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With little time and even less money to save the airline in 1994, Continentals leaders devised the Go Forward Plan, a four-part strategy focused on the fundamentals. But who else was there volunteering to save Continental? Nineteen items of luggage, weighing some 500kg (0.5 tonnes) were loaded onto the aircraft at the last minute without being included in the aircraft's manifest, giving the aircraft a weight of 186 tonnes, which exceeded the aircraft's certified maximum structural weight by one tonne. After bringing Bob and Audrey Six to their Colorado ranch, the Sabreliner crew departed MTJ, for the return flight to Los Angeles (LAX). But it would have been dishonest to back down or to fudge a reaction of sympathy I did not feel. We needed to stop flying 120-seat planes with only 30 passengers on them. While two of the engines had problems and one of them was shut down, the damage to the plane's structure was so severe that the crash would have been inevitable, even with the engines operating normally. Continental Airlines was an American airline headquartered in Houston, Texas. Get started today and Give your life Wings! Maybe I was just fed up with the fact that everyone seemed to have a problem but no one had any solutions. The French appeals court, while overturning the criminal rulings by the Parisian court, affirmed the civil ruling and left Continental liable for the compensation claims. Yes. During its 27 years in service, Concorde had about 70 tyre- or wheel-related incidents, seven of which caused serious damage to the aircraft or were potentially catastrophic. and, Are we taking care of our best customers? It is the flag carrier of Republic of China with its headquarters in Dayuan Township, Taoyuan County. Flight 603 was scheduled to Honolulu, HI from Los Angeles. But I also wanted them to know that a new beginning was under way. I then opened the floor to questions and answers. The aircraft's last scheduled repair had taken place on 21 July 2000, four days before the accident; no problems were reported during the repair. People are happy when they feel they are making a difference. The airline is operating the Hong Kong route since 1967, and operates in 161 destinations in 29 countries/districts . In fact, for 15 years, the way to get ahead at Continental was to torpedo someone and then take his or her job. I truly believed the men and women of Continental could make the airline great again. Lots of statistics prove that fact, such as the huge reductions in turnover, sick leave, on-the-job injuries, and workers compensation claims. [1], While taking off from Charles de Gaulle Airport, the aircraft ran over debris on the runway, causing a tyre to blow up and disintegrate. [47], In March 2008, Bernard Farret, a deputy prosecutor in Pontoise, outside Paris, asked judges to bring manslaughter charges against Continental Airlines and two of its employees John Taylor, the mechanic who replaced the wear strip on the DC-10, and his manager Stanley Ford alleging negligence in the way the repair was carried out. Our customers loved Continentals new look. Save time and money on flight ticket booking with Fly.com. . In fact, were putting them to practice every day. The same team that leads a company into a crisis is rarely able to get it back on track. In our business, revenue comes from credit card receipts. Based in: Ghana. New data released by Ipsos this morning has shown that around 55% of Britons expect the Tories to lose seats on Thursday, with 45% expecting Labour to pick up support. They could see senior management finally taking the actions they knew had been needed for years. But we knew we couldnt listen to everything the customers in seat 9C had to say. . Analysis of test results revealed the level of kinetic energy necessary to cause the rupture of fuel tank. The product, in a word, was terrible. Continental Airlines, also known as CAL was formed in 1959 by some retired Chinese Air Force officers in Taiwan. Every quarter, we send a Continental Quarterly magazine to employees homes, and twice a year we do the same with a state-of-the-company video and recent press clippings. There was nothing complex about the Go Forward Plan: it was just a matter of logic and common sense. From. No one was going to come between us; if they tried, they were out. My goal that day was to sell Bains consulting services to Continentals CEO and new owner, a leveraged buyout firm that had just rescued the airline from its second bankruptcy in nine years. It was scary. They told the pilots that they should feel lucky that Continental finally had a senior management team that