MAS shake up in the making......

[The Rage]

Just heard a rumour of a shake up around the corner..... , just wondering if any guys out there have heard the same.... MD is going back to the banks, it seems his job in MAS is finished and the Dr. is going to be the new MD. It also seems that Sammy old boy is coming back. We could use a guy like him to kick some butts around. I wonder if www.com is feeling the heat.Its about time some of the more junior guys (100-300 seniority) to take office. There are a lot of capable guys around, guys with good vision to lead and ideas, something thats lacking at the moment.

[rodondo4]

great news.....i hope this will mean a move on ...... and get my application rolling....i have yet to recieve any sort of acknowledgement for my application, its been 3-4 months....

keeping my dreams alive

[CAPTAIN WOOBLAH]

The only shake up will be the losses on the EBIT at the end of the financial year. Perhaps lessons on airline management from AirAsia is in order.

Oh God, not Dr Con again and the blackduck, please!!
:confused:

[The Rage]

Hey rodondo,
This time it could be your lucky time around, Mas is really short of co-pilots and its getting worst. The cadets arn't due back for at least a year thats if MFA can get them tru. Word has it that some of the guy who didn't get tru the last time may be recalled because the former recruitment captain who judges people by their "attitude" is no longer around. So keep your fingers crossed, plus it looks like they are finally getting a first woman f/o.

[MAStake]

That's what you call rock bottom if all they can call on is dr con.
From the frying pan into the fire.;) ;) ;) ;)

[fisherman]

Without political mandate, reorganization, restructuring or improvement is unlikely.

None of the major recommendations by the Boston Consultants Group and the MD e.g. route rationalisation, turn KLIA to spokes and hub system, joining an airline alliance, responsive fare structure, shares holding by other airline, etc were implemented.

Compared with mr. 019 era, the management structure and the middle management remain largely unchanged. Some of the managers are transferred because they are a threat to their boss.

As tax payers are underwriting any expenses incurred in the domestic sectors. Not at all surprise, accounting rules may no longer convention to ensure the airline is 'profitable'.

If history is any indication, doubt the airline can restore her glory days or competetiveness.

[Bob Hawke]

Fisherman, wise words, wise words indeed. Some people live in hope of change for the sake of change and don't appreciating the full ramifications of such change.

[Usman]

Hey diddle diddle the cats and the fiddle
The cows jumped over the moon
The little dogs laugh to see such fun
And the dishes ran away with the spoons.

That nursery rhyme aptly described MAS

What do you expect when the power that be put in as management clowns after clowns who knows two hoots what an airline is all about. That's what happened when you put 2nd to 3rd level brainpowers. Just like the computer when you put in garbage you get garbage back.

We have the leader who think we are the Enterprise space ships, then the fish (seluang) that eats its own young and now the ex-bureaucrats who thinks it is just another government transport department. Fernandez where are you?

Inspite of taking all the bad debts away the airline is still lethargic in recovering. Everything had been stripped from the airline except the manpower. This can go in the Guinness Book of record, as the airline without anything not even planes. Fernandez come in !

[CAPTAIN WOOBLAH]

There is so much work to be done to get MAS back on its feet, the first line of business is to accept that the airline is really in dire straits.

The current management is still in denial and from what they have done to "Turnaround the company" One can see that this is infact true.

There are brains in MAS but they are not being used, ultimately the person that is needed to spearhead the cultural and business reveloution of MAS must be someone from the outside, someone not corrupted by current practices and someone with a fresh perspective. This person must be given the power and mandate to clean out the closets of almost all the current management.

Employee to aircraft ratio is a good guide to the productivity index of an airline and in MAS this sucks! So what to do?

Firstly, MAS should relinquish all domestic and short haul ASEAN routes to AirAsia. Why? Because this gives MAS the oppertunity to concentrate on longhaul international routes and the higher end of the industry such as business and first class passengers.

Inshort, go head to head with the other big boys such as BA, SQ, QF,KLM ect. Target a route such as the kangaroo route and own it. MAS must set goals with regard to yeild and route revenue. Concentrate on distribution this is probably the biggest srew up MAS has.

