IATA calls for more focus on human capital

In a keynote address, given on 13th November 2017 to the African Airline’s Association Annual General Assembly, the Director General and CEO of the International Air Transport Association (IATA), Alexandre de Juniac, highlighted the importance of human capital for the African aviation industry. Mr de Juniac, addressing the Assembly in Kigali, Rwanda, remained optimistic about the future of Africa’s human capacity in this sector, one which already supports 6.8 million jobs and contributes $72.5 billion in GDP across the continent.

“Africa is the region with greatest aviation potential. Over a billion people are spread across this vast continent. Aviation is uniquely placed to link Africa’s economic opportunities internally and beyond. And in doing so, aviation spreads prosperity and changes peoples’ lives for the better. That’s important for Africa. Aviation can help in achieving the UN’s Sustainable Development Goals, including the eradication of poverty and improving both healthcare and education,“ said Mr de Juniac.

The shift of focus towards human capital is of no surprise for a sector which relies so heavily on talent management and employee engagement. In his speech, de Juniac urged the 22 states present at the Assembly to follow up on their commitment to the Yamoussoukro Decision, the 1999 initiative designed to deregulate air services and promote intra-Africa aviation markets. "African Governments need to collaborate with the industry to better understand the industry's future needs. That will guide the creation of a policy environment to support the development of future talent needed to deliver the benefits of aviation growth," said de Juniac.    

Flexibility remains the key word for aviation and for African businesses more broadly. As African companies move towards more regional and international business models, implementation of a talent management strategy which can react to different nationalities and cultures within their talent pool will become vital for these businesses to remain ahead of the game. Jack Welch, former CEO of General Electric, summed up this sentiment, “An organisation’s ability to learn, and translate that learning into action rapidly is the ultimate competitive advantage.”

Abel Alemu, Regional Manager for Southern Africa at Ethiopian Airlines, offered a similar opinion during a special insight presentation at the Talent Agenda Series Johannesburg Conference. Expressing worries over the lack of indigenous skilled technical professionals, due to years of poor capacity building, Alemu highlighted the need to manage talent sourced from local and regional talent pools, rather than spend on average $1 billion on expatriates who work in the industry, on which the aviation industry was estimated to spend in 2017. For Ethiopian Airlines, talent management translates into a training scheme to take on 4000 new trainees every year by 2025, with a view to promoting diversity throughout the organigram. Alemu was keen to add that managing employee relationships and prudent resource planning were critical in successful talent management, in order to ensure good employee retention and engagement.

What is clear is that the aviation industry is slowly waking up to the huge potential for infra-Africa talent pools. Sitting behind a large advertisement for RwandAir, Rwanda’s Prime Minister Edouard Ngirente reaffirmed his government’s commitment to continue supporting the aviation industry in this regard: “We have chosen aviation as an economic enabler and will continue to support all players by creating a conducive environment for airline business to thrive,” he said. It will be up to other African governments and organisations to also recognise this potential.

In a keynote address, given on 13th November 2017 to the African Airline’s Association Annual General Assembly, the Director General and CEO of the International Air Transport Association (IATA), Alexandre de Juniac, highlighted the importance of human capital for the African aviation industry. Mr de Juniac, addressing the Assembly in Kigali, Rwanda, remained optimistic about the future of Africa’s human capacity in this sector, one which already supports 6.8 million jobs and contributes $72.5 billion in GDP across the continent.

“Africa is the region with greatest aviation potential. Over a billion people are spread across this vast continent. Aviation is uniquely placed to link Africa’s economic opportunities internally and beyond. And in doing so, aviation spreads prosperity and changes peoples’ lives for the better. That’s important for Africa. Aviation can help in achieving the UN’s Sustainable Development Goals, including the eradication of poverty and improving both healthcare and education,“ said Mr de Juniac.

The shift of focus towards human capital is of no surprise for a sector which relies so heavily on talent management and employee engagement. In his speech, de Juniac urged the 22 states present at the Assembly to follow up on their commitment to the Yamoussoukro Decision, the 1999 initiative designed to deregulate air services and promote intra-Africa aviation markets. "African Governments need to collaborate with the industry to better understand the industry's future needs. That will guide the creation of a policy environment to support the development of future talent needed to deliver the benefits of aviation growth," said de Juniac.    

Flexibility remains the key word for aviation and for African businesses more broadly. As African companies move towards more regional and international business models, implementation of a talent management strategy which can react to different nationalities and cultures within their talent pool will become vital for these businesses to remain ahead of the game. Jack Welch, former CEO of General Electric, summed up this sentiment, “An organisation’s ability to learn, and translate that learning into action rapidly is the ultimate competitive advantage.”

Abel Alemu, Regional Manager for Southern Africa at Ethiopian Airlines, offered a similar opinion during a special insight presentation at the Talent Agenda Series Johannesburg Conference. Expressing worries over the lack of indigenous skilled technical professionals, due to years of poor capacity building, Alemu highlighted the need to manage talent sourced from local and regional talent pools, rather than spend on average $1 billion on expatriates who work in the industry, on which the aviation industry was estimated to spend in 2017. For Ethiopian Airlines, talent management translates into a training scheme to take on 4000 new trainees every year by 2025, with a view to promoting diversity throughout the organigram. Alemu was keen to add that managing employee relationships and prudent resource planning were critical in successful talent management, in order to ensure good employee retention and engagement.

What is clear is that the aviation industry is slowly waking up to the huge potential for infra-Africa talent pools. Sitting behind a large advertisement for RwandAir, Rwanda’s Prime Minister Edouard Ngirente reaffirmed his government’s commitment to continue supporting the aviation industry in this regard: “We have chosen aviation as an economic enabler and will continue to support all players by creating a conducive environment for airline business to thrive,” he said. It will be up to other African governments and organisations to also recognise this potential.