Internship Report on Biman Bd Limited

Your home in the sky Page | 1

Internship program is designed for the student of Bachelor of Business Administration

of Dhaka City College on completing of the course to acquire experience on the

practical application of the theoretical knowledge set through the course curriculum.

This report was done during my internship period in Biman Bangladesh Airlines

Limited to fulfill the requirement of the course under the supervision of Ms. Nasrin

Sultana. The topic was selected with able guidance of the supervisor.

My topic is An analysis on brand development strategies of Biman Bangladesh

Airlines Limited. The reasons behind my selection of this topic are, Biman is a

renowned organization in Bangladesh but it faced some problem for its negative

image in customer mind. So its a challenging task to create positive image in

customer mind thats why as a marketing student I chose this topic to observe the

challenging environment in Biman.

1.2.1 Broad objective:

The broad objective of the report is to fulfill the requirement of my study. As a

Bachelor of Business Administrations student I need to submit this report to fulfill my

academic requirement.

1.2.2 Specific objectives:

To gain practical knowledge about the airlines sector.

To know about the actual activity of Marketing and sales department

To know about Brand policies of Biman Bangladesh Airlines Ltd.

To focus on Brand planning of Biman Bangladesh Airlines Ltd.

To reveal the Brand development process followed in Biman Bangladesh

Airlines Ltd.

To highlight different tests in the Branding process.

To know the problem facing to develop a new brand for Biman

Bangladesh Airlines Limited.

1.1 Origin of the report

1.2 Objectives of the report


To provide some suggestions to improve the marketing policy for Biman

Bangladesh Airlines Limited.

Different data and information are required to meet the goal of this report. Those data

and information were collected from various sources. The study followed a certain

method to collect data and analysis the Brand development of Biman Bangladesh

Airlines Ltd.

1.3.1 Research design:

For preparing this report I conducted descriptive research. By using of descriptive

research I am trying to give explanation of both primary data from the personal

interview and observation and secondary from internet, and the information given by

the authority of Biman Bangladesh Airlines Limited.

1.3.2 Data collection method:

This report is prepared based on information collected from two sources i.e. Primary

sources and secondary sources.

1.3.2.1 Primary sources:

Primary data have been collected through Practical desk work, personal observations,

Face to face conversation with the officers and executives of Biman Bangladesh

Airlines Limited. Specially, officers and executives of marketing and sales department

of Biman Bangladesh Airlines Limited have provided valuable information. Moreover

I quote the information along with my practical knowledge and experience on the

organization.

1.3.2.2 Secondary sources:

In order to make the report more meaningful and presentable, mainly secondary

sources of data and information have been used widely. Under this source data have

collected from Annual Reports of Biman Bangladesh Airlines Limited and other

organizations, Director conference reports, Annual reports, Statements, Newspapers,

Books, Journals, Web sites data etc.

1.3 Methodology of the report


1.3.3 Data analysis:

Qualitative research is conducted to analysis the primary and secondary data. And the

data are presented in this report by using the Microsoft Word and Microsoft Excel.

This internship report is on brand development strategies, activities and procedure of

Biman Bangladesh airlines limited. This report especially emphasizes on the different

categories of branding strategies and the procedure of making a strong brand in

competitive market.

By using of this report Biman Bangladesh Airlines limited can find out their strength,

weakness, opportunity and threat in marketing sector by their competitor. This report

can provide them important information about the brand development strategy. The

students of Bachelor of Business Administration gather knowledge about the airlines

business, and get the basic idea of brand development.

There are some limitations in our study. We faced some problems during the study

which is mentioned below:-

The time period of this study is very short. We had only 4 weeks in my

hand to complete this report, which was not enough. So we could not go

in depth of the study. Sometimes the officials were busy and were busy

and were not able to give me much time.

Some desired information could not be collected due to confidentially of

business. Necessary data and information are neither adequate nor well

furnished.

This report actually did not cover all the activities and function of Brand

development of Biman Bangladesh Airlines limited.

This report slightly relied on observation.

This report is limited to Biman Bangladesh Airlines limited only.

Few officers sometime felt disturbed, as they were busy in their job.

Sometime they didnt want to supervise me out of their official work.

1.4 Scope of the report

1.5 Limitations of study


As we are newcomer, there is a lack of previous experience in this

concern. And many practical matters have been written from my own

observation that may vary from person to person.

The study is self-financed.

The vital limiting factor is lack of experience and sound knowledge for

such research works.

The study was conducted by one person there is chance of having error in

any stage of data collection, data entry, data organizing, data presentation,

interpretation of result, etc.

After all, the authorized persons helped me both primarily and secondarily with

keeping, some sector. However I have tried to overcome these problems and tried best

to prepare the report to fulfill the requirements.


Considered to be the very earliest type of aviation, kite flying has long been a form of

entertainment for the people of Bangladesh. Initially a pastime of the elite dating back

to the Mughal period, it became a tradition among all Bangladeshis, particularly from

the mid-18th century, and kite painting was a recognized form of art. Today, kite

flying festivals remain a highlight on the social calendar of many regions in

Bangladesh.

World War II brought modern aviation to Bangladesh when the first military airstrip

was built in Tajgaon by the British Raj to facilitate access for warplanes in the

battlefields of Burma and Kohima in India. The construction of other airstrips soon

followed in Feni, Chittagong, Comilla, Chakaria, Sylhet, Cox's Bazar, Jessore,

Lalmonirhat and Rajshahi. These military airstrips provided a base for the RAF Third

Tactical Air Force throughout World War II.

At the conclusion of the war, the colonial government built at airport at the original

Tajgaon airstrips, as well as a landing strip at Kurmitola to accommodate the Royal

Indian Air Force (RIAF) stationed in the city of Dhaka. Kurmitola later developed

into the Shahjalal International Airport, the largest airport in Bangladesh. Culcutta-

based Orient Airways was formed in 1946 and was the first commercial airline to use

Tajgaon airport for civilian traffic, with flights between Karachi and Dhaka starting

on June 7, 1954. The British Overseas Airways Corporation and Pan American

Airways both established flight routes out of Dhaka by 1960 and former Royal Air

Force airstrips at Chittagong, Thakurgaon, Jessore, Ishwardi and Comilla were

developed into airports.

The Liberation War of 1971 saw extensive aerial battles taking place in the skies over

Bangladesh between the Pakistan Air Force (PAF) and the Indian Air Force (IAF).

The Bangladesh Air Force was established in late July 1971, with training taking

place in India, and a number of ex-PAF pilots joining its ranks. Strikes on various key

targets were carried out by the Bangladesh Air Force during the Liberation War.

2.1 History


Following the Independence of Bangladesh civil aviation was resumed with the first

flight from Tajgaon Airport on January 1, 1972. Established in 1972, Biman

Bangladesh Airlines was the independent country's first commercial passenger airline.

Fully state-owned, the airline held the monopoly for more than twenty years. Today,

private passenger and cargo airlines in Bangladesh include Aero Bengal Airlines,

GMG Airlines, Bismillah Airlines, Best Aviation, Zoom Airways, Air Bangladesh,

Royal Bengal Airline, Regent Airways and United Airways.

