Case Study of PIA
Case Study of PIA
Case Study of PIA
By
BEME F-16(B)
History
• PIA was built up in 23 October 1946 as Orient Airways.
• In June 1946, the nation's founder Muhammad Ali Jinnah realized the
requirement for a banner transporter
• In mid 1980s PIA helped United Arab Emirates (UAE) to set up their new airline
Emirates.
• PIA selected its new uniforms through an open competition. The winning entry
was designed by Sir Hardy Amies, the designer of Her Majesty, Queen Elizabeth II.
How Things Went Wrong
• Various Accidents.
• Delay in flights
• One of the reasons for the decline was the wrong choice of aircraft.
Issues
• Considering rupee devaluation over a time PIA foreign currency sale
indicate reduction in revenues of PIA.
• These issues create frustration among the passengers. They feel fear and
life risk while travelling through PIA. The Airlines is at the brink of disaster.
• With the decline in service and quality, PIA got trapped into endless
scandals and losses, not just in dollar value but in goodwill and reputation.
Engineering Management Analysis
• Strong infrastructure so TQM is more effective
• “Total Organizational” involvement will help PIA overcome their financial loss
• Use of internet to interlink with passengers and inform them about any delays or
issues.
• Higher tax (FED) be imposed and collected on tickets issued by international airlines for
sectors beyond their home base.
• The retirement age of cabin crew should be reduced to 40-45 years so that young, smart,
educated and well-groomed faces can be the new faces of PIA services inside the cabin.