This report will study the Business policy and system of SIA and will cover 6 different scopes, namely the background information SIA, the evaluation of External and Internal Environments that is affecting SIA, Long term and Short term Objectives of SIA should consider, Strategic choices SIA may select and implement and the justification Firstly, background information of SIA would be provided, in order to allow greater understanding of the organization on a whole. This section would include aspects such as the company’s history and core values. Secondly, the Evaluation of External and Internal Environments would be identified. These changes would then be discussed in. A detailed analysis would be conducted, suggesting SIA on what Long & short term objectives to be met, which would be direct end results of their established changes.
Thereafter, recommendations would be provided, in attempts to correct any existing or identified issues, such that SIA would be able to boast higher profit margin and substantial growth within the next few years.
The History of the Singapore Airline (SIA)
The history of SIA is traced starting from 1 May 1947 where the Malayan Airways Limited (MAL) is under the twin-engine Airspeed consul scheduled service. The main route were from Kallang Airport to 3 states of Malaysia, namely Kuala Lumpur, Ipoh and Penang. As Malayan Airways grows steadily within 5 years, they were introduced to a larger aircraft DC-3 which provides a faster and more comfortable flight. This change opens up their services to destinations like Indonesia, Vietnam, Myanmar and other international locations. In order fulfill its mission and vision, they were bent on enhancing the service provided. The in-flight refreshments were improved progressively from plain iced water to choice of hot or cold beverages and from snacks ranging from sandwiches to biscuits. On the 16 September 1963 the Federation of Malaysia was born, the airline was then made known as Malaysia Airway Limited and Malaysia-Singapore Airline in 1966. Two years later in 1968, the airline hits S$100 million annual revenue and the Sarong Kebaya which is designed by a French was introduced. The airline grew rapidly and purchases better aircraft like B737-100s. During the 1970s to the 1980s, the first transcontinental flight took off for London and the company was split into two entities due to disagreement. Devotion to the growth of the newly setup Singapore airlines was the main objective. Meanwhile SIA expanded its subsidiary company, Singapore Airport Terminal Service (SATS). This is to provide a more efficient ground service at Paya Lebar Airport. As Singapore Changi Airport starts its operation in 1977, its corporate headquarter Changi Airfreight Centre was operated two years later. In 1989, Singapore Airlines became the first airline operating the B747-400 on commercial flight across the pacific. February 1989 SIA’ subsidiary, Tradewinds which is known as SilkAir became the second airline in Singapore. In the 1990s, SIA start its operation with SQ23 in Terminal 2 at Changi Airport. In 1998 SIA set up a new standard in air travel by introducing a suite of products and services worth S$500 million across 3 different classes. This offers client enhanced service standards on both air and ground. KrisFlyer launched the following year. a program which allows its client to earn mileage credits according to its service class. In 2004 February, the airline successfully set a record for the world’s longest non-stop commercial flight from Singapore to Los Angeles. Months later the record was bettered with its launch of the non-stop flight from Singapore to New York. To keep their mission and vision going, the airline added its new generation cabin with the widest full flat seats for First and Business class. Economy class seats paired with the award-winning in-flight entertainment system. The airline also start its operation at the new...
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