Impact of Change Management on British Airways Operations

This report examines change management within British Airways, comparing it to Virgin Atlantic. It explores the impact of change on operations and strategy, including the use of the Change Impact Analysis process. The report identifies internal and external drivers, such as political, economic, social, and technological factors, using PEST and SWOT analyses. It discusses strategies to minimize the impact of change on organizational behavior, including the Continuous Improvement Model, System Theory, and the Burke-Litwin Model. Furthermore, the report analyzes barriers to change and their influence on decision-making, concluding with an evaluation of leadership approaches to address change and remove barriers within British Airways. The report emphasizes the importance of communication, employee motivation, and adapting to external factors to ensure successful change management.

understanding and leading
change

Table of Contents
INTRODUCTION...........................................................................................................................3
P1- Organizations where change has been implemented and their impact on companies
operation and strategy.................................................................................................................3
P2- Internal and external drivers of the change management.....................................................5
P3- Minimize impact of change management on organizational behaviour...............................7
P4- Barriers of change management and their influence on decision-making............................9
P5- Leadership approaches to deal with change in British airline...........................................11
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Change management play important role in the every organization and help to increase
the growth and efficiency of the company (Ahmad., 2017). Change in the mainly focus to
improve process and activity in the organization and it also has huge impact on the company's
success but it is important for the organization to analyse impact on change and make proper
strategy for the change management.
This report will take British Airline for this cases study because it is the best example
where change has been implemented. This report will compare British Airlines and Virgin
Atlantic and briefly explain the change management in both organizations. British airline is the
flag carrier airline of the UK and their headquarter is in London and it is second largest airline in
the UK. Virgin Atlantic is also British airline and their headquarter is in crawley England. This
report will evaluate the ways in which internal and external divers of the change management
affect on the company's leadership, group and any individual employee. Strategies to minimize
impact of change on company's behaviour. This report will also include barriers for change and
it will determine how those barriers influence on the leadership decision making in British
Airline. In the end of this report will apply leadership approaches during the change in the
organization, so they can address the change and remove the barriers in the change management
process in the company.
MAIN BODY
P1- Organizations where change has been implemented and their impact on companies operation
and strategy
There are two Airline companies British Airline and Virgin Atlantic Airline where
change has been implemented and it has huge impact on company's strategy (Becerril and et.al.,
2017). Both organization have their headquarter is in United Kingdom and both are from same
industry.
British Airline Virgin Atlantic
Based on the size of Fleet international flights
and destinations. This airline is the largest
airline in the UK. This airline company has 2nd
largest in terms of the number of passengers
Virgin Atlantic also implemented change in
their company because their company was
facing. Their stakeholders and employees
were not giving their participation with the

carried. This companies board was set up on
the year 1971 and this is one of the most
popular and leading company in the
worldwide. During the Economic crises in
2008 all the airline companies include British
airline and Virgin airline face large recession.
This crisis makes necessary of British airline to
make some change to survive the crisis
(Becerril and et.al., 2017). After the unfreeze
stage comes the movement stage. One this
company observes that they need for change
new methods of doing the things should be
implemented in their workplace. Apart from
the downsizing , British airline must have
brought positive change process. This
company had faced a lot of competition from
the low cost airline which affect on the
company's profitability, and they faced losses
in their business but British airline was able to
survive crises successfully.
company. Conflict and many other things was
affecting the companies operations their
strategies. It was because their employees in
their workplace come from the different
culture and countries. Leaders of this company
take decision to implement cultural change in
the organization. They run some group
activities and change the structure of the
organization so flow of communication can
increase and their employees and can
understand each other. This affect on the
company positively, and they successfully
implement change process in the workplace of
Virgin Atlantic airline. This also affect on the
companies operation and their growth change
management process increase their growth rate
and popularity in the airline industry. Change
in Virgin Atlantic give more positive impact as
compare to the change implemented in the
British airline company.
Bohner and Arnold Change Impact Analysis.
Two American software engineers Borner and Arnold were the first which explain and
write about the impact analysis. There are 4 steps of this process which is about identifying the
potential consequences of a change within the company so changes can be implemented
successfully. This ca help company both the organization British airline and Virgin Atlantic
Airline to run change process properly and understand the impact of change on the companies
operation and their strategies. Here are 4 stages for change management process-
Step 1
It is important for the both companies to determine the order in which the task will be
carried out, their relationship and independence and the extent to which they can be carried out
the simultaneously. When an order is clear, The critical path can be taken into the amount and

