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We may have contributed to the more "honourable" outcome...
We just have to keep doing what is honourable... and hope for the best out of our constructive suggestions.
GG
(08-12-2014, 04:09 PM)CityFarmer Wrote: The company management heard VB buddies' opinion? 
Singapore Airlines to honour all bookings after premium-ticket error
SINGAPORE (Dec 8): Singapore Airlines ( Financial Dashboard) said it will honour all bookings customers made on business-class tickets the carrier wrongly sold at economy fares to ensure their travel plans aren’t disrupted.
...
http://www.theedgemarkets.com/sg/article...cket-error
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Personally, I observed that like all big companies that are government linked have this terrible characteristic.
Poor (extremely poor) risk management and PR skills.
SIA on discovery of the price error, immediately issue that travel agents and customers have to sort the price difference or accept a refund.
The error, itself originates from SIA but "punishes" her agents and customers for her mistake.
Firstly, cooperating with agents to push your ticket sales are equally as important as loyal customers.
Secondly, the price to pay for the error, may make a dent but by seeking solution from the agent and customer while the mistake is squarely SIA, makes bad publicity and tells of the culture of SIA in dealing with crisis.
Thirdly, if SIA accepts error and responsibility, the action would send positive feelings including confidence in the airline. In addition, these fortunate customers may turned loyal customers in the future after tasting the good life.
In short, SIA, short sighted, kiasu mentality, kiasi mentality, arrogant and etc.
I guess because in Singapore, customers and citizens are often made to compel and any resistance will be met with stern re-action either by big companies or government agencies.
In the end despite at the late stage accepting responsibility, a bit too late, the damage is done.
What do you guys think?
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(09-12-2014, 03:38 PM)davidoh Wrote: Personally, I observed that like all big companies that are government linked have this terrible characteristic.
Poor (extremely poor) risk management and PR skills.
SIA on discovery of the price error, immediately issue that travel agents and customers have to sort the price difference or accept a refund.
The error, itself originates from SIA but "punishes" her agents and customers for her mistake.
Firstly, cooperating with agents to push your ticket sales are equally as important as loyal customers.
Secondly, the price to pay for the error, may make a dent but by seeking solution from the agent and customer while the mistake is squarely SIA, makes bad publicity and tells of the culture of SIA in dealing with crisis.
Thirdly, if SIA accepts error and responsibility, the action would send positive feelings including confidence in the airline. In addition, these fortunate customers may turned loyal customers in the future after tasting the good life.
In short, SIA, short sighted, kiasu mentality, kiasi mentality, arrogant and etc.
I guess because in Singapore, customers and citizens are often made to compel and any resistance will be met with stern re-action either by big companies or government agencies.
In the end despite at the late stage accepting responsibility, a bit too late, the damage is done.
What do you guys think?
They always think they are Gov link , ''so what if we are wrong ''.
“risk comes from not knowing what you’re doing.”
I don’t look to jump over 7-foot bars: I look around for 1-foot bars that I can step over.
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09-12-2014, 06:45 PM
(This post was last modified: 09-12-2014, 06:47 PM by opmi.)
Quite typical for top tier airlines/companies to honour errors sales.
The bad press probably costs more than the losses. And takes years for people to forget.
And Internet never forgets.
So next time if you see errors sales, just whack, but expect screwups.
(08-12-2014, 04:19 PM)greengiraffe Wrote: We may have contributed to the more "honourable" outcome...
We just have to keep doing what is honourable... and hope for the best out of our constructive suggestions.
GG
(08-12-2014, 04:09 PM)CityFarmer Wrote: The company management heard VB buddies' opinion?
Singapore Airlines to honour all bookings after premium-ticket error
SINGAPORE (Dec 8): Singapore Airlines ( Financial Dashboard) said it will honour all bookings customers made on business-class tickets the carrier wrongly sold at economy fares to ensure their travel plans aren’t disrupted.
...
http://www.theedgemarkets.com/sg/article...cket-error
"... but quitting while you're ahead is not the same as quitting." - Quote from the movie American Gangster
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http://www.straitstimes.com/news/singapo...tor=CS1-10
SIA apologises to musicians who were denied boarding with instruments - See more at:
“risk comes from not knowing what you’re doing.”
I don’t look to jump over 7-foot bars: I look around for 1-foot bars that I can step over.
