The first details of British Airways' plans to achieve its latest round of deep cost cuts include a revamped online strategy and further outsourcing to India, according to a senior executive.

The airline announced earlier this month the need to achievce savings of at least £200 million-per-year in order to offset spiraling fuel costs and the airline’s pension fund black hole.

The detailed plans are due to be announced in next spring’s business plan. They will be the first under chief executive Willie Walsh, who forged a reputation when at Aer Lingus as a fierce cost-cutter.

Paul Coby, BA’s chief information officer, said: "The great thing about Willie is that he understands the use of technology and the smart use of technology and he will push that forward.

"Look at what he did at Aer Lingus with self-service kiosks at Dublin airport. If you look at what he did in e-tickets you see absolutely the same agenda."

Automating ticketing and check-in could allow BA to reduce its frontline staff significantly and may also set the model at Heathrow’s Terminal 5, which will be used exclusively by the flag carrier.

On the existing desk staff, Mr Coby said: "Look at the number of keystrokes they make every day. They could be writing War and Peace."

Mr Coby appears convinced that further cost savings are possible. "We are doing substantial amounts but we can really kick those figures."

Mr Coby is a member of BA's core "leadership team". He was travelling to Bangalore today to meet IT firms including TCS, India’s

largest IT consultants and LogicaCMG, an outsourcing specialist which runs a call centre in the southern Indian city.

But BA will be cautious not to allow a repeat of the Gate Gourmet dispute where a strike at the catering company left 100,000 BA

passengers stranded and knocked £45 million off pre-tax profits during its busiest trading quarter.

Mr Coby said the airline had learned it was essential to "ringfence mission critical" parts of its business to avoid disruption.

However, after 14,000 jobs were culled from the BA workforce in the past three years, further job cuts are likely to meet fierce opposition from unions. BA employees have already voiced disquiet over amendments to the BA pension scheme, which is carrying a £1.4 billion deficit.

Last month, Mr Walsh wrote a letter to his staff warning that the terms of the final-salary pension scheme are likely to be revised to increase their contributions, or make lower payouts.

The airline increased its contributions into the pension fund to £225 million last year, but warned staff in the letter that such measures could not continue.

Soaring oil prices, which have increased BA's fuel costs by 50 per cent, have partly been offset by passenger surcharges of up to £60 per flight and the airline’s supply price hedging strategy. However, BA executives have warned that the company’s hedging stands at risk of unwinding if the cost of oil continues to remain high.

"It is clear we need to reenergise our drive on costs. We have to be aggressive and relentless in managing costs," Mr Walsh said last month.

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