Lufthansa Plans Centralized Airline Control

Lufthansa Plans Centralized Airline Control

Lufthansa Group is poised to implement a significant organizational restructuring starting in early next year, according to an internal memo reported by the “Handelsblatt”. The move aims to enhance passenger satisfaction across its premium airlines while simultaneously improving profitability. A key component of this strategy involves centralizing more control within the group headquarters.

According to the report, Lufthansa Airlines, Swiss, Brussels Airlines and Austrian Airlines will transfer responsibility for areas including route network management, sales and frequent flyer programs to the parent company. The individual brands will then primarily focus on the passenger experience onboard, such as catering services. A company spokesperson confirmed to the “Handelsblatt” that the group is working to improve efficiency, profitability and customer benefits, but declined to comment on specific details.

The restructuring will introduce four “Group Function Boards” dedicated to core operational areas – hub airports, technology, human resources and finance. These boards will be led by members of the corporate executive board, supported by a functional financial controller. Decisions regarding the implications of the restructuring for leadership roles below the executive board level are expected to be made in September.