him. It's easier to automatically refute anything that could put him in good light because that means taking the time and thought to question and revise their preconceptions which many are unwilling or incapable of doing. It's the convenience and necessity of having a target, pointing fingers at others so that none point theirs at you, someone else to blame when we can't solve our disagreements between ourselves or don't want to look at the bigger picture because it's more emotionally satisfying to focus one's hate in a single direction.

All the thousands of posts and hours whining about Doug and Scott. What a waste of time. So what if Doug were to go? You think the BOD wouldn't find someone just like him? They're the one's setting this airline's priorities. There's no messianic replacement that's going to come and wave a wand and make the East and West love each other and the DOT approve slot trades and replace all the express flying with mainline. So what if you knock the Doug piñata down? They'll just put up a new one. All the CEO bashing is fine with the Board, better the peasants waste their hours and energy shouting down a scarecrow than actually fixing their unions and taking the initiative on creating the better airline they're always talking about.

Blaming others means absolving yourself of responsibility. We have to empower ourselves. Nobody's going to do it for us.