Cathay Pacific Air Cargo

Cathay Pacific Airways
Name
Institution
Cathay Pacific Airways
Table of Contents
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Cathay Pacific Airways  PAGEREF _Toc431309472 \h
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Background Information of Cathay Pacific 3
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Managerial Aspects 4
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Corporate Culture 4
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Key Individuals  PAGEREF _Toc431309476 \h
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Organizational Chart 8
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Mission and Vision Statement of Cathay Pacific 8
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Cathay Pacific Airways Resources 10
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Cathay Pacific Operations 10
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Business Relationships 11
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Future Plans 12
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Summary/Comments  PAGEREF _Toc431309483 \h
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References 14

Background Information
Cathay Pacific Airways is an international airline that was started nearly 70 years ago in Hong Kong. The name Cathay Pacific was arrived at from the traditional Chinese name while Pacific was incorporated into the name as a desire to fly across the Pacific Ocean into the West. From only two employees, Cathay Pacific has grown over the years to more than 32,400 employees and operations in 32 nations across the world. Over the years, the company has grown to become one of the biggest airlines in Asia and has great expansion plans for the next ten years. Cathay has a rich organizational culture that believes in investing in its employees with the belief that the employees play a crucial role in the organizations survival. The organization also invests heavily in ensuring that its flights are safe and people friendly something that has generated a loyal clientele for the airlines products (Cathay Pacific, 2015).
After 1990s, the growth and modernization of Cathay went on as it progressively phased out its L1011 TriStar regional fleet with the classy and modern Airbus A330s and A340s. At the present, the airline’s passenger fleet is inclusive of Boeing 747-400 and 747-400F aircraft, 777-200, 777-300 and 777-300ER aircraft, and Airbus 330-300 and 340-300, airplane. The biggest investor of Cathay Pacific is still Swire with 43.9% of the total shares. In 1996, the company entered into a new agreement that saw Swire’s stake being slashed to 43.9% to and Citi Pacific stake going up to 25% up from 10%. The other 31.1% of shares are distributed among minority stakeholders (Cathay Pacific, 2015).
Managerial Aspects
Corporate Culture
Siva (2010) pointed out that “philosophy and mission statements are defined to establish long-term and short term objectives to attain that mission and selecting the suitable strategy to be used in achieving those objectives”. As a part of this process, Cathay has been careful when it comes to the development of its philosophy and mission. The company’s statement establishes the beliefs, values, and guidelines for the manner that the organization should carry out its business and also defines its relationship with stakeholders including customers, investors, workers, and the public among others. Scholars define culture management as the combined mental programming that one shares with those within his/her circle and not with others. According to experts, key success factors have various direct and several possible utilization for any organizational unit regardless of whether it is for profit or non-profit. As a service business, the thing that has made Cathay successful is its management of the people and resources around them (Siva, 2010).
Efficient maintenance is a crucial component in any organization’s operating policy. This is because it upholds the company’s reputation in the eyes of its present and prospective customers, its owners and the general public. The strategy factors for maintenance mainly dwell on providing a safe and dependable operation of capital assets, so it is the significance of managing fleets in the airline industry. In close to 90% of the situations, accidents are caused by human error but they may also be an indication of weak organizational structures. There is now a rising international awareness that maintenance mistakes also cause acute threats to airline safety and profitability. For many years now, Cathay Pacific has tried to present itself as an airliner that is concerned with offering safe products and services and thus making it the airline of choice for many people (Siva, 2010).
The other understanding that the management of Cathay has is that the total tourism product cannot be complete without people’s output just as they are necessary for every other feature of the product. Experts know that people can build a brand just as fast as they can destroy it so it is significant for airlines to manage and train employees to equip them with the right skills and attributes for their job. In the last few years, the international airline industry has become more dynamic and competitive, spreading talent even more flexibly across borders to areas where the organization is needed. Since the management has the sole prerogative of establishing and attaining value promoting initiatives at a fast rate, talent is gaining more significance to business performance, certain needs for talent are more uncertain, and organizations must develop talent faster than any other time. In the airline industry, the challenge is not the perishable of the output. Cathay recognizes that the process is an intricate one, where the activities of diverse departments have to be brought together in the right manner and at the right time if product quality is to be continued (Li, 2002).
For many years, the management at Cathay Pacific carried what many organizations would view as a normal performance management process. This routine practice involved having annual reviews at the lapse of each financial year to deliver annual merit pay rises. The company used a legacy system to establish a performance score during a certain time of the year. This system developed a standardized procedure, but was strengthening the wrong set of principles around performance management. While the procedure seemed to be ideal for some time, there were concerns that the employees did not comprehend how the process was connected to them. The process made the employees compliant, but not committed. With their presence in 35 nations with each having a varying style of leadership, it was just not enough to make the employees compliant. There was need for the company to develop a culture that was a part of their practice but one that was necessary (Li, 2002).
Starting 1996, the company reengineered a large part of its processes to be self help for the employees. This marked the start of far reaching changes on the organizational culture. In most cases, the company develops its own managers then deploying them into new jobs internationally. When the company decided to evaluate the different employee performance management systems, there was much dissatisfaction since a large number of them believed that decisions were supposed to be made at the top and that the employee output was not necessarily. There was, however, a general feeling among the management that the employees were supposed to be given the authority to decide who the right person to appraise them was. The company felt that there was need to give the employees the power to choose or modify who is the right individual to carry out their review. This was especially true for those in conditions where the employee might be operating on a project outside their conventional role of reporting structure. This led to the creation of an environment and structure that was “needs-based” versus “supply based”. This is the model that is still existent in the company (Li, 2002).
The processes that the Cathay management has put in place to handle its consumers has created a brand loyalty. Ideally, the image behind an organization’s brand is what gives it a competitive edge and is therefore a precious tactical asset. Brand loyalty is often a personal decision that propels the customer to use a certain product constantly. This comes from the understanding that the consumer has the awareness that the brand offers the features that he is looking for. People are considered as creatures of habit since habits are considered safe and familiar. In order to ensure that there is brand loyalty, organizations should help the customer to acquire new habits by pointing out the manner they ought to behave and constantly remind them why they need to maintain that consumption behavior in the future (Malcolm, 2001).
The significance of product and reflection of an organization are crucial to its victory. Any strong brand can always push for consumer trust both inside and outside, which is mainly significant in the aviation industry where there are usually over safety and consistency. The management at Cathay has the u...