No: Name of Company Logo

1. Biman Bangladesh Airlines(National Flag

Carrier)

2. United Airways

3. GMG Airlines

4. Regent Airways

5. Novo Air

6. Best Aviation

7. Zoom Airways

8. Royal Bengal Airline

2.2 List of Airlines Company in Bangladesh


Table no-1: List of Airlines Company in Bangladesh

9. Bismillah Airlines

10. US- Bangla Airlines


It all started some 42 years ago, when the free people of our newly liberated

country had, perhaps, looked up into the skies and imagined a dreamboat of

their own which could fly them to faraway places. The hopes and aspirations of

the peoples of Bangladesh gave birth to Bimanthe wings that would carry

them beyond the sunset. The dream came true on January 4 1972. The beautiful

airline was born with a unique birthmarkthe only one born without any

aircraft or ancillary.

Absence of aircraft, ancillary facilities and a massive shortage of funds had a

crippling effect on the newborn airline of a newborn country ravaged by war.

Its struggle for survival and growth began right from the word 'go'. The many

uncertainties along the way sometimes created an atmosphere casting an abject

frustration. However, Biman fought hard to keep its nose up and overcome

many adverse situations.

The Beginning:

The journey began with a DC-3 aircraft-an air force plane gifted to the new

airline by the government. But the joy was short-lived. Before any service could

begin, the aircraft crashed while on a training, flight. Biman was finally air

borne on March 7, 1972 with flights to Chittagong and Sylhet and on March 9

to Jessore. Thus the domestic operation of Biman began. Since then there has

been no looking back.

Indeed, it was the international operation of the airline which started first. On

4th March, three days before start of domestic operation, the first flight of

Biman's international operation landed in Dhaka from London with 179

passengers on board. The aircraft used in the flight was a chartered one from

British Caledonian.

It was not an auspicious beginning for a new airline of a war devastated country

like Bangladesh. In the list of priorities for the resource hungry country, the

position of an airline had to be far down the line. The highlights of Bimans 42

years will actually not depict the agonies that the airline had to undergo, but

3.1 Background


will give an idea how the airline is surviving by charting a not so glamorous

course like many of the competition.

1972

Biman began its international operations with flights to London and Calcutta

and its domestic operations with flights to Chittagong, Sylhet, Jessore and

Ishwardi. Four F-27s joined the fleet, enabling Biman to operate domestic

services and an international service to Calcutta. Two of the F-27s were

acquired from India and two from the Netherlands. One DC-6 was also leased

for two months. The service to London continued with the chartered aircraft.

1973

Bangkok became Biman's third international destination and in the domestic

sector Thakurgaon was included in the network. Four more F-27s joined the

fleet of Biman. Two of these gifts from Australia and the other two were

purchased from the Fokker Company. A leased Boeing 707-320C joined

Biman's fleet to operate its Dhaka-London services. The airline also purchased

another Boeing 707-320C.

1974

Dubai and Kathmandu became Biman's fourth and fifth international

destinations. In the domestic sector services were extended to Cox's Bazar. In

the international sector, services were extended to Yangon, Abu Dhabi, Karachi

and Mumbai in 1976. The second Boeing 707-320C, joined the fleet.

1977

Singapore became another part of Biman's international network. Biman

acquired its third Boeing 707-320C from Trans Air of Canada. Biman was

made a corporation under the title- Bangladesh Biman Corporation. Jeddah,

Doha and Amsterdam became part of Biman's expanding network in the

international sector in 1978. Two more Boeing 707-320C aircraft were

acquired, one of them from Japan.


1979

The year turned out to be the year of route expansion. In the international

sector, services were extended to Kuala Lumpur, Athens, Muscat and Tripoli.

Syedpur became a part of the domestic network in the following year. Tokyo

and Dahran were brought within the fold of Biman's network in the following

year. An off-line office in Jakarta was also opened. Another Boeing 707-320C

joined Biman's fleet in 1980.

1981

The airline started operations to Rome and Kuwait, but suspended its Tokyo

operation. Biman received one Boing 707-320C as a gift from Kuwait and

purchased two F-28s from the Fokker Company.

1983

The airline entered a new era with the acquisition of three used wide-bodied

DC-10-30s from Singapore Airlines. Baghdad was made on-line. Biman

extended its international services to Paris and to Rajshahi in the domestic

sector in 1984.

1986

Bahrain was brought within Biman's network. One of the Boeing 707-320Cs

was phased out. Services to Frankfurt were extended in the following year.

1988

Riyadh was brought within the network in place of Dahran. Services to

Baghdad were suspended. One more Boeing 707-320C was phased out.

1989

The airline entered the select club of one million passengers. Services to

Sharjah were opened and the suspended service to Baghdad resumed. A new

DC-10-30, purchased from McDonnell Douglas, joined the fleet and the

remaining Boeing 707-320C was phased out. The airline also encompassed

modern technology with the commissioning of a Computerized Reservation


System. The Flight Catering Centre at Hazrat Shahjalal International Airport

was commissioned which enabled Biman not only to upgrade its own in-flight

services with high quality food, but also to earn additional revenues by other

airlines. The Ground Training School was merged with the Apprentice Training

School and moved to modern complex at Hazrat Shahjalal International

Airport.

1990

Two ATP aircraft joined the fleet for domestic routes and the F-27s were

phased out in the same year.

1992

New Delhi and Nagoya were included in Biman's international network and

operations to Sharjah were suspended. The $ 30m Hangar Complex at Hazrat

Shahjalal International Airport was commissioned.

1993

For the first time Biman crossed the Atlantic with services to New York. Hong

Kong was also included in the network but operations to Nagoya were

suspended. Two DC-10-30s were taken on lease.

1994

A Computerized Departure Control was commissioned. Biman commenced

services to Brussels and suspended its operation to Amsterdam in 1995.

1996

The two new Airbus A-310 were purchased from Airbus Industries. One DC-

10-30 and one A 310-300 aircraft were taken on lease for three years in 1999.

2000

Another DC 10-30 and one A 310-300 aircraft were taken on lease for three

years. Two B 737-300s aircraft were taken on lease for one year in 2003. The


leased B 737-300 was released in April 2004. Further two F28 aircraft were

purchased in May 2004.

2006

Biman commenced services to Manchester on 08 April 2006. Biman suspended

its operation to New York, Brussels, Paris, Frankfurt, Mumbai, Narita and

Yangon for operational reasons.

2007

Bangladesh Biman Corporation turned into a Public Limited Company. E-ticket

and BSP were introduced.

2008

The airline went into an agreement with Boeing Aircraft Company for

acquisition of 10 new generation aircraft of 4 Boeing 777-300ER, 2 Boeing

737-800 and 4 Boeing 787 the biggest ever deal in the history of Biman as well

as the country. One Boeing 747-300 was taken on lease on ACMI basis for 12

months. Two more 737-800s joined the fleet in November.

2010

One lease-hold Boeing 777-200ER joined the fleet. Two Boeing 737-800s were

taken on lease for 5 years. The aircraft will remain in the fleet till January 2015.

The airline took delivery of one Airbus 310-300 on lease for 3 years.

2011

The first 02 of 04 Boeing 777-300ERs joined the fleet in October and

November, 2011 and thus replacing the ageing DC10-30s, the longtime

backbone of Biman fleet.

2014

The 3rd Boeing 777-300ER joined the fleet on 5th February and the 4th is

joining in the second week of February. Now the airline has a new backbone


comprising of Boeing 777-300ERs, the new work horses of Biman, named as

the Palki, the Arun Aalo, the Aakash Pradeep and the Raanga Pravat.