treated them with enough respect to deliver the bad newsas well as a good relocation packagein person. [10][17] They included German football manager Rudi Fanacht and German trade union board member Christian Gtz. Whether you're looking for cheap airfare for business travel or last minute flights to a beach destination Fly.com has the best deals on flights. Hutchinson believed this did not happen due to a series of operational errors and 'negligence' by the maintenance department. In March 1995, I boarded a 737-100, which at 27 years was the oldest airplane in our fleet. Continental Airlines flight 1760 was a scheduled domestic service that originated at the enormous George Bush Intercontinental Airport (IAH) in Houston, Texas. By the fall of 1994, Continental had blown much of the $766 million in cash that it had when it emerged from bankruptcy in April 1993. No one in the company trusts them any more. Relying mostly on our own experience as business travelers, we knew that the customer in seat 9C would pay extra for a few things: airplanes and terminals that are safe, comfortable, and attractive; on-time flights and reliable baggage handling; and good food at mealtimes. For instance, in the early 1990s, pilots earned bonuses if the fuel burn rate on their airplanes fell below a specified amount. The court ruled that the crash resulted from a piece of metal from a Continental jet that was left on the runway; the object punctured a tyre on the Concorde and then ruptured a fuel tank. Continental Airlines was an airline in United States with operational services to Africa, Americas, Caribbean, Central America, North America South America, Asia, and Europe, with 140 destinations. 55 a.m. None: CO378: Larnaca (LCA) Frankfurt (FRA) 10:05 a.m. 1:15 p.m. None: CO1804: Frankfurt (FRA) Cagliari (CAG) 5:45 a.m. 7:50 a.m . When AF4590 subsequently departed, Concorde's left main landing gear tires struck the strip of metal and were punctured. Drag marks left on the runway by the left rear landing wheels show the Concorde was veering to the left as it accelerated toward takeoff. . It also motivated them to fly more slowly. I was thinking, Greg, this is one of those times in life when you step up to the plate or you chicken out. I had spent the last six years making recommendations that my clients sometimes took and sometimes ignored. Things were much calmer. and subsequent crash. Theres not much time to think when your company is failing, says Continentals president. At one point, it drifted toward a just-landed Air France Boeing 747 that was carrying then-French President Jacques Chirac (who was returning from the 26th G8 summit meeting in Okinawa, Japan). In our case, that meant listening to the customers in seat 9C, the business travelers who book the aisle seats near the front of the plane. These boards contain everything an employee needs to know about the company, from a daily news update to Continentals operating results over the last 24 hours. Naturally, our cash-flow forecasts always came in lower than projected because revenue (and thus, credit card receipts) was overstated. I have never seen the team that managed a company into a crisis be able to get it back on track. Until the time came when we could offer them something great, I didnt want to promote a product that we couldnt deliver. There are no hidden fees, just the lowest fares and best value options for your trip. [44], In June 2010, two groups attempted, unsuccessfully, to revive Concorde for "Heritage" flights in time for the 2012 Olympics. Our workers receive 15% of Continentals profitswhich has worked out to be approximately 7% of their pay over the last two years. In the past, the scheduling department had simply written a flight schedule and given it to operations, often only days before they were to fly it, because it was confidential. As a result, the operating departments were frequently stuck with a schedule they had no hope of following: they had mechanics, parts, and crews in the wrong locations. Strategic direction is never more crucial than during a crisis. Our balance of payments has changed by $8 million to $9 million per month. The board approved the plan, and we were on our way. Many customers, particularly business customers with a choice, selected other airlines, reducing revenues enough to create huge losses. To involve our employees even more in the turnaround, we put up 650 bulletin boards throughout the system. The employees were going to be liberatedto be able to do right by the customer and to have fun at work. Let the inmates run the asylum. We quickly set up a cleaning schedule that tripled the number of times the airplanes are