Implementation Of Services Management Strategy Of Qantas Airline

Brief History and Company Overview

Question:

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Discuss about the Knowledge Management and Risk Strategies.

In this report, an implementation of services management strategy is performed. The outcomes mainly provide brief history information of Qantas Airline in Australia and its objectives, goals, mission, and morals. The aims of the company show that it targets at providing safe and secure air travel services globally, delivering excellent services to the clients at the same time. However, investigation projector of the historical, current and upcoming of Qantas shows that the company has made huge growth in the previous year which makes it the main transporter of Australia it is also commonly called first-class air travel service provider. The best long ways carrier is also connected with Qantas airline, and the forthcoming events predict that it objects that achieving further growth through co-joining alliances with the other developed airline worldwide.

Qantas airline is the premium airline situated in Australia and provides satisfactory air travel services to its customers across the globe. The scope of the report is restricted to the implementation of services management strategy of Qantas Airline with foremost emphasis will be placed on analyzing a brief background of the company, its mission, goals, and standards and the company’s up-to-date financial position (Belloc, 2007). To sum up to this, assessment of the strengths and weaknesses, threats, and chances of Qantas using SWOT examination.  It is then monitored by the analysis of the service management strategies of the organization and the evaluation of functional levels which assists in the effective accomplishment of the management strategy.  The report findings would be added to the conclusion section.

Qantas is considered as one of the largest airlines in Australia which connects over 900 and above destinations worldwide with over 25 airline partners. Since its commencement in Queensland in the year 1920, Qantas has developed to become the leading brand in the global aviation industry. It also has some prominent brands operating locally, domestic and international travelers and shipping category including in-flight catering and travel routines.  Since its inception, Qantas Airline has placed considerable effort to become the largest airline in the world with a good reputation of being the toughest brands in Australia. The company has been fruitful in developing itself as the securer airline by achieving continuous operational productivity and also by ensuring that they employ qualified staffs more so, engineering and maintenance team (Chaffey, 2011).  Their core business is the airline business which comprises traveling services to passengers traveling from one area to different destination. The company operates under two distinctive brand names these are Qantas and Jetstar, and it operates throughout Australia and international countries. Generally, it has been a fruitful trademark within the airline industry.

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Qantas’s Mission, Values, and Objectives

As far as the Qantas’s mission is concerned, its long-term strategic mission is to work as the world’s paramount top airline as well the best low-fare transporter. In order to be more successful, the vision, mission, and values of the company largely depend on the growth of the company alongside the leadership style structure the company opts to use. Qantas airline nurtures its employees based on motivation and rewards according to their efforts through this it has witnessed a tremendous increase in productivity and profitability (Harrell, 2002). To achieve the main vision, there are certain core values and objectives that are unified to the current business exercises of Qantas, these are;

  • Safeguarding safety in its operation
  • Accurate aircraft and routes
  • Provide quality customer service
  • Task efficiency
  • Strong complimentary brands

The past, the present and the future situation of the company reveals its intention of the airline. The previous analysis indicates that Qantas originated in Winton, Queensland on November 15th, 1920. The immediate setups of the airline imply that the carrier functioned as air mailing services reinforced by the Australian government and was commonly recognized as associating terminuses in Western Queensland (Horovitz & Johnson, 2011). Amongst 1926 and 1928, Qantas airline has developed several aircraft, and in the year 1935, Qantas carry travelers to the international destination as their first experience.     

At present, it offers air travel services worldwide, and the carrier has admission to numerous aircraft that have the capability to transport 500 travelers at a time. The major tactical development has become potential to the company after the Australian management vended the local transporter Australian Flag in 1992 followed by it in 1994, Qantas was privatized which has led to large acquisition of aircraft by Qantas to maximize its taskforce and terminuses, and the outcome effect is that the airline is recognized the top long terminus airline that attends mainstream of the areas across the world.

