Remembering Hope Is Not a Strategy: Who United Airlines Needs Right Now
Photo Credit: A United Airlines Boeing 767-300. United is facing severe difficulties with its business. Flickr / Anna Zvereva
Skift Take
Scott Kirby takes over as United's CEO on May 20. Kirby is positioning himself as the rare leader in corporate America who tells the truth to employees and shareholders. Some people don't like him for it. But his comments are refreshing.
[caption id="attachment_390494" align="alignright" width="200"] Scott Kirby.[/caption]
At a time when so many Americans want to wish the coronavirus away, in the airline industry and beyond, United Airlines President Scott Kirby is a refreshing voice, a decisive leader who tells the unvarnished truth and prepares for the worst, even if many wonder why he's so alarmist. As Kirby, who becomes United’s CEO next week, said in early March, “hope is not a strategy.”
When several competitors downplayed coronavirus two months ago, Kirby wasn’t sugarcoating it, warning investors of impending catastrophe. What he said was shocking then, but turned out to be an underestimate. Revenue in April decreased 95 percent, compared to expectations, not the 70 percent he had warned might be possible.
On May 1, during United's first quarter earnings call, Kirby again provided blunt commentary. On other calls, competitors acknowledged the obvious — demand is low and revenue lower— but
