Tourism 论文代写 ：每一个组织都有管理公司信息的战略管理方式。使用的策略取决于公司的愿景和使命。本文是基于一个研究如何使用信息系统的战略作为竞争优势的来源。个案研究主要是阿联酋航空公司作为第一产业与英国航空公司。该研究涉及利用波特四种通用战略，SWOT分析和基本业务策略和公式的研究方法。
Every organization has it strategic ways of managing the information of the company. The strategy used depends on the company’s vision and mission. This paper is based on a research on how information systems are used strategically as a source of competitive advantage. The case study is mainly on Emirate Airline as the primary industry being compared to British Airways. The research involves using the porter’s four generic strategies, SWOT analysis and basic business strategies and formulas based on the research methodology.
Success is the primary endeavor partner for the formation, growth and progress of strong and advantageous Changing strategies of every organization. Success always comes after struggle, hard work and effort made from those advantageous strategies created to achieve a strong and unbeatable strategic competitive position. The research was carried out through different research methodologies concentrating on the strategic use of information system in competitive environment. The major company targeted was Emirate Airline but being it on competitive advantage, British Airway a similar strong company in the aviation industry was used as a comparison company.
The two Airline organizations are considered because they are two major successful international airline industries and offer almost the same services, yet British Airways consider Emirate Airline as a threat and vice-versa. Also British Airways reported a loss in the market industry while Emirate Airline even with the global Financial Crisis affecting Dubai, the airline industry is still reporting gain and spending huge on technologies.
Companies Websites: the two company’s (British Airways and Emirates Airline) websites were used as source of general, background and reliable information. Also it was considered as the most accurate and up to date data and knowledge contributor to the project.
Journals: newspapers, articles and case studies were being used in order to accumulated and get reliable data for the analysis. All the journals used are on information system or technology and also consist of strategic information on competitive advantages. An example is a case study on “Developing a Simulation Strategy for British Airways OR”. And also a paper on Emirate Airline Leadership Strategy was looked at as a methodology.
Text Books: Different text books on strategic management and competitive advantage were being used. The main areas target for the readings in the text books was done in order to gain an understanding in the different aspect of strategic management approaches and how they are applied to gain competitive advantage.
Interview: Emirate Airline was the primary company and is based in Dubai a personal interview was carried out with the strategic manager Ms Christine Stevenson. Where in the case of British Airways a telephone interview was done with the Information System Admin Officer, as an interview with the strategic or IT Manager was not possible. The question for the interview started from addressing the basic questions like what are the technologies they used to more in depth questions like how they reach a final consensus when it comes to decision making. Also asked question like there most valuable, strongest and successful strategy used to achieve competitive position. Not all the questions were answered by both interviewees because both Airlines consider some part of their business strategies private and confidential and wouldn’t share it with any other person. While in case of British Airways the interviewee has no full knowledge on the strategic aspect question because he is just an IS Admin Officer.
A strategic manager is responsible for all the decisions that will enable an organization or company to achieve its short and long term vision. They are responsible for the strategic, tactical and operational part of business. A strategic manager was considered because he/she will be able to answer all the questions relating to strategic management approaches and how those approaches gain competitive Advantage position for the company.
Christine Stevenson (the strategic manager) possesses all the all qualities of a leader. She is independent and influential. Moreover, an entrepreneur (she has a strong sensible risk taking abilities, concentrates on creativity and also the continuity of the market). She is Also a diplomatic and friendly manager, an example is when she was asked strong questions, she considered confidential and would not like to answer, she laugh and diplomatically and friendly replied:
“That is too strong and confidential, are you sure you’re not a student”.
Emirate Airline is a subsidiary of the Emirate Group, which was founded in 1959 by Sheikh Ahmed Bin Saeed Al-Maktoum. Emirate Group is a public international owned business, operating as a travel and tourism company based in Dubai. In 1985 the Emirate Airline industry was established by the investment Corporation Department of the Dubai Government, covered by an agreement with the Pakistan International Airlines as the management company. Before the establishment of Emirate Airline, Gulf Air was the only airline industry that was providing travel services to the Dubai population. During the period Gulf Air begins to reduce and lower it quality of services to the UAE population, which motivate the government to introduce their own Airline. Today emirate airline is the largest, biggest and fastest growing international airline industry in the Middle East.
