Qantas Airways Case Study

Assignment

Course: Advanced Diploma in Business Management

Module: Management of Human Resource & the Practice of Management

Batch No.: ABMD2 1476B

Lecturer: Mr. John Neo

Submission Date: 11 March 2015

Name                                                  Fin No.

Song Haiying                                            G1310123Q

Word Count: 2028 words

Contents                                               Page

1. Introduction        

2. Evaluation        

3. SWOT Analysis        

3.1 Strengths        

3.1.1 Diversified Business        

3.1.2 Efficient Use of Resources        

3.2 Weaknesses        

3.2.1 Reliability Concern        

3.2.2 Wildcat Strike        

3.3 Opportunities        

3.3.1 Open Skies Policy        

3.3.2 Technology Advances        

3.4 Threats        

3.4.1 Excessive Competition        

3.4.2 Rising Fuel Prices        

4. The Impact on HR Planning        

5. Recommendations        

5.1. Job Analysis        

5.2. Job Design        

5.3. Better Communication with Customers        

5.4. Transforming Qantas International        

6. Conclusion        

References        

1. Introduction

Qantas Airways, the Australian company, was founded in Queensland in 1920. It is recognized as one of the world’s leading long distance airlines and the largest domestic and international airline. Today, the Qantas Group employs about 32,500 people and offers services across a network spanning 182 destinations in 44 countries (Qantas, 2014). However, Qantas Airlines has faced some challenges before it become successful. This report is going to discuss the challenges faced by Qantas in 2011 and to evaluate the strategic choices made by the company in relation to HR Planning. Also, I will give some recommendations on how to maintain the commitment of employees while implementing HR Planning.

2. Evaluation

From both a theoretical and practical perspective, Human Resource (HR) Planning is the process of making the most efficient use of a company’s most valuable asset, its people. Allocation decisions are made in regards to company structures, processes and human resource to meet the company’s strategic goals. The objective is to make the best fit between the number of employees and jobs required, by balancing the company labor supply and demand needs (Taylor, 2011).

The Qantas Group today also outlined measures that respond to global economic conditions and the structural challenges facing Qantas, including the European financial crisis, the changing Australian economy and the need to increase efficiency and competitiveness. Here, I will use SWOT Analysis to explain the matter.

3. SWOT Analysis

The management at Qantas is facing a major threat and can result in the airline going under or failing badly. This will also result in undercutting the profit margins of Qantas on its domestic routes which will cause severe loss to Qantas. To handle this situation, it is necessary to do SWOT analysis of Qantas so that by utilizing the strengths better, opportunities could be developed and the threats and weakness could be overcome by Qantas.

3.1 Strengths

3.1.1 Diversified Business

The group’s offers transportation services across geographies by using its two complementary airlines--Qantas and Jetstar, which operates international, domestic and regional services. Qantas’ main markets are domestic and international traffic to and from Australia. It offers passengers a comprehensive network product on its extensive domestic and international network and through its one world membership, accessing 24 bilateral code-share agreements over 870 destinations and 550 lounges (Qantas Annual Report, 2011). At the same time, Qantas re-adjusted its strategy of international routes and began cooperation with Emirates Airlines, thus involved the broad route network of Emirates in its service scope. Currently, Qantas has set up operation base in Dubai, and discusses with Emirates about technological coordination and interest allocation. Meanwhile, Qantas attaches more and more attention to Asia market, and makes every effort to strengthen its relation with Asia.

3.1.2 Efficient Use of Resources 

Qantas have a home ground advantage as Australia national airlines. Its subsidiary company also provide great resources for Qantas core business. As for the tangible resources of Qantas, in order to keep Qantas as one of the most professional airlines in the world, it keeps investment in purchasing new airplanes, improving interior facilities and infrastructure construction. In terms of the intangible resources, Qantas pay much attention to brand building and community investment.