This paper involves an in-depth analysis of the various approaches which can be incorporated into the management of Virgin Australia in a bid to improve the company’s performance.
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Running head: Research design1 Research design Name of Student Name of Institution Date of Submission
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Research design2 Table of Contents Introduction……………………………………………………………………………….3 Industry and Company……………………………………………………………………3 Business Enhancement: Customers, innovations and the future………………………….5 Article 1…………………………………………………………………………………..7 Article 2…………………………………………………………………………………..9 Article 3…………………………………………………………………………………..11 Current and Improved Customer value preposition………………………………………12 Conclusion………………………………………………………………………………..13 References………………………………………………………………………………..14
Research design3 Introduction This paper shall involve an in-depth analysis of the various approaches which can be incorporated into the management of Virgin Australia in a bid to improve the company’s performance. Customers play a crucial role in enhancing the performance of a company by directly influencing the company’s return on investment (Ashforth and Kreiner, 2009). Business enhancement can therefore be achieved through client empowerment and improvement of customer experience through maximum satisfaction. It is also a fact worth noting that the current trends within the air transport industry and the company’s treatment of its customers has a special way of influencing the future of the organization. This paper focuses on the transport industry with the company at the centre of discussion being Virgin Australia. Virgin Australia Airlines is the second largest airlines after Qantas in Australia with a renowned market presence both at the local and international fonts. It has over 40 operating fleets which explains the relatively fair passenger ration recorded at the company (Berg and Huebner, 2011). The incorporation of technology into its core management approaches has acted as a pillar in the company’s bid to stay consistent and competitive in the dynamic transport industry. Industry and Company I chose the air transport industry due to the ever changing trends in consumer preferences, the competitive nature and the unending opportunities available for companies to enhance performance. With reference to a total of three articles, this paper shall entail the examination of business enhancement in terms of customers, innovation and the future of the company. My knowledge and interest in the area of transport and additional management skills shall be handy in helping me give conclusive arguments with respect to the topic under study.
Research design4 The dynamic nature of the airline industry market is another area of concern. The level of competition due to the uprising rival companies within the same industry offers the customers a myriad of options to choose from. It is therefore inevitable for Virgin Australia to come up with the most viable business enhancement measures. The measures ought to be implemented along three specific faultlines which include: the customers, aspects of innovation as well as the future of the company (Bolman and Deal, 2017). In line with the aspect of customers, the air transport industry continues to face challenges especially as a result of the varying and sometimes unpredictable customer preferences. In addition, there has been the active mushrooming of rival airlines which provide similar services at relatively cheaper costs. This has led to decline in customer loyalty at Virgin Australia Airlines hence a noted drop in return on investment especially between 2010 -2013. The rising competition has also led to instability in the internal market for the airlines company. Consequently, the company needs to conduct research related to customers in order to deduce their needs and hence come up with measures of enhancing customer experiences. This goes a long way in stabilizing the industry’s market base. Through controlled research, I believe it is possible for Virgin Australia Airlines to identify the various consumer needs before identifying ways of satisfying them (Guarreillo, 2017). In line with innovation, it would be important to note that innovative ideas that as provided by company managers, leaders and even the employees can be useful in improving the performance of the business. The rise in technology and the incorporation of computers and other machines has made it easy for Virgin Atlantic management to identify and implement various innovative ideas in a bid to enhance performance. However, the ever growing complexity in the airlines industry only implies that Virgin Australia must remain consistent with
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Research design5 its innovative strategies in order to maintain a competitive edge. The introduction of code sharing and digital technology has increased interaction between VAA and other airlines while at the same time enhancing the convenience levels among the customer. Through technological innovation, the company has established a website through which customers can view flight schedules. However, the platform needs to be widened and made more user friendly in order to create a better environment where the company management can interact with its customers hence creating healthy and beneficial company-client relationships (Keddy, 2017). In terms of the future of Virgin Australia, the current trends in the airlines industry depict a number of uncertainties with respect to its future. The ever increasing number of rival companies implies that the airlines market is likely to be divided in future. It is also a fact worth noting that the advantage rising from technological advancement is an opportunity that is available for each of the rival companies. It would therefore be important for VAA to enhance research approaches in order to deduce the right technological innovations necessary for business enhancement (Henisz and Zelner, 2010). The current performance of Virgin Australia both in the local and in the international markets indicates that the company has a future. Its human resource also comprises qualified personnel while the level of motivation among the employees is awesome. Each of these aspects assures the company a better future. However to remain competent, there is an inevitable need for research to ensure a better future for the company.
