Mike P 0 Report post Posted August 25, 2011 I fully agree. MH doesn't deserve to be 5 star then. I think they are still 5 stars, because of the quality service. Especially the cabin crews, I think that contributes the most to the points for them earning the 5 stars airlines. But if Skytrax ever make the financial performance to earn a 5 star, I guess MH is totally out of the league! Share this post Link to post Share on other sites
Johan Z 0 Report post Posted August 25, 2011 I think 5-star rating is rather subjective. If you look up Skytrax website, MH only received 5-star for Business class, but very low for Economy. Their Business class is the only saving grace. Wonder if they upgraded their cabin interior, they would be more popular! Share this post Link to post Share on other sites
Mike P 0 Report post Posted August 25, 2011 Yet MH won the best Economy Class before. Share this post Link to post Share on other sites
Isaac 0 Report post Posted August 25, 2011 So are they gonna do away with the pathetic meal boxes?? Flew MAS about two weeks ago and the meal box doesn't come with a cover anymore. Another way to save cost i assume. Well I dont mind the meal boxes as long as they learn from others who knows about and how to design, pack and fill up a decent meal box.....take LH for example.... I've seen so many pictures of those. It's so simply yet so classy Share this post Link to post Share on other sites
alberttky 0 Report post Posted August 26, 2011 Kuala Lumpur: The search for Malaysia Airlines' (MAS) new chief appears to have ended. It is learned that the executive committee decided on the new managing director (MD) after a meeting yesterday. Ahmad Jauhari Yahya, the former chief executive officer of power producer Malakoff Bhd, has been offered the job to lead the embattled national airline. However, it is unclear if he will take on the job since he has other interests to pursue, said sources familiar with the situation. Ahmad Jauhari is no stranger to the airline industry since he also sits on the board of Malaysia Airports Holdings Bhd. "There was an exco meeting yesterday and the new MD was decided," said another source. It is understood that Mohammed Rashdan Yusof, the new MAS executive director, was also on the shortlist. Sources also said that Datuk Kamarudin Meranun, the co-founder of budget carrier AirAsia Bhd, and Datuk Seri Shazalli Ramly, CEO of mobile operator Celcom Axiata Bhd, too, were considered for the job. On Tuesday, MAS said it did not expect to make money this year after higher fuel costs kept it in the red for the second straight quarter. It made a net loss of RM526.6 million for the quarter to June 30 2011, up from the first-quarter loss of RM242.3 million. Earlier this month, MAS and AirAsia unveiled a share swap deal between their major shareholders in a bid to collaborate as the airline industry in Asean nears free-for-all competition come 2015. http://www.btimes.com.my/articles/jauh/Article/ Share this post Link to post Share on other sites
Raymund Yeoh 1 Report post Posted August 26, 2011 Can Kamarudin take up the MD job since he is with AK ?..... Also, I wonder why MH must annouce the news on the possible MD replacement....why not wait until the MD is appointed n then annouce it.... Share this post Link to post Share on other sites
Mike P 0 Report post Posted August 26, 2011 Flew MAS about two weeks ago and the meal box doesn't come with a cover anymore. Another way to save cost i assume. I've seen so many pictures of those. It's so simply yet so classy No cover? That can't be true, it would prove the low hygiene to their catering. My last flight was KCH - KUL on 15th August 2011, and everything still the same. Just no more dessert like Hagen Daaz. Share this post Link to post Share on other sites
Isaac 0 Report post Posted August 26, 2011 No cover? That can't be true, it would prove the low hygiene to their catering. My last flight was KCH - KUL on 15th August 2011, and everything still the same. Just no more dessert like Hagen Daaz. Yes. The meal box doesn't come with a cover anymore and i am very sure on this. Remember there is a hole on the left or right hand side of the meal box so they can put in the hot meal without opening the meal box ? There is no more hole anymore because it is no longer necessary now that it doesn't have a cover. No cover? That can't be true, it would prove the low hygiene to their catering. Well, meal tray has no cover either Share this post Link to post Share on other sites
V Wong 0 Report post Posted August 26, 2011 Can Kamarudin take up the MD job since he is with AK ?..... Also, I wonder why MH must annouce the news on the possible MD replacement....why not wait until the MD is appointed n then annouce it.... If mere mortals like us could understand the rationale of how these people think, then MAS would not be in such an unfathomable mess as it is now...it is free for all speculations and rumours since the MAS-AA swap and the announcement of the Q2 loss. I am trying to avoid reading any MAS news until the dust has settled, but it is taking forever to settle... Share this post Link to post Share on other sites
flee 5 Report post Posted August 26, 2011 Also, I wonder why MH must annouce the news on the possible MD replacement....why not wait until the MD is appointed n then annouce it.... I don't think MH made any announcement. It is the BT that is speculating... Share this post Link to post Share on other sites