However, the forthcoming result of the airline suggests that it pursues to achieve a greater level of growth as well as recognition within the entire airline industry (Ishikawa & Naka, 2007). Even though, the past and the present presentation projections imply that the airline has achieved a higher level of growth, while the airline targets advanced intercontinental growth by performing agreements with extra major airlines like Malaysian Airline, a British airline, and South Africa airline. The flag also targets cheap cost air travel services through Jetstar subsidiary branch.

The section intends to provide strategic investigation with the requirement of its corporation and business level strategy (Lovelock & Wirtz, 2016). For instance, Qantas strategies indicate that the major goals strategy of the implementation of services management is shown as;

  • To achieve functioning proficiency through integrating. The company plans to be the top carrier in first-class with low-cost brands in Australia and internationally. It also focuses on operational efficiency by assimilating straightforwardness in its work developments and also focuses on improving output at the same time.
  • Minimize risk strategies by Selecting the secure route for carrying the most effective navy flying is among the priority purpose of the airline.

Implementation of Services Management Strategy

Although, the implementation strategies analysis of Qantas infers that the airline runs both corporate and business level. The corporate level strategy is to expand air travel services across the United Kingdom, United States of America and Asia which needs significant support from the different functional level of organization (Sheehan, 2011). Moreover, there is a critical role to be done by the significant functional areas like human resource department, finance, marketing, and sales also business and information technology department.

  • Business and information technology alignment. The role of the technology important in the airline industry because the entire work largely depends on technology starting from booking tickets; manually or online and to protect passengers interest.
  • Finance it plays an important role in allowing the airline to create a conducive and successful environment internally and externally. The long-term projects include expansion of the aircraft and acquisition of a new aircraft which requires massive financial resources.
  • Human resource department. This department is required in recruiting skilled and talented employees to perform their daily routine with expert skill. Employee engagement strategies, Qantas plans to equip the strategic objectives for all the responsible departments when recruiting new staff know and consider tactical objectives for the departments, the quick investigation was done on the competencies by assessing the main skills needed now and the upcoming.
  • Marketing and sales The service quality of the airline is proved by the customer’s trust. and the airline has seen an increased number of new customers throughout the year. Furthermore, positive sales can be achieved through extra effort in order to attract more travelers through sales personnel efforts (Stecher, 2010). The company targets improve processes and performance management systems. The idea will fulfill the organization mission.

Circulated and observed clearly, client data can have a powerful impact. Workers will understand what the customers need and expect from the company. Complaints and compliments from clients will be able to direct their improvements toward accomplishing those expectations. Thereafter, the company can design the correct types of process, develop the correct type of training, abolish waste that represents things customers do not require and deliver what is needed.  A necessary method for organizing and presenting information used is gap analysis. These are;

Service well-made gap- The analysis finds shows that the above functional level is important in improving Qantas performance and in purchasing new aircraft. This shows the difference between the service customers expect and the services they received. Analysis indicates that Qantas provide the quality service to their customers.

Service delivery- Qantas airline delivers the best services despite what customers expect from them. They actually do their best to deliver quality work.

Service design gap- Qantas might misunderstand the customer’s needs some expects everything to run smoothly while others are okay.

Management understanding gap- shows what the customers expect and what management actually expects. They all have different views; customers expect less waiting at the airline, but management may perceive the dialog.

Communication gap- The Company ensures that they have good communication service with their consumers to avoid unnecessary tasks or cancellation of flights. To remain committed towards cultural beliefs and its environment. The company plans to implement leadership principles according to how management plans controls, maintains and recruits staff members which will ensure that customers served accordingly.

Poor innovative plane design, one of the major problems that affect the airline which is greatly contributed by expensive travel fare,  the high cost of travel hider customer from traveling, so, reducing weight off craft is another way of reducing transportation cost. The company plans to implement the new hybrid design with features that include foldable wings that minimize fuel consumption.

SWOT Analysis

Consumer demands, economical tickets have increased up to 10% during the year, potentially turning off clients that can reach their destination in substitute ways (Verweire, 2014). Advancing airline into the 21st century, with the current technology, demands customers are required to print their own baggage labels at home, and most customers lack such skills. The scenario is safe and quick compared to the previous task which was time-consuming.

