1.1 the business organization on 20 November

1.1 Introduction to AirAsia

AirAsia is
a well-known airline in Asia and also the second International Airlines in
Malaysia. It founded by Tony Fernandes and started the business organization on
20 November 1996. It always promotes flight ticket to the customer with the
lowest price. AirAsia provides many services to the customer, such as flight
bookings, travel insurance, low fare finder, airport bus ticketing and so on.

1993, AirAsia was established by a Malaysian conglomerate and it was commenced
operation in1999. In December 2001, the airline was heavily in debt, AirAsia
was purchased by Tony Fernandes of Tune Air Sdn Bhd. Tune Group is the parent
company of AirAsia. The airline was flying high in 2002 and it launches new
route in that year. It is the largest airline in Malaysia. It offers domestic
and international flight more than 165 destinations and 25 countries. It
operates more than four hundred flights daily from hubs placed in Malaysia,
Indonesia and Thailand.

2003, AirAsia has been voted because of the most famous website for online
purchasing. After that, AirAsia began to get achievements year after year.
AirAsia is ready to take low- fee flying to an all new height with their
organization slogan “Now Everyone Can Fly”. AirAsia offers the lowest
price flight ticket to give all of their customers can fly anywhere in the

One of the
products that provided by AirAsia is an AirAsia Credit Card, a customer can
register an AirAsia Credit Card to obtain a promotion. AirAsia Megastore also a
production supplied by AirAsia, a client can shop online at the website. Except
that, there is a very convenient service. The customer can use the cellular
smartphone to check-in, online check-in by way of way about the internet site
of AirAsia yet print out the boarding pass directly. Apart from this, a
customer may search and book the flight by online. While making a flight, the
customer can choose and book on their own seat, a hot meal and check-in luggage
via online. AirAsia also supplied insurance and safety travel plan for a
customer when those make a booking. Besides, a customer may make their payment
through debit card, credit card, ATM payment and also online banking. There is
also a service offered with the aid of AirAsia in the airport. Pregnant guest,
unaccompanied guest between 12-16 years old and disabled guest with provided
them with a wheelchair and unique aisle get entry to.

has 4 Mission. The initial mission is AirAsia wants to be the first-rate
organization to work for whereby the worker is handled as part of a big family.
Besides, those second mission about AirAsia is to create a globally recognized
ASEAN brand. After that, another mission of this company is to attain the
lowest cost so that everyone can fly with AirAsia. The most recent mission is
to keep up the most astounding personal satisfaction product, embracing
technology to reduce expense and improve administration levels.

AirAsia’ s
vision is to be the biggest low-price airline in Asia and serving the three
billion those who are currently underserved with terrible human being’s
connectivity and high fare. The vision has reflected the slogan of AirAsia
“Everyone Can Fly”.


Head of
Audit & Consulting


Head, Flight Operation




Head of


Head of
Flight Safety


Head of
Investor Relation






Senior Executive




and Safety










Head of IT








Head of


Head of
Internal Audit




Head of








Expert & Human Factors


Mechanical system




Task 1.3 AirAsia Organization Chart



















Task 2.1 Information
System in Each Department

Department                                                                            :
Finance department

Information System                                                  :
Axapta 2012

How to reduce the operational
costs?          :

very first way to reduce the operational costs is that it is advisable to Pay
Invoices Early or On Time. Many of the vendors outside will offer some
discounts if the payment of the invoices is handed in earlier. Unexpectedly, a
saving of only two or three percent can be very efficient. However, avoid late
payment as paying it on time of the invoice to avoid any unnecessary charges
like late fees or any other penalties.

            By introducing a cost control and
reduction program also will help a lot in reducing the operational cost as this
allows us to choose the cost reduction carefully or else it will risk ruining
the company’s development. Deducting cost from a marketing strategy viewpoint
is considered as this allows the company to create value by only focusing on
producing only the need of the clients.

