Friday, October 11, 2013

Twin Otter Crash and Future of MAS


 A Kadir Jasin

[NO anonymous comments. Please use Google Account, OpenID or Name/URL. Pseudonym accepted. Thank you]

THE Fatal crash a MASwing Twin Otter aircraft on Oct. 10 in Kudat, Sabah is tragic and unfortunate. The accident killed the co-pilot, Marc Joel Bansh, and passenger Tan Ah Chai.

The lost of lives, especially of a young person like Bansh who was only 23, is always tragic, more so in an air accident because flying is the safest form of transportation anywhere in the world.

The Twin Otter Crash Killed Two - theborneopost

For MAS the minor accident is unfortunate because Twin Otter is one of the safest and most reliable aircraft in its fleet despite its age. It blemishes MAS safety record, which is one of the best in the world.

For an airline of its age and size, MAS is a very safe. There had been only two fatal accidents involving a total of 134 deaths.

On Dec 4, 1977 a MAS Boeing 737-200 was hijacked by unknown hijacker/s and crashed in Tanjung Kupang, Johor, killing all 100 people aboard. It remains the deadliest crash of in Malaysia. Then on Sept 15, 1995 a MAS Fokker 50 crashed during approach at the Tawau Airport in Sabah due to pilot error killing 34 people.

An air accident, caused whether by human errors or mechanical faults, has to be investigated and determined according to national and international rules.

For the accident to happen at the time when MAS is tentatively on the route to recovery and when international competition is rising is unfortunate for the airline.

The road ahead remains tough for MAS with the emergence of new national and regional competitors. With more international airlines flying into Kuala Lumpur, the competition for passengers is bound to increase.

Gleaming Images belie Truth

 Sadly for MAS, its cost structure, especially as its applies to manpower, is inflexible resulting in the airline not being able to improve on yield despite carrying more passengers. In fact, on many routes MAS is, in effect, subsidising its passengers.

Its survival depends not only on its ability to carry more passengers but also to save on cost. But the latter is impeded by the high cost of its bloated employment.

At some point, the airline’s management and its shareholder must ask the very difficult, ultimate question.

Do they save the airline or the jobs?

Many airlines around the world are forced to cut their workforce in order to survive.

Do we do the same – cut some jobs and save MAS? Or we keep everybody on board and MAS continues to be neither here nor there?

11 comments:

sujini said...

Datuk,

1. Jarang-jarang Datuk berkongsi pendapat mengenai nasib MAS.

2. Baru-baru ini MyCC telah menyaman MAS sebanyak RM10j (termasuk Air Asia)kononnya telah melakukan monopoli kepada laluan penerbangan(lebih kurang macam tu la)

3. Cuba Datuk fikir sapa yang lebih monopoli?
Sila ambil contoh jumlah penerbangan terus(direct)dari KL ke Kota Kinabalu dalam 1 hari:-
Air Asia :12
MAS : 8
Malindo Air : 4

Kalau nak banding buah apel dgn buah apel iaitu penerbangan murah AirAsia dengan Malindo Air sapa lebih monopoli?
Munkin juga belum masanya kita membandingkan Malindo Air dengan Air Asia kerana Malindo Air masih muda dan belum mempunyai rangkaian pesawat yang mantap.Walau apa pun kita tunggu dan lihat berapa lama Malindo Air akan hanya ada 4 penerbangan ke Kota Kinabalu selepas tempoh 3* tahun lagi.
(*Pada lazimnya sebuah syarikat itu akan berjaya atau tidak dalam tempoh 3 tahun perniagaan)

4. Diatas baru satu contoh penerbangan domestik... belum lagi penerbangan a/bangsa.

5.Apabila penyata kira-kira tahun 2012 MAS dilapurkan, MAS masih mengalami kerugian.God Father bersuara MAS perlu diswastakan.

6.Dalam hal ini PM Najib tidak bersetuju kerana MAS telah menunjukkan prestasi yang positif dimana jumlah kerugian telah menurun berbanding sebelumnya.MAS perlu diberi ruang untuk memperbaiki lagi pengurusannya.

