The unit cost and the unit revenues are used to assess how well the finances of an organization are managed. The measure of capacity to normalize these two factors can be used to assess the financial position of an organization. The better unit revenue may not be used for an airline whose unit costs are out of the scope of the management of those companies.
The unit revenues and unit costs can be used to determine the company’s growth and they are also used to determine the long-term success of an organization. In the case of airlines the growth is measured in terms of capacity of growth. In order for an airline organization to succeed in its operation it must have adequate funds, must have its equity grow over time and it must have a reasonable debt to assets ratio.
The Human Resource development expertise in general and in the organizational development are usually needed to spearhead strategic development of the customer centric, learning oriented workforce that is capable of adapting to the strategic goals and the change imperative that face the airline industry. According to a research that was carried out it was established that accidents and poor service quality were caused by the socio-technical human factors than by technology as some of the experts had established.
The sub-optimization or the poor quality with regard to management team work, employee motivation or communication were some of the factors that lead to the loss of customers, loss of market, loss of the organization assets and eventually, to loss of life to those who were involved in the airplane accidents. The Human Resource management was noted to be only sector in an organization that would stop these negative occurrences from happening in the future in the organizations.
The Human Resource management can be used to conduct internal marketing strategies so as to boost customer loyalty so as to increase the revenue of the company. The primary strategy that can be used by the Human Resource management is to align the activities, policies and the procedures of the organization with the organizational development strategic imperatives so that the organization can achieve its goals and objectives and also to enable the employees to understand their duties and responsibilities while carrying out their activities.
According to Duncan, an aviation leader in the United States Aviation Service and Maintenance, he stated that low morale and low job satisfaction across the organization, the employees lack of communication of how to address their issues to their management, lack of respect, pay discrepancies, distrust among the members of the management were some of the factors that contributed to the low revenue of the airline industry. The management of organizations can overcome these problems by conducting orientation programmes for the new employees so that they can understand what they are expected to do.
The management of the organization should pay attention to the opinions of the staff so that they can understand their duties and responsibilities as this can contribute to the success of the company. The employees should be treated as internal customers of the organization so as to motivate them to carry out their activities effectively as this can result to lower costs of labor, improved productivity and an increased sense of improvement on the part of the employees.
The issue of monitoring the perception of employees and those of unions so as to solicit for new ideas about how to run the company can lead to improvement of the airlines’ performance since the management can research for the causes that are lead to the problems in the organizations and solutions can be easily found. The factors that can bring changes in an organization are spiritual values such as strong emphasis on the community, teamwork and at the same time serving others.
If the employees feel they are part that contributes to the success of the company in terms of employees being empowered, this can make a change in the lives of the workers and this can motivate them to work harder in their duties and responsibilities. The airline administrators should conduct Human Resource Management audits in the organizations so as to avoid price wars and short sighted cost cutting binges that hinder the performance of this organization.
The administrators should also ensure that they make direct connection between their external customer value and how and why the employees provide value and how to carry out the values effectively. The national and the international regulatory bodies in the civil aviation should formulate airline specific Human Resource Management audit that can be easily adapted and used by the individual airlines so that the activities of the aviation industry are carried out effectively.
The management of the United States airline should appoint personnel who can conduct the responsibility of ensuring that the employees conduct opinion surveys on the following tasks such as organization culture, organization leadership, employee relations, sexual harassment and the benefits of the preferences that the company takes so as to carry out its activities. The results of these surveys should be communicated to the employees so that proper measures are taken so as to avoid the problems from happening in the future.
The aviation administrators should raise the following issues in their organizations such as mission, strategy and culture to the same level of the question the questions that are raised concerning their rules and regulations so that the employees can understand their duties and responsibilities in the organization. The training and organizational development should be expanded on issues such as the management of training the managers and the supervisors.
The management of this organization should lay more emphasis on conducting education and training in areas such as team work, cultural diversity, communication skills and the socialization of the organization’s culture using the organizational development program so as to improve on the performance of the company…
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