Furthermore, the company could also Pay Lesser on
Office Essential. For example, the use of technology on office essential can
reduce the expenses. In this 21st century, telecommunications
application software such as Skype or even Google Voice has been widely used
for communications which is very efficient and user friendly and with this
software, we are able to avoid paying those hefty bills on mobile and landline
usage. In the same time, by using modern technologies software like Google
Drive or Basecamp to act as a central documents and file storage rather than
using paper documents. With this, it is a good move on getting rid of the cost
associated with printers and paper-works.

A company also do can employ a freelance web
developer to develop the business websites instead of appointing a full-time
web developer or using the service of highly professional web development
agency which would be more expensive and highly cost compared to a freelance
web developer.

            Moreover, Requesting Employees to
further Analyze Expenses can help reducing the operational cost. Assigning a
particular team of employees to make an investigation and analyze an expense
bracket to find out areas of expense reduction. Employees can usually find
items which is much more affordable with a much lower price that will meet the
necessity of an organization. Periodically, items are recognized that can be
banish wholly without affecting the organization.

A simple step of Reviewing the Purchase Procedure
also can help in reducing cost. The purchasing procedure should be look after
for possible location for reducing the cost. A check of authorization should be
taken place to make certain adherence to authorization limits. The review
should also point out the ways of controlling the spending limits and the
number of people having the permission to make purchases.

Department                                                                            :
Human Resource Department

Information System                                                  :
PeopleSoft System

How to reduce the operational cost?          

The most beneficial way to reduce the operational
cost of Information System namely PeopleSoft of Human Resource is to Take
overdue personnel actions. All directorial departments, including the efficient
ones, do encounter unsolved problem issues. After exhausting the common ploy of
receiving cost savings by leaving the positions of the vacant empty,
restructured the works of those less or the fully busy people and face the
problem of underperformers.   

After finding out those underperformers, a personnel
action is compulsory to take to target and terminating those employees that
don’t perform well in their part of the play in the work. Creating a process
that ensures that the people in the organizations are those people who are best
qualified for the given jobs and removed those who are not performing well in
their part of the organizations. This will benefit the organizations a lot more
as they will be having those who are hardworking to fulfil the task given and
push up the sales of the company.

By the same token, Hire and Retain the employees who
are fit and that who have the potential to fulfil the given works. High mass of
exodus rates can conclude in considerable costs in loss of productivity and
training of the employees. To avoid high turnover and in the same time
decreasing the cost significantly, direct the current assessment of the
employee’s satisfactions and provide them non-monetary benefits to at least
make them comfortable in being a part of working in the organizations.

Improving Training and Mentoring can also help to
reduce operational costs and yet providing an appropriate training and
mentoring is one of the important solutions to reduce the operational cost. One
very frequent argument is appointing a supervisor with poor or empty training
in charge of the following employees, which will increase the burden of
internal issues. A very well trained supervisor is a must so that they are able
to train employees in customer service as client satisfaction will affect the
performance and revenues of the company. Besides that, supervisors should fully
train all the employees so that there will be no problem in replacing the other
employees effectively when they are on their vacation or on a sick leave.

Not to mention by having an Automate Process is also
one of the cost-saving strategies. Providing an employee portal can help
streamline the process related to the employee’s requests. Moreover,
computerizing documents such as employee’s handbooks can reduce the costs and
allows the distribution easier.




Name: Tan Jie-Sheng


Human Resources Department

System: PeopleSoft System


PeopleSoft System is used is because that it provides efficiency towards the
company as it enables them to enter the allowance or even deduct the allowance
of the employees. With this system, it is much more convenient to calculate the
monthly salary more reliable and accurately for the employees to avoid
misleading salaries of over thousands of employees. With the help of this
system, it is also able to generate out the payroll report such as the
salaries, wages, bonuses, and withheld taxes. A payroll report plays a very
important part as it may affect the net income of the company business and
because they are discussed to laws and regulations.


Finance Department

System: Axapta 2012


Axapta system is part of the business management solution that able to
streamlines financials and customer’s relationship. This system helps the
AirAsia company to manage the people to work fast and smart in their business
as they tend to focus on the business rather than learning on new applications
that could be a great loss for the company of not enhancing a new outcome. This
saves time and the effort of workflows that strengthen the monitoring based on
the risk that could be or could not be taken and in any different situations.
It also enables the company business to build a strong relationship between
with the employees and customers.




