Delta Airlines

Topics: Airline, Delta Air Lines, United Airlines Pages: 12 (6280 words) Published: November 1, 2014

Human Resource Management BADM 537
Delta Case Study: Improving Delta’s Market Share
Samantha Gilbert, Marianna Danna, Tyler HiettFebruary 25, 2014 Table of ContentsPage
Introduction……………………………………………………………………………………3 External Environment…………………………………………………………………………3 Internal Environment………………………………………………………………………….12 Systems and Stakeholder Analysis……………………………………………………………23 Conclusion…………………………………………………………………………………….25 Problem Identification………………………………………………………………………...25 Alternatives…………………………………………………………………………………....26 Recommendation……………………………………………………………………………...28 Decision Implementation……………………………………………………………………...28 References……………………………………………………………………………………..29 Introductions

Delta Air Lines is one of the top five domestic airlines in the United States, and amongst the top 20 in the world today. The key to Delta being so successful today is their focus on human relations (Anthony, Kacmar, & Parrewé, 2010). An agricultural extension agent by the name of C.E. Woolman founded Delta. Mr. Woolman was not a financier, so Delta has not historically relied on financial strategies to create competitive advantage (Anthony, Kacmar, & Parrewé, 2010). Delta has had the fewest number of customer complaints of any major carrier for 20 years straight. This excellent customer service could be partial due to the fact that Delta was strongly committed to its employees. With loyal employees and excellent customer service Delta was able to be very competitive in the airline industry and still is today. One of Delta greatest challenge today is differentiating itself from its competitors while cutting cost, but through their continual strong focus on human relations and superior customer service Delta will continue to be amongst the top in the airline industry. External Environment

General.
Economic factors: Inflation has increased and the world economy has dealt with financial issues. There is a lot of potential growth in the emerging economies. Airlines merging not only affect those involved in the merger, but also the other airlines that stand to lose market share. Socio-culture: Factor varies among societies. The airline industry serves all kinds of customers. There have been issues with obesity and airlines because of having to purchase an additional seat for being larger. Political-Regulatory factors: Airlines have to consider are security issues because of terrorist attacks and deregulation of airlines. Also, there are fuel regulations to consider (Anthony, Kacmar & Perrewe, 2010). Technological factors: Technology has changed the industry drastically. Travel agencies are completely obsolete because of websites like hotwire, Orbitz and Priceline. Airlines have mobile applications for phones and ipads that allow you to check-in and get flight updates. You do not even need a paper-boarding pass; there are electronic boarding passes. Demographic factors: The airline industry serves customers all over the world. Typically serving adults, even though children fly. Shares of the market are customers traveling for business purposes. Industry

Airline Industry. The airline industry is a major economic and social force. The impact air travel has had on related industries, manufacturing, and tourism is on a global scale. Few industries have created the amount of technological advancement or gained such attention from federal governments. The industry has high and low cycles largely dependent on time of year and socioeconomic factors. The industry is fairly concentrated with only a small handful of majors competitors in North America, but each competitor has attached themselves to joint ventures with numerous global corporations, such as Sky Team, which contains Delta Air Lines. Airlines compete on a global scale, offering flights from Washington D.C to South Africa to Tokyo, Japan. Companies that limit themselves to a certain region struggle maintain a large portion of the market share. The airline industry is...

References: “About Delta", (n.d). Retrieved February 17, 2014. From http://www.delta.com/content/www/en_US/about-delta.html
Anthony, W. P., Kacmar K. M., & Perrewe P. L. (2010) Human Resource Management: A Strategic Approach. Ohio: Cengage Learning.
Bloomberg Business Week (2014). Retrieved February 21, 2014. From Bloomberg: http://investing.businessweek.com/research/stocks/financials/ratios.asp?ticker=DALCompany, S.A. (2013). Southwest Airlines. Retrieved February 15, 2014, from Southwest Airlines: http://www.southwest.com/
Corporate Information. (2014). Retrieved February 21, 2014. From Delta Airlines, Inc: http://www.delta.com/about_delta/corporate_information/index.jspDatamonitor. (2010, September 14). Delta Airlines. Retrieved February 14, 2013, from www.datamonitor.com/
Delta. (2014). Retrieved February 21, 2014. From Delta Airlines Inc.: http://www.delta.com
Delta Air Lines, Inc. (n.d).
Reuters. (2014). Retrieve February 21, 2014. From Reuters: http://www.reuters.com/finance/stocks/overview?symbol=DALRITA | BTS | Transtats. (n.d.). Retrieved from http://www.transtats.bts.gov/United Airlines Company Information. (2013). Retrieved February 15, 2014, from United Air Lines, Inc.: http://www.united.com/page/middlepage/0,6998,1276,00.html?jumpLink=%2FaboutunitedYahoo Finance. (2013). Retrieved February 14, 2014, from Yahoo! Inc.: http://finanace.yahoo.com/q/cf?s=DAL+Cash+Flow&annual
Yahoo Finance. (2013). Retrieved February 15, 2014, from Yahoo! Inc.: http://finanace.yahoo.com/q/ks?s=UAL
Yahoo Finance. (2014). Retrieved February 15, 2014, from Yahoo! Inc.: http://finance.yahoo.com/q/ks?s=LUV+Key+Statistics
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