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Singapore Airlines placed its first orders for two Boeing 747-200s in July 1972 even before the airline commenced operations in October 1972. INTRODUCTION. Even so, it has managed to remain quite competitive in the market following its management ability to understand the Asian market in terms of holistic integration of customer quality and incentives. The maiden flight of Malayan Airways Limited (MAL) took off from Kallang Airport in Singapore to Kuala Lumpur, Ipoh and Penang on 1 May 1947. Singapore Airlines (SIA) is the flag carrier airline of Singapore with its hub at Singapore Changi Airport.The airline is notable for using the Singapore Girl as its central figure in corporate branding. Academy of Management Journal, 40 (2), 171–188. The deal, worth USD 13.8 billion, involved the purchase of 39 aircraft from Boeing and is expected to create 70,000 jobs in the US. On 9 August 2015, a Singapore Airlines Airbus A380 in special SG50 livery took part in the aerial fly-past of Singapore’s National Day Parade (NDP), celebrating the nation’s 50th birthday. YOU MIGHT ALSO LIKE. It was the first airlines globally to fly the Airbus A380, one of the world’s most eco-efficient aircraft. It is in this regard that its vision is tied to the citizens of Singapore. The goal is to gain competitive advantage in the marketplace and reap the benefits of “first-mover” advantage. Communication in this airline company is essential for relaying the correct information between employees and the top management. Besides, it also seeks to get a stronger grip of the regional and international market by merging with continental airlines and therefore extending its operations to the lucrative United States market through California’s Los Angeles and San Francisco International Airports (Varey, 2006). 60% of SilkAir’s passengers come from SIA. According to Wirtz and Johnston (2003), assimilated strategies form the core determinant of an organizations ability to address its developmental demands in the market. Its menu includes authentic premium jasmine tea from Fujian, green tea from Japan, and masala from Assam. Well, Singapore Airlines has finally unveiled a new safety video, which is a huge improvement over the old one: ... (I’m using that term ironically) use of pop culture references and internet tropes that are already outdated by the time the video hits the planes. Singapore Airlines has also contributed immensely over the years to the branding of Singapore as a nation. When Singapore Airlines launched their comfortable SpaceBed seats in business class, they ran a 60-second commercial of a highly emotional and mythical character to underline the aspiration of the brand and the Singapore Girl, and to set their airline brand apart from competition. Singapore Airlines also believes in eco-efficiency from the ground up. Keep innovation as a strategic driver: Innovation is key to success in the global airlines industry where the race to present the latest in seats, service, in-flight entertainment, lounges and many other features provides a constant pressure on all airlines. The leadership at Singapore Airlines has remained steady and very efficient since its establishment. All communication messages are featured through the iconic Singapore Girl in different themes and settings. This would seal possible loopholes for employees who obtain wrong formation. SIA has consistently been one of the most profitable airlines globally, and has always had the reputation of a trendsetter and industry challenger. Singapore Airlines’ attention to detail is also reflected in the way its new SilverKris Lounges are designed for ultimate comfort – spacious living rooms and private corners are available for rest and relaxation, and productivity pods are available for passengers to work in. This in itself is a great achievement for any brand. Though the values of the company as presented may seem to negate the very notion of stability previously advocated for by calling for imminent change, its consideration for progressively tracing modern technology, human satisfaction, and economic development actually gives the prior call for service to the people. Need a custom Research Paper sample written from scratch by In April 2014, Singapore Airlines signed a deal with Formula One Group to become the title sponsor of the Singapore F1 race for two years and later extended the annual event thrice to 2017, to 2019, and to 2021. There are four operating ranks on board any Singapore Airlines flight: Flight stewardess, Leading stewardess, Chief stewardess and In-flight supervisor (same rank equivalent for males). It is against this backdrop that Singapore Airlines has enshrined the roles of its human resource segment to the basic notion and understanding of various demands of the staff in order to reduce their overall resistance to the much desired progress. It was also awarded Best Airline for the 28th consecutive year and Best Frequent Flyer Programme at the 2019 Business Traveller Asia-Pacific Awards in September 2019, and consecutively awarded Best Airline in the World by TripAdvisor in 2018 and 2019. Think about one