MIS Adoption in Air Asia

         

          The use of information technology plays an important role in the strategic and operation management of airlines, and facilitates the successful airlines in the future.

BUSINESS PROCESS AND OPERATION 

         AirAsia has fostered a dependency on Internet technology for its operational and strategic management, and provides an online ticket booking services to traveler online. The following shows the home page of AirAsia.com as the company key channel of marketing and sales. In  todays globalize economy, information technology has driven fundamental changes in the nature and application of technology in business. The implementation of information technology in its value chain provides powerful strategic and tactical tools for AirAsia, which if properly applied and used, could bring great advantages in promoting and strengthening the competitive advantages.

Computer Reservation System (CRS)

•             An integrated web-enabled reservation and inventory system suite powered by Navitaire’s Open Skies technology that includes Internet, call center, and airport departure control functionality.

• Satisfy the unique needs of AirAsia implementing a low-cost business model to transform the business process to efficiently streamline operations.

Enterprise Resource Planning System (ERP)

•             An integrated ERP solution powered by Microsoft Business Solutions (MBS) on Microsoft technology platform which is implemented by Avanade consultants in Ma 2005. With the robust ERP technology platform, AirAsia is able to successfully maintain process integrity, reduce financial month-end closing processing time, speeds up reporting and data retrieval process.

Customer Relationship Management (CRM)

             In long term, customer relationships should be fostered for AirAsia to maintain competitive advantage and profitability. When planning and implementing CRM application, management is recommended the following approaches:

1. Customer segmentation – mileage-based segmentation is inadequate, rather should focused on value-based and needs-based approaches can guide investment decisions and drive greater insight into the needs of high value customers.

2. CRM initiative development – to differentiate from other competitors, AirAsia should not adopt the “fast follower” approach to CRM initiative development, i.e. learning from other competitors’ approach (e.g. installing kiosks for fast check-in). AirAsia should implement CRM program in favor of investing in initiatives with a high return, which respond to the needs and desires of their own customers.

3. Organizational design and management – AirAsia needs to train the employees, empowering them with a complete view of the customer and clearly articulating the employee’s role in the CRM strategy.

(Sources :eAirlines: Strategic and Tactial Use of ICTs in the Airline Industry. Dimitrious Buhalis. University of Surrey.
2004)  

DOES LOCATION TRACKING THREATEN PRIVACY?

           A Global Positioning System (GPS) uses a constellation of GPS satellites that orbit the earth. These satellites broadcast messages on radio frequencies that consist of the time of the message and orbital information. A GPS receiver measures the transit times of messages from four satellites to determine its distance from each satellite, and thereby calculate its location. These services equip each vehicle or person they are monitoring with a tracking device using global positioning system (GPS) technology. GPS is a navigation system operated by the U.S. Department of Defense based on satellites that continually broadcast their position, time, and date. 

                GPS receivers on the ground, which can be attached to vehicles, cell phones, or other equipment, use information from the satellite signals to calculate their own locations. Cell phones are now equipped with GPS. Location tracking has benefits, but it also opens the door to potential invasion of privacy. Many people may not like having their physical movements tracked so closely. The use of location tracking systems described that technology can be a double-edged sword. It can be the source of many benefits, and it can also create new opportunities for breaking the law or taking benefits away from others. The proliferation of LTSs has increased risks to the privacy and security of individuals. For example, LTSs collect location information silently, without the permission or even the awareness of individuals. 

         Although it appears that individuals have lost control over this information, and hence have lost their privacy, we note that technological devices perform many functions without seeking explicit permission and without notifying affected people. In these cases, informed consent ought to be necessary to balance the privacy rights of individuals against the freedom rights of businesses and the security rights of communities.




(Source: http://www.prenhall.com/behindthebook/0132304619/pdf)

MBA Core Subject - Management Information System

             Management information systems (MIS) is a core subject that I have to take for MBA program. The first impression that came out in my mind is software application and other term that I never heard. however, after a brief overview from Dr.Zaidi, now I know MIS is.

            Management information systems (MIS) are a combination of hardware and software used to process information automatically.Malaysia as a new entrant onto the world of information systems has given priority in establishing a strong infrastructure of information technology before venturing onto information systems development. Malaysia has transcended from a resource-based economy to a knowledge-based economy and will be a fully developed nation by year 2020.

                 This transformation to achieve a successful Vision 2020 was initiated by its former Prime Minister, Datuk Seri Dr Mahathir bin Mohamad and it is known as the Multimedia Super Corridor (MSC). MSC encompasses two flagship applications, known as Multimedia Development Flagship Application and Multimedia Environment Flagship Application. Four applications were planned to be developed under Multimedia Development Flagship Application, which are, electronic government, multipurpose card, smart school and telemedicine. Meanwhile, Multimedia Environment Flagship Application is the Research and Development Cluster, World-Wide Manufacturing Webs and Borderless marketing applications. Each applications consists of a number of collaborative information systems projects.

(Source : Azlinah Mohamed: Evolution of Information Systems in Malaysia , 2004)