High-flyer in for long haul at Air NZ

Rob Fyfe. Picture / Kenny Rodger

Air New Zealand has turned to its own ranks for a new leader, appointing Rob Fyfe its new chief executive.

Fyfe, 44, joined the airline only in 2003, but was quickly promoted to a position many saw as the second in charge - that of group general manager, airlines. He replaces Ralph Norris, who left the airline after three years in August to take over the Commonwealth Bank of Australia.

Chairman John Palmer said yesterday the board of directors had spent the past four months looking at many candidates, with some overseas applicants making it through to the last stage of selection.

"It is a great testament to Air New Zealand's leadership development and succession planning that Rob Fyfe has gained the position against international benchmarks," Palmer said.

Norris took the helm of the airline as it was teetering on the verge of bankruptcy and has since revived it with help from a $1 billion injection of taxpayers' money.

Fyfe said he, too, would keep up this focus on change seen while Norris was in charge of the airline.

"I'm certainly here for the long haul," he said.

"I very much have been involved in change throughout my career and I certainly feel this is a business that requires continual change leadership. It is just so volatile, it is adapting all the time.

"Unlike some industries that go through these waves of change and then have periods of stability, this is an industry where ... you should always have a leader in this business that is a change manager."

Fyfe said it was not accurate to describe him as the clear successor to Norris, saying that other senior managers had been part of a "team of equals".

Goldman Sachs JBWere aviation analyst Peter Sigley said the decision was not a surprise.

"Outside of Ralph, he's been as closely associated with a lot of the strategic stuff that's occurred over the past 18-24 months as anyone else."

He had a marketing focus, rather than a traditional airline focus, which had worked well in the past.

"In terms of continued execution of strategy, you'd have to regard it as a good, if not predictable, appointment."

One of Fyfe's first jobs in his new position will be travelling to the Boeing factory in Seattle, where he will take delivery of the first of its fleet of eight new Boeing 777-200ER aircraft.

These new planes will replace Air NZ's ageing fleet of 767s and open up new destinations in Asia and North America.

One such destination is the Chinese commercial capital of Shanghai, and the airline yesterday asked for Ministry of Transport approval to fly there.

Air New Zealand is also about to ask the Chinese authorities for permission to land at Shanghai's Pudong Airport.

Under bilateral agreements, New Zealand airlines have rights to operate up to seven return services a week to China.

Regulatory approval is expected to take about six months, with the first flight due towards the end of next year.