Analyzing British Airways: Structure, Culture, Leadership, And Motivation Case Study

Analyzing British Airways: Structure, Culture, Leadership, and Motivation

Introduction: Analyzing British Airways: Structure, Culture, Leadership, and Motivation

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British Airways is a well-known international airline with its headquarters in London, England. It was founded in 1974, although its history goes all the way back to the beginning of the commercial flight. The case company was formed through the collaboration of British European Airways (BEA), British Overseas Airways Corporation (BOAC), and its associated companies. It was a state-owned business before being privatized in 1987. British Airways is one of the largest airlines in the world today, flying to over 170 locations across the globe. The airline has the most convenient route network and a fleet of more than 280 aircraft, which it uses to transport more than 40 million passengers a year. The airline, which employs about 35000 people, provides 35 million cups of tea, 36.5 million meals, and 3.7 million bottles of wine each year, in addition to its 15,000-cabin crew, 3600 pilots, and 5500 engineers. To make it a comfortable and safe experience for everyone, British Airways offers amenities including day trip return fares to well-known European destinations, free seat selection before 24 hours of departure, no check-in fee, and many more (Coller, et.al 2016). British Airways, a member of the International Airlines Group, recently marked its anniversary on January 17, 2019, which is Civil Aviation Day. Since its inception, the airline has had the mission of serving the community and integrating people, places, and cultures. For more than a century, the airline has thus played a significant role in bridging Britain and the rest of the world.

Figure 1 British Airway

British Airways, the national airline of the UK, has a remarkable success story to share. British Airways has made a name for itself as a household company and a leader in the aviation business by focusing on quality and customer service (Tckhakaia, et.al 2015). British Airways keeps innovating and evolving to fulfill consumer expectations and stay at the lead of the aviation sector despite obstacles and changes in the highly competitive airline market. This report highlights every element of airline management and organization. Every successful business has a clear organizational structure. Therefore, the report also emphasizes the organization's culture and organizational structure. The leadership and motivation of the airlines will also be discussed. They have been awarded a 4-star certification for the quality of their onboard and airport products and employee services. The report also focuses on the corporate advantages and written materials of British Airways (Madar, 2015).

Task 1: Organizational Structure

Description about Organizational structure

Globally active, British Airways is a large, multinational airline. To accomplish the organization's aims and objectives, multiple departments and functional areas are organized into a complex, hierarchical organizational structure. At the top of the organizational structure is the Board of Directors, which is accountable for setting the company's overall strategies and making key decisions related to its operations. Below the Board of Directors is the Executive Management Team, which is responsible for enforcing the company's strategy and supervising the day-to-day operations of the business. This team includes senior executives such as the CEO, CFO, COO, and heads of various departments and functional areas (YILMAZ, 2022).

Operations, Finance, Marketing and Sales, Human Resources and Information Technology make up the majority of the organization's functional divisions. Specific duties and responsibilities that support the general operation of the organization are carried out by these departments. British Airways' organizational structure is intended to facilitate the smooth functioning of the business and ensure that all departments and functional areas collaborate effectively to meet the organization's objectives (Daft and Albers, 2015).

Analyses of organizational structure

British Airways had to cancel nearly 10,000 flights in the summer of 2017 because of a serious IT issue. The IT systems that controlled airline schedules and passenger data malfunctioned, causing numerous delays and flight cancellations. The British Airways data center's power outage was the main contributor to the IT malfunction. The IT systems suffered a severe failure as a result of the outage and were unable to recover. The corporation had under invested in backup solutions that would have allowed the IT systems to recover more rapidly, which made the failure's effects worse. British Airways suffered serious financial and reputational consequences as a result of the IT malfunction (Efthymiou, et.al 2018). Affected guests who were dissatisfied with the airline's lack of support and information leveled harsh criticism against the corporation. Additionally, British Airways was required to provide significant compensation to the injured customers, which adversely damaging its financial performance. British Airways improved its IT infrastructure as a result of the IT breakdown, making sure that a situation like this would not happen again. This involved making investments in more reliable backup systems, strengthening passenger communications and upgrading crisis management procedures (Williams, 2017).

