Qantas airways2 Qantas Airways Executive summary The essay describes social responsibility and managerial ethics practiced by the Qantas airway as it engages with all the stakeholders and the society. An outline and description of the criticism that the organization faces as it engages in its interaction with society and stakeholders in the sector. There is an analysis of both the external and internal environments of the Organization. A PESTEL and SWOT analysis is done to the organization. The examination of the main opportunities and threats within the organization, how they have been exploited and better ways of exploiting these opportunities. Ways of dealing and managing existing threats. A description of the leadership styles of the most successful CEO of the organization, his efforts in bringing a strategy that is suitable to all, how he inspires the employees and the contribution of the CEO towards the development of the organization. Introduction Successful organizations have a mechanism of being accountable to both the stakeholders and members of the public. The management of any organization, therefore, has to set principles and rules which will define what is right or wrong in the organization. The management of an organization has a responsibility to make decisions regarding values in cases of conflict. The management sets code of ethics that are respective to all stakeholders and the environment. Qantas Airways is one of the biggest airway company in the world, the organization has mechanisms developed by the management of ensuring accountability to the government, clients and the stakeholders. Corporate social responsibility in Qantas airways Qantas Airways has made a lot of effort in designing corporate social responsibility policies to boost the image of the company globally. Through these efforts, the airway company has been able to prove to the customer that it minds his welfare and the environment (Jones, 2018). The airways have made a commitment to safeguarding the environment. As part of the social responsibility, Qantas Airways has come up with policies and methods which are highly respectful to the environment and the climate. The airways have an emission management plan which it has simplified into three areas of concentration which are; measuring, reducing and offsetting (Joyce, 2015). In measuring, Qantas collaborates with several independent programs such as the National Greenhouse and Energy Reporting body, and the sustainability Reporting and Carbon Disclosure Reporting. These bodies supply the airway with information about carbon emissions. In reducing fuel use,Qantas has adopted several implementing initiatives which includes: Aircraft reduction of weight initiatives, efficient use of ground power units and using GPS technology. The Airway has also invested in new fuel-efficient fleets such as the Airbus A380 which consume less fuel. In offsetting strategy the company has adopted the largest airline program to offset carbon in Australia. The company offset all the travel business by the employees for the fuel emissions.
Qantas airways3 The companies have many programs to mitigate climate change protection of wildlife and to nourish the communities. Qantas airline is a member of the Sustainable Aviation fuel user group. Qantas also has been able to partner with other Australian companies such as the shell Australia and the federal government to see a production of a sustainable fuel saving aviation in Australia. In order to provide the safety of aircraft noise the Airways purchase new aircraft annually which have lower noise footprints. The company also uses GPS tracking devices which are used at the airports in redesigning flights to areas away from residence hence they are able to avoid noise pollution to the residents. The Airways ethics outlines zero tolerance of the management to the act of transporting endangered wildlife species. It is part of managerial ethics to protect wildlife. Airways have always been targeted by poachers and illegal transporters of wildlife as a gateway to smuggling these illegal items. The trade in endangered species have bad consequences to the reservation of the globe. Qantas Airways as an organization has policies which are committed to raise awareness about the endangered wildlife, improving the detection of the endangered species and also has mechanisms in place to share intelligence and offer best practice in the industry. These policies by the organization are all in place to ensure that the airways are not used as transportation areas for illegal items. Qantas Airways is a signatory to the convention on international trade protection for endangered species. Qantas Airways has put strict limitations on the carriage of wildlife with respect to the Australian government laws (Qantas Freight,2016). The company works with the government and the cities to ensure that airline form of transport is not used for transportation of illegal goods in and outside Australia. The company has worked collaboratively with the government and cities to stop the illegal trade of wildlife commodities. Criticisms of Qantas