of the strongest brands from Asia, and chances are that Singapore Airlines (SIA) and its long-serving, almost iconic Singapore Girl easily come to mind. In Singapore Airlines, the process of effecting organizational change has experienced a very slow pace of implementation due to poor cooperation and resistance from some units (Cunningham & Gerrard, 2000). It has a well established ground handling strategy. (2006). This should be projected towards an organization’s mission and objectives. The firm has been renowned as one of the long serving company that had unbroken records persistently and consistently for several years. In the earlier years, the aircrafts have been sub-branded like 747-Megatop and 777-Jubilee to further distinguish SIA and its brand from competitors. Additionally, in recent years, SIA has set up a Digital Acceleration Unit also known as the Innovation Lab to capitalize on digital innovation. Their stewardesses are well trained in matters related to effective communication. Singapore Airlines is a leading business case from Asia demonstrating the importance of strategic branding, and they should serve as great inspiration for other Asian boardrooms trying to build and manage their own brands. Martin Roll enables global clients to deliver business impact and drive long-term value. Finally, the financial and cash position has allowed SIA to weather the short-term dips in the industry better than its competition. In other words, customers’ perception of the price/value equation, their future buying behaviour (partly to be influenced by the low-cost carriers) and loyalty among other factors are crucial for the future. This is due to the fact that it has emphasized on the need for effective planning and leadership that provide the necessary focus for the company to achieve its set objectives and strategies (Varey, 2006). It has also placed firm orders for the Airbus A350-900, Boeing 787-10 and Boeing 777-9, which are made from lightweight carbon composites which are more fuel-efficient. You can use them for inspiration, an insight into a particular topic, a handy source of reference, or even just as a template of a certain type of paper. According to Wirtz, Heracleous and Pangarkar (2008), special flier programs have been effectively applied in over 20% of the global major airlines with great success. One of them is Book the Cook, in which passengers can choose their favourite gourmet main course from a tantalising selection of dishes prepared by Singapore Airlines’ International Culinary Panel before their flight. This in turn creates more cost pressure. The brand of this company is attached to the organizational culture whereby an employee becomes a part of the entire system especially after being in the system for a considerable length of time. The Indian aviation market is tough with high taxes, over-regulation and insufficient infrastructure so SIA needs to manage this new venture with care and diligence to succeed. In the company’s strategic goals, the main aim is to ensure better interaction among the staff, operating system and shareholders so that the necessary customer value is maintained at all times. It further helped SIA’s brand image that all revenue generated from the 455 passengers on board this first flight was donated to three charities in a ceremony the next day in Sydney. Boston, MA: Harvard Business School Press. It is from this consideration that the role of its human resource department is very essential in guaranteeing the necessary harmony between the staff as they continue with their major operations (Varey, 2006). Wirtz, J., & Johnston, R. (2003). It has done exemplary well since then. SIA’s focus on its customer service culture is clear. As the Singapore’s most crucial Airline Company, the government plays a major role in its operations and derivation of different policies (Cunningham & Gerrard, 2000). International Journal of Service Industry Management 13 (4), 382–398. Plan your holiday with our latest travel deals and promotions. Thanks to the efforts of our staff, Singapore Airlines continues to be one of the world’s leading airlines. Singapore is a multiethnic society comprising of Chinese, Malay, Indian and Eurasian communities. In cases where culture is involved, Singapore Airlines has a tendency towards being sensitive and considerate to various cultures. The Singapore Airlines brand has been instrumental for the airline from the early start. After the eight elements have been dissected and investigated, the excesses aggression to … Singapore Airlines has the following aircrafts in its global fleet (December 2019): Singapore Airlines were one of the first customers of the Boeing B-777 during the 1990s and has used the aircraft consistently on most global routes. As indicated earlier, by striving to infer positive images and relation networks between its management and workers, Singapore Airlines emphasizes that the roles of employees are indeed the most crucial bit in ensuring that consumers get the best services (Varey, 2006). It is worth noting that majority of the tasks within the company are directly linked to enhance better management and rational decision making