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(PDF) Challenges for Contemporary Management

   

Added on  2021-01-01

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CONTEMPORARYMANAGEMENT ISSUES

TABLE OF CONTENTSINTRODUCTION...........................................................................................................................1MAIN BODY...................................................................................................................................1Critically evaluating two drivers for change with reference to British Airways and theirimpact upon strategic decision-making.......................................................................................1Background to company.............................................................................................................1Driver 1: Technology..................................................................................................................1Driver 2: Sustainability...............................................................................................................5PESTLE Analysis.......................................................................................................................8SWOT Analysis..........................................................................................................................9RECOMMENDATIONS...............................................................................................................10CONCLUSION..............................................................................................................................11REFERENCES..............................................................................................................................12

INTRODUCTIONContemporary issues in management are important elements which are required toadhered for smoother performance of company. The topic is listed with contemporarymanagement issues which means to examine way of thinking required for addressing issues asthey emerge. Present report deals with British Airways which is UK's largest airline corporation.Background of company will be given. In this report, two drivers for change will be discussedsuch as technology and sustainability. Critical evaluation of these drivers will provide claritywith regards to how they have impacted company and how organisation is currently respondingto the same. Moreover, impact of each of these drivers on airline will be explain along with nature ofpressures for change brought in by two drivers. Furthermore, critical evaluation of currentresponse of company will be provided in light of such drivers. Recommendations will beprovided on how British Airways might enhance its response over the next decade which willimprove upon its services. Thus, drivers for change with respect to British Airways will becritically analysed. Furthermore, PESTLE and SWOT analysis will be conducted to determinethe impact of internal and external factors on firm.MAIN BODYCritically evaluating two drivers for change with reference to British Airways and their impactupon strategic decision-makingBackground to companyBritish Airways is the flag carrier in the UK and also the largest airline according to fleetsize carried by it. It was established in 1974 and headquartered in Waterside, UK. The employeesstrength are more than 39,000 at the end of 2016. It flies to 183 destinations and main hub ofBritish Airways is Heathrow Airport, London. Organisation has earned £2,655 million ofoperating profit in 2018 which is 18.9 % higher than 2017 (Calder. 2018). Moreover, company issecond largest airline by fleet size having 272 fleets behind Easy Jet particularly when measuredby total number of passengers carried. Airline is listed on the London Stock Exchange (LSE) andalso the constituent of FTSE 100 index.1

Driver 1: TechnologyThe technology is being major element which has changed the way airlines used tooperate in the past. Moreover, on-board internet facilities, departure and arrival information etcare provided beforehand to customers. This helps passengers to track the flight status in effectivemanner. The impact of technology is listed in below paragraph-Impact of TechnologyThe technological advancement has been acknowledged in recent past which shows thatpeople are addicted to technology for easing-off their work with greater efficiency. The studywas conducted by British Airways which reveals that an average adult merely spends four hoursof each day on the internet. In relation to this, one out of every five persons admitted that theyare easily diverted towards internet-enabled device in effectual manner. British Airways hasfound that 58 % of the travellers revealed that they rely on technology in which 54 % said thatbeing connected to Wi-Fi is the priority than travelling (British Airways survey reveals impact oftechnology on everyday tasks. 2018).For keeping customers awake, British Airways requires implementing newertechnologies so that they are attracted towards company and enlarged its share in the market.British Airways is partnering with Visa to connect passengers on board having first Wi-Fienabled flights. This implies that for limited time according to scheduled time of airline to reachdestination, high-speed Wi-Fi will be provided. It will be free of cost for one hour in whichpassengers can stream, browse made available by Visa. Access to Wi-Fi will be offered as soonthey have boarded to flight allowing them to gain comfort on their respective seat in effectualmanner.Carolina Martinoli, Director of brand and customer experience of British Airways saidthat impact of technology and internet have evolved up to a high extent in recent years. The tasksthat were once considered to routine activities are replaced by company on online basis. It can beexperienced that British Airways is dependent on internet and remains connected at all timestowards its passengers. It was further said by her that on-board passengers feel cut off if theycan't go online for limited time on flights. But with the advent of technology, firm can easilymeet customer demands in effectual manner.2

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