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REVISION 1

Change, Wo rk and Divers it

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Change, Work and Diversityby Oo Nang Hnin

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Change, Work and DiversityORIGINALITY REPORT

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Part 1: A research report

1.0 Introduction British Airways, the third biggest airline of the Europe and the largest of the UK, which runs their operations in the international aviation market with 300 destinations routes, is a leading airline of the world. During 2007/2008, the income of the airlines increased significantly to over 8,753  million, by 3.1% up as compared to the previous year. At the end of the year 2007, the house market of the United States was broken due to the rising interest rate. Although it  did not affect the 'air' industry immediately, by mid-2008, the very wave of the financial crisis became widely prevalent before long throughout the European countries. As a sequence of the  global financial crisis, the BA lost its 401 million in 2008. Therefore, to reinstate the profit and survive in the long term, the chief executive officer Willie Walsh took change management into account by saving costs and reducing the unnecessary costs. However, the implementation of the change process made the cabin crews resist and disrupt the BA. This report will discuss the strategic change management the BA conducted during the collapse of the global market. Strategic management is largely about the analysis of the factors related to the ways of operations that could achieve a better performance and a sustainable competitive advantage over business transactions.

1.1 Organization Context (British Airways:2009-2011) The chief Executive of BA Willie Walsh was once worked for Irish carrier and was well known for his

successfully guided Aer Lingus as a profitable no frills airlines while other industry did not do well after the attack in the aviation industry in September 11, 2001. To be a profitable during the period, Walsh gashed the total cost incurred by 30% and fire more than a third of staff without consider other issues. There is no doubt why Walsh has been appointed as CEO by the BA since October, 2005.  When the BA lost its profits in May 2009, Walsh considered that there was a need to do something in order to lift the profits back up. Finally, he implemented the cost reduction plan which included cutting the number of the cabin crews and freezing payments in spite of open discussions with the employees about the difficulties they confronted. There was a situational leadership rather than a transformation in the BA organization. Far from collaborating and coordinating with each other, everyone has to follow any decision made by the very top. With reference to the Kaleidoscope, it was a time to change immediately to retain profitability intact and raise potential profits by eliminating the unwarranted expense and to preserve anything that could be efficient and effective in the firm's operation. According to the structure of the BA, Walsh had the right to manage the needed change process which he considered is extremely important for survival.

1.2 The strategic change itself as outlined by  its management During the financially chaotic streak that affected all institutions all over the world, each and every

management team in each and every organization felt obliged to resign to conducting a change process in its pertinent area to be able to survive in the long run. Vis-a-vis the BA, the change process outlined by Willie Walsh pertains to "cost saving" which consists of cutting the number of cabin crews, overtime working, pay-freeze, self-voluntary unpaid work, paying little to the pilots, and also cutting the service in the long-haul flight. According to the kaleidoscope context or scope, Walsh underestimated the depth of the changes and redesigned the very changes with no sufficient attention whatsoever prior to the veritable implementation; which led to negative impacts on stakeholders, including crews, pilots, as well as customers.  1.3 The nature and extent of the strategic changes

The change process implemented by Willie Walsh had a terrible negative impact on the stakeholders. Although the prevailing threats might have been because of both internal and external factors, it was true for Walsh that 'reducing the amount of costs incurred means saving the operational costs and recovering from loss', but Walsh failed to consider widely the consequence of the changing process. Following his decision, the BA fired about 1700 cabin crews, 1000 of whom were asked to accept voluntary redundancy with an unpaid condition. Even another 3000 employees  inevitably had to be working just as part-time workers. Furthermore, the BA reduced the number of the cabin crews in

long-haul flight from 15 to 14, placed the service at the same level to short-haul flight, and scraped meals in short-haul flight. On December 14, 2009, the BA imposed contractual changes on cabin crews by dint of not just the extended working hours but also the reduced pay rate of wages of 11,000 pounds per year for new workers.(BBC News Business, 2009). The crews were very dissatisfied and went on strike. This affected the passengers and everyone else relevant to this process. In accordance with the context of the kaleidoscope, the diversity of the BA was adversely affected. The different groups under the impact of the cost reduction were unhappy about, uninterested in, and disheartened with their respective work. To summarize,although the management team and  the cabin crews were under the same roof of cooperation, they were not in the same views about the change.

