Discuss about the Organizational Structure and Effectiveness for Qantas Airline.
The main purpose of this task is to explain and outline the organizational structure, leadership styles and marketing strategies of the company. Qantas airline Company has been taken in the task. By using effective organizational structure and leadership styles find it easy to attain long term success and growth in the global market. Qantas is one of the oldest airline companies which is operating and managing in Australia. The company uses effective and unique marketing strategies to expand and flourish the business worldwide. With the help of this report, the paper outlines the organizational structure, marketing strategies and leadership styles of Qantas Company. More detail of the task has been detailed below.
An airline industry plays a significant role in each and every country. An airline is a company that renders air transport services for travelling passengers and freight. Airlines use aircraft to supply these services and may form partnership or agreement with other airlines for code share alliances. Qantas airways is the flag carrier of the Australia and it is considered the biggest airline by fleet size, international destinations and international flights. It shall be noted that Qantas is the third largest and oldest airline after Avianca and KLM in the world. The airline was incorporated in 1920 in Australia (Qantas, 2018). The organization has built and developed for excellence in safety, engineering, maintenance, operational reliability and customer service. The company’s brands operate and manage domestic, regional and international services. The company employs approx 30,000 employees with around 93% of them based within Australia. It has been studied that Qantas is one of the leading long distance and one of the biggest brands in Australia (Qanta, 2018). In today’ era, the company is making unique strategies and policies to overcome the competitors in the international market (Sarina and Wright, 2015).
The organizational structure plays a significant role to determine and analyze the roles, responsibilities and power of the employees and employers. Monitoring and controlling is done by the company through effective and unique organizational structure. The organizational structure also provides a platform for the flow of information and facts in all level of management within the organization. It has been stated that unique organizational structure is dependent on the objectives and strategies of the company (Helmreich and Merritt, 2017). The firm can use either centralized or decentralized organizational structures within the organization. Qantas organizational structure encompasses the attributes of both decentralized and centralized organizational structure. After the various researchers, it has been studied that Qantas uses matrix type of organizational structure within the organization. The top management and higher authorities encompass of the member of the executive top management, board of directors and corporate governance (Perrott, 2015). Along with this, higher level of management is accountable for making effective and unique policies for conducting the business activities and operations successfully. The company divides its functions in various departments such as project management, administrative management, commercial business administration, human resource management, and marketing management (Shaffner, Mills and Helms Mills, 2017). All these departments work together in order to accomplish the common goals and objectives of the firm. Alan Joyce Ac is the chief executive officer of the firm. Leigh Clifford AO is the chairman and independent non-executive director of Qantas. The organization encompasses of the different types of subsidiaries controlled and handled by the different executives who grant authorities, roles, power and responsibilities in the organization. The company manages and operates its businesses at international as well as domestic level. It has been noted that domestic and international business is handled by the chief executive officer of the firm (Anaman, Quaye and Owusu-Brown, 2017).
Alan Joyce is the CEO of Qantas company. Alan uses effective and dynamic leadership style to assist and guide the employees within the organization. The leadership plays an effective and fundamental role to provide guidance to the workers at the workplace. No company can survive and grow its business without using dynamic leadership style. The leadership style is a paramount to analyze and indentify the growth and progress of the firm. It is noted that leadership is one of the empirical attributes to motivate and encourage the workers for doing work effectively and efficiently. The leadership style also helps in implementing the plans, policies and strategies. There are various leadership styles are used by the companies include authoritarian, democratic, transformational and participative styles. In autocratic leadership style, the leaders maintain full control on the employees in order to accomplish the long term mission and vision of the firm (Goodman, 2015). In democratic leadership style, leaders include employees in the decision making process. It shall be analyzed that Qantas uses unique and dynamic leadership styles within the organization. Alan Joyce uses democratic leadership style to encourage the subordinates for performing tasks and duties in a hassle free manner. The company uses this leadership style to handle and manage the diverse cultures of the workers in the workplace. This leadership style also helps to make unique and dynamic decisions for determining the success of the firm. Apart from this, many authors argued that Alan Joseph Joyce is authoritarian rather than democratic. The CEO provides clear vision to the employees to inspire them efficiently. By using authoritative leadership style, the CEO has been able to know and understand the desires, needs, expectations and requirements of the employees. This leadership style also helps in reducing and eliminating the tensions and stress of the workers at the workplace. Quick and unique decisions are taken by the chief executive officer to carry the business actions and operations efficiently. On the other hand, delegation of roles and responsibilities are done by the CEO with the help of democratic leadership style. The following factors are included in Qantas leadership style (Turney, 2017).
