The British Airways case study was a very interesting case to read. It proves that not all people can be leaders, especially the chairman, board and chief executives of British European Airways (BEA) and British Overseas Airways Corporation (BOAC.) According to the case study of British Airways, the life at the “old” British Airways was “bloody awful” (Changing the Culture of British Airways, 1990, p. 1).
While working on the inner structure of the company, a huge hurdle was the airline’s image, the proverbial “elephant in the room”. This was an airline that handed out food boxes as you boarded the plane. They had a “bloody awful” image Jick (2011), that needed an overhaul to appeal to the consuming public.
British Airways (BA) is a company that encountered several difficulties back in the 1970’s and 1980’s. The poor performances of the organization, was leading the company to failure. BA was offering a service that even though it accomplished the mission of the company, was not providing customer satisfaction. The organization was not taking into consideration the needs of the costumer and was not providing an acceptable customer service experience. “Productivity at BA in the 1970s was strikingly bad, especially in contrast to other leading foreign airlines” (Jick, Peiperl, 2010, p.28). Due to numerous changes, the company increased their revenues and became a respectful and well know organization.
In June of 1982, BA management appended the Survival plan to accommodate the reduction of another 7,000 staff, which would eventually bring the total employees down from about 42,000 to nearly 35,000. BA accomplished its reductions through voluntary measures, offering such generous severance that they ended up with more volunteers than necessary. In total, the airline dished out some £150 million in severance pay. Between 1981 and 1983, BA reduced its staff by about a quarter.
Macro: The first problem changing the culture at British Airways was the merger of the BOAC and BEA. In 1971, the Civil Aviation Act became law and the board was to control policy over British Airways but both BOAC and BEA remained autonomous, each with its own chairman, board, and chief executive. This caused a split within British Airways throughout the 1970s and in the mid-1980. The second problem BA faced was the threat of privatization. In 1984 the government passed legislation that made BA a public limited company. The third was productivity was bad compared to other leading foreign airlines. The fourth was poor service. Poor customer service
Flight Attendants were worried about the arbitrary process MCA’s management used to resolve issues, expressly the margining of the seniority list and working conditions. This was a concern of job security.
* Unions. The unions are somewhat of a weakness if they continue to ignore the people that keep them running smoothly. I foresee an uproar if the “suits” get another set of bonuses, when it is the crew that makes the equipment safe to fly.
The dispute between BA management and Cabin Crew from 2009 to 2011 caused extensive impact throughout the global condition. BA totally lost £150 million and the brand reputation had been affected seriously. It meant that BA has some problems about its change management. This academic report contains
On October 22nd, 2001, the Industrial dispute between QANTAS and its employees was initiated with the offering of a new Enterprise Bargaining Agreement. This proposed an 18-month wage freeze for employees plus a sliding scale profit share scheme. Ten out of twelve unions under QANTAS accepted the terms of the agreement, barring the unions of manufacturing employees (AWU and AMWU). They were holding out for a 4-6% pay rise. On the 8th May 2002, some ten months later, the dispute was resolved when QANTAS agreed to an across the board 6% pay increase. This essay provides an in-depth analysis into the dispute, including causes, the resolution process, the role of stakeholders, and costs and benefits for all concerned.
British Airways (BA) was formed in 1974 by the merger of the British Overseas Airways Corp (BOAC) and the British European Airways (BEA). BA’s integration did not come without problems. By the early 1980’s BA generated debs in excess of £500m, staff discontent and customer dissatisfaction were common denominators across the operational equation and in 1980 the airline topped a list of airlines to be avoided at all costs.
Air Canada’s early strategy was to grow the business, with minimal concern about their staff members and customers. Without any benefits or rewards their staff felt underappreciated. Their customers felt as though their feedback wasn’t being heard but in the eyes of Air Canada as long as their business was expanding, they were satisfied.
The aviation industry, due to its fast paced and extremely performance oriented nature, is an ideal example of how proper organizational behavior lends to the growth, and ultimate success of a company. Often, mitigating operational hurdles and constraints becomes the focus of leadership in this industry as problems such as financial limitations continually arise. This unfortunately can result in employers neglecting the most essential part of their company, the employees. The ability for an employer to recognize and resolve threats to employee job satisfaction and security, conquer lack of employee motivation, and proactively negotiate internal and external conflict allows for a company to thrive.
The skill emphasis needed in a service industry such as airlines is mostly interpersonal. Recognizing the need for interpersonal skills, JetBlue designed the employee selection process to make sure the hired crew members fit into the culture and understood the values and mission. Decision making is another important characteristic of the service industry and the crew members were also identified and selected on their decision making capabilities as the customer related decisions are made at the lowest level of the organization. JetBlue designed the orientation process to highlight the different core values to the employees and made them identify with the mission. Expected behavior of the employees and their contribution to the success of the
British Airways (BA) is based on the British flag carrier airline, based near London Heathrow Airport, the main center is near the Gulf. British Airways operate with Gatwick Airport which is the second or third center, a dedicated British Airways at London City Airport Express