Management and Organisational Behaviour Qantas

3274 Words Nov 17th, 2012 14 Pages
Assignment 3
Management and Organisational Behaviour

Prepared for

Dr Retha Wiesner
Faculty of Business & Law
University of Southern Queensland
Toowoomba, Queensland

by

Student name: W. Amal Peiris Student number: U1031128

MGT5000

INTRODUCTION
Qantas faced the crisis in 2011. However it has commenced in 1990 when it was deregulated the government through privatization. Culture of Qantas remained unchanged and it operated as a government organization.
Since Qantas was a government owned organization its cost base was not competitive compared to other Airlines.
Qantas responded with low-cost Jetstar and just like Virgin Airways, the latter also moved into international flight paths to provide an
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However, one can argue that he made this decision with the best interest of the Qantas and but not anything against the unions. In his words he said that “All I’m concerned about is Qantas. This was not anti-union, this was pro-Qantas … I’ll make whatever tough decisions are needed in order to ensure the survival of this great company”

Actions to minimize cost

As further explained in later part of this analysis, due to the deregulation of airline industry, management headed by Alan Joyce had to make following decisions to be competitive in terms of cost. * Qantas decided to operate with low-cost Jetstar flights. Jetstar capacity is very limited too. * Qantas announced a restructure which will see 1,000 jobs slashed as part of a new emphasis on Asia; which would help the management to cut cost and be more competitive.
However, before making these decisions management did not consult the parties who were going to be impacted. Based on the legitimate power and formal authority management used a top-down approach in terms of these changes.
From the side of the employees, they could argue that this approach was not the right approach to change.
From the other side one can argue that these decisions anyway had to be taken to the survival of Qantas, hence he had done these in good faith.

CRITICAL DISCUSSION ON THE CONFLICT ISSUES EVIDENT FROM THE CASE AND HOW THE RESPECTIVE PARTIES HAVE DEALT WITH THE CONFLICT.
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