as employees progress with their various duties. & Gerrard, P. (2000). Effective understanding of the environment at Singapore airlines has been necessary towards improving management standards at the company. The two Boeing 747-200s were delivered in end-September 1973. Hence, the airlines’ role has perhaps been intertwined in a possible delicate balance where all aspects of staff needs in addition to those of the consumers are carefully articulated for the sake of improvement. It is especially emphatic on the need to ensure that all considerations for innovations and modern technological development are assimilated in the system for faster and even development. Wirtz and Johnston (2003) assert that management should view an organization as a highly interdependent system that cannot effectively run with one malfunctioning unit. Singapore Airlines decided on a fully branded product/service differentiation strategy from the very beginning. What’s your deadline? In terms of decision making, Singapore Airlines has an able and experienced management. July 19, 2019. https://ivypanda.com/essays/organizational-environment-and-behavior-of-singapore-airlines-research-paper/. In most cases, you will encounter Singaporean Chinese as your business counterparts as they form the majority of the population. ⏰ Let's see if we can help you! Singapore Airlines has been as consistent in its communication vehicles as in its brand strategy. Innovation, best technology, genuine quality and excellent customer service were to become the major drivers of the brand. Learn about hawker culture and sample a range of dishes, including Michelin-starred chicken rice. The latter has been enhanced by the positive effects of the market. Before that, many competitors have already rolled out premium economy seats but Singapore Airlines has been careful to follow due to potential cannibalization of its full-fare business and first class products, and overall considerations for the implications for the Singapore Airlines brand. You are free to use it for research and reference purposes in order to write your own paper; however, you must. For full functionality of this site it is necessary to enable JavaScript. They ensure that practices and standard operating procedures in regards to service, safety and governance taught in the academy are implemented consistently. Culture is deeply rooted in an organization’s history. Team Zula. If you are the copyright owner of this paper and no longer wish to have your work published on IvyPanda. Singapore Airlines has 136 aircrafts in its fleet (December 2019). The database is updated daily, so anyone can easily find a relevant essay example. Studies indicate that the company was formed in 1947 and was able to fully develop through technical assistance from Qantas Empire Airways and British Commonwealth airlines (Varey, 2006). It is regularly voted “best business class”, “best cabin crew service”, “best in‐flight food”, “best for punctuality and safety”, “best for business travelers”, “best air cargo carrier” and “Asia’s most admired company”. Download sample chapter. Singapore Airlines has been on the forefront in embracing the modern technology (Varey, 2006). As a major part of the organizational culture, recruitments, staff development, promotions, and internal relations have assimilated the necessary platform in dictating the ability of the organization to meet its own strategic objectives (Cunningham & Gerrard, 2000). The primary message “Singapore Airlines – A Great Way to Fly” has been consistently conveyed in exclusive print media and also in selected TV-commercials of very high production value to underline the quality aspects of the brand since 1972. This has been made effective through vertical and horizontal communication in the company. IvyPanda. Communication acts as a good avenue for solving different problems that affect staff members and the rest of management (Cunningham & Gerrard, 2000). While other airlines have also pursued high service/quality brand strategies, none has been able to match Singapore Airlines in consistency, commitment, and true permeation of the brand in every facet. In addition, there are cheap car rentals within the same vicinity. This cost pressure causes them to start reducing the premium services which made them distinct from the low-cost airlines in the first place. These factors have prevailed within the SIA organization since then, and served the airline very well as this brand case will illustrate. It is from this notion that the human resource management has effectively derived the necessary identity for the employees as they associate more with the company and participate in its decision making (Cunningham & Gerrard, 2000). July 19, 2019. https://ivypanda.com/essays/organizational-environment-and-behavior-of-singapore-airlines-research-paper/. Singapore Airlines is 56% owned by Singapore state investment firm Temasek Holdings. One of the key strategies that Singapore Airlines has sought to implement is the establishment of effective communication systems. MSA in 1968 engaged French haute-couture designer Pierre Balmain. Singapore Airlines is known as a global and respected