KK Lee 5 Report post Posted August 26, 2011 If recent history is any indication, whoever take over as the next MD/CEO is likely to find his work to be unwind by his successor. Guess he needs to be promised his next assignment before taking on this job. Share this post Link to post Share on other sites
alberttky 0 Report post Posted August 26, 2011 One sometimes wonder if there is currently anyone in the country qualified for the task ahead. Share this post Link to post Share on other sites
Raymund Yeoh 1 Report post Posted August 26, 2011 One sometimes wonder if there is currently anyone in the country qualified for the task ahead. There is but most of them knows this job heads to no where and will not add any benefit to their resume.... Share this post Link to post Share on other sites
Mohd Azizul Ramli 2 Report post Posted August 26, 2011 Ok so now let me recap on the steps that the new management will be taking to save MH, together with my takes on the issues: - A new MD/CEO who will putting in place strong leadership to steer MAS As expected all the candidates are Malay, with little about their capabilities/past achievements made known, except for maybe D Kamaruddin Meranun of AK and D Shazalli of Axiata due to the prominence of AirAsia and Axiata on the local corporate scene. Personally I have guessed that in order to prove to all Malaysians that the new management is serious and 'thinking outside the box', a non bumi MD/CEO would be appointed. Anyway, hopefully the mentioned ex Malakof CEO will be a worthy discovery, just like D7's CEO Azran Osman Rani. - Better capacity management. Trim capacity for domestic and Asean routes which the Management is doing aggressively and has cancelled as many as 385 domestic flights in August and plans to cancel 63 more, realising a projected savings of RM9.8mil and available seat km reduction of 7% and 10% for Asean and domestic respectively. All non-profitable short routes will be terminated, expected to review its long-haul routes with a view of perhaps cutting super long-haul sectors like Buenos Aires. Fair since I guess the current MH's network is not trimmed to the fullest by DS IJ previously, due to political interference/pressure (remember DS IJ cut KUL-ARN-EWR only to be ordered by the government to reinstate it back). Would be interesting to see which routes/destinations that will be axed soon. MH should not be operating super short haul routes like BKI-LBU or PEN-LGK with its B737s anymore. - The implementation of dynamic pricing to improve yields and revenues Fair. This is an area where I think MH can learn and benefit a lot from AK. It does appear to me that MH does not have a real time accounting/reporting system where they do not know their profitability position until maybe during the quarterly reporting period hence the shocking losses news. The reason for this assumption is, if the management knows and monitors its bottom line after every single flight, it should have taken the necessary actions to mitigate the losses, rather than just stick with what has been scheduled which as a proceed, resulted in the RM 800 million losses in the first half of 2011. - A review of products and brand positioning including a review of its oneworld alliance, some ambiguity over the airline's decision to take delivery of its impending six A380 aircraft, the seat configuration would likely be changed to incorporate more business-class seats. I am against the possible withdrawal from oneworld, which I think will be the key catalyst to bring in the premium passengers that the new MH management wanted so badly, furthermore this is MH's second chance with oneworld after the blunder in 2000. I personally think that the rather unthinkable reconsideration of Skyteam is due to some requests from certain quarters to protect their interest (an exhibit: I know that the MH operation in FCO is controlled by a powerful family and should MH proceed with oneworld, FCO may be dropped in favour of other oneworld hubs such as MAD or HEL. MH's frequency to FCO was strengthen during the time MH announced its intention to join Skyteam in 2006 (DS IJ's famous hub and spoke at Skyteam hubs model), complete with a few code share flights with AZ from the airport. Such arrangements could be dismissed once oneworld comes into the picture. I don't know, just pure speculation on my part). On top of that, Skyteam has been keeping MH in the dark for 5 years, appointed neighboring rivals VN and GA into the alliance and AF hates MH so much. There should be no reason for MH to reconsider Skyteam at all. As mentioned in the article "Management indicated that SkyTeam was a better alliance for MAS" - is a bshit. It's either the management is ill informed or just bad journalism. On the other hand, I am quite in favour of the review of the 6 A380s. It is no secret that MH's purchase of the 6 A380s was not based on good business decision, our fellow member with connection with MH insiders did disclosed that the A380s is a 'done deal' and that 'there is no turning back' although the parties concern knew about the losses that will come with it. So I salute the new management for bold enough to review this once 'no turning back' decision, AS LONG AS in the end, either MH will end up with only 2 or 3 A380s, after all the penalties and such deduced, the savings will still be a surplus and benefit MH's bottomline. - A review of Firefly’s business to focus on its turbo-prop operations out of Subang It has been disclosed that FY's ATR operation is profitable