During the four decades of Bimans existence, many types of commercial

airliners have adorned the fleet- ranging from the early leader, the venerable

DC 3 to the modern Peoples Preference, the Boeing 777. As stated earlier,

the airline had placed a firm order for the fifth generation Dreamliner to

complement its fleet. Fuel efficient Dreamliner is a new wonder of the skies.

Biman can look back with pride to many occasions where it made memorable

contributions to the nation and the travelling public. When the floods of 1988

engulfed the whole country Biman operated an air bridge providing the

country's only link with the outside world. As the flood waters moved up, even

on to the run way at HSIA, the skill and dedication of Biman's pilots kept the

air bridge operational.

On February 20, 2014, Biman operated the historical final-flight of worlds last

passenger DC10-30 on Dhaka Birmingham route and thus recording its name

in the annals of world aviation history.

Company Name: Biman Bangladesh Airlines Limited

Date of registration: 23 July 2007

Registration No: C67807(358)/07

Commencement of Operation: 2 August 2007

Company Activity: Air transport service. Support service. And another

related business.

MD and CEO: A.M Mosaddique Ahmed (Act.)

Head Office: Balaka Bhavan. Kurmitola. Dhaka-1229 Bangladesh.

Website: www.biman-airlinse.com

Authorized Capital: Taka One Hundred Fifty Billion.

3.2 Company Profile


To establish Biman Bangladesh Airlines Limited in the aviation market as a world-

class airline.

To provide safe, reliable, efficient, adequate, economical and properly co-

coordinated air transport services and to satisfy customers expectations.

Earning sustainable profit and continuing to be a caring employer.

Developed as a strong brand among the competitor.

To provide and develop safe, efficient, adequate, and economical and properly co-

ordinate air transport services both in domestic as well as international aviation

service.

Biman is an equal opportunity employer.

Human resource is main driving force.

Safety is paramount in this organization.

Trusted: It starts with a commitment to personal and corporate integrity.

Attributes: are honest, fair, dependable, responsive and consistent.

Collaborative: Teaming with co-workers and its customers to provide

services that are better than what can do individually.

Attributes: Is respect, listening, learning, contributing, customized, and

scalable, robust.

3.3 Vision

3.4 Mission

3.5 Objectives

3.6 values

3.7 Service Values


Innovative: Applying technologies, processes, and methods in new ways to

provide quality services.

Attribute: are creative, unique, relevant, practical, proven and valuable.

Efficient: A focus on improving its own efficiency without decreasing the

strength of its relationship and commitment to our customer.

Attributes: are streamlined, economical and friendly.

Global/ Local: The people and facilities that support the customers

worldwide operations global, regional and local.

Attributes: are networked, coordinated, responsive and familiar.

Biman Bangladesh airlines showed its profound commitment to fundamental values

of integrity transparency and accountability by signing the partnering against

corruption initiatives (PACI). Its puts Biman amongst the rank of enterprise

committed to anti-corruption doctrines reflecting the fact that corruption and bribery

have been recognized as corrosive to economic progress.

White stork across the red sun

Your Home in the Sky

Biman Bangladesh Airlines Limited was wholly owned by the Bangladesh

government through the Bangladesh Biman Corporation since its launch. In 1977,

Biman was converted into a public sector corporation which afforded Biman limited

3.8 Ethics

3.9 Corporate logo

3.10 Slogan:

3.11 Organization structure


autonomy, led by a government-appointed board of directors. Biman Bangladesh

Airlines Ltd. has a huge manpower. Manpower status, as of May 31, 2014 is given

below:-

Employee Level Permanent &

Contractual

Casual Total

MD & CEO 01 01

Executive

Director

09 09

Cockpit Crew 146 146

General Manager

& Equivalent

14 14

General Manager

& Equivalent

33 33

Manager/Asst.

Manager/Officer

724 45 769

Staff 2280 1449 3729

Total 3203 1494 4701

Table no- 2: Manpower status of Biman

So, a total of 4701 persons are working in Biman in different levels of which 2800

and 400 of them are working on permanent (holding P numbers) & contractual

(holding G numbers) basis. 1494 persons are working on casual basis (holding C

numbers).

So, the MER (Man-Equipment Ratio) is 392:1 which is a matter to be looked at as

the industry standard is 200:1 and the other airlines in Asia has maintained it at

around 150:1. However, there are some reasons behind this high MER. Compared

to others Asia airlines which operate many regional flights by narrow body

aircrafts in its fleet. So, number of aircrafts is poor compared to manpower

although number of passengers is quite large. Also, many functions that other

airlines outsource are done in house. For instance, Engineering, GSE, Ground

handling, Motor Transport etc. noncore operations are not outsourced. These

departments could be made subsidiaries that Singapore Airlines did long ago. Even

the E-ticketing is not outsourced too. There would be a significant reduction in

manpower if these services are outsourced and the MER would come within limit.


Fig no-1: Organogram of Biman Bangladesh Airlines

Director

Admin

Director

Finance

MD and CEO

Director

Marketing Sales

Director

Customer Service

Director

Eng-material

management

Director

Procurement &

logistic support

Director

Planning

Director

Flight operation

Company

secretory

Chief of flight

safety

DGM internal

Audit

Principal

BATC

DGM

CQRM

GM

Secretory

DCE

I & QA

GM

Public relation

Organogram


Name Designation

Air Marshal Jamal Uddin Ahmed, ndc,

bems, psc (Retd.)

Former chief of Air Staff

Chairman

Maj. Gen. Abdul Quadir Engineer in Chief, Bangladesh Army

Mr. Md. AbulKalam Azad Secretary, Prime Ministers Office Govt. of the Peoples Republic of Bangladesh.

AVM Mahmud Hussain, ndc, psc Chairman, Civil Aviation Authority of

Bangladesh.

Mr. FazleKabir Secretary, Finance division, Ministry

of Finance, Govt. of the Peoples Republic of Bangladesh.

Professor Dr. Md. Kamal Uddin Treasurer of Dhaka University.

Mr. KhurshedAlamChowdhury Secretary, Ministry of Civil Aviation &

Tourism, Govt. of the Peoples Republic of Bangladesh.

Mr. Shah Md. ZakariaBhuian, FCA Principal M/S S.M Zakaria& Co.

Chartered Accountants.

Justice (Former) A.F.M Mesbahuddin Senior Advocate, Supreme Court. of

Bangladesh.

A M Mosaddique Ahmed Managing Director & CEO

Biman Bangladesh Airlines Ltd

Air Vice Marshal Abu Esrar, ndc, acsc, Assistant chief of Air Staff (Operation

& Training)

Bangladesh Air Force.

Table no-3: Board of Directors of Biman

Management Hierarchy: Position At Present

Managing Director & CEO A M Mosaddique Ahmed (Act.)

Director, Customer Service George Reeleder

Director, Engineering & Material

Management

Wg. Cdr. MM Asaduzzaman (Retd.)

