Croatia Airlines to transform under post-Covid strategy

Croatia Airlines is preparing for a new era of development as part of its post-Covid strategy, which has fleet renewal at its heart. The carrier is now awaiting for its owner - the Croatian government - to approve the strategy, which has been developed in collaboration with the Boston Consulting Group, in order to implement the proposed changes over the next five years. The airline is primarily looking at replacing its ageing Airbus fleet with up to fifteen aircraft. It has been presented with Airbus’ A220 jet, as well the Embraer E2 (pictured) as potential substitutes for its jet fleet, however, the carrier is also considering leasing options for newer generation aircraft.

Croatia Airlines is set to retire one of its oldest Airbus jets, the A320 registered 9A-CTJ, after almost 23 years of service, with the aircraft operating its last revenue flight for the carrier just over a week ago. As a result, Croatia Airlines will now have twelve aircraft in its fleet. The carrier is tying its fleet renewal to the European Green Deal policy. “Taking into account trends on Croatia’s highly competitive aviation market, fuel prices and CO2 emissions, as well as the goals of the European Green Deal, the initiatives defined in the post-Covid strategy have no alternative and its implementation takes advantage of the opportunities that will be on offer as a result of air traffic recovery over the next two years”, the company said.

The carrier has dubbed its upcoming transformation as a “strategy for success”. It noted, “The post-Covid strategy confirms that Croatia Airlines is to increase the efficiency of its business operations and competitiveness, and that, in the coming period, the company is to manage key operational and structural challenges that include fleet renewal, and flight network optimisation throughout the year”. It added, “With a view of achieving the goals defined by the post-Covid strategy, Croatia Airlines will further digitalise its business operations by transitioning to a new SAP [Systems Applications and Products] in order to use data more effectively. It will also look to hone management skills at all levels, insist on a balanced focus on quality, entrepreneurship, cost awareness and innovation, and appreciate and value cooperation and initiatives put forward by employees and social partners, whose constructive involvement will unquestionably contribute to achieving the goals of the strategy and increasing productivity”.