7.Sebelum perkhidmatan MAS Wings(nama baru)ditubuhkan penerbangan komuniti ini dikendalikan oleh Air Asia.Selepas mengalami kerugian,perkhidmatan ini bersama-sama pesawa-pesawat yang berada dalam keadaan tanpa penyelengaraan yang baik telah dipulangkan kepada MAS.Munkin Datuk masih ingat cerita ini.

8.Beberapa bulan dulu satu keadaan terjadi dimana ramai juruterbang MAS Wings telah ditawarkan kerja oleh sebuah syarikat penerbangan baru dan MAS Wings kehilangan juruterbang terlatih dan berpengalaman. MAS Wings terpaksa melatih juruterbang baru. Buat seketika MAS Wings telah berhenti berfungsi.Munkin Datuk ada baca dalam akhbar.

9.Nampak gaya setiap syarikat kepunyaan kerajaan baik MAS/MAS Wings dan seumpamanya melalui nasib malang sedang syarikat-syarikat swasta kepunyaan individu maju dan untung berlipat ganda.
Kenapa ya Datuk?

10.Seterusnya sama-samalah kita lihat apabila siapnya AirAsia-KLIA 2 samada akan memberi manafaat kepada penerbangan MAS-KLIA atau sebaliknya.

Anwar said...

Since inception MAS lost almost $29 billion rgt.

They mide mistake after mistake.

Govertment should condider seriously either to sell MAS or liquidated the airline.

The unions were so powerful.

They hold the govertment balls.They become untouchable.

If Syed Mokhtar is so gungho.sell the airline to him.

flyer168 said...

Correct version.

DATUK,

JUST TO SHARE THIS...

THE AVIATION HERALD - ACCIDENT: MASWINGS DHC6 AT KUDAT ON OCT 10TH 2013, IMPACTED HOUSE - HTTP://AVHERALD.COM/H?ARTICLE=469B9009&OPT=0

NOTE PHOTO #4 A/C’S FINAL POSITION (ARROW & CIRCLE VS RUNWAY AT THE BOTTOM OF PHOTO = DISTANCE OFF TRACK FROM THE RUNWAY…!)

THREATS AND GO-AROUND DECISIONS - HTTP://WWW.SKYBRARY.AERO/INDEX.PHP/GO-AROUND_DECISION_MAKING

"SINCE INCEPTION MAS LOST ALMOST $29 BILLION RGT."

FOR MAS FUTURE SURVIVAL, IT HAS TO GO BACK TO THE BASIC AIRLINE COST INDEX BASED ON "ACTUAL" COST OF AIRCRAFTS, ETC, ETC, TO ACHIEVE A "REALISTIC BREAK EVEN/PROFITABILITY" OPERATIONS.

A4A COST INDEX FOR U.S. PASSENGER AIRLINES: 2Q 2013 - HTTP://WWW.AIRLINES.ORG/PAGES/A4A-QUARTERLY-COST-INDEX-U.S.-PASSENGER-AIRLINES.ASPX

HTTP://WEECHOOKEONG.COM/AUTHOR/WEECHOOKEONG/

http://mastroubleshooters.blogspot.com/

HTTP://MALAYSIAAIRLINESFAMILIES.WORDPRESS.COM/

YOU BE THE JUDGE.

CHEERS.

zed-85 said...

Dato'

I remember that in 2001, there was a government bailout for MAS.

If there is an issue of bloated employee numbers, the company should be able restructure the organization or amend the human resources policy since 2001.

The truth in my opinion is that, the Airline industry is highly competitive. MAS have to compete with other carriers in the global and Air Asia in the domestic market.

Other Airline have newer Aircraft such as the Airbus A380 and 787 Dreamliner. Singapore Airline have 19 A380 in in their fleet and had ordered 30 new Boeing 787 Dreamliner, Qantas have 12 Airbus A380. We only started using A380 in 2012 (ordered 6 Airbus A380).

British Airways had cut thousand of jobs in 2009. High paid executive had to resort to working for free in order to cut cost and save the airline. Air France-KLM had cut thousand of jobs in the same year to cut cost.

In the context of Malaysia Airline, MAS losses 430 million in 2012. The overhead cost includes raising fuel prices, not only cost derives from paying employees.

In 2006, MAS implemented VSS and managed to cut 2600 jobs.

