SWOT analysis considerations This SWOT analysis revealed effectiveness by BA such as in the Partnerships & Alliances and efficiency such as through its Technological Innovation, where BA placed IT at the heart of its recovery. Terminal 5 will bring great opportunities to the organisation where an increase in efficiency is expected, hopefully, furthering BA competitive advantage in this area and setting new standards in the airline industry. There are areas where BA was less effective such as the lack of marketing strategy to win customer loyalty, where realignment of its marketing strategy would be beneficial to the organisation. There are also industry threats that need to be addressed by BA in order to remain competitive and profitable, such as a possible weakened economy and the effect of low cost airlines. BA’s Strategy, Communication & Teamwork BA’s strategy is reflected in its mission statement, i.e. “To be the undisputed leader in world travel”. The strategy of British Airways relies mainly on good leadership which can give a sense of direction to the organisation coupled with effective management, and equally important through excellent communication, teamwork, and collaboration. This strategy has to be orchestrated throughout its worldwide work force of about 48,000 employees together with its team players and service providers. This is essential for the survival and the success of British Airways. BA works with various team players and service providers in the tourism industry such as; Oneworld® Partner Alliance - American Airlines, Cathay Pacific, Finnair, Iberia, Japan Airlines, LAN, Malev, Qantas, Brussels Airlines and Royal Jordanian, Hotels - Hilton, Conrad, Doubletree, Embassy Suites Hotels, Hilton Garden Inn, The Waldorf Astoria Collection and Hilton Grand Vacations Clubs etc... Car rentals - Avis® and Alamo Rent A Car®, National Car Rental® etc... Sightseeing Organisers, Tour Leaders, Travel shops, Transfers operators, Holiday Packages organisers for over 350 destinations worldwide ...
(BA Holidays, Undated)
Equally important to the organisation are backstage service providers working in the tourism industry, such as those providing Catering services, Cleaning services, Maintenance etc... without which the organisation cannot conduct its daily operations. In collaboration with its various team players, BA can offer a vast selection of holiday package solutions to its customers such as airport transfers, air travel, accommodation, tours, sightseeing, car rentals etc... These services can be booked via BA’s offices, tour operators, through the various online booking services etc... All this require coordination, teamwork, collaboration, and communication between BA and its various team players and service providers in a timely manner. BA’s communication strategy makes use of innovative IT-Communication systems to ensure the efficient running of operations. Information Management (IM) is responsible for all IT across the British Airways Group and plays a fundamental role in shaping the future of the airline. British Airways rely heavily on IT which has an enormous influence on the airline's performance. (Britishairwaysjobs.com , Undated). British Airways makes use of Corporate Communications which manages the global reputation of the organisation and ensures that all interested parties are aware of the airline’s developments and news. Corporate Communication is responsible of the airline’s Intranet content, which is one of the key channels used in keeping the mobile workforce up to date with the latest news and policies. British Airways has a remote employee population that is constantly travelling in all corners of the world. Despite this challenge, BA employees are well connected via the company’s Intranet; being in the sky, in airports, on the road … (Communitelligence Learning Academy, Undated). In 2001 BA also introduced the Employee Self Service (ESS) project to provide tools that allow staff worldwide to manage their own day-to-day administration over the web (Computing, 2001). Corporate Communications is also responsible in the production of BA News, a weekly newspaper which is distributed to its employees and team players. A secure, robust and reliable 24x7 worldwide IT operation is used to ensure an enhanced teamwork (networking) and communication channel; leading through communication. IP Telephony is another important communication channel for BA. Cisco Systems and Prime Business Solutions were responsible in the setting up of a new infrastructure during 2005 -2006 to improve communications for over 14,000 BA offices and airport staff (Cisco, Undated). Advertisement is a powerful communication channel. A number of specialist communications agencies are deployed to deliver the airline’s key messages to customers and media in more than 80 countries where BA operates. This is of strategic importance in the running of BA’s marketing strategy. Another important BA communication channel is BA Media. British Airways Media is the sales arm for the communication channels offered by Britain’s premier airline brand. The communications environment that BA Media offers is both unique and ever expanding, providing an opportunity to reach its audience. BA Media is responsible in the production of High Life Magazine, Business Life Magazine, First Life Magazine, Supplements & Classified which are distributed on airplanes, lounges marketing material, TV, Entertainment, Radio etc... (British Airways Media, Undated).
CONSIDERATIONS For sure BA is a big player in the tourism industry and managing such a big workforce together with its team players and service providers brings challenges. BA’s strategy adopted in terms of achieving excellence within the tourism industry is achieved through its communication channels and through coordinated teamwork and collaboration between BA and its various team players and service providers. As they say “A chain is as strong as its weakest link”. Working together towards a common goal contributes towards BA’s strategy, mission, reputation and growth. The efficiency of BA’s overall strategy can ultimately be measured through its financial performance. The operating profit for 2005 was of £556 million and that of 2006 was of £695 million. These are encouraging results and are an indication of effective organisational strategy. BA is definitely a market leader, sets market standards, and is considered a “Benchmark” in its line of business. British Airway’s strategy is in the right direction and is in line with its mission statement. |
