PAKISTAN INTERNATIONAL AIRLINES

A SUMMARY OF PERFORMANCE ANALYSIS

Pakistan International Airlines Corporation commonly known as PIA is the airline
which was almost the 1st Asian airline by launching a passenger and cargo
service by acquiring Boeing 707 aircraft which was long range aircraft. So in the
beginning, PIA rose to ranks of top airlines in the world with a slogan of
BAKAMAL LOG LAJAWAB SERVICE.
As the airlines play a key role in nations development. At that time, few
Pakistani were residing in Europe, Middle East and south and north America, the
PIAs performance was well. Now, our countries population is about 250 million
out of which amongst 15 million are settled in abroad but PIA is in its bad
condition and going to failure. The accidents of PIAs jets and poor management
become the causes of failure. So, why it happened?
It is because of political interference, poor management, unqualified and
unskilled labour, overstaffing, multiple layers of management, lack of business
model and somewhat high labour cost. The aircraft to employee ratio is too high
and it is also a big factor and affects financial performance. The airline industry
standard is 150-200 aircraft to employee ratio while in case of PIA it is 650. PIAs
employee unions are also blamed in the performance of the airline.
So in the light of light of these problems we can say that in a capitalistic
economy only the active competitors can survive while the loose competitors are
kicked out from the industry.
In this case study the PIA is compared with Qatar Airways (QR) it is because both
entities are under Government control, besides these there are so many marked
differences, the Qatar Airways which is established after 38 years of PIA follows
a business model and now it is worlds best and widely expanding airline while
the PIA is limited to some international flights and domestic flights and it is
running like a government department.

A SHORT INTRODUCTION TO QR
Qatar Airways founded as a small regional airline in November 22, 1993 and
started operations in 20th January 1994. QR is currently the airline of state of
Qatar and a fast growing airline of the world. The airline started its international
carrier in 1997 and awarded three times the name of airline of the year in
2011, 2012 and 2015 after entering in global services.
QR has almost 190 fleets and covers 151 destinations throughout the world
including Europe, Middle East, Asia Africa and North and South America. It is the
youngest airline in the industry. Qatar Airways is completely under control of
state of Qatar since 2013.

QRs slogan is going place together. Its parent company is Government of

Qatar. Its headquarter is in Qatar airways tower, Doha. CEO of the company is
Akbar Al Baker. There are 24000 employees are directly working with Qatar
Airways. QR has some divisions which are following
I.
II.
III.
IV.
V.
VI.
VII.

Qatar aircraft catering company

Doha international airport
Qatar airways holidays
Qatar duty free
Qatar aviation services
Qatar distribution company
Qatar executives

CONCLUSION
Qatar Airways based in Doha and awarded by the name of worlds best airline
in 2015 and fastest growing airline in the world. Both the airlines are under the
government control. When we look at both the entities, both PIA and QR share
common features. Qatar airways performing day by day and it is under complete
control of government since 2013 while the analyst in Pakistan urges that
privatization is the only solution to save PIA.
So both the entities have government support, QR follows a business model
while the PIA is running like a government department.