A Report on Airline Business in Singapore: A Case Study of Singapore Airlines
A Report on Airline Business in Singapore: A Case Study of Singapore Airlines
There are several key issues that are recommended to the management of SIA to be maintained. These recommendations are required to be followed by Singapore Airlines to keep its pre-eminent position in the market to strive as the best airline company. Despite of the economic slowdown globally the SIA wants to be at the top in the airlines industry and wants to keep its superiority and so different strategies are implemented by the company (Surowiecki, 2014). The SIA also keep in the consideration about the plans of other airlines companies in the market for the improvement of the quality of the service and the comfort level of the journey provided by the company. The overall communication plans of the company should be revisited improving the communication channels and media taking this one of the business strategies. The entertainment feature in the flight should be technologically so advanced that will match the current technical devices.
The SIA group wants to prove the company profile as a truly global profile and so it is expanding the global networks further. The fields of operation and the business opportunities should be expanded by the company to maintain as well as to increase the profit margin of the company as a top airline company in the world (Thornton & Thornton, 2011). The SIA provides the air cargo facility to its customers and it is especially effective for the customers to be attracted. In the passenger area where the traffic and the route rights come into the consideration, there the air cargo facility plays a much more important role to serve the customer.
The strategic initiatives should be taken in the consideration of the priority to straighten the decisions of the Singapore Airlines to speed up of the facility of the company and for the development of the business opportunities of the company. Markets and the competitions and the opportunities in the market develop day by day. The managers and the staffs should be so much concern about the circumstances to improve the organizational development and it is very much critical to the airlines company (Lambert, 2011). The trademark of a successful airlines business is the collective decision making process, proper attention to all the required details and to welcome the new ideas in an open minded situation
According to Lambert (2011) the excellent customer and in flight service of Singapore Airlines is the key to success of the Singapore Airlines. The practice of free drinks during the travelling, the gourmet prepared meals to choice, the complimentary headsets for the passengers are the facilities provided by the SIA first in airline services in 1970s. The SIA is the first provider of the in flight entertainment in its selected aircrafts. The SIA gives a stand out completion to its competitors after a vertical integration with Kris World Private Limited to provide television, movies, music, games and application services Adeniyi & Cmilt (2011). So this company has won numerous awards as the best airline for its creative and innovative developments. A group of best chefs to serve superlative food in flight is brought over for the passengers first by SIA. The menus of the food are updated regularly by SIA to keep a good impression on tastes of frequent flyers. Following these basic lines of business strategy in the competitive market the SIA gives good competition to its competitors.
SIA puts its service effort not only in developing the in-flight services but also to improve the facilities in the Changi Airport with innovative technologies. In accordance of Airline deregulation (2014) The Deputy Chairman’s Award to the employees with innovative thoughts and performance is one of best supporting plan by SIA which gives the company an effective business strategy to pursuit the achievement.
The success story of SIA had started when it was Malayan Airways Limited (MAL). The large capacity DC-3 aircraft was introduced by MAL over the next five tears. After that one by one success stones are achieved by the company and the company keep going ahead with the expansion of the business on several continents. More new aircrafts like Vickers Viscount, DC-4 Skymaster, Comet IV and Bristol Britannia etc. were introduced to fleet by the company in 1950s and 1960s (Althonayan & Sharif, 2010). The first transcontinental flight of MSA took off for London in 1972 and in this year the MSA become two separate entities viz., Singapore Airlines and Malaysian Airline Limited. The growth and consolidation of the newly established Singapore Airlines Limited was seen in the rest of the decade with the inclusion of B747s, DC10s and B727s. a new standard and a new suite of products and services worth S$500 was unveiled in air travel of Singapore Airline across all three classes of travel which offers the ground level comfort, entertainment and cuisine customers unenhanced standards of service (Anderson & Leary, 2013). In February 2004 the longest non-stop commercial flight from Singapore to Los Angles was inaugurated it’s first A340-500 by the SIA. The latest service release of the company is the 19 new A330-300 aircraft with the configuration of a two-class layout with 30 new business class seats and 225 Economy Class seats in Toulouse and France.
Human Resources are very much definitely valuable asset in each organizations of agricultural sector to the information technology sector. All factors of production should be get together to achieve the goals and objectives of a company and the HR is responsible to get together them. Most of the airlines companies of the world take inspiration from the HR department of the most admired airline company of the world – Singapore Airlines (SIA) (Lim, 2013). The holistic and an overall growth of the employees of the company are encouraged to enhance the customer centric services of SIA. Innovations of new ideas are provided to the employees for a work support. A cost effective manner is used to delight the customers and the employees are provided the training to do so perfectly. The Transforming Customer Service Program is one of the service initiatives of SIA.
The customers are divided into various groups for the better customer centric service with a greater team spirit to built bonding among the members of the company through many activities. There is a common purpose to give the satisfaction to the customer and to do so every worker should work together. SIA uses the 40-30-30 rule for the appreciation and the ease of working with others in a set up of functional team. The 40-30-30 rule provides the percentage weight. The analysis of McGee (2012) explores that the total human resource is considered as 100%. In training there is only 40% of the human resource, in the review of various processes 30% of the human resource is involved and the remaining 30% of the resources are used for the creation of new product ideas and services.
SIA provides the best steward/ stewardess through the training process provided by the company with an excellent reputation. They provide the training for four months which is pretty much longer time than any other airline company provides in the market. The entire crew is trained with a personal touch and in a very professional manner. There is a specific and actionable development and training plan for each employee irrespective of the employee as a part of the management. At first the nature of the employee is identified then the personal and the emotional skill in different functional areas based on the job of the employee, the person if trained accordingly. A survey on the frequent employees of the company rectifies that the customer support of the company and the good skills of the workers in all the departments to provide the overall airline service attract the customers to choose SIA over the other airline companies in Singapore (Bratlie, 2009).
There is a chance for the employees to from the groups like ‘Performing Arts’ Group, ‘Gourmet Circle’ Group etc to engage the people who are liking the similar kinds of jobs and the recreations and this encourages the employees to be satisfied outside of the job having the balance in work-life to make the efficiency and performance so high. SIA always maintain a high level of selection and recruitment process (Petrovic, 2012). The flight attendants are selected usually when the needs arises at the international level from the different countries where the SIA operates their business.
There is a continuous improvement in the face of global competition extensively in Singapore Airlines Company. It is not affordable for the company to stand still and to stay ahead of the means of field. The seeking attitude of the SIA for the improvement of the provided service and the constant starvation of the company for the improvisation of the customer service is discussed under this case study. The company provides the benefits to meet the need of the air traveler of the modern age from different age group and culture group by differentiating its product successfully (Qi et al, 2013). The SIA uses the best designers and the best chefs of the world for the steady improvisation of the product quality of the company to create the synergistic benefits which stems from the best employees working with the company in the world. The passengers of SIA also cooperate with the company to provide more delighted and better services in the next flight.
According to Leahy (2014) a clear identifiable operational structure is made by the company to look after the efficiency of the decision making regarding place, client or section of the business. For the purpose of pursuing the corporate objective of the business the company frees up the managers of the company to take any decision within their sphere of influence without the continuous referencing. A sense of common purpose is tried to retain by the group wishes at the same time. It is important for the Singapore Airlines Group to have good structure to maintain the communication system properly between the managers of the company and the staffs of the company to face the changing opportunities in the market and the business threat for the exploitation of the new areas of opportunity that can move forward the business process of the company and make the whole business more profitable (Salarzadeh, 2013).
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