Preview

Delta Airlines Plays Catch-Up

Satisfactory Essays
Open Document
Open Document
495 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Delta Airlines Plays Catch-Up
1. What business risks would Delta is taking if it decided not to catch up with industry leaders in using IT to gain a competitive advantage?
Delta would fall behind the industry and its customer expectations. If Delta’s business processes were significantly inefficient and ineffective compared with its competitors, it would lose business. Airline customers are typically operating under time constraints and pressures to catch flights and connections, and they do not want to be inconvenienced by inefficient and ineffective business processes.

2. What competitive advantages can an airline gain by using DSS and EIS?
An airline can use both DSSs and EISs to uncover areas where the company can create competitive advantages and perhaps first-mover advantages such as self-check in and printing boarding passes from home. First-mover advantages can be enormous and place an organization in the position to significantly impact its market share. A fast follower can also increase its market share by tagging onto the first-movers ideas. It also has the advantage of avoiding some of the mistakes or pitfalls that the first-mover might have made. Of course, a fast follower will only obtain a temporary advantage, as many competitors will begin to implement the innovative IT system.

3. What other industries could potentially benefit from the use of yield management systems?
Almost all industries could benefit from the use of a yield management system. Like in health care industry for doctor visits and even the telecommunications industry for shared modem services.

4. How can American and United use customer information to gain a competitive?
Both airlines used their innovative IT systems to gain valuable business intelligence into their customer information. They conceived and rolled out hugely successful frequent flyer programs, which increased the likelihood that frequent business travelers, their most profitable customers, would fly with them

You May Also Find These Documents Helpful

  • Powerful Essays

    Southeastern Jet Airways (SEJA) philosophy and vision is very simple: to be a client-focused company. Armed with this philosophy, the team developed a strategy to guide and take SEJA beyond the next level and well into the future. SEJA’s vision which is to ensure that the organization remains an affordable transportation company, continues to build, remains strong to maintain customer loyalty by providing excellent customer service, and enhances shareholders’ value is a reflection of its mission. Such mission is to provide the highest quality transportation service while committed to excellence, safety, reliability, and efficiency, Intrinsic factors as those described above very seldom change the direction of an organization. However, on the other side of this equation is the basic framework where lies the strategy – the link between the firm (internal) and the industry (external) environment. Key factors that require a change in strategy could be found either in the firm (resources and capabilities, structure and systems changes or fluctuations) or the industry environment (competitors, customers, or suppliers) (Grant, 2013, Chapter 1).…

    • 1650 Words
    • 5 Pages
    Powerful Essays
  • Powerful Essays

    References: (2003). Delta air lines improves customer service during flight delays and cancellations. PR newswire, Retrieved from http://ezproxy.brenau.edu:2048/login?url=http://search.proquest.com/docview/446881416?accountid=9708…

    • 3553 Words
    • 15 Pages
    Powerful Essays
  • Powerful Essays

    This internal business analysis is on Southwest Airlines, which was founded in 1967 by Rollin King and Herb Kelleher. The main focus for Southwest Airlines was to provide low cost flights for their customers, and also have exceptional customer satisfaction. Southwest is a leading airline company that continues to do well in an industry that has been historically challenging. For instance, in the span of two years (2005-2007) five major airlines have filed for bankruptcy. The challenges are great in the airline industry, because competitors are trying to imitate the “low-cost” offering of Southwest. Many companies have tried to do what Southwest has done, and many have failed to stay in business. Surprisingly, many of those companies were started by ex-employees of Southwest. Southwest currently has a profitability record for the past thirty six years, which is spectacular in such a challenging industry. Herb Kelleher has been replaced by Gary C. Kelly, as the president when he resigned in May of 2008. Southwest is in the process of expanding the locations they serve so that they can increase market share, and also find ways to cut costs without losing their quality. In order for southwest to continue their consecutive financial success there is a necessity for excellence in the execution process of their strategy.…

    • 1766 Words
    • 8 Pages
    Powerful Essays
  • Better Essays

    Airline industry is the topic I researched in this analysis. Companies in this industry provide scheduled domestic and international passenger transportation, mail and freight transportation. Major US companies include American Airlines, Delta, Southwest, and United Continental, as well as the air operations of express delivery companies such as FedEx and UPS. The industry key survival factors are efficient operations, reliability of services, and safety. The drivers of change are internet economy, globalization, and low cost competition. Based on the key survival factors and drivers of change,…

    • 835 Words
    • 4 Pages
    Better Essays
  • Powerful Essays

    Delta Airlines

    • 2352 Words
    • 10 Pages

    DeltaExpress’s cost savings such as low labor rates and higher aircraft utilization have not been sustainable. We have to devise a comprehensive strategy to respond to the LCCs ever-increasing market share. We will consider 3 major options of Continuation of Delta express with some modifications, reintegration of DeltaExpress to mainline Delta and launching a new LCC.…

    • 2352 Words
    • 10 Pages
    Powerful Essays
  • Powerful Essays

    Johnson, M. E. (2009, May 08). Enhancing Service at Southwest Airlines. Tuck School of Business at Dartmouth,…

