SWISS on course for success
SWISS's integration - a success story
The accomplishment of Swiss International Air Lines' full integration into the Lufthansa Group was a key milestone in 2007. Switzerland's national airline has been a fully consolidated member of the airline group since 1 July. SWISS has now reached cruising altitude and can look back on the most successful year in its corporate history. A large part of this achievement is due to its well-managed integration into the Lufthansa Group. Sustainable synergies rose to EUR 233m in 2007, considerably above their original projections. The synergies are shared almost evenly by the two companies, a sure sign of a successful partnership for both sides. The partners' close collaboration on their distribution and flight operations, their harmonisation of their schedules and the assimilation of the SWISS frequent flyer programme into Miles & More are key components in this success story.
The prime focus of the collaboration is on creating added value for the customers of both airlines. Passengers' options have been tangibly broadened thanks to the partners' coordinated schedules and the excellent connections they provide all over the world. The short transit times at SWISS's Zurich hub are an added advantage, while services to and from Basle and Geneva airports complete the SWISS product. SWISS's extensive timetable provides attractive connections to the world's most important regions, with a network that currently extends to 71 destinations in 42 countries.
SWISS is growing
Lufthansa is providing SWISS with additional thrust for its development strategy. As a result, SWISS will be able to invest more than CHF 1bn in renewing and expanding its intercontinental aircraft fleet over the next few years.
Thanks to the favourable progress made by SWISS in 2007, the original plan of adding two longhaul aircraft to the company's fleet was expanded to four Airbus A340s. The company also enlarged its regional and medium-haul fleet with the addition of two further Airbus A320s.
Once nine Airbus A330-200s have been replaced by larger and more advanced A330-300s - the rollover is set to be completed in 2011 – SWISS passengers will be able to choose between First, Business and Economy Class on all long-haul flights. In offering this three-class configuration to all its long-haul destinations, SWISS is clearly positioning itself as a premium airline. The modern aircraft will also feature a completely new cabin interior. The fleet renewal will deliver environmental benefits, too. While the SWISS fleet's fuel consumption is already low at 3.8 litres per 100 passenger kilometres, compared with the European average, the new aircraft will reduce emissions by a further 13 per cent.
Thanks to the favourable progress made by SWISS in 2007, the original plan of adding two longhaul aircraft to the company's fleet was expanded to four Airbus A340s. The company also enlarged its regional and medium-haul fleet with the addition of two further Airbus A320s.
Once nine Airbus A330-200s have been replaced by larger and more advanced A330-300s - the rollover is set to be completed in 2011 – SWISS passengers will be able to choose between First, Business and Economy Class on all long-haul flights. In offering this three-class configuration to all its long-haul destinations, SWISS is clearly positioning itself as a premium airline. The modern aircraft will also feature a completely new cabin interior. The fleet renewal will deliver environmental benefits, too. While the SWISS fleet's fuel consumption is already low at 3.8 litres per 100 passenger kilometres, compared with the European average, the new aircraft will reduce emissions by a further 13 per cent.
Outstanding service starts on the ground
The new Airport Ticket Office at SWISS's Zurich hub is even more customer-friendly than before. The new lounges in Geneva, Zurich, New York and Chicago, which have been systematically redesigned in line with the "First / VIP / HON", "Senator" and "Business" concept, offer more space and a greater selection of products, and all feature the SWISS design. The lounges are a sound guarantee that any time waiting for a flight will be spent pleasantly.
Eight new destinations
SWISS's Basle-based network was substantially enlarged with the addition of services to Budapest, Prague, Manchester, Warsaw, Barcelona and Nice in January 2007. A new daily Geneva -Valencia service was also introduced in March. And SWISS added a further long-haul route - for the first time in its history - in the course of the year: a new service between Zurich and Delhi was inaugurated in November. Delhi had been part of the SWISS network until 2003, but the route's services were suspended as part of the company's restructuring.
First place for customer satisfaction
Once again, SWISS confirmed its place among the best carriers in the world in the course of the year. The company was chosen "Europe's Leading Airline" - for the second year in a row - at the World Travel Awards; and SWISS won first place in the Cabin Crew, Ground Services, Cabin Comfort and "Inflight Food & Drink" categories and the overall "Best Airline for Europe" distinction at the annual Business Traveller Awards. In the "Airline of the year 2007" competition, readers of Capital magazine voted SWISS into first place in the classic scheduled-flight segment for European routes.
New jobs, especially for flying personnel
Thanks to its encouraging growth, which has also been reflected in demand-driven investment in its aircraft fleet, SWISS was able to recruit new staff in 2007, especially for its flying personnel. The new jobs created during the year enlarged the company workforce by some 11 per cent, and SWISS employed a total of 7,160 personnel at year end.
Swiss WorldCargo successful with its niche strategy
Swiss WorldCargo has successfully positioned itself in the high-value niche segment, supported by the strength and importance of Switzerland's export economy. SWISS's cargo business unit has made a major contribution to the progress the company has achieved. In volume terms, some 4 per cent of Swiss exports are transported by air, but the same freight accounts for around 30 per cent of all Swiss exports in value terms.
Continuous process improvement with Kaizen
SWISS works constantly to improve its processes, in order to remain competitive and guarantee its customers the best possible air travel experience. One key component in these endeavours is the consistent application of Kaizen, the Japanese philosophy which promotes improvement through many small steps.
Sustainable growth path to continue in 2008
SWISS continues to grow and expands its network. A second new long-haul route, to Shanghai, will be added in May 2008. And Florence, St. Petersburg and Sofia will receive direct service from Zurich from the summer timetable period. But SWISS, too, is facing mounting competitive pressure from the no-frills carriers. As well as striving to further reduce its unit costs, the company is responding to the challenge by remaining true to its classic Swiss values, such as hospitality, individual customer service and quality in every detail. In the future, too, SWISS intends to grow, taking into account demand and risks. SWISS has entered into a strategic partnership with Kuoni as part of which SWISS will take over leisure carrier Edelweiss Air and its four aircraft. Subject to the approval of the relevant authorities, Edelweiss Air should be integrated into the SWISS group at the end of October 2008.
The "Airline for All Fans"
SWISS's "Hoop Schwiiz" – an Airbus A320 decorated with fan photos sent in as part of a competition - will be bringing football enthusiasts from all over Europe to Switzerland for EURO 2008. Another highlight is provided by the trams which have been circulating in Zurich, Basle and Geneva since January 2008. The streetcars feature SWISS employees "flying the flag" for their country and their company in a highly endearing way. The European football championships can begin!