Engineering is costing MAS a bomb, checks need to be in phase and all areas revamped as the current A,B,C,D checks are gone with the dark ages. as is the MEL.

The pilots think like government workers and we know how slow and bright they are. MAPA is probably the biggest problem here, encouraging pilots to fix all minor defects causing delays and work to rule tactics to push for a pay rise from an airline that is bleeding from financial wounds.

Excessive traffic staff, SMS ing their loved ones all day long because they have nothing to do. This is what MAS has become! an airline with employees that work to live not live to work. The average MAS employee believes that MAS owes them a job. This must change. Where is the hunger to be the best and most cost effective.

Once upon a time in a galaxy far away MAS was hungry, this was when MSA split and SQ took everything except 2 F27's and MAS was nothing. These Malaysians back then had balls and went ahead and built a great airline. The new generation that took over the reins were and are a bunch of whimps. Lazy and complacent. What we see now is the fruit of their labour. Not much to speak of as you can see. Quick money in the back pocket and dreaming instead of working.

Where are your brains where is your courage, where is your self-sacrifice. Can you now rebuild or will you continue to take government handouts as you have become so accustomed to.

Wake up and smell the roses before you are pushing daiseys.

Sincerely,

Wooblah.

[Usman]

MAS needs a good doctor to diagnose and fix its ailments. Instead of getting a Doctor in Aviation it is going to be given a Doctor in Geology and a Con one at that.

This one ain't going to rebuild a great airline. Just mark my words.

[PILOST]

Well,well....what a nice surpirise.......MAS made a profit...... :D

Attached below is a report from the Star newspaper.
==============================================
MAS returns to profit with RM5m Q2 pre-tax

By B.K. SIDHU
FOR the first time in five years, Malaysia Airlines (MAS) has reported its first profitable quarter with a modest pre-tax profit of RM4.9mil for the second quarter ending Sept 30, 2002.

The return to profitability came from improvements in cost control and better passenger and cargo loads, as well as to the various turnaround programmes the company had initiated the past 18 months.

However, on a cumulative basis, the airline still recorded a pre-tax loss, although narrowed to RM72mil for the first six months of financial year (FY) ended March 31, 2003, compared with RM557mil reported in the previous corresponding period.

Revenue rose to RM2.3bil for the second quarter ended Sept 30 compared with RM2.1bil reported a year earlier. For the first six months, revenue was RM4.5bil compared with RM4.2bil.

Net profit for the second quarter was RM1.1mil. However, for the first 6 months, the company reported a net loss of RM79mil compared with a net loss of RM557mil a year earlier.

Earnings per share for the second quarter was 0.15 sen. For the first 6 months, MAS reported loss per share of 10.35 sen.

“This is the first time we are reporting a profit after being in (a loss) situation for so long. It is huge step forward although the numbers may be modest,’’ MAS managing director Datuk Md Nor Yusof told reporters when announcing the company results yesterday, adding that revenue and load factors were above pre-Sept 11 levels.

MAS has also projected a return to profitability in FY2003 with pre-tax profit of RM94.2mil and earnings per share of 9.3 sen.

Md Nor said the airline would also retain its full year projections although some had said they were “conservative figures.’’ The second quarter results, however, had beaten some analyst’s estimates.

Turning to the growth for second quarter, he said it was organic and the recovery was 60% revenue-led, supported by traffic growth and yield improvements.

The higher yielding sectors were the Orient, South Asia and Asean regions. In the pipeline are plans for additional frequencies to destinations such as Beijing, Shanghai, New Dehli, Mumbai, Guangzhou, Xiamen, Hong Kong, Vietnam, Yangon, and Osaka.

On the overall, passenger yield was at 18.80 sen per passenger km (s/pkm); international at 17.44 s/pkm; and domestic at 29.11 s/pkm.

MAS has been emphasising the need to improve yields and according to Md Nor, “every one sen improvement in its yield will result in a RM300mil increase in sales.’’ To better manage yields, a new revenue and inventory management system has been installed.