Airline Company with safe journey, innovative technology and excellent service. Marred by almost a year and a half in delay, this first A380 flight, named flight number SQ380, garnered tremendous amount of worldwide publicity. Due to rising fuel costs, the direct route to Los Angeles was terminated 20 October 2013, and the direct route to New York was terminated 23 November 2013. In the case study of Singapore Airlines, it is imperative t note that the company has been faced with stiff competition that has seen major players assume strategic approaches in order to remain relevant in the market. Their stewardesses are well trained in matters related to effective communication. Customers expect more with quicker updates. & Bowen, D. (1995). First, the strong cash position allows Singapore Airlines to internally fund purchases of new equipment and airplanes, and limit interest costs. This type of commitment takes dedication from the board, CEO and senior management team, and strong faith in the brand’s ability to pull through bad times. Figure 2: A figure showing the organizational structure of the company. No doubt, food and drink are the key unifiers for all residents on the little red dot, … Culture. On top of this, SIA carefully hedges up to 60% of their fuel requirements two years in advance to avoid cyclical and often large volatility in fuel prices. However, the effectiveness of daily operations is subject to other related and different business applications. Singapore Airlines is facing major challenges and the following are the key strategic issues that the airline needs to monitor and constantly address proactively in the coming years. The SIA forms the main airline of Singapore with its hub at Changi Airport. Be consistent. Wirtz, J., Heracleous, L. & Pangarkar, N. (2008). A behind the scenes video of the World's BEST Airline - Singapore Airlines service and training. Identification. Employees operate in major circles that do not merely dictate their inner perceptions of different organizations’ management, but also act as the main drive by either accepting or rejecting the ideas they perceive to have less value among them (Cunningham & Gerrard, 2000). But a lot has happened in the time since. In recent years, they have further differentiated the brand experience through various in-flight perks. Huselid, M. A. Jackson S. E. & Schuler, R. S. (1997). In cases where effective communication is established, there is general harmony between the production systems, the overall production capacity and the expected target goals and objectives. Subsequently, SIA flew the A380 to London, Tokyo, New York, Hong Kong, and to many other global destinations as Airbus delivered the full order of the A380 fleet. Scoot is … Inflight supervisors work like any other cabin crew, but they also play their most important role as mentors and trainers on board any flight. The presence of technology within its environment is critical in ensuring that all the management, manufacturing and communication processes are carried out effectively (Chan, 2000). Besides, the environmental factors such as politics and technology have impacted on its efforts of building positive consumer relationships, devising effective organizational change and overall improvement of performance. As there were no domestic routes to serve, it was forced to immediately start competing with international airlines for routes, getting access to airports, securing flight slots and landing rights. The challenge is to stay true to the brand and keep delivering on the fairly high-cost promise of quality, innovation and service. Singapore Airlines has maintained its position as one of the best-known and best-performing brands in Asia, and remains one of the few consistent performers in an industry where established brands are struggling to stay alive. A case in point for such leadership is that Singapore Airlines was ranked 18th in the 2019 list of Fortune’s “World’s most admired companies”. It also enables employees to become multi-skilled by enlarging their experience base and improving competency at the same time. It is the view of many analysts that energy globally acts as the main icon for development at the local level and international considerations too (Varey, 2006). professional specifically for you? It feels like home away from home. Technology is perhaps one of the greatest developments that have been witnessed in this airline company. Their function is also to mentor, guide and to pick up any insights on how service and safety levels and standards can be improved as they observe actions and behaviour on-board the flights and feed it back to the operations and training departments. Mary Jo Hatch posits in her model of culture dynamics that employees form the most critical element in a change process because they are directly involved in a project’s implementation. Yagil, D. (2002). They have always been first in line to take delivery of new aircraft types like Boeing 747 jumbo jets, Boeing 777, and they were the first airline to fly the Airbus Super jumbo A380 in 2007. In addition, Singapore Airlines takes care to ensure that its certified Air Sommeliers, each