British Airways is a public limited company operating as an international airline industry, based in London, United Kingdom. The company started as a private airline industry, founded in 1935 operating mainly in Europe called Allied British Airways. The merger between imperial Airways and British Airways LTD formed the single name British Airways Corporation in 1939. Later in 1974 when the authority demands that the British Airways Corporation should merge with British European Airways, the name British Airways was returned. Also in 1987 the collaborative merger with British Caledonian made the company being privatized. British Airways is one of the largest and fastest growing airline industries not only in United Kingdom but the world even with the recent crisis of reporting a loss in the market share of the industry.
Information System: A piece of information always starts with a data. Data is only knowledgeable and meaningful when it has been processed and transformed into information. Every organization has its unique information and each information has it value to the overall success of the organization, Making it vital and important to manage the information strategically. The data, procedure, hardware, software, or even humans that are used to accumulate, collect or assemble to evaluate and analyzed information, is being referred to as information system. Specifically in terms of organization like Emirate Airline or British Airways they are computer-based systems of hardware and software that the company’s employees, clients and customers used to collect, filter, process, create, distribute and manage information.[ Paul 2003]
“An information system is a work system whose business process is devoted to capturing, transmitting, storing, retrieving, manipulating, and displaying information, thereby supporting other work system”[Steven Alter 2002]
Emirates Airline information system: there are several tools, software and hardware used in Emirate Airline, and they will be named and briefly discussed. The information systems are used strategically as a source of competitive advantage, how they are used strategically will be discuss in dept in the strategy analysis column.
Emirates Airlines has a call center, it a centre where customers call and get information regarding the flights, the booking and the offers. The call center provides all the information about the company and employees. The call center also calls customers whenever there is a new product, service or sales as a marketing procedure. The caller’s information is saved in a database for strategic planning and benefits in the future.
The company’s website is another information system that is used strategically to manage its customer and client needs by getting customer feedback from it. The web-site consists of different databases and content in order to provide its user with information such as the flights details and company’s basic details. Emirate Airline also uses the
Customer Relationship Manager Information System (CRIS), which is a window-based web-site running as a client/server application. An oracle development tool was used in creating CRIS, requiring a separate development effort to upgrade. These leaves the Airline with unconnected application to manage, scale to support increment demand and cut management cost. But still the company doesn’t use CRIS as its main customer relationship software instead Mercator software development supplement provide CRIS for sale to other airlines industries. Also requires offering those customers with a scalable solution, with the aim to minimize the cost and time of customizing the solution for each deployment. [Article on mercator]
The Media is another form of information system used by Emirate Airline as a source of competitive advantage. It is used in from of TV, Radio and billboard to advertise there product such as travel promotions, in order to attract customers. Those advertisements target new customers and help the company to keep old customers.
One of the most important tool used by the industry which has played a vital role as a competitive advantage is the skyward program, also known as the frequent flyer program.
The skyward is in a form of a credit card looking card which can be applied by any passenger whom has travel over a certain amount of miles with emirate airline. It comes in three different categories of blue, silver and gold, where gold the highest and blue is the lowest. The program was established in May 2000 by the organization so as to improve and tighten their competitive advantage. Skywards operate as a reward obtaining card, where a passenger is given an amount of travel miles depending and according to the distance he or she has travelled. As the miles accumulate and increase with amount of travels, the card is upgraded accordingly. These Miles can then be exchanged for free flights, upgrades and other rewards, also a passenger can transfer his miles to another skyward holding passenger.
