PlaneMX
you are 100% correct, there are many operational problems that cost the airline 'big bucks.'
The problem as I see it, you don't have operational people at the top. You have bean counters that only know how to cut services to save money (make a profit). And the way it is going there will not be much left to cut out. Its like the bean counter who buys a pizza parlor. To make more money he puts less pepperoni on the pizza, not many customers notice so he thinks I cut some more out make more money. Pretty soon the only thing in the pizza box for the customer is the cardboard disk.
Folks, you can only cut so much out of a product before the customer stops buying the product. Whether it is pretzels, less customer service agents, etc. They need to fix other items in the operation. One of the reasons for the success at CO was Gordon was more of an operational guy, and had a bean counter to assist him. But the focus was on improving the operation to improve profits, not cutting costs to improve profits.
An PlaneMX, your example of higher costs of a 'turn" is on a city pair that is low yield, so it make the effect on profitability even worse.