Director, Flight Operation Capt. Ishrat Ahmed

Director, Finance (Actg.) A.S.M Monjur Emam

Director, Planning (Actg.) Md. Belayet Hossain

Director, Marketing & Sales Mohammad Shah Newaz

Director, Administration Rajpati Sarkar

Director, Procurement & logistic Support Md. Shafiqur Rahman

Table no-4: Name of Directors

3.12 Management team


Faced with growing losses from the late 1990s onwards, the government offered

40 percent of Biman to foreign airlines in 2004, hoping a buyer would take over

the management of the carrier. However, the proposal demanded that many

decision-making rights remain within the Bangladesh government, and the offer

was ignored by outside airlines. A similar initiative in 1998 cost Biman

$1.6 million in consultancy fees with no positive results.

In May 2007, the caretaker government approved plans to turn Biman into a public

limited company with shareholdings split between seven public sector

organizations. As a part of the restructuring, the government put in place a

voluntary retirement scheme (VRS) to reduce the man-equipment ratio (MER) of

367:1 (ratio of manpower to aircraft). The industry average at the time was 200:1,

and other Asian airlines operated with MERs of about 150:1. The VRS provided

compensation based on length of service, at a cost to the government of over

$40 million borrowed from the World Bank. Biman management expected to

reduce its workforce by 1,600, but 2,162 applications were received, many from

employees who expected to be dismissed with little or no severance pay if the

quota was not met. Biman accepted 1,877 applications and affirmed that key

personnel would not be allowed to leave the organization via VRS.

On 23 July 2007, Biman Bangladesh Airlines became the largest public limited

company in Bangladesh. Earlier suggestions that the airline should be renamed

Bangladesh Airlines were rejected. The government is the sole shareholder of the

1.5 billion shares, but intends to offer 49 percent to the private sector while

retaining majority ownership. The previous managing director, Dr. Abdul Momen,

was appointed as the chief executive officer (CEO) and managing director of the

new organization. The six directors were appointed from the ministries of energy,

commerce, finance, civil aviation, foreign affairs, and the cabinet division, with the

cabinet secretary taking on the role as chairman of the board of directors. The six

secretaries and a joint secretary to the civil aviation ministry have been made the

seven shareholders of the new PLC. In September 2008, the government appointed

3.13 Privatization


Air Commodore Zahed Kuddus (retd) to replace Dr. Momen as CEO. From 2002

to 2005 Kuddus had been chair of the Civil Aviation Authority of Bangladesh

(CAAB), before which he had held various posts in the Bangladesh Air Force.

Following the privatization, an initiative was launched by ex-Biman employees,

who left the organization via the VRS, to set up a competing airline. Names

proposed for the airline included Air Bangla International, Biman Employees

Airlines and Balaka. They were joined by previous managing directors of Biman,

along with the former president of the Bangladesh Airline Pilots Association.

However, nothing further was heard of regarding the proposed venture.

3.14.1 Core business activity:

Air transportation of passengers,

Air transportation of cargo.

3.14.2 None-core business activity:

Ground and cargo handling services for own and foreign airlines.

Engineering services.

Bangladesh Airlines Training Centre (BATC).

Biman Flight Catering Center (BFCC).

Biman Poultry Complex (BPC).

Motor transport.

Medical services.

Biman Printing Press.

Partnership Business with Abacus (National marketing Company).

Immediately after the independence, Biman Bangladesh Airlines started its journey on

4th January 1972 with a DC-3 aircraft. After procuring two F-27s, Biman finally

took-off on 7th March 1972 with domestic flights to Chittagong and Sylhet from its

base at Dhaka. Shortly after, a Boeing 707 aircraft joined the airlines fleet, allowing

3.14 Business activities

3.15 Fleet Information


Biman to begin international flights. By end of the Seventies, Biman had a fleet of 8

F27 and 5 Boeing 707 to serve domestic and international destinations.

The Eighties was the new era of building Biman fleet with new Fokker 28-4000 in

1981, wide-bodied three DC10-30s joined in 1983, one new DC10-30 joined in 1989.

In early 1990, Biman phased out its aging F27 and purchased two new ATPs to serve

domestic and some regional destinations. In 1996 Biman also purchased two new

Airbus 310-300 from Airbus Company and phased out its ATPs in 2004.

In order to modernize Biman fleet with new generation aircraft, Biman signed two

agreements with Boeing in April and May 2008 for purchasing new generation 4 X

777-300ER, 4 X 787-8 and 2 X 737-800 aircraft. Three 777-300ER aircraft joined

Biman fleet in October/November 2011 and February 2014. The 4th 777-300ER is

being delivered on 21 March 2014. Besides, two 737-800s and four new 787-8s are

scheduled to be delivered by Boeing in November/December 2015 and 2019-2020.

Currently Biman is operating 02 domestic and 18 international destinations.

Biman signed an agreement with Egypt Air Holding Company for dry lease of two

777-200ER aircraft, which were added to the fleet as of March 2014. Biman is in a

bid to operate more domestic destinations, as such procuring two Turbo-Prop aircraft.

Biman has already phased out vintage F28 and DC10-30 aircraft from its fleet as a

part of fleet modernization. The airline operates its own ancillary and maintenance

facilities at Hazrat Shahjalal International Airport.

The composition of existing fleet of Biman is as follows:

Type Reg. No. Business Seating Economy Seating

777-300ER S2-AFO 35 384

777-300ER S2-AFP 35 384

777-300ER S2-AHM 35 384

777-300ER S2-AHN 35 384



777-200ER S2-AHK 12 307

777-200ER S2-AHL 12 307

A310-300 S2-ADF 24 196

A310-300 S2-ADK 24 198

737-800 S2-AFL 12 150

737-800 S2-AFM 12 150

Table no-5: Fleet of Biman

Biman is continuously working to enhance its fleet capability by leasing more

appropriate capacity aircraft commensurate with market demand and serve the valued

passengers at home and abroad.

Biman social responsibility is embedded in its mission and vision. In a disaster-

prone country like Bangladesh here had been continuous flow of relief material.

Biman on case to case basis for such humanitarian relief gives exemption of

handling and storage charge. Biman being sponsor of Biman cricket club is also

contributing for the development of second most favorite sports of the country.

During 2009 Biman cricket team won the runner up in premier division cricket

league of Bangladesh. Biman chess team becomes champion in the national chess

competition and also Biman badminton team won the championship title in the

national badminton tournament.

Biman has successfully completed IOSA registration audit in December 2007

Biman become IOSA registration airlines in 2008 under IOSA more than 20

manuals have either been develop or been amended to incorporated current safety

3.16 Corporate social responsibility

3.17 Safety Security and IOSA of the Organization


requirements Biman also successfully completed IOSA renewal audit in 2009

IOSA registration has been renewed up to December 13. 2014. Biman formed

EASA-145 is implementation project committed and getting of EASA-147 is in

progress. Implementation and effective safety management system is in progress.

Biman is launching of flight data analysis program as part of accident prevention

program. It was fully functional from April 2011. The objective of this audit is to

find out the deviation from the operation procedure this is basically continual

process.

Biman Fight Catering Center (BFCC):

Biman flight Catering Centre (BFCC) a wholly owned independent unit of Biman

Bangladesh Airlines was setup in 1989. BFCC provides Bimans in-flight meals and

is one of Bimans most profitable operations, regularly supplying food to Ethihad

Airways. Air Afriqiyah and Cathay Pacific with casual orders from other airlines

operating to Bangladesh. Saudi Arabian Airlines and China Eastern has started uplift

of catering items and services form BFCC during the financial year 2009-10.

