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Title: co - alignment model


1
British airways global premium airline
Prepared By kunal solanki
2
subject matter
  • Brief about assignment
  • Introduction about British airways
  • The organization.
  • Product range of British airways
  • Main competitors
  • Values and measure of British airways
  • Objective of British airways
  • Environment scanning
  • British airways strategic choice
  • Performance and Long-term Goals
  • Conclusion
  • References

3
Assignment brief
  • This assignment has prepared for extensive
    strategic understanding of co-alignment model ,
    SWOT and its application with different product
    and services offered by British airways.

4
Introduction british airways
  • Full service global airline , offering year round
    low fares
  • Flag carrier of United Kingdom.
  • Founded in 1924 as Imperial airways and operated
    under that name until 1935.
  • 1939, the airline was nationalized to form the
    british overseas airways corporation (BOAC).
  • In 1972 BOAC and BEA were combined under British
    Airways board.
  • Fleet size 274
  • Subsidiaries 4
  • Destination -169 Global excluding local in U.K
  • Company slogan - To Fly. To Serve.

5
THE ORGANIZATION
6
product and services
  • Short-haul UK Domestic is British
    Airways' economic class
  • Business UK  operates the same cabin as UK
    Domestic.
  • Euro Traveler is British Airways' economy class
    from UK to Europe.
  • Club Europe is the short-haul business class
  • Mid-haul 'Club World' business class.
  • Long-haul premium with different facility in
    aircraft.
  • Club World easy with cabin features fully flat
    beds.
  • Next Generation New Club World, featuring larger
    seats.
  • World Traveler is the long-haul economy class
    offered on international flights to destinations
    outside Europe.
  • World Traveler Plus is the premium economy
     offering provided on all long-haul aircraft.

7
competitors
  • British Airways has a lot of competitors but the
    competitors also depend on what route is being
    flown. A popular route flown is London Heathrow
    to New York JFK. Many airlines fly that route
    including following
  • Main international competitor.
  • Virgin Atlantic,
  • American Airlines
  • Delta Airlines.
  • On the long-haul route to individual countries -
    The national carrier of that country.
  • On ultra-short haul and short-haul routes -
    EasyJet and Ryan Air. 
  • On some long-haul routes - Virgin Atlantic.

8
Swot analysis
  • Strength
  • Strong brand image
  • Open sky agreement
  • International operation
  • Sole access to Heathrow terminal 5.
  • Skilled staffs
  • Expansion of aircraft fleet
  • Economies of scale by using
  • Spare space of aircraft for cargo services
  • official airline for 2012 Olympic and Paralympics.
  • Weakness
  • Cost of management
  • Decline profitability
  • 358 M loss after tax in 2009
  • 425 M loss after tax in 2010.
  • Labor strike
  • Powerful employee union
  • Christmas strike in 2009

9
  • Opportunities
  • Emergence of new market
  • Asia pacific
  • Threats
  • Raising fuel prices
  • Tight competition from low cost airline
  • Changes in consumer behavior
  • Unstable political issues and global economic
    crisis.

10
Environmental scanning
  • Consumer choice and switching cost is very
    identical
  • Expectation from british airways - High quality
    service
  • Environmental effect , Global warming and waste
    management.
  • Buyer s purchasing power and expectation.
  • Fuel price hike and change in economy in U.K.
  • Industry competition and change.
  • Customer demand more than basic product.
  • Customer enjoying enhanced product.

11
Firm s structure
  • Reduce climate change emission in aviation with
    cap on net emission by 2020 and 50 cut by 2050
    ,it will guarantee the environmental target are
    met minimize cost to passenger
  • Huge Investment in product ,Aircraft, technology
    and service by 2020.
  • Market penetration and maintain pricing policy
  • Targeting Long haul aviation market in different
    country like UAE .
  • Reducing carbon emission, waste , noise and
    improve in local air quality.
  • Support international communities, conversation
    projects and charities in country we fly to .
  • Encourage our customer and supplier to act
    responsibly.
  • Provide and great place to work and encourage
    every one to embrace one destination.
  • Listen to customer feedback and giving quality
    service to customer at every touch.
  • Open skies alliance
  • Partner with UNICEF promote change for good
  • Investing in short haul market to attract and
    gain new customers by 2020.