“Using skywards program is free and customers just have to register online or by calling Emirates Airlines if they wish to become skywards members. It is used by over 5.72 million customers. Skyward is one of our most valuable source of information system tool that we use to attract client” [Strategic Manager]
Another program is the skysurfer, which is a frequent flyer program for young children between the ages of 2-16years. It basically works same as skyward but in this case additional rewards are added to attract children. Exciting Rewards such as books, toys, free trips to Wild Wadi and Atlantis in Dubai or even a free ticket to anywhere in the world. Also children get the opportunity of choosing their travel seat.
The information, communication and entertainment (ICE) system is an in-flight entertainment facility that provides passengers with variety of channels to choose from. The system includes movies, video games and music channels. ICE can be accessed in different languages such as English, Spanish, Arabic, Korean, Japanese, French and German. Passengers have the option of pausing, forwarding or rewinding any selected item they are watching. In addition a passenger in business or first class cabin has the privilege of ordering and choosing what they want to watch that is not available in the media list booklet.
Electronic check in stand is a self check in machine available at the emirate terminal in Dubai airport. Passengers are able to check- in between 2 to 48 hours of their flight departure. Where a passenger get to do the all the processes of checking in his or her luggage by himself, saving the trouble of joining the long queue at the main manual check in counter. Staffs are also available at the Electronic check stand for assistance, for instance if a passenger is having difficulty in printing the boarding pass at the last final process of the procedure.
Emirates airline provides exquisite lounges for first and business class passengers as well as skywards silver and gold member, having about 21 lounges in 18 different cities and are even planning on opening more. In cities and countries where the airline doesn’t have a departure lounge, a lounge is provided for first and business class passengers. The lounge has comfortable chairs and television to entertain passengers before their departure. Some lounges have well equipped bathrooms with showers for passengers who want to take a shower after a long day. Food of different variety is also available to choose from. Breakfast, lunch and snacks are served to customer satisfaction. This is available because they have customers from different nationalities speaking different languages, so as to attract customers from every part of the country.
According to the News reported 09 march 2010, in the company’s website ‘lounge investment to date is cruising above AED 266 Million (US $72 Million)
EMIRATE AIRLINE STRATEGY ANALYSIS
The strategies, structure and management of those strategies and structure is always a composite and complex process for every organization. Strategy can be defined as the direction, route, possibility or scope of a business over the long-term and short-time goals and vision, which achieves advantage for the organization from the begging to the end of its pattern, design, and management of resources within a challenging and competitive environment, by achieving market scope and to accomplish competitive strategy. [J. Thompson with F. Martin, 2005, p1]
For an organization to achieve its goals and vision it need to come up with distinctive and well organized strategies which will include critical and comprehensive study as well as investigations into various areas that will produce information that will be advantageous to the accomplishment of the industry. This is the reason why emirate airline gives consideration in focusing into the overall and general position status of their rivals such as British Airways, also involving in their interior and exterior activities. By knowing their competitor’s status the organization of the company will be able to analyze the status of the company’s approaches, capital, income, strategies and resources in general. Which will able the company to establish how they will be able to manage, and defeats British Airways in competitive advantage in future. This will also give the company the prospect to stature out their potency and how they will maximize their strength and eliminate their weaknesses.
In every business there are times and periods of strength, weakness, success and failure. All of these periods apply to both British airways and Emirate airline. The corporate strategy used by emirate airline which involves examining the existing and anticipated factors related with passengers and competitors external situation and the organizations (Emirate Airline) internal environment itself. Envisioning a successful role for the organization, by creating a strategy and aligning policies and resources such as the use of Media to achieve the airlines goals and vision. Emirate airline is committed with the diversity of their clients; the diversification management approach applied by the company enables the firm to guarantee that passengers are given outstanding service provided by zealous and committed staffs and employees, unlike British Airways staff that recently undergo a three day strike against their management. The approach is carried out by adding new product and resources to an existing product, an example is the new and improved business class cabin introduce about a month ago by Emirate airline and also the mile accelerator services added to the skyward facility. [Paul Finlay, 2000, page 473]
“We the Staffs of Emirate Airline are always ready to assist and welcome ideas from passengers, either by Electronic survey or any form of technology that will get us a feedback from our client” [strategic Manager]
Another competitive strategy used by Emirate Airline is the focus-leadership strategy, which play a vital role in attributing to the success of the company, which is derived from the Generic strategy formula. The organizations business goals is to provide its customers with brilliant, reliable and most of all welcoming services to their esteemed clients, by dedicating to make each journey unforgettable and special.