Airway corporate social responsibility Qantas ambition on waste management has been criticized as not being as strong as it should be. The company has been criticized as having produced so much waste emissions than it is planning to reuse, compost and recycle. The company has raised a question on how it is going to deal with the waste that is about thirty thousand tonnes per year. The plan to recycle all its waste by 2021 has been seen to be not realistic and will require heavy financial muscles for it to succeed. These criticisms are mostly from the media persons who are questioning the practicability of the waste reduction management and have termed it as a mere public relation exercise (Whyte, 2019). The plans that Qantas company have towards the establishment of a free environment that is not filled with waste materials from fuel and noise has been taken to be largely unrealistic and not achievable. Carbon offset programs introduced by Qantas Airways have been criticized by the environmentalists as being the cause of more harm than good. Scientists opposed to the carbon offset schemes argue that the schemes adopted are disproportionate to the harm caused by the problem of global warming which is caused by the problem of waste (Beder, 2014). The method of carbon offsetting has been seen as a shift of responsibilities to individuals and not to the
Qantas airways4 institution as it should have been. The carbon offset program has also been criticized as being a public relation exercise and a seek for green legitimization. Pestel and specific environment analysis for Qantas Airways The Qantas Airways operations are affected by several factors outside and inside the company. Some of the external factors include politics. Political development such as travel bans issued in many countries, the tensions of diplomatic relations in many regions and the increased terror threat. The bans and the hostile environment has affected movement resulting in a great loss by the company. Economical factors such as inflation rate foreign exchange rate and the investment rate in the country have affected the performance of the airline company(Govinnange,2012). Emerging technology in the world is another factor that could affect the performance of the organization. Investment in digital technology to carry out operations and suit the changing need of the customers is a priority of the airline as they seek to optimize their operations, these technology is expensive to use. Legally the company is facing the problem of lack of protection of the rights of the organization. Other legal factors faced by the airline includes laws on employment, health, and safety of the clients and workers laws. Complying with laws from different contries is sometimes a challenge. Specific environment Qantas Airways is an airline that has been able to serve all the six continents of the world. Qantas airlines compete with other companies in Australia airlines, but it has managed to dominate the industry for the biggest time. The airline has dominated domestic travel taking about 65%share of domestic travel mostly business travel. The company, however, face increased competition from other airlines in the region of North Atlantic where it was one time a monopoly (Kissing & Taylor, 2017). Qantas airlines also operate in different regions where it has different segments of business units such as Qantas Domestic, Qantas international and Qantas loyalty which has helped it greatly to sell in new areas.These units have helped in the expansion of the airline. The airline has strong alliances with some other big airways in the world. These alliances give the airline an opportunity to expand further internationally with the help of the other airlines. The airline has been able to successfully deal with competitions from other airline providers in the north Atlantic region and it has still done very well in these regions compared to other airlines. Internal environment Analysis Qantas Airways has a good customer relationship which has enabled it to achieve good customer satisfaction. This customer satisfaction has made it a good brand hence attracting potential customers. Qantas Airways has also been able to successfully exploit new markets and made them very successful. These markets have helped it in building new revenue streams and have diversified the economic risks in the industries. Qantas Airways operates subsidiaries such as catering services including food and beverages to the customers (Qantas Freight, 2016). The airline has also been able to invest in a range of partnership whereby it has acquired
