Hard Landing---Thai Airways President Gets Sacked

Dr Piyasvasti Amranand, recently sacked as president and CEO of Thai Airways, says that he knows why he was fired, but he refuses to give the reason. 

Foreign Correspondents Club of Thailand. Bangkok. May 31, 2012. I've flown on Thai Air extensively and consider it to be a very good carrier. It is, of course, the national carrier of Thailand, and a majority of its shares are owned by the government, thereby making it a government enterprise, while a minority of its shares are publically traded. Over the years, Thai Air has deteriorated on several fronts, the most noticeable being its failure to modernize its fleet, which has resulted in the average age of its planes being the highest in this area of the world. The two most senior problems facing the airline, which stem from its government ownership, is corruption and political interference in Thai Airways' management. 

In 2009, Dr Piyasvasti Amranand, a highly respected technocrat, was selected as Thai's president and CEO. By all accounts, Dr. Piyasvasti has done an excellent job and has turned the airline around. Still, about two weeks ago, he was abruptly fired by the board of directors several years before his contract was to end, and no explanation has been given for his dismissal.

In his appearance at the FCCT, Dr. Piyasvasti presented himself as a highly intelligent, skilled, and competent manager. While he told about his accomplishments as Thai's head, he also mentioned areas in which he had been less successful. However, on the key question about why he was fired, Dr. Piyasvasti said that although he knew the reason for his dismissal, it was up to the board of directors to disclose the reason. He did, however, say that it was "not something bad." Dr. Piyasvasti proclaimed that since Thai Air is a government enterprise and also publically traded, both the Thai public and the shareholders have a right to know the reasons for his dismissal, a view I definitely share. On the other hand, his refusal to give the reason for his firing is disingenuous if he really believes in the right to know. It seems that his belief in full and honest disclosure is a qualified one: the disclosure must come from the right person, in this case, according to Dr. Piyasvasti, the chairman of the board of directors. In adhering to this "I know but won't tell" policy, Dr. Piyasvasti lost a lot of credibility with me.