Thursday, October 17, 2019
Strategic Analysis of the Continental Airlines Case Study
Strategic Analysis of the Continental Airlines - Case Study Example This also means strengthening the airline's alliances and enhancing efficiency through the elimination of non-value adding processes in the value chain. Fund the future, on the other hand, encompasses the company's quest in ensuring its future growth by the reduction of interest expense, improving fleet plan, and developing hub real estate (Continental Airlines Company Profile 2008). The third component of the Go Forward Plan emphasizes the importance of customer satisfaction in CAL's success. Thus, in intends to position itself as a top player in terms of four DOT measurements namely, "on-time arrivals, baggage handling, complaints, and involuntary denied boardings" (Continental Airlines Company Profile 2008). This also means continue to project a responsible company image and improving its core product. Lastly, working together looks at CAL's relationship with its employees. Recognizing the importance of its staff in the realization of its strategic goals, the company's management spearheads in creating a fun environment to work, offer fair remuneration, and treat staff with dignity and respect. CAL is organized according to the different functional areas in the business organization. ... All of these business units are led by senior vice presidents who oversee operations and provide the much needed guidance and leadership. Recognizing the international operation of the CAL, it also opted to divide its operation according to geographic location. Thus, it also assigned vice presidents who take charge in the Newark, Houston, Cleveland, Asia Pacific, and Europe hubs. In order to facilitate efficiency in decision making, the headquarter assigns a certain level of autonomy to the leaders in these regions yet CAL can still be referred to as a highly centralized business organization noting the dependence of its satellite offices to the main office (Continental Airlines Company Profile 2008). Organizational Culture With the Go Forward Plan as its blueprint for success, CAL communicates its culture of excellence through its commitment in taking care of its financial health, future growth, employee relations, and customer satisfaction. These are the core values that the company utilizes in order to become successful in its operation. In addition, CAL also highlights its culture of environmentalism, community service, and diversity. The company promotes its corporate social responsibility through programs which enhances sustainable development through its carbon offset program, use of electric powered rather than fossil fueled ground equipment, and designing more environmental friendly infrastructure to support its operation. Though it limits its donation on in kind basis, CAL is seen to contribute to the community service. Lastly, the company honors diversity noting that individual differences in workforce should be honored. Management Style and Philosophy The management style and philosophy applied by
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