The wellbeing, comfort and convenience are important concerns as they provide value services for their passengers and client through dependable, extremely update technologies and the use of information system. The generic strategy will be illustrated in detail through the Porters Four Generic Business Strategy.
The organization expands their industry to attain more customers which enable them to be more advantageous and profitable. Making it possible even with the global economic crisis and the financial status of Dubai, Emirate Airlines are still making profits announcing Half-Year Profit of Dhs 284 Million in 2009. While their rivals British Airways report a quite amount of loss in the market share price early this year, even though the organization is manage and maintained by a reasonable steady financial country. But both airline industries are strategically introducing new technologies to enhance and achieve both there long and short term goals and vision. So still with the financial crisis of British Airways they still have competitive advantage over Emirate Airline when it comes to handle crisis as they are much older in the aviation industry and have manage crisis in the past.
“We are a much longer aviation industry than Emirate Airline and we have strategies we alone use in managing our crisis which we have implemented in previous crisis in the past.” [BA staff]
The Marketing strategy approach of Emirate Airline industry are said to be a customer-oriented strategy method. The strategy focuses on various types of customers, by catering the needs of clients individually and uniquely. This is done through the use of technologies such as the skyward customer account and card, where details and specification of the account holder are saved. The industry has been able to apply routes to a variety of destination all over the world. Emirate Airline industry’s strategy can be categorized as a powerful strategy and it enables the business to offer entire loyalty and commitment and maintain organizational operations so as achieve full competitive advantage.Â Through this strategy, Emirates Airlines surpass most of their competitors in the airline industry, and also gaining market share and enhanced the overall demand of their service.
Being the company (Emirate) an international airline industry gives the management an opportunity to expand and develop their industry and services all over the world with no compromise to the importance and value, and quality of services they give for their customers in every country. The company has a customer service help desk and a call centre facility in mostly every constituency they operate to provide and satisfy the requests of their passengers and customers at all times. This is carried out through the diversification management strategy mentioned earlier, where by the need and demand of their passenger and client are handled globally. Nevertheless, the threat and fear of the industry upon British Airways is the survival and existence possess by their rival in the past for handle failures and crisis, having the ability and capability to pick up promptly from their crisis and provide affordable and quality services just as the Emirate Airlines. Their weak point can also be drawn from their diversified markets. However, with the 24-hour customer service call centre of the company, an immediate feedback is given to the query of their client.
The business model of the airline industry has led to their commercial success in the aviation and airline industry. They are able to have a lean workforce that can be compared to low-cost carriers rather than conventional flag-carriers. In addition, the company has also a simple organizational structure which permits the airline to maintain low overhead costs and enables them to pay no income taxes on wages.
The organizations strategy model of emirate Airline is what has lead to their business success in the airline industry, giving them a successful business Model. This business model gives them a supportive workforce, making their services low-cost at the same time the successful and most profitable organization. Also the organization has a plain organizational composition which permits the company to sustain small overhead costs and enables them to pay no revenue duty on income and wages.
Ethical decisions can be made and taken at managerial level in emirate airline industry, which makes the corporation expand capable and successful organizational behavior. The management of emirate airline believes that principles offer the primary basic for deciding whether a specific action or behavior is ethically or morally right or wrong, the organization are able to develop ethical, moral, perspectives, standards and principles. Where as in British Airways only basic ethical aspect are given consideration, for example a BA female cabin crew most not cover her hair while in Emirate she has to cover her hair. The human resources management approach strategy is used by the organization in recruiting and employing the best and required staffs that will suit their passenger and client needs. Generally Emirate airline strategy is a powerful strategy will be very difficult to beat.
