Last week, Qatar Airways Group CEO Akbar Al Baker stepped down from his position, after leading the airline to its pinnacle of fame during his 27-year tenure. The company has appointed Badr Mohammed Al Meer, who was the chief operating officer of Doha”s Hamad International Airport, as the new CEO.
Al Baker”s departure came just days after Qatar Airways and Airbus announced an “amicable” settlement of their unprecedented legal dispute.
During his 27-year stint as CEO, Al Baker transformed Qatar Airways into one of the world”s most prominent airlines, known for its uncompromising stance and meticulous planning. He was the epitome of determination and stood for what he thought was right, even in the face of adversity. The unprecedented legal dispute between Qatar Airways and Airbus is a prime example of Al Baker”s unwavering commitment to excellence.
In February 2023, the two parties finally reached an “amicable” settlement of their dispute over surface degradation issues on many of Qatar”s A350 aircraft.
Similar issues had been reported by other airlines, but they were resolved quietly. Al Baker refused to back down, demanding that Airbus either fix the problem or pay a hefty price. He stopped taking deliveries of new A350s and filed a lawsuit against Airbus in a London court.
The Qatari Civil Aviation Authority also grounded all of the airline”s affected A350s.
The dispute quickly escalated into a public spectacle, with both sides trading barbs in the media. Al Baker accused Airbus of delivering defective aircraft, while Airbus countered that the damage was the result of Qatar Airways” unique operating environment. Despite the high stakes, the two parties were eventually able to reach a settlement.
The terms of the settlement were not disclosed, but it is reported that Airbus agreed to compensate Qatar Airways for the damage to its A350s and to work with the airline to fix the problem. Ironically, the settlement also brought an end to Al Baker”s 27-year career as CEO of Qatar Airways. He has transformed Qatar Airways into one of the world”s leading airlines, but his success has come at a cost.
Al Baker meticulously planned every step of Qatar Airways” growth and religiously implemented his plans. According to a report, in 2014, when Qatar Airways hosted the IATA annual general assembly, Al Baker personally drove CEOs of other airlines around in a golf cart through the airport terminal in the middle of the night to ensure they arrived at their gates comfortably. Despite having broken his arm in a car accident a few days before, he refused to delegate anything.
Corporate governance at Qatar Airways was simple: Al Baker made all the decisions. However, this was not what Group Chairman Al Kaabi envisioned for the future. The chairman wanted to establish a new governance structure. Unfortunately, no middle ground could be found.
As tensions with the Group escalated, Al Baker was forced to depart from the organization, even though he had wished to remain in the post for some more years.