MAS replaces legacy systems with SAP solution

  • Technology
  • Tuesday, 13 Jul 2010

SUBANG JAYA: Malaysia Airlines (MAS) has replaced many of its standalone, 30-year-old, mainframe legacy systems with a RM320mil Enterprise Resource Planning (ERP) solution from German enterprise software giant SAP.

The new solution integrates the airline’s finance and procurement systems, as well as its engineering and maintenance infrastructure at the KL International and Subang airports.

It aids MAS in controlling several areas, such as maintenance planning, engineering operations, quality-control and supply-chain management. These are complex tasks that involve 115 aircraft, 319 engines, and six million parts.

Tengku Datuk Azmil Zahruddin, director and chief executive officer for MAS, said the ERP system will centralise data, enabling greater cost efficiencies, improved decision making, and better employee productivity and cash management.

The total cost savings to the airline are estimated to be about RM120mil a year, he said.

“A project of this magnitude only happens in organisations once every 15 to 20 years,” he added. “The work commenced in March and will be progressively completed in stages over the next three years.”

Azmil said organisations must be prepared to embrace change. “This is not merely an IT project,” he said. “It is about transforming our work processes and work culture, (a move) made possible by a new integrated system.”

The solution is being implemented with the assistance of SAP partner, HCL Axon. — STEVEN PATRICK

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