MAS might mimic what the other aircraft carriers such as BA or Air France did to cut cost but baring in mind that the cost of workers in Britain and France are higher then in Malaysia.

drlangitbiru penang said...

takziah buat yg terkorban

.....nasib baik lah tak jatuh di negeri darul runtuh.....kalau tak, lebih tragik.....

Din Melaka said...

Aslkum Dakj

1. Setiap kali org cerita pasal MAS rugi maka mau tak mau nama lain yg popular rugi gara2 cerdiknya UMNO mentadbir negara akan berulang dan diulang2. Tapi ada ketua2 UMNO tu kisah?

2. Jumlah kerugian BANK BUMI,PERWAJA, TABUNG HAJI, FELDA, PKFZ, NFC, PROTON, SIME DARBY, TNB , BAKUN, SIME BANK , PNB/ MAYBANK dan terkini 1MDB mungkin dah mencecah ratusan billion rgt.

3. Itu tak termasuk lagi billion rgt rugi atau ketirisan yg dilapur setiap tahun oleh ketua audit negara.

4. Jaga tak termasuk kerugian oleh entiti kerajaan yg tak dibenar ketua audit mengaudinya.

5. Dan tak termasuk entah berapa billion wang rakyat dalam bentuk hasil tak dikutip atau kurang kutip gara2 murah hatinya UMNO melalui selembar kertas memberi konsesi balak, konsesi tol, AP dan calling visa.

6. Apa2 pun Dato ,kalau pun nak kembalikan keuntungan MAS jangan lah pekerja2 Melayu yg terpaksa diberhentikan kerja. Yg saya tau sejak zaman IDRIS JALA dah berapa ribu pekerja terutamanya Melayu dah jadi penggangur. Tapi MAS macam itu jugak.

Cuba belajar dari SIA, EMIRATES QATAR AIRWAYS dan ETIHAD. Di mana kelebihan mereka hingga boleh untung berbillion dollar US setiap tahun.

Yg dah tentu kalau atas MAS dan bos politik mereka kotor tak mungkin MAS boleh cemerlang.

Senang je Dato. Buat perbandingan dgn syarikat yg saya sebut tadi dari segi kos pesawat, kos penyelengaraan, kos alat ganti, kos bahan api , kos sajian makanan , gaji org atasan dan bawahan dll.

Saya berani jamin jumlah gaji org bawahan termasuk pilot tak mungkin menjadi penyebab UTAMA, yg merugikan MAS.

YG PASTI WALAU PUN UBN PANDAI MENANG PILIHAN RAYA, REKOD MEREKA TADBIR NEGARA DAPAT MARKAH GAGAL

Lahuma said...

Dato.

Kejadian di Kudat itu adalah satu kemalangan yang mana -manan pihak pun tak mahu kepada krugian dan maut serta cedara parah .

Yang nyata di Sabah tidak pilihan alternatif untuk perjalanan atau pengangkutan jarak jauh.

Jalan darat yang ada diSabah bagi menghubung antara daerah adalah yang paling teruk di dunia.

Kasihan rakyat Sabah.Melalui udara pun guna pesawat tertua.Barangkali enjinnya pun sudah nyanyuk.

Sumber hutan bukan milik rakyat.Tetapi milik ahli politik Sabah.Sebab itu perlu hutan di jaga untuk kepentingan pemimpin politik di Sabah.

Tiadk ada pun satu kemegahan sistem perhubungan yang ada diSabah.Mungkin setelah mengorbankan bebrepa jiwa maka kerajaan akan kata taraf perhubungan antara daerah akan di tingkatkan.

Eloklah rasa kerajaan Malaysia menubuhkan satu Syarikat Penerbangan Tambang Murah 1 Malaysia bagi menggantikan Air Asia atau Malindo yang memilih distinasi untng sahaja.

Yang tak untung MAS sebagai GLC kena galas ini semua.Kerana tanggung jawab sosial sebagai GLC maka tarpaksalah guna pesawat nyanyuk yang tua usianya.

Kerajaan Sabah dan Kerajaan Persekutuan segerakanlah sistem jalan raya yang baik di Sabah.

Rasanya Menteri Sabah dan Menteri Persekutuan serta Pagawai Kanan Kerajaan pun takut untuk naiki Twin Otter ini.

