CASE STUDY: AIRBUS 1

Case Study: Airbus

Student’s Name

Institutional Affiliation
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Case Study: Airbus

Introduction

The head office of the European aerospace company Airbus Commercial Aviation, also

known as Airbus, is located in Blagnac, a neighborhood of Paris, France (Ashford, 2021). The

corporation, which is the primary rival to Boeing and is controlled entirely by the manufacturing

corporation of the same name, produces more than 60% of all airplanes built globally. In the

mid-1960s, a group of European businesses formed Airbus (Bill, 2017). In 2001, Airbus

Manufacturing acquired SAS (a simplified joint-stock company). In 2015, it acquired a unit of

EADS, and in 2018, it was renamed Airbus Corporation. Ten percent of Airbus was owned by

BAE Systems between 2002 and 2008 (Bill, 2017). At Eighteen Airbus locations in Germany,

France, Great Britain, Belgium (SABCA), and Madrid in 2011, 69,451 people were employed.

Even though the majority of the components for Airbus aircraft are created in European

countries, some are imported (Norris, 2020). However, the main manufacturing facilities are

located in Beijing, China; Toulouse, France; Frankfurt, Germany; Madrid, Spain; and Huntsville,

Alabama (United States). Additional locations for Airbus companies include the UK, Russia,

Japan, and India (Southan, 2016). In addition to offering a variety of commercial and passenger

aircraft, like the A320 and A380, Airbus also developed the first ever airframe, the A300, in

1975 (Bill, 2017). On the A320, Airbus was the initial company to affix an electronic autopilot

system.

Airbus built 1742 aircraft and had 1,503 net orders in 2020. The greatest profitable

outcome in aviation history is this (Kogan, 2018). With the manufacture of 689 aircraft this year,

Airbus declared at the start of 2022 that it had surpassed its record for deliveries, moving up to

the top spot (Ashford, 2021). Airbus is a complex company that develops cutting-edge
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innovation; it is not a basic organization. About business strategy evaluation, Airbus is among

the top innovative firms in the world. The business has a research and innovation division that

develops the most effective aircraft and has planning that is focused on the future. The company

is the second-largest aeronautical supplier in the world and is well-known around the world.

Airbus is dedicated to research for development (Bill, 2017). Research and development are

significant sources of development for Airbus, as evidenced by the company's partnerships with

Georgia Tech and the University of Chicago for research and by the internal R&D section

serving as its primary resource (Ashford, 2021). This promotes the development of Airbus'

products. The cyber security expertise of Airbus expands security alternatives for the country's

infrastructure and drives growth in new markets.

Competing Values Framework (CVF)

Collaborate:

The Global Petroleum Commission's STEPS (Stated Strategies Forecast), which includes

Resilient Aircraft Fuels regulations and declared CO2 markups, is the primary source of

assumptions used to create macroeconomic forecasts (Norris, 2020). Airbus predicts that during

the next two decades, the number of passenger travel would increase by 9.6 percent per year

(Kaminski, 2020). Within the next two decades, Airbus predicts a requirement for 39,520 new

commercial and cargo aircraft, of which 32,680 will normally be single-aisle, and the remaining

will typically be the wide body (Ashford, 2021). Over the next twenty years, there will be a

2,440 aircraft requirement for transport ships, with approximately 900 of those being newly

constructed. The most recent generation of fuel-efficient jets only makes up 20% of the fleet that

is currently in operation.

Create:
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Airbus offers a flexible team that ensures safety to the industry and business, both of

which result in a respectable standing for the business and these actions lead to the company's

main areas of attention. With its estimated 52,000 patents, Airbus has had a significant impact on

the advancement of aircraft technology (Joe, 2019). An edge in the industry can be understood as

having more patents (Ashford, 2021). Airbus works with both commercial enterprises and public

figures from the military or the defense industry. It is a good thing for business income to

prevent an economic downturn. The Airbus R&D division leads the way in innovative

aeronautical technology. The business sector requires the most cutting-edge research and

technology.

Complete:

The biggest challenge in the current scenario is China's industry being one of the fastest-

growing in the world, and Chinese air transport has greatly increased. He Lifeng, president of the

Chinese State Reform (NDRC), and the COO and head of Airliners of Airbus, signed the MoU in

Frankfurt, Germany. This deal might assist technological development and technical expertise

while promoting Chinese suppliers (Bill, 2017). This move might contribute to safer flying and

shorter airbus standby times at airports. The world's second aerospace producer is now Airbus.

The company's perspective does, meanwhile, include cybersecurity (Ashford, 2021). The new

area of cyber security at Airbus strengthens infrastructure while protecting society. Airbus, a

company best known for providing aircraft, joined the space market with already developed

aerospace technologies.

