1. BPMN 3023: STRATEGIC MANAGEMENT (Group R)
Strategic Audit for AirAsia Berhad
Presented by :
SIA SHIR LEY
219395
ENG YI LING
220649
NURUL ASMA BINTI MAJID
223902
RABIATUL ADAWIYAH BINTI CHE HALIM
223938
NURUL FARHAN BINTI IBRAHIM
224209

2. STRENGTHS AirAsia is the low cost leader in Asia
Strong management team with strong links governments and airline industry leaders
A truly Asean workplace
Brand name is well established in Asia Pacific
The excellent utilization of IT
STRENGTHS

3. AirAsia heavy reliance on outsourcing MRO provider Limited
human resource
Poor
customer service
Heavy reliance on information technology
WEAKNESSES

4. OPPORTUNITIES Lean Distribution System
Population Of Asian Middle Class Will Be Reaching Almost 700 Million By 2010
“ASEAN Open Skies” Agreement That Has Been Reached
Differentiate From Old LCC Model (Include Customers Service And Operation As Full Service Airline)
Point to Point Network
Secondary Airports

5. THREATS Entrance of other low cost carriers (LCC) airlines
High fuel price affect the profitability
Aviation regulation and government policy
Accident, terrorist attack, and disaster
THREATS

6. Promotion Strategy (S4, T1)
Strengths – S
Weaknesses – W
Air Asia
SWOT Matrix
AirAsia is the low cost leader in Asia.
Strong management team with strong links with governments and airline industry leaders
AirAsia’s brand name is well established in Asia Pacific
The excellent utilization of IT
AirAsia heavy reliance on outsourcing MRO provider
Limited human resource
Poor customer service
Heavy reliance on information technology
Opportunities – O
SO Strategies
WO Strategies
“ASEAN Open Skies” agreement that has been reached
Population of Asian middle class will be reaching almost 700 million by 2010
Differentiate from Old LCC Model (include customers service and operation as full service airline)
Secondary Airports
Point to Point Network
Lean Distribution System
Cost Leadership Strategies (S1, O1)
Market Penetration (S1, O2)
Move to electronic self-service (W2, O6)
Lean Distribution System (W4, O6)
Threats – T
ST Strategy
WT Strategies
Entrance of other Low Cost Carriers (LCC) airlines
Aviation regulation and government policy
High fuel price affect the profitability
Accident, terrorist attack, and disaster can affect customer’s confidence
Promotion Strategy (S4, T1)
Strengthen the customer service skills (W3, T1)
Take tangible action at the first step (W3, T4)

7. Implementation IMPLEMENTATIONS Move to electronic self-service
improve its online service system
without interaction with the representative
Strengthen the customer service skills
train its customer service representative
able to accept the shame and negative feedback from the customer
Promotion strategy
introduction of SMS booking
provide the holiday packages
Lean distribution system
via internet and credit card sales
Taking action at the first step
the crisis and management response program
Market Penetration
aggressive marketing campaigns
Cost Leadership Strategies
using its low cost strategy