Mereka naiki pesawat sewa khas yang guna wang kerajaan.

Apakah rakyat Sabah sudah puas hati dengan keadaan yang ada kini.

Itulah nasib rakyat di Sabah.
Serba salah dan serba tak kena.

Terima kasih Dato.

Charles F. Moreira (Hi Tek Heretik) said...

Datuk, I had expected to read more about the cause of this tragic crash, instead of your use of the event to advocate that the government adopt a Thatcherite/Reaganite, Chicago School-style, neo-liberal approach to bust the union and make the workers of MAS pay for its mismanagement.

In about 30 years, this bankrupt and discredited Thatcherite/Reaganite approach has led the capitalist economies of their respective countries to decline to a point where graduates who do find jobs, many in menial jobs, yet have no forward career path to look forward to. Watch the You Tube video below about youth unemployment in Scotland (and teh UK) today, and it proves the bankruptcy of years of neo-liberal economic policies.

http://www.youtube.com/watch?v=TsvDhP-8UQM

However, the capitalist owners of industry most probably couldn't care less about such videos and the plight of working people.

And yes, about 80% of information technology (IT) graduates from our universities and university-colleges are deemed to be below par for work in Malaysia's IT industry.

It's all in the ICT Human Capital Development Framework (Final October 2010) report published by the National ICT Human Resources Task Force.

The report puts some of the blame on the number of inadequately trained or improperly trained IT graduates churned out by our universities and university colleges, especially private, profit-oriented ones which pass off degrees in IT business or IT management as degrees in hard-core IT such as computer science, software engineering, networking professionals, etc.

These privately-owned, profit-oriented, graduate factories are the end result of Thatcherite/Reaganite-style policies adopted Malaysia's former Prime Minister Tun Dr. Mahathir since the mid-1980s and they are popping up like mushrooms today, churning out degree holders for jobs which an SPM or SRP holder could do when my generation and my father's generation were entering the job market.

There are times when I've helped strangers jump start their car and was horrified at how some of them, including university students and seeming graduates, did not even know the colours of the positive and negative battery terminals, the right way to connect the jumper wires betwween batteries, nor did they have the common sense to turn off all battery consuming items, such as cabin lights, small lights, etc. in the car being jump started to minimise further drain on the battery.

What we need Sir, are more quality vocational schools to train people in how to perform practical work with professionalism but as I'm sure you will remember Sir, Malaysian parents tend to regard a degree as a badge of prestige for their children, whilst they look down on vocational education as the badge of "academic failure."

However, I now can see many of my generation, including my relations who completed their Form 5 in the late 1960s & early 70s, now well off close to retirement or in semi-retirement, after successful vocational careers in aircraft maintenance, in-flight services, industrial & marine diesel engine installation & maintenance, insurance sales, optometery, etc.

How many prominent veteran journalists and editors today have a degree?

Do you really need a degree to be a good journalist or is a Bachelor degree the "new SPM" or the "new Senior Cambridge"?

I guess when degree holders are a dime a dozen today, employers can demand higher entry requirements.

Many barely scraped through their Senior Cambridge and a few didn't even make it but they are much better off than their degree-holding, pen pushing schoolmates today.

Pardon the digression into the state of education, here we have Dr. Paul Craig Roberts, the "Father of Reagonomics," now speak about the state of the U.S. today, on the edge of bankruptcy, thanks to nearly 30 years of neo-liberal economic policies.

http://www.youtube.com/watch?v=ui4wTYyDNRA

Salam Aid Il Adha to all Muslims

Azman said...

Weakness in MAS is it structure.
The business model cannot work under current circumstances.
Wake up Khazanah.
Ahmad Johari is a good power plant engineer.
What does he know about airline business.

Tony knowledge in Music.Kamaruddin in Finance,

They employ an Irish ,As CEO of Air Asia.He was previously a CEO od Ryann Air.A succesful budget Air in Europe.
Pay him US$ 100,000 a month and give him 5% shares in Air Asia.He work like a horse.

