Singapore_Air From United Kingdom, joined Nov 2000, 13738 posts, RR: 19 Posted (13 years 2 months 3 days 8 hours ago) and read 1581 times:
This is ver very interesting and good news.
THAI AIRWAYS: Singapore rival takes trade; Passenger numbers halved in new group
Bangkok Post - Thailand; Jun 1, 2001
Thai Airways International has lost half of its passengers since Singapore Airlines joined the Star Alliance, said the airline's president.
Bhisit Kuslasayanon, told the executive board that Bangkok was the only transit point between Europe and Australia up until Singapore Airlines joined the alliance. Since the latter's inception competition has dramatically increased, he said.
Mr Bhisit said the national carrier would not withdraw from the alliance, but must find ways to reap more benefits from being a member of the world's largest airline grouping.
Board member M.L. Supasit Chumpol said the airline was also reeling from the delay in construction of Nong Ngu Hao airport, its risky debt-equity ratio of 11:1 and a lack of management flexibility.
He expressed concern that the airline employed 24,000 staff for 80 aircraft, while Singapore Airlines needed only 13,000 staff to operate 92 planes.
Singapore Airlines' share value increased from US$5 billion to $10 billion in the past two years, while that of Thai Airways dropped from $1.2 billion to $900 million.
M.L. Supasit said the company would have to sell shares to the private sector to raise funds. He suggested stakes offered to a strategic partner should rise from 10% to 20% of all shares.
As part of its service upgrade, the airline would replace seats and equipment for passenger convenience on six Boeing 777-300s, eight Boeing 777-200s, nine Boeing 747-400s and six Airbus A330-300s. The Boeing 777-300s have priority. The work costs 2 billion baht.
Anawat From United States of America, joined May 2001, 88 posts, RR: 0
Reply 5, posted (13 years 2 months 3 days 5 hours ago) and read 1517 times:
You can really feel the inefficiently of the operation when you get to bangkok. They have so many people walking around, but not doing much.
On the otherhand, TG operate sizable domestic service to the entire country where they have to rely on their staffs at all those little domestic airports around the country. Most of the routes, unfortunately, are not profitable and there for political reasons. I believe that TG only make money on their Chiang Mai and Phuket route and lost money on the rest.
SQ on the other hand only have International flights where they usually subcontract a lot of ground operation to local operators. For example, when you check in for SQ flight in bangkok, most likely you'll be dealing with TG staff at the counter. SQ do have few of their staff on the ground, but not enough to do all the work. They use CX ground staff in HKG for a lot of ground work also.
Having said that, I still don't think that's enough excuse to have that many employee for an operation that size.
Inefficency and bloated organization have always been a major problem for Thai state own beauracies for as far as I remember.
Singaporean, on the other hand, is quite obess with efficiency. You can feel it in the air everywhere you go around on Singapore Island.