Lufthansa Group: the SCORE so far Part 2. Negotiating from a strong position, to find new partners

In part two of our report on the Lufthansa Group's SCORE profit improvement programme, which aims to steer the group to a EUR2.3 billion operating result in 2015, we look at some of its major projects and consider its strategic importance.

SCORE follows many previous cost reduction programmes and several of the initiatives launched under the scheme, such as cutting admin costs and pooling procurement across the group, are incremental (and overdue) improvements. However, it has also seen more radical developments, such as 'New Germanwings', the transfer of Austrian Airlines operations to Tyrolean and the planned closure of Lufthansa's historic Cologne head office.

Perhaps the most significant legacy of SCORE may be to change the company culture away from one described by CEO Christoph Franz as "traditional" with a "syndrome of not invented here". Less than a year after its launch, SCORE co-project manager Josef Bogdanski said that "people understand the importance of what is currently happening. Change is no longer seen as a bad thing."

This is a vital foundation for survival. A changing world, where consolidation is around every corner, means that you need to be strong to drive the best partnership deals, says Dr Franz.