Evaluation Tools for Flight Centre Travel Group's Strategy

This report analyzes and evaluates two effective evaluation tools for Flight Centre Travel Group to evaluate and monitor their business strategies. The tools discussed are SWOT analysis and Performance Management Tool.

Strategic Management
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Discuss two evaluation tools on how the Flight Centre Travel Group should evaluate
and monitor their strategy.
In the following comprehensive report, the author has analysed and evaluated two effective
evaluation tools on how Flight Centre Travel Group should evaluate and monitor their
business strategies to sustain and achieve competitive success. Flight Centre Travel Group is
an Australian travel retail organization who has successfully maintained the leading position.
Analysing the Key performance Index and Key Results Area of Flight Centre Travel Group
the author has discussed the two evaluation tools which would facilitate the organization’s
performance by effective evaluation and monitoring.
In the report the author has selected SWOT and Performance Management Tool analytical
tools that would facilitate Flight Centre to recognize the most suitable performance
management solutions in accordance with the organization’s needs and expectations. The
solutions are generally related to the development of the Flight Centre’s performance
management potentials and vision.
Flight Centre Travel Group’s evaluate and monitor management development tools are-
SWOT-
Organizational goals and objective are effective when it is more intentional and therefore
SWOT analysis is an important step in evaluating and monitor management (Rothaermel,
2015). In this step, the management of Flight Centre Travel Group needs to understand and
recognize the crucial factors of performance. By formulating organization’s strategy,
businesses accomplish their objective and goals. In an effective SWOT analysis four
elements are addressed –
 Organization’s STRENGTH,
 Organization’s WEAKNESSES,
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 The OPPORTUNITIES in the market, and
 The THREATS in the market.
The concept framework of SWOT analysis was first proposed by Ken Andrews in 1960s
(Rothaermel, 2015). A SWOT analysis is the primary step towards formulating Flight Centre
Travel Groups’ business strategy. After formulating the SWOT, Flight Centre should
determine the strategies considering its possible threats and risks. An effective SWOT
analysis will evaluate Flight Centre’s internal capabilities – strengths and shortcomings or
weakness present within the organization. It will also analyse the external opportunities and
threats which will facilitate in formulating strategies which will proactively fits with Flight
Centre’s challenges.
Performance Management Tool-
An effective performance management system is important as it facilitates in bringing the
best of the available resources in the organization (Rolstadås, 2012). Failure in proper and
effective performance management leads to organizational failure. Flight Centre is a global
travel retail organization; therefore they have to operate in multiple socio-cultural and
political as a result measuring and capturing performance data across multiple teams in a
constant and uniform system is necessary. Flight Centre’s evaluating and monitoring
management system can be utilized as a medium to the identification of a gap in the system,
analyse and rectify the problem present in the system. Good performance management is
essential to get the best outcome for organisations and the workforce (Eckerson, 2010). If
performance is not managed well, resources are unlikely to perform at its best.
The basic objective of KPI and KRA is to strategically achieve the organizational objectives
efficiently (Arora and Kaur, 2015). Flight Centre’s strategic evaluation and monitoring
system should drive KPIs and KRAs and assists management in evaluating effective outcome
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from the process which will facilitate the management in a strategic formulation. An effective
evaluation and monitoring (KPI & KRA) needs months or even years of trial and error to
identify faults in the system which can bring counterproductive outcomes (Arora and Kaur,
2015).
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Reference
Arora, A. and Kaur, S., 2015. Performance assessment model for management educators
based on KRA/KPI. In International conference on technology and business management
March (Vol. 23, p. 25).
Eckerson, W.W., 2010. Performance dashboards: measuring, monitoring, and managing your
business. John Wiley & Sons.
Rolstadås, A. ed., 2012. Performance management: A business process benchmarking
approach. Springer Science & Business Media.
Rothaermel, F.T., 2015. Strategic management. McGraw-Hill Education,.
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