    • 2454 Words
    • 10 Pages
    Powerful Essays
  • Powerful Essays

    This paper will discuss the corporate culture of Delta Air Lines, Inc. The team agreed that assessing Delta's corporate culture would definitely be a learning experience. Delta Air Lines, Inc. provides air transportation for passengers and freight throughout the United States and around the world. As of February 1, 2006, Delta (including its wholly owned subsidiaries, Atlantic Southeast Airlines, Inc. and Comair, Inc.) serves 244 domestic cities in 46 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands as well as 70 international cities in 40 countries. Delta mainline, domestic, and international service, Song, Delta Shuttle, Delta Connection, Delta Sky Team, and Worldwide…

    • 3186 Words
    • 13 Pages
    Powerful Essays
  • Satisfactory Essays

    Weaknesses * Growth into congested markets * Heavy dependence on Boeing * Contractual obligations * AirTran integration * Boeing 717s * Labor relations…

    • 613 Words
    • 3 Pages
    Satisfactory Essays
  • Powerful Essays

    U.S. Airlines face many issues today that ultimately will lower profits. Heightened Security in airports, less people willing to fly and a slumping economy have put the airline industry at a disadvantage.…

    • 1033 Words
    • 5 Pages
    Powerful Essays
  • Good Essays

    Delta's Merger

    • 1100 Words
    • 5 Pages

    These ongoing operational and policy issues are the responsibility of the Board of directors and the CEO. Delta eventually resolved concerns regarding different suppliers of soft drink products by settling on a combination from both major soft drink corporations. Delta needs to review existing policies from both airlines to determine the efficacy and cost-effectiveness of company practices. They are in the unique and fortunate position of having access to all policies in place from a previous competitor, and should use this information to their ultimate advantage, maintaining the most effective practices of each airline while discarding those that are no longer viable. (Wheelen 27-3)…

    • 1100 Words
    • 5 Pages
    Good Essays
  • Satisfactory Essays

    Activity ratio: Delta did well on their days in inventory compare to the other competitors because all four-years has a lower ratio. Having fewer days of inventory is better, it gives the investors an idea how long it takes a company to turn its inventory into sales. Comparing with Delta’s competitors, Southwest and American airlines have higher ratio which means it takes longer for them to turn their inventory into sales. United Airlines comes under Delta of having fewer days of inventory.…

    • 83 Words
    • 1 Page
    Satisfactory Essays
  • Good Essays

    Company: Delta Airline

    • 1591 Words
    • 7 Pages

    Here I did selected Delta Airlines as a company for my research. This company is providing a wide range of the air traffic facilities in different parts of the world. In other words we can say that there are many operational routs of this airline company and all the routes are very much beneficial. Another uniqueness of this company is a verity of airplanes including airbuses and jumbo etc. At this time the company owns more than seven hundred different aeroplanes of different size and capacity. Delta Airline is providing facilities to the people of the world to more from one place to another by air. The services and facilities of the company are very helpful for the passengers and also this company is providing enough revenue for the development of different airports and also in air traffic control system. They are also providing different types of devices and scanners for checking the bags and other luggage of the passengers on the airport.…

    • 1591 Words
    • 7 Pages
    Good Essays
  • Powerful Essays

    The case study, prepared by Arthur A. Thompson, University of Alabama, and John E. Gamble, University of South Alabama, focuses on the rise to business prominence of Southwest Airlines, a regional airline with a low-cost no-frills approach.…

    • 9620 Words
    • 39 Pages
    Powerful Essays
  • Good Essays

    Delta Technology, Inc is a company based out of Atlanta, Georgia which manages all of Delta's Air Line's information technology solutions, development, and support, including the award winning Delta Nervous System. Although the company is owned by Delta Air Lines it has a whole separate top management team. The current CEO is Shirley Bridges; she oversees 2,000 of Delta Technologies employees. Their mission statement ("Delta Technology exists to enable Delta Air Lines to fully achieve its goals by leveraging technology to create a competitive advantage."), suggests necessity to understand today's ever changing technologies requiring Delta Technology, Inc to exist. They are constantly scanning the environment for changes, especially closely monitoring competitors' use of technology. Considering the complexity of the system used to manage ticket sales, reservations, times, dates, prices, and destinations, Delta Technology is continuously going to be looking for ways to make things more efficient. From 1997 to 2002 Delta invested $1.5 billion on technology innovations alone, bringing making them a leader to other air lines. This investment allowed the ability to buy tickets, check arrival times, quote prices, and check in over the internet. These uses of technology have made things quicker for initial booking of fares, but are only the beginning when it comes to the technologies required for the operation of Delta. When passengers rely on the pilots and ground crews for safety it is in Delta's best interest to go further then the competition to offer customers superior technology to make sure nothing goes wrong, and to detect if there could be a possible failure.…

    • 397 Words
    • 2 Pages
    Good Essays
  • Satisfactory Essays

    1. What problems do you think might be associated with bringing customers together in the way that Boeing did?…

    • 278 Words
    • 2 Pages
    Satisfactory Essays