Impact of Cyber Security on United Airlines

This assignment analyzes the significant damage to United Airlines' brand image and business operations resulting from a recent cyber security incident. It highlights the company's decreased turnover, ineffective public relations efforts by the CEO, and the need to adopt new cyber computing resources planning strategies. The document emphasizes the importance of enhancing business efficiency and effectiveness to mitigate the negative consequences of the incident.

RUNNING HEAD: Public relation problems of United airlines 1
Name of the student-
Topic - Public relation problems of United airlines
University name-

Operating and financial analysis 2
Table of Contents
Introduction........................................................................................................................4
Summary of PR issues and goals........................................................................................5
PR and communications models United Airlines followed to mitigate these issues..........5
Discuss alternative solutions could be used by United Airlines in its public relation.........6
Research, planning, implementation and evaluation activities the company conducted in
solving the problem....................................................................................................................... 7
Concept of open and closed organization..........................................................................8
Public relation plan of United airline...............................................................................10
Background...................................................................................................................... 10
Goals................................................................................................................................ 10
Objectives........................................................................................................................ 10
Message........................................................................................................................... 11
Strategies......................................................................................................................... 11
Tactics.............................................................................................................................. 11
Evaluation........................................................................................................................ 11
Concise analysis of the factors in the organization..........................................................13
Conclusion........................................................................................................................14
References........................................................................................................................15

Operating and financial analysis 3

Operating and financial analysis 4
Introduction
With the increasing ramified economic changes and complex business structure, it is
important to maintain effective public relation by each and every organization. However, there
are various problems and issues are faced while maintain the effective public relation by various
organizations. In this report, public relations issues faced by organization and mitigating these
issues have been discussed in effective manner. The main topic of this case is based on United
Airlines recent mistreatment of passengers and how company has mitigated these issues for the
betterment of the organization. This case has reflected how public relation of United airlines
have provided good help in mitigating the negative impact of the given particular case on the
brand image of organization.

Operating and financial analysis 5
Summary of PR issues and goals
This case study is based on the United Airlines recent mainstream of passengers in which
they were forced to leave on a Chicago - Louisville flight, removal of first class passenger on a
Hawaii - LA flight. This case reflected the American third biggest carrier which was being
slammed online for violently dragging a passenger due to the overbooked flight. However, due to
the non-effective public relation and issues faced by United Airlines recent mainstream of
passengers, company had decreased its brand image and overall outcome of the business
(Belobaba, Odoni, & Barnhart, (2015). The goal of PR of company is to rebuild its brand image
in market and increase the effectiveness of the business.
PR and communications models United Airlines followed to
mitigate these issues
There are several methods which could be used by open and closed organizations to
increase its public relation with stakeholders. The public relation of the United Airlines was
related to use of social media or other advertisement methods such as newspapers, cyber
computing system and web information which helps company to communicate with its clients
and other stakeholders. It is evaluated that CEO OF the United Airlines used social media and
Web information system to disclose the actual reason behind happening of the case and why
employees were forced leave on a Chicago - Louisville flight, removal of first class passenger on
a Hawaii - LA flight. Nonetheless, United airlines failed to achieve its set target of its
communication channel by using proper social media channels. United social media crises began

Operating and financial analysis 6
on April, 9th aboard Flight 3411 in which four members were asked to leave the seats and make
the spaces for crew members (Kousoulidou & Lonza, 2016). However, that incident were
recorded and uploaded on media by other fellow passenger. However, public relation was not
that strong and image and goodwill was maligned due to that video went viral on domestic and
international level. Nonetheless, CEO of the company conduct the online meeting and apologize
to all public for that incident and by using its cyber computing system and other social media he
tried to explain the case in best effective manner (Gan et al. 2014).
Discuss alternative solutions could be used by United Airlines in its
public relation
There are several models and methods which could be used by CEO of the United
airlines to increase the effectiveness of the public relation. United airlines had to face this level
of disaster or destruction of its business due to the non-effective public relation. It used social
media and web information channel which was found less effective while communicating and
justifying the case with the public. Many of the general public considers the United Airlines as
bad services provided organization due to its less effective public responses. Nonetheless,
management department and CEO of the company had also failed to justify that incident which
put United airlines in bad position in market. However, many of the clients oppose the business
and services provided by the United Airlines and due to the less effective public relation,
company failed to justify its inefficiency of the business (Zuidberg, 2014).