hence I am in the opinion that the same formula can be replicated at other airports, and that the current MH management should not restrict FY ATR operation at SZB only if it can make money too elsewhere. - To realign the Firefly jet business to focus on providing regional premium services aka Sapphire Details about Sapphire is still sketchy. But if the airline is going to be something like MI to SQ, then I guess it is a good thing since it has proven to be a successful formula. However, I am weeping the demise of FY jet from the local aviation scene because I sincerely think they have a great product which takes away some business from AK. It was reported that FY jet was incurring 'significant' losses but I would like to highlight that FY jet operation was only commenced in March 2011 and with all the aircraft acquisition cost, initial/set up cost, staffing cost, promotional cost since FY jet is entering a rather matured market, of course the airline could not post a profit in just 5 months of operation. Even a mini market needs time to breakeven, let alone an airline like FY jet. - Executing the return of two 747-200 freighters, one 747-400 and three 737-400s by end September 2011 MH made a huge fuss that the RM 800 million losses for the first half of 2011 is caused by the fuel cost. Hence I expect more old and fuel inefficient aircraft should be retired rather than just these 6 aircraft since this is the major contributor to MH's losses (as reported). This is also in view that MH took delivery of quite a lot of new (owned and leased) aircraft but none seemed to be retired. - The possibility of a voluntary separation scheme. MAS is hoping to re-deploy excess staff to its regional full-service routes served by Sapphire, but staff cuts would still be necessary. I am always in the opinion that MH is overstaffed (and overstaffed mean unproductive. I have been taught since early years of my career that all staff should have at least 25% of excess work at all time to make them productive but I doubt such environment ever exist in MH) and that the last VSS during the tenure of DS IJ does not achieved its full objective due to some constraints (unions and such). This is also something that Uncle Tony can push so that MH can have a lean operation-to-workforce structure like AK and save a lot of manpower related cost along the way. Share this post Link to post Share on other sites
flee 5 Report post Posted August 26, 2011 MAS now confirms alliance, A380 arrival KUALA LUMPUR, Aug 26 — Flag carrier Malaysia Airlines (MAS) confirmed today it would proceed to join the oneworld alliance by the middle of 2012 and will review its product offerings in the new A380 and A330 to ensure “best in class” service as part of its drive to be a premium airline. The loss-making airline said it “is hopeful that the oneworld alliance membership can materialise within the first half of next year, and would coincide with the introduction into service of its flagship A380 aircraft” in response to The Malaysian Insider’s report on August 23 that it was considering delaying both due to cost issues. “Today, MAS remains focused in joining the oneworld alliance, following the formal invitation to join oneworld on June 6, 2011. The airline is currently working diligently to meet the alliance requirements, to ensure that it becomes a full member soonest possible, subject to the relevant regulatory approvals being obtained,” it said in a statement, which did not give a reason for a delayed explanation. MAS has ordered six A380s but their arrival has been delayed three times from 2008 to April 2012 now. The airline recorded a first half loss of RM769 million for 2011 and does not expect to make a profit this year despite a new management. It is looking for a new chief executive officer after Tengku Datuk Azmil Zahruddin resigned on August 9 in the aftermath of a share swap that saw AirAsia’s biggest shareholder, TuneAir Sdn Bhd, swapping 10 per cent of its stock in Asia’s biggest budget carrier for 20.5 per cent of MAS. AirAsia’s bosses Tan Sri Tony Fernandes and Datuk Kamarudin Meranun have now joined the MAS board and an executive committee headed by its chairman Tan Sri Mohd Nor Mohd Yusof to stop the carrier from bleeding more red ink by positioning it as a premium airline. “MAS is also reviewing its product offering on its new long-haul aircraft deliveries, especially the wide-body A380 and A330 aircrafts to ensure its products are ‘best-in-class’. “With the combination of oneworld membership, ‘best-in-class’ product and the airline’s world renowned service standards, MAS is confident that revenues and yields would improve, and that 2012 would see a positive turnaround for the airlines finances,” the airline said in the statement. It also said MAS’ “impending oneworld membership will also lead to easier transfers, code-shares, joint ventures and greater route access amongst alliance partners, as well as benefit passengers in terms of miles points, lounge and other rewards”. Source Share this post Link to post Share on other sites
Rob 0 Report post Posted August 26, 2011 I guess we can all breathe a sigh of relief now that the top management has proven it's got some brains. Share this post Link to post Share on other sites
BC Tam 2 Report post Posted August 26, 2011 I guess we can all breathe a sigh of relief now that the top management has proven it's got some brains. Why so hasty, it hasn't even been a month yet Share this post Link to post Share on other sites
