Thai Airways International Aims for the Skies
Thai Airways International is aiming to be one of the worlds Top Five airlines by 2023, with a policy of “Thainess and Tourism” announced the new Chairman Ekniti Nitithanprapas. The chairman is positioning the national carrier as a premium service airline and the goal is to crack the world’s top five in five years.
Skytrax ranked THAI 10th best airlines in the world for 2018. Based on 20.4 million travelers from more than 100 countries, the Skytrax survey covered more than 335 airlines with criteria ranging from seat comfort, boarding procedures and service quality. The top five airlines are made of Singapore Airlines, Qatar Airways, All Nippon Airways, Emirates and EVA.
To achieve this goal the airlines is striving to be positioned as a premium airline and encourage foreign travelers that visit Thailand to fly THAI. THAI’s goal is to be judged by service and quality. Travelers must feel that flying THAI is worthwhile and a good value for the money.
Rising oil prices will leave a dent in THAI’s earnings as well as increased competition in the airline industry. However, THAI’s average cabin factor is up to 70-80%, much better than 60-70% from previous years.
The focus to achieve this goal is to concentrate on revenue management, yield, income and expenses to strengthen the airlines financial position and combat competition.
An integrity pact will be adopted in THAIs procurement process. This type of system has helped many state enterprises lower procurement costs. Also merit-based appointments could be used to encourage loyal and talented employees.
In the first quarter THAI’s net profit dropped to 2.72 billion baht in the first quarter. Down from 3.16 billion in the same period last year.
As required by the State Enterprise Policy Commission, THAI is one of six financially ailing state entities that have undertaken business rehabilitation.
Source: Bangkok Post, Thai Airways.