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Organizational

structure: Appex
Corporation
Prepared By:
Tushita Goel
Divya Jhamb
Amarendra Amar
Amritanshu Shekhar
Pawan Sah

Company Background
Formed in 1971 by bringing together BOAC & BEA
Less focus on changing environment
Effective but not efficient between 1970-1980
Job-Get aircraft into air on time and get it down on
time
In 1981, Sir John King, chairman To handle issues by
networking and political contact
In 1983, Colin Marhsal, CEO- Customer focused
apporach

Contextual Factors
Unexpected recession
Mergers
Civil Aviation Act passed in August 1971
Economic crisis of 1997
Rising fuel costs
Severe competition

Changes in the Culture


Bureaucratic Socialistic
Respect, appreciation and friendliness
Feedback, trust and leadership
Empowerment
Focus on customer services
People do their own job I dont call someone else to do the job,
Now you just get on with it- More Social
Common goal- We can change things, we are better than our
competitors More solidarity- Communal Organization

Fragmented

Networked

The main reasons for BAs


failure
Lack of proper integration
Improper belief of employee
Profitability result in overlooking
Focus on resolving industrial relation
issues

How have I accomplished


this cultural change?
Survival Plan of 1981
Strategic downsizing which reduced
staff numbers by 40 from 52,00043,000 and later on to 35,000 (1982)
Closing 16 routes, 8 online stations,
and 2 engineering bases.

Role modelling
Staff Communicating
Reinforcing desired culture

Education and Training


Putting People First (PPF)
Managing People First (MPF)

How have I accomplished


this cultural change?
Building Turnaround team
In 1983, Colin Marshall, BAs CEO, made
customer service a personal crusade.
Culture that emphasize on productivity
and profits while increasing the customer
value

Changing the airlines image


BA launched its Manhattan Landing
&The worlds favorite Airline
campaigns
Raised advertising budget for 1983-1984
from 19 to 31 million to signal change
in corporate image.

Changes at different levels


Transport to service industry
Level

Future impact

Artifacts

Dress Code, Profitability,


Increased Marketing budget

Norms and Values

Employees are more valued,


Customers are valued more,
Brand Image focused strategy

Basic Assumptions

Belief that My work is


valuable
Go that extra mile
Brand rejuvenation

Thank You

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