1.4 The Change Management Strategy

When the economy got crippled by dint of the recession, it spelled  income level in decline for business persons. As a result, they had a tendency towards travelling less and less, as and when they found it unnecessary. The recession had an impact on the BA, too. Because of the rising fuel price, the BA had to turn towards increasing the ticket price in comparison with the budget airline. The result is that the number of the BA's passengers plummeted stunningly. In such arduous situation, Willie Walsh implemented the cost reduction plan in order to remain alive. During the recession, there were complicated situations. Consequently, the firm could not even forecast the nearest future and was shocked by the financial collapse.  So the management team implemented change at once to overcome any sort of loss. Furthermore, Walsh's change was a top-down and revolutionary change. The cabin crews were astonished by the change and had little time to adapt the change. Thus up came a disruptive tension which lasted into 2 years. According to the kaleidoscope context (readiness), the management team, in spite of being aware of the changes, neither communicated well with the crews nor got them involved in the process.

Part 2: Academic Report

2.0 Kotter’s 8 step of changing process

This report is going to examine about the BA change according to the theory of John P.Kotter (1996) : The eight steps of change process are widely applied by many multinational corporations as an outline for change process. Kotter's theory is just an outline which helps firms to change the strategies and improve the performance of their process over the course of difficulties. The change management strategies which were applied by BA brought a conflict; which led outright to reducing the number of cabin crews on long-haul flights and making a change in payment in October 2009. The conflict lasted nearly two years from the end of 2009 to 2011 and it obviously affected the revenue of the BA, the customers, the suppliers, the brand image and the employee relations.

2.1 Establish a sense of urgency:

Kotter deems that the managers and the employees should have a sense of urgency that there is something wrong with the organization and that if they don't take any actions and changes to correct it, they will be bound to fail with no resistance at all against the rapid changes. Therefore, the companies need to have a vivid understanding of the current situation first, and then motivate the employees and get the support from stakeholders by communicating with them well and get them involved in the process.  When the BA was facing the financial threats and strong competition in the end of 2009, conscious as the BA was of the potential threats, they didn't pass the difficulties on to their members. They just tried to fix them secretly, without so much as letting everyone become involved in that problem-tackling. That was the biggest mistake that the BA had committed during the change process.

2.2 Creating the guiding coalition:

The guiding coalition refers to a group of people with the power, energy and influence to support a collaborative change effort. According to the top-down style of BA management the top, even if it got ready to change, couldn't make the crew members of good authority and influence throughout the organization participate  and collaborate hand in hand in concert in the process.

2.3. Developing a vision and strategy: A vision is about explaining to the employees about what the organization is trying to achieve and where the organization is going. If the employees do not understand the vision, they will have low morale in performing their jobs and working hard cannot be at all what it is that motivates them. Regarding the BA, it had successfully made the employees know about the cost reduction plan, but it failed to balance the objective of the crews with the vision of the company.

2.4. Communicating the change vision:

After expressing the vision to the employees, the managers need to link the employees well in the course of attempting to get the vision. So as for the employees to know well about the vision, they will be motivated in the participation of the process. Moreover, the managers should keep eyes on the plan, irrespective of whether it is effective or not. Therefore, a strong and frequent contact should be kept between the managers and the employees. The BA implemented  the cost reduction plan that focused mainly on the growing profitable revenue without considering the potential voices of the other members.

Finally, all the problems in the management of the BA were solved when the BA turned to recognizing the crews and negotiating them with a new deal.