Diverse management team: The company maintains a diversify team within the organization. Qantas appoints different people who come from different countries and follow different culture and values. The organization diverse and effective team offers a wide range of education, skills, talents and experience for enhancing and improving the Qantas management. All the team members follow unique culture and discipline within the organization to maximize the profitability and outcomes in the global market. Promotions and transfers are done by the top management to improve and boost the confidence and morale of the workers (Giltinane, 2013).
Mission and vision: The mission and vision are set by the CEO and higher authorities within the organization. The management of the firm understands and determines the mission and vision of the organization. To attain the long term mission and vision, the top management leadership of Qantas is based on providing direction, guidance, vision, strategy and to support the company’s workers in the completion of the tasks and duties successfully. It will also help to determine and analyze the sustainability of the organization in a large extent.
Collaboration and cooperation: Alan Joseph Joyce believes that the leaders and managers must be honest, punctual, open and collaborative. With the help of collaboration and cooperation, the subordinates feel motivated and they do their tasks towards the attainment of targeted objectives and goals.
On the other hand, the top management and higher authorities take opinion from employees to encourage them towards the achievement of mission and vision. The company recognizes and promotes the endeavors of employees to make happy them at the workplace (Clinebell, Skudiene, Trijonyte and Reardon, 2013).
There are ample of marketing strategies used by Qantas airline to overcome the competitors in the global market. The marketing strategies also help to analyze and determine the plans, actions and strategies of the competitors. A marketing survey and research is done by Qantas airline to identify and reduce the risks and challenges of the market. An effective and dynamic strategy must confirm to the long term mission and objectives of the firm. The marketing strategies act as a roadmap to attain its targets and goals. The marketing strategies also help in detecting the various problems and issues related to the competition. Qantas initiates the marketing strategies to conduct business activities at domestic as well as international level. The main competitors of Qantas include Air India, Virgin Atlantic, Emirates, United Airlines and Singapore Airlines. These competitors may influence the growth and targets of the firm adversely (Jarach, 2017). Qantas uses marketing strategies to strive and cope with these competitors in the international market. Some of the marketing strategies that initiated by the organization are discussed below.
Pricing strategy: One of the significant strategies that used by Qantas is pricing strategy. By using this strategy, the airline company has been able to attract and retain maximum number of passengers in the global market. Appropriate prices for the services are set by the company to beat the competitors. Price differentiation is done by Qantas by considering the prices of the rivalries in the international market. It helps in increasing and enhancing the sale of the firm (Homsombat, Lei and Fu, 2014).
Segmentation strategy: It has been stated that Qantas uses segmentation strategy to divides its market into different segments. This helps the company to cater to the needs and requirements of the various types of the customers. By using this strategy, the company is able to fulfill the needs and expectations of the different categories customers including leisure travelers, business travels and corporate travelers (Perrott, 2015).
Promotion and advertisement strategy: Online advertisement and promotion is done by the firm to promote and improve the services of the airline in the international market. By using this strategy, Qantas has been able to maximize the number of consumers in the marketplace (Armstrong, Adam, Denize and Kotler, 2014).