Research design6 Business Enhancement: Customers, innovations and the future Business enhancement refers to the measures, strategies or procedures which can be implemented by a company in order to improve its revenue, maintain a stable market value and remain competitive despite the various industry challenges. To improve performance, business research is essential as it enables a company identify better strategies in dealing with customers, innovation as well as its future. Customers are key stakeholders within a business organization (Kissane, 2013). Virgin Australia is therefore able to enhance performance by improving the level of interaction between a company and its base of clients. Through business research on customer needs, trends and preferences, the management is able to identify hence implement ways of addressing these needs in a bid to improve performance (Koschmann, 2012). A business organization that is characterized by committed workers and motivated human resource fraternity is likely to perform better. This leads to the important aspect of innovation as a crucial pillar in business enhancement. Through research, the company can deduce innovation which can in turn be applied to improve the general functioning of the various organs within the company. For instance at Virgin Australia, the management is constantly reviewing its innovation strategies in order to ensure that the employees are adequately empowered with the right skills which in turn enables them the much needed professional touch when dealing with customers. Lastly, the strength of company is determined by its ability to remain consistent and competitive despite the many challenges which punctuate the airlines industry. This implies that VAA ought to be in a position to deliver quality services to its customers in many years to come without necessarily having to puncture consumer loyalty and market stability. The future of a company is therefore based on the ability use the current trends to project the future outcomes before installing the right counter measures. Being in a position to project the future trends is
Research design7 therefore an important aspect in business enhancement. It does not only ensure the continuity of the company but also sees to it the performance at the current level is maintained at an optimum level. In line with the insights above, it can be summarized business enhancement can be achieved by conducting research which is related to customers, their needs and ways of addressing these needs. Secondly, enhancement is achieved through research aimed at obtaining and implementing innovative ideas. Finally, carrying out research which enables a company to precisely forecast the future trends with respect to the current happenings is another important strategy which enhances business performance. Article 1 In this section, I focus onEdelman, D. C and Singer, M (2015)“Competing on Customer Journeys”,Harvard Business Review, November 2015, pp88-100.Virgin Australia Airlines shall remain my company. The stipulations by the authors in this case shall be deduced and related to the aspect of research related to customers which is an important strategy in enhancing business performance. The authors are keen to note that the emergence of technology over the past decades has made the customers to be empowered. This implies that the consumers call the shots as a result of the myriad options that they are able to choose from. Due to the rise in use of handheld phones and availability of fast internet, customers are able to shop right at the comfort of their homes. Clients can compare the most suitable options and have the deliveries made at convenient intervals. The authors in this case identify technology as a tool which has not only been crucial to companies but has gone a long way in varying consumer behaviors. I can relate the scenario above to the situation at Virgin Australia. In a good number of its terminals, customers still have to queue in long lines while waiting to get flight tickets. This idea
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Research design8 may not only inconvenience the customers but is also time wasting and may be accompanied by various cost implications. For instance, the company has to construct a waiting bay and the necessary facilities for the customers in each terminal for waiting purposes. By harnessing the power of technology, Edelman and Singer argue that the company is able to create smoother paths to enhance customers’ journey. The industry stakeholders therefore make the lead while the customers follow. How would this be possible? The authors suggest technology which is already at the disposal of the clients as the most readily available tool to construct customer journeys. This approach begins with the customer being made aware about the existence of a product or service. Once they obtain the services, the company works on ways of maintaining consistency in the quality provision hence allowing the clients to have enjoyable experiences. Positive experiences tend to exhibit positive responses from the customers. As can be derived from the article, customers who are satisfied with the products/services provided by a given organization are likely to ‘advocate’ for the use of these very products/services among their line of friends, colleagues and relatives. This in turn develops a chain of loyal customers which easily translates into an enhanced performance in terms of return on investment. How does the article bring out the aspect of research related to customers? The authors suggest the implementation of strategies like the introduction of new technologies, incorporation of effective processes in addition to the realignment of organizational structures in a bid to fit the varying customer needs. This idea can be fused with the scenario at Virgin Australia with the aim of enhancing performance. Through technology, Virgin Australia can introduce an interactive and user friendly online interface where customers are able to log into the system and book for flights right at the comfort of their homes. This minimizes the time that would have otherwise been spent waiting on the queues. At the same time, the online platform can be used to
