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Strategic Approach to Performance Management and Recruitment

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Strategic Approach to Performance Management and Recruitment
Evaluation of the Strategic approach to Performance Management and Recruitment and Selection in Flight Centre UK

Introduction
Flight Centre is an Australian based travel agency which created a revolution in the travel industry through its model in which volume has got more importance than margin in gaining profitability. It is one among the world’s largest travel agency with more than 2000 stores around the globe. There are more than 90 stores for Flight Centre in UK (www.studentflight.co.uk). Each Flight Centre store operates independently with a team of specialist travel experts offering travel advices with unbeatable prices to its customers (www.flightcentre.co.uk). Flight Centre operates in a highly competitive market which has a high threat of new entrants, high supplier as well as consumer power and more over availability of substitutes- online ticketing. Flight Centre has overcome all these difficulties and has continued to increased profits and gain market shares. It has announced 200 million dollar pre-tax profit this year which is an increase of 40 million dollars from last year (www.brisbanetimes.com.au).
Flight Centre restructured its business strategy to cop up with the changes in the external environment. It started selling travel insurance policies which are more profitable than selling tickets so as to keep the profit margin and revenue unchanged. It started offering ‘one-stop’ client package and guaranteed cheapest flights in the market. The incentive system of the company has been restructured so as to promote the sale of new and profitable products. It came up with a program called ‘One Best Way’ in order to achieve consistent level of service and high performance. Through this new program, every Flight Centre store will be working in a same method and each store is independent from other.
This analysis analyses the strategic recruitment and selection process and performance management practices at Flight Centre and how these practices

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