IT fuels new Hong Kong long-haul air airline

12.09.2006
Long-haul budget airline Oasis Hong Kong Airlines Ltd. is launching its first flight in October, providing one-way tickets from Hong Kong to London with prices as low as HK$1,000 (US$128.60). This includes full services with two hot meals, in-flight entertainment and advanced seat assignment. Head of IT Michael Wirth shared the secrets behind running Hong Kong's first full service long-haul budget airline with senior reporter Sheila Lam.

Computerworld Hong Kong (CWHK): How can ticket prices be so low at Oasis?

Michael Wirth (MW): It's a nice idea to offer long haul cheap tickets. But we also need to create efficiency in our operations to make those savings [and] be able to pass them on to our guests.

Our concept is to have a very small and strong management team that's very experienced within the industry and managing the business. We leverage third party suppliers to support the operation-thus outsourcing is a fundamental principle in our business model.

Our reservation system is outsourced-hosted in Orlando by a company called Radixx. Our perimeter security and other business systems are also outsourced. Other areas such as aircraft engineering-which is outsourced to the experts of HAECO (Hong Kong Aircraft Engineering Co.)-and training for our flight and cabin crew members to provide full in-flight service are also outsourced.

Specializing in long-haul also brings us huge cost advantages. The stress on aircraft is the highest during takeoffs and landings. With long-haul flights, we have less maintenance cycles and burn a lot less fuel than on short-haul routes.