cleaned, cockpits included. Join more than 3 million seasoned travelers using Fly.com every month to find the best airfare deals. Clean house. The type was finally retired in 2003: May at Air France; October at British Airways. Want to make sure you have the best experience with Continental Airlines? Painfulcertainly. [22], Air France's Concorde operation had been a money-losing venture, and it is claimed that the aeroplane had been kept in service as a matter of national pride;[23] British Airways claimed to make a profit on its Concorde operations. In fact, sometimes when I talk to people about the lessons the turnaround taught us, they say, Well, Greg, those seem simple enough. I have some bad news for you, I told him. A wheels-up landing was made in a wheat field. Im not going to tell you that all the employees at Continental are empowered. We fly airplanes, after all. Airline Founded. The rest of the employees, led by a baggage handler who was also being relocated, stood up and defended me, one after another, for 20 minutes. Our Go Forward Plan had four cornerstones. Along with explaining the details of the closing and relocation plans, I also shared with them my vision for Continental and how far we had come. Throughout that week, Gordon and I held several dinner meetingsdubbed our Last Suppersat his house. The airplanes interior had seven different color schemes, which I later found out was not uncommon. Over a period lasting mere seconds, this seemingly. We needed to create an atmosphere where people liked coming to work. [3]:120123 Engines 1 and 2 both surged and lost all power, likely due to ingestion of hot gases (both engines) and tyre debris (engine 1 only), and then engine 1 slowly recovered over the next few seconds. Continental Airlines on Wednesday became the first U.S. commercial carrier to conduct a demonstration flight powered in part by alternative fuels, though large-scale use of such fuel is. Ceased operations. In the past, any time an employee provided a benefit for a customer that was considered unacceptable, the bankers and lawyers running Continental would write a rule documenting the proper action. Earn badges to share on LinkedIn and your resume. Engine number 1 surged again, but did not fully recover, and the right wing lifted from the asymmetrical thrust, banking the aircraft to over 100 degrees. Fare Calendars show the best prices over the next 180 days on 2000+ routes. A pilot came to the microphone to express how incompetent he felt management was and how Continental was once again making the wrong decision. One of our techniques was to find people who were in a number two position in their current job and ask them to join Continental in the number one spot. Page 155: "In conclusion, nothing in the research undertaken indicates that the absence of the spacer contributed in any way to the accident on 25 July 2000", Bureau of Enquiry and Analysis for Civil Aviation Safety, "ASN Aircraft accident Arospatiale / BAC Concorde 101 F-BTSC Gonesse", "How Concorde Pushed the Limits Then Pushed Them Too Far Disaster and Aftermath", "Accident on 25July2000 at La Patte d'Oie in Gonesse (95) to the Concorde registered F-BTSC operated by Air France (REPORT translation f-sc000725a)", "F-BTSC Air France Arospatiale/BAC Concorde", "Metal Part Maybe Came From Continental Jet", "Accident on 25 July 2000 at "La Patte d'Oie" in Gonesse (95), to the Concorde, registered F-BTSC, operated by Air France (Preliminary report translation f-sc000725pa)", "The damaged hotel and the scorched field show the impact of the crash, CBS News", "French police and rescue service workers inspect the debris of the hotel and the crashed jet", "ANNEXE 2 Transcription de l'enregistreur phonique", Mori to send messages to Chirac, Schroeder over Concorde, "N13067 Continental Air Lines McDonnell Douglas DC-10-30 cn 47866 / 149", "Air France grounds Concorde until cause of crash is known", "The Concorde belies those who foresaw its extinction", "Could Concorde ever fly again? According to the official report on the accident, the strip of metal installed on the Continental jet was made from a different alloy than had been approved by the US Federal Aviation Administration or the engine manufacturer. Here are the lowest-priced Continental Airlines flight tickets from hundreds of providers. All airlines. And the companys results showed it. As for improving reliability, we had to get two sets of folks talking to each other: those that wrote the flight schedules and those that ran the flight and airport operations. Continental Airlines flight 1404, a Boeing 737-500, departed the left side of runway 34R during takeoff from Denver International