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Qantas airways5 infrastructure holdings, terminals, and lounges for partnership in various countries of the world. These investment has helped the organization in its expanding to various corners. Most successful CEO of Qantas Airways The current chief executive officer i Mr. Allan Joyce is a very successful CEO and has been voted as the boss who most employees in the country admire to work for. Mr. Joyce has an appeal of the industry, he is compassion and offers visionary leadership to the company. Mr. Joyce effort in ensuring the champions of women in leadership has gained him a lot of admiration and support (Durkin, 2017). Mr. Joyce is a leader who has offered a servant type of leadership to the company having been involved in many acts of support to the staffs and employees of the organization. Mr. Joyce is also a democratic leader who makes all his employees feel included in the system sought after and at the same time very important to the model Mr. Joyce has made the company rise to high heights for more than ten years he has offered leadership to the company. His leadership has seen the Qantas airway becoming one of the biggest airline company in Australia. Mr. Joyce has shown qualities of intelligence in his actions and also has been able to demonstrate and nurture the employees to acquire the values of respect of the customer and acquire good customer relations (Pontefract, 2019). These virtues that he has possessed as a leader of the organization has gone greatly in inspiring the employees and also acted as teaching to the employees. Mr. Joyce has been able to exercise his power authoritatively to make some decisions in the company of making the workers motivated in their work. Mr. Joyce decision to shut down the operation of all activities in the airline at the time when it was a high season was highly hailed. Mr. Joyce used a situation crisis management to deal with the workers who had disturbed him with increased strikes and protests called by the labor unions. After the crisis, the CEO and the workers were able to come on an agreement that reached the end of the crisis (Hoe, 2017). Joyce has employed a wide range of risks throughout his period of leadership as the CEO of Qantas Airways. Mr. Joyce always offers his declaration and decisions to the world on important social matters such as the marriage issues and other issues concerning the welfare of the workers of Qantas Airways . Mr. Joyce has been very accommodative to many people in the organization not minding their political affiliations, religions or their other beliefs. Conclusion The airline business requires the cooperation of various stakeholders. These stakeholders include the government, suppliers, workers, suppliers international governments and non- governmental agencies. Qantas Airways an international airport in Australia is one of the companies that have been able to efficiently exploit the external and internal environments involving it. The airline has been able to create corporate social responsibilities such as those working towards the betterment of the environment, the offset system applied by the Qantas Airways in particular and the waste management plans that seek to mitigate the damage caused by its activities on the ground and over the air. The values developed by the management of the airline has seen the airline become an international airway serving across all the six continents.
Qantas airways6 One of the contributing factors to the success of the airline has been its Chief executive officer, Mr. Allan Joyce. The CEO has brought transformational leadership to the organization making it to successfully achieve its goals. His democratic style of leadership has encouraged all the stakeholders in the company to work for the achievement of the goals of the company.
Qantas airways7 References. Beder, S. (2014, May 28). Carbon offsets can do more environmental harm than good. Retrieved from http://theconversation.com/carbon-offsets-can-do-more-environmental-harm-than- good-26593 Durkin, P. (2017, February 20). Alan Joyce voted Australia's top CEO. Retrieved from https://www.afr.com/leadership/alan-joyce-voted-australias-top-ceo-20170224-gukxdt Governance, S. (2012). Qantas Airways Limited PESTEL / PEST & Environment Analysis[Strategy]. Retrieved from http://fernfortuniversity.com/term-papers/pestel/nyse4/6367-qantas-airways-limited.php Hoe, J. (2017). The Qantas Crisis Case Study. Retrieved from https://www.academia.edu/16400513/The_Qantas_Crisis_Case_Study Jones, S. (2018, March 28). Corporate Social Responsibility Strategy . Retrieved from http://study-aids.co.uk/dissertation-blog/corporate-social-responsibility-strategy-qatar- airways/ Joyce, A. (2015). Retrieved from https://www.qantas.com/infodetail/about/environment/our- commitment-to-environmental-sustainability.pdf Kissing, S., & Taylor, M. (2019). Analysis of the Internal Environment at Qantas Airways Limited Essay. Retrieved from https://www.123helpme.com/analysis-of-the-internal- environment-at-qantas-airways-limited-preview.asp?id=263270 Pontefract, D. (2019, March 11). Qantas Airways CEO Delivered A Masterclass In Leadership. Retrieved from https://www.forbes.com/sites/danpontefract/2019/03/11/qantas-airways- ceo-delivered-a-masterclass-in-leadership/#7206b1696d1d Qantas freight. (2016). Sustainable cargo. Retrieved from https://freight.qantas.com/sustainable- cargo.html Whyte, J. (2019, February 24). Why Qantas Airways is wasting its waste initiative. Retrieved from https://www.afr.com/business/transport/aviation/why-qantas-airways-is-wasting-its- waste-initiative-20190222-h1bm6a