V Wong 0 Report post Posted August 26, 2011 I guess we can all breathe a sigh of relief now that the top management has proven it's got some brains. I am not so sure... flip flop flip flop... Share this post Link to post Share on other sites
Mike P 0 Report post Posted August 26, 2011 Good News! Share this post Link to post Share on other sites
flee 5 Report post Posted August 26, 2011 Thanks for the very nice summation on the state of play, Azizul. It would appear that MH's new management is getting its focus right - they are now talking about the product. Product has been neglected by MH in recent years and even the latest B738 and A333 got mixed reception. So it is good that the new management is focussing on the product now so as to be able to reposition the airline in the premium market segment. If the future aircraft deliveries come fitted with cabins that are capable of serving in the roles the new management envisages, the ability of MH to attract more premium travellers may be higher. Lets see what happens. Share this post Link to post Share on other sites
Raymund Yeoh 1 Report post Posted August 26, 2011 I guess we can all breathe a sigh of relief now that the top management has proven it's got some brains. Like the saying go...It aint over till the fat lady sings....I'm sure there will be more suprises comin very soon fr MH.... Share this post Link to post Share on other sites
Mohd Azizul Ramli 2 Report post Posted August 26, 2011 It would appear that MH's new management is getting its focus right - they are now talking about the product. Product has been neglected by MH in recent years and even the latest B738 and A333 got mixed reception. So it is good that the new management is focussing on the product now so as to be able to reposition the airline in the premium market segment. If the future aircraft deliveries come fitted with cabins that are capable of serving in the roles the new management envisages, the ability of MH to attract more premium travellers may be higher. Lets see what happens. Sharing some arguments I had in my head: - It does appear that the new management is hinting at product overhaul which obviously referring to hardware product particularly the seats. - MH's new and owned B738 and A333 are very new and it takes a lot of guts to completely overhaul the seats on these new aircraft should the new management thinks it is not up to the 'best of class' level that they wanted. - This does appear like a bad financial decision if MH wanted to change the seats, mainly because the aircraft and the seats are still very new and that MH must be having other priorities with its limited cash reserve rather than changing the new seats on its brand new B738 and A333. - But since Uncle Tony and D Kamaruddin are in the MH's BOD, a decision for the overhauling of the new seats on the new aircraft is likely as there was a precedent in D7, where the then new fixed shell EYCL seats was removed entirely across the fleet after wooes expressed by passengers over the seats. - But it could be that what the article is referring to all these while is to the old aircraft i.e. changing the old seats on the old aircraft, possibly on the B772s, which if proves true does not really a news worthy material since the seats are old and in dire need of a replacement and that everyone knows that. Share this post Link to post Share on other sites
Raymund Yeoh 1 Report post Posted August 26, 2011 Mohd Azizul did a nice summary of what needs to be done. However I feel there is one thing that was left out. Review and overhaul of all MH service contracts with suppliers The new management seriously needs to relook into all contracts MH have entered with their suppliers (for meals, drinks, magazines, luggage tag stickers and so on) as I'm sure some of these contracts are over the top and can be reviewed through and through to get the best out of it. I'm confident if they do are brave enought to do this and reduce the cost, it will be significant enough to bring enough savings and reduce the quarterly loss. Share this post Link to post Share on other sites
Craig 0 Report post Posted August 26, 2011 Sharing some arguments I had in my head: - It does appear that the new management is hinting at product overhaul which obviously referring to hardware product particularly the seats. - MH's new and owned B738 and A333 are very new and it takes a lot of guts to completely overhaul the seats on these new aircraft should the new management thinks it is not up to the 'best of class' level that they wanted. - This does appear like a bad financial decision if MH wanted to change the seats, mainly because the aircraft and the seats are still very new and that MH must be having other priorities with its limited cash reserve rather than changing the new seats on its brand new B738 and A333. I don't think it's possible for MH to change the seats on the A333 now (and maybe the first 45 B738s) - MH would have already signed the contract for the seats and it can be very costly to change it midway through delivery. However, they can upgrade the B772 seats to that of the A380s. Share this post Link to post Share on other sites
JuliusWong 0 Report post Posted August 27, 2011 Non related to the news, however, this piece of news speaks something about the lack of competent management in MH. Back in 2009, MH was planning to fly to Zimbabwe!!! http://allafrica.com/stories/200903060818.html Share this post Link to post Share on other sites
