New THAI chief vows turnaround of fortunes

[webfact]

THAI
New THAI chief vows turnaround of fortunes
SUCHAT SRITAMA
THE NATION


Montree Jumrieng, right, executive vice president for corporate strategy and sustainable development, passes the baton to new president Charamporn Jotikasthira yesterday.

BANGKOK: -- Charamporn Jotikasthira, who took over as president of Thai Airways International yesterday, pledged to restructure the national airline amid the tough global environment and disease outbreaks and restore its rightful membership in the league of leading carriers of the world.

Charamporn, the 17th president of THAI, said he would execute the plan focusing on revamping the business model, work system and strategy to drive the flag carrier forward.

The plan for both the short, or one-year, and up to five-year terms is being proposed to the board of directors. If the board agrees with it this month as scheduled, it will be passed on to the Superboard for approval next month.

"THAI needs a big adjustment like some commercial banks did during 1997-98. The change will help the company to gain strength to beat the aviation industry," he said.

The airline industry would continue facing tough competition as the economies in Japan, Europe and the United States have not recovered yet as expected.

The spreading of diseases is also always a direct blow to the travel industry.

However, there is more room to grow especially in the region as half of air travel would be within Asia. But since many airlines particularly from the region have ordered 5,000-6,000 planes, it could mean a turbulence is waiting ahead.

Some action plans should start at the beginning of next year so that the airline can turn to growth after losses for four straight years.

"My aim is to bring the airline back to one of the leading airlines in the world like it used to be," he said.

Charamporn is set to serve for three years at the airline as he will reach the retirement age of 60. The president is normally given a four-year term.

He met with the airline's executives and asked for cooperation from its 25,000 staff to help get the new plan air bound.

Source: http://www.nationmultimedia.com/business/New-THAI-chief-vows-turnaround-of-fortunes-30249177.html


-- The Nation 2014-12-05

[PaullyW]

"The airline industry would continue facing tough competition as the economies in Japan, Europe and the United States have not recovered yet as expected."

Um, what? Do they ever say these things to themselves first to see if it makes any sense to them.

[terryp]

its been a long time coming..

[englishoak]

How to make a small fortune in Thailand, start with a big one...................

[Thai at Heart]

Start pushing that rock up that hill.

Two options,

Make the rock smaller or the hill lower.

Change something drastically or don't bother.

[baboon]

"The airline industry would continue facing tough competition as the economies in Japan, Europe and the United States have not recovered yet as expected."

Um, what? Do they ever say these things to themselves first to see if it makes any sense to them.

Price sensitive Brits, for example, would rather pay Mrats or Qatar airlines £500 for their ticket to Thailand as opposed to £1100 for Thai. I think he is referring to this.

[ezzra]

First day on the job, sack half of your over inflated and blotted work force, as well as your marketing

and promotion department, stop buying new airplanes you can't afford,

go and learn how to run an efficient airline from the many profitable LLC airlines around,

steal their personal if you have to, climb down from your high horse and adjust your airfares

to compete wit the rest of the market... and this is only for starters...

[daveAustin]

"The airline industry would continue facing tough competition as the economies in Japan, Europe and the United States have not recovered yet as expected."

Um, what? Do they ever say these things to themselves first to see if it makes any sense to them.

Price sensitive Brits, for example, would rather pay Mrats or Qatar airlines £500 for their ticket to Thailand as opposed to £1100 for Thai. I think he is referring to this.

Indeed, but I was checking flights home recently and although always more expensive returning this way due, in part, to Asian travellers' wealth and frequency, THAI were coming up 40%-odd more than BA! I look at times, destination airport and whether direct as well as price (the latter not critical), but that is just taking the Michael. I still try and fly their internals, however, as they generally offer more times and better quality over the budgets, plus they do Swampy.

[baboon]

DaveAustin - It has been that way for a good while now. My last BA return cost £725 from Newcastle. For the same dates and there abouts, Thai wanted £1300 from LHR. I absolutely dread to even imagine how much Thai will be charging BKK-LHR-BKK over the festive season...

