Classic Airlines: Case Study

2523 Words10 Pages
Classic Airlines Case Study Contents Executive Summary 3 Description of the Situation 4 Identifying the Correct Problem 5 Describe End State Goals 7 Identify Alternatives 8 Evaluate Alternatives 9 Identify and Assess Risk 11 Make the Decision 11 Develop the Decision 12 Evaluate Results 12 Works Cited 14 Executive Summary Classic Airlines is currently facing something of an organizational crisis. Operations and marketing have been slow to develop the capacity to meet the needs of their target market and some of their key stakeholders are attracted to the service offerings of competing airlines. As a result of this trend the bottom line has been impacted by poor sales and diminished profits. Furthermore, the company has also had to deal with negative publicity, declining stock prices, and rising expenses related to increased prices for fuel. The company's executive management has dictated that a fifteen percent cost reduction is necessary to address the situation and must be implemented within the next eighteen months. To meet these objectives a nine step decision making tool was implemented and it was determined that Classic must make two fundamental changes. First, the company must restructure the frequent flyer program quickly to drive customer satisfaction. Second the company should create a partnership with Skyway Airlines to collaborate, share costs, and leverage any potential synergies that are present between the two operating models.

More about Classic Airlines: Case Study

Open Document