THAI board names new president

[webfact]

THAI board names new president
SUCHAT SRITAMA
THE NATION



BANGKOK: -- CHARAMPORN Jotikasthira, ex-president of the Stock Exchange of Thailand, was yesterday approved by the board of Thai Airways International as its new president, set to upgrade the airline's information-technology systems and rescue it from its financial crisis.

Charamporn was one of four candidates and one of two finalists. He will be serving a four-year term that is expected to start next month.

The airline's management will negotiate salary and benefits with him before proposing his name to the Finance Ministry for approval.

Areepong Bhoocha-oom, permanent secretary of the Energy Ministry and acting chairman of THAI, said Charamporn was the most suitable person to fill the vacancy as he came with impressive academic credentials and had experience with giant organisations such as Siam Commercial Bank and the SET.

Charamporn holds a bachelor's degree in electrical engineering and computer science from the Massachusetts Institute of Technology and a Master of Business Administration from Harvard University.

Before joining the exchange, he held executive positions in SCB's businesses.

The airline began to seek a new president in May but had to extend recruitment twice. Only two applicants joined the race in the first two periods.

"Although Charamporn has no direct experience in aviation, his expertise in IT and systematic management will help drive a huge organisation like THAI - the airline has 20,000 staff - which now needs systematics to drive forward," Areepong said. One of Charamporn's priority tasks is restructuring IT and the reservation system worldwide. If this were completed, the airline would be better able to compete head-to-head with other players.

The airline is facing tough competition as more low-cost carries enter the short-haul market, while major airlines especially from the Middle East are emerging to beat it on long-haul routes.

Charamporn will have to implement the financial-revival plan that THAI submitted to the economic "superboard", an entity set up by the junta to oversee state enterprises. The plan focuses on cutting costs and increasing revenue.

Areepong said whole-year operating results were expected to be in the red despite more last-minute bookings from customers overseas.

"The company will likely not achieve a profit by the last quarter of this year because of slow inbound tourism. A profit could be seen in |the first quarter of next year," he said.

Key markets such as Europe have not recovered.

The airline is operating with an average load factor of 78 per cent, but last-minute bookings should increase during the peak months of November and December.

THAI has appointed an outside team to handle planning and strategic routes for future operations. It now is analysing competition and revenue, he said.

Source: http://www.nationmultimedia.com/business/THAI-board-names-new-president-30247618.html


-- The Nation 2014-11-13

[Thai at Heart]

He will be serving a four-year term that is expected to start next month....

Any chance of parole.

Unless he can dismantle to pooyai gravy train, it isn't going to change.

[RustBucket]

Upgrading the IT structure isn't going to lure more passengers to your airline.

Try reviewing your pricing, that will have more of an effect. At the moment it is about 3 times more expensive than the budget carriers to fly TA.

Take a leaf out of the book of AirAsia or NokAir, you might just learn something about running a successful airline.

Having flown over 100 times in my life, I have only had one airline mess up my reservation and turned up at the airport with no booking, even though my money had been paid for weeks and had the confirmation email. That was the only time i ever flew Thai, and the last time.

[BSJ]

He will need the full support of the board to implement drastic changes to stop the financial bleeding. And focusing on IT won't cut it when there is a range of issues.

[siampolee]

Yet another ''bean counter'' with no experience at all of how the airline industry functions much like the rest of the Thai management dream team.

Will the Thai's ever learn or actually come to understand the fact that''square pegs do not fit round holes or that round pegs do not fit square holes?

square peg into a round hole (plural square pegs into round holes

1. Something or someone that does not fit well or at all; something that will not succeed as attempted, except possibly with much force and effort.

1. http://outside-in.typepad.com/.a/6a00d83489f76d69e20163063f7f1a970d-pi

[ChrisY1]

He at least in is the same boat (plane) as his predecessors.....no airline experience.....!

[Robert24]

competition will be happy!

[kamahele]

Upgrading the IT structure isn't going to lure more passengers to your airline.

Try reviewing your pricing, that will have more of an effect. At the moment it is about 3 times more expensive than the budget carriers to fly TA.

Take a leaf out of the book of AirAsia or NokAir, you might just learn something about running a successful airline.

Having flown over 100 times in my life, I have only had one airline mess up my reservation and turned up at the airport with no booking, even though my money had been paid for weeks and had the confirmation email. That was the only time i ever flew Thai, and the last time.

You would be surprised at what upgrades to an airline's IT systems can do. I worked for an airlines (not in the IT field) for two decades and successful airlines rely heavily on IT. Not just for finance but for load projections, booking projections, pricing projections and of course safety. A good IT system can raise your profits and raise your passenger load factor for sure. And this guy has been educated overseas at two top tier institutions. It's a start.....

[Chris Lawrence]

An airline that big you would think they would get some one experienced in airlines. Number crunches are just number crunches; poor vision as to what really makes money.

[BillyBobThai]

With an EE from MIT and a MBA from Harvard he seems to have some decent credentials.

[GrantSmith]

Upgrading the IT structure isn't going to lure more passengers to your airline.

Try reviewing your pricing, that will have more of an effect. At the moment it is about 3 times more expensive than the budget carriers to fly TA.

Take a leaf out of the book of AirAsia or NokAir, you might just learn something about running a successful airline.

Having flown over 100 times in my life, I have only had one airline mess up my reservation and turned up at the airport with no booking, even though my money had been paid for weeks and had the confirmation email. That was the only time i ever flew Thai, and the last time.

Take a leaf out of the Air Asia or Nok Air playbook? Really? Why not throw in Ryan Air while you're at it...

You do know the difference between a "full service" and a "budget" airline, right?

Perhaps they've taken a look at Qantas, that once great national icon of Australia, whom installed a CEO who had a background in budget airlines...

Edited November 13, 2014 by GrantSmith