Introduction This report sets out to analyze Airstar inc. case study and recommend solutions to the CEO of the company. This will be done by first giving a detailed outline of the key problems been faced by Airstar inc. and this will be done from an organizational design perspective. This section will be closely followed by a definition of Airstar Inc. current structure/ strategy as well as a development of some key arguments as to why the current organizational structure in the company is not working effectively. The other section will be based on the development of a list of solution or recommendations on a new organizational structure or strategy that can be implemented in the organization this is be coupled with arguments that will be in support of the change been recommend.
Airasia Inc. is a company that is mainly involved in the manufacturing, repairing and overhauling of jet engines as well as pistons for the smaller aircrafts which were at times previously owned. Airstar Inc. has been the leader in this industry for the longest time possible and the greater number of the manager working in the organization currently have been there for almost twenty years.
The company’s competitive advantages is derived customer loyalty as well as from the wide recognition of the organization. The industry upon which the company operates is changing drastically and with the change of company presidency, the organization managers have started to experience lot problems. The company has been in the industry for almost twenty years and they have been striving to offer the best to their customers and they have achieved a customer loyalty as well as loyalty from the employees, the company is currently been faced by a threat in that new competitors have emerged in the industry and a lot of changes have occurred in the industry as well as in the business.
The company’s current president Roy Morgan is of the view that he can still run the organization as it was been run twenty years ago, though the business environment have really changed. Since its inception the company’s decisions were made on the basis of practicability of the decisions and they were not used to evaluating the business environment.
Key problems within Airstar as demonstrated in the case study Most industries and companies operating in today’s business world are faced by a number of challenges or problems when undertaking their day to operations. Almost every industry is changing and industry within which Airstar operates is also changing. After the death of the president Roy Morgan took over the leadership of the company. When the change in presidency is coupled with the change in the industry Airstar is seen to be experiencing a number of problems.
Airstar is been faced by a number of problems as demonstrated in the case study, the challenges facing the organization are mainly related to the organizational design and the strategic direction, executive organization within the organization, low backlog, lack of clear communication competition and poor definition the tasks and duties that individuals are supposed to perform. All these issues are discussed below form an organizational design perspective.