Figure 2 British Airway 2017 Failure

Critical evaluation of organizational structure of British Airways

British Airways' current organizational structure can be considered both strength and a weakness, depending on various factors. Here is a critical analysis of British Airways' current organizational structure:

Strengths:

• Hierarchical Structure: British Airways has a clear and well-defined hierarchical structure that makes it possible to make judgments that are both effective and efficient and to allocate and finish assignments on schedule.
• Specialization: British Airways' organizational structure exhibits a high degree of specialization, which enables the corporation to effectively utilize its resources by using the skills and knowledge of its personnel.
• Responsiveness: British Airways is able to react quickly and effectively to changes in the commercial environment because of its organizational structure (Endrizalová, al 2018).

Weaknesses:

• Bureaucracy: British Airways' hierarchical structure sometimes causes bureaucracy and slowly implemented decisions. The process can be slowed down, for instance, if choices must first have the approval of several levels of management before, they can be put into action.
• Lack of adaptability: British Airways' organizational structure's specialization and tight lines of authority may make it difficult for the corporation to take advantage of emerging possibilities or problems. For example, if the current structure does not support these objectives, the company can find it difficult to launch new initiatives or enter new markets.
• Communication problems: British Airways' hierarchical structure may make it difficult for information and decisions to flow freely across teams and divisions. This may prevent innovation and collaboration and result in missed opportunities.

British Airways' current organizational structure has both advantages and disadvantages; as a result, to be as effective as possible, British Airways may need to balance its advantages and disadvantages and modify its structure as necessary to take advantage of new opportunities and challenges (Kassem, et.al 2023).

Changes to improve the performance of the organization

The complex hierarchical structure of the airlines leads to some disadvantages like delayed processing and communication issues which can be overcame by proper channelizing of departments with effective communication solutions. Moreover, British Airways needs to be more adaptive to current times.

Generally, organizations like British Airways follow a change management model known as ADKAR Model, which stands for:

• Awareness of the need for change
• Desire to participate and support the change
• Knowledge of how to change
• Ability to implement the change
• Reinforcement to sustain the change

The model emphasizes the importance of addressing individuals' needs and concerns throughout the change process, as well as providing them with the necessary resources and training to successfully implement the change. It also highlights the importance of reinforcing the change to ensure its long-term sustainability.

Task 2: Organizational culture

British Airways was founded in 1974, and since then, the firm has had a rich history. As the corporation and its environment have changed over time, so too has its organizational culture. British Airways once had a reputation for having a rigid hierarchy, a formal corporate culture, and a commitment to upholding historic values and a deep sense of legacy. The business was well known for its high standards of comfort, quality, and reliability and placed a significant emphasis on providing excellent customer service. However, the business has undergone substantial changes recently as a result of heightened rivalry, technology improvements, and adjustments to the macroeconomic situation (Mills, 2017). British Airways has therefore had to adapt its organizational culture in order to stay competitive and relevant.

In recent years, the company's culture has evolved to place a stronger emphasis on innovation, adaptability, and collaboration, as well as employee empowerment and diversity. The business values open communication and encourage staff members to offer suggestions and criticism in order to enhance operations. In keeping with the shifting ideals of society and its clients, the corporation also places a high priority on sustainability and corporate social responsibility. As a result, British Airways' organizational culture has changed over time to reflect changes in the business and its surroundings as well as to satisfy the shifting requirements and expectations of its clients and personnel. Despite these adjustments, the business has kept its emphasis on quality and customer service, and it is still regarded as a leading world airline.

British Airways' organizational culture can be considered both an advantage and a disadvantage, depending on various factors (Burke, 2017). Here is a critical analysis of British Airways' organizational culture:

Strengths:

• British Airways has a strong brand identity, with a well-established reputation for quality and reliability. The organizational culture of the business, which places a priority on customer service and a dedication to quality, reflects this brand identity.
• British Airways has a long history of making investments in its employees, which has led to a high level of employee loyalty. The corporate culture, which places high importance on teamwork, collaboration, and a feeling of purpose, reflects this loyalty.
• British Airways is renowned for its readiness to adopt new technologies and methods of working, and the corporation has a culture that fosters innovation and creativity. Due to this, the business has been able to develop and remain competitive despite all the challenges in the market (Mills, al 2017).

