Report on Organizational Structure and Leadership: Alliance Airlines

This report provides a comprehensive analysis of Alliance Airlines, an Australian airline company. It delves into the company's organizational structure, identifying its divisional structure with operational bases across Australia and New Zealand. The report highlights the leadership styles, particularly focusing on the democratic approach of former CEO Scott McMillan and the current CEO Lee Schofield, and their impact on employee motivation and company performance. Furthermore, the report examines Alliance Airlines' strategic approaches, including cost leadership, product differentiation, and merger and acquisition strategies, as well as its collaborations and services within the Australian market. The report concludes with reflections on the alignment of the organizational structure with the company's goals and the effectiveness of its strategies in the competitive airline industry. This analysis is valuable for understanding business development and leadership management within the aviation sector.

Running head: ORGANISATIONAL STRUCTURE
Organizational Structure
Name of the Student:
Name of the University:
Author’s Note:

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Table of Contents
Introduction................................................................................................................................2
Alliance Airlines........................................................................................................................2
Company’s Structure..................................................................................................................4
Company’s leadership style.......................................................................................................5
Company’s Strategies within Australia or overseas markets.....................................................6
Reflections..................................................................................................................................7
Conclusion..................................................................................................................................7
References..................................................................................................................................9

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Introduction
The “ever changing nature of the business world has made it imperative for the
various business organizations of the present times to take the help of various kinds of
effective as well as innovative strategies to further enhance the prospects of their business”
(Klettner, Clarke and Boersma 2014). It is significant to note that these strategies are not only
designed to “mitigate the high level of competition faced by the various business
organizations as well as companies but also to being about the overall growth as well as the
development of the concerned business organization or the company” (Klettner, Clarke and
Boersma 2014). The “internal structure of the concerned business organization also plays a
significant role” in the prospects of a business organization and in the opinion of many
scholars has a considerable influence on the performance of the concerned business
organization in the business market (Cosh, Fu and Hughes 2012). One of the commonly used
“strategies by the majority of the business organizations of the present times” it is the concept
of leadership (Goleman, Boyatzis and McKee 2013). It is commonly seen “that the majority
of the business organizations of the present times take the help of various kinds of leaders for
the achievement of the goals outlined by their organization” (Goleman, Boyatzis and McKee
2013). This report will discuss about the concept of organizational structure through the lens
of the Australian airlines company “Alliance Airlines”. The report will also discuss about the
leadership strategies used by the organization.
Alliance Airlines
The airlines industry “has emerged as one of the major ones in the recent times” and
many scholars are of the opinion that it has much improved the transport facilities which the
people get in the present times (Cosh, Fu and Hughes 2012). The airlines industry is a
“trillion dollar industry” and it is operational in all the countries of the world (Cosh, Fu and

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Hughes 2012). It is a reflection of this particular factor which nations of the world are
increasingly taking the help of this particular industry only to provide better transport
facilities to the people for tourism and travel for recreational purposes but also to the people
who need to travel on a regular basis for business and other purposes (Akamavi et al. 2015).
Thus, it is seen that the various nations of the world focus on the growth of this particular for
the numerous benefits which it provides not only to the nation in terms of economic benefits
but also on the score of the benefits which it provides to the citizens as well (Akamavi et al.
2015).
The organization “Alliance Airlines” is one of the leaders in the Australian airlines
industry. The business organization “Alliance Airlines” founded in 2002 as a result of the
acquisition of the “dormant Flight West Airlines” by “Brisbane-based Queensland Airline
Holdings” (Allianceairlines.com.au. 2018). The airlines organization has its centers at
“Auckland Airport, Adelaide Airport, Brisbane Airport, Cairns Airport, Essendon Airport,
Perth Airport and Townsville Airport” and offers a choice of approximately “46 destinations
to the customers from the various parts of the nation of Australia” (Allianceairlines.com.au.
2018). However, the headquarters of the organization is located at “Brisbane, Queensland,
Australia” (Allianceairlines.com.au. 2018). The airline organization has 47 operational fleets
in addition to “a fleet of Fokker aircraft including Fokker 50 turboprops and Fokker 70 and
Fokker 100 jet aircraft” (Allianceairlines.com.au. 2018). The airline organization has under
gone collaboration with the Virgin Group of the United Kingdom in the recent times “in a bid
to provide better quality services to the customers from the different parts of the nation”
(Allianceairlines.com.au. 2018). The organization currently has more than 430 employees
and “provides a range of services to the customers from the various parts of the nation” like
“The resources industry, Inbound and domestic tourism, Corporate and business group travel,
Meetings, incentives, conventions and exhibitions (MICE), Sporting teams, entertainment”

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and others (Allianceairlines.com.au. 2018). In addition to these, the “fly-in fly-out (FIFO) air
charter services for Australian mining and resources industry across Australia” has been
much appreciated by the various customers of the organization (Allianceairlines.com.au.
2018). The organization is also known for the safety as well as the health measures which it
takes to ensure the safety of the customers (Allianceairlines.com.au. 2018). Some of the key
safety measures undertaken by the organization are listed are “Civil Aviation Safety
Authority, IATA Operational Safety Audit, Flight Safety Foundation Basic Aviation Risk
Standard Gold Status, Wyvern Wingman” and others (Allianceairlines.com.au. 2018). These
in short are some of the major reasons for the success as well as the popularity gained by the
organization under consideration in the recent times. It is also seen that the organization
under discussion is trying to follow the “path of globalization” and expand into the other
nations of the world.
Company’s Structure
The “competitive world of business it is seen that the various business organizations
take the help of various kinds of organizational structures” in order to operate their business
in a much better manner (Grant et al. 2014). Furthermore, many scholars are of the opinion
that the structure of a particular business organization should be in synchronization with the
“needs as well as the requirements and also the goals and the objectives which the concerned
business organization has set out to achieve” (Grant et al. 2014). It is “a reflection of this
particular fact the various business organizations of the present times” focus on the concept
of organizational structure more than ever (Grant et al. 2014). The organization “Alliance
Airlines” follows a divisional structure for the management of its business affairs
(Allianceairlines.com.au. 2018). Thus, the business organization under discussion here has
“operational bases in Adelaide, Cairns, Melbourne, Perth, Townsville and Auckland, New

