Airbus case study
Airbus case study
Airbus is the company that deals with the manufacturing of aircrafts in the market. It was formally established in 1970 as a European consortium.
It has a head office in Toulouse; France operates out of over 160 international locations. It include 16 main development and manufacturing sites in France, UK, Germany & Spain and three wholly owned subsidiaries in China, Japan and North America.
The Airbus benefits from a unique workforce that integrates more than 80 nationalities and speaks over 20 different languages.
At the heart of the airbus lies a core of human talent, vision and hard work the keeps them as a leading company in the market.
There are over 55,000 workforces of more than 80 different nationalities working at the Airbus.
Such cultural diversity is the key to Airbus success.
The main problems in the case study is what is the cause of delay in bringing Airbus A380 in market for two years and a loss of euro 2 billion.
The delay was basically due to the cultural differences and technical problems such as wiring problems. An autumn report 2006 highlights an intercultural survey at EADS, which portrays the different perception that each culture at Airbus has for others.
The remarkable thing about these perceptions is that they are highly stereotypes.
Problems Faced by Airbus
Socio-cultural & technical problems.
The workforce at the aircraft manufacturer is geographically distributed in proportion to national ownership stakes. In an instance of economic nationalism, government distort private transactions among economic actors by discriminating against foreigners in the name of national interest. This lead to the decrease in the productive efficiency. It is because of the various differences of management styles and way of communication. For e.g.: comparing with the
French people, the Germans prefer collective decision making, whereas the French prefer