Southeast Asia’s budget airline king uses Oracle ERP Cloud applications to unearth new insights about operating costs and predict the profitability of competitive decisions.
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AirAsia, one of the most successful airlines in Southeast Asia, was acquired by high-profile entrepreneur Tony Fernandes in 2001, when it was a struggling government-owned carrier.
Along with AirAsia X, its long-haul arm, AirAsia now flies more than 380 routes to more than 140 destinations. The Southeast Asia-based company leverages a range of digital technologies to compete on price and service.
If you don’t change, you die.Tony Fernandes, CEO, AirAsia
Asia’s expanding, on-the-go middle class has led to a boom in low-price air carriers in the region during the past decade.
Amid that competition, AirAsia is turning to a range of digital platforms to help it keep a lid on costs and boost revenue. AirAsia has started using Oracle ERP Cloud financial management and procurement software to drill down into its operating costs and predict how changing fares and opening new routes will affect its profitability.
Moving from paper-based purchasing and spreadsheet analysis to modern enterprise software will also give AirAsia a better handle on inventory for sales of in-flight food and beverages as well as duty-free goods.
Oracle Cloud ERP
AirAsia’s instance of Oracle ERP Cloud includes airline-specific features such as fuel-cost accounting, route forecasting, airplane catering, and mileage program management.