THAI board names new president

Charamporn was one of four candidates and one of two finalists. He will be serving a four-year term that is expected to start next month. 

The airline’s management will negotiate salary and benefits with him before proposing his name to the Finance Ministry for approval.

Areepong Bhoocha-oom, permanent secretary of the Energy Ministry and acting chairman of THAI, said Charamporn was the most suitable person to fill the vacancy as he came with impressive academic credentials and had experience with giant organisations such as Siam Commercial Bank and the SET.

Charamporn holds a bachelor’s degree in electrical engineering and computer science from the Massachusetts Institute of Technology and a Master of Business Administration from Harvard University. 

Before joining the exchange, he held executive positions in SCB’s businesses. 

The airline began to seek a new president in May but had to extend recruitment twice. Only two applicants joined the race in the first two periods. 

“Although Charamporn has no direct experience in aviation, his expertise in IT and systematic management will help drive a huge organisation like THAI – the airline has 20,000 staff – which now needs systematics to drive forward,” Areepong said. One of Charamporn’s priority tasks is restructuring IT and the reservation system worldwide. If this were completed, the airline would be better able to compete head-to-head with other players.

The airline is facing tough competition as more low-cost carries enter the short-haul market, while major airlines especially from the Middle East are emerging to beat it on long-haul routes.

Charamporn will have to implement the financial-revival plan that THAI submitted to the economic “superboard”, an entity set up by the junta to oversee state enterprises. The plan focuses on cutting costs and increasing revenue.

Areepong said whole-year operating results were expected to be in the red despite more last-minute bookings from customers overseas. 

“The company will likely not achieve a profit by the last quarter of this year because of slow inbound tourism. A profit could be seen in |the first quarter of next year,” he said. 

Key markets such as Europe have not recovered.

The airline is operating with an average load factor of 78 per cent, but last-minute bookings should increase during the peak months of November and December.

THAI has appointed an outside team to handle planning and strategic routes for future operations. It now is analysing competition and revenue, he said.