Research design9 inform the customers of the varying flight schedules and the related travel cost implications. The customers are also given a chance to give their feedbacks regarding the quality of services received from VAA employees. The company can then use these responses to make the necessary adjustments to improve customer satisfaction, enhance their loyalty while generally upgrading the overall performance of the business. Most of the clients have access to online features and applications. A good number of competitors such as Qantas are already on with the implementation of better consumer interaction programs. It would be appropriate for Virgin Australia to take on the very path to maintain a competitive edge. As adequately summarized by Edelman and Singer, making the journey a compelling, customized and open-ended experience can woo buyers, earn their loyalty thereby creating a competitive edge in the firm. Article 2 In this section, I shall analyze the research ideas that can be used by a firm to enhance performance through innovation and betterment of consumer experiences. This discussion shall be backed up by stipulations fromChristensen, C. M., Hall, T, Dillon, K and Duncan D. S (2016) Know Your Customers’ “Jobs to Be Done”, Harvard Business Review,September 2016, pp54. The article brings out a clear correlation between the company’s ability to understand its customers and the nature of innovative ideas which when implemented enhance the consumer experiences while in turn improving business performance. One of the challenges at Virgin Australia as a company in the corporate arena is the absence of innovative strategies due to lack of the right understanding of consumer needs and trends. The article demystifies innovation by noting that it doesn’t necessarily have to involve the introduction of a totally new idea but enhancing an already existing procedure in a bid to ensure that the experiences of the clients are made better every day. Similarly, the management at Virgin Australia can pick this piece by
Research design10 identifying the areas within the company in which precision in terms of service delivery has been low for instance in the area of ticket booking. An innovative idea can then be identified and implemented to improve the speed and accuracy of the booking process. Is it possible for Virgin Australia Airlines to remain relevant and consistent without innovation? To respond to this I can deduce the authors’ very initial statement in their article which stipulates that innovation remains a top priority in most companies. This argument acts as an appropriate eye opener for any organization which needs to achieve business enhancement through innovation. The strategy in this case is to get the innovative idea right. This is achievable at Virgin Australia especially when the organization has a firm understanding of the customer needs and varying preferences. Consequently, the innovative idea ought to be aligned to these very needs in order to enhance consumer experiences while also improving business performance. It is interesting to note how the article brings out the correlation between customers and understanding. On the same note, the innovative idea implemented at VAA must always run alongside the objective to satisfy customers. The stipulations above effectively illuminate the scenario at Virgin Australia Airlines. Manual booking of tickets increases waiting hours which is quite inconveniencing to a good number of clients. Consequently, the innovative idea needs to focus on reducing the associated shortfalls while improving consumer experiences. In line with this perspective, Virgin Australia may need to implement in innovative idea which solely focuses on improving the interaction between the company and its customers. For instance, developing an interactive online platform would be an appropriate idea aimed at developing and strengthening the connection between Virgin Australia and its chain of clients. It would be important to note that the strategy in this case does not involve introducing a totally new idea but
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Research design11 instead making better what is already available at the organization. The advantage of viewing innovation in terms of improving an already existing project is the fact that fewer costs are involved. Virgin Australia already has a website; the challenge though is that the website does not contain the varied parameters that would be essential in enhancing convenience among users. The innovative idea may then involve an improvement of the current website so that it can accommodate the varying trends in terms of consumer needs and preferences. This article is relevant as it outlines the ideas which depict innovation as an effective tool when it comes to business enhancement. Article 3 In order to manage a detailed examination of the aspect of business enhancement, I shall relate the discussions and arguments in the articles which were deemed relevant for this research study. The arguments by the authors shall be related and incorporated into the discussion while coming up with tacit conclusions on how business enhancement can be achieved through research related to forecasting methods hence establishment of a sure future for Virgin Australia Airlines. Enhancement through forecasting the future trends is a crucial resource which an organization can harness to move mountains in line with market dominance and exploration. In this section, I relate the arguments by Brooks and Leslie in the article“The Surprising Power of Questions”and discuss business enhancement through the conduction of research related to forecasting skills. By incorporating appropriate forecasting strategies Virgin Australia can identify the possible future happenings in line with consumer behavior, rise of competitors and hence the impending changes within the market. The authors outline the importance of questions in enabling a company to project the future trends in operations. The process of research involves seeking information from the most relevant sources about the current activities in the given