Biman Poultry Complex (BPC):

The BFCC consumes 90% of the eggs and chicken from the Biman Poultry Complex

(BPC), another profit-making subsidiary of Biman formed in 1976 and put into

operation in November 1980 to rearing poultry at farms in Dhaka. Bird flu was

detected at one of the farms in March 2007 which resulted in many livestock being

culled. This was the first incident of bird flu in Bangladesh. Poultry industry in

Bangladesh was partly pioneered by the Biman subsidiary in the mid-1970s, though

the first poultry in Bangladesh was a private venture named Eggs and Hens

established in 1964. The medium sized breeder set up by BPC eventually led to NGOs

and the government coming forward to develop the sector in early 1990. 694 are

employed at BFCC and 90 in Biman Poultry Complex at Savar, 40 km North- West of

Dhaka City, on 75 acres (300,000 m2) of land including 5 acres (20,000 m2) poultry

shed, 1-acre (4,000 m2) residential area and 69 acres (280,000 m2) of agricultural

land. During FY 2009-10, it supplied 3, 64,005 kilograms of boiler chicken. The

complex is planning again for production of chicken from summer 2010 after long

3.18 Subsidiaries and their contribution in Biman


suffering of a setback when Bird Flu was detected in March 2007. A large number of

livestock had to be being culled. Poultry industry in Bangladesh was partly pioneered

by this unit.

Bangladesh Airlines Training Centre (BATC):

Bangladesh Airlines Training Centre (BATC) began its journey as the Ground

Training school in the Engineering Hangar at the old Airport in 1972 immediately

after the war of Liberation and subsequently moved to Bimans own building at

Frmgate. In 1984 the Biman Management took advantage of an ICAO/UNDP offer to

setup an apprentice training school and acquired land from CAAB to start the project

at Hazrat Shahjalal International Airport. The UNDP/ICAO assistance to setup

Apprentice Training School was much better utilized to actually build a proper and

full-fledged training centre for the national carrier. This is BATC today.

BATC offers all ground training to Bimans own personnel and personnel of other

airlines. It also offers training to travel and cargo agents in a regular basis. Its main

objectives are skill development of personnel for development and generating

services. Its main mission is to train personnel requisite to the needs of the airline,

skill development of personnel for in depth qualitative improvement of the airline

service, attitudinal realignment of airline personnel for developing proper service-

oriented mentally and management development for efficiency and long-term

effectiveness.

BATC provides training in the faculty of Operation Technical, Management

Development, Avionics Engineering, Aerospace Engineering, Customer Services, and

Marketing & Sales. At present.34 faculty members are serving the BATC. In 2009-10,

BATC conducted 625 courses for 4,164 participants.

BATC is currently working towards European Aviation Safety Agency- 147(EASA-

147) certification for the training centre as a pre-requisite to set EASA-145

certification for Bimans maintenance facility.


The experienced manpower that it is really a good strength of Biman to lead

the market. This efficient manpower is mostly experienced in the field

rather than the literary experts of present days. So, if Biman can utilize the

potentiality of this force effectively it will be the emerging tiger of this

arena.

Being the National flag carrier, Biman bears the symbol of our

independence and sovereignty which is definitely strength of the marketing

of Biman.

All of the departments of Biman Bangladesh Airlines Ltd. are at one

building that is Balaka. This helps to take any important decision quickly.

During work load, employees come to complete the task from other

departments.

It has huge financial support from the government of Bangladesh.

Biman is the only one organization that provides ground service for all

foreign airlines in Bangladesh.

Huge operational investment.

It provides both passenger & cargo services

The main weakness of Biman is the miss management. The management of

Biman could never work independently since the government owned the

organization with having inevitable governmental influence in almost all

sections and there is always pressure from outside to entertain personal

interest.

At the same time considering the global standard of International Airlines,

Biman is lagging behind. The staff is not provided with modern

technologies therefore faster customer service is not ensured from the part

of employee.

4.1 Strengths

4.2 Weaknesses


Even from the very initial period Biman could not be able to recruit or

deploy the right professional person for the right place to achieve its desire

objectives.

Governmental quota system makes Employment Section puzzled to recruit

and select people.

Biman Bangladesh Airlines Limited does not possess any Human Resource

information System (HRIS) to recruit, select and make employee inventory.

The entire database related jobs are done through Microsoft Excel.

Management team does not emphasize on the Brand development of Biman

to create demand and interest on public mind.

Lack of skill people to develop a strong and positive image in customer

mind.

There is no pressure to turn this organization into a profitable organization.

Lack of marketing strategy to create new customer, market, and customer

support service.

Complex bureaucratic system.

Lack of modern machinery to provide better service to the customer in

ground service.

Unsatisfactory promotion system.

Less innovation.

Dissatisfaction among employees.

.

The market is based on labor traffic, returning residents, business travelers,

medical purpose and tourists.

Cargo market based on RMG, leather goods medicine, perishable goods. In

term of cargo, perishable are mostly dependent on Biman service and also

demanded for the RMG. In fact Biman has over flow demand for cargo

from Bangladesh.

The labor passengers have an extreme attraction for the national flag carrier

for its home like hospitality. The returning residents also prefer national

carrier for home essence.

4.3 Opportunities


Bangladesh government possesses most of the shares of Biman Bangladesh

Airlines Limited for this; the organization has huge support from the

government, like financial and technical.

There are few competitors in the domestic market so that it has huge

opportunity to make profit from domestic market.

Large number of customer in domestic and international routes.

Low price of air tickets.

The main threat is considered the free entry for mega carriers like Saudia,

Gulf, Etihad, Emirates etc. Currently about 25 carriers are operating from

Bangladesh. Those carriers are mostly modern and have a good financial

strength and experience in this line. It would be very tough for Biman to

survive in the market if Biman does not take necessary action immediately

to restructure the Brand.

Local private carriers are also doing well to be threat for Biman.

As a consequence of being a state-owned corporation Biman has suffered

from being politicized in many aspects. It has been politicized by the

government.

People have a negative notion toward Biman Bangladesh Airlines Limited,

because of its service and flight schedule.

Lots of competitors in the international market as well as some better

alternatives of Biman in domestic airlines market.

Corruption and irregularities in leasing process of Biman leads excess

payment of US$ 50 million (estimated) in last five years.

Rising fuel price.

4.4 Threats


The Customer Based Brand Equity looks at building a brand as a sequence of steps,

each of steps which are contingent on successfully achieving the objectives of the

previous steps. The steps of brand building are as follow:

5.1.1 Brand Identity:

The visible elements of a brand (such as color, design, logo type, name, and

symbol) that helps to identify and distinguish the Brand in the consumers

mind.

5.1.2 Brand Meaning:

Brand is the "name, term, design, symbol, or any other feature that identifies

one seller's product distinct from those of other sellers.

5.1.3 Brand Response:

Brand response is essentially a carefully executed direct response campaign

with longer-term goals such as customer retention, brand loyalty and

improving customer relationships with the brand itself. The conception

indicates brand response is a campaign, and the success of such a campaign

depends on the use of consistent creative that reinforces the brand over time

and delivers the messages through all media used whether that is door-drops,

direct mail, press advertising, radio, the Internet or television.

5.1.4 Brand Relationship:

Brand relationship is the repeated interactions between a brand and a customer

that start to reflect similar characteristics of relationships between people, such

as love, connection, interdependence, intimacy, and commitment.