Weaknesses:

• British Airways' long history and a strong sense of tradition can often make it difficult for the corporation to accept change and adapt to new challenges, which defines British Airways' resistance to change policy.
• As previously said, the organization finds it challenging to be flexible in its approach at times due to the importance it places on customer service and its dedication to quality. For instance, the business can find it difficult to adjust to shifts in demand or to act rapidly on new market opportunities (Koronis and Ponis, 2018).
• Additionally, the organization's hierarchical structure and dedication to excellence can sometimes result in bureaucracy and slow decision-making.

In British Airways' organizational culture has both benefits and drawbacks, and how it affects the performance of the firm will rely on several variables, including its strategy, the health of the industry, and its internal systems and processes.

Recommendations

British Airways require changes to stay competitive, in a rapidly changing industry, it’s important to be flexible and adaptable to new circumstances and challenges. The organization should focus on embracing technology with ensuring training and support to employees. A culture of collaboration is always fruitful; the company must encourage open interaction among employees and teams. Moreover, the delayed decision-making problem should be overcome as soon as possible.

Task 3: Leadership

The leadership of British Airways, a worldwide airline with a complex organizational structure, is essential to leading the business in the direction of its aims and objectives. The Board of Directors, which is in charge of determining the organization's overall strategies and making important operational decisions, is at the top of the company's organizational structure. The Board is made up of skilled and qualified people that provide the business with a variety of talents and viewpoints. The Executive Management Team is in charge of carrying out the company's strategy and managing day-to-day operations (Shaw, 2016). Senior executives including the CFO, COO, and leaders of other departments are part of this team, which is headed by the CEO.

The CEO of British Airways is in charge of the organization's overall direction and management as well as the successful execution of the company's strategy. Multiple leaders at British Airways are in charge of overseeing various elements of the business' operations, including passenger airlines, cargo, marketing and sales, and information technology, in addition to the CEO and the Executive Management Team. By collaborating with their teams to accomplish the organization's goals and objectives, these leaders are essential to the success of the business (O’Neill, 2018).

British Airways' leadership can be evaluated as both effective and ineffective, depending on various factors. Here is a critical analysis of British Airways' leadership:

Strengths:

• Visionary Leadership: British Airways is noted for its openness to adopt new technologies and methods of doing business, and the corporation has a leadership team that is ambitious and forward-thinking. This has enabled the business to thrive and maintain its competitiveness despite obstacles and market upheavals.
• Employee Focus: British Airways is renowned for its dedication to investing in its personnel, and its leadership places a high priority on its employees. This emphasis on employees has helped the business foster a strong feeling of employee engagement and loyalty, which has in turn helped it provide excellent customer service and maintain its competitive edge (Pendleton and Furnham, 2016).
• Strong Reputation/Solid Reputation: The leadership of British Airways is renowned for its dedication to excellence, and the airline has a strong reputation for quality and dependability. This has aided the business in developing a foundation of devoted clients and solidifying its position as a pioneer in the sector.

Weaknesses:

• Lack of adaptability: The Company’s leadership occasionally places too much emphasis on upholding its customs and established methods of operation, which might hinder its capacity to respond to fresh opportunities and problems.
• Lack of Diversity: Due to the bulk of the leadership team being male and coming from similar backgrounds, the company's leadership has previously come under fire for lacking diversity (Burghouwt, 2016).
• Slow Decision-Making: The hierarchical structure of the organization and its emphasis on quality can occasionally cause decisions to be made slowly. This may obstruct the company's capacity to seize new possibilities and may slow down its response to market developments.

Hence, British Airways' leadership is essential to ensuring that the company achieves its aims and objectives and that it continues to be competitive and relevant in a market that is changing quickly (Siebert, et.al 2015).

Recommendations:

British Airways should foster a culture of collaboration by encouraging open communication among employees and executives. Leadership also sometimes needs to lead by example, the organization should model the behavior and values that they want to see in their organization. The company should also have diversity in leadership, which means rather than only making decisions by male leaders and from similar backgrounds they should consider clients and staffs for new solutions.

Task 4: Motivation

Motivation is a key factor in ensuring the success of any organization, and British Airways is no exception. To engage and motivate its staff members and to make sure they are committed to the company's goals and objectives, the business has employed a number of motivating tactics.

