Chandrasekaran Steps in to Run Weekly Reviews at Air India as CEO Search Drags on

Tata Sons Chairman N Chandrasekaran has taken personal charge of weekly operational reviews at Air India as the airline faces a prolonged leadership vacuum following the impending departure of Chief Executive Campbell Wilson, the Economic Times reported.

Chandrasekaran has directed key divisions, including flight operations, commercial strategy and finance, to submit weekly progress reports directly to him. The intervention is aimed at ensuring management continuity until a new CEO is appointed.

Wilson, in an internal memo reviewed by ET, confirmed the appointment of former civil aviation secretary Pradeep Singh Kharola as executive advisor. Kharola will be part of the airline's management team during the transition.

Leadership Vacuum

While Chief Commercial and Transformation Officer Nipun Aggarwal and former Vistara CEO Vinod Kannan are both in contention for the top role, there is no consensus within Tata group's senior leadership, the report said. Air India executives told ET that the delay in naming a CEO is holding up key business decisions and weighing on employee morale.

"The chairman has a mandate of running multiple group companies and cannot be expected to run a business like aviation, which needs a hands-on approach," a source cited by the publication said. "The company needs to appoint a CEO fast and empower him fully to run the company," the source added.

The matter has also been raised at recent Tata Sons board meetings. Noel Tata, chairman of Tata Trusts, flagged the airline's mounting losses, reported at ₹27,000 crore in FY26, prompting a fresh infusion of funds from the Tata group and 25.1% co-owner Singapore Airlines.

Operational Stress

Air India, which Tata acquired through privatisation in 2022, has had to navigate a series of setbacks. The airline was among those affected by the Ahmedabad air crash in June 2025 that killed more than 260 people. It has also faced surging fuel costs and flight disruptions stemming from the West Asia conflict.

The airline has cut over 350 daily flights. The impact has been more pronounced for Air India than for rival IndiGo because the closure of Pakistani airspace has forced its Europe and North America-bound flights onto longer routes, sharply increasing fuel and crew costs.

The Tata Sons board is reviewing Air India's aircraft delivery schedule, though the report said near-term deferrals are unlikely given penalty clauses with manufacturers. The airline is set to induct seven wide-body aircraft in FY27, while low-cost arm Air India Express will add around 10 Boeing 737 Max planes in the same fiscal year.

The carrier also plans to retire older, less fuel-efficient aircraft at a faster pace as part of broader capacity rationalisation, the ET report said.