Customer Based Brand Equity is the differential effect that brand knowledge has

on consumer response to the marketing of that brand. A brand has positive

5.1 Steps of Brand building

5.2 Customer Based Brand

Equity


customer- based brand equity when customer react more favorably to a product

and the way it is marketed when the brand is identified them when than it is not

(Say, when the product is attributed to a fictitious name or is unnamed). On other

hand; a brand has negative customer based brand equity if customer reacts less

favorably to marketing activity for the brand compared with an unnamed or

fictitiously named version of the product.

Fig no-2: Customer Based Brand Equity Model

Brand positioning is how a product is perceived in the mind of consumer in

relation to competitors brand in market. Positioning is act of placing a companys

brand in consumers minds over and against competitors in terms of characteristic

and benefits that the brand dose and does not offer

1 attributes or benefits

2 quality and price

3 use and user

4 competitions

5.3 Brand Positioning

4. RELATIONSHIP =

What about you and me?

3. RESPONSE =

What about you?

2. MEANING =

What are you?

1. IDENTIFY =

Who are you?

Salience

Performance Imagery

Judgment Feelings

Resonance

Intense,

Active loyalty

Positive,

Accessible reaction

Strong, favorable and

unique brand association

Deep, broad brand

awareness loyalty

association


According to Philip Kotler positioning is the act of designing the companys

offerings and image to occupy a distinctive place in the target markets mind.

Firms can position on the basis of:-

1. Attributes attached with product or service

2. High tech image of company

3. Benefits

4. Category of user using this product

5. Comparison with competitors

6. Entire range of service

5.3.1 Brand Mantras:

A brand mantra is a 3 to 5 word shorthand encapsulation of your brand position. It is

not an advertising slogan and it wont be something you use publicly. A brand mantra

is at its most powerful when it becomes a deeply resonant piece of the DNA of the

company and is used as a touchstone to return when making difficult decisions.

5.3.2 Points of Parity and Points of Difference

Points-of-difference (PODs) Attributes or benefits consumers strongly associate

with a brand, positively evaluate and believe they could not find to the same extent

with a competing brand i.e. points where you are claiming superiority or

exclusiveness over other products in the category.

Points-of-parity (POPs) Associations that are not necessarily unique to the brand

but may be shared by other brands i.e. where you can at least match the competitors

claimed bets. While POPs may usually not be the reason to choose a brand, their

absence can certainly be a reason to drop a brand.

5.4.1 Brand Name:

The word or words used to identify a company, product, service, or concept.

5.4 Brand Elements


5.4.2 URLs:

A uniform resource locator, abbreviated as URL (also known as web address,

particularly when used with HTTP),is a specific character string that constitutes a

reference to a resource . A URL is a formatted text string used by Web browsers,

email clients and other software to identify a network resource on the Internet.

Network resources are files that can be plain Web pages, other text documents,

graphics, or programs.

5.4.3 Logos and Symbols:

Logo: The visual trademark that identifies the brand.

Symbol:

A letter, figure, or other character or mark or a combination of letters or the lik

e used to designate something.

5.4.4 Characters:

Characters represent a special type of brand symbol on the takes on human or real

life characteristics. Brand character typically are introduced through advertising and

can play a central role in advertisement campings and package designs.

5.4.5 Slogans:

A distinctive cry, phrase, or motto of any party, group, manufacturer, or person

catchword or catchphrase.

5.4.6 Jingles:

A jingle is a short tune used in advertising and for other commercial uses. The jingle

contains one or more hooks and meaning that explicitly promote the product being

advertised, usually through the use of one or more advertising slogans. Ad buyers use

jingles in radio and television commercials; they can also be used in non-advertising

contexts to establish or maintain a brand image. Jingles are a form of sound branding.


6.1.1 Brand Identity:

Brand identity of Bangladesh Biman

Fig no-3: Logo of Biman

6.1.2 Brand Meaning:

Fig no-4: Logo of Shodesh airways

Shodesh Airways: A Shodesh airways is for domestic flight.

Fig no-5: Logo of Probash airways

Probash Airways: Probash Airways is for international flight.

6.1.3 Brand Response:

Brand response is essentially a carefully executed direct response campaign with

longer-term goals such as customer retention, brand loyalty and improving customer

relationships with the brand itself. Biman Bangladesh airlines has great brand

response from its customer. We can see the response by the sales projection.

6.1 Steps of Brand building


Fig no-6: Brand response by the customer

6.1.4 Brand Relationship:

Brand relationship is the repeated interactions between a brand and a customer that

start to reflect similar characteristics of relationships between people, such as love,

connection, interdependence, intimacy, and commitment. Biman Bangladesh has

strong relationship with customer.

Keller's Brand Equity Model is also known as the Customer-Based Brand Equity

(CBBE) Model. Kevin Lane Keller, a marketing professor at the Tuck School of

Business at Dartmouth College, developed the model and published it in his widely

used textbook, "Strategic Brand Management."

The concept behind the Brand Equity Model is simple: in order to build a strong

brand, Biman must shape how customers think and feel about its product. Biman have

to build the right type of experiences around its brand, so that customers have

specific, positive thoughts, feelings, beliefs, opinions, and perceptions about Biman.

When Biman have strong brand equity, its customers will prefer more service from

Biman, they'll recommend Biman to other people, they're more loyal, and Biman are

less likely to lose them to competitors.

6.2 Customer Based Brand Equity

49%

17%

13%

10%

8% 3%

Biman Bangladesh Airlines ltd GMG Airlines ltd.

Regent Airlines ltd. Aero Bengel Airlines ltd.

United Airways Others


The model, seen in Figure 1, illustrates the four steps that Biman need to follow to

build strong brand equity.

Fig no-7: Keller's Brand Equity Model

The four steps of the pyramid represent four fundamental questions that Biman

customers will ask often subconsciously about its brand.

The four steps contain six building blocks that must be in place for Biman to reach the

top of the pyramid, and to develop a successful brand.

Applying the Model

Let's look at each step and building block in detail, and discuss how Biman can apply

the framework and strengthen its brand.

Step 1: Brand Identity Who Are You?

In this first step, Biman goal is to create "brand salience," or awareness in other

words, it need to make sure that its brand stands out, and that customers recognize it

and are aware of it.

Biman is not just creating brand identity and awareness here; it also trying to ensure

that brand perceptions are "correct" at key stages of the buying process.


Application

To begin, Biman first need to know who its customers are. Research its market to gain

a thorough understanding of how its customers see its brand, and explore whether

there are different market segments with different needs and different relationships

with Biman brand.

Next, identify how its customers narrow down their choices and decide between

Biman brand and its competitors' brands. What decision-making processes do its

customers go through when they choose Biman product? How are they classifying

Biman product or brand? And, when Biman follow their decision making process,

how well does Biman brand stand out at key stages of this process?

Biman are able to sell its product because it satisfies a particular set of its customers'

needs; this is Biman unique selling proposition, or USP. Biman should already be

familiar with these needs, but it's important to communicate to its customers how

Biman brand fulfills these. Do Biman clients understand these USPs when they're

making their buying decisions?

By the end of this step, Biman should understand whether its clients perceive its brand

as Biman want them to, or whether there are specific perceptual problems that Biman

need to address either by adjusting its product or service, or by adjusting the way that

Biman communicate its message. Identify the actions that Biman need to take as a

result.

