Annual Report 2021

On-Time Performance (OTP) Key to keeping our guests happy as repeat customers is to ensure that our flights take off on time. Our OTP performance is closely monitored using digital tools and management walkabouts. Among the technologies implemented are an analytical toolset that provides greater visibility of OTP factors and other supplementary metrics that affect performance. Our team also applies a delay prediction algorithm to map out potential delays up to four hours in advance. This early notification adds a buffer allowing our Operations teams to apply solutions that help mitigate and minimise the impact of delays. It also enables our Customer Happiness team to notify guests in advance so they are able to adjust their travelling plans, while our Guest Services team adjusts manpower allocations to ensure check-in counters are adequately staffed. To monitor performance, weekly and monthly OTP reviews are held by all our AOCs. To continuously improve our service, we set the Group’s OTP target at 85%. Our OTP for the period between 2019 to 2021 is shown in the table below. AirAsia Load Factor and On-Time Performance, 2019-2021 Indicators Measure 2019 2020 2021 Load factor for short-haul (<6 hours) (%) 85% 75% 74% Percentage of short-haul flights (<6 hours) with more than 15 minutes delay 22% 15% 20% On-time performance (%) 78% 85% 80% Between 2020 and 2021, we recorded a five percentage point increase in the number of delayed flights. This was mainly due to additional Covid-19 Customs, Immigration and Quarantine (CIQ) procedures that have been introduced by airports and health authorities. For example, Covid-19 regulations require that, after passengers disembark from an aircraft, the airline has to await the results of their Covid-19 tests before allowing new passengers to board. Should any passenger be symptomatic, the aircraft has to be thoroughly sanitised before on-boarding new passengers. Another factor contributing to delays was the added complexity of managing a regularly changing set of Covid-19 regulatory rules which differ by country, and sometimes, states. These not only impacted check-in processes but also boarding times as Allstars have been requested to undertake additional documentation checks. While we do our utmost to communicate these new rules to Allstars and guests, the short notice given for implementation of new requirements resulted in lengthy delays in some cases. However, we believe that there remains no immediate need to review our standard departure times as the changes are gradually being factored into our embarkation and disembarkation processes. In Indonesia, the streamlining of new policies and procedures has allowed us to recover our OTP performance by 40% compared to earlier in the year. Furthermore, many airports are easing requirements as Covid-19 enters into an endemic phase. We will continue to monitor our OTP and review our flight schedules on an ongoing basis. S U S T A I N A B I L I T Y S T A T E M E N T A N N U A L R E P O R T 2 0 2 1 1 1 1

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