british airways case study
PART 5: CONTROLLING
CHAPTER 13 - FOUNDATIONS OF CONTROL
LEARNING OUTCOMES
After reading this chapter students should be able to:
1. Explain the nature and importance of control.
2. Describe the three steps in the control process.
3. Discuss the types of controls organizations and managers use.
4. Discuss contemporary issues in control.
Opening Vignette—Baggage Blunders
SUMMARY
Terminal 5 (T5), built by British Airways for $8.6 billion, is London Heathrow Airport’s newest state-of-the art facility. Made of glass, concrete, and steel, it’s the largest free-standing building in the United Kingdom and has over 10 miles of belts for moving luggage. After two decades in planning and 100 million hours in manpower, opening day didn’t work out as planned. Endless lines and major baggage handling delays led to numerous flight cancellations stranding many irate passengers. Airport operators said the problems were triggered by glitches in the terminal’s high-tech baggage-handling system. With its massive automation features, T5 was planned to ease congestion at Heathrow and improve the flying experience for the 30 million passengers expected to pass through it annually. With 96 self-service check-in kiosks, over 90 fast check-in bag drops, 54 standard check-in desks, and over 10 miles in suitcase moving belts that were supposed to be able to process 12,000 bags per hour, the facility’s design seemed to support those goals.
Teaching Tips:
1. Why is the control stage so important?
2. What went wrong?
3. Were the goals accomplished?
1. WHAT IS CONTROL AND WHY IS IT IMPORTANT?
a) Introduction
2. Control is the management function involving the process of monitoring activities to ensure that they are being accomplished as planned and correcting any significant deviations.
a) An effective control system ensures that activities are completed in ways that lead to the attainment of the organization’s goals.
b) The effectiveness of a control system is determined by how well it
CHAPTER 13 - FOUNDATIONS OF CONTROL
LEARNING OUTCOMES
After reading this chapter students should be able to:
1. Explain the nature and importance of control.
2. Describe the three steps in the control process.
3. Discuss the types of controls organizations and managers use.
4. Discuss contemporary issues in control.
Opening Vignette—Baggage Blunders
SUMMARY
Terminal 5 (T5), built by British Airways for $8.6 billion, is London Heathrow Airport’s newest state-of-the art facility. Made of glass, concrete, and steel, it’s the largest free-standing building in the United Kingdom and has over 10 miles of belts for moving luggage. After two decades in planning and 100 million hours in manpower, opening day didn’t work out as planned. Endless lines and major baggage handling delays led to numerous flight cancellations stranding many irate passengers. Airport operators said the problems were triggered by glitches in the terminal’s high-tech baggage-handling system. With its massive automation features, T5 was planned to ease congestion at Heathrow and improve the flying experience for the 30 million passengers expected to pass through it annually. With 96 self-service check-in kiosks, over 90 fast check-in bag drops, 54 standard check-in desks, and over 10 miles in suitcase moving belts that were supposed to be able to process 12,000 bags per hour, the facility’s design seemed to support those goals.
Teaching Tips:
1. Why is the control stage so important?
2. What went wrong?
3. Were the goals accomplished?
1. WHAT IS CONTROL AND WHY IS IT IMPORTANT?
a) Introduction
2. Control is the management function involving the process of monitoring activities to ensure that they are being accomplished as planned and correcting any significant deviations.
a) An effective control system ensures that activities are completed in ways that lead to the attainment of the organization’s goals.
b) The effectiveness of a control system is determined by how well it