Case Study : American Airlines Group

American Airlines is a major airline of the United States. It is the world’s largest airline in passenger miles transported and passenger fleet size; second largest, behind FedEx Express, in aircraft operated; and second behind Air France-KLM in operating revenues.

United Airlines and Continental Airlines, two major airlines companies, agreed to a merger that would create the world’s largest airline. Such important deal has a lot of problems to be dealt with, from technical, for example how to put the companies databases together, to more fundamental, like how the company should be ruled.

On February 29, 1996, WestJet Airlines came to life. They became the face of low-cost, short-haul, point-to-point airline for Western Canada. The organization began when entrepreneur Clive Beddoe, president of Hanover Group of Companies purchased an aircraft for personal use. Beddoe later made his aircraft available to other business people through Morgan Air, owned and operated by Tim Morgan. Tim Morgan, along with Calgary businessmen Don Bell and Mark Hill found an opportunity to start an airline. They all reached out to David Neelman, who was president of Morris Air and asked for assistance on writing the business plan for WestJet. They joined forces and WestJet Airlines came to life. They all held a different position and Beddoe was the president, chief executive officer, and chairman of the board of directors. Bell and Morgan were senior vice-presidents and Hill was the vice president. When WestJet first began, they only flew to Vancouver, Kelowna, Calgary, Edmonton, and Winnipeg. They now fly to 102 destinations in 19 different countries. In addition, they also increased the amount of aircraft they own. WestJet began in 1996 with just two aircraft and by August of 2000, they increased to 94 aircraft. Not only did they increase aircraft, but employees too. Their workforce expanded to 30,000 employees. On July 1999, WestJet hit a huge milestone when it completed its initial public offering of 2.5 million common shares. Clive Beddoe

United Airlines, established in 1934, is an air transportation company with operations in North and Latin America, Europe, the Middle East, and the Asia-Pacific with headquarters in Chicago, Illinois. As an airline company, one of the primary functions of United Airlines is the air transportation of not only passengers but also cargo to and from numerous different locations. However, United Airlines also has functions in selling fuel, as well as in services related to catering, ground handling, and maintenance (Airlines, 2017). United Airlines’ ground handling services are substantial enough that in 2015, United Airlines established United Ground Express to supplement their customer service and cargo operations at airports across the United States. In total, United Airlines and United Ground Express manage approximately 5,000 flights per day to 362 different airports worldwide (United Airlines, 2015).

The main business of AMR Corporation’s is in the commercial aviation industry. AMR was founded in 1930, named American Airways Inc. due to many smaller companies acquired in a consolidation. It operates wide range of international and domestic network of flights which pass from North America, the Caribbean, South America, Europe, and Asia. Their headquarter were in New York City but later in the year 1979 was moved to Forth Worth Texas due to their expanding business. They are known as one of the leading airline in the world which gives a big support to the US economy by providing many daily flights around the world. Many big corporations look up to American Airlines as a way of major income for them. They are mostly known for being the parent company for American Airline.

After evaluating United Airlines and the people’s reviews I am confident to say that as a company, United Airlines is on the right track. As a consultant for the company, I could really bring about the small and simples flaws that would make flying with United more enjoyable and be the most prefered airlines in the coming years.

1. According to the authors of the case study, some of the market conditions of the U.S. airline industry in the early 1990s were triggered by the Airline Deregulation Act of

AAR CORP is a airline aviation service for airplane where the company service and sale parts for airplanes. The AAR Corp along with its subsidiaries is engaged in providing products & services including overhaul, repair & engineering services to aviation & government & defense markets. The company Sale and lease OEM parts and products. It is also engaged in design, manufacture and repair of transportation pallets. AAR 's also has an Services that supply shelters, command and control (C4) systems, cold chain containers, and airlift operations for military and humanitarian missions. This mission is to perform a variety of missions to aid those in need or any type of humanitarian crisis.

With 1988 operating income of $801 million on a revenue of $8.55 billion, American Airlines, Inc. (American), principal subsidiary of Dallas/Fort Worth-based AMR Corporation, was the largest airline in the United States. At year-end 1988 American operated 468 aircraft on 2,200 flights daily to 151 destinations in the United States, Bermuda, Canada, Mexico, the Caribbean, France, Great Britain, Japan, Mexico, Puerto Rico, Spain, Switzerland, Venezuela, and West Germany.

On March 15, 1967 Herbert David Kelleher co-founded Air Southwest Co. incorporated. The year of 1971 was a game changer as Lamar Muse joined Air Southwest as President and Air Southwest changed its name to Southwest Co. The mission and vision of Air Southwest during this time was to eliminate unnecessary services and to utilize secondary airports in order to offer the lowest fares in the industry. Fast-forward to 2016 and Herb has stepped down as the chairman for Southwest, the mission however is still the same, dedication to provide the highest level of customer while delivering a sense of warmth, friendliness, individual pride, and Company Spirit. Which embodies the values Southwest has exhibited for years and that’s to live the Southwest Way, to have a warrior spirit, a servant’s heart, a fun-LUVing attitude, and to work the Southwest way.

Originally the company name was Air Southwest Company, which started on March 15, 1967, by Rollin King and Herb Kelleher. “They began with one simple notion: If you get your passengers to their destinations when they want to get there, on time, at the lowest possible fares, and make darn sure they have a good time doing it, people will fly your airline” ( Southwest Airlines, 2017). King and Kelleher’s also had other intentions, for instance, to fly within the state of Texas without being required to pay federal regulations while undercutting its competitors' prices. The airline would find themselves in litigation for the next 4 to 5 years until they were able to prove their cases merit which was finalized in1970 by the Supreme Court. Consequently, after winning their case on March 29, 1971,

Pivotal enabled Southwest to roll out popular social media channels, which see millions of visits per month.

The Spring Airlines is one of the low-cost carriers (LCC) in China and was established in 2005. The Spring Airlines is a subsidiary of China Spring Group. Under the Group, there is a travel agency called Shanghai Spring International Travel Service Ltd. which provides a stable amount of passengers to the airline. The Spring Airlines is based in Shanghai and owns 46 A320 aircrafts. It serves around 58 inbound routes, and 10 regional and international routes. The regional routes include cities like Hong Kong and Macau, while international routes include countries such as Japan, Thailand, Korea and Singapore (Spring Airlines, 2014).

Delta Air Lines serves as one of the major airlines across the globe that has re-defined the air transportation system. Delta Air Lines was initially created as Huff Daland Dusters Inc. on May 30, 1924 in Macon, Georgia, which was an aerial crop dusting operation. On September 1928, one of the directors purchased the company and renamed it Delta Air Service. It started transporting passengers, though only had a single passenger seat, on June 17, 1929.

Managers in some budget airlines are often accused of ignoring every lesson that is taught to students at business schools. To what extent is this true as far as its HRM policies and practices are concerned? Justify your answer.