Management Of Air Asia Essay

1712 words - 7 pages

Management is the key for a company success. AirAsia used to be a Malaysian government-owned airline and it sold to Tony Fernandes’s company Tune Air SdnBhd for the nominal sum of 1 ringgit. Unfortunately, at that time, the aviation industry was in shock over 9/11 crisis. This airline operate airline in United Kingdom. All people expected that the new airline will fall quickly. However, AirAisa choose to provide discount airline services by cutting services and fares. It starts to earn profit in 2002. In 2010, the company has purchase a series of new air buses. Although, the company process a lots of problem such as rising fuel prices, swine flu, global financial crisis and the intense ...view middle of the document...

(Schermerhornetet al2014). AirAsia has developed five core values which are safely, passion, integrity, caring and fun. These are the rule of motion of the company. By giving out the core values, workers can follow the company culture and what the company want to achieve easily. Also, AirAsia vision is to be the largest low cost airline in Asia and serving the 3 billion people who are currently underserved with poor connectivity and high fares (AirAsia corporate profile 2014). By setting up vision, employees can identify the aim of the company and share the objective with the company in order to form an efficient and collaboratively company. Moreover, management of AirAsia maintain a clear focus on efficiency by low-cost procedures. It defines thestandard working procedure to establish a clear procedure for employees to work with and follow. Therefore, AirAsia has only one type of aircraft at the initial stage, the reason is to minimise crew training cost due to our low-cost procedures. Scientific management suggest that manager should select capable work in suitable job. AirAsia applies this theory; its employees require filling in for other workers regularly, which is to ensure employees have the opportunity to find out the most suitable, capable and efficient job they want to adapt in.AirAsia adopts scientific management mark an essential factor towards its success.
The second branch of classical approaches to management is administrative principles. It is based on refer to document and understand the experience of successful managers. There are two prominent writers in this thought who are Henri Fayol and Mary Parker Follett. In 1916, Henri Fayol published Administration IndustrielleetGenerale. The thought of administrative principles was introduced and it identifies five principles and duties of management; Foresight, Organisation, Command, Coordination and Control. They are closely related to the four basic function of management which is planning, organising, leading and controlling. Foresight is to manipulate a plan for the future events; Organisation is to provide and utilise the recourses to implement the plan; Command is to lead, select and evaluate workers to get the most capable and efficient work towards the plan; Coordination is to combine diverse efforts together and ensure information is shared and problem solved. Control is to make sure things happen according to pre-set plan and to take necessary corrective action (Schemerhorn2009). Mary Parker Follett was another significant contributor to administrative principles thought.”Group were mechanisms through which diverse individuals could combine their talents for a greater good” (Schermerhornet al.2014). Mary Parker Follett believed that manager’s job is to help people in organisation cooperate among workers; she suggested that manager and workers should cooperate in harmony, without one party dominating other, they both have the freedom to talk over and truly reconcile...

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