RE: Positive reads/future outlook10 Aug 2020 19:33
just something i picked out from the half yearly results in May which i liked and is very forward looking :-
Acceleration of our strategy post COVID-19
It is clear as a result of the COVID-19 crisis, the travel industry will evolve even faster and perhaps more profoundly than many had expected. The world will be different and TUI will be different also.
This evolution will see the launch of our global realignment programme. We are reviewing our activities, every business unit and group companies worldwide to identify synergies and where we can be leaner, faster and more efficient. What is crucial now more than ever is to adapt our structures, and review our investments and presence in both markets and destinations.
To address costs, we will leverage synergies in areas such as hotel purchasing and exploit further potential within our global IT structures. We are targeting to permanently reduce our overhead cost base by 30% across the entire Group. This will have an impact on potentially 8,000 roles globally that will either not be recruited or reduced.
We will be less capital intensive, and we will continue our asset-right strategy in our Hotels & Cruise business which we launched in 2019. We will right-size our airlines and order book, alongside restructuring. We will divest and address non-profitable activities within our business.
Driving digitalisation - we will accelerate our Group transformation into a digital platform business. We will expand accommodation only and seat only products as well as increase dynamic packaging options. For our digital platform within Destination Experiences, we will enhance and prioritise the planned transformation.
TUI is well positioned to adapt to these opportunities. In order to return to the successful development of the past years after the crisis, we will now implement the realignment quickly.
Future TUI will be leaner, less capital intensive and more digital, creating an even stronger and more agile business.