2.5. Empowering broad-based action:

Once managers have given the employees the reason for change and have designed a strategy to implement, the former have to check the obstacles and barriers that will make the plan put off in achieving the goal. First and foremost, the BA assumed that the strike took place in the form of barriers because of the crew members. Therefore, the BA decided to forfeit its travel perks and docked a fortnight's wages to intimidate and put them under control on 29 March, 2010. Union raised the fund up to 7,000,000 pounds to support the crews for further industrial actions. Nonetheless, the solution that the BA thought would help them to remove the threats made the situation got worse than before.

2.6. Generating short-term win:

At this stage, people tend to work hard towards the vision, because of being curious about their achievement. So as to improve the level of productivity, managers should make short-term goals first and then correlate them with the achieved result. But, vis-a-vis BA, the situation was arduous and sudden. This resulted in the BA's incapability of thinking about the rewarding plan to motivate people who could help the BA reach the desired target.

2.7. Consolidating gains and producing more changes :

Kotter (1996) stated that many change programs failed because the victory was declared too early. Actually, real change takes a long time many resources to complete. After getting the short-term wins, companies should analyze what is the stem of the problems and what are necessary to get improved again for the best outcomes in the future. At the same time, the motivation towards the employees and the trust from the stakeholders are also important at this stage. That is why the managers should inform them of the change process. BA management and Unite Union finally agreed on the 'new' pay deal and ended the dispute in May, 2011. However, the BA did not hold celebration for it because it still faced several challenges and difficulties when implementing it. 2.8. Anchoring new approaches in the culture:

Ultimately, it is important to ensure that both the existing and new staff continue to support the change. Besides,  in order that the very change could be conspicuously seen in every aspect of the organization, as an impetus, the staff were told about the success stories in the change process. The impetus led to the staff's participative position.  Thus, the tension between the BA and the crews eventually was totally solved since Keith Williams took over the CEO post. People thought that he was different from Willie Walsh, and they had confidence with him and the new pay deal (BBC News,2011).

3.0 Change Readiness: Change readiness means the measurement of workforce for the purpose of getting set for the change. Balogun J. and Hailey V.H. (2008) concluded that change readiness has two levels. the first level is the extent of staff's awareness of change needs; the second, personal commitment towards changing individual skills, attitudes, behaviors or work practices. The level of awareness is low in the BA's change procedure; which means that only the top managers had realized change, but they didn't communicate well with the crews and, what is worse is that the top managers did not so much as give the crews time to build resistance over the change. As a result, the crews became very discontented and dejected with the cost reduction plan, misunderstood it, turned out low in morale, and went on strike.

4.0.Resistance to Change and Strategies

All change initiatives should be treated as projects, since they are limited by budgets and deadlines (Cabanis-Brewin, 2011). There are three stages of resistance: effective resistance, which means how the staff have a negative impact on change; behavioral resistance, which involves the intention to act in response to change; cognitive resistance, which indicates what people think about the change. Common factors, which influence change resistance include lack of trust, economic threats, beliefs that change is not feasible or unnecessary, resentment of interference, fear of personal failure, loss of power and status, threats to values and ideals, and relative high cost (Long & Spurlock, 2008). The employees were ambivalent about the change because the change plan brought a negative sense to them. The cabin crews resisted the plan by taking a strike, because the change plan that BA imposed made them lose their jobs and salaries. The problem stopped when BA management successfully negotiated with the crews by raising the salary rate for them.

