Managing Technology and Innovation

Technology

1.0 Introduction

The presentation focuses on technological infrastructure development, which is considered to be necessary for business growth. It has been witnessed that opting for developing IT infrastructure, it is necessary that enough capital investments should be made. It is argued that if more capital expenditures are made in IT infrastructure development, achieving long-term success will be easier. It will become difficult for the management to develop efficient strategic plans without focusing on technological innovation, and thus, an evaluation of Air Asia will be made in this presentation.

2.0 Background

Air Asia is a leading organization in Asia, primarily in the aviation sector, and it is necessary that the focus should be on maintaining cost leadership. Technology and innovation are positively correlated and thus, the management of Air Asia has their complete focus on automating procedures. The slides also mention that innovation management will require modern technology.

Technology and innovation are the necessary components for business growth; thus, using MTI will open avenues for business. The new product and service designs that can help in attracting customers will be possible through using modern technology. Businesses are going to achieve increased customer satisfaction rates by using modern technology.

3.0  Corporate Priorities towards MTI

The corporate priorities which the business will have towards MTI are as follows:

  • Air Asia must have enough spending toward MTI
  • The business will have to adapt technological innovation practices
  • CSR is given priority while focusing on MTI
  • Technological implementation must focus on safety and security standards in terms of data privacy
  • Innovation must focus on market needs and expectations which for Air Asia is on-board and off-board services ease.
  • The technological environment in the business should be given consideration
  • When MTI is implemented then, Air Asia’s management will provide training to employees.

4.0  Strategic Analysis

4.1  Trends and Directions

The PESTLE model will help in assessing the external environmental factors for Air Asia such as:

Political – The political stability in areas of operations such as Malaysia or Indonesia will help in accomplishing MTI targets

Economical – The economic conditions of the economy are necessary as they will help in making capital investments within a business

social – Societal values are necessary, and for Air Asia, the consumers will demand a cost-leadership approach.

Technological – Technological innovation and infrastructure will help businesses like Air Asia to succeed in changing business environments.

Environmental – The environmental policy for Air Asia is strict as businesses focus on fulfilling their environmental standards.

 legal –  The laws and regulations for implementing new technology needs to be followed by Air Asia as non-compliance will make it difficult to continue operations

4.2  Culture and Values
  • People’s culture is given due importance in Air Asia. The management of Air Asia believes that by focusing on the betterment of people is the point of competitiveness.
  • Shared values of Air Asia focus on collaborative decision-making, and the employees and management will communicate and take the best possible decision.
    4.3  Competencies and Resources

For Asia Asia, the core competencies are:

  1. A diversified employee base and to achieve this Air Asia is focusing on the international recruitment policy.
  2. The global presence initiative by Air Asia will also be achieved through using modern technology and adapting innovative technology, contributing to this goal’s accomplishment.

5.0  Strategic Planning

5.1  Vision

“To become the largest low-cost airline and serve 3 Billion people.”

5.2  Mission

“To treat employees with high priority and keep customer satisfaction rate high.”

5.3  Goals
  1. Attain global recognition
  2. Become leading airline in Air Asia
  1. Focus on modern technology implementation
5.4  Objectives
  1. To increase market share by 5% per Annum
  2. To increase business returns 15% per Annum
  3. To develop a brand name in the Aviation sector

6.0  Strategic Implementation

6.1 Business Infrastructure

For Asia the business infrastructure is based on the following items:

  1. Automated systems are facilitating Air Asia in performing their tasks on an immediate basis
  2. Integrated business processes by using an intranet system so that the flow of information will be managed properly.
  3. Centralized business systems and the different divisions of Air Asia re interacting with each other.
6.2 Business Policy and Processes
  1. Business policies will focus on innovation as they believe that it is going to make an impact on the MTI policy.
  2. Rules applicable in Air Asia focus on using modern and innovative technology for running business activities.
6.3  IT Architecture and Assets                

The IT architecture in Air Asia focuses on the following components:

  1.  Enterprise architecture – Modern ERP systems are implemented in Air Asia to automate tasks, and regular updation will benefit the business in maintaining its operations.
  2. Solutions architecture – The use of integrated business solutions is common and used in Air Asia for managing the working operations.
  3. System architecture – Air Asia has its own applications for customers so that they can make online bookings, and for these items, the interface is kept simple and the preface is designed for their ease of use.

7.0 Strategic Business – IT Alignment

7.1  IT Policies and Processes

The IT policies are consistent and focus on following the rules and regulations of the aviation sector. The management of Air Asia realizes that it is necessary they should comply completely with the rules applicable to countries.

7.2  Business Strategy

The business strategy of Air Asia is based on competitiveness as the business focuses on using modern technological infrastructure, which is necessary to retain its position in Malaysia. The competitive strategy is adopted because there are different companies in the aviation sector and to retain market share, it is necessary to adopt innovation.

7.3  IT Strategy

The IT strategy in Air Asia focuses completely on technological development, and the IT director is also involved in the process. Quarterly reports are submitted to the director and any changes or updation of technology is done on a priority basis.

 7.4  Aligned Enterprise Strategy

The aligned enterprise strategy focuses on technology integration and systems so that in Air Asia, the work will be done without facing any issues in workflow.

8.0  Strategy Control

8.1  Action and Plans

The actions taken by Ari Asia is to hire a skilled IT team and diversify their employee base. By diversification, it is explained that the business is hiring from different parts of the world based on their skills and expertise.

8.2 Measures

The measures which are adopted by the management of Air Asia are:

  1. Regular monitoring of the operations and technological infrastructure
  2. Open communication channels will be opted by the business so that issues will be immediately resolved.
  3. Constant analysis of goals and missions is done on a regular basis.
8.3  Resource Management

The resources are necessary for businesses and for MTI approach in Air Asia following will be needed:

  • IT engineers
  • Software developers
  • ERP consultants
  • Solutions Architect .

9.0  Conclusion

In this slide, the conclusion explains that the IT is necessary for businesses like Air Asia to perform with high efficiency. It is concluded that by using MTI, businesses are able to compete efficiently in the aviation sector and accomplishing targets will become easy.