BIS 541 MANAGING INFORMATION SYSTEM TMA 1 Executive Summary The use of Information technology is important to build the strategic and operation management of airlines‚ and help to build the future airlines successfully. The emergence of the Internet in the mid1990s as well as the development of Intranets and Extranets forced airlines to refocus their strategy on technological innovations in order to enhance their competitiveness. (Buhalis 2004). AirAsia believes in the low fare business
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further cuts its existing lowcosts at 2.5 US cents per ASK and accelerates our growth plans throughout Asia. The IPO also allowsAirAsia to expand its fleet of 18 Boeing 737-300s. Low cost airlines are anticipated to have greater potential in Asia as there are many Asian cities with apopulation above one million people each as well as a rising middle class population. This growth of middle class in Asia provides a huge market potential for AirAsia to grow. However‚ as the market isbecoming larger
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OUMM2103 1.0 INTRODUCTION TO AIR ASIA AirAsia 1 : The AirAsia Logo AirAsia was established in 1993 by DRB-Hicom‚ a Government-owned conglomerate. It started operations in 1996. Tune Air Sdn Bhd‚ Tony Fernandes’s company purchased this heavily indebted airline business from DRB-Hicom in 2001. AirAsia managed to become profitable and world renowned low-cost airline through visionary leadership and innovative business approach. Low Cost Carrier Terminal (LCCT) at Kuala Lumpur International is AirAsia’s
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E-Commerce in AIR ASIA 11 3.2 Benefits of E-commerce to Air Asia 12 4 Data Management 13 5 Organizational ISs 15 6 Enterprise Systems 17 7 Management Decision Support 19 8 IT/IS for Competitive Advantage 20 8.1 Porter’s 5 Forces 20 8.2 Value Chain Analysis 20 8.3 Competitive Advantages using IT/IS 21 9 Recommendation and Conclusion 22 REFERENCES 23 APPENDIX A: AirAsia’s Marketing Strategy 24 APPENDIX B: Potential Suggestion for AirAsia 27 Organization – AirAsia 1 Overview Air Asia
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low-cost airline that provides both domestic and international flights. AirAsia started operating on 18 November 1996‚ it pioneered low cost travelling in Asia. In 2001‚ the airline which was heavily indebted was purchased by Tony Fernandes’s company Tune Air Sdn Bhd. Under his charge‚ AirAsia has become one of the biggest low cost airlines operating in Asia today. Its main hub is based in the Low Cost Carrier Terminal (LCCT) at Kuala Lumpur International Airport (KLIA). As such‚ AirAsia consumers tend
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airline based in Kuala Lumpur‚ Malaysia. It is Asia ’s largest low fare‚ and also the first budget no-frills airline in the region. Settle in 2001 – despite the fact that investing in the airline industry was not a good deal to make at that time‚ because of the combined effects of the September 11 terrorist attacks‚ the economic downturn and the Severe Acute Respiratory Syndrome (SARS) pandemic – AirAsia – pass that over and brought dynamism to Asia airline industry – within three years of operation
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Links: below). Air Asia is currently the largest and the most successful budget airline in the whole of Southeast Asia‚ pioneered by Malaysian entrepreneur Tony Fernandes. He privately bought Air Asia‚ then an ailing government-linked airline and turned it around as a no-frills budget airline until it was profitable and publicly listed. Possibly the only
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Tony Fernandes’s company Tune Air Sdn Bhd for the token sum of one ringgit. Fernandes proceeded to engineer a remarkable turnaround‚ turning a profit in 2002 and launching new routes from its hub in Kuala Lumpur International Airport at breakneck speed‚ undercutting former monopoly operator Malaysia Airlines with promotional fares as low as RM1 (US $0.27). AirAsia has been expanding rapidly since 2001‚ to become an award winning and the largest low cost carrier in Asia. Organization A new budget
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high efficiency in every part of the business. Efficiency creates savings that are then passed on to guests so that affordable air travel can become a reality. Through AirAsia’s philosophy of ‘Now Everyone Can Fly’‚ Air Asia has sparked a revolution in air travel with more and more people around the region choosing AirAsia as their preferred choice of transport. As Air Asia continuously
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to passenger traffic. Further strengthening its ASEAN network‚ the Group in December 2010 signed an agreement to establish a Philippine-based low-cost affiliate‚ which is expected to be operational by end 2011. The quest to democratise air travel began when Tune Air Sdn. Bhd. – founded in 2001 by Dato’ Sri Dr. Tony Fernandes‚ Dato’ Pahamin Ab. Rajab‚ Dato’ Kamarudin Meranun and Dato’ Aziz Bakar - bought over the loss-making‚ debt-riddled AirAsia from HI COM Holdings Berhad (now DRB-HICOM Berhad) for
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