5.0 Stakeholder Analysis

The analysis of stakeholders provides the necessary data about the group of people which has an enormous impact on the operations of the business and would help support  the success of the company. It also is helpful in drawing a business plan and strategy of the firm. Before making the decision on what to do, the manager should carefully choose right people to do the right thing, because once there had an action, it would have a great influence on a larger group of people. This means that the BA should keep a close relationship with their stakeholders to get to know their demands and expectations. Before the company makes any decision, they should consider and think about the stakeholders who will be impacted by the change project. The important key of stakeholders of the BA includes Governors, Local board members, Mayors, Media, Community activist, Funders, Community leaders, Competitors, Shareholders, tourists and so on. For example, the profit and sales revenue of the BA depends on the customers and therefore it has a great impact on the survival of the firm. Likewise, BA has to conduct its business under the term and conditions which was provided by the government. BA also has to take care of shareholders, as it has the right to choose board members and approve of the decisions that was imposed by the top. Therefore, the management has to keep eyes on the stakeholders from every perspective to make them informed and satisfied. The management of British Airways should consider the effects of the various stakeholders on performance, during the strategic planning process (Kipley & Lewis, 2008). Failure to recognise and respond to major stakeholders adequately can impede a firm’s operations (Stoltzfus, Stohl & Seibold, 2011).

6.0 Change Leadership

There was a threat in the internal organization of BA, because Willie Walsh implemented bureaucratic and centralized systems to control the entire organization. People who related to BA have to follow Walsh’s decisions as he didn’t use to spend time and build a close relationship with the employees. Actually, there should have been an open communication and working closely together to reach the mission. As a leader, he should have motivated the employees, made them know clearly about the mission statement, discussed and taken advantage of good practices from the past. But he didn’t change his leadership style to fit with the situation. Colleagues thought it was difficult to approach him and take part in decision-making with him (Walsh, 2009).

7.0 Managerial Challenges and its difficulties

BA had quite a few challenges in the change process as it had not planned enough and  it was overwhelmed by the external forces such as the threat of financial crisis, tough competition, rising in the operation cost and so on. When the dreadful situation got it engaged in the cost reduction plan, it did not

effectively communicate with the stakeholders and made it aware of the company’s limitations and responsibilities. As a result  the BA was strongly defended against by the crews. Once the crews went on strike, the BA tried to stop them by withdrawing travel perks. In spite of solving the problem, it made the BA lose more in terms of revenue and reputation.  Actually, the Company representatives must learn, listen to affected stakeholders, seek advice from experts, and contribute towards solving the problem (Roloff, 2008). Therefore BA failed although it attempted to deal with all arisen problems. Moreover, Brand image and corporate identity are inter-connected and belong to all the stakeholders (Balmer, Stuart, & Greyser, 2009).  BA must be careful of every stage of their actions to protect the brand image,  keep in good relationship with the public. When dealing with disputes, the management should focus on effective solutions to the issues, and avoid victimizing the stakeholders or the unions (Milmo, 2010). The Strikes and the removing of the long haul service ruin the reputation of the BA, as it broke the trust of the public.  Overall, the way it operated their cost reduction plan is not a way of creating an opportunity to cope with the problem but passive adaption towards the plan.

8.0 The public perspective on BA

When the oil prices increased, BA increased the thicket prices and cut the flying schedule in order to save more cost and be more profitable. During this period, as the income level of the people dropped, most couldn’t afford to fly with BA and shift to another low cost airlines. Moreover, BA removed the customer service in long haul service. This resulted in the dissatisfaction of customers and non-fulfillment in  the customer expectations and reduced the customer trust and willingness . Another point is that, when BA implemented the retrenchment plan and broke the labor laws, the unemployment rate was upping  and this led to conflict with, and negative perspective on, government and worker union.  But when BA struggled for its survival with such problems in its organization, it signified the opportunities for the competitors to compete with BA and acquire the market share of BA. As the situation was becoming worse, the share of BA was dropped and it affected the dividends of shareholders;  which means that the shareholders achieved the dividends less than before. Therefore, before BA decided to do any actions, they should take account of their stakeholders first and be more concerned about them. By doing so, it could be beneficial to all the members.

