Critical Success Factors On Emirates

This research paper is a brief discussion of budget management analysis. Budgeting is the key to financial management, and is the key to translates an organization goals or plan into money. Budgeting is a rough estimate of how much a company will need to get their work done, and provides the basis for evaluating performance, a source of motivation, coordinating business activities, a tool for management communication and instructions to employees. Without a budget an organization would be like a driver, driving blinded without instructions or any sense of direction, that’s how important a budget is to every organization and individual likewise (Clark, 2005).

“The responsibility for ensuring high-quality guest services and accommodations rests primarily with employees” (Partlow, 1993). Both companies use this motto to guide their team in TQM. The Strategic Group and the Ritz-Carlton understand and implement the TQM concept of managing organizations with a set of tools, policies and procedures that ensure quality production and services. These set of tools are given to employees to succeed and to create and recreate the excellence of the culture in the companies. Stakeholders and top management come to agreement of minds that employees are the backbone of the companies because they are the ones that are representing the company in reflection to what has taught in training and seen by example of upper management. Both companies also believe that when involving employees in the decision making process instead of governing them, employees have a sense autonomy that generates pride in what they do in turn will be present in the way of work and they eyes of customers.

Budgeting systems turn managers’ perspectives forward and by looking to the future and planning, managers are able to anticipate and correct potential problems before they arise (Horngren, Foster & Datar, 2000). Through budgeting, management can plan ahead and maintain enough cash to pay creditors, to have adequate raw materials to meet production requirements, and to have sufficient finished goods to meet expected sales (Kieso, 2002).

The primary keys to success for the company will be based on the following factors:

A budget is an instrument used to help managers ensure that the resources used effectively and proficiently toward the goals of an organization. A budget projection can be made on a yearly base depending on previous year or existing one. They can further be broken down quarterly or monthly depending on it use. Generating a budget is complex undertaking, and for a budget to be effective the organization ought to follow it strictly. However, no matter how closely a business follows their guidelines there will always be some form of variances. The organization should expect a few variances and be able to work these discrepancies in any budget

An organization needs to determine the results that it is aiming for as part of its strategic operation. This includes its financial performance together with the perception of its stakeholders.

A company's budget serves as a guideline in planning and committing costs in order to meet tactical and strategic goals. Tactical goals such as providing budgetary costs for daily operations, and strategic objectives that include R&D, production, marketing, and distribution are all part of the budgeting process. Serving as a guideline rather than being set in stone, the budget is a snapshot of manager's "best thinking at the time it is prepared." (Marshall, 2003, p.496) The budget is a method in which to reign-in discretionary spending, and will likely show variances between what costs have been anticipated and what costs are actually incurred.

In conclusion, every major company in the world uses budgeting and there is a good reason for that. It is an important component of financial success. Budgeting makes easier to achieve financial goals. It keeps track of all expenses and help to avoid crisis. It also helps companies to control their growth and provide them with realistic idea where business is going.

The success of Emirates can be attributed through a combination of marketing mix which emphasize on excellent customer service, product and equipment. In addition, Emirates is known for its commitment to the highest standards of quality in every aspect of their business, providing premium service be it in first, business or economy class. We will look into a few P’s of the marketing mix that Emirates currently employ to become one of the most profitable

Facts about Emirates Airline: 1st founded in 1985, and started its operation on 25-10-1985, 2nd Largest Airline in Middle East, 3rd It operates 3300 flights per week with 66725 Employees, 4th in 2017 Emirates mark esteem grows 17% to achieve US$7.7 billion, 5th Emirates aim to have over 320 aircraft by 2018.

Budgeting is crucial in the well-being of a company especially the financial health status of a company. In fact, no professionally managed firm would fail to budget, since the budget establishes what is authorized, how to plan for purchasing contracts and hiring, and indicates how much financing is needed to support planned activity. It is routine for a company to budget for its expenses. Expense budgets act as a guideline of how much revenue a company would require keeping the activities running. It is used to set the company’s targets for a certain period.

Even though it may not reduce cost as much, advance technology does improve Emirates operations. After much innovations of 21st century technology, Emirates establish its first A380 airbus fleet in 2010 and still expanding. Not only it accommodate a huge number of passengers, the plane, but it also uses Biofuel and quieter noise volume with thrust reversal engines, giving its passengers great flight experience.

• Put in place a more Scientific Approach to identify best opportunities for new business.

Like any organization, Emirates Airline’s business objective is to grow and operate profitably in a mid to up- size market with a whole range of travel products and services which are aligned to Emirates Groups value of choice, competitiveness, quality, service delivery and return on investments by offering finest selection of worldwide destinations, based on and complementing the Emirates network which are customized according to travelers need (Kotler, 1997).

Budget and budgetary control practices are undeniably indispensable as organizations routinely go about their business activities and operations. These organizations are constantly on the alert on how actual levels of performance agree with planned or budgeted performance. A budget expresses a plan in monetary terms. It is prepared and approved prior to a particular budgeted period and explicitly may show the income, expenditure and the capital to be employed by organizations in achieving their goals and objectives.