Research design12 industry. Virgin Australia could effectively utilize this approach as a method of gaining the much needed information regarding client behaviors and the intended variations within the local and international market. Through quality analysis, the information obtained during these research processes can be manufactured to produce possible future changes. With a proper view of the impending changes in the market trends and consumer behaviors, Virgin Australia can therefore research for and implement the most effective strategies that would be useful in dealing with the projected challenges. Use of questions both in form of direct interviews and as questionnaires is considerably one of the most effective quantitative approaches in the field of research. This brings out the relevance of this article in this discussion as it clearly outlines the power of questions in information seeking and establishment. Virgin Australia can easily fuse the ideas presented in the article to derive information about its business environment. This data would be useful in identifying the areas where the airlines needs to make the most appropriate adjustments Asking questions unlocks a lot of information which in turn enhances learning. The ideas discussed in this book can in turn be implemented by Virgin Australia in order to come up with the right research approaches to enable the company forecast the possible future trends. It would be prudent to note that the future of the industry lies on the nature of treatment of the customers. Consequently, the company can borrow from Brooks and Leslie in the article“The Surprising Power of Questions”by creating an interactive platform where the management can interact with the clients through question and answer sessions. The outcomes of these sessions can then be analyzed in a bid to identify the loopholes. In a nut shell, the management at Virgin Australia is able to establish the level of consumer experiences by asking them questions regarding the products and services offered. This would be made effective by developing the right platform
Research design13 through the incorporation of innovative ideas. Research regarding the future a business is essential when it comes to financial and material preparation. Through the outcomes of the studies, Virgin Australia may chose to initiate projects aimed at enhancing business continuity. Such projects require financial adjustments since they involve the use of company resources. In order to adequately prepare for such transitions, the management at Virgin Atlantic can employee the models presented by the authors to presume its future situation and hence prepare for it. It can therefore be noted how the aspects of customers, innovation and future are closely intertwined and all essential in the process of business enhancement. Customer value preposition (CVP) Value preposition as a statement is often important in convincing a consumer to pick on the products and services offered in a given organization. The current value preposition (CVP) at Virgin Australia is as follows To ensure maximum customer satisfaction through the provision of quality and faster services It can be noted that this objective entirely focuses on the consumers and the level to which the company intends to satisfy them. The main challenge at the organization though is the fact that achieving faster services to the clients has been hard especially in the terminals where tickets have to be obtained manually. In order to improve the quality of services at Virgin Australia, the long waiting periods at the bay could be minimized by the implementation of an improved system which allows easier and faster booking. The idea of online booking can in this case be embraced in order to increase the level of convenience during the booking process. Since the objective of the CVP is to ensure faster services, incorporating an innovative approach to the
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Research design14 process of booking would be pivotal in achieving this objective. The new preposition ought to focus on increasing the level of convenience among the customers while also improving the overall performance of the company. The quality of services offered entirely depends on the competence of the employees especially the cabin crew in their ways of handling clients. In order to achieve this portion of the CVP, management at Virgin Australia needs to embrace staff empowerment through proper exposure and training. Training equips the employees with the right skills and attributes which are in turn useful in according the best services to the clients. In line with that, I propose a new CVP which can be coined thus “Ensuring consistency in the quality of services provided through cheaper alternatives and faster procedures” this value proposition can indeed be achieved through introduction of innovative ideas which enhance company-customer interactions. The right ideas would involve a thorough understanding of the consumer trends which also helps the organization to forecast its future. Through the introduction of online booking based on the expansion of the company website, it is possible to achieve faster and better quality services. However ensuring the consistency of these services, which is the core element in the proposed CVP calls for further research to identify the specific areas where adjustments ought to be made. Forecasting the future trends would be helpful in allowing the management at Virgin Australia to identify the specific improvements to be made on the system to enhance consistency in the quality of services provided. This brings about the vital role of research on customers, innovation and future of the business. Through research, it is possible to have a better understanding of the customers hence come up with way of addressing their needs. Research would also help the management at Virgin Australia identify the innovative strategies necessary for ensuring consistency in the quality of services. Through research, the company is able to forecast the future and hence mould the CVP to fit the future trends.