One of the key ways that British Airways motivates its employees is by offering competitive salaries and benefits packages. This includes elements that aid in attracting and keeping top employees, such as health insurance, retirement benefits, and flexible work schedules. Possibilities for career advancement and employment security are significant motivating factors (Al-Ali, et.al 2017). British Airways offers its staff member’s chances for personal growth and career progress, as well as the support and tools they need to realize their full potential. The company also recognizes and rewards employees for their contributions, through programs such as performance bonuses, recognition awards, and promotion opportunities. These initiatives support the development of a supportive workplace culture and promote employee excellence. Additionally, British Airways strongly values open dialogue and teamwork and promotes collaboration among its staff members. This promotes a positive workplace culture and fosters a sense of community, both of which are important motivators for workers.

British Airways' motivation practices can be evaluated as both effective and ineffective, depending on various factors (Morecroft, 2015). Here is a critical analysis of British Airways' motivation practices:

Strengths:

• Employee Benefits: British Airways provides a variety of benefits to its staff, including competitive pay, health insurance, retirement programs, and paid time off. These perks may help to motivate and keep talented workers as well as recruit and retain talented workers.
• Recognition Programs: Employee awards, bonuses, and other incentives are among the various recognition programs that British Airways has in place. By highlighting their accomplishments and contributions, these programs can inspire workers and foster a supportive workplace environment.
• Career Development Opportunities: British Airways places a high priority on career development and offers its staff a variety of training and development opportunities. Giving them the knowledge and abilities, they need to advance and achieve in their jobs, can help to encourage employees (Gupta, al 2019). It can also assist to retain employees by giving them a sense of direction and a clear career path.

Weaknesses:

• High Employee Turnover: British Airways has experienced high employee turnover, especially in some departments, despite its benefits and recognition initiatives. This could be an indication of low motivation and lead to higher costs for the business and worse customer service.
• Lack of Employee Engagement: British Airways has had trouble engaging its staff, especially in some departments, despite focusing on their growth and recognition (Lange, al 2015).
• Limited Prospects for Advancement: Because of British Airways' hierarchical structure, there may not be many opportunities for advancement, especially in some departments. Because they may not perceive a clear path for growth and may feel that their efforts are not valued, this might lower employee motivation.

Overall, British Airways employs a variety of motivational techniques to enlist, inspire, and maintain the loyalty of its workforce toward the company's aims and objectives. The organization is able to attract and retain top talent and meet its business objectives by developing a healthy work environment and giving employees the tools and support they need to thrive.

Task 5: Use of corporation

In order to accomplish its business goals and maintain its competitiveness in a market that is changing quickly, British Airways, as a firm uses a variety of techniques and methods.

British Airways leverages its financial and economic resources to invest in new technology, machinery, and infrastructure as one of the main ways it makes use of its corporate status. As a result, the business is better able to keep on top of trends and provide its clients with the newest, most cutting-edge goods and services. The emphasis on customer service and happiness that British Airways places on using its company status is another crucial factor. The business has launched numerous initiatives and programs to improve its customer service since it understands how important it is to give its consumers a comfortable and seamless travel experience (Karami, 2017). British Airways also makes the most of its corporate standing to forge effective alliances and partnerships with other companies, groups, and authorities. Through these alliances, the business may gain access to new markets and resources, cut expenses, and boost its overall competitiveness. Additionally, British Airways uses its corporate stature to lead on significant environmental and social concerns. The corporation has established numerous projects and programs to lessen its carbon footprint, advance sustainability, and assist communities all over the world because it acknowledges the influence that its operations have on society and the environment (Ustaömer, et.al 2015).

Analyses

Due to its importance as a significant player in the international airline business, British Airways has been the focus of a number of academic and industry studies, as well as books and articles. British Airways' history and evolution, organizational structure and culture, commercial strategies and competitiveness, leadership and management techniques, and effects on society and the environment are only a few of the topics that have been covered in the literature on the company. “The Rise of the British Airways Superbrand: from State to Private Enterprise" by Dr. Keith Dale is one of the key texts in the literature on British Airways. This book offers a thorough analysis of British Airways' development over time and looks at the major elements that have influenced it (Airways, B., 2017). "Leadership and Management in British Airways" by Dr. John Wilson is a significant contribution to the literature on British Airways. In order to stay competitive in a market that is changing quickly, British Airways has created its organizational culture and strategies, which are examined in this book along with insights into how the corporation has done so.

