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Malaysia Airlines Shows Support for Malaysia’s Vendor Development Programme

KLIA, 14 November 2019: Malaysia Airlines, yesterday, signed a Memorandum of Understanding (MOU) with the Ministry of Entrepreneur Development (MED) for the implementation of the Vendor Development Programme (VDP) at the Vendor Innovation Partnership Programme in KL Convention Centre. VDP is a programme that has been carried out by the government in order to develop small and medium enterprises (SMEs) among local entrepreneurs.

The MoU was signed by Malaysia Airlines Group Chief Operations Officer, Ahmad Luqman Mohd Azmi and Secretary General of MED, YBhg. Datuk Wan Suraya binti Wan Mohd Radzi. The signing was witnessed by Malaysia Airlines Head of Engineering Eke Nazri Rahim and Deputy Secretary-General of MED Muhammad Razman Abu Samah.

Malaysia Airlines will function as an anchor company and will support the programme by implementing VDP starting with Engineering and Maintenance and AeroDarat Services. There will be five initial pilot projects for the VDP programme within Malaysia Airlines, mainly in sourcing additive manufacturing, carpets, seat upholstery, aircraft cleaning materials and chemicals.

The implementation of VDP within Malaysia Airlines aims to help decrease costs attributed to spend for non-critical parts and components by 15% as well decreasing turnaround time and helping boost operational efficiency. An additional benefit of sourcing locally would be that Malaysia Airlines would be able to decrease its exposure to foreign exchange (Forex) volatility.

According to Malaysia Airlines Group Chief Operations Officer, Ahmad Luqman Mohd Azmi “Malaysia Airlines is already an important economic enabler for the country. By signing the MoU with MED, we are also able to create a multiplier effect within the domestic economy by developing an eco-system for local vendors to support their businesses.”

"The VDP also helps to empower local companies to propel their businesses in Malaysia’s airline industry which is predominantly serviced by foreign companies,” he added.




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