equipped with detailed knowledge of wine appreciation, are available in-flight to advise passengers on the art of food and wine pairing. Its leadership has remained steady and quite efficient since the establishment of the airline. This is part of the company’s long-term growth strategy, allowing it to add 15 percent of capacity to its network in 2017. This supersonic service was suspended after 6 flights as a result of environmental objections from the Malaysian government. Singapore Airlines had two main unwritten principles that make a significant difference even till today; on-the-job pride in something known as the ‘Company Culture’, which is a commitment by every staff member to the highest standards and doing all that is best for Singapore Airlines, and a strong emphasis on ‘service’ to its passengers. Moreover, responsibility is given key attention instead of the servant-master relationship as seen in some other companies. Schneider, B. Unfortunately, your browser is too old to work on this site. Environmental and behavioral analysis of a company forms an intrinsic examination of the key aspects that determine an organization’s ability to effectively operate both from internal internally and externally. It is a brilliant personification of SIA’s commitment to service and quality excellence. SIA is not locked into long-term leases, and can easily accommodate newer, more efficient equipment which minimizes maintenance costs and avoid aircraft downtime. Singapore Airlines employ both female and male cabin crew, although the Singapore Girl is probably the most recognised face of the airline. Customers are given total attention. From our data analysis, Singapore airlines might not be performing very well because the work force is not diverse. July 19, 2019. https://ivypanda.com/essays/organizational-environment-and-behavior-of-singapore-airlines-research-paper/. The main cultural traditions are Malay, Indian, Chinese, and to some extent Western (British). Organizational Environment and Behavior of Singapore Airlines. The company has been able to generate the necessary demand for higher returns through effective leadership. The differences in operating outlook and priorities between the Malaysian and Singapore governments led to a mutual agreement to set up separate airlines. After splitting from Malaysia-Singapore Airlines in 1972, Singapore Airlines has been developing dramatically to become a giant in global airline industry with more than $12 billion in revenue in the financial year 2010. It launched KrisWorld, an advanced in-flight entertainment system, across all classes in 1995. The management style is also democratic. It is an engineering company stationed at Changi Airport in Singapore and provides engineering services to other air carriers who are about 80 of them spread in other continents The paper concludes by emphasizing on the need for the correct organizational culture based on continuous improvement that is dynamic to technological progress as well as the need for modernistic consumerism patterns. The Singapore Airlines brand is unique in the sense that the boardroom takes dedicated leadership of the brand strategy unlike many other Asian companies. ensure the integrity of our platform while keeping your private information safe. On 6 September 2012, Giant pandas Kai Kai and Jia Jia arrived in Singapore via a Singapore Airlines Cargo Boeing 747-400 freighter. Authority is delegated from up going downwards. Singaporean work culture seeks rules appropriate to every situation as opposed to abstract universal principles. Asian Brand Strategy provides key insights and knowledge about the rising Asian brands incl. Singapore Airlines recognizes that each innovation has a relatively short life span. Singapore Culture – Shopping. Singapore Airlines focuses on three pillars to compete effectively: Products, Services and Networks. Although organizational cultures from most organizations are exercised in a more formal mode, it is the main subculture that dictates the ability of the main culture when it comes to effective application of culture. Delays and cancellation of flights have been highly minimized. In 1968, French couturier Pierre Balmain designed the legendary sarong kebaya uniform for MSA stewardesses, made with traditional Asian batik design and created to represent Malayan culture and hospitality. In addition, it has enhanced higher customer value in services delivery besides increasing levels of productivity and profitability. (2019, July 19). Singapore Management Review, 22(1), 35-64. The aircraft has one of best safety records in the industry, and is a very reliable long-haul workhorse for global airlines. Company continues to be one of best safety records in the industry by this... Business operations because it involves all stakeholders of a host of reasons that makes Airlines! Where culture is involved, Singapore Airlines ’ brand strategy to sustain service senior. Records in the new Changi Airport Asian companies with very limited cases of lateness the. Airlines has formed one of the human resource Department in Singapore via a step... 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