Airasia: Low Cost Carriers in Asia Pacific Essay

The use of information technology plays an important role in the strategic and operation management of airlines,and facilitates the successful airlines in the future. This paper will look at the awarding-winning low cost carriers (LCC) in Asia Pacific region – AirAsia, analyzes the current business environment, competitive advantages, value chain, current implementation of information technology, and the recommended future implementation of technology in customer relationship management (CRM) implementation to pursue competitive differentiation and profitability effectively in the future. COMPANY BACKGROUND AirAsia is one of the award winning and largest low fare airlines in the Asia expanding rapidly since 2001. With a fleet of 72 aircrafts, AirAsia flies to over 61 domestic and international destinations with 108 routes, and operates over 400 flights daily from hubs located in Malaysia, Thailand, and Indonesia. Today, AirAsia has flown over 55 million guests across the region and continues to create more extensive route network through its associate companies. AirAsia believes in the no-frills, hassle-free, low fare business concept and feels that keeping costs low requires high efficiency in every part of the business. Through the corporate philosophy of â€Å"Now Everyone Can Fly†, AirAsia has sparked a revolution in air travel with more and more people around the region choosing AirAsia as their preferred choice of transport. AirAsia creates values through the following vision and mission: Vision Mission To be the largest low cost airline in Asia and serving the 3 billion people who are currently underserved with poor connectivity and high fares.To be the best company to work for whereby employees are treated as part of a big family Create a globally recognized ASEAN brand To attain the lowest cost so that everyone can fly with AirAsia Maintain the highest quality product, embracing technology to reduce cost and enhance service levels AirAsia makes the low fare model possible and create values through the implementation of the following key strategies: Strategies Safety First Partnering with the world’s most renowned maintenance providers and complying with the world airline operations. High Aircraft Utilization Implementing the regions fastest turnaround time at only 25 minutes, assuring lower costs and higher productivity. Low Fare, No Frills Providing guests with the choice of customizing services without compromising on quality and services. Streamline Operations Making sure that processes are as simple as possible. Lean Distribution System Offering a wide and innovative range of distribution channels to make booking and travelling easier. Point to Point Network Applying the point-to-point network keeps operation simple and lower costs.