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Malaysia Airline Case Analysis

   

Added on  2019-10-18

11 Pages2410 Words469 Views
Running head: MALAYSIA AIRLINE CASEMALAYSIA AIRLINE CASE[Document subtitle][DATE][COMPANY NAME][Company address]

1MALAYSIA AIRLINE CASETable of ContentsIntroduction......................................................................................................................................2Objective......................................................................................................................................2Scope............................................................................................................................................3Six Sigma Tools...............................................................................................................................3Methodologies.................................................................................................................................3The DMAIC Improvement Process.............................................................................................3Fishbone Tool..............................................................................................................................4DMAIC Tool in Context of Malaysian Airlines..............................................................................4Fishbone Tool in Context of Malaysian Airlines............................................................................6Conclusion.......................................................................................................................................8References........................................................................................................................................9

2MALAYSIA AIRLINE CASEIntroduction The Malaysian Airlines is considered as the National Air Carriers of Malaysia. It was establishedin the early time period of air travelling in the year 1937. With a modest beginning, theMalaysian Airline has created a renowned and famous international airline along with an award-winning services and products. It has managed to attain the efficiency in cost and does itsoperations slightly lower than the average of industry. The Malaysian Airlines has experiencedvarious managerial changes in past many years and is still surviving. Being a Nation based aircarrier, however, and owned by government, Malaysian Airline services have various constraintsin the operations at places where it needs to balance in social and political obligations andsimultaneously consider the commercial interest (Tiwari, et al., 2014). Therefore, many decisionsof destinations of air service, business related factors and pricing structure cannot be purelymade on the commerce based ground. This adversely affected the revenue and profits of theairline. Also, the industry of global airline was facing the turmoil starting from September, 2001because of huge decline in the demand of travelling by air and increase in cost of fuel. With noexception, Malaysian Airline was hit badly and have also reported a loss of RM 1.3 billion in theyear 2005. Therefore, it was necessary for this airline to formulate rigorous changes to adapt thevolatile environment of the business. Therefore, a radical and real plan for turnaround businesswas domineering for Malaysian Airlines. The present case highlights the working of Idris Jala toturn around the Malaysia airline company which was about to get bankrupted by using six sigmatools like DMAIC and Fishbone.ObjectiveTo analyse the issue of the Malaysian Airlines.To assess the strategies adopted by Idris Jala for making improvement in the working andoperations of Malaysian Airlines to make it earn more profits in subsequent years.

3MALAYSIA AIRLINE CASETo use Six Sigma Tools for analysing the problem and issue statement.ScopeTo improve activities and operations at Malaysian Airline towards more effective lean systemsby applying the techniques and tools of Lean Six Sigma. The team of the organization willprovide help to the present employees and valuable stream of leaders to understand better theopportunities for improvement and documentation of the progress in which they will beaccountable to carry out and sustain the change. As per the lean concept, all the improvementopportunity of the business process has the relationship of Y=F(x).Six Sigma Tools Presently, the companies are making use of various techniques and tools for improving andsustaining in the market. Presently lean management and six Sigma tools are identified as themost renowned initiatives for continuous improvement and the companies are putting them touse widely (Ansoff, et al., 1987). Six Sigma and Lean initiatives for improvement initiate byunderstanding present state and after that setting the target to achieve and create the subsequentstate for each of the activity. The Quality in improvement projects involving six sigma approachmake use of Strong framework of Defining, Measuring, analyzing, improving and controlling(DMAIC) as well as Lean tools which involve the Single Piece Flow, Kanban and streammapping. The strategies and techniques have helped the organizations for improving theoperations. Methodologies The DMAIC Improvement ProcessThe improvement process of DMAIC involves five phases: Define the problem, Measure theissue, Analyze the situation, Improve and lastly control the issue. While defining the problem, itis necessary to get to know the process of cross function which is linked to management of

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