9.0 Recommendation:

The core issue that BA faced during 2009 to 2011 is because of the downturn in the economy and the tight competitions from the budget airlines, the unstable political issues and the changing in the customer behavior. At first when BA was suddenly shocked by the threats, they simply thought cutting cost would lift the profit up. In fact, to be competitive in the airline market, BA should expand its market by acquisition or get alliance with other airlines. If BA had expanded its network, then it would have got great financial convenience to cover all the operation costs and reduce losses. To get a positive response and reduce change resistance, British Airways should motivate and get the stakeholders involved in the change process. Therefore, BA needs to make the communication within the organization more effective by making the employee understanding and support the mission and value of the company; the management has to keep the close relationship with the stakeholder whatever they are going to do. Furthermore, the management team have to monitor and evaluate the changing process and upgrade it whenever it need to change to be competitive in the future.

10.0 Conclusion:

The most terrible problem that BA faced is because of the fact that management failed to communicate well with their stakeholders and work closely with them to achieve the desired goal.  According to its top-down structure, in spite of listening carefully to the employees' voice, they never think about them. But all the problems were solved, when BA made an effort to change their structure by offering the employees a new deal. Furthermore, BA recovered from this financial crisis strongly when they had successfully merged with Iberia airline by extending their networks and improving their customer service.

11.0 Reference:Balogun J. and Hailey V. H. (2008) Exploring Strategic Change. 3rd ed.

Balmer, J. T., Stuart, H., & Greyser, S. A. (2009). Aligning Identity and Strategy: CORPORATE BRANDING AT BRITISH AIRWAYS IN THE LATE 20TH CENTURY. California Management Review, 51(3), 6-23.

BBC News Business. 2009. [online]. [Accessed 23 August 2012]. Available from World Wide Web: < HYPERLINK "http://news.bbc.co.uk/2/hi/business/8174009.stm" http://news.bbc.co.uk/2/hi/business/8174009.stm >

BBC News Business. 2011. [online]. [Accessed 23 August 2012]. Available from World Wide Web: < HYPERLINK "http://www.bbc.co.uk/news/business-13370204" http://www.bbc.co.uk/news/business-13370204 >

Cabanis-Brewin, J. (2011). IN PRACTICE: MANAGE PEOPLE FIRST TO KEEP PROJECTS ON TRACK. Chief Learning Officer, 10(11), 40.

John P. Kotter (1996). Leading Change. Boston: Harvard Business School Press

Kipley, D., & Lewis, A. O. (2008). Examining the Efficacy of the Multi-Rater Analysis Methodology as an Alternative Approach in Determining Stakeholder Power,Influence and Resistance. Business Renaissance Quarterly, 3(4), 101-12.

Long, S., & Spurlock, D. G. (2008). Motivation and Stakeholder Acceptance in Technology- driven Change Management: Implications for the Engineering Manager. Engineering Management Journal, 20(2), 30-36.

Milmo, D. (2009, November 6). British Airways makes record loss of £292m | Business | guardian.co.uk. Retrieved April 7, 2013, from http://www.guardian.co.uk/business/2009/nov/06/british-airways-record-loss.

Roloff, J. (2008). Learning from Multi-Stakeholder Networks: Issue-Focussed Stakeholder Management. Journal Of Business Ethics, 82(1), 233-250. doi:10.1007/s10551-007-9573- 3

Stoltzfus, K., Stohl, C. & Seibold, D.R. (2011). Managing organizational change: paradoxical problems, solutions, and consequences. Journal of organizational change management. Volume 24 (3)

Walsh, W. (2009, December 14). I can't let this union drag us to destruction, says BA boss Willie Walsh | Mail Online. Retrieved April 7, 2013.

Part 3: Seminar based portfolio evidence

Portfolio 1

I am in the position to discuss about the model of changing process that I have done to improve myself. As Aristotle said: “We are what we repeatedly do. Excellence then, is not an act, but a habit.”, but

