Skip to Main Content
HBS Home
  • About
  • Academic Programs
  • Alumni
  • Faculty & Research
  • Baker Library
  • Giving
  • Harvard Business Review
  • Initiatives
  • News
  • Recruit
  • Map / Directions
Faculty & Research
  • Faculty
  • Research
  • Featured Topics
  • Academic Units
  • …→
  • Harvard Business School→
  • Faculty & Research→
Publications
Publications
  • September 2024
  • Case
  • HBS Case Collection

Cathay Cargo: Turnaround Short Haul, or Double Crew Long Haul?

By: Willy Shih and Billy Chan
  • Format:Print
  • | Language:English
  • | Pages:12
ShareBar

Abstract

Tom Owen, Director Cargo at Cathay Pacific Airways, had a problem. During the Covid-19 pandemic, the grounding of passenger flights meant the sudden loss of 50% of the airline's cargo carrying capacity. But the bigger challenge was that the Hong Kong government imposed severe quarantine restrictions on air crew who operated flights, and when aircraft arrived at destinations around the world, their crew faced other restrictions. The operations team devised a closed loop system that would allow flights to operate with a range of staffing requirements. For the company, freighter service provided critical cash flow, and the operations team had brought forward a choice. Should Cathay focus most of its cargo service on regional routes out and back from Hong Kong, or should it operate long haul to Europe and the Americas? What would be best for cash flow, and what would be best for the crews?

Keywords

Operations; Resource Allocation; Cash Flow; Governing Rules, Regulations, and Reforms; Health Pandemics; Organizational Change and Adaptation; Decision Choices and Conditions; Air Transportation Industry; Hong Kong

Citation

Shih, Willy, and Billy Chan. "Cathay Cargo: Turnaround Short Haul, or Double Crew Long Haul?" Harvard Business School Case 625-019, September 2024.
  • Educators
  • Purchase

About The Author

Willy C. Shih

Technology and Operations Management
→More Publications

More from the Authors

    • April 2025
    • Faculty Research

    Velong: Rethinking “Made in China” (B)

    By: Krishna G. Palepu, Billy Chan and Nancy Dai
    • January 2025
    • Faculty Research

    Knowledge Transfer: Toyota, NUMMI, and GM

    By: Willy Shih
    • January 2025 (Revised February 2025)
    • Faculty Research

    Vanguard Retail Operations

    By: Antonio Moreno, Willy C. Shih and Margaret Underwood
More from the Authors
  • Velong: Rethinking “Made in China” (B) By: Krishna G. Palepu, Billy Chan and Nancy Dai
  • Knowledge Transfer: Toyota, NUMMI, and GM By: Willy Shih
  • Vanguard Retail Operations By: Antonio Moreno, Willy C. Shih and Margaret Underwood
ǁ
Campus Map
Harvard Business School
Soldiers Field
Boston, MA 02163
→Map & Directions
→More Contact Information
  • Make a Gift
  • Site Map
  • Jobs
  • Harvard University
  • Trademarks
  • Policies
  • Accessibility
  • Digital Accessibility
Copyright © President & Fellows of Harvard College.