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Saturday January 7, 2006

MAS-sive move


CUTTING COSTS: The staff relocation from MAS headquarters in the Golden Triangle will be done in two phases. It is seen as a cost-cutting measure. — Starpic by ART CHEN
KUALA LUMPUR: About 600 Malaysia Airlines staff based at its 34-storey headquarters in the Golden Triangle will relocate to offices in Subang and KL International Airport as part of MAS's turnaround plan.  

Taking the lead will be MAS chairman Datuk Dr Munir Majid and managing director Idris Jala; this month, they will move to the airline’s former headquarters in Subang, near Terminal Three of the old international airport. 

Moving with the chairman and managing director are the executive director, company secretary, and the finance and corporate communications officers. 

Phase one of the big shift will be from January to March.  

The second phase will be in June when the sales, distribution and marketing divisions will also move into Administration Block Three. 

Idris had earlier told senators that the airline was considering selling the headquarters building located in Jalan Sultan Ismail as part of plans to raise RM3bil to keep the national carrier afloat. 

However, it is learnt that the board has not made a final decision on the sale and the move out was to enable the airline to cut costs. 

Besides staff consolidation, emptying the 20-odd floors of the building will enable the airline to rent out the premises if the final decision is not to sell.  

In a memorandum on Thursday to MAS staff, Idris said the company was operating in four different locations in the Klang Valley and the big move was to consolidate operations. 

“We have made every effort to consolidate the business units as much as possible: using existing furniture and partitions, minimising renovations, introducing common discussion areas, and sharing meeting rooms, storage and other office facilities,” Idris added. 

“This move may cause inconvenience to some staff temporarily, but I am sure you would agree that this is an important part of our business turnaround plan to streamline operations and reduce cost.” 

He added that the decision to consolidate operations was based on the need to further streamline the operating units’ offices so that personnel were less dispersed. 

It is aimed at achieving greater efficiencies in terms of reduced travelling between offices to attend meetings, and reduce building maintenance and other support costs. 

In this consolidation exercise, all MAS head office staff will be relocated to Subang, except Ticketing Office, Federal Territory Sales, Golden Holidays and Enrich service counters.  

 

Related Stories:
MAS adding 102 flights to meet CNY demand
 

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