Competitive advantage is the ability and manner by which companies, industries and organization manages to maintain its long and short term goals, mission, and vision also keep up its position against its rival or competitors. It is the state which enables a company to perform in a more effective and competent manner, leading the organization to act and operate in a higher-quality approach than its competitors. Competitive advantage could be a long-term or short-term condition and can be managed through various competitive strategies, such as:
The Porters Five Forces Model
These strategies will be discussed and analyzed separately, using British Airways (a competitor) in comparison with Emirate Airlines.
The tactical procedure implemented to evaluate an organizations strength, weaknesses, opportunities, and threat is strategically known as SWOT Analysis. This analysis method involves enumerating the goal and objective of the organization by determining the internal and external factors that are prosperous and non-amicable in achieving it goals and objective. This analysis can be integrated into the strategic business model used by the company just like the case of Emirate Airline. Every organization has it strength, weaknesses, opportunities and threats, same applies to Emirate Airline. The strength weaknesses, opportunities and threats of the industry will be discussed individually using the SWOT analysis.
Emirates Airline grew successful from the effective, focus driven, accurate decisions planning and the strategy set for its employees by the organization. The determined efforts and excellent services provided by the members of its staff to the passengers and client gave strength to the Success of the Airline. The Airline starting the operation with two leased aircrafts from the Pakistan International Airlines, and was able to strengthen its fleet of aircrafts by purchasing long haul aircrafts from the manufacturers of the Boeing & Airbus aircrafts. The A380 and B777 were specifically purchased to provide comfortable and satisfying air travel for its valuable customers. Emirate Airline strength expanded more from when the Airline was selected as the best Airline for the In-flight services for number of years from leading organizations, such as British Airways.
The successes and strength of the Emirate Airline leads to an increase in the growth and number of dedicated and committed passengers using the Airline, also expands the income, profit and revenue of the organization in whole. On Achieving and winning the award the Airline was mainly recognized globally in the travel industry, thereby inaugurating the “Skyward Club” memberships for frequent fliers. This also strengthened the Airline. Its ability to incessantly modify and improve the services in the aviation sectors gave an advantage to the Airline to meet up the targets set by the Management, promoting the industry as the leader in the aviation industry.[paul, 2000]
In every successful strategy there are always flaws and weaknesses, the main weakness of Emirate Airline are some of the strategies and information system technologies implemented, in order to expand the business. This approach has not yet been victorious, which can be considered as weakness. The Airline has been accused of focusing on high-end achievement and diversification, even after knowing such decisions have uncertain and difficult effects on the Airline, making their flight quite unsafe. While British Airways has a History and full safety records established ages ago.
Emirates Airline industry has a wide ranges of opportunities giving it a competitive edge.
These opportunities are derived from the strategic use of their information system technologies and services, allowing the industry to infiltrate into an untouched new market with no strong competitors like British Airways. The revenue generating profitable income for the organization is from their operating flights to various destination where is un-touched by their rivals, such as available flights from Middle East to India, South East Asia to Africa. Also being able to travel around the prospect to manage code sharing destinations where there are no local flag carriers.
The external environment of the organization is said to be the main source of threat facing the industry. Nevertheless an internal environment issues such as the recent budget formed by the company contribute as a threat to the organization in whole. The fair of the budget increase from the logistic and cost of information system, being introduced and implemented so as to achieve the goals and objectives of the company. Examples of these systems are cost management of strategies and technologies like the Customer Relation Manager Information System (CRIS). Strong competitive rivals from European countries like British Airways leads to an amount of threat that can jeopardize the industry in general. The global economic down fall of the Dubai Financial status lead to the industry suffering from travel setbacks, making the fares of Emirate Airline increase from their normal prices. The airlines inability to keep up with the innovations or recognize its demand creates a threat for the airline and reduces the load of the passengers. All this is because the political and economical environment in the countries where the airlines operates could potentially have a negative impact on business. Where by compliances could be used by their competitors to their advantage and take the industry by surprise and by the time they realize, it will be too late that they are not the leaders of the airline industry anymore and have lost a great numbers of customers.
