Japan airlilne 日航战略管理

YvonneChauH4YvonneTeH3YuriKitaguchiH3ClaireXuQiH3SheridanPhanh3ShSheridanPhanH3StrategicManagement

Mr.SydneyMoyoTablecontentBackgroundProblemStatementPESTanalysisandPorter’sfiveforcesAnsoffproductmarketstrategyDesignapproachKotter'sModelRecommendationandGanttchartConclusionBackground

Vision:

Becomingtheworld’sNo.1airlinegroupintermsofbothservicequalityandbusinessvolume.Missionstatement:Wewillnotonlytransportpeopleandgoodstotheirrespectivedestinationssafelyandontime,butwillalsobringpeoples,theirculturesandtheirheartsclosertogetherasourcontributiontoworldpeaceandprosperity.(RepresentativeDirectorYoshiharuUeki)BackgroundComparetopreviousyears:DebtratiogoesdownRevenueandprofitgoesupExpensealsogoesupProblemstatementManagementstrategiesofalwayspostponesolvingproblemsSafetyproblemsProblemoftoomanyemployeesToomuchfocusonexpansionAttentionplacedonbeginNo.1ratherthanwatchingbottomlineResultinginBankruptin2010PEStAnalysisGovernmentstabilityPoliticalconflictbetweenJapanandChinaVisarelaxationinSouthEastAsiaTaxraising:5%to8%LoweconomicgrowthinJapanRiseinfuelpriceHighlaborcostDecreaseindomesticpopulationForeignworkersandlanguagesgettingmorecommonLevelofpublicsafetyPunctualityofgeneraltransportation

Hugepassengeraircrafts:AirbusandBoeingAdvancedtechnologyinJAL:inflightwi-fietcPESTPorter's5forces

ThreatofNewEntrantsThreatofSubstituteSupplierPowerBuyerPowerInter-firmRivalryLOWHIGHHIGHLOWInter-firmrivalry:IntensecompetitiverivalryFixedcostsandentrybarriersareoverall

highStagnateofmarketshareSupplierpower:LaborqualityJetsupplier(Singapore)PlanesupplierBoeing:47%Airbus:53%Threatofsubstitute:Highregardingshort-haulroutes,asrailAA,ANA,Asiana,Delta,LCCs.Buyers’bargainingpowerHighfuelpricesHighSwitchingcostsThreatofnewentrants:HighcapitalrequirementsStrongbusinessAnsoffMatrixItisabusinessanalysistechniques,whichprovidesaframeworktoidentifygrowthopportunities.MarketPenetration

IncreasingcurrentproductmarketshareStrategyinpricing,promotionandAdvertisingIncreasebrandawarenessIncreasingtheusage“TechnologyChange”Self-checkinKiosk

&mobilecheck-inIn-flightWi-FiCustomerLoyalProgramJALMileageBankSellingexistingproduct/servicesintoexistingmarketNewGeographicalMarketChina:60%

flight

not

on-timeSoutheastAsia:lowVISArestriction,moreflightlinesNewDistributionChannelCollaboratingwiththedestinationtouragents/wholesalers/hotel(220destinationun35countries)MarketdevelopmentSellingexistingproducts/servicesintonewmarketProductdevelopmentIncreasecustomerservicequalitySeat/spacearrangementLarger

seatspaceforeconomyclassIndividualcabinfor1stclass(full-flatbed)IntroducingnewproductintoexistingmarketDiversification

IntroducingnewproductsintonewmarketFullDiversification3hotelbrandsIn

Japan,China,USAandEuropeForwardDiversificationTourAgent“JALPAK”1stJapaneseoverseaspackagetourDesignapproach

Example:MessinSafetyProblemsFormulatingthemessHarshbusinessenvironment:GroundingofBoeing787aircraft&RapiddeclineinYenSolution:“JALGroupMediumTermManagementPlanforyear2012-2016”Designapproach

Example:MessinSafetyProblems2.EndsPlanningGoal:MaintainingthehigheststandardsofsafetyAim:ZeroAircraftaccidents&ZeroseriousincidentsDesignapproach

Example:MessinSafetyProblems3.MeansPlanning(Newpolices/programs/procedures)ExpansionofRiskAssessment:MechanismtopredictanaccidentFocusontheoccurredmalfunction&investigatecausesPredicttheriskmayleadtoanaccidentDesignapproach

Example:MessinSafetyProblems3.MeansPlanning(Newpolices/programs/procedures)SafetyLeadersProgram:DesignatedstaffareresponsibleforpromotingsafetyInitiativesEnsure2-waycommunicationflowstomanagementgroupDesignapproach

Example:MessinSafetyProblems3.MeansPlanning(Newpolices/programs/procedures)CultivatingaCulturetoProtectSafetyJALGroupSafetyEducationtocultivate“safetyprofessionals”DeclaredownsafetypledgesduringthetrainingSharestoriesofsafetyindailyoperationsDesignapproach

Example:MessinSafetyProblems4.ResourcesPlanning

People:SafetyAdvisoryGroup/GMofSafety/SafetyLeaders/EmployeeinSafetyDepartment/Training

Manager/GeneralmanagerandalltheotheremployeeinJALPlace:TrainingRoom/ConferenceRoomEquipment:MultimediaProjector/Microphones/Laptop/RemoteControl/Videoequipment/LaserpointersDesignapproach

Example:MessinSafetyProblems5.DesignofimplementationExpansionofRiskAssessment:SafetyAdvisoryGroup/SafetyDep./EngineeringDep./MaintenanceDep.SafetyLeaders:Alldepartments/GeneralManagerCultivatingaCulturetoProtectSafety:TrainingManager/AllEmployee

Designapproach

Example:MessinSafetyProblems6.DesignofControlPerformanceAppraisalsDisciplinepoliciesEmployeeObservationsKotter'smodel1.EstablishaSenseofUrgencySoldlargepassengeraircraftsEndedupofinvestmentinotherrelatedenterprisesReleasedthecontroloflaborunionNegativefactsandwhatcouldbedone?DecisionmakingwastoolateTop-downbusinesscultureKotter'smodel2.FormaPowerfulGuidingCoalitionB