Essays on Patterns in Strategy Formation Case Study

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  The paper"Patterns in Strategy Formation" is a great example of a Management Case Study. This study concerns the effects of change and how it has been managed in the Australian aviation industry. The study focuses on Qantas Airlines that is not only the oldest but also the biggest airline in Australia. Change results in either favorable or unfavorable outcomes. However, the way in which a company copes with change effects depends of the effective intervention measures put in place. Therefore, this study explores the case of Qantas by reviewing how it has undergone a change from the 1980’ s to date, and the intervention measures it has applied to overcome turbulent change demands.

The study will look at change drivers experienced by Qantas including the effect of deregulation, fluctuating fuel prices, competition, and laws. The report findings were that there are various drivers of organizational transformation in the airline industry. These drivers include; airline deregulation, the Gulf war, partial privatization of government shareholding, international oil politics, mergers and strategic alliances within the region and specific routes, recession, and last but not the least increased international competition.

In addition, the Asian currency crisis has significantly impacted the competitiveness of Qantas airlines. The recommendations made were that Qantas should consider hedging oil prices to avoid problems of price fluctuations. Further, as Qantas continues facing stiff competition from other industry players, it should consider entering into mergers with other airlines such as Singapore, American, and British Airlines. The conclusions that were made were that change efforts need to be directed towards improving the performance of the organizations, as well as, those people who serve there. Thus, the main drivers of change are essential as far as change management in Qantas Airlines is concerned. Background   Qantas as airlines venturing in both local and international markets has not been in exception.

In addition, for it to be where it is today, it has undergone remarkable transformations that required effective management for the company to remain relevant in the aviation industry. This paper explores various change drivers that Qantas has faced overtime and the interventions put in place to effectively deal with those changes. The study mainly cover Qantas group even though at some point it compares the effects of change drivers in Qantas with their overall impact in the Australian aviation industry.

Further, the study focuses on the period between 1980 and 2010 which is when significant changes took place in the aviation industry. The study is restricted to change management in the aviation industry narrowing to Qantas group and goes further to discuss the interventions put in place to cope with such change demands. According to Australian Transport and Distribution Management (1990), discontinuous change is marked by rapid change in organizational strategies or culture.

Nevertheless, all these forms of change help an organization to adapt and survive in turbulent environments. Introduction Problem, opportunity or purpose The aviation industry is prone to change since it involves international business transactions that are influenced by many market factors.

References

Australian Transport and Distribution Management 1990, Qantas to shed 500 jobs, cut flying hours in efficiency plan’, 33.11, PP.15

Gialloreto, L. 1988, Strategic Airline Management, The Global War Begins, Pitman, London.

Kochan, T.A. and Verma, A. 1992, A Comparative View of United States and Canadian Industrial Relations: A Strategic Choice Perspective in A. Gladstone, H. Wheeler, J. Rojot, F. Eyraud, and R. Ben-Israel, (eds.), Labour Relations in a Changing Environment, Walter de Gruyter, Berlin 1992, pp. 187-201.

Kochan, T.A. McKersie, R.B. and Cappelli P. 1984, Strategic Choice and Industrial Relations Theory, Industrial Relations 23.1, Winter, pp. 16-39.

Lee, M. & Peetz, D. 1998, Trade Unions and the Workplace Relations Act, Labour and Industry, 9.2, pp. 5-22.

Mintzberg, H. 1978. Patterns in Strategy Formation, Management Science, 24 (5),

934-948.

O'Connor, W.E. 1989, An Introduction to Airline Economics, 4th edition, Praegar, New York.

Qantas Airways .2012, Annual Report.

Thornicroft, K.W. 1989, Airline Deregulation and the Airline Labor Market, Journal of Labor Research, 10.2, spring, pp. 163-180.

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