1.1 Introduction to AirAsiaAirAsia isa well-known airline in Asia and also the second International Airlines inMalaysia. It founded by Tony Fernandes and started the business organization on20 November 1996. It always promotes flight ticket to the customer with thelowest price.
AirAsia provides many services to the customer, such as flightbookings, travel insurance, low fare finder, airport bus ticketing and so on.In1993, AirAsia was established by a Malaysian conglomerate and it was commencedoperation in1999. In December 2001, the airline was heavily in debt, AirAsiawas purchased by Tony Fernandes of Tune Air Sdn Bhd.
Tune Group is the parentcompany of AirAsia. The airline was flying high in 2002 and it launches newroute in that year. It is the largest airline in Malaysia. It offers domesticand international flight more than 165 destinations and 25 countries. Itoperates more than four hundred flights daily from hubs placed in Malaysia,Indonesia and Thailand.In2003, AirAsia has been voted because of the most famous website for onlinepurchasing. After that, AirAsia began to get achievements year after year.
AirAsia is ready to take low- fee flying to an all new height with theirorganization slogan “Now Everyone Can Fly”. AirAsia offers the lowestprice flight ticket to give all of their customers can fly anywhere in theworld.One of theproducts that provided by AirAsia is an AirAsia Credit Card, a customer canregister an AirAsia Credit Card to obtain a promotion. AirAsia Megastore also aproduction supplied by AirAsia, a client can shop online at the website. Exceptthat, there is a very convenient service.
The customer can use the cellularsmartphone to check-in, online check-in by way of way about the internet siteof AirAsia yet print out the boarding pass directly. Apart from this, acustomer may search and book the flight by online. While making a flight, thecustomer can choose and book on their own seat, a hot meal and check-in luggagevia online. AirAsia also supplied insurance and safety travel plan for acustomer when those make a booking. Besides, a customer may make their paymentthrough debit card, credit card, ATM payment and also online banking.
There isalso a service offered with the aid of AirAsia in the airport. Pregnant guest,unaccompanied guest between 12-16 years old and disabled guest with providedthem with a wheelchair and unique aisle get entry to. AirAsiahas 4 Mission. The initial mission is AirAsia wants to be the first-rateorganization to work for whereby the worker is handled as part of a big family.Besides, those second mission about AirAsia is to create a globally recognizedASEAN brand. After that, another mission of this company is to attain thelowest cost so that everyone can fly with AirAsia. The most recent mission isto keep up the most astounding personal satisfaction product, embracingtechnology to reduce expense and improve administration levels.AirAsia’ svision is to be the biggest low-price airline in Asia and serving the threebillion those who are currently underserved with terrible human being’sconnectivity and high fare.
The vision has reflected the slogan of AirAsia”Everyone Can Fly”. 1.2Departments in AirAsia1. FlightEngineering DepartmentFlightEngineering Department in AirAsia is responsible for monitoring the overallcondition of an aircraft and repair the aircraft. This department will checkthe engine performance and record the cabin pressurization data. Flightengineers in AirAsiaare progressed to management positions in a flight engineering department andassist to general airline management. Besides flight engineers must knoweverything about their specific job and the policies of their airline so thatthey easy to make the decision. 2.
Qualityand Safety DepartmentQualityand Safety Department’s responsibilities are to make sure that safety andefficiency of the AirAsia’s flight be done. This department will make sureevery flight operates in time and check the safety of the airplane before theflight. This department will take all the measures to ensure secure, safe andefficient flights. At the same time, this department is also continuing toimprove their operational efficiency considering environmental protection,safety performance, and occupational health. Quality and Safety Department areimproving their collaboration with their suppliers in respect of environmentalsensitivity, work safety and ensure employee participation. Besides that, theyalso will ensure AirAsia’s guests in travel on time in every flight.
