The Value Adding Manager: Remote Environmental Analysis, New Managment

The Value-Adding Manager

1 . Complexity of customer , employee and management relationships demands new leadership paradigm . In At What the Price Value ' Tim Mapes of Song Airways marks that the main key value drivers for airline indstry include the following : focus on the actual customer experience within the airline rather than traditional marketing communications used in the previous years positively differentiated experience in relation to present and potential customers (easy access to low fares for tickets snacks during flights focus on services for customers offered at lower costs , and providing customers ' self-expression

focus on female passengers as those who care the most about the quality of service implementation of strong coordination of employee 's performance by senior-level management providing full cost accounting at all levels to ensure the profitability . Southwest Airlines has used discounted price as added value . They promise customers "we 'll always give you a really great price- you 'll be surprised how great (8 ) The major force driving changes in 5 years will be the discount pricing for customers as the result of the improved leadership paradigm between managers and employees of all levels

2 . Shortage of skilled and entry level employees . According to Michael br

. Zepf in his article Industry Aircraft Workforce , the main key value drivers airline managers have to monitor are : monitoring the level of education and skills of employees currently working for airplane industry making search of suitable candidates for vacant positions who are working in other airline companies attracting business school graduates by decent job suggestions providing training programs for entry-level employees creating opportunities to enter high-level positions for the most skilful employees developing incentives for potential employees with high skills . In Quantifying Employee Contribution Contents ' William F . Mahoney marks that Southwest Airlines ' distinctive people management and service processes achieved productivity of 76 ,000 per employee , compared to American Airlines 62 ,000 and United Airlines 69 ,000 in 2000 (10 . Ratio of employee costs /capital costs for typical company in airline industry is 1 ,8 According to FORTUNE , 2000 , Southwest students consider Southwest airlines a good employer . The academic research firm , Universum placed Southwest in "The 50 Most Desirable MBA Employers " list for the fourth consecutive year (8 . The need in skilled and entry-level workers will be the force driving forces in the industry in 5 years

3 . Training and education are out of step with industry need . According to Kerb Kelleher in A Culture of Committement , it 's very important for airline managers to monitor the following forces : the level of scientific research on the main developments in aircraft industry the quality of skills of the employees working for the company the quality of training programs teaching managers of all levels about finance marketing , strategy ensuring informality and free thinking in the company promoting challenge making investments in employees through their promotion . The major force driving change in the next 5 years is going to be the need of airline industry in highly-skilled employees and aircrafts of the highest quality

4 . New...