for me I never dare to take a risk, try something new because I am in negative thinking that I would fail to do if I do it. It was when first leaving my home country to another country, Singapore for studying, although I know it could have a big different with my country and then I have put it in my mind that I must be strong and more independent. However, I never think that it would be a very big different from my mother country, self service in restaurant, different people speak in different language, different culture, simple ethnic, and these all things make me in fear. When I first came to school, I actually hope there will be a student that came from the same country with me but no one. Although everyone in the class was happy and relaxed, I stayed in quiet with sadness and got no friend because I have no confidence to talk with other and I think it is a shame to talk with others with my bad English. In the class, not only the unfamiliar teaching and learning method but also the strange social environment make me down. When the third week of Monday start again, a student came and asked me: “ Why do u always be alone and not making friend with other?”, I am just look at her with fear and no answer, then she whispered me, “ It is ok, don’t be anxious just speak out, if u don’t try to speak it, how could u know what is wrong?”. Actually it true that in the ordinary days people face with problem, trouble, difficulty and challenge, we just need to find way and solve it not escape it like Barack Obama said “ Change will not come if we wait for some other person, or if we wait for some other time. We are the one we’ve been waiting for. We are the change that we seek”. That’s why I changed myself to be more confidence, and try to communicate with them with my language, finally although my English improves only a little, the surprising things is I have got a lot of friends and become happier than before. Despite of cowardice and avoiding the problem to solve, we should be take a venture and try to know that whether it is an ocean or a sea suggest by C.JoyBell C as “ The only way that we can live, is if we grow. The only way that we can grow is if we change. The only way that we can live is if we learn. The only way we can learn is if we are exposed. And the only way that we become exposed is if we throw ourselves out into the open. Do it. Throw yourself”. Although it is not a big thing, I got a great changes in my behavior, so do in my emotion. Indeed to improve in our single moment is to change and to be perfect is to change often. In addition, it would be never too late to take action for what is worth to us, whoever we want to, we can choose to change or stay at the same, we can also make the best or the worst of it, and all of our single movement will mark our shape.

Portfolio 2:

Last week I lost my phone at somewhere and this week I am getting a new one. Although I am delight with its new features, on the other hand, I am not totally happy to get a new one. Sometimes we are better at handling changes than others, but none of us really likes it. However, for a business to survive and remain competitive in the fast growing changes World, the change management is an essential toolkit for the company. Change Management is the application of appropriate planning, tools, and processes to effectively implement change and ensure its successful adoption in the changing people and the way they behave which requires more than a plan and some changes to organizational structure and system. There are some driving forces that lead the organization change which is a requirement in business, to get a competitive advantages and to get more profit or market share, etc. If Apple was satisfied with the Mac and made no changes in their technology, then the iPad would not have appeared in the market. Sine change is happen all the time and there are two option that is we will manage change in our own or let change happen on its own and try to adapt. To be successful in change management, the agent needs to develop their analytical judgmental and implementation skills to be able to know in deep about organization, to understand the nature and motivation of the workers. Therefore, the agent might examine both the internal and the external of the organization to understand the current state of the organization and what actually has to change and the nature of the future state. For example, in 1993 when Lou Gerstner became CEO of IBM, he had to do some job to rescue IBM from its malaise. He had drawn a new strategy of customer orientation and expanding into services whilst attempting to fix, close or sell product lines. Today IBM is a provider of integrated hardware, networking and software solutions and no longer a mainframe maker1. In the dynamic global world, no organization can stand still without an on going changes process.

REFERENCE1. See Applegate, L., Austin, R. and Collins, E. (2006) ‘IBM’s decade of transformation (A); the

turnaround’, Harvard Business School Case, 9.895.130. Also Hemp, P. and Stewart, T.A. (2004) ‘Leading change when business is good,’ Harvard Business Review, (Dec),pp. 60-70.