Research design15 Conclusion In conclusion, it can be noted that the ever dynamic nature of the airlines market calls for companies to always be keen on identifying and implementing the right strategies. This does not only keep the companies relevant in the competitive world but also ensures that its performance despite the market challenges remains consistent. The discussion above pointed out the pivotal place of research in business enhancement. By incorporating the arguments by different authors, it was possible to deduce how research techniques related to customers, innovation and the future can be used to achieve business enhancement. The articles used to back up the stipulations in this paper were Edelman, D. C and Singer, M (2015) “Competing on Customer Journeys”, Harvard Business Review, November 2015, pp88-100,Christensen, C. M., Hall, T, Dillon, K and Duncan D. S (2016)Know Your Customers’ “Jobs to Be Done”, Harvard Business Review,September 2016, pp54and Brooks and Leslie in the article “The Surprising Power of Questions” In each of these sources, the authors bring out the correlation between business enhancement and consumer treatment, innovation and forecasting techniques. Consequently, the desire to constantly improve business performance calls for continued research. It is a fact worth noting that research procedures ought to be guided by specific objectives. One of the main objectives is to improve customer experiences. This therefore implies that the innovative ideas implemented need to be aimed at enhancing consumer loyalty which germinates to overall improvement in business performance.
Research design16 References Ashforth, B. E. and Kreiner, G. (2009) "How can you do it?": Dirty work and the challenge of constructing a positive identity.Academy of Management Review,vol24, pp. 413-434. Berg, M. T., and Huebner, B. M. (2011). Reentry and the ties that bind: An examintion of social ties, employment, and recidivism.Justice Quarterly,vol 28, pp.382-410. Bolman, L., and Deal, T. (2017).Leading with soul, Jossey-Bass: San Francisco, CA. Brooks and Leslie in the article “The Surprising Power of Questions”Harvard Business Review, June 2018, pp54.
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Research design17 Christensen, C. M., Hall, T, Dillon, K and Duncan D. S (2016)Know Your Customers’ “Jobs to Be Done”,Harvard Business Review,September 2016, pp54 Daniels, J., Radebaugh, L., Sullivan, D. (2014).International Business: environment and operations, 15th edition. Prentice Hall. Edelman, D. C and Singer, M (2015) “Competing on Customer Journeys”,Harvard Business Review, November 2015, pp88-100. Guarreillo, R., 2007, Rethinking community collaboration through a dialogic lens Creativity, democracy, and diversity in community organizing. [journal article].Management Communication Quarterly,vol. 21, pp. 145-171. Henisz, W. and Zelner, B. (2010).Hidden Risks in Emerging Markets. New York: Harvard Publishers Keddy, J.(2017). Human dignity and grassroots leadership development.Social Policy,vol. 31, pp. 48-53. Kissane, R. J. (2017). What's need got to do with it? Barriers to use of nonprofit social services. Sociology & Social Welfare,vol.30, pp. 127-148. Koschmann, M. A.( 2012). Developing a communictive theory of the nonprofit.Management Communication Quarterly,vol. 26, pp. 139-146. Koschmann, M. A. (2012). Developing a communictive theory of the nonprofit.Management Communication Quarterly,vol. 26, pp. 139-146.