Tata Engages McKinsey for Major Air India Revamp
The Tata Group has initiated a major overhaul of Air India, bringing in global consultancy firm McKinsey & Company to spearhead the next phase of the airline’s transformation. The move comes in the wake of growing scrutiny following the recent Ahmedabad crash and underscores Tata’s commitment to turning around the national carrier into a globally competitive, safe, and efficient airline.
Talks are underway between Tata Sons chairman N. Chandrasekaran and McKinsey’s senior leadership to define the roadmap for Air India’s revival. The consultancy’s mandate is expected to cover key areas such as safety enhancement, operational efficiency, cost restructuring, and strategic brand repositioning.
Air India has already embarked on a five-year transformation programme named Vihaan.AI, which includes modernizing its fleet, upgrading legacy aircraft cabins, improving customer experience, and building a future-ready brand. Tata’s push to accelerate these reforms has gained urgency in light of recent events that have exposed systemic weaknesses across airline operations.
Tata Air India Overhaul
Since acquiring Air India in early 2022, Tata has implemented several changes including fleet expansion, brand integration with Vistara, improved service metrics, and placing one of the world’s largest aircraft orders totaling 470 new jets. Passenger losses have narrowed, and service upgrades have begun reshaping public perception.
However, persistent challenges remain—crew fatigue issues, regulatory compliance lapses, and aging infrastructure have raised safety concerns. The tragic Ahmedabad crash added pressure on Tata to act swiftly and decisively.
McKinsey’s Role
McKinsey is expected to contribute by streamlining route optimization, improving crew utilization, redesigning safety protocols, and realigning Air India’s cost structures. This isn’t the consultancy’s first engagement with the airline; it had been previously involved in business planning and loyalty strategy advisory.
The renewed collaboration reflects a sharper focus on measurable outcomes, with Tata seeking international expertise to avoid legacy pitfalls and deliver a commercially and operationally viable airline.