Portfolio 3

When the price of the sky-high home in the United States turned towards downturn, it shocked the financial conditions of the world and adversely affected most of the firms. During the  financial crisis, there was the price of oil risen; which led to the decision of the BA management to cut the number of cabin crews from 15 to 14 on long haul flights and freeze the payment for 2 years to be competitive in the market places as well as to retain the profit. The cabin crew announced to strike for 12 days over the course of Christmas, on 14 December 2009, because cutting the number of staff brought more work to do, making the staff depressed and reduced in morale. If the strike  came into reality, then it would affect millions of passengers and the BA itself. That’s why BA tried to prevent the strike from coming up by bringing the issue to the court. Unfortunately, the strike came up and resulted in the very attenuation in the income level of the BA and  the high cost incurred at the same time as expense was high. To overcome all these problems BA reduced the service in long haul and placed them as the same level as short haul service. In April, 2010, the BA merged with the Spanish flight carrier Iberia and thus the BA got a chance to conduct its business in Latin America, too. The combination of these two organizations saved nearly 230 million in annual cost-saving for the BA. On the other hand, as the result of the discontent of the BA image on the public, the BA had to make a peace offer to the cabin crew who went on strike. Although the offer was rejected by the cabin crew, it could, at least, attempt to postpone the strike from the peak travelling days in August to the less or least travelling days in September. Additionally, when the fuel price rose again by early 2011, the BA solved such this problem by cutting the flying schedule and increasing the ticket price. After that, the BA brought the conflict to an end by making a new deal and new work arrangement for the cabin crew. In brief, in the times of the global financial crises, all the business affairs fluctuated all over the world. In such situations, the BA could not know in advance what difficulties and barriers it might undergo. Accordingly, the BA had just to manage to adapt to these changes in order to be able to survive.

Portfolio 4: Presentation

1.0Chorological problem that effect to Public: 06/12/2009-reduce cabin crew number and freeze the employees salary for two years22/02/2010- Ba cabin crew vote to strike again after the high court rules strike was deniedThe British Airways cabin crew has said its members will go on strike for three days from 20nd

March to 22ndThe strike has postpone it again from 27th

2.0 How they approach and solve the problem Willie Walsh offer a new condition but the Len McCluskey denied that the offer was ever

conditional

The flight has been officially cancelled and the passengers whose flights are cancelled should get refund or be able to rearrange their BA flight date However, that won’t compensate for the time and money lost on hotel bookings or tour dates

BA move more than 60% of passengers to other airlines with no-frill flight attendants.BA removed striking cabin crew of their discounted travel perks.

3.0 The nature of ChangeCost reductionRetrenchment plan

Freeze pay rise4.0 Management Strategy

Establish a clear visionMonitoring and evaluating

5.0 Theoretical content of BAChange leadership : Situational LeadershipChange Readiness: Low awareness and low commitmentResistance to change and Strategies: A negative attitude to change

6.0 Factors that affect the market share of BAFinancial crisisTough CompetitionManagement issue

7.0 Important of StakeholderA person or organization with a legitimate interest in a given situation, action or enterprisePrimary stakeholder (victims, policy makere)Secondary stakeholders ( Citizens, social workers, employers) Key stakeholders ( Governors, Mayors, Local board members, Media, community leaders, Funders, Community activist )

8.0 Stakeholder’s PerspectivesCustomers: no reliable, no safety, low equalitySuppliers: doubts on payableGovernment: unemployment rates increaseActivists: unethical condition Workers Union: negative perspective, BA breaks the labor lawsCompetitors: opportunities for them

9.0 Challenges and Difficulties Public facedPassengers couldn’t travel as planned and meet friends and families during the Easter in this eventCustomers faced the threat of cancellation of flights20,000 passengers affected as hundreds of flights were cancel in march ( Ray. 2010)

10.0 Challenges and Difficulties Public FacedBBC (2010) said BA victory was an affront to justice and BA won this injunction on a technicallyThe changes BA made were unethical actions such as withdrawing travel perks and collecting secret materials on the strikersLen Mc cluskey, the fresh union leader (2010) said don’t blame BA’s cabin crew, it was the fault BA’s management who pulled the deal off the table.

11.0 RecommendationFor BA:

Any resistance of change might lead to a grater consequence; insolvency Communication between mangers and workers Provide sufficient information about the change and limitationsFor Passengers BA passengers have the right to ask for their delayed/ cancelled flights compensation