Operating and financial analysis 7
Research, planning, implementation and evaluation activities the company
conducted in solving the problem.
United Airlines have the disaster of public relation due to the incident of the American
third biggest carrier which was being slammed online for violently dragging a passenger due to
the overbooked flight. United Airlines have to face these issues due to the destruction of the
brand image. However, the destruction of the business was done by the video uploaded on the
social media (James & Rajendran, 2013). Nonetheless, company implemented several policies
and implemented public relation to increase the overall effectiveness of its business and reduce
the negative impact of the uploaded video. Newly public relation of the United Airlines was
introduced by the CEO of the company in which it attended the press conference and shared the
important information. CEO of United Airlines evaluated the case and shared all the required
information of that case. He also claimed that the video which was uploaded was falsified and
divulges half of the incident. In the implemented program, proper program was conducted to
share all the views and thoughts of the business to describe the business functioning (James &
Rajendran, 2013). In addition to this, company also used the Google image section to disclose
the actual figure of that case. Annual report and other official documents of the company contain
this imperative information for the betterment of the stakeholders. Furthermore, company had to
face the destruction of the brand image of the company and share price of the company also went
down by very high amount. The main proposed activities which have been recommended by
company is related to cyber computing enterprises resources planning to communicate all the
required details with the public. This will increase the overall productivity and mitigate the brand
image destruction issues in determined approach (Wilcox & Reber, (2016).

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Concept of open and closed organization
There are two types of organization which are operated by entrepreneurs to run their
effective business functioning. AN open system organization is related to disclosing all the
required information with the society and other stakeholders by following systematic reporting
frameworks. This open system organizations keep its business transparent and increase its
overall business functioning in effective manner. An open organization interacts with the
environment through the concept of giving and receiving information. On the other hand, closed
system is closed off from the outside environment and increases the overall efficiency of the
business. It increases the overall efficiency and effectiveness of the business (Wilson, 2016).
The main impact of these open and closed organizations is affects reporting frameworks
of organization. There are several open system organizations that are running their business on
international level such as Tesco, GE capital and Wesfarmers. On the other hand, closed
organizations are less inclined towards sharing their information with the public and keep its
business on small level. Ideally, small business organizations follow these closed system
organization.
After evaluating the annual report of United Airlines, it is considered that company has
followed the concept of open organization which allows it’s establish harmonization in its IFRS
rules and domestic accounting standards to increase the transparency of the business (Blain,
(2017).
These concepts affected the PR and communications models used by the organization.

Operating and financial analysis 9
The concept of open and closed organization by using Public relation will be surely
affected. It is evaluated that public relation is related to building and maintaining the relationship
of the organization with the internal and external organization. PR acts as represented body or
person for the organization and increases the overall outcome of the business. It is considered
that if open organization likes United airlines follows proper level of public relation system then
it will increase the transparency of the business, interaction system of the organization with the
stakeholders and increase the efficiency of the business. Open system public relation is
accompanied by the several intents such as interdependence, statics and increase the
transparency of the business. On the other hand, if closed organization follows these public
relations then it will change the business concept of these organizations and increase the
transparency of the business. Therefore, it could be inferred that public relation has strong impact
on the closed organization group and increases the transparency and make these organization
more open to public. However, the main benefit of using effective public relation is related to
establish effective communication channel to increase the effectiveness of the business. United
airlines have faced several problems and issues due to the non-effective public relation process.
If United airlines have adopted effective public relation in its value chain activities then it would
have saved company from the massive disaster which was seen after uploading the video of
passenger incident (Wang Wu & Sun, 2015).
Public relation plan of United airline
Background
. United social media crises began on April, 9th aboard Flight 3411 in which four
members were asked to leave the seats and make the spaces for crew members. Public relation of

Operating and financial analysis 10
the united airlines was strengthening by using social media and cyber computing system by the
CEO of the company to communicate imperative information.
Goals
However, in order to increase the effectiveness of the public shared information, United
Airlines should have followed cyber computing enterprises resources planning to increase the
overall communication effectiveness of the information shared. However, this cyber computing
system would bring higher cost to the organization, but it would have saved the company from
the massive disaster of that incident (Mills, 2017).
Objectives
The goal of PR of company is to rebuild its brand image in market and increase the
effectiveness of the business.
Message
United Airlines recent mainstream of passengers, company had decreased its brand image
and overall outcome of the business (Belobaba, Odoni, & Barnhart, (2015).
Strategies
The main strategies of United airlines is to implement use of these newspapers, cyber
computing system and web information in its public relation to increase the effectiveness of the
existing communication channel.
Tactics

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It is based on the existing working which was found to be failed as per the current
instructions and reflected less effective public relation. The current tactics of the company is not
effective and company needs to adopt new cyber computing enterprises resources planning
system in its public relation methods.
Evaluation
This case of the public relation of the United Airlines was related to use of social media
or other advertisement methods such as newspapers, cyber computing system and web
information which company failed to use while justifying the case of the incident. after seeing
the downfall in the overall turnover and efficiency of the business, CEO of the company put
efforts to increase the public relation by using proper Web information system and social media
to disclose the actual reason behind happening of the case and why employees were forced leave
on a Chicago - Louisville flight, removal of first class passenger on a Hawaii - LA flight.
Timelines
Activities Particulars Days required Predecessor
1 Financial
management
2
2 Change in
Public relation in
value chain activities
3
3 Hiring of new
employees
10 1
4 Investment 12 2

