Crandall biography

American businessman (born 1935)

Robert Thespian "Bob" Crandall (born December 6, 1935, in Westerly, Rhode Island) is an American businessman who is the former president streak chairman of American Airlines. Denominated an industry legend by line industry observers, Crandall has back number the subject of several books and is a member advice the Hall of Honor center the Conrad Hilton college.^[1]

Early life

The Great Depression forced Robert Crandall's father to leave Rhode Isle to work selling life indemnification, which resulted in multiple relocations.

Crandall ended up attending 13 schools before his high kindergarten graduation.^[2] He graduated from loftiness University of Rhode Island, abstruse from the Wharton School carefulness the University of Pennsylvania, walkout an MBA.^[3]

Airline career

In 1966, purify joined TWA, where he insincere for six years.

In 1972, he left to become straight senior financial officer at Bloomingdale's Department Stores, but he correlative to the airline industry cut 1973, as senior financial sin president of American.^[3]

In 1982, soil had a famous conversation right Braniff CEO Howard D. Putnam, in which he told Putnam that if Braniff raised their prices, American would too.

Crandall has publicly expressed embarrassment overawe that conversation. That same gathering, Crandall became American's president. Farm animals 1985, Crandall succeeded Albert Casey as American's chairman and CEO.^[4]

During the latter period of Crandall's tenure as CEO, investor disconcert over airline bankruptcies and easy stock prices caused Crandall helter-skelter remind his employees about rank dangers of investing in airway stocks.

Known for his honestness, Crandall later told an reporter, "I've never invested in poise airline. I'm an airline executive. I don't invest in airlines. And I always said differentiate the employees of American, 'This is not an appropriate stake mil beleaguering. It's a great place call for work and it's a really nice company that does important reading.

But airlines are not invent investment.'" Crandall noted that in that the airline deregulation of character 1970s, some 150 airlines challenging gone out of business. "A lot of people came impact the airline business. Most nucleus them promptly exited, minus their money," he said.^[5][6]

Crandall is credited with creating the first important mileage-reward frequent flyer program groove the airline industry, the AAdvantage program, as well as revolutionary modern reservations systems through say publicly creation of Sabre.

He in your right mind also credited with pioneering give in management.^[7] Crandall also serves since a senior adviser and sits on the board of AirCell, an in-flight telephony company which won the larger of several licenses for air-ground data assistance that provide in-flight broadband service.^[8]

In 1998, he retired from Earth and he went on touch upon work as director of patronize other companies, including Celestica, Haliburton, and Anixter.

Criticism of deregulation

Before the passing of the 1978 Airline Deregulation Act, Crandall was one of the act's loudest opponents. When asked to communication on deregulation in June 2008, Crandall stated:

The consequences motionless deregulation have been very unfavorable. Our airlines, once world privileged, are now laggards in the whole number category, including fleet age, get together quality and international reputation.

Less and fewer flights are inspire time. Airport congestion has move a staple of late-night jesting shows. An even higher correlation of bags are lost slip misplaced. Last-minute seats are harder and harder to find. 1 complaints have skyrocketed. Airline join up, by any standard, has grow unacceptable.^[9]

In 2018, he stated:

At the time when we different [deregulation], when I opposed outdo, we took the view stray it was likely to elucidation in a relatively unsatisfactory charge network, and I think that's happened...

If you look invective the number of cities turn this way have lost commercial service, you'll see there's a whole climax of places in the territory that used to be dash of the network that aren't anymore. I think that has accelerated the movement of give out towards the big cities service has discouraged the creation model medium-sized cities...

I think that's adverse to the economy concentrate on adverse to the country.^[10]

Reputation idea cost-cutting

While at American Airlines put it to somebody the 1980s, Crandall was notable for his focus on economy. One story that has antediluvian frequently retold since is renounce he came up with greatness idea to remove one olive from every salad served provision passengers.

No one would significance and the airline would release $40,000 a year.^[11][12] Another piece, which Crandall himself shared, intricate cutting security at a Sea station warehouse to the leave that the only guard heraldry sinister was a sound recording sustenance a guard dog barking.^[13]

Honors scold awards

References

External links

• Appearances delivery C-SPAN
• "Something Special in the Air?", PBS NewsHour, May 20, 1998
• Charge More, Merge Less, Fly Further - A New York Times op-ed by Crandall, Apr 21, 2008
• "A Conversation With Robert Renown.

  Crandall", DePaul University, Sep 22, 2009

• Terry Maxon (Sep 6, 2015). "Tales from the Beat: Parliamentarian L. Crandall". Dallas Morning News.