Pest analysis is another form of strategic management analysis that is used to scan and analyze the external macro-environmental factors in which an organization operates. The word PEST is an abbreviation for Political, Economical, Social and Technological factors, which are the external macro-environmental elements that are analyzed by the PEST analysis strategy.
The strategy used in managing the external macro-environmental factors of an organization can play a vital role in competitive advantage. This column will briefly discuss those factors in regards of Emirate Airline.
The Emirates Airline industry is owned by Dubai government and has been protected by the policies and regulations formulated by the government and other countries where they operate. These regulations includes the ability to ensure that the airline conform and conduct business operations successfully, profitably and effectively. The industry also formulates their own protections strategies against any restriction and limitations imposed by any other foreign government. All these are possible due the political stability and no strict trade restriction and traffic in the UAE.
The industry operates in a stable and successful micro-economic environment, even with the down fall of the economy globally and many economic failures encountered in Dubai. The management creates strategies that will facilitate and surpass such crises and struggles, by striving to forecast a better economic condition. The strategy involves concentrating on economical aspect such as the interest rate, exchange rate and inflation rate of their home country and their destinations countries. The economical factor provides a strong alliance in making Emirate Airline a highly competitive industry in the aviation sector.
The cultural and demographic aspects of the external macro-environment of emirate Airline, provides a good reputation for the industry in whole and also by given equal chance to take advantage of the resources provided by the management. The social factor management resources will focus on areas such as health consciousness, population growth rate, career attitudes and emphasis on safety. An example in the provision of a life jacket and the demonstration done by the cabin crew before flight take off.
Technological factors can lower barriers to entry, reduce minimum efficient production level, and influence outsourcing. Emirate Airline industry uses different form of technologies as discussed earlier in the information system column. These technologies are used strategically as a form of communication to reach out the customers and client all over the world. An example is the company’s Mercator software development that is used as a subsidiary application, where by lowering the cost of management for the technology in general.
PORTERS FIVE FORCES MODEL
This is a skeletal structured model used to describe and analyze a company’s level of business strategy development. The five forces framework analysis is carried out to determine the competitive position of an organization. The competitive position force to be considered during the analysis includes the company’s buyers, competitive rivalry, substitutes, entry barriers and suppliers.
“Porters generic strategies concept is a widely used framework for classifying competitive strategies.”[text from library page 5]
A model diagram will be used to illustrate the five forces competitive position of Emirate Airline.
An organization like Emirate Airline is ought to be protected from competitive threats, but from the five forces diagram it can be seen that every industry has to purses competitive threats.
Strategic alliance is a business strategy liaison between two or more organization to pursue a goal. It is an official agreement carried out to achieve a significant business vision that will be advantageous to the organizations involved. Even with the alliance agreements the organizations involve still operate as individual companies. The Alliance can sometime have an impact in surpassing competitive rivalry between the organizations involved or industry. An alliance can be in different forms such as technology in form of information system or even human resources.
Emirate Airline and British Airways have different types of alliances agreements that are contributing in achieving the goals and visions of both organizations. The main technological alliance between the two organizations is the alliance in the customer service management agreement, an examples is where an Emirate Airline skyward account holder can use his frequent flier miles accumulated from travelling with Emirate Airline to travel with a British Airways flight and vice versa. Also the usage of the executive lounges of both Airlines, a British Airways executive club member can use the Emirate Airline lounge when travelling with BA flight from or to a destination where BA has no lounges same applies to Emirate Skyward Account holders they can make use of the services and resources provided by BA in a place where Emirate has no such services. These alliances can have a significant advantage in competitive advantage even over each other, for instance in a case where an Emirate Airline passenger received an excellent service from British Airways Lounges will be tempted and encourage to travel with British Airways flight in order the receive the full package of the excellent services and resources.
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