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(05-12-2014, 10:54 AM)CityFarmer Wrote: Fuel hedges as far as 6 months ahead, while ticket bookings aren't, doesn't seem a "properly usage" of hedges, as far as I know?
Moreover, I thought the fuel surcharge is a mean to transfer fuel volatility to customers of airliners?
(confuse, and thus avoid airliner even amid lower fuel price)
Casino-like fuel hedges seen hurting airlines as crude plummets
SINGAPORE (Dec 5): Investors from Sydney to Mumbai cheered the plunge in crude-oil prices, sending Asian airline shares to their highest level in three years. The bad news is several carriers could end up losing money from the sudden drop.
Some Asian carriers, like Singapore Airlines ( Financial Dashboard), have hedged fuel at an average of US$116 a barrel of jet fuel, when spot market rates are about US$85. That can result in losses on paper as carriers will have to account for their wrong-way fuel hedges or pay charges to unwind contracts prematurely.
Oil’s dramatic decline in the past month is a replay of events in 2008 and 2009 when Hong Kong-based Cathay Pacific Airways, Chinese carriers and Singapore Airlines all reported millions in losses because of wrong-way bets on fuel.
An inability to take advantage of a drop in their biggest expense also means airlines may be reluctant to cut fuel surcharges and lower ticket prices for consumers.
“It’s like going to the casino,” said Mark Clarkson, a Singapore-based business development director at OAG Aviation, a flight data firm, about hedging.
Potential losses sometimes could be much bigger than at a casino, he said. “There are a lot of zeros at the end.”
...
http://www.theedgemarkets.com/sg/article...e-plummets
This is like a deja vu of the oil surge in 2007-2008 when SIA hedged oil at too high a price, only to lose millions when oil price plunges. When will SIA ever learn its lesson?
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10-12-2014, 11:32 AM
(This post was last modified: 10-12-2014, 11:36 AM by specuvestor.)
^^ It's actually ok to lose money on hedge because you are not expecting to profit from it anyway. You are just expecting to lock in a net margin. Your business is not in hedging
The main issue is more like what CF mention:"Fuel hedges as far as 6 months ahead, while ticket bookings aren't... fuel surcharge is a mean to transfer fuel volatility to customers of airliners" The CFO has to manage this intent properly rather than trying to "benefit" from it
As per what I posted... SIA is in a high service quality industry. They have to RECALL what business they are in... I think they've forgotten
http://www.valuebuddies.com/thread-261-p...pid1005624
"Could SIA have gotten away with not honouring the mispriced tickets? Probably. Would they have survived the backlash? Probably not. Reputation, in this industry, is everything, and SIA can’t afford to risk theirs at all."
http://vulcanpost.com/101271/singapore-a...s-tickets/
Before you speak, listen. Before you write, think. Before you spend, earn. Before you invest, investigate. Before you criticize, wait. Before you pray, forgive. Before you quit, try. Before you retire, save. Before you die, give. –William A. Ward
Think Asset-Business-Structure (ABS)
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I heard about this over the news... since when did SIA become so regimental... due to retired SAF high ranks being parachuted into SIA...
Great way to fly no more...
(09-12-2014, 09:41 PM)cfa Wrote: http://www.straitstimes.com/news/singapo...tor=CS1-10
SIA apologises to musicians who were denied boarding with instruments - See more at:
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(10-12-2014, 05:55 PM)greengiraffe Wrote: I heard about this over the news... since when did SIA become so regimental... due to retired SAF high ranks being parachuted into SIA...
Great way to fly no more...
(09-12-2014, 09:41 PM)cfa Wrote: http://www.straitstimes.com/news/singapo...tor=CS1-10
SIA apologises to musicians who were denied boarding with instruments - See more at:
They have no choice but just have to bow to them .
“risk comes from not knowing what you’re doing.”
I don’t look to jump over 7-foot bars: I look around for 1-foot bars that I can step over.
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(10-12-2014, 05:55 PM)greengiraffe Wrote: . due to retired SAF high ranks being parachuted into SIA...
Great way to fly no more...
(09-12-2014, 09:41 PM)cfa Wrote: http://www.straitstimes.com/news/singapo...tor=CS1-10
SIA apologises to musicians who were denied boarding with instruments - See more at:
I think the above statement is incorrect as none joined after Bey Soo Khiang, which had left SIA several years ago.
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