Why India’s aviation sector has aborted take-offs for decades now

The turmoil once again within India's aviation sector, epitomised by the chaos at Air India Express since May 8 and previous woes at Air Vistara and Indigo, raises critical questions about the industry's chronic ailments. Around 80 Air India Express flights were crippled, cancellations rampant, and long delays plaguing travellers due to a crew shortage stemming from discontent with HR policies. This episode is just a snapshot of the sector's perennial struggles.

The civil aviation ministry's demand for a report is but a band-aid on a gaping wound. The problem isn't just a shortage of pilots or crew members; it's symptomatic of a systemic malaise.

Indian aviation possesses the hardware — the gleaming aircraft, the cutting-edge technology, and the infrastructure. It boasts the software — the logistics, the systems, and the operations. Yet, it remains deficient in what can be termed as 'consumer-ware' — the empathy, the responsiveness, and the customer-centric approach. Despite having the means to fly, the industry often forgets that its ultimate purpose is to serve the passengers, to fulfil their needs, and to exceed their expectations.

Indian aviation's obsession with hardware and landing slots overlooks the essential ingredient: its human capital. It's like buying a fancy car without bothering about the driver's competence. Yes, airlines negotiate for planes and landing rights, but they forget that these machines are useless without capable, and content employees to operate them.

India’s aviation industry is poised for significant growth opportunities in the coming years, with Airbus and Boeing forecasting a high demand for new aircraft. However, to capitalise on these prospects, airlines must urgently address the critical shortage of skilled Human Resources. According to Airbus, meeting the demand for new planes will require an additional 41,000 pilots and 47,000 technical staff. Unfortunately, the current lack of investment in human capital, particularly in pilot training, poses a significant hurdle. Operational disruptions, such as the grounding of nearly 150 aircraft last year due to supply chain and maintenance issues, highlight operational challenges.

Consumer service and product development, the cornerstones of any successful industry, seem to be an afterthought. Instead of listening to what passengers want, airlines dictate terms, reminiscent of the pre-liberalisation era's arrogance. Remember waiting endlessly for a Bajaj scooter or paying a premium for your preferred colour? That's precisely how airlines treat their customers today.

The aviation industry's glaring deficiency lies in its lack of stakeholder centricity, a glaring reminder of the license-raj hangover. While the sector bends over backward to appease officialdom, it callously disregards the needs of other crucial stakeholders — passengers, employees, and financiers alike. This high-flying sector leaves them all stranded, both literally and figuratively. It's high time the industry sheds this archaic mindset and begins prioritising the interests of all stakeholders equally, or risk plummeting to new lows.

The sector's reckless journey so far mirrors the rise and fall of past giants such as Kingfisher Airlines and Jet Airways. SpiceJet narrowly dodged the same fate, while Go Airways is already history. How many more casualties will it take for us to realise that a drastic shift is overdue? India's aviation dreams cannot afford these disruptions. With a booming economy and a growing middle class, the demand for air travel will only soar. But unless the industry addresses its systemic flaws, these dreams will remain grounded.

The sustained growth and competitiveness of the aviation sector will need more strategic investments in emerging technologies such as AI, big data analytics, and automation. These innovations have the potential to revolutionise various aspects of aviation operations, from enhancing safety and efficiency to optimising fleet management and passenger experience. By leveraging AI for predictive maintenance and operational decision-making, implementing big data analytics for demand forecasting and revenue management, and deploying automation for streamlined processes, airlines can address some of the industry's most pressing challenges.

However, the realisation of these benefits is contingent upon supportive government policies and regulations. Taxation policies, probably based on consumer ratings and flight operational performance, could incentivise airlines to prioritise customer satisfaction and service quality, thereby fostering a more customer-centric approach.

Furthermore, facilitating foreign direct investment (FDI) can spur technological innovation and infrastructural development, while effective air traffic management and stringent environmental regulations are essential for ensuring sustainable growth and minimising environmental impact, in India’s run-up to its NetZero goals.

It's time for a radical rethink. Airlines must prioritise their people, and then the process — not just their planes. They must embrace customer-centricity, not corporate arrogance. Until then, Indian aviation will continue to be stuck on the tarmac, unable to take off.

(Srinath Sridharan is a policy researcher and corporate adviser. X: @ssmumbai.)

Disclaimer: The views expressed above are the author's own. They do not necessarily reflect the views of DH.