Air Asia is a Malaysia Low Cost Carrier Airline Company which was founded in 2001 by Tony Fernandes. The company provides a totally different type of service in line with the nation’s goal which is to benefit all people and worldwide travellers. The main service takes the form of no frills. Before 2011, it is a money losing airlines operated by the government which after that became a successful airline company after being taken over by Tony Fernandes. It can be said it is a remarkable transformation of the airline. Kuala Lumpur International Airport serves as the main hub for Low Cost Carrier Terminal in Malaysia. By the year 2005, Air Asia has operates in 6 countries worldwide which serves more than 5millions customer. Until today, the company is currently operating in 25 countries which provide domestic and international flight. In this assignment, we are going to discuss regarding the information system and technology implemented by Air Asia which make the company become so successful, the current and future business alignment strategy and business operation of Air Asia. (Wikipedia, Air Asia Available at http://en.wikipedia.org/wiki/AirAsia Accessed on 21th March 2011)
It was the first successful and is one of the largest low cost airlines in Southeast Asia. Also, it has become Malaysia first international low cost carrier. Air Asia Company’s simple philosophy ‘Now Everyone Can Fly’ has successfully positioned itself in customers’ mind where majority of the customer would choose Air Asia as their choice of transport. In add, Air Asia succeed through the company’s effective and efficient operational. Tune Air Sdn Bhd is the partner holding company of Air Asia. (AirAsia.com, Wong Pui Man,Cary March 2009 Available at http://www.skcs.hk/AirAsia.pdf Accessed on 17th March 2011)
Air Asia’s main goal is to achieve as becoming the leader of low cost carrier. There are few components of the strategies which make Air Asia possible, such as:
(Wong Pui Man, Cary. March 2009, Available at http://www.scribd.com/doc/36978720/Air-Asia Accessed on 21th March 2011) BUSINESS PROCESS AND BUSINESS ANALYSIS
(AirAsia.com, Wong Pui Man,Cary March 2009 Available at http://www.skcs.hk/AirAsia.pdf Accessed on 17th March 2011)
(AirAsia official website, Available at http://www.airasia.com/my/en/home.html Accessed on 23th March 2011)
(WordPress, SWOT Analysis for Air Asia Available at http://kulothunkan.blogspot.com/2008/07/swot-analysis-for-airasia.html Accessed on 24th March 2011)
Air Asia is a low cost carrier airline. With low cost concept, Air Asia has gained competitive advantages. Firstly, Air Asia provides standard and well-mannered services but there are no extra services such as meals provided. Secondly, Air Asia creates reliable, frequent and flexible schedules for traveler. Besides that, Air Asia provides short haul, point to point flight and usually to secondary airports. Next, Air Asia has standardized fleet of aircraft and high aircraft utilization. Lastly, Air Asia creates productive and skillful employees and usually used a straightforward and focused management structure in the company.
(University of Melbourne Air Asia-Strategic IT Initiative, 2005 Available at http://sandygarink.tripod.com/papers/AA_SITA.pdf Accessed on 20th March 2011)
MARKETING MIX ANALYSIS
Marketing Mix is the combination of marketing tools that are used by the company to satisfy customers and to achieve the company’s goal. There are four basic elements in the marketing mix which are:
CURRENT SITUATION OF BUSINESS AND IT IN ORGANIZATION
CURRENT BUSINESS STRATEGY
Air Asia current business strategy is focused in cost management. It provide lower price for flight compare to its competitor’s price. The objective of its business strategy is to search for areas to reduce the cost along their value chain...