From "Outliers the Story of Success"
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Free 10-min PreviewKorean Air's Historical Pattern of Accidents and Subsequent Transformation
Key Insight
Prior to the 1997 Guam crash, Korean Air had a history of alarming safety incidents. This included a Boeing 707 shot down over the Barents Sea in 1978, followed by a Boeing 747 crash in Seoul two years later. More crashes occurred near Sakhalin Island, over the Andaman Sea in 1987, in Tripoli and Seoul in 1989, and then in Cheju, South Korea, in 1994. From 1988 to 1998, Korean Air's loss rate was 4.79 per million departures, over seventeen times higher than the American carrier United Airlines' rate of 0.27 per million departures during the same period.
The high frequency of crashes was so concerning that the US National Transportation Safety Board (NTSB), while investigating the Guam incident, appended a list of additional Korean Air accidents that occurred during their investigation period. These included a 747 crash-landing in Kimpo, a jetliner overrunning a runway at Ulsan, a McDonnell Douglas 83 ramming an embankment at Pohang, a passenger jet crashing in Shanghai, and a cargo plane crashing in London after fourteen cockpit warnings. These events led Delta Air Lines and Air France to suspend partnerships, the US Army to forbid its personnel from flying with the airline, and the US Federal Aviation Authority to downgrade South Korea's safety rating.
A leaked audit detailed critical operational deficiencies, such as flight crews smoking during refueling and in flight, reading newspapers during critical phases (potentially obscuring warning lights), low morale, numerous procedural violations, and concerns about first officers' ability to land a 747 'classic' if the captain became incapacitated. The Korean president publicly acknowledged the issue, stating it affected the country's credibility, and switched the presidential plane to a rival airline. However, through a significant transformation after 1999, Korean Air achieved a spotless safety record and was recognized with the Phoenix Award in 2006, becoming as safe as any airline globally.
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