New United CEO vows to continue ‘proven strategy’

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December 06, 2019
United Airlines
United Airlines CEO J. Scott Kirby. Photo: United

Newly named United Airlines chief executive J. Scott Kirby has vowed to drive forward with the airline’s strategy of making itself the carrier of choice for airline customers.

Outgoing CEO Oscar Munoz announced on Thursday that Kirby would move from the no. 2 role to take over the management reins in May 2020.

Kirby was recruited to United by Munoz in 2016 as part of a leadership succession plan and as the airline was still working to overcome the perception that it lagged its competitors.

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Munoz will serve a one-year term as executive chariman and will continue to work closely with Kirby and the board.

“With United in a stronger position than ever, now is the right time to begin the process of passing the baton to a new leader,” Munoz said in the announcement. “One of my goals as CEO was to put in place a successful leadership transition for United Airlines.

“I brought Scott to United three years ago, and I am confident that there is no one in the world better equipped to lead United to even greater heights.

“It has been the honor of my career to lead the 95,000 dedicated professionals who serve United’s customers every day.”

Kirby, 52, is a US Air Force Academy graduate who has been in the commercial airline business for more than 30 years.

He started his career at the Pentagon in the technology sector and earned a Master of Science in operations research from George Washington University.

The new CEO  joined United after a long stint at American Airlines, where he held the title of president since the merger with US Airways in 2013.

He had been seen as a likely successor to American chief executive Doug Parker but this changed when Robert Isom was appointed president.

As United’s president, Kirby had responsibility for the airline’s operations, marketing, sales, alliances, network planning and revenue management.

“I look forward to working with Oscar, the Board, our established leadership team and every United employee as we drive forward our proven strategy and focus on being the airline customers choose to fly and return to time and again,” he said.

Munoz, who became chief executive in 2015 after a scandal involving his predecessor,  is credited with boosting United’s operational and financial performance as well as improving its culture.

That work suffered a setback in 2017 when the airline generated a global controversy after a doctor was dragged screaming from a regional jet in Chicago. The controversy saw Munoz removed from chairman’s role and the airline introduce a series of changes to improve its customer service.

“When I joined United as CEO, I laid out ambitious goals to build a new spirit of United by regaining the trust of our employees and customers – and I’m proud of how far we’ve come,” Munoz said.

“Along with the successful implementation of the plan our team laid out in January 2018, United’s operational and financial performance isn’t just better – it’s better than ever.

“By instilling a culture of ‘proof not promise,’ we have transformed United even faster than we expected and there’s an incredible sense of excitement about the future.”

The transition will see United’s current chairman, Jane Garvey, retire from the board in May after more than a decade. The board had requested in 2018 that Garvey remain in her role for a year beyond its mandatory retirement age.

Garvey praised Munoz for his leadership and commitment, noting he became CEO at one of the most challenging points in United’s history.

She said his focus on putting customers and employees first had “transformed United’s culture today and successfully positioned the company for tomorrow”.

Ted Philip, who joined the board in 2016, will become the lead independent director.