MAS’ revenue passenger km (RPK) traffic rose 3.9% year-on-year for the second quarter to 10,027 million passengers km while cargo traffic jumped 16.8% year-on-year from the same period to 521 million load tonne km. Passenger and load factor averaged 73.5% and 68.3% respectively for the quarter, which represents increases of 2.5% and 11% respectively.

Asked whether MAS would be able to compete with existing airlines serving the Asian routes, Md Nor said: “For sometime now, Singapore has been eating our lunch ... but it is our fault because we have been busy concentrating on being a global airline.’’ Its focus ahead is the region.

He said Singapore had 2.5% more frequency to China than MAS and many Malaysians were flying to China via Singapore. But in the coming months, MAS would deploy more capacities to destinations within China and India, apart from the Asean region. It also has plans to expand into West Asia, North America and South Africa.

The carrier is also in the midst of finalising the cost for the refurbishment of 24 (15-B777 and 9-A330) aircraft used for short haul destinations. The aim is to convert them into two classes of seats, business and economy, and provide sleepers for aircraft flying long haul. Md Nor did not commit to a figure on the refurhishment cost. Financing for the refurbishment exercise is no longer an issue since the airline has about RM670mil in its coffers.

Last week, MAS obtained shareholders’ approval for its restructuring and turnaround programme whereby its parent company Penerbangan Malaysia Bhd (PMB) would end up with a 69% stake in MAS, its aircraft fleet and take over RM8.9bil debts.


MAS would lease aircraft from PMB to operate and manage the international routes. It would also operate the domestic operations at a fee from the government.

Md Nor said MAS would save about RM200mil to RM300mil in costs annually from sale and leasing aircraft and the savings for the year to March will be accounted for proportionately, beginning November.

On the domestic operations, Md Nor said the government would decide on its business model, however, it was unlikely to become a low-cost carrier as it was currently a premier and market-oriented airline.

He also denied that MAS had suffered losses in its domestic operations, which had always gained economic returns.

On its cargo operations, he said that MAS was excited over the prospects of transhipment cargo, an area it would develop further.
==============================================


To all the naysayers & the detractors all I can say is let's wait & see! ;)


:cool:

PILOST

[rodondo4]

cheers PILOTST....I was just about to paste the same report...seems you best me to it.

yes at long last MAS has something to cheer about eventhough its only RM5m (£0.850m), its a start. Seems like the the BCG consultant managed to do some good......anyway time will tell.

This has brighten up my Sahur!!:) :D :cool:

[Usman]

Not another doctored quarterly statement of account again to keep the MD in his seat.

Pilost & Rodondo4 you willing to take a bet with me that MAS will 'bungkus' again.

[The Rage]

Here we go again with these dinosaurs talking about the old glory days of MSA and the like. Don't they always like to be right. I will agree with the steps taken to put the company back on track. And mind u 019 tried flying all over the world and see where that got us. What we are doing now on concentrating on regional is agood idea. Look at cx they fly 3 times a day into kul, there must be a load! Why arn't we doing the same? Look at India and China, thats where more than half of the worlds population is.

Over the years MAPA has seen lots of ups and downs, times we were sold out. But its the members to blame, if they don't like something , then they should vote the commitee out. The current president might not be liked by some, but their recent bold initiative's were all shot down, it shows the narrow mindedness of the members themself's. WHY shouldn't we ask for a pay rise? We are at the moment one of the lowest in the world. All these years we have been exploited with this, its about time that we start catching up. And if Capt. Wooblah does want a pay rise, then you better let MAPA know, so then wont have to negotiate for you! Maybe the dinosaurs should just retire and stop complaining, i hear fernandez will hire u till the age of 62. Plus u all wouldn't need to earn what u get now. Definately save the company some money. After all they make it sound like they dont need the money anymore.

[Usman]

Rage don't forget in the near future you will also be the dinasour.

The problem in MAS is not so much the Flight Operation. It's in the policy makers and the government.

CX gets 3 flight a day simply because the government wants more tourist but at the expense of MAS. HongKong will not give similar rights to MAS. And we also got a bunch of corrupted and incompetent negotiator.