Airport (DEN). Each time you fly with them, you'll be awarded air miles or points to spend on later flights. Managers were paralyzed by anxiety. We provide accurate real time flight status like arrivals, departures as well as delay time of all Continental Airlines flights. We listen, too. Of the 115 people on board, 38 sustained injuries, with 2 seriously injured, including the pilot. Again, we heard our share of shoutingthere was a lot of venom out there. For most of our employees, one incentive is profit sharing. For more than 20 years Fly.com has been the leader in cheap flights and discount airline tickets. Brenneman and CEO Gordon Bethune produced one of the fastest and most unlikely corporate turnarounds ever. Need customer care support or have any question regarding your travel plans? But its indispensable if you want to break the doom loop. [55][57], A monument in honour of the crash victims was established at Gonesse. We hit it off from the start. Will our distributors sell our product? I dont know about you, but to me, a two-hour flight that leaves at 7:00 a.m. (after I have gotten up at 5:00 a.m. to get to the airport and havent eaten breakfast) is a lot different from a two-hour flight at 2:00 p.m., which falls after lunch but before dinner. The same employees who used to tear the patches from their shirts so no one would know they worked at Continental have increased their purchases of hats, caps, T-shirts, and the like for themselves and their friends by more than 400%. It was my opinion then, and remains today, that every company should have a strategy that covers these four elementsmarket, financial, product, and peoplewhether it is in a severe crisis or not. Continental Airlines, also known as CAL was formed in 1959 by some retired Chinese Air Force officers in Taiwan. We search Expedia, Orbitz and others for packages that can save you even more. Damaged beyond economic repair when the propellers struck the runway shortly after take-off. Fly.com is your one stop shop for great flights, flight tickets and cheap airfare. Add to that the fact that corporate headquarters was locked up like Fort Knox: the presidents secretary had a buzzer under her desk that she could use to summon the police. First, we divided the angry letters from customers among our officersexecutives through the rank of vice presidentand started making phone calls. A version of this article appeared in the. [55], The Parisian court also ruled that Continental would have to pay 70% of any compensation claims. To make a long story shortand it was a long dayBain got the job. Choose travel cost protection and take your trip with confidence. To monitor our product, we decided to track our monthly on-time performance, mishandled bags, customer complaints, and the rate of involuntary denied boardings. Leaking fuel gushing out from the bottom of the wing was most likely ignited either by an electric arc in the landing gear bay (debris cutting the landing gear wire) or through contact with hot parts of the engine. The rest of the pilots applauded. The new image had an even bigger impact on our employees. When I arrived at Continental, it was a mean and lousy place to work. The analysis of impact energy considered a tyre piece of 4.5 kilograms (9.9lb) with a speed around 140 metres per second (310mph). The program did decrease fuel costs, but it motivated many pilots to skimp on air-conditioning. The airline is operating the Hong Kong route since 1967, and operates in 161 destinations in 29 countries/districts, as of 31 DEC, 2018. [38], Because it is a tailless delta-wing aircraft, Concorde could not use the normal flaps or slats to assist takeoff and landing, and required a significantly higher air and tyre speed during the takeoff roll than an average airliner. But my favorite measure is the sale of Continental logo merchandise at our company stores. [3]:17 A large plume of flame developed, and the flight engineer shut down engine 2 in response to a fire warning and the captain's command. Sorry, we cant find any flight deals with Continental Airlines right now. Its thrilling to lead people to do something no one thinks can be done. Those losses made it impossible to borrow money at reasonable rates. It joined the Air France fleet full-time in 1980. Our message was this: Continental is your company to make great. In fact, when we went before the board, we told them Continental could earn about $40 million in 1995. Large amounts of fuel leaking from the rupture ignited, causing a loss of thrust in the left-hand-side engines 1 and 2. The NTSB described those incidents as "potentially catastrophic", because they were caused by blown tyres during takeoff. It was going to take hard work, but that didnt worry me. Its an ego thing. When I arrived the night before the meeting, I found several messages waiting for me from the head of our pilots union. Break the doom loop by apologizing for your mistakes and focus on delivering a better product. And thats a very good thing. 