An organization structure must aid some effective and dynamic strategies to attain long term mission, goals, objectives and vision. Qantas has had a strong and unique organization structure to fulfill the needs, demands and requirements of the passengers within the organization. The goals and objectives have been attained by adopting and using the leadership styles at the workplace. By using leadership styles, the company has been able to address the various issues and obstacles. The company also uses transformational leadership style to provide assistance to the subordinates. From the above mentioned analysis, it has been noted that Qantas must uses different types of marketing and corporate level strategies. The organization needs to apply suitable and effective strategies and policies within the organization. By adopting marketing strategies, the firm has been able to increase and enhance the market share in the global market. This paper shows that Qantas uses effective and unique marketing strategies in today’s modern world to stay in the competitive market. As a result, Qantas has been able to dominate the international as well as domestic market. Along with this, the organization can attain desired goals and targets by maintaining effective and unique organizational structure and culture at the workplace (Tsui et al, 2014).
Conclusion
On the above mentioned limelight event, it can be concluded that Qantas airline is one of the biggest brands in the airline industry. The company uses unique organizational structure to enhance the profitability and returns of the firm. Besides this, attractive marketing strategies and leadership styles are initiated by Qantas airline in the competitive market to run the business activities and operations successfully. The company has been able to stand out against the competitors by putting these attributes into consideration. The above analysis indicates that organizational structure helps the company to allocate the resources and capital within the organization. It also makes easy the delegation of roles and responsibilities for making effective decisions. On the other hand, leadership styles provide right platform to the firm for attaining sustainability in the marketplace. Leadership styles also help gaining various competitive benefits. By using leadership styles, Qantas has been able to attract the number of clients in the international market and further also has been able to make an attractive financial position in the minds of the passengers.
References
Anaman, K.A., Quaye, R. and Owusu-Brown, B., 2017. Benefits of Aviation Weather Services: A Review of International Literature. Research in World Economy, 8(1), p.45.
Armstrong, G., Adam, S., Denize, S. and Kotler, P., 2014. Principles of marketing. Pearson Australia.
Clinebell, S., Skudiene, V., Trijonyte, R. and Reardon, J., 2013. Impact of leadership styles on employee organizational commitment. Journal of Service Science (Online), 6(1), p.139.
Giltinane, C.L., 2013. Leadership styles and theories. Nursing Standard (through 2013), 27(41), p.35.
Goodman, A.C., 2015. Orientation Leaders: Followership Styles and Risk-Taking Attitudes (Doctoral dissertation).
Helmreich, R.L. and Merritt, A.C., 2017. Culture at work in aviation and medicine: National, organizational and professional influences. Routledge.
Homsombat, W., Lei, Z. and Fu, X., 2014. Competitive effects of the airlines-within-airlines strategy–Pricing and route entry patterns. Transportation Research Part E: Logistics and Transportation Review, 63, pp.1-16.
Jarach, D., 2017. Airport marketing: Strategies to cope with the new millennium environment. Routledge.
Perrott, B.E., 2015. Building the sustainable organization: an integrated approach. Journal of Business Strategy, 36(1), pp.41-51.
Perrott, B.E., 2015. Building the sustainable organization: an integrated approach. Journal of Business Strategy, 36(1), pp.41-51.
Qanta.2018. Our company[Online], Available from https://www.qantas.com/travel/airlines/company/global/en, [Accessed as on 20th May 2018].
Qantas.2018. About Qantas[Online], Available from https://www.qantas.com/travel/airlines/about-qantas/global/en, [Accessed as on 20th May 2018].
Sarina, T. and Wright, C.F., 2015. Mutual gains or mutual losses? Organisational fragmentation and employment relations outcomes at Qantas Group. Journal of Industrial Relations, 57(5), pp.686-706.
Shaffner, E., Mills, A.J. and Helms Mills, J.C., 2017. Reading Qantas History: Discourses of Intersectionality and the Early Years of Qantas. In Insights and Research on the Study of Gender and Intersectionality in International Airline Cultures(pp. 445-469). Emerald Publishing Limited.
Tsui, W.H.K., Balli, H.O., Gilbey, A. and Gow, H., 2014. Operational efficiency of Asia–Pacific airports. Journal of Air Transport Management, 40, pp.16-24.
Turney, M.A., 2017. Tapping diverse talent in aviation: Culture, gender, and diversity. Routledge.
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