On June 6th, Malaysia Airlines welcomed a new chairman to join its Board of Directors. YBhg Tan Sri Wan Zulkiflee Wan Ariffin, previously CEO and president of Malaysian oil and gas company Petronas, will now serve with the flag carrier. According to a Prime Minister's Office statement sent to Simple Flying, the appointment will effectively begin on July 1st.

Commonly referred to as Wan Zulkiflee, he led Petronas for five years. Following the announcement, he will become a member of Malaysia Airlines Berhad (MAB) as a Non-Executive Group Chairman. He will serve as Tan Sri Md Nor Yusof's replacement, who resigned from MAB in March 2019.

According to PM Tan Sri Muhyiddin Yassin's statement, Wan Zulkiflee was appointed at a time where government companies "needed to be strengthened to meet the new world norms."

Who is Tan Sri Wan Zulkiflee?

Tan Sri Wan Zulkiflee joined Petronas in 1983 as a process engineer. He successfully climbed the ranks until he took over as CEO in 2015.

Serving with Petronas for 37 years, Wan Zulkiflee consistently managed to keep the oil and gas company at a robust financial standing. As reported by the Business Standard, it was under his leadership that catapulted Petronas into an international landscape. In fact, the company remains as Malaysia's only government company featured on Fortune's Global 500.

Now, the Prime Minister hopes Wan Zulkiflee can build up the state's flag carrier. Notably, so MAB could "grow as a resilient and sustainable national carrier with good governance."

CEO and Managing Director of Malaysia's Aviation Group, Captain Izham Ismail, also approved of the new addition to the team. In a statement seen by Simple Flying, Izham Ismail said,

Tan Sri Wan’s proven leadership and illustrious career at Petronas prove that he is the most suitable candidate to lead MAG forward as a strong player in the aviation industry and a critical enabler of national development."

Will a buyout or merger for MAB still be on the cards?

Although the carrier earns via cargo and repatriation flights, Malaysia Airlines is a far cry from reporting a profit.

The ailing airline needs a considerable boost to bounce back, not only from the coronavirus crisis. When Malaysia Airlines is concerned, two unfortunate tragedies come to mind. Specifically, when MH370 disappeared in 2014, and MH17 was shot down over Eastern Ukraine. In January, Simple Flying reported that the carrier would need government assistance accumulating to $5.15bn to keep afloat until 2025.

Malaysia Airlines
Malaysia Airlines suffered two aircraft losses in 2014 and has never recovered Photo: Getty Images

Talks of a merger between Malaysia Airlines and AirAsia were taking place in mid-April. The merger, which would be a feasible way to save the flag carrier, has still not been confirmed to date. Loss-making Malaysia Airlines remains popular, though, as multiple airlines are looking to buy the airline and capitalize on its robust route network.

By the looks of it, the carrier has explored several options but still not chosen a correct path. However, with a new chairman, only time will tell if the airline will no longer require a buyout or merger.

Changes in leadership as a last resort

With the virus outbreak affecting airlines globally, it appears that shuffling around leadership or new hires are a way for airlines to bounce back. In a possible bid to direct more attention to saving airlines, carriers have looked to a change in leadership as its last resort.

Malaysia Airlines New Chairman Wan Zulkiflee
Malaysia's Prime Minister hopes the new chairman will revitalize the flag carrier. Photo: Malaysia Airlines

At the end of May, United Airlines announced multiple changes to their leadership team – where COO Greg Hart was shifted to a bespoke role concerned with critical medium and long term issues. One issue he is in charge of undoubtedly includes the current COVID-19 crisis.

Wan Zulkiflee's role bears similarity to Hart's – as he is required to aid the airline in its survival from a significant downturn in global aviation amid the COVID-19 outbreak.

What do you think about the newly appointed chairman? Will this move help Malaysia Airlines in its fight for survival? Let us know in the comments.