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alberttky

Airport city in the making in Malaysia

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Mahatir's vision for KLIA was that of an aviation industry hub. That was why so much land was allocated to this project - this was to prevent KLIA from being locked in by development, like Subang.

 

However, KLIA failed to attract many aviation industry players as they set up in Singapore's Seletar (e.g. Rolls Royce plc) and Changi. So, with all this land not giving much return as oil palm estates, MAHB is now looking at what Malaysia is best at - building shopping malls. :p

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If I am not mistaken, SZB was to be converted into an aviation park and would have a major MRO but now, even MAB has shifted to KLIA. And, KLIA was planned to be a major airport with 6 runways.... but now all have changed.

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Somebody should seriously propose developing Obs Hill into an aviation enthusiasts' centre. It could comprise of a plane spotting cafe, info centre, souvenir shop, aviation exhibition centre cum museum, etc.

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Airport operator should be focusing on operating airport. If they could not excel in their core business, what chance they have in new venture?

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KK Lee - such is revenue for the organisation and a diversification of its business portfolio.. Having a land bank that is large enough for an airport and commercial / recreational property is wise.. Do look at airports like MEL/PER/ADL/PVG/SIN where local and international industry make use of proximate land to airports ..

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Also, I know many here and in Malaysia have generally high expectations of its airport infrastructure. But is there any other Malaysian company that consistently ranks amongst top 10 in the world? To me it is unfair to say that MAHB does not "excel" at what it does.

 

I may have some bias as someone working here, but I believe perhaps we need to better position ourselves to the public :)

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It is not a question of whether it is appreciated or not. Even if KLIA is the No 1 airport in the world, there is always the danger of MAHB sitting on its laurels and slip up.

 

Those who travel all over the world will know that many airports are superior to KLIA in many ways. Even if KLIA is in the world's Top 10, there is still work to do. Never rest on your laurels. The competition is intense, especially from nearby neighbouring countries.

 

MAHB must always be on its toes and keep improving - remember the Japanese word, "Kaisen"?

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Of course, but you must also give credit where credit is due. To me there is nothing wrong with MAHB diversifying its business, especially as charges are regulated.

 

If MAHB relies solely on pax charges then it will not make money, due to the low charges. So it must find new revenue streams.

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KK Lee - such is revenue for the organisation and a diversification of its business portfolio.. Having a land bank that is large enough for an airport and commercial / recreational property is wise.. Do look at airports like MEL/PER/ADL/PVG/SIN where local and international industry make use of proximate land to airports ..

 

Also, I know many here and in Malaysia have generally high expectations of its airport infrastructure. But is there any other Malaysian company that consistently ranks amongst top 10 in the world? To me it is unfair to say that MAHB does not "excel" at what it does.

 

I may have some bias as someone working here, but I believe perhaps we need to better position ourselves to the public :)

 

There are many school of thought in management. A diversified conglomerate need to have a strong management team else beside the core business, most other divisions are likely to be unprofitable. MAHB income is derived from its location, not from management excellency e.g. MAHB is BK, etc franchisee at KLIA and the service level is among the poorest in the country.

 

Pax ranking is not the products of MAHB but airlines operating there. If MAHB have strong management skill, they could have help to develop air cargo business years ago. If one could experience any airport (e.g. 3rd tier cities in China) built in about the same time as KLIA2 will find its deficiency.

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