Running head: STRATEGIC IMPLIMENTATION PLAN 1

Strategic implementation Plan for Alaska Airlines

Name

Institutional Affiliation

Date of Submission
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Strategic implementation Plan for Alaska Airlines

Introduction

The strategic implementation plan will help Alaska Airlines to enhance its competitive

advantage and make it successful in the highly competitive Airline Industry. The paper examines

the strategic implementation plan for Alaska Airlines while taking into consideration the

objectives as well as the success factors on the budget together with the forecasted financials

inclusive of the break-even chart, the paper also examines the various functional tactics, Action

items, Milestones and deadlines, Tasks and task ownership, Resource allocation, recommends

change management strategies for the company and finally create the risk management plan

which takes into consideration the contingency plans for the risk that have been identified.

Implementation Plan

The major implementation plan for Alaska Airlines is to adopt different service strategies

such as Improving the services they provide while on board, investing in research and

development as well as improving the customer response criteria. This will ensure a significant

increase in the company’s strengths while at the same time reducing the various weaknesses of

the company. The discussed strategies go hand in hand with the company’s mission as well as

the company’s objectives of existence (George, 2020). For the company to remain the leading

service provider in this Airline Industry, Alaska Airlines has to implement various strategies that

will facilitate differentiation of the company from the competitors. The implementation of the

strategic goals should align effectively with the company’s objectives:

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Objectives

Alaska Airlines focuses on its major objectives which include: improvement of the

customer satisfaction – The company believes that when the customers are happy, then more

revenues will be generated to the company (Goksoy, 2015). In this regard, therefore, the

company ensures that the Customers are contented by improving the services provided on the

board, for instance, providing meals as well as beverages, provide entertainment among other

provisions. Moreover, the company also offers internet connection while at the same time

utilizing the technology to improve and enhance its growth, profitability, as well as sustainability

for a long period.

Functional tactics

Functional tactics refer to the criteria as well as the activities that are carried out to help

Alaska Airlines in the attainment of the company’s short-term goals which will in turn result in

Grand growth strategy for the company. Alaska Airlines’ functional tactics include the

company’s framework, approaches in marketing, operation as well as effective labor

management. These help the company to accomplish its various short-term goals.

Action items

Action items have to be identified in strategic planning. At Alaska Airlines, the

employees are typically oriented to provide the best customer service, the employees are

properly trained, they are also well equipped with knowledge in pricing strategies as well as

technology. In this regard, the action plans help in setting specific tactic schemes, setting a

specified time frame that will facilitate the completion of various tasks while at the same time
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help in assigning various tactics as well as responsibilities to the departments to ensure

accountability.

Tasks and task ownership

Action items have to be identified in strategic planning. At Alaska Airlines, the

employees are typically oriented to provide the best customer service, the employees are

properly trained, they are also well equipped with knowledge in pricing strategies as well as

technology. In this regard, the action plans help in setting specific tactic schemes, setting a

specified time frame that will facilitate the completion of various tasks while at the same time

help in assigning various tactics as well as responsibilities to the departments to ensure

accountability.

Recommend any organizational change management strategies that may enhance

successful implementation.

Numerous factors have since been impacting the profitability as well as the general

operations of Alaska Airlines. The company has to adopt various management strategies so that

it can operate within these means while at the same time maintaining the competitive edge,

delivering quality services as well as enhance customer satisfaction. In this regard, the paper

recommends that Alaska Airlines should adopt the Chunking Management Strategy which will

help the company to break the long-term goals into simpler goals that may easily be

implemented and this will ensure effective performance. Using this strategy, Alaska Airline

Company will be able to achieve the company’s various goals (Goksoy, 2015).

Develop key success factors, budget, and forecasted financials, including a break-

even chart.
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There are typically numerous factors that have contributed to the success of the Alaska

Airline Company. The Company’s success is significantly dependent on various factors which in

this case include customer satisfaction, intensive research and development criteria, the strong

financial position of the company, Quality service provided by the company as well as the

Competitiveness Strategy for the innovativeness. In this regard, therefore, aligning with the goals

of the company, Alaska Airlines focus on remaining competitive through innovative ideas while

at the same time focusing more on the needs of the customer as well as their satisfaction by

ensuring that they provide quality services outside the Airline as well as inboard (Seybold,

2012).

Budget

Alaska Airlines company’s budget takes into consideration the proposed revenues, the

company’s sales, costs, expenses, the company’s assets, the company’s liabilities as well as the

expected cash flows, and the resource quantities. The budget typically includes the total money

as well as capital that is allocated for a specific purpose while giving direction on how to meet

the company’s goals. Budget is essential for Alaska Airlines especially as far as the planning of

definite operations of the company with the estimated amount of money is concerned.

Additionally, this will help the company to prevent overspending and this helps to meet the

financial goals.

Category Estimations in the Budget (U.S

Dollars)
Research and Development
 The research Expenses 2300
Marketing
 Advertisements 2400
 Public relations 1800
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 Special events 2200

Human resource
 Training of employees 3000
Finance
 Costs Inboard 10200
Total Budget 21,900

The expenses for the employee salaries have been left out since the current personnel of

the company is sufficient.

Break-even point

The Break-even point refers to the point where the total revenues or income is equal to

the total cost. At this point, the organization is not making any profit or any loss. To determine

the break-even point for Alaska Airlines we first determine the average price in boarding the

plane then we use the markup method by marking the services up 25% above the cost.

In this case therefore, the average boarding price = Total Cost x (1 + 0.25) which in this

case, we have, Average boarding Price = 2.95 x (1.25) = 3.69. Therefore, calculating the break-

even point may be done by the following:

; Fixed Cost/ (average boarding price-variable cost) = 495/ (3.69-2.95) =669.

In this case, therefore, assuming that Alaska Airline charges an average price of 3.69 per

every board on a plan means that the company needs 669 travels before they can break even to

start earning profits (Covello & Hazelgren, 2006).

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The forecasted financials

As a result of the increased customer satisfaction, quality service delivery as well as the

company’s loyalty program, the company projects an increase in the revenue by 10%.

Create a risk management plan including contingency plans for the identified risks. 

Alaska Airlines requires an effective risk management plan to minimize any potential risk

threatening its operations. The company’s risk management plan should comprise various

processes including the identification of potential risks to the company, the cause of the risk, the

impact of the risks as well as their probability. Additionally, the risk management plan should

also incorporate the various risk response strategies which include avoidance, mitigation,
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acceptance, and transference. This will mean that the company’s risk management plan will be

effective and able to minimize potential risks (Sadgrove, 2005).

Alaska Airlines has to use research and development institutions to get information

especially on the market changes, change in technology, changes in weather as well as the

various changes in the economy. By so doing, they will be well informed hence making timely

effective decisions.

Alaska Airlines should also adopt several strategies that will help then gain a competitive

advantage over its competitors. Such will include SWOT analysis performance which will then

help in minimizing threats as well as weaknesses, with this, they will have an opportunity to

improve their strengths as well as seize the company’s opportunities (Sadgrove, 2005).
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References

Covello, J. A., & Hazelgren, B. J. (2006). A complete book of business plans: Simple steps to

writing powerful business plans. Sourcebooks.

George, B. (2020). Successful strategic plan implementation in public organizations:

Connecting people, process, and plan (3Ps). Public Administration Review.

doi:10.1111/puar.13187

Goksoy, A. (2015). Organizational change management strategies in modern business. IGI

Global.

Sadgrove, K. (2005). The complete guide to business risk management. Gower Publishing.

Seybold, P. (2012). undefined. doi:10.1571/sp05-31-12cc