3. FinanceDepartmentFinance department responsible forall matters relating to Finance functions of the commission. Financialaccounting record all AirAsia’s business transactions and produce the accounts.Finance department involves the decision of methods of raising finance, cashflow, credit control, debt control, and expenditure for AirAsia company. Theyalso create a balance sheet and profit or loss account and manage the wages andraise of finance. In the finance department, the finance function is in chargeof managing the capitalization for the AirAsia company. The finance departmentalso helps the AirAsia company to make more assets for futures.4.
HumanResources DepartmentThisdepartment in AirAsia company is responsible for hiring, training, evaluatingand compensating employees. HR department provided training and developmentprogrammers for AirAsia’s employee to upgrade their skills on businessprocesses. They also attract new graduates to join their management in variousdepartments of AirAsia company. Human resources staff handles a lot of thematters concerning to the employee of the company, such as benefits managementand recruiting, they work with management and help develop long-term strategiesto growth and development for the AirAsia company. HR departments are also suchas a middleman between the employee and AirAsia’s management, so that should bewhere employee go for the basic AirAsia company information. 5. InformationTechnology DepartmentInthis department, AirAsia uses many types of system to minimize the cost andmakes the operation easier and efficient.
AirAsia uses YMS?Yield Management System?to account theoperating costs to optimize the price and allocate the capacity to maximizeexpected revenues. CRS (Computer Reservation System) is a computer systemAirAsia used in the travel industry that allowed store, retrieve data and alsoconduct transactions. AirAsia used this system is to allow users to access andcheck the seat availability, flight schedules, airline fare, bookingreservations and generating the ticket. AirAsia uses ERP (Enterprise ResourcePlanning) system to capturing daily operation transactions, manage its supplychain, and also helping to save its daily operational costs as well as toincrease the operational performance to become more efficient.
Head of Audit & Consulting Regional Head, Flight Operation Flight Engineering Department Head of Engineering Head of Flight Safety Head of Investor Relation Treasurer Executive Senior Executive Senior Executive Quality and Safety Department Human Resources Department Information Technology Department Finance Department CEO Head of IT Supervisor Supervisor Executive Head of Payroll Head of Internal Audit CFO Head of Security Safety Director COO Expert Airframe Flight Expert & Human Factors Expert Mechanical system Expert Avionics Task 1.3 AirAsia Organization Chart Task 2.1 InformationSystem in Each DepartmentDepartment :Finance departmentInformation System :Axapta 2012How to reduce the operationalcosts? : Thevery first way to reduce the operational costs is that it is advisable to PayInvoices Early or On Time.
Many of the vendors outside will offer somediscounts if the payment of the invoices is handed in earlier. Unexpectedly, asaving of only two or three percent can be very efficient. However, avoid latepayment as paying it on time of the invoice to avoid any unnecessary chargeslike late fees or any other penalties. By introducing a cost control andreduction program also will help a lot in reducing the operational cost as thisallows us to choose the cost reduction carefully or else it will risk ruiningthe company’s development. Deducting cost from a marketing strategy viewpointis considered as this allows the company to create value by only focusing onproducing only the need of the clients.Furthermore, the company could also Pay Lesser onOffice Essential. For example, the use of technology on office essential canreduce the expenses. In this 21st century, telecommunicationsapplication software such as Skype or even Google Voice has been widely usedfor communications which is very efficient and user friendly and with thissoftware, we are able to avoid paying those hefty bills on mobile and landlineusage.
In the same time, by using modern technologies software like GoogleDrive or Basecamp to act as a central documents and file storage rather thanusing paper documents. With this, it is a good move on getting rid of the costassociated with printers and paper-works.A company also do can employ a freelance webdeveloper to develop the business websites instead of appointing a full-timeweb developer or using the service of highly professional web developmentagency which would be more expensive and highly cost compared to a freelanceweb developer. Moreover, Requesting Employees tofurther Analyze Expenses can help reducing the operational cost. Assigning aparticular team of employees to make an investigation and analyze an expensebracket to find out areas of expense reduction. Employees can usually finditems which is much more affordable with a much lower price that will meet thenecessity of an organization. Periodically, items are recognized that can bebanish wholly without affecting the organization.