1 Oct 2010. You may be wondering why Continentals cash situation came as such a surprise. Make Reliability a Reality was the product plan: we were going to transform the customers experience with us. Keep an eye on your favorite fare and book when it's cheapest. (For more on Continentals performance, see the exhibit Climbing Again.) How did the reversal of fortunes happen? [31], Former British Airways (BA) Concorde captain John Hutchinson, said the fire on its own should have been 'eminently survivable; the pilot should have been able to fly his way out of trouble'. Once the damaged forward tank 5 began to lose fuel, the centre of gravity moved even further rearward. The support you get from each employees family when they become part of the team is incredible. Closing Greensboro was one of the toughest days of my life. But the company was still sinking fast. We didnt pick randomly; we chose measures that could be verified by the Department of Transportation. With the right travel insurance, you wont lose out on money if your flights with Continental Airlines are changed or cancelled or your trip is cut short. They cant see any way out either. [18][19], A few days after the crash, all Air France Concordes were grounded, pending an investigation into the cause of the crash and possible remedies. It is the flag carrier of Republic of China with its headquarters in Dayuan Township, Taoyuan County. EVA Air is the airline's main competitor. Get your answers here! Looking back, I can see we were guided by five operating principles. The Continental jet dropped a strip of titanium alloy from its thrust reverser on the runway during takeoff. In the span of a couple of months, we replaced 50 of our 61 officers with about 20 individuals. We've compared every online travel agent out there to find the cheapest flight tickets on the net. Non-stop flights only. The aircraft descended at a rate which could not be overcome even though the aircraft was flown at or near its maximum lift capability throughout the encounter. Chalk one up for the power of persuasion. Heres a classic example. We have big plans for Continental and mustnt lose our momentum. In the wake of the disaster, the entire Concorde fleet was grounded. After that crisis was over, we knew we would never lose track of our cash again. It would take too long, and its no way to act when strong leadership is imperative. "[6], While examining the wreckage in a warehouse, investigators noticed that a spacer was missing from the bogie beam on the left-hand main landing gear. They forget to ask simple questions like, Do we have a product people want to buy? The pilots werent bad folks; in fact, many of them are good friends of mine now. They knew how to treat customers right, and we moved quickly to let them do just that. Finally, and perhaps most important, to monitor our financial progress, we announced we were going to track cash. In order to make up for these increased expenses, management cut costs further. The offer sounds pretty bold for a company almost in bankruptcy, doesnt it? Fare Calendars show the best prices over the next 180 days on 2000+ routes. Language links are at the top of the page across from the title. Frankly, Id rather be working than not any day of the week. And we wanted it all done in six months. Need customer care support or have any question regarding your travel plans? I then offered it to all employees, not just pilots. I will never forget my first flight from Dallas to Houston on Continental Airlines. In Gordon, I found an extraordinary leader who knew the airline business inside and out, and who managed the men and women of Continental with great heart. But Gordon and I didnt bother with them. Why are we going from Greensboro to Greenville six times a day when both customers who want to fly that route are on the first flight?. The runway behind is irrelevant. By the end of the call, however, they were usually appreciative that an officer of the company had taken the time to seek them out. But within the parameters set for safety and those we set with the Go Forward Plan, we decided that at the new Continental, the employees were going to be liberatedto be able to do the right thing by the customer and to have fun at work. It helps us remember your details, show relevant ads and improve our services. Members of Continentals