Business Analysis of the International Airline Group Company

Question: Write about theBusiness Analysis of the International Airline Group Company. Answer: Introduction This report has shown how business organization by using innovative and creative technologies in business increases the overall competitive advantage in organization. In this report, the international airline group company has been taken into consideration to showcase how company by using innovative technologies and information communication system create core competency in their value chain activities. Present description of company. The international Airlines Group is a Spanish multinational airlines holding company and having headquartered in London. It is evaluated that currently stock price of company is IAG(LON)634.71 GBX-35.29 (-5.27%) that is 22% higher than its last five years data. Company has earned total revenue of EUR 22.5 billion and had profit of 1,952 million in 2016 which reflects very high improvement in its business functioning. There are total 63,387 who are providing services to organization (The international airline company, 2016). Overview of the international Airlines Group business It is evaluated that company has been providing airlines services on domestic and international level. It is considered that company has been creating core competency in its value chain activities by adopting cyber computing enterprises resources planning. It is evaluated that company has established effective information communication technologies in its value chain activities which assists in taking orders and delivery of goods and services to its clients with less time and low cost (Chua, 2015). Competitive environment of the international Airlines Group business The international Airlines Group business has tough competition with other rivals such as Qatar, Jet airways, Easy go and other international airline organizations. Qatar airline has covered 24% airlines market share and 10% is covered by Easy go company and rest of the market is covered by other airlines companies on domestic and international level. Qatar airline has created core competency in providing product differentiation strategy. It has been giving high class services to all of its clients at very affordable price as compared to other rivals in market in its international flight business or airline services. If company wants to increase the overall marke share then it has to create core competency in information technologies and communmciation system (Wan, et al. 2016). Assessment of it IS maturity and discussion of emerging ICT Information system program is the essential required term for the success of business. With the ramified economic changes and complex business structure each and every organization needs to adopt information system or cyber computing enterprises resources planning. The main competitive advantage of the international Airlines Group in its international market is related to how it has created web network with the help of its cyber computing enterprises resources planning (Tenhil Helki, 2015). This level of ITC has helped company to take its all the business functioning online such as booking flights, creating stakeholders and clients grievances portal, creating new pages and advertisement of its new activities for promoting its new offers and services. This international Airlines Group business has adopted cyber computing enterprises resources planning in its business to business and business to clients functioning. It has shown how company has managed its airline business throughout the time. It is considered that international Airlines Group business after adopting cyber computing enterprises resources planning has reduced its cost of its services by 18% and also offered all of its services makeable at very cheap rate to its clients. Therefore, by using this level of adopted cyber computing enterprises resources planning or information communication technologies in its business functioning, the international airline company has created core competency in cost leadership strategy. It has shown that company has not only reduced the time involved in its value chain activities but also reduce the cost associated with its services program (Nwankpa, 2015). Potential opportunity for the international Airlines Group business The main potential opportunity for the international Airlines Group business is to cover all the domestic and international market around the globe. It has shown that if company could adopt cyber computing enterprises resources planning or information system then it could take its business offers to online program which will attract high number of clients in market and will increase the overall turnover of company by at least 20%. However, in the initial time period it will increase the overall cost of the production or services of company but gradually it will decrease the time and cost engaged in business process. In this fast moving world, the international Airlines Group business needs to adopt advanced cyber computing enterprises resources planning to increase the clients satisfaction on domestic and international level (Kilic, Zaim Delen, 2015). Methods to overcome resistance to change It is considered that if the international Airlines Group business is going to adopt advanced cyber computing enterprises resources planning in its value chain activities then it will increase the employee turnover of company. There are several methods to reduce the resistance of employees for adopting information communication system in companys business (Fleck, Kraemer, 2014). Leadership program- It is observed that to run the business effectively employees must be accustomed to act as per the directions and instructions of leader in organization. If proper leadership program is adopted in the international Airlines Group business then company could easily pursues its employees to adopt new technologies in its business. Governance structure- It is the foremost valuable program to reduce the resistance to change. Board of directors of company could covey the necessity of changes in its to their employees for the betterment of organization (Burke, 2017). Training and development program- It is observed that if company could implement proper training for its employees so that they could adopt new technologies in their existing working program then it will surely increase the overall productivity of organization (Barla, 2013). Conclusion It is evaluated that the innovative technologies and information communication system in business helps in creating effective core competency in business. It is evaluated that if the international airlines company wants to overcome all the problems of changes then it should adopt proper training and development program. References Barla, P. (2013). Market share instability in the US airline industry.Journal of Applied Business Research (JABR),15(4), 67-80. Burke, W.W., (2017).Organization change: Theory and practice. Sage Publications. Chua, J. R. (2015).Market Competition, Price Dispersion and Price Discrimination in the US Airlines Industry(Doctoral dissertation). Fleck, S.J. Kraemer, W., (2014)Designing Resistance Training Programs, 4E. Human Kinetics. Kilic, H.S., Zaim, S. Delen, D., (2015). Selecting The Best ERP system for SMEs using a combination of ANP and PROMETHEE methods.Expert Systems with Applications,42(5), pp.2343-2352. Nwankpa, J. K. (2015). 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