A simple step of Reviewing the Purchase Procedurealso can help in reducing cost. The purchasing procedure should be look afterfor possible location for reducing the cost. A check of authorization should betaken place to make certain adherence to authorization limits. The reviewshould also point out the ways of controlling the spending limits and thenumber of people having the permission to make purchases.Department :Human Resource DepartmentInformation System :PeopleSoft SystemHow to reduce the operational cost? The most beneficial way to reduce the operationalcost of Information System namely PeopleSoft of Human Resource is to Takeoverdue personnel actions.
All directorial departments, including the efficientones, do encounter unsolved problem issues. After exhausting the common ploy ofreceiving cost savings by leaving the positions of the vacant empty,restructured the works of those less or the fully busy people and face theproblem of underperformers. After finding out those underperformers, a personnelaction is compulsory to take to target and terminating those employees thatdon’t perform well in their part of the play in the work. Creating a processthat ensures that the people in the organizations are those people who are bestqualified for the given jobs and removed those who are not performing well intheir part of the organizations. This will benefit the organizations a lot moreas they will be having those who are hardworking to fulfil the task given andpush up the sales of the company. By the same token, Hire and Retain the employees whoare fit and that who have the potential to fulfil the given works. High mass ofexodus rates can conclude in considerable costs in loss of productivity andtraining of the employees. To avoid high turnover and in the same timedecreasing the cost significantly, direct the current assessment of theemployee’s satisfactions and provide them non-monetary benefits to at leastmake them comfortable in being a part of working in the organizations.
Improving Training and Mentoring can also help toreduce operational costs and yet providing an appropriate training andmentoring is one of the important solutions to reduce the operational cost. Onevery frequent argument is appointing a supervisor with poor or empty trainingin charge of the following employees, which will increase the burden ofinternal issues. A very well trained supervisor is a must so that they are ableto train employees in customer service as client satisfaction will affect theperformance and revenues of the company. Besides that, supervisors should fullytrain all the employees so that there will be no problem in replacing the otheremployees effectively when they are on their vacation or on a sick leave.Not to mention by having an Automate Process is alsoone of the cost-saving strategies.
Providing an employee portal can helpstreamline the process related to the employee’s requests. Moreover,computerizing documents such as employee’s handbooks can reduce the costs andallows the distribution easier. Task2.2StudentName: Tan Jie-Sheng Department:Human Resources DepartmentInformationSystem: PeopleSoft SystemFeature/Function:ThePeopleSoft System is used is because that it provides efficiency towards thecompany as it enables them to enter the allowance or even deduct the allowanceof the employees. With this system, it is much more convenient to calculate themonthly salary more reliable and accurately for the employees to avoidmisleading salaries of over thousands of employees.
With the help of thissystem, it is also able to generate out the payroll report such as thesalaries, wages, bonuses, and withheld taxes. A payroll report plays a veryimportant part as it may affect the net income of the company business andbecause they are discussed to laws and regulations. Department:Finance DepartmentInformationSystem: Axapta 2012Feature/FunctionTheAxapta system is part of the business management solution that able tostreamlines financials and customer’s relationship. This system helps theAirAsia company to manage the people to work fast and smart in their businessas they tend to focus on the business rather than learning on new applicationsthat could be a great loss for the company of not enhancing a new outcome.
Thissaves time and the effort of workflows that strengthen the monitoring based onthe risk that could be or could not be taken and in any different situations.It also enables the company business to build a strong relationship betweenwith the employees and customers. StudentName: Liew Zhi Qing Department:Human Resources DepartmentInformationSystem: PeopleSoft SystemFeature/FunctionThesystem can let the employee leave management record more easily. The systemwill help the employee based on their performance appraisals to calculate theirpaid leave, sick leave, and holidays that the employee entitled to. The employeecan apply for their leave through PeopleSoft system and their leave request areautomatically routed to their manager for approval. Managers can approve orreject just a click. Thus, it saved time and resources.