Najib was vary upset with Tony and Air Asia ,to punish him,he issue new airline licence to Malindo Air.
Malindo Air now competing with MAS for passanger but not with Air Asia.
They opetare turbo prop plane competing with Firefly.broke the monopoly of Firefly.
Firefly charge $300 for return tiket to Penang.Malindo air charge $90 ringgit.
They have to adjust the fair and now firefly in the red.

Najib memang PM yang tak guna otak.
Takut dengan bini.Macam mana hendak jadi PM.yang effective.
He he he sorry Dato.
Sideline sikit.

Lembah Tasnim said...

Salam Tok Kadir..

Sejarah penerbangan Malaysia bermula dari MALAYAN AIRWAYS kemudian menjadi MALAYSIAN AIRWAYS kemudian menjadi MSA (Malaysia Singapore Airlines) tetapi akhirnya umur MSA tak panjang, berpecah menjadi MAS dan SIA..

Setelah berpisah MAS menjadi pesaing hebat dengan SIA dan menjadi syarikat yang dibanggakn olih rakyat Malaysia.. mengikut ceritanya saban tahun MAS menjadi pujian ramai penumpangnya..

Masa berubah persaingan MAS vs SIA terus berlaku tetapi sedikit demi MAS mulai ditinggal kebelakang olih SIA (Singapore Airlines).. tahun 2012 diberitakan penumpang SIA mencecah 18 juta orang setahun..

MAS juga sekarang terpaksa bersaing dengan AIR ASIA..

Sebagai rakyat Malaysia saya tidak setuju kalau MAS dijual sekali lagi seperti yang berlaku sebelum ini.. Seperti SIA, MAS juga adalah syarikat negara, MAS sudah ada nama.. MAS bolih maju seperti pada peringkat awal dahulu..


TQ tok..





maae said...

Salam Datuk,

1. Pasal kemalangan, penerbangan tertakluk kepada hukum alam. Siapa boleh jamin walaupun secara "maintainance" memang "up to date", nasib malang menimpa jua.

2. Malang nasib MAS semua boleh analisa. Untuk untung atau " break even" mungkin sesuatu yang malang juga di pihak pekerja jika tindakan drastik di laksanakan. Semua tahu, MAS satu organisasi yang boleh mencapai sasaran keuntungan yang boleh di banggakan jika individu yang di lantik bersikap amanah. Kita rujuk logik analisa YB WCK.

3. Saya umpamakan MAS dengan Jalur Lebar. Cerita kedai kopi. Jika kedua-dua entiti bisnes ini ada upstream, downstream, hosting, stesyen dan laluan-streaming, kenapa servis tidak boleh menjana duit ? Apa yang di sebut, bukan kah duit ? Kenapa Google dan lain nya di larang di China ? Weibo jadi dan terpaksa di pilih ? Apabila di buat tiada pilihan, mereka pastikan apa yang di berikan bertahap " world class". Semua sokong dan iklan-iklan menjustifikasi penggunaan yang efektif. MAS apabila menjadi "hosting" sudah cukup untuk " break even". Bayangkan jika upstream dan downstream di manfaat sepenuh nya.... he..he.. facebook pun akan menyokong penuh...

Kepada pengurusan MAS, beri lah bonus keada kakitangan yang agak terabai untuk tahun-tahun mendatang. Jika berfikiran begini, Allah SWT beri keberkatan. Percaya lah. Kita tidak mahu hennessy atau xo. Kewarasan dan Kepakaran ada pada kita.

About Me

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I was born in 1947 in Kedah. I came from a rice farming family. I have been a journalist since 1969. I am the Editor-in-Chief of magazine publishing company, Berita Publishing Sdn Bhd. I was Group Editor NST Sdn Bhd and Group Editor-in-Chief of NSTP Bhd between 1988 and 2000. I write fortnightly column “Other Thots” in the Malaysian Business magazine, Kunta Kinte Original in Berita Harian and A Kadir Jasin Bercerita in Dewan Masyarakat. Books: Biar Putih Tulang (1998), Other Thots – Opinions & Observations 1992-2001 (2001), The Wings of an Eagle (2003), Mencari Dugalia Huso (2006), Damned That Thots (2006), Blogger (2006), PRU 2008-Rakyat Sahut Cabaran (2008), Komedi & Tragedi-Latest in Contemporary Malaysian Politics (2009) and Membangun Bangsa dengan Pena (2009).