existing management team were not up to this challenge. We knew that the two of us could not save Continental on our own. It is the flag carrier of Republic of China with its headquarters in Dayuan Township, Taoyuan County. We also started an aircraft appearance department to make sure our airplanes would continue to look great day after day. Over several bottles of wine, we wrote down everything that was wrong with Continental. We lit a fire of urgency. We have a great time riding in Brinks trucks distributing profit-sharing checks every Valentines Day. [14], The crew was trying to divert to nearby ParisLe Bourget Airport, but accident investigators stated that a safe landing would have been highly unlikely, given the aircraft's flightpath. It remains the backbone of the companys strategy today. . They re-evaluated two factors that the BEA had found to be of negligible consequence to the crash, the unbalanced weight distribution in the fuel tanks and the loose landing gear. [3]:134135 The aircraft was unable to climb or accelerate, and its speed decayed during the course of its brief flight. The Go Forward Plan wasnt complex. Find hotels with sparkling 5/5 cleanliness ratings, or bag a room with free cancellation. Finally, they had to be team players, willing to treat everyone with dignity and respect in an extremely collaborative environment. Continental Connection. Pretty soon, we were unstoppable.. But both David Bonderman of Air Partners (the LBO firm that owned the airline) and Gordon were pushing me to join. August 1981: British Airways (BA) plane taking off from New York suffered a blow-out, damaging landing gear door, engine, and fuel tank. "Fire service leader: "De Gaulle tower from fire service leader, can you give me the situation of the Concorde?" Speaking of dignity and respect, cleaning house neednt be a brutal or humiliating experience. Managements implicit communication policy had been, Dont tell anybody anything unless absolutely required. Post-accident investigation revealed that the aircraft was over the maximum takeoff weight for ambient temperature and other conditions, and 810kg (1,790lb) over the maximum structural weight,[3]:32,159[BEA 2][BEA 3][28][29] loaded so that the centre of gravity was aft of the take-off limit. Probably none of them will knock your socks off. A change in wind conditions created an 8 knot tailwind, which would have reduced the regulated takeoff weight to 180 tonnes, six tonnes below the actual aircraft weight. 1934. Of course, when you are bleeding cash, its hard to think about anything but tourniquets. It also forced the airline to pay more to accommodate customers who had to take other airlines because of missed connections. [They] needed to stop flying 120-seat planes with 30 passengers . The aircraft encountered severe windshear at an altitude and airspeed which precluded recovery to level flight. Continental Airlines, also known as CAL was formed in 1959 by some retired Chinese Air Force officers in Taiwan. CONTINENTAL AIRLINES FLIGHT 1943 DOUGLAS DC-9-32, N10556 HOUSTON, TEXAS FEBRUARY 19, 1996 1. In my opinion, that approach is like changing only the lead husky on a sled-dog team. [48][51][52] It was alleged that Perrier, Hrubel, and Frantzen knew that the plane's fuel tanks could be susceptible to damage from foreign objects, but nonetheless allowed it to fly. Both the Delta (London-Cincinnati) and Continental (London-Newark) were heading to the U.S. with nearly 600 people total on both aircraft. A couple of days later, I found myself in a room with our largest creditors. Book the best Continental Airlines fare in seconds with no fees. But at the same time, people couldnt believe that we were coming around to say we were sorry and to thank them for their business. Moreover, I had taken the financial relocation package called for in the contract and doubled it. [6], At the start of the takeoff, the aircraft had 1.2 tonnes of extra fuel which should have been burnt during the aircraft's taxi. )[33] This skewed the alignment of the landing gear because a strut was able to wobble in any direction with 3 of movement. I wanted to make things happen. Why dont we just charter you a Lear jet? We promised them full control of their domains. [3]:166[BEA 1], Air traffic controller Gilles Logelin noticed the flames before the Concorde was airborne and informed the flight crew. Flight #. My best suit and I were soaked. Worse, no one had hooked up the planes air-conditioning. [3]:115 It did not directly puncture any of the fuel tanks, but it sent out a pressure shockwave that ruptured the number 5 fuel tank at its weakest point, just ahead of the left landing gear well.