Singapore Airlines Case Study on Change

Topics: Airline, Management, Singapore Airlines Pages: 13 (4315 words) Published: December 28, 2010
            Singapore Airlines (SIA) is one of the world’s leading players of the international airline industry. The Singapore Girl carrier, it is a prominent brand in providing high quality service standards to its customer. The current pressures of the contemporary business setting necessitate change on its managerial strategies. There are problems and issues in its operations like serving customers with high expectations and competitive pressures including technology innovations, travel cost, and labor issues. This case study looks on the ability of the Airlines to cope up with change. It also looks on the opportunities and challenges of change affecting the whole business functions. By providing case-based examples, the issue of corporate costs, security, and service are evaluated. Despite the outstanding performance of the Airline, it was recommended that innovations should be deliberate and continuous. Moreover, labor trends, changes and issues must be addressed immediately. Also, SIA should keep up on their research and development (R&D) initiatives as it is an important way of determining future forces that will directly or indirectly affect the overall business environment. There should be optimization in marketing strategy. Lastly, SIA must reach out to a broader target market and must project an image of good corporate governance practice and social responsibility. In sum, change is inevitable yet SIA will always be well-equipped with the needed characteristics to sustain its advantageous position and expand high quality standard management. INTRODUCTION

Organizations today operate in an environment characterized by hypercompetition (D’ Aveni, 1995). While organizations strive to survive the challenges of the niche market they operate, different environmental factors came into surface and have changed the way organizations perform their tasks. The airline industry all over the world is now living in an interesting era.  More and more people have been using the services of the industry for every purpose they want and for their travel satisfaction. The process of change from the old economy to the new global economy has brought a tremendous changes and developments to aviation, aerospace and airport industries. Part of the changes brought by the competition of these industries globally is the new economics, new market structure, new marketing strategy as well as the new structures of each and every industry within this field.  Nowadays, people are more willing to use these aerospace, aviation and airport industries especially those individuals who wanted their travel to be convenient and satisfying, which makes all such industries to be in demand. Further, the emergence of the new markets and their demands has made the aviation, aerospace and airport industries to use the management and marketing strategies in order to survive with the stiff competition in the niche market. Thus, most of these industries are being careful on how to utilize its management and marketing strategy to achieve their individual objectives.  Considering the current state of affairs of the global marketplace, several market players are there in advantageous position while others are struggling to cope up against business challenges including competition and forces of globalization. In this dynamic global economy, the list of companies resorting to organizational change is endless. Organizational change is a normal business response as part of and a result of struggles between contradictory forces and change management practice is related with endeavoring to manage competing demands within the business niche. Singapore Airlines (SIA)[1] is among the surviving companies that surpasses the challenges of a very unstable industry. One of the strongest brands in Asia, leaders in service and competitive airline companies in the world, Singapore Airlines consistently maintains its position as supported by its long duration...

Roll, M 2004, “Singapore Airlines flying tiger”, Brand Features – Profile (online accessed 7 February 2008),
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