Step 2: Brand Meaning What Are You?

Biman goal in step two is to identify and communicate what its brand means, and

what it stands for. The two building blocks in this step are: "performance" and

"imagery."

"Performance" defines how well Biman product meets its customers' needs.

According to the model, performance consists of five categories: primary

characteristics and features; product reliability, durability, and serviceability; service

effectiveness, efficiency, and empathy; style and design; and price.

"Imagery" refers to how well Biman brand meets its customers' needs on a social and

psychological level. Biman brand can meet these needs directly, from a customer's


own experiences with a product; or indirectly, with targeted marketing, or with word

of mouth.

Application

The experiences that Biman customers have with its brand come as a direct result of

its product's performance. Biman product must meet, and, ideally, exceed their

expectations if its wanted to build loyalty. Use the Critical to Quality Tree and Kano

Model Analysis models to identify its customers' needs, and then explore how

Biman can translate these needs into a high quality product.

Next, think carefully about the type of experience that Biman want your customers to

have with its product. Take both performance and imagery into account, and create a

"brand personality." Again, identify any gaps between where Biman is now and where

Biman want to be, and look at how Biman can bridge these.

Step 3: Brand Response What Do I Think, or Feel, About You?

Biman customers' responses to its brand fall into two categories: "judgments" and

"feelings." These are the two building blocks in this step.

Biman customers constantly make judgments about its brand and these fall into four

key categories:

Quality: Customers judge a product or brand based on its actual and perceived

quality.

Credibility: Customers judge credibility using three dimensions expertise

(which includes innovation), trustworthiness, and likability.

Consideration: Customers judge how relevant Biman product is to their unique

needs.

Superiority: Customers assess how superior Biman brand is, compared with

Biman competitors' brands.

Customers also respond to its brand according to how it makes them feel. its brand

can evoke feelings directly, but they also respond emotionally to how a brand makes

them feel about themselves. According to the model, there are six positive brand

feelings: warmth, fun, excitement, security, social approval, and self-respect.


Application

First, examine the four categories of judgments listed above. Consider the following

questions carefully in relation to these:

What can Biman do to improve the actual and perceived quality of its product

or brand?

How can Biman enhance its brand's credibility?

How well does Bimans marketing strategy communicate its brand's relevancy

to people's needs?

How does Biman product or brand compare with those of its competitors?

Next, think carefully about the six brand feelings listed above. Which, if any, of these

feelings does Bimans current marketing strategy focus on? What can Biman do to

enhance these feelings for your customers?

Identify actions that Biman need to take as a result of asking these questions.

Step 4: Brand Resonance How Much of a Connection Would I Like to Have With

Biman?

Brand "resonance" sits at the top of the brand equity pyramid because it's the most

difficult and the most desirable level to reach. Biman have achieved brand

resonance when its customers feel a deep, psychological bond with its brand.

Keller breaks resonance down into four categories:

Behavioral loyalty: This includes regular, repeat purchases.

Attitudinal attachment: Biman customers love its brand or its service, and they

see it as a special purchase.

Sense of community: Biman customers feel a sense of community with people

associated with the brand, including other consumers and company

representatives.

Active engagement: This is the strongest example of brand loyalty. Customers

are actively engaged with Biman brand, even when they are not purchasing it or

consuming it. This could include joining a club related to the brand;

participating in online chats, marketing rallies, or events; following your brand

on social media; or taking part in other, outside activities.


Application

Biman goal in the last stage of the pyramid is to strengthen each resonance category.

For example, what can Biman do to encourage behavioral loyalty? Consider gifts with

purchase, or customer loyalty programs.

Ask itself what it can do to reward customers who are champions of Biman brand.

What events could Biman plan and host to increase customer involvement with its

brand or service? List the actions that its could take.

Brand positioning is how a product is perceived in the mind of consumer in relation to

competitors brand in market. Positioning is act of placing a companys brand in

consumers minds over and against competitors in terms of characteristic and benefits

that the brand dose and does not offer

1. Attributes or benefits of service provide by Biman.

2. Quality and price of the service offered by Biman.

3. Use and user of the service of Biman.

4. Competitions between Biman and its local and foreign competitor.

6.3.1 Brand Mantras:

Reasonably safe aviation within your range

Reasonability: Exact price, exact service, better customer relationship management.

Safe: Positive response, Brand judgments and feelings with bran imagery and

performance.

Aviation: Category (Identity and brand salience)

6.3.2 Points of Parity and Points of Difference:

Points of Parity:

Biman provides same generic service and other facilities in a less cost than other

airlines.

6.3 Brand Positioning


Points of Difference:

1. Treat the customer like being at home.

2. National Flag carrier.

3. Specificity in labor economy flight.

4. Specificity in Hajj Flight.

There are different types of Brand elements that can be used by Biman to build a

strong brand. There are some brand elements of Biman are given bellow:

6.4.1 Brand Name

Fig no-8: Name of Biman

6.4.2 URLs

http://biman-airlines.com

http://bangladeshairlines.com

6.4.3 Logos and Symbols

Fig no-9: Symbol of Shodesh Airways

6.4 Brand Elements


Fig no-10: Symbol of Probash Airways

6.4.4 Characters

Fig no-11: White Stork

6.4.5 Slogans & Jingles

Shodesh Airways: Your Home in the air

Probash Airways: Feel comfortable like home


I have found in my study that there are several important things that need to focus

on for better performances. It has been pointing out some focusing area from the

respondents view according to my objectives that shows below:

As we are new comer, there is a lack of previous experience in this concern.

And many practical matters have been written from my own observation that

may vary from person to person.

Some desired information could not be collected due to confidentially of

business.

In the decision making process, Biman cannot working as independently

because of having Ministerial influences. Sometimes emergency situation

cannot meet immediately for complex bureaucratic system.

Most of the executive directors of Biman are not involve in aviation industry.

They have wanted of experienced and required skilled to run the Biman

successfully and profitably.

Employees of Employment Section have to face lots of requests internally

as well as externally to recruit and select. It annoys them greatly.

Some people has positive where others have negative attitude toward Biman

Bangladesh Airlines Ltd because of its corruption and nepotism.

Biman is obliged, by legislation, to priorities national interest over commercial

ones, and not to be a purely commercial airliner. The government is exercising

the power as given by the ordinance in its activities. In this context, the

government is utilizing Biman to render services for the nation, e.g. operating

government VVIP flights, relief flights and hajj flight, and carrying perishable

items at cheaper rates.

The Board is not accountable to a higher authority because the Minister of

Aviation, who is the designated chief of the organization, is the Chairman of

the Board himself.

Therefore, the Board is neither directly accountable to any other body, nor is it

under obligation to report to any other authority for its activities and

performance.

7.1 Findings based on SWOT analysis


As a consequence of being a state-owned corporation, Biman has suffered

from being politicized in many aspects. It has been politicized such as-

operating domestic flights with wide bodied aircraft, political intervention in

recruitment and promotions, decision-making under political influence.

Corruption in different sectors of Biman is another significant barrier that is

making it difficult for the organization to break away from loss making ways.

Incidents of corruption are evident in purchase and leasing of aircraft, store

and purchase of spare parts, in the tender process and in ticketing and

reconfirmation.