the time needed to complete the entire change management project in the both companies with
little wiggle room as possible.
Step 2
Change will impact on the companies many areas and employees as well. It can impact
demotivate them and slow down the activities in the organization so it is important for the both
British and Virgin Atlantic company to look for this issue in advance (Beitelmal and et.al.,
2017). As soon as the change in the companies task and activities affect the duration of critical
path, there is a good chance that the change process deadline will not be met.
Step 3
IT is important for the both the Airline companies to estimate what kind of affect possible
change will have in advance. The length of the time and the budget of the company for change
process play necessary role. Priorities can be set on the basis of estimation of change process.
Step 4
As a final step, it is very important for the both airline companies to inform their
employees and stakeholders about the change management process. They can use all this
information to make the right decisions. It will also depend on whether they accept the proposed
changes or not. Thus, it is important for them to have the result of the changes in mind, so that
they are motivated to implement it.
P2- Internal and external drivers of the change management
There are few Internal and external drivers of change management which affect the
companies change process. It is necessary for the British airline and Virgin Atlantic company to
understand these drivers to implement changes in the company successful. Here are two tools
which can health to understand these drivers properly (Bretz, Kaiser and Dumitrescu., 2019).
PEST analysis
Political Factor
Change in the UK Tax structure can impact on the both companies British airline and
Virgin Atlantic airline. This change can affect on the salaries and wages of the employees, and
they can be demotivated. It is important for the companies leaders to motivate their employees,
and they should make new polices and rules for the employees, so they can be motivated and
change in Tax structure should not affect on their employees.
Economical Factor

Economic change such as change in the fuel prices can affect on both British airline and
Virgin Atlantic airline (Delgado., 2018). This kind of economical crises affect on the prices of
flight tickets and also affect the employees moral. In this situation leaders are responsible to
make new strategies, and they should motivate and encourage their employees to support their
company.
Social factor
Most of the employees in British airline and Virgin Atlantic airline are from other places,
and they speak different languages. Change in their culture can affect on the company's growth.
Leaders of the company should impediment group activities in the workplace so employees can
work in team, and they can give their best to achieve companies goals and objectives to make
their business successful.
Technological Factor
In the airline industry technology plays important role and it is important for the British
airline and Virgin Atlantic airline both to adopt new technology in their workplace to take
competitive advantages in the market but implementing new technology in workplace need their
employees to know how to use new technology. Managers and leaders of the company should
give training to their employees, so they can develop new skills to run technology implemented
in the company's workplace.
SWOT Analysis
Strength
Change in the British airline and Virgin Atlantic airline can help them to lead their
business to be successful (Engle And et.al., 2017). Both the complies have adopted change
process in the organization and it affect on their profitability and make better environment for the
companies' workplace.
Weakness
Organizational change can demotivate employees of the British airline and Virgin
Atlantic airline both because their employees can deny accepting the changes because they can
have fear of job loss and task related issues.
Opportunities
Change process create opportunities for the British airline and Virgin Atlantic airline
company because without change process they cannot be successful in the business. Change is