[Ricardo]

It's like deja-vue, all over again, with yet another THAI president !

Wicked competitors, who can offer better service, at much-lower prices ?

Failing foreign economies (actually, the USA & UK are growing quite well these days) are to blame !

Meanwhile, carry on ripping-off Thai-originating travellers with high fares, and I (and many others) will continue to fly with your competitors !

[SOTIRIOS]

.....no way to go but up....

...but fortunes......a severe deficit is a fortune???

[Lupatria]

"The airline industry would continue facing tough competition as the economies in Japan, Europe and the United States have not recovered yet as expected."

Um, what? Do they ever say these things to themselves first to see if it makes any sense to them.

Price sensitive Brits, for example, would rather pay Mrats or Qatar airlines £500 for their ticket to Thailand as opposed to £1100 for Thai. I think he is referring to this.

...given that he is aware of that.

[Lupatria]

In other words- the mess is not our fault it's only the weak economy of other countries and Ebola to blame. The first measure needed is a revolving door at the CEO's office.

[pomchop]

Or of course they could just get out of the airline biz, sell off the assets and shut it down...no doubt any void would be quickly filled by eager competitors with proven abilities to make money....there is no law that every country needs to have a "national carrier" often heavily subsidized and poorly run.

[Ulic]

Lots of positive predictions in Thailand. "The proof of the pudding is in the tasting" Falling fuel prices will help

but lets see where they are in 12 months.

[maidee]

another one wishingfull thinking

or he just came from his fortune teller

high price, low quality, toooooooooooo many high paid executives

[ChrisY1]

Just checked Thai prices...BKK-LHR-BKK......Thai = $1700AUD....Qatar = $1100AUD...........

Probably similar disparity to many destinations......

[noitom]

This Thai executive leader doesn't have to pass through the metal scanners at the airport. If held up by a security guard , he can slap the security guard in the face and walk - nothing will be done.

[Eric Loh]

Got lucky on his first day at work with fuel price down and likely to stay soft next 3 months. No excuse not to turn TA around.

[xerostar]

Thai Airways new Boeing jets may be great aircraft.

Thai had the chance to remain my only chosen way to fly. I like the generous baggage allowance and the nice food and service.

OK some of you may argue about the quality of the food but it's better than no food.

Unfortunately they messed up the new interior with much smaller, harder seats with forward sloping arm rests. (I'm talking economy class Perth - BKK)

The seat squabs are shorter so they don't support your legs properly.

More chance of DVT developing I think, except that you need to constantly change position in attempting to get comfortable!

The sloping armrests provide no stable support. When you try to support your upper body, leaning to one side or another, the elbows slip forwards.

When the passenger in front of you puts their seat back, the entertainment screen faces downwards and you can't adjust it for normal viewing.

I never had a problem in the old Airbus. I can only afford cattle class but this is ridiculous!

I thought the Airbus seats were small enough but these new ones are horrible.

The landings were much harder than on the Airbus too.

Maybe it's my imagination but the new carbon fiber bodywork seems to make the whole aircraft much stiffer and you feel every slight turbulence that buffets

you about in your seat. The Airbus was softer and more flexible which seemed to absorb a lot of the minor turbulence.

I may as well fly with Tiger or some other "cheap" airline for a lower price than Thai is charging for the same route.

Either way the journey has become a horrible ordeal instead of a reasonably comfortable trip.

Let's hope Thai Air study these complaints in detail and make passenger comfort a priority once more.

[fritzzz25]

For a moment after seeing the headline, I thought Somyot was coming clean about his wealth and going to out the rest of the cronies. Too bad it is about this floundering airline....

[Lupatria]

Thai Airways new Boeing jets may be great aircraft.

Thai had the chance to remain my only chosen way to fly. I like the generous baggage allowance and the nice food and service.

OK some of you may argue about the quality of the food but it's better than no food.

Unfortunately they messed up the new interior with much smaller, harder seats with forward sloping arm rests. (I'm talking economy class Perth - BKK)

The seat squabs are shorter so they don't support your legs properly.

More chance of DVT developing I think, except that you need to constantly change position in attempting to get comfortable!

