Qantas: Critical Success Factors and KPI's, Financial Report

This report provides a detailed analysis of Qantas Airlines, focusing on its critical success factors (CSFs) and key performance indicators (KPIs). It examines various aspects, including financial performance, operational efficiency, customer satisfaction, and employee retention. The report explores the financial perspective, emphasizing shareholder wealth, capital structure, and cost control. It also delves into the customer perspective, highlighting punctuality and the domestic network advantage. Furthermore, the report covers internal business processes, focusing on operations safety and technological advancements, and the learning and growth perspective, emphasizing workforce development and employee retention. The study utilizes Qantas's annual reports from 2017 and 2018 to support its findings, offering a comprehensive overview of the airline's strategic objectives and performance metrics.

ACC203 Management
Accounting
Major Assignment
PART B

Critical success factors and Key performance
indicators of Qantas
Critical success factor
 Capacity flexibility
 Well-protected routes to develop their network
 Low-cost structure
Key performance indicators
 Underlying profit before tax of company
 Return on invested capital
 Change in operational policies

Strategic map for long-term objectives of
Qantas

Balance scorecard
Factors Measures Initiatives by Qantas Airlines
Financial perspective  Increase in shareholder wealth
 Optimum capital structure
 Reduced cost of operations
To keep debt range of $5.1 billion and
$6.3 billion
To create a threshold of return on invested
capital of 10%
To reduce operating costs
Evaluating capital structure to keep it in
optimum ratio to optimize financial cost
To provide dividend and capital advantage
Cost control and hedging strategies
Customer perspective  Punctuality
 The advantage of domestic network
Change in satisfaction %
Increase in customer base
Monitoring schedules and staff
performances
Linking remote routes to network area
Internal business process
perspective
 Operations safety
 Operational efficiency
Good reports from the Health and safety
committee
Increasing productivity
Improvising safety standards
Implementation of new technologies
Learning growth perspective  Strengthen workforce
 Retention of talent
Reduction in employee turnover ratio
Increase in % satisfied employees
Training and Development Programs
Employee retention

References
 Annual report of Qantas, (2017). [Pdf]. Retrieved from <
http://investor.qantas.com/FormBuilder/_Resource/_module/doLLG5ufYkCyEPjF1tpgyw
/file/annual-reports/2017AnnualReport.pdf>.
 Annual report of Qantas, (2018). [Pdf]. Retrieved from <
http://investor.qantas.com/FormBuilder/_Resource/_module/doLLG5ufYkCyEPjF1tpgyw
/file/annual-reports/2018-Annual-Report-ASX.pdf >.

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