important when needed. Changes like new technology implementation and cultural change have
positive effect on organization.
Threats
Change in the organizational structure can become threat for both the companies if their
employees deny accepting the changes. It is important for the company to encourage their
employees to give support in the change process so company can improve their working
efficiency.
P3- Minimize impact of change management on organizational behaviour
Impact of change can be minimized by some change management theories. It is important
for the British airline and Virgin Atlantic airline to use these theories to minimize impact of the
change management process on the company (Frijns, Van Leeuwen and Bierwolf., 2017). These
theories include – system theory, Continues improvement model and the Burke- Litwen model.
Continues Improvement model
According to continue improvement model companies look for the improvement in the
product, services and performance of the employees and companies process. This model can help
British airline company to successfully implement change in the organization. Leaders and
managers of the company can provide training to the employees, so they can develop skills for
the new task and mangers of the company also monitor performance of the employees. They
record performance of the employees before change and compare their performance with after
the change implemented in the workplace of British airline and Virgin Atlantic airline. This can
help them to minimize negative impact of the change process and also increase the potential of
the employees.
System theory
System theory is leadership theory which enable leaders of the company create conditions
where employees at all level can work properly and productively to their potential
Continues improvement model. In this leadership style leaders adopt some characteristics such as
communication , flow of information etc (Musai., 2019). The system model of change emphasis
on the fact that a change must be implemented organization wide instead of implementing it in
piecemeal leaders of the British airline and Virgin Atlantic airline should use this theory during
the change process and in this method leader of the company communicate with the employees
and make them understand why these changes are important and it can help this company to

achieve high growth. They encourage employees to give their support to company in this change
process,
Burke Litwen Model
The Burke Litwin Model of Organizational Change is all about defining and establishing
a cause-and-effect relationship. The model assumes 12 organizational elements that determine a
change within an organization, Which can help British airline to reduce negative impact of
change.
External Environment
It is necessary for the British airline and Virgin Atlantic airline to look for external
factors which are important for the organization changes. Identification of changes in external
environment can help this company to control negative impact on the company.
Mission and strategy
Mission and vision of the companies can be defined as highest level of the management.
It is recommended that the company always checks whether these suit the position of the
employees.
Leadership
Leaders and mangers of the British airline and Virgin Atlantic airline play important role
in the organization, and they are responsible to communicate with the employees and encourage
supporting change management process (Ogundipe and Ogundipe., 2019).
Organizational culture
Organizational culture can be maintained in the workplace of British airline and Virgin
Atlantic airline through the group activities and effective communication to the employees.
Structure
Organizational structure of the company should be simple so employees of the British
airline company can share their issue to the superiors during the change management process
(Rink and et.al., 2017).
System
IT services and other equipment should be present in the company to control activities
and run company smoothly during the change process.
Management practices

Managers of the British airline and Virgin Atlantic airline company can use management
practices during the change, so they can motivate employees.
Working climate
During the change management process employees can be demotivated so managers of
the British airline and Virgin Atlantic airline should provide rewards to the employees, so they
can give some financial support to the employees during the change.
Task and skills
For the new jobs after the change management HR manager of the company should
recruit new employees who can run new task of the company.
Individual values and needs
Company can give higher responsibility to the employees, so they can be motivated and
support company for change.
Performance
Managers of the British airline and Virgin Atlantic airline should measure performance of
the employees on the basis change management (Silva and Mendis., 2017). They should measure
what impact occurs on the employee's performance after the change I the company.
P4- Barriers of change management and their influence on decision-making
Change management process in the British airline can create many barriers which can
influence on the decision-making of the company. It is important for the leaders and manger of
the company to analyse these barriers of the change management to implement changes
successfully in their workplace. There are two effective tools which can help British airline to
analyse barriers in the change process and how it can influence on decision-making of company.
Lewin's Force Field Model
According to the Lewin's there are forces driving change and forces retaining it where
there is equilibrium between the two sets of forces there will be no change. In order to occur the
driving forces must exceed the restraining force. This analysis includes internal and external
forces which impact on the decision-making of the company.
Internal forces for change
Internal barriers such Conflicts between Different departments can be barrier in change it
is important for the leaders of the British airline company to take decisions for solve conflicts
between the both the department so change management can be implemented. Ineffective