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Zealand” in addition to the headquarters of the organization which is located at Brisbane
(Allianceairlines.com.au. 2018). Furthermore, for the effective management of these centers
the organization has appointed various kinds of managers as well as regional heads for the
effective conduct of business at these centers (Grant et al. 2014). The responsibility of the
management of these is taken care by the individuals “Steve Padgett (Non Executive
Chairman), Peter Housden (Independent Non-Executive Director), David Crombie
(Independent Non-Executive Director), Lee Schofield (Executive Director) and Scott
McMillan (Managing Director)” (Allianceairlines.com.au. 2018). It is significant to note that
the organization is known for the effective management skills which these individuals have
displayed over the last few years for the management of these centers (Klettner, Clarke and
Boersma 2014). Many scholars are of the opinion that the recent attained by the organization
under discussion here is the result of the effective organizational structural which the
organization has and also for the effective management skills which the above listed
individuals have displayed for the management of the various business centers of the
organization (Klettner, Clarke and Boersma 2014).
Company’s leadership style
The concept of “effective leadership has gained a considerable amount of significance
in the recent times and it is a reflection of this particular fact that the various business
organizations of the present times are taking the help of various kinds of effective leaders” in
“order to bring about the overall growth as well as the development of their business
organization as well as company” (Goleman, Boyatzis and McKee 2013). The organization
“Alliance Airlines also takes the help of the concept of leadership for the process of the
effective management of the organization” and also for the purpose of effectively motivating
the diverse entities related to the business organization (Akamavi et al. 2015). The leadership

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of the ex-CEO of the organization, Scott McMillan has been much appreciated by the various
individuals not only related to the organization but also by the others members of the
business as well (Allianceairlines.com.au. 2018). The democratic style of leadership followed
helped the organization “Alliance Airlines” in a significant manner to become the leader of
the airlines industry of the nation of Australia (Allianceairlines.com.au. 2018). Some of the
strategy used by him like the strategy of cost leadership, product differentiation and others
has considerably helped to enhance the prospects of the organization is a significant manner
(Akamavi et al. 2015). The new CEO of the organization, Lee Schofield following the
footsteps of the ex-CEO of the organization has tried to take the help of help of various kinds
of methods to improve the performance level of the employees (Allianceairlines.com.au.
2018). It is significant to note that as per the employees of the organization Lee Schofield has
excellent leadership skills as well as motivational skills and this particular factor has helped
the organization in a significant manner to attain the recent success which it had attained in
the last few years (Akamavi et al. 2015).
Company’s Strategies within Australia or overseas markets
The organization “Alliance Airlines” follows the concept of cost leadership by means
of which it provides quality services to the customers at very affordable prices (Cavusgil et
al. 2014). In addition to this, it is seen that the organization in the recent times is following
the concept of “merger and acquisition” in order to out rival its business competitors
operational in the same field of business (Cavusgil et al. 2014). It is “significant to note that
the organization was founded in the year 2002 as a result of the acquisition bid made by
Queensland Airline Holdings” (Cavusgil et al. 2014). It is also seen that the organization in
the recent times has undergone several collaborations with the various other organizations of
the nation like “Santos Limited, Virgin Group, Tauck” to provide quality services to the

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customers in the regions of “Melbourne, Uluru, Cairns and Sydney in Australia and
Auckland, Blenheim, Queenstown, Rotorua, Te Anau and Wellington in New Zealand”
(Allianceairlines.com.au. 2018). In addition to these, it is also seen that the organization
under discussion here provides mining facilities to the other organizations which is called by
name of “fly-in fly-out air services (FIFO)” (Allianceairlines.com.au. 2018). It is a reflection
of this particular fact that the organization provides airline facilities to 28 different mining
locations of the nation (Allianceairlines.com.au. 2018).
Reflections
I would like to comment in this particular context the organizational structure of the
organization “Alliance Airlines is totally in synchronization with the goals as well as the
objectives” which the organization has set out to achieve. Therefore, divisional structure
which the organization follows not only allows it to be operational in the different parts of the
nation but also helps it to manage the organization in a much better manner. Furthermore, I
believe that the strategies which the organization is using to “bring about the overall growth
as well as the development of its organization” are totally as per the needs of the business
airlines market of the contemporary times. Moreover, the focus of the organization on the
concepts of cost leadership, product differentiation and “merger and acquisition” though
traditional ones has significantly helped the organization to gain success in the recent times.
Conclusion
To conclude, the airlines industry has much transformed the way the transport
facilities of the present times. It is “a reflection of this particular fact that the various people
of the world” are able to travel from one part of the world to another be it for leisure or for
the purpose of business in a much better manner. Furthermore, it is seen that almost all “the
major business organizations of the present times” are dependent on the facilities provided by

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the airlines industry. Therefore, it is “seen that the various business organizations related to
the airlines industry” are taking the help of various kinds of effective as well as innovative
strategies to enhance the prospects of their business. Some of the most common strategies
used by these organizations are strategies of effective organizational structure and leadership.
In addition “to these it is also seen that the various business organizations in the field of the
airlines industry” are increasingly taking the help of various traditional strategies like cost
leadership, product differentiation and others in order to “bring about the overall growth as
well as the development of their business organization or company in the most effective
manner”.

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