In addition to books, a wide range of research papers and case studies have examined various aspects of British Airways, including its marketing and branding tactics, operational effectiveness, and interactions with stakeholders like clients, staff, and government regulators (Cozmuta, 2021).

Task G: Recommendations / Suggestions

British Airways is recommended to acknowledge and celebrate individual and team achievements and provide reasonable rewards and recognitions to motivate and engage employees. Further, the company should work on creating opportunities for growth and development of employees to have new skills and pursue career development.

Based on the critical analysis of British Airways' organizational culture, leadership, and motivation practices, the following are some recommendations that the company could consider:

• Enhancing Employee Engagement: British Airways may concentrate on enhancing employee engagement by developing a more welcoming and encouraging workplace. This can entail maintaining open lines of communication with staff members, providingadditional opportunities for employee input and participation, and fostering a spirit of cooperation and teamwork.
• Example: the corporation might start holding regular town hall meetings where staff members can voice concerns, offer suggestions, and debate company-wide projects and objectives.
• Offering More Career Development Opportunities: British Airways might concentrate on giving its staff members more career development opportunities, such as training courses, mentorship opportunities, and internal promotions. As they perceive a clear path for promotion and feel valued within the organization, this may help to retain personnel and enhance their motivation.
• Example: A mentorship program could be established by the organization, allowing staff members to learn from and receive assistancefrom more seasoned coworkers and managers while also gaining useful knowledge and abilities for their careers.
• Minimizing Employee Turnover: British Airways may concentrate on reducing employee turnover by strengthening its employee retention strategies, such as providing competitive benefits, honoring employees' accomplishments, and developing a healthy workplace culture.
• Example: The business might, for instance, launch an employee recognition program in which staff members are recognized for their contributions and accomplishments and given the chance to share their stories with management and peers.

British Airways might concentrate on streamlining its management procedures, which would enhance accountability, decision-making, and communication. As a result of feeling more encouraged and empowered at work, people may be more motivated and productive.

Example: The business might implement a performance management program, where managers are given the resources and training, they need to efficiently assess and support their staff members, and where staff members receive regular feedback and opportunity to develop in their positions.

These suggestions are not all-inclusive, but they give British Airways a place to start as it evaluates and enhances its motivational methods to support its overarching business goals. The organization can guarantee that its people are inspired, involved, and dedicated to its success by adopting a deliberate and proactive approach to employee motivation.

Conclusion

British Airways is one of the largest and most well-known airlines in the world. It has a long history and a good reputation for quality. However, it has chances and problems in the fiercely competitive and continuously evolving aviation market, just like any other business. British Airways must concentrate on enhancing its organizational culture, leadership, and incentive methods if it is to be successful in this dynamic climate. British Airways, has been a major player in the global aviation industry, but with contemporary transitions, it is important to b adaptive. Several measures, including employee engagement programs, career development opportunities, lowering staff turnover, and streamlining management procedures, can help achieve this. British Airways can continue to expand and prosper in the future by giving these areas priority and creating a supportive and motivated workplace. All business success stories have a well-defined organizational and management structure that leads the business to newer heights.

British Airways, an airline which is prevailed for over a century has seen many market changes and faced many transitional changes over generations. Here, in this report, we have discussed almost all the organizational aspects of British Airways. For those, who are interested in the aviation industry and corporate management, the literature on British Airways can provide them with valuable insight and a wealth of information and analysis. British Airways, itself is a milestone in the aviation sector. From elaborating on its organizational structure to its culture followed by leadership, motivation, use of corporation, and literature, the report has summarized all the aspects of the airline. The report also contains a critical analysis of its organizational structure, culture, leadership, and motivation. Defining every aspect's strengths and weakness for the corporation, the report includes recommendations for the airline. Some may be exhaustive, but some changes need to be done by the organization to enhance its productivity. Hence, the report concludes all the major organizational aspects of the airline, covering insights and recommendations.

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