Chandrasekaran to oversee Air India until new CEO is named
What's the story
Tata Sons has formed an interim management committee to oversee Air India until a new CEO is appointed. The committee will be led by Tata Sons chairman N Chandrasekaran, former Air India CMD Pradeep Singh Kharola, and other senior executives. The move comes as the company continues its search for Campbell Wilson's successor, who will step down in September after leading the airline since 2022.
Leadership background
Kharola's experience will be crucial in interim committee
Kharola, who served as CMD of Air India from 2017 to 2019 under government ownership, will play a key role in the interim committee. He was also Secretary in the Ministry of Civil Aviation and played a major part in the airline's privatization process. He rejoined Air India as Executive Director to the Chairman in June after his stint as Secretary.
Succession contenders
Search for Wilson's successor narrows down to 2 candidates
The search for Wilson's successor has narrowed down to two candidates: Air India's Chief Commercial Officer Nipun Aggarwal and former Vistara CEO Vinod Kannan. According to Financial Times, Aggarwal is the front-runner for the position and has the backing of Chandrasekaran. However, he has been cautious about making a final decision amid uncertainties about his own future at the conglomerate.
Operational hurdles
Air India continues to struggle financially and operationally
Despite a massive cash infusion by Tata Sons, Air India continues to struggle financially and in terms of operations. Wilson had said that the airline's foundations have been rebuilt over the last four years but non-delivery of aircraft on schedule has significantly impacted growth and fleet modernization. He also expressed regret over supply chain constraints on seats, particularly first and business-class seats, which have delayed the airline's retrofit of existing wide-body aircraft by about two years.