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Björn Näf, who turns 43 today, is an optimistic leader determined to succeed and turn around
He remains bullish about the future despite facing a double dilemma - ever-rising oil prices and a legacy of poor performance.
But as other leading airlines are planning layoffs and huge dents in their profits, chief executive officer Mr Näf is charging ahead with his team with confidence and style. He said: “Oil prices are not stopping Gulf Air … we will fight it out. We go straight forward, full steam – we are growing.”
In the last six-months, announcements have included signing deals to purchase 35 Airbus aircraft estimated at $5 billion and 24 Boeing 787 Dreamliners for $6 billion. This is in tandem with a redesign of the aircraft’s interiors, together with its livery, uniforms and passenger lounges.
The carrier launched its 42nd destination yesterday with a direct flight to
It boasts of being the third biggest airline in the region measured by passenger numbers and gives a promise of offering the lowest fares on its website.
Recent achievements include highest passenger load factor during April and May this year and in February it was the most punctual airline in the region. In May, 600,000 frequent travellers’ voted online to award Gulf Air the top honours in the ‘best member communications’ category in the recent Freddie Awards held in the
While reiterating that he is no magician with a ready made answer to get the airline into the black he is convinced that he and his team are taking the correct decisions and are on the right track to recovery.
He candidly admits that with
“All the other carriers around us are growing. New carriers are coming up. Why should we then downsize? We need to grow as well. We have a sustainable growth strategy and we want to go and open new markets.”
Mr Näf said his vision is to grow at the same pace as Bahrain grows, forge into new markets and deliver on the promises of punctuality, reliability and customer comfort.
He explained: “We want to be seen as an honest, professional and transparent business focussed on doing business, the business way. We have to add value.
“I think we have stabilised as a company. We were in the headlines everyday … making negative headlines at times. Now, I think we have gained confidence in the airline industry and we have sent out the signals in the community, in the financial markets and in the world that Gulf Air is here to stay.
“We want to fly on time and we don’t want to cancel flights. We have come a long way and we have done a lot in the last six to seven months.
“If we guarantee the basics of an airline – that is safety, punctuality and reliability and friendly service – then we will succeed.
“I am always saying that you don’t have to offer 600 TV channels to make passengers happy. On an eight or nine-hour flight – or a night flight – who watches 600 channels? But if the flight is delayed or cancelled passengers have every reason to be upset.”
Gulf Air is also not immune to increasing oil prices. Mr Näf admitted the industry has been rocked, saying: “The pace and speed has surprised us. The amount of how much we pay today per barrel is a big burden on our shoulders. It’s something that we have not budgeted for and it’s a huge challenge for us and other carriers as well.
“The fuel surcharge has to be increased and we are looking very closely at increasing the fares as well. We have already done it on certain routes. We watch every route everyday … our prices, and our competitors.
“We have cost increases – part of which we have to pass on to the customer. That’s a process that is very difficult for us but we have to do it like everybody else.”
Promoting Bahrain as a tourism destination is an important priority in Mr Näf’s agenda. As sponsors of the Gulf Air Bahrain Grand Prix, he said: “It’s very important that we all join forces to promote the kingdom. Bahrain International Circuit, Batelco, Bahrain Airport Company, Bahrain Airport Services – we all need to go out into the world as one team and one spirit with one goal.
“Whatever we do as Gulf Air we can only be successful if Bahrain is successful. Let us go out to the world and promote Bahrain and form ‘Bahrain Incorporation’ ... have one joint vision and let’s execute it together.”
Last month, the airline joined forces with the Bahrain Exhibition and Convention Authority (BECA) to become the official carrier for nearly three dozen BECA events in kingdom.
He feels that there is need for more co-ordination among the different institutions and a pioneering attitude. He said: “We need to be positive about the future and not be scared about it. There are great opportunities out there … there are challenges, yes… but we need to be proud of what we have achieved as a country and as an airline.
“Sometimes I feel people are afraid of the big guys around us – be it Emirates or Etihad or Qatar Airways. We are a small country in a big arena but we don’t need to underestimate ourselves.”
Mr Näf’s unflinching character has drawn a few criticisms, for example, hosting the ‘Simply Red’ party as part of the Formula One celebrations earlier this year. He said: “If you make decisions you always have people who criticise you for taking them.
“Formula One weekend is the weekend for Bahrain …we wanted to entertain our guests and we wanted to give them an unforgettable experience.
“A night to remember … a weekend to remember … with so many people coming to Bahrain I think it is a necessity for Gulf Air and Bahrain to really maximise and elaborate it to the maximum.”
Mr Näf attributes the airline’s recent successes to the support he has received from the highest levels of decision makers in the kingdom, the Gulf Air board and members of his staff.
Without naming any names, he said: “We could not have come to the point we are today if we had not had the support from top, top, top people. We have bought 59 aircraft – there is a lot of money involved in this.
“You need the support. We have it and I am very happy about it.
“Internally we have staged a lot of events to improve staff morale. I have a majlis every second week where I invite the staff – we have food and drinks. I tell them what is going on and that’s very much appreciated.
“I have a hotline every second week. People can call me confidentially from wherever they are. I have a weekly newsletter to the staff and we are working on an internal staff magazine. We are coming forward with a good internal communications concept.”
‘Björn again’ seems to be catch line at Gulf Air under the leadership of this dynamic captain of industry who likes playing his future cards close to his heart, none more so than tomorrow, when he leads a delegation of senior journalists from the kingdom to London to make an important announcement. Watch this space!