Its Man-Equipment Ratio (MER) at present is 1:367, while the international

acceptable standard ratio is 1:200. Compared to other airlines, the number of

Biman staff is fairly high but their remuneration is fairly low. Biman does not

recruit any staff directly (i.e. from external qualified candidates) in officer

level.

The Biman cannot maintain it flight Schedule on timely. It often delay flight

schedule without showing any excusable reasons.

From the overall output from my study work it is clearly stated that the Brand

development process of Bangladesh Biman is not so much effective. I have found in

my study that there are several important things that need to focus on for better

performances.

There are lacks of activities of marketing section to develop a new brand or

develop existing brand of Biman to catch the customer attention.

The available aircrafts of Biman are old-fashioned and are not fuel-efficient.

These are causing high maintenance cost.

The customer service quality of Biman is very poor because of lack of man

power to provide service according to the level of customers.

Lack of skill people to develop a strong and positive image in customer

mind.

7.2 Findings based on Brand development

strategies:


I have found some problems that are very significant and causing poor performances

of this section as well as of the entire organization. Here I have recommended some

scope that might lead to increase the effectiveness of Biman Bangladesh Airlines

limited.

First of all it has to have an efficient manpower. It does not matter how

big the size of manpower is. The matter is how much they are efficient in

their operation. So Biman has to replace old outdated employee with the

new dynamic, proactive, energetic employee.

Biman Bangladesh Airlines Limited has to extend the dimensions of

training to make the existing and new employee more efficient.

A short-term training program can be arranged to the Managers and

Assistant Managers of the different sections of Marketing to make them

well acquainted with modern Marketing theories.

To launch Human Marketing Information System, a training program on

MIS can be arranged for the Manager of Employment Section or Deputy

General Manager of Marketing.

A department of Regulatory Section can be launched to diminish any

corruption and nepotism to improve the image of Biman Bangladesh

Airlines Limited so that honest eligible people can apply.

To strengthen Marketing Department, an environment must be created

where marketing employees can work independently and innovatively.

Because of the quota system, many eligible candidates have to be

ignored. In that case the Quota System can be relaxed somewhat.

Biman Bangladesh Airlines Limited can take the help of third party to

reduce workloads and time.

Bureaucratic System makes any decision making process time

consuming. To eliminate this system at Biman, few designations can be

eliminated. Because of this, recruitment and selection process, many

times, happens for long time.

Important positions must be filled based in the eligibility from outside

not based on nepotism or relationship.

8.1 Recommendations


The Police Verification of selected employees should be more

transparent.

It should be made free from political pressure. It should operate

independently.

Corruption in Biman has to be removing anyhow. Disciplinary measure

should be strictly followed, and exemplary sentence should be made for

who is corrupted.

The number of station should also increase.

Employees should be made motivated towards achieving goals through

providing rich salary and other benefits as ampere to private airlines.

Performance appraisal should be made with strong criteria and

promoting prize posting etc. should be made on this performance.

Biman should be decontrolled from the government interference in

decision making.

Biman should operate by Biman people without any interference from the

Ministry.

It should purchase or lease the required number of new generation fuel-

efficient

Aircrafts so that it can safely meet the demand of prospective customers.

It should abide by the current business methodologies as used in world-

class airlines to make it successful and profitable.

Biman should recruit staff with required qualification directly at officer

level.

Recruitment, transfer, and promotion on political consideration must be

stopped.

The promotion system of Biman should make on the basis of both

seniority and

Performance in lieu of conventionally seniority basis.

Delay analysis should be undertaken as a routine process and necessary

steps should be taken to maintain the schedule on timely.

Modern cost effective inventory control system should be introduced.

Leasing and purchase process of aircraft should be made transparent.

Punitive actions against corrupt staff of the in and out station of Biman

must be taken.


Bimans existing procurement rules should be appropriately amended so

that Biman can take its own business decisions.

Biman should consult with expert people of reputed airlines companies to

make it profitable.

The Biman Bangladesh Airlines Limited is the only national flag carrier airline in

Bangladesh. It has been converted into public limited in the hope of advancing as

profitable organization in 2007 by the caretaker government. But it is still unable to

make it as profitable company. The subsidiaries of Biman such as BFCC and BPC are

performing profitable unit.

Over the last decades, Biman faced a number of problems. Information on

mismanagement and corruption in the organization has trickled out in recent years.

Such incidents include mismanagement in ticket confirmation and reconfirmation,

poor passenger service, corruption in purchasing spare parts, alleged corruption on

aircraft lease, lack of planning with regard to scheduling, fleet planning, and human

resource management and so on. Although Biman is one of the first choices for fly to

many customers, in many aspects it lags behind. Therefore, the following

recommendations are made to be considered for future improvement and development

of sound operation system within Biman Bangladesh Airlines.

8.2 Conclusion


Employee Level:

Employee Level Permanent &

Contractual

Casual Total

MD & CEO 01 01

Executive

Director

09 09

Cockpit Crew 146 146

General Manager

& Equivalent

14 14

General

Manager &

Equivalent

33 33

Manager/Asst.

Manager/Officer

724 45 769

Staff 2280 1449 3729

Total 3203 1494 4701

Source: Biman Service manuals 2012

The composition of existing fleet of Biman is as follows:


777-300ER S2-AFO 35 384

777-300ER S2-AFP 35 384

777-300ER S2-AHM 35 384

777-300ER S2-AHN 35 384

777-200ER S2-AHK 12 307

777-200ER S2-AHL 12 307

A310-300 S2-ADF 24 196

A310-300 S2-ADK 24 198

Appendix



737-800 S2-AFL 12 150

737-800 S2-AFM 12 150

Source: http://www.biman-airlines.com


Books, Articles of some Authors:

Biman Bangladesh Airlines Limited, Annual Report, 2013.

Biman Market Research Department, and System Performance, 2013.

Hasan, R. (2007), Biman turns public limited company, Dhaka, The Daily Star.

Hasan, R. (2007), Biman at height of flight disarray, Dhaka, The Daily Star.

Hasan, R. (2007), Biman offers its staffs voluntary retirement, Dhaka, The Daily

Star.

Keller, Kevin Lane (2008), Strategic Brand Management (building, measuring, and

managing Brand equity) Third Edition. Dorling Kindersley (India) Pvt. Ltd. ISBN:

978-81-317-1977-0.

Kotler, Philip. Kevin Lane Keller. Abraham koshy. Mithileshwar Jha. Marketing

management( A South Asian Perspective). (2012-2013).13th Edition. Dorling

Kindersley (India) Pvt. Ltd. ISBN: 978-81-317-1683-0.

Malhotra, Naresh K. Satyabhushan Dash. Marketing Research (An applied

Orientation). (2013-2014). 6th

Edition. Dorling Kindersley (India) Pvt. Ltd. ISBN:

978-81-317-3181-9.

Rodwell, Julie F. (2009), Essential in Aviation Management: A Guide for Aviation

Service Businesses. (6th Edition). New York, Houghton Mifflin Company. ISBN-

078-72-976-23.

Different websites:

http://www.airlineroutemaps.com

http://www.airlinequality.com/Airlines/BG.htm.

http://www.biman-airlines.com

http://www.google.com

http://www.planespotters.net/Airline/Biman-Bangladesh-Airlines.

http://www.ti-bangladesh.org/research/EX_Summary_Biman_Eng.pdf

http://www.wikipedia.en

Bibliography

Documents

Internship Report on Biman Bd Limited