Training new staff to handle increased population,  the airline needs more staff, and according to analyses, airlines are facing huge challenges to find and train up pilots making the company to panic. New fuel, renewable energy sources from biological material, can replace the traditional fossil gas making it expensive for an airline to adopt new techniques.

Lack of planning makes, the management should be ready and responsible for their customers. Planning will ensure that they are up to date.

Competitors directly affect the company performance this is a serious threat to Qantas Airline.

 Advanced technology is a competitive challenge. Technology is spontaneously advancing at a high rate worldwide, and this creates a new field in the way the company carries out travel services. There is a lot of advance upgraded activity. The use of technology has changed how we view the appearance of airline services in the industrial area. There is tight competition because the new advanced equipment is replacing the current old ones. Some airlines provide refreshments, free Wi-Fi and iPad this is affecting customers, and they are starting to shift to another company because the management lacks enough money provide all those extra services and also to divert and embrace this new technology. This has greatly affected the Qantas Airline management.

According to the marketing and the selling concepts, the tactics to marketing exist. The traditional selling concepts which stress that if a product is not selling more aggressive measures should be considered these might include reducing the price, improve advertising methods or employing new and aggressive sales-people. This is another challenge the company is facing the company; it is witnessed in the reduction of customers, the marketing concepts emphasizes on getting more customers regardless of whether to introduce new services or not.

The theory of utility stresses that a service or a product to should be made more available to the client and useful to them in that if a customer buys a ticket, those tickets should be readily available to avoid failures.  The theory of demands suggests that when the demand is high, the supply is high, so, when there is an increased number of passengers in the airline the company is not able to purchase more equips due to lack of capital and mismanagement of funds. Therefore, some customers are forced to change their date of travel causing inconveniences.

The concepts of time management, Qantas airline does not always provide timely services due to power crackdown making the customers to panic. The management should equip more tool and employ more staff members in order to provide 24/7 services.

 The significant characteristics of goal setting theory; the willingness to work is a motivating influence. Difficult tasks are a greater motivator than easy tasks. Qantas airlines should set clear goals to guide the service administration. Subordinates should commit to the set objectives. The advantage of having goals is that it increases incentives to complete tasks given to staffs also it leads to improved performance.    

Planning guides the organization’s direction in order to meet the set objective. Managers must set rules and guidance that gives the institution directions. The airline has dreams and missions to accomplish. The goals set should be used by management and staff to do their tasks without supervision.

In this case, mismanagement of capital monetary straightforwardness is dangerous in that it decreases the productivity of the company. Every business should train their employees on how to control money inflows and outflows in order to reduce risks that come along with mismanagement of funds in the organization

Conclusion

The management should encourage originality to gadget new ideas amongst employees. Creation of unique ideas gives support to customers and helps to win customers trust. The motivation theory and goal setting; this theory gives out the reputation of setting goals that direct the management in daily routine. The goals make staffs be more responsible for the workforce.

References

Ansoff, H. (2014). Strategic management. [Place of publication not identified]: Palgrave Macmillan.

Belloc, H. (1967). On. Freeport, N.Y.: Books for Libraries Press.

Chaffey, D. (2011). Internet marketing. Harlow [u.a.]: Prentice Hall Financial Times.

Harrell, G. (2002). Marketing. Upper Saddle River, NJ: Prentice Hall.

Horovitz, J., & Johnson, G. (2011). Service strategy. Me?xico: Pearson Educacio?n.

Ishikawa, A., & Naka, I. (2007). Knowledge management and risk strategies. Hackensack, N.J.: World Scientific.

Lovelock, C., & Wirtz, J. (2016). Services marketing. Hackensack (NJ): World Scientific.

Sadler, P. (2004). Strategic management. New-Delhi: Koganpage India Prt. Ltd.

Sheehan, B. (2011). Basics Marketing 03. Lausanne: AVA Academia.

Stecher, B. (2010). Toward a culture of consequences. Santa Monica, CA: RAND.

Verweire, K. (2014). Strategy implementation. London: Routledge.

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