RECOMMENDATION FOR CURRENT CHALLENGE

Performing Major Restructuring & Transforming Operations by:

Reduction in Manpower Cost - Reducing employee wage, alter the structure of full time, part time & temporary workers. The goal is to create an employment structure that is sustainable in the long term. Performing Automation & Outsourcing - Automation is one core area that has been a focus of major airlines. It reduces labor costs by automating most major tasks that are previously handled by humans. Machineries are wage-free and involve minimum maintenance costs. Outsourcing operations such as maintenance, call centers & certain tasks to reduce cost and improve transparency. Implementing Tough Strategies - Besides satisfying customers, airlines too must ensure that it can make profits. One of the tough choices that airlines have to make is charging for food. Rationalized networks by only focusing on routes that are popular and profitable. Looking for alliance partners to fill the gap left by cancelled/unpopular routes. Fluctuating Global Crude Oil Prices high price of crude oil hurts annual revenue of airlines. Making profit but at the same time by not burdening customers is a major headache for airlines. Shift to new technology that is using alternative renewable energy may be the answer. Natural Disasters a catastrophe that can seriously affects airlines revenue. Aggressive promotion & diversifying routes that are less prone to natural disasters are some of best options for airlines.

Recommendations for future growth

Creating R&D team that specializes in aircraft engines The goal is to create latest engine design that is able to run without using fossil fuel, thus minimizing running costs. Maintain Good Political Relationship with Countries around the World Doing so will ensure that MAS has no obstacle in maximizing the number of flight routes, thus bringing huge profit to the company. Ensuring the Wellbeing of Good Workers; Ridding out the bad apples. Good workers are the most valuable asset to the company. By taking a good care of them, they in return, will work hard for the betterment of the company. Workers that are untrustworthy and unproductive must be eliminated from the company, lest they will become a parasites that can destroy the company in the long term. Delivering value-added services. Offering competitively priced tickets in all classes of flight to attract potential customers. Creating the most cost-effective in-flight meals that are simple, last longer, nutritious and most importantly delicious to make customers happy. A customer who is satisfied with the meals provided will surely uses the flight even more and may encourages others to do so. This is a form of indirect advertisement that is beneficial for airlines.

Greater achievements
Today, MAS flies around 50,00 passengers daily to some 100 destinations world wide. Gain customers confidence through hard works and most importantly, excellent in-cabin services rendered by its staffs in line with MAS famous tagline: MH Malaysian Hospitality. Continuously refreshing its fleet and expanding the networks; 3 new Boeing 737-800 aircrafts has been purchased & MAS will receives the brand new Airbus 330-300 aircraft. Successfully engaging with potential younger generation customers by connecting with them through social websites such as Facebook, Twitter, MAS internal blogs and MAS Frequent Flyer Program. Recently, MAS proudly grabbed a Silver Winner of Putra Brand Awards. The Awards are recognized by major business institutions in Malaysia in which the Sultan of Selangor, Sultan Sarafuddin has consented to become the permanent royal patron.

conclusion
Every organization or companies have their own strengths, weaknesses, threats and opportunities that are different among others. For MAS, its strengths are:

Strong brand recognition world wide. Excellent customer services based on their famous tagline: MHMalaysian Hospitality. Improvement in annual yields. Diversified revenue stream.
On the other hand, MAS also has its own weaknesses such as:

Acquiring low margins.

Facing weak cash flows due to external and internal factors.

Having said that, with MAS long experiences in airline industries, it is believed that they will successfully cope with all the threats and transform it into opportunities that will ultimately earning them big in revenue. In conclusion, MAS Airlines is still in its early days, but with a proven track records and strong commitments from both the authorities and private sectors, MAS will undeniably able to reach even greater heights.