Air India Completes First Phase of Five-Year Transformation Plan
Air India has completed the first phase of its comprehensive five-year transformation plan, called Vihaan.AI. The first phase, called Taxi, was focused on addressing legacy issues of the airline at scale and laying the foundation for future growth.
"The first six months of our transformation journey has engaged and united Air Indians behind a common cause and made great strides in tackling many issues that had built up over the years," said Air India CEO Campbell Wilson. "During this Taxi phase, we have also come a long way in establishing foundations for growth. Our record-setting aircraft order, the commitment of $400 million to completely refurbish existing aircraft, the investment of $200 million in new IT, and the recruitment of literally thousands of staff are but a few of the significant investments being made to restore Air India to the upper echelons of global aviation."
As part of the first phase, Air India signed an order for 470 aircraft and expedited fleet expansion with 36 leased aircraft, including 11 widebodies, being delivered in 2022-23. The carrier also restored to service, or decommissioned pending sale, all long-grounded aircraft.
It added six new international routes while increasing the frequency on another 24 and attained highest ever single-day passenger revenue, highest ever cargo revenue, highest ever ancillary revenue and highest ever load factor.
During the phase, it also reactivated more than 10 codeshare agreements and is in active alliance discussions with other airlines.
The conclusion of the first phase also marks the beginning of Take Off, the second phase of transformation which is focused on developing the platforms, processes and systems needed to build toward excellence, according to the airline.
The second phase will also witness the consolidation of the group airlines AirAsia India and Air India Express. Vistara will also be merged with Air India following the grant of regulatory approval.
"The development of a training academy will also take shape as also the future direction and configuration of the airline's line and base maintenance," it adds.
Air India's transformation plan is ambitious, but the airline has made significant progress in the first phase. With the completion of the first phase, Air India is now well on its way to becoming a world-class airline.