The employee’s data inthe system also can be extracted and used to speed up the running of payroll orwages in the company. Department:Finance DepartmentInformationSystem: Axapta 2012Feature/FunctionThissystem is for the staff in the finance department to insert the account codethat can match to debit and credit of the item to generate the accurate report.Finance department normally needs to check the money debit and credit whetherequal to the salary that Human Resources department release to the employee andalso prepare fund for Human Resources department to release the salary.Besides, finance department also will do the audit to accounting the financialtransactions records of the company. Student Name: Chin Wei Yi Department:Human Resources DepartmentInformationSystem: PeopleSoft SystemFeature/FunctionThis system function can generate pay slip and otherequivalent reports. In a company, due to thousands of employee, the companyneed to generate many reports if using people to generate the pay slip. The payslip will not able to distribute to the employee on time if the company didn’thave a system help to manage.
The report will have the same problem with thepay slip, the report is impossible to write hand by hand, that’s why thedepartment use the system function to generate the report also. Use the systemcan make the department work easily and save their time. Department:Finance DepartmentInformationSystem: Axapta 2012Feature/FunctionThefinance department is responsible for management of the organization’s cash flowsand ensuring that sufficient fund is available to meet the daily payments.Generate general ledger related to monthly payroll and tally the account is oneof the functions of this system. This function will help the department tocalculate the monthly payroll and bookkeeping. It saves the employees time andhelps company to save money.
If use employee to calculate the payroll or tallythe account, will make the company more confusing. Purpose of generatinggeneral ledger is to balance the account of the organization. It helps thedepartment to manage records and maintain the financial records. StudentName: Tan Li Wen Department:Human Resources DepartmentInformationSystem: PeopleSoft SystemFeature/FunctionThis system can let HR department easily record datafor entry staff and resignee.
There will have many new employees come to AirAsia company or some employee leave the company at any time. The PeopleSoftsystem can store the new employee’s data clearly and faster according tohis/her name, age, work experience or other. With the system, the resignee’sdata will be deleted from staff information record and send to the resignationrecord within a minute. PeopleSoft System can let the work be done rapid andveracity. Department:Finance DepartmentInformationSystem: Axapta 2012Feature/FunctionThis system can assist the financial and managementreporting. AirAsia company will have many different transactions within a year,some of them earn profit but some of them will be the loss.
With Axapta 2012,the Financial department can easily figure up the gain or loss in a year anddisplay it in a form that easy to look by the employees or manager. With thedata, the Financial department can complete the financial and management reportmore accurately. Task3.1InformationSystem: PeopleSoft SystemTypeof output/report: Total amount of salaryContent:Employee’s salary informationTowhom: All the employee,HumanResource department,Accounting departmentPurpose:This system is to helpthe AirAsia Human Resource department to calculate all the employee’s salary.The system will auto count the employee benefits such as EPF and SOCSO. Yet,the system will auto-generate the e-Pay slip for all the employee easy to checkwhether their salary accurate or not.
Besides, an e-Pay slip is immediatelyavailable on any gadgets and also internet connection. The remote workers alsocan get entry to their information at the same time with the office workers. InformationSystem: PeopleSoft SystemTypeof output/report: AbsenceManagement Survey ReportContent:Employee’s absenceinformationTowhom: All theemployee, Human Resource department, Accounting departmentPurpose: This system is to help the AirAsia Human Resource department to calculate thetotal day’s absence for each employee. This system will sum up the total andrecord the accurate date of employee absence for their work every month orevery year. The accurate information will be sent to the Human Resourcedepartment and Accounting department. With the information, Accountingdepartment can easily count the salary that supposes to be given fairly toevery employee. Human Resource department can analyze that which employee haspaid more effort in their work and who are not. The employee also can clearlyknow about themselves attendance in their company.
With this system, maybe morebonus will be given by the employer to the employee who has less absencerecord.