Delta Air Lines case study | CEO Ed Bastian


Added on  2019-09-30

6 Pages1355 Words112 Views

1.Following is the list of the top management team and leadership committee:Chief Executive officer – Ed Bastian- the role and responsibility is focus on customers, cultureand inspire to innovationChief operation officer- Gil west – provide safe and reliable operation globally Chief financial officer – Paul Jacobson - To develop financial strategies in the Delta Airline Chief human resources officer – Joanne Smith – She is the executive vice president. Herleadership is to develop unique work culture and employee engagement within the airline. 2. The Delta Airline is the USA based company. The firm conducts its operation across theglobe; however, generate more of its profits from the regional flights. The company enjoys amonopoly in the domestic market and cover more than 60% airline operations in the USA(Drakos, 2004). At its five most critical hubs—Atlanta, Detroit, Minneapolis, New York, andSalt Lake City where the company offers low-cost service in the region. 3. The major goal of the company is to increase its business operations and also offer morecomfort service to customers. Most of the company’s services are customers oriented. In thelong-term business, the major challenge for the company is to maintain its presence at the globallevel. There are some other Airlines such as Qatar and Emirates airline. 4. Most of the company’s services are based on low cost flights. In order to expand the business,the Delta Airline purchase old Aircraft, especially narrow-bodies. The oldest aircraft in the fleetare the McDonnell Douglas MD-88s, with an average age of over 25 years (Morrish andHamilton, 2002). However, after the increase in demand for longer and safer planes, thecompany seeks towards purchase of the Airbus and Boeing. These strategies are based on

intended strategy because the company opts these options after creating joint venture withdifferent companies.5. The Airline Industry is not very dynamic in nature. The business environment of the companyis based on slow changes. In order to compete in the market, the company is moving the low costto high-class onboard amenities. In 2016 April, the company add a Premium Select option in itsflight service and also added Airbus A 350 and Boeing 777. 6. The company is belonging to the airline industry so most of the assets of the companybelongs to the airline. The main components of tangible assets are the Aircrafts such as Boeing777, Airbus feet and the other property and spare parts of aircrafts. The list of intangible assetsinclude leasehold rights of airports owned gates. After acquisition with other company, thegoodwill is the example of intangible assets. 7. The core competence of the company help to grow the business. In the Delta airline, the corecompetencies are its Human resource management and the strong financial background (Lou,2014). By merging with the different other airlines and integrating with their skills, theorganization helps to expand its business and gain a competitive advantage over its competitors. 8. There is a different factor which leads a company towards success. Most of the companyrevenue is generated from the domestic market. The company has a monopoly by merging withdifferent airline companies. In addition, as per the company’s accounts, the total revenuegenerated by the company is US$ 39.639 billion. In the Qualitative factor, the company has goodrelationships with employees and customers. The company is fully focused on customer-orientedservices.

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