The sloping armrests provide no stable support. When you try to support your upper body, leaning to one side or another, the elbows slip forwards.

When the passenger in front of you puts their seat back, the entertainment screen faces downwards and you can't adjust it for normal viewing.

I never had a problem in the old Airbus. I can only afford cattle class but this is ridiculous!

I thought the Airbus seats were small enough but these new ones are horrible.

The landings were much harder than on the Airbus too.

Maybe it's my imagination but the new carbon fiber bodywork seems to make the whole aircraft much stiffer and you feel every slight turbulence that buffets

you about in your seat. The Airbus was softer and more flexible which seemed to absorb a lot of the minor turbulence.

I may as well fly with Tiger or some other "cheap" airline for a lower price than Thai is charging for the same route.

Either way the journey has become a horrible ordeal instead of a reasonably comfortable trip.

Let's hope Thai Air study these complaints in detail and make passenger comfort a priority once more.

…argue about the quality of the food but it's better than no food.

And you think this is reason enough to pay £ 600 more for a flight compared to other airlines?

[ttthailand]

Simple (but not really) the prices are too high . Every time I looked at Thai in the last 6 year or more the prices have been 20, 30, sometimes 40% or higher than other airlines. I think years ago someone looked at the numbers and decided to increase prices to makeup for the short fall. Thainess .... When will they ever learn.

This is one business where they can not block the competition and must compete fairly, which is something they have little experience at.

[Ricardo]

In other words- the mess is not our fault it's only the weak economy of other countries and Ebola to blame. The first measure needed is a revolving door at the CEO's office.

"The first measure needed is a revolving door at the CEO's office"

perhaps accompanied by a chalk-board, so that the name of todays' CEO can be chalked-up, and then more-easily changed tomorrow ?

[rickirs]

"The airline industry would continue facing tough competition as the economies in Japan, Europe and the United States have not recovered yet as expected."

Sorry but the airline Industry in the USA is doing fine. Japan seems to be coming out of its airline crisis. Maybe THAI's problem is more to do with its own operations than the world market.

[notmyself]

I agree with the member who suggested shutting it down. The Thai airways 'brand' is basically junk and has been for so many years that the investment and time required to bring it even close to the level of the big boys would be staggering. They could, I suppose, turn it into a budget long haul carrier though I don't see there is a market after Qantas tried and failed at doing so.

[MobileContent]

As I posted last month already THAI Airways have hundreds of executives and directors which only pushes papers from desk to desk.I have dealed with that airline in the past and to close one deal you had to talk to 20 different Vice Presidents.

Shutting it down would be a pity but the cronies will keep it open to suck put the funds.

BTW: Many Management positions are held by members of the Thai Air-Force.

[ratcatcher]

"Good luck with that guys."

[ratcatcher]

As I posted last month already THAI Airways have hundreds of executives and directors which only pushes papers from desk to desk.I have dealed with that airline in the past and to close one deal you had to talk to 20 different Vice Presidents.

Shutting it down would be a pity but the cronies will keep it open to suck put the funds.

BTW: Many Management positions are held by members of the Thai Air-Force.

http://thai.listedcompany.com/directors.html

http://thai.listedcompany.com/management.html

http://thai.listedcompany.com/shareholdings.html

[Thai at Heart]

As I posted last month already THAI Airways have hundreds of executives and directors which only pushes papers from desk to desk.I have dealed with that airline in the past and to close one deal you had to talk to 20 different Vice Presidents.

Shutting it down would be a pity but the cronies will keep it open to suck put the funds.

BTW: Many Management positions are held by members of the Thai Air-Force.

When I lived in Greece I befriended the mamanger of Thai airways Greece, Turkey and Cyprus who had one flight a week from Vienna via Athens to take care of. No flights to Turkey or Cyprus but a nice business card nonetheless.

He was a senior bloke in the air force as had his dad been .

For this he was afforded a 4000 euro per month apartment in Athens with chauffered BMW and children boarding at Charterhouse in the UK. Full expenses. Lovely lifestyle

If this is any indication of current waste, they will go bust very very fast.