12
Long-term goal.
  • Deliver outstanding services to customers and
    build relationship with them.
  • Grow our presence in global cities by 2025.
  • Build our leading position in Landon.
  • Meet our customer s needs and improve margin
    through new revenue streams.
  • Using modern technology , self service check in
    ,e.g. IBM s KIOSK By 2025.
  • Launching most advance freight processing
    facility service.
  • Setting the priority and be more sensitive for
    human aspect and job cuts.
  • By end of 2014 british airways will be reducing
    10 of its waste on future flights.

13
Performance.
  • By the end of 2013 BA would be competitor in the
    long haul market from London to U.S.A.
    specifically business class.
  • Successfully manage and pleased the economy class
    and customers with outstanding customer service
    and win global award for its service in 2012.
  • Reduced the carbon other waste by 6 in 2012
    and planning to increase this percentage.
  • Manage staff and human resources that was
    problematic earlier due to crisis with union and
    management ,seriously thinking about job cuts.
  • Increase number of seats for short haul and long
    haul travel from different rage of product offer
    to different customers.

14
Conclusion
  • After searching detail information about british
    airways we can conclude that british airways
    objective is to being global premium airline with
    approving ethical practices and creating positive
    image in society by minimizing environmental
    effect. Moreover BA focus on customer service and
    satisfaction by creating valuable traveling
    experience.

15
references
  • (Britishairways.com, 2014)Bibliography Britishair
    ways.com. 2014. British Airways Book Worldwide
    Flights Holidays. online Available at
    http//www.britishairways.com Accessed 3 Mar
    2014.
  • British Airways in 2013 Investing In Products,
    Aircraft and TechnologyIn-text (modernghana.com,
    2014)Bibliography modernghana.com. 2014. British
    Airways in 2013 Investing In Products, Aircraft
    and Technology. online Available at
    http//www.modernghana.com/news/449022/1/british-a
    irways-in-2013-investing-in-products-airc.html
    Accessed 3 Mar 2014.
  • British AirwaysIn-text (Wikipedia,
    2014)Bibliography Wikipedia. 2014. British
    Airways. online Available at
    http//en.wikipedia.org/wiki/British_Airwayscite_
    ref-14 Accessed 3 Mar 2014.
  • Scribd.com.Market mix of British
    AirwaysIn-text (Scribd.com, 2014)Bibliography Sc
    ribd.com. 2014. Market mix of British Airways.
    online Available at http//www.scribd.com/doc/5
    0773223/Market-mix-of-British-Airways Accessed
    3 Mar 2014.

16
  • Wall, Robert. "British Airways to Fly First A380s
    to Los Angeles, Hong Kong". Bloomberg. Retrieved
    2 March 2014.
  • "United Kingdom Civil Aircraft Register". United
    Kingdom Civil Aviation Authority. 8 January 2014.
    Retrieved 2 March 2014.
  • "British Airways Fleet Facts". British Airways.
    Retrieved 13 October 2013.
  • Airbus (September 2013). "Airbus - Orders and
    Deleveries Sept 2013". Toulouse Airbus.
    Retrieved 2 March 2014.
  • Rohit T.K. (17 January 2014). "Atlas Air loses
    contract with British Airways, shares dive".
    Reuters. Retrieved 2 March 2014.
  • "IAG Cargo signs freight deal with Qatar
    Airways". IAG Cargo. 17 January 2014. Retrieved 2
    March 2014.
  • "BA Cargo Vickers 963C". Airliners.net. 9 October
    2011. Retrieved 2 March 2014.
  • "BA Cargo 707-330C". Airliners.net. 6 May 1980.
    Retrieved 2 March 2014.
  • Howard Mustoe, Steve Rothwell. "British Airways
    Picks Troubled Rolls Engine for A380s".
    Bloomberg. Retrieved 2 March 2014..
  • "BA opts for A380 and Dreamliner". BBC News. 27
    September 2007. Retrieved 2 March 2014.

17
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