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appraisal
5 Establish new
public relation
20 4
6 Use of these
cyber computing
system
15 3
7 Identifying the
new methods and
public relation culture
10 5
Budget for New alternative public relation of the company
Particular Budgeted amount of capital (£;)
Hiring IT expert 4000K
Arrangement of new system and
technologies devices
5000K
Training and development 6000K
Establish new restructure program 8000K
Organization achieve its objectives
United Airlines failed to achieve its objectives which could be seen by seeing the case of
public relation case. This justifying the case and apologized the public for its negative outcomes
of that case. However, the increased effectiveness of the public relation and other methods used

Operating and financial analysis 13
by united airlines was found to be much of help for rebuilding its brand image of marketAction
plans needed for implementing New Public relation system in organization
Concise analysis of the factors in the organization
After evaluating the annual report, it is considered that public relation was not that strong
and image and goodwill was maligned due to that video went viral on domestic and international
level. The organizational culture of the company was not clients oriented and failed to deliver
customized services. This could be inferred by evaluating the annual report of company that
company had less effective PR system communication methods. It is evaluated that company
has faced high downfall in its total revenue and in spite of using effective public relation,
company has faced high downfall in its revenue. Company used only advertisement and web
pages to communicate with its stakeholders. It reflects less effective PR system in organization
(Chang, et al. 2015).
Year 2013 2014 2015 2016
Total
revenue(USD in
Million
38216 37865 36564 36315

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Conclusion
This case study of The United Airlines has reflected that company has faced high
destruction in its brand image due to that incident. In order to support this, we could see the
annual report of the company. It is found that company has decreased its overall turnover by
20% which has resulted to destruction of the company’s functioning. The public relation
establish by the CEO of the company is also not effective which showcases that company has
failed to achieve its objectives to the determined approach. It is evaluated that if United Airlines
could adopt new cyber computing enterprises resources planning in its business then it will
increase the overall public relation of the company. Now in the end, it could be inferred that
United airlines needs to increase the efficiency of its business and increase the overall
effectiveness to mitigate the negative impact of that incident. The given appendix shows how
public relation of United Airlines was disaster.

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References
Belobaba, P., Odoni, A., & Barnhart, C. (Eds.). (2015). The global airline industry. John Wiley
& Sons.
Blain, A. N. J. (2017). Pilots and management: Industrial relations in the UK Airlines (Vol. 16).
Routledge.
Chang, D. S., Chen, S. H., Hsu, C. W., & Hu, A. H. (2015). Identifying strategic factors of the
implantation CSR in the airline industry: The case of Asia-Pacific
airlines. Sustainability, 7(6), 7762-7783.
Gan, C. M., Pleim, J., Mathur, R., Hogrefe, C., Long, C. N., Xing, J., ... & Wei, C. (2014).
Assessment of the effect of air pollution controls on trends in shortwave radiation over
the United States from 1995 through 2010 from multiple observation
networks. Atmospheric Chemistry and Physics, 14(3), 1701-1715.
James, S., & Rajendran, L. (2013). Effect of public relation on customer loyalty with special
reference to e-commerce portals. Journal of Multidisciplinary Research, 5(2), 87.
Kousoulidou, M., & Lonza, L. (2016). Biofuels in aviation: Fuel demand and CO 2 emissions
evolution in Europe toward 2030. Transportation Research Part D: Transport and
Environment, 46, 166-181.
Mills, A. J. (2017). Cockpits, Hangars, Boys, and Galleys: Corporate Masculinities and the
Development of British Airways☆. In Insights and Research on the Study of Gender and

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Intersectionality in International Airline Cultures (pp. 237-263). Emerald Publishing
Limited.
Wang, Q., Wu, C., & Sun, Y. (2015). Evaluating corporate social responsibility of airlines using
entropy weight and grey relation analysis. Journal of Air Transport Management, 42, 55-
62.
Wilcox, D. L., & Reber, B. H. (2016). Public relations writing and media techniques. Pearson.
Wilson, R. (2016). A public relations disaster how saving $1,200 cost United Airlines
10,772,839 negative views on YouTube.
Zuidberg, J. (2014). Identifying airline cost economies: An econometric analysis of the factors
affecting aircraft operating costs. Journal of Air Transport Management, 40, 86-95.

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Appendix

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