Organisational logistics and organizational management Essay

Organisational logistics and organizational management - Essay ExampleLow-cost philosophy and family culture ar cardinal major shared values of the organization and these values are reflected in all(a) the processes and systems of the organization. The play along has a flat structure which allows job sharing, high employee motivation and low labor costs. The federations esteem to low-cost carrier model appears to be a distinctive organization skill which allows the company to focussing on its future addition strategies. PESTLE framework has been used to analyze the external business milieu of AirAsia including the political, economic, social, technological, legal and environmental factors that influence the business. The analysis shows that political factors like increased government investments and supportive regulative environment are favorable for the company whereas, increasing foreign government restrictions hinder future growth strategy of AirAsia. The current economi c downturn, increasing render costs and volatile exchange rates are creating challenges for the company however, the increasing trade within and into Asia creates opportunities for company. Social factors including population growth, customers willingness to accept low-cost air set off and increasing tourism positively influence the operations of AirAsia. The technological developments allow AirAsia to improve its services by providing more convenience to customers. Although AirAsia faces strong environment challenges however, adherence of company to legal requirements allows company to meet all these challenges. Following this a SWOT analysis has been done to analyze the current strengths, weaknesses, opportunities and threats of AirAsia. The successful implementation of low-cost business model, specific growth strategies, government support and skilled staff are few major strengths of AirAsia whereas, increased operational complexity, poor decision-making and cost-focused human resource management system are major weaknesses of the company. It has been set that increasing spark off demand as a result of increasing population growth and tourism, blossom forth Skies Agreement and influence of social media in manufacture are major opportunities for AirAsia. Nevertheless, new entrants, over capacity, expenditure war, fuel prices volatility and environmental concerns pose major threats for the company. Following SOWT analysis, four solutions have been identified for AirAsia including fuel hedging, new and standardized aircraft fleet, airport ownership and long-haul travel. Finally recommendations relevant to employee management and motivation and customer relationship management have been provided to AairAsia. Introduction AirAsia is a Malaysian low-cost airline which offers low cost travel to its customers. The company has adopted a low-cost business model and it is the Asias largest airline which offers no-frill services (Kurlantzick, 2007). The company was established with an aim to make flying affordable for everyone and today its network covers more than 20 countries. The company has been able to achieve success in the highly competitive low cost aviation industry through efficient procedures and systems, innovative solutions and passionate approach towards business processes (AirAsia.com). AirAsia Group consists of associated companies which have same strategies and approach. These associated companies imply AirAsia X, Indonesia AirAsia and Thai AirAsia. By