Malaysia Airlines' never ending search for a CEO
The sad thing this time around is that we Malaysians have to read about its CEO Peter Bellew’s planned departure from the Irish Times and the London Stock Exchange.
He could have simply told everyone from the onset instead of denying two weeks ago that he was going to Ryanair.
Instead, he said: “I am not going anywhere’’ and that he was “happy to be the CEO of MAS.’’
For Bellew, it is all about doing national service. He has to serve Ryanair, which is Ireland and Europe’s biggest low-cost carrier.
He has to help his friend Micheal O’Leary, the boss of Ryanair, who is fighting the pilots to stop flight cancellations.
Bellew is hired as COO and, among others, his role is to “calm down” the pilots there. Still, his move took many by surprise and even the MAS board did not know.
But you cannot fully fault Bellew, anyone in his shoes would have done it – a job closer to home, with possibly better perks, so why not?
It cannot be denied that during his time in MAS, there has been progress made but there is still a lot left to be done.
One obvious good is that MAS is now back on the global map and Chinese tourists who used to shun Malaysia are coming back.
So now, who will take over from where Bellew left?
After the twin air disasters in 2014, MAS’ main shareholder Khazanah Nasional Bhd went on a world tour to scout for a capable CEO to pilot the remaking of the airline, which was on the brink of collapse.
It found Christoph Mueller, who himself, left MAS prematurely and that was how Bellew got to the top post.
The sad part about the entire restructuring of MAS was the many jobs cut and the failure to retain some talents.
It is an open secret in MAS that the national carrier had to rehire some of those talents.
But for two foreign CEOs to leave prematurely – may be more than meets the eye?
For Khazanah, it is natural to get the heat with reports saying it has been meddling and overriding decisions.
Whatever the case may be, Bellew had much leeway in running MAS, as did Mueller.
The question is, what’s next?
The board, which is still recovering from the news, will meet and decide who should take over from Dec 1.
Internally the list is long, including names like AeroDarat Services CEO Nadziruddin Mohd Basri, MAS chief financial officer Omar Siddiq Amin Noer Rashid and MAS chief operations officer Captain Izham Ismail.
Externally, there is no shortage of talent because it is all about who can bring in the money for MAS.
The boss of MRT Corp Datuk Shahril Mokhtar has been tipped again and even Datuk Wira Azhar Abdul Hamid, the former MRT Corp CEO is a potential candidate even though he was recently been appointed as chairman of Felda Global Ventures Holdings Bhd
Whoever it may be, it is no longer about cuts but more about selling seats and bringing in the profit; who can do that as MAS should not be getting any cash infusion.
It is also critical to relook at the group structure and strategy, with all the plans for “Project Hope,’’ leasing, etc.
The airline cannot remain a regional carrier with so many ultra long gets on order. A review is necessary.
Bellew’s departure will not disrupt anything, it is just an inconvenience which MAS rivals may take advantage of, and with Norwegian Air flying to Singapore at prices that are so attractive, MAS must act to guard its turf.
It should study the model of Qantas – see what CEO Alan Joyce did right as his work in turning around Qantas is admirable.
Wish he is available to take MAS forward. Finally, keep the name MAS, not MAB, the latter is not user friendly.
Just get it right this time around.-The Star