communication, demotivation or poor business relationships can be a barrier in the change
management and affect on the decision-making process. It is important for the British airline
company have good relationship between the leaders and employees which can be possible
through the communication between employees and leaders. This become barrier when their no
communication between leaders and employees during the change.
External forces for change
External change forces such as increased the demand for the higher quality and levels of
the customers services can influence the decision-making of the company and this force British
airline company to bring change in their company and implement new strategies (Thomson and
Michel., 2018). It is important for British airline to bring follow new trends in technology but
this affect on the companies decision-making because it is also a part of change management and
mangers of the company have it takes decisions for the changes after implemented new
technology in the organization what strategies they will need to used to make their employees
know the use of technology. It is a barrier for the company because this takes time and money
both. Employees can fear from this change because they can lose their jobs.
Situational resistance
When employees of the British airways company listen about the change in the
workplace than their initial reaction can be anxiety, reluctance and fear mixed with some
Curiosity. This also influence on the companies decision-making because they have to make
strategies to overcome from these barriers. Superiors of the company should not take change
management process lightly. They should make strategies through decision-making process to
overcome from the issues.
Resistance
One of the most challenges of the change management is resistance in the British
airline. Company can find that employees and staff are questioning and asking for the motive for
change management process. To overcome from this better company have to take decision and
understand where the resistance is comping from and why it is coming. After finding the
resistance they need to talk with the employees and make them understand why change
management in the British airline is important and how it can help them to provide success in
their business.
Ignorance or denial

Employees can ignore the changes in the British airline and continue their work what
they do daily. It is an barrier for the company. This influence the decision-making of the
company, and they have to convene employees to do what they are told to do. This can become
reason for the British airline to unsuccessful the change management process. These barriers can
be removed through the rewards and it is important for the company take decision related to the
rewards system so employees follow the new task after the change management process.
Negativity
Employees of the British airline can think negatively because employees fear from the
change in the organization and this can become a barrier for the company. This also influence on
the companies decision-making because it will be important for the company to overcome from
this barrier.
P5- Leadership approaches to deal with change in British airline
Leaders play important role in the organization, and they are responsible to encourage
employees of the British airline company to give their support in the change process. It can be
possible through the right leadership style so here are some leadership approaches which should
be adopted by the leaders of the British airline company during the change process.
Situational leadership
Situational leadership style is effective approach which can be helpful for British airline
to handle the situations during the change management (Wang and et.al., 2017). In this situation
leaders of the company adopt leadership style according to the situation occurring in the British
airline. This will enable their leaders to manage and control the situation in the workplace but it
is important for the leaders to have knowledge of all the leadership style otherwise there is no
use of this leadership approach. Leaders of the British airline should have necessary skills and
knowledge to adopt this situational leadership style.
Koter's 8 step change model
Koter's 8 step change model can be useful model for the British airline company during
the change management process. The 8 steps process for the leading change was developed by
Dr Kotter. They identified and extracted the success factors and combined them into the
methodology.
Step 1-Create a sense of Urgency

helps others to see for the new changes by the bold, aspirational opportunities statement
by the leaders to motivate employees of the British airline.
Step 2- Build a guidance coalition
Leaders of the company should build a guidance coalition in the other employee.
Step 3-Form strategic vision and initiatives
Leaders of the company should clarify that how change can make their future and why itr
is important for the British airline to implement.
Step 4-enlist a volunteer army
Large scale can only when massive of people rally around a common opportunity. They
must be brought in and urgent to drive change – moving the same direction.
Step 5-Enable action by removing barriers
leadership should remove the barriers in the change management through effective
communication and strategies.
Step 6-Generate short term wins
leaders of the British airline should generate a short term win to identify the long term
wins.
Step 7-Sustain Acceleration
Leaders of the company should press harder after the First success. This can improve the
companies system and help the implement change successfully.
Step 8-Institute change
Articulate the connections between the new behaviour and organizational success,
making sure they continue until they become strong enough to replace the old.
Democratic leadership
Leaders of the British airline can also use democratic leadership in the change
management process (Yang and Lim., 2016). In this leadership style leaders give responsibilities
to the employees and employees can also participate in the decision-making process of change
management. Leaders f the British airline should use this leadership style sop employees can be
motivated and support company in the change management process. This leadership style also
create good relationship between leaders and mangers and increase the flow of communication in
the workplace and it can help to implement change management process successfully in the
British airline company, and they can achieve higher growth.