AirAsia’s Tony Fernandes Shares His Crisis Communications Playbook

Skift Take

In an industry where tightly scripted quotes can feel like the norm, Tony Fernandes’ candid communication style is distinctive and refreshing.

Gordon Smith

AirAsia co-founder Tony Fernandes is one of the best-known leaders in the airline industry. He’s also one of its most outspoken. Addressing the Skift Global Forum East in Dubai on Wednesday, he described sustainable aviation fuel as “stupid” and said he has no regrets about exiting the Indian market.

Reflecting on his sometimes controversial communications approach, Fernandes said openness is a key part of his leadership style.

“I like to be transparent, I like to be real. Some people can appreciate it and a few sometimes take it the wrong way – but the airline and travel business are tough so I like to add humor. I like to add fun because it keeps us all sane. Some people can’t handle that.” 

The Malaysian entrepreneur had an audience of millions across X and Facebook before leaving both platforms to take his views elsewhere. Fernandes is currently most active on LinkedIn, regularly sharing candid insights with almost 200,000 followers.

“My social media is unfiltered. No one is going to tell me what to say. I like to be transparent to our customers and partners,” said the music executive turned low-cost airline pioneer.

Talking Through Tragedy

While Fernandes is famed for his upbeat online content, the AirAsia chief told Skift how he managed one of the biggest challenges of his career.

In December 2014, Indonesia AirAsia Flight 8501 crashed into the Java Sea shortly after take-off, killing all 162 people on board.

“We speak about the positives, but I had one of the worst times of my life when we lost an aircraft in Indonesia. I came from the music business and suddenly I’m confronted with people losing their lives on our aircraft.

“Our lawyers said ‘Oh, you don’t need to go there Tony,’ and I said ‘Are you crazy? I’m the leader of this brand. I can’t just be there for good things. I have to be there for all of our staff.’ So I flew out to Indonesia and met every single relative and gave my mobile phone number to everybody. I kept the world informed at that point through Twitter. It kind of became an example of how to handle disasters.”

Fernandes’ Next Steps

As CEO of AirAsia’s parent company Capital A, Fernandes and his team are currently working to merge AirAsia and long-haul division AirAsia X. The goal is to streamline operations and turn Kuala Lumpur into a low-cost “megahub.”

Until recently, a defining characteristic of the AirAsia empire has been its corporate complexity. Now, it stands to simplify by bringing AirAsia and AirAsia X together as one while leaving aside most of the group’s laundry list of non-core business units.

In April, it was announced that Fernandes will stay on as the company’s top executive for another five years. He has led the company and its predecessors since 2001 after famously buying a tiny regional airline for just one Malaysian Ringgit ($0.25). 

However, in recent years the company faced well-documented financial problems. In 2021, management announced a debt restructuring scheme to avoid filing for bankruptcy. The CEO told Skift that rebuilding the business after the pandemic was “a very difficult process.” The turnaround plan has been largely successful to date, and earlier this year Capital A shared plans to list on the U.S. markets.

“Our brand has been resilient through many, many crises and I believe in being transparent, being honest. We’ve screwed up many times – no one is perfect,” acknowledged Fernandes. 

“You’re not going to please everyone, but the majority of humans are reasonable when you give them the right reasons. I always insist when we have a problem – or even a good thing – it won’t say ‘a spokesman said,’ there will always be someone accountable.”

With at least five more years at the helm of one of Asia’s biggest airlines, don’t expect Fernandes’ colorful quips and public interventions to be heading for the departure lounge just yet.

Tony Fernandes was speaking at the Skift Global Forum East in Dubai. For more information about future Skift events click here.