Name: Liew Zhi Qing


Human Resources Department

System: PeopleSoft System


system can let the employee leave management record more easily. The system
will help the employee based on their performance appraisals to calculate their
paid leave, sick leave, and holidays that the employee entitled to. The employee
can apply for their leave through PeopleSoft system and their leave request are
automatically routed to their manager for approval. Managers can approve or
reject just a click. Thus, it saved time and resources. The employee’s data in
the system also can be extracted and used to speed up the running of payroll or
wages in the company.



Finance Department

System: Axapta 2012


system is for the staff in the finance department to insert the account code
that can match to debit and credit of the item to generate the accurate report.
Finance department normally needs to check the money debit and credit whether
equal to the salary that Human Resources department release to the employee and
also prepare fund for Human Resources department to release the salary.
Besides, finance department also will do the audit to accounting the financial
transactions records of the company.




Student Name: Chin Wei Yi


Human Resources Department

System: PeopleSoft System


This system function can generate pay slip and other
equivalent reports. In a company, due to thousands of employee, the company
need to generate many reports if using people to generate the pay slip. The pay
slip will not able to distribute to the employee on time if the company didn’t
have a system help to manage. The report will have the same problem with the
pay slip, the report is impossible to write hand by hand, that’s why the
department use the system function to generate the report also. Use the system
can make the department work easily and save their time.



Finance Department

System: Axapta 2012


finance department is responsible for management of the organization’s cash flows
and ensuring that sufficient fund is available to meet the daily payments.
Generate general ledger related to monthly payroll and tally the account is one
of the functions of this system. This function will help the department to
calculate the monthly payroll and bookkeeping. It saves the employees time and
helps company to save money. If use employee to calculate the payroll or tally
the account, will make the company more confusing. Purpose of generating
general ledger is to balance the account of the organization. It helps the
department to manage records and maintain the financial records.



Name: Tan Li Wen


Human Resources Department

System: PeopleSoft System


This system can let HR department easily record data
for entry staff and resignee. There will have many new employees come to Air
Asia company or some employee leave the company at any time. The PeopleSoft
system can store the new employee’s data clearly and faster according to
his/her name, age, work experience or other. With the system, the resignee’s
data will be deleted from staff information record and send to the resignation
record within a minute. PeopleSoft System can let the work be done rapid and



Finance Department

System: Axapta 2012


This system can assist the financial and management
reporting. AirAsia company will have many different transactions within a year,
some of them earn profit but some of them will be the loss. With Axapta 2012,
the Financial department can easily figure up the gain or loss in a year and
display it in a form that easy to look by the employees or manager. With the
data, the Financial department can complete the financial and management report
more accurately.



System: PeopleSoft System

of output/report: Total amount of salary

Employee’s salary information

whom: All the employee,
Resource department,
Accounting department

This system is to help
the AirAsia Human Resource department to calculate all the employee’s salary.
The system will auto count the employee benefits such as EPF and SOCSO. Yet,
the system will auto-generate the e-Pay slip for all the employee easy to check
whether their salary accurate or not. Besides, an e-Pay slip is immediately
available on any gadgets and also internet connection. The remote workers also
can get entry to their information at the same time with the office workers.



System: PeopleSoft System

of output/report:  Absence
Management Survey Report

Employee’s absence

whom: All the
employee, Human Resource department, Accounting department

: This system is to help the AirAsia Human Resource department to calculate the
total day’s absence for each employee. This system will sum up the total and
record the accurate date of employee absence for their work every month or
every year. The accurate information will be sent to the Human Resource
department and Accounting department. With the information, Accounting
department can easily count the salary that supposes to be given fairly to
every employee. Human Resource department can analyze that which employee has
paid more effort in their work and who are not. The employee also can clearly
know about themselves attendance in their company. With this system, maybe more
bonus will be given by the employer to the employee who has less absence


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