Qantas Hr Management

Information:

Qantas is a premium, full-service Australian domestic and international airlines offering services across a wide network of destinations, which was set up in Winton , Queenland, Australia on 16 November 1920 by two veterians.Qantas name comes from “QANTAS” , an acronym for its orginal name :”Queenland and Northern Territory Aerial Services “. It’s also named “ The Flying Kangaroo”.So then , the company sologan of Qantas is: “ The spirit of Australia”. Superb reputation has made Qantas become the symbol of reliability, security, advanced technology and high quality customer services in civil aviation industry . Except for the core business and goods transport , this group aslo own many subsidiary companies including Qantas link , Jetstar, ect. At the same time, Qantas also operate many other business relevant aviation, such as airline food and holiday tourism business. In1998, Qantas co-operated with American Airlines, British Airways,Canadian Airlines and Cathay Pacific to found airline alliance “Oneworld”. Nowaday, this airline is based in Sydney with 3 main hubs ( Brisbane Airport, Melbourne Airport, Sydney Airport) and 3 secondary hubs ( Adelaide Airport, Dubai International Airport, Perth Airport). It’s also 11th largest airlines in the world. With the popularity of the civil aviation industry, the airline company of Qantas is facing some challenges. The reason why that  Qantas decided to establish low-cost carrier Jestar that they wanted to compete with the others domestic airlines like Virgin Australia, etc. During 2011 under pressure followed by global financial crisis, Qantas CEO Alan Joyce says out of touch union leaders are blocking reforms. And then , he thought should be reduce the number of pilots, and unreasonable check on checks of the airplane. He described the airline’s maintenance and repair costs as among the least efficient and most expensive in the world and warned that out of touch union leaders were blocking new business models. Therefore, there are have some internal and external factores to influence. For the external factors include industry overview, enviroment analysis, industry enviroment, opportunities and threats and competitive enviroment. For the internal factors include tangibe and intangible reasons, capabilities indenfication, core competency analysis and value chain analysis.The purpose is make fit between the number of employees and job required, by the balancing company labor supply and demand needs.

Strategy choice :

Through operating middle and high-end market, Qantas has established stable local advantaged position in Australia . To compete with the low fare airline companies like Tiger Airways, Virgin Australia , the best way to develop the low-end aviation market and perform the advantages of network and traffic rights by Qantas set up subsidiary Jetstar, which carry out the battle in segmented market. The strategies choices of Qantas is focused on established long-term shareholder value, balancing demand for cautious financial management with its important capital expenditure requirements, as Qantas invests to improve the customer experience. He describled the airline’s maintenance and repair cost as among the least efficient and most expensive in the world and warned that out of touch union leaders were blocking new business models..The pilot union push for the job security would lead to Jestar pilots being paid at Qantas rate , making the low-cost carrier unviable.Qantas Airways refused to rue out job cuts to help propel its international operations toward profitabilty amid a rise in passenger numbers from the grounding of Tiger Airways . In March 2011, in order to response to trends in fuel prices go on rising, Qantas has announed it will cut the size operating on the domestic market and international, as well as reduce the number of aircraft operations, staff managing and maintaining fuel subsidies.

The Flying Kangaroo avoided  making pilots redundant during the global financial crisis by asking them to take annual leave to reduce their leave balance, and pilots are doing the same in 2011.Asked the whether the airline was how at the point where the job cuts could not be avoided ,Mr Joyce said the issue was part of a strategy review, the outcome of which will be announced on August 24,2011.

Advices:

Human factors play a decisive role in almost profitability and business survival. Personnel  expenses acounted for 60%, is devided into 2 categories: direct costs and inderect costs.When we need to save the budget , the most effective way of downsizing and reorganization of personnel. But it’s just only temporarily effective. So it’s not considered a wise choice. According to the Secret Firmu magazine singled out 4 strategy solutions to minimize personnel costs: