British Airways
The objective of this report is to examine the leadership quality and the staff reaction in British Airway’s (BA). Change management are needed for British Airway’s as there are industrial disputes between the management and crew members in 2009-2011. For change to take place, there will be steps to take before the change should be implemented. Drastic measures and shock tactics should be taken into consideration
In 2007, credit crunch from USA banks (BBC News, 2009) caused an impact globally however British Airway’s was not very affected by the recession. With reference to British Airway’s Annual Report 2007/2008 (2009), British Airway’s finance costs for 2007/08 were £175 million, compared with £168 million in 2006/07 due to help from Terminal 5 and aircraft orders.
In 2008, British airway’s fiasco in Terminal 5 waived £700,000bonus that Willie Walsh should be receiving for overseeing the pre-tax profit of £883m (Guardian, 2008). Moreover, the raising global oil price will lead British Airway’s to a worst financial year (Guardian, 2008). This was the
Whilst BAs immediate and imperative change strategy focuses on the critical area of financial viability, the route is extremely challenging because of its need for considerable employee sacrifice. It needs to be appreciated that the organisation has initiated a number of other strategic changes to improve customer satisfaction and satisfaction, including the commissioning of terminal 5 at Heathrow, (McGinn, 2009, p 2), and the need to achieve financial viability has now assumed important dimensions.
Change management theories focus on three important dimensions, namely (a) the planning and implementation of the change process, (b) the involvement of the organisation in the proposed strategic change, and (c) the role of leadership in the change process for bringing about of successful strategic change (Hayes, 2006, p 71). Both Lewin and Kotter stress upon the need to implement change in a planned process that
In 2007, credit crunch from USA banks (BBC News, 2009) caused an impact globally however British Airway’s was not very affected by the recession. With reference to British Airway’s Annual Report 2007/2008 (2009), British Airway’s finance costs for 2007/08 were £175 million, compared with £168 million in 2006/07 due to help from Terminal 5 and aircraft orders.
In 2008, British airway’s fiasco in Terminal 5 waived £700,000bonus that Willie Walsh should be receiving for overseeing the pre-tax profit of £883m (Guardian, 2008). Moreover, the raising global oil price will lead British Airway’s to a worst financial year (Guardian, 2008). This was the
Whilst BAs immediate and imperative change strategy focuses on the critical area of financial viability, the route is extremely challenging because of its need for considerable employee sacrifice. It needs to be appreciated that the organisation has initiated a number of other strategic changes to improve customer satisfaction and satisfaction, including the commissioning of terminal 5 at Heathrow, (McGinn, 2009, p 2), and the need to achieve financial viability has now assumed important dimensions.
Change management theories focus on three important dimensions, namely (a) the planning and implementation of the change process, (b) the involvement of the organisation in the proposed strategic change, and (c) the role of leadership in the change process for bringing about of successful strategic change (Hayes, 2006, p 71). Both Lewin and Kotter stress upon the need to implement change in a planned process that