Complete:

Airbus always prefers innovation. In addition to manufacturing aircraft, the corporation

now offers space research and innovation solutions. Cruise liner built by Airbus engineers
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competes in top races (Ashford, 2021). The company manufactures the speediest yacht in the

world. Yacht and sea sports technologies can benefit from the company's aerodynamic

innovation. Airbus increased its presence in the water. The world's best aviation maker, Boeing,

which has a century of existence, was developed and first flew in the United States (Mutza,

2016). The US army is seen as the most potent force in the world. The US, the most challenging

industry for the aircraft industry, welcomed Airbus as a latecomer to the sector. The Aeroplex in

Manhattan has a plant that manufactures and serves US airlines like Jet Blue and Delta Air

Lines. The business invites US colleges and scientists and has constructed the research center.

Such radical administration is a major innovation.

Company’s Culture Profile

The three main focuses of Airbus's vision are its commitment to international

humanitarian efforts, effective business alliances with volunteering organizations, and

international aid organizations for a peaceful world. The business assists young individuals and

helps humanitarian organizations (Ashford, 2021). Through interaction with the aviation sector,

the firm's objective is to promote a global organization and the growth of young groups, which

will enable it to address a wider audience. To respond to the industry's rapid technological shifts,

Airbus R&D has focused on digitalization, urban aerial transportation, innovation, technology

manufacturing, linked fleet, and innovative operating models (Bill, 2017). In reality, there are

electric-powered cars on the marketplace, and the idea of sustainability is a major concern.

Travelers on linked fleets will have access to the internet and long-distance calls.

There are two different Airbus installations. A location in the Netherlands has

concentrated on the civil-military chopper and military systems, while a base in France has a

framework dedicated to producing passenger planes. The R&D division is a fantastic source of
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development for both Airbus S.A.S. and Airbus SE (Ashford, 2021). The corporation heavily

relies on its research facilities in America and Europe. There is no labor shortfall at Airbus US'

Brooklyn sites. Many workers were chosen from specific groups, including STEM (Science,

Technology, Engineering, and Math) diploma holders and former US military personnel.

Innovation is largely influenced by vast technological and scientific knowledge as well as

practical combat experience.

It is highly anticipated that these employees will increase manufacturing and operational

innovation. R&D provides Airbus with a remarkably powerful means of influencing

specialization in each industry and region. One of the most important roles at Airbus is R&D.

The company welcomes the foundation staff to meetings so that they can watch the work

progress and the manufacturing tooling, as well as to enhance service assistance for technical

development and planning system design (Bill, 2017). Because air travel involves the

transportation of human beings, the aerospace sector necessitates extensive knowledge, prior

experience, and experimentation. Technology management is necessary for a company's success

to compete in the contemporary aerospace market. Innovative initiatives by Airbus, like

electrification, advanced renewable technologies, and connected fleet boost navigation and

traveler comforts.

Action Plan

Additionally, the WTO asserts a settlement process regarding European subsidies for

Airbus, which involves power and influence, propels the company's inventive and creative

administration. A good development for Airbus is the rising demand for air travel in China.

China Southern, the third biggest airline, transported more than 500 million passengers

worldwide in 2021 (Bill, 2017). In 2021, only 65% of the whole population had passports, but
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greater air travel is expected in the future. For Airbus, this is a huge potential. Airbus is the most

well-known company in the EU and has a wider footprint.

Boeing is a well-established maker of aircraft and a top producer globally. The A320

series from Airbus and the 7 Sequence from Boeing are rivals in the industry (Ashford, 2021).

Airbus is at the forefront following the release of the A320 neo engine in the industry (Norris,

2020). Sales of Boeing have increased after the 737-900ER was released. Meanwhile, Russia

declared war on Ukraine, according to press reports. Increased need for combat helicopters and

other related sectors will result from this type of armed conflict. This issue may present a

significant possibility for Airbus to increase company income (Bill, 2017). China boasts the

second-largest economic system and the world's highest population. Growth is being matched by

an increase in aviation transportation (Norris, 2020). Twenty Airbus A320 XWBs were ordered

by China Southern, and China Airlines received the 100th XWB from Airbus.

The international market is incredibly alluring given the anticipated expansion of air

travel. The International Air Transport Association (IATA) forecasted a 41% increase in the

aviation business in 2021 (Ashford, 2021). The United Arab Emirates is anticipated to

accommodate 32.1 million air travelers, with Uzbekistan experiencing the largest growth in

international passenger numbers. Mexico and Italy are anticipated to increase at the fastest rate in

terms of domestic air travel (Joe, 2019). The demand for airlines will increase across the entire

continent. Travel by air has become common and easy. These aircraft fly between tiny cities as

well as other airports, including Billund, which is a medium-sized airport. This commercial

technique to get into the current industry could increase demand for aircraft.

Conclusion and Discussion

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Heading the aircraft industry globally and holding the top spot in the European Union is

Airbus. The business has developed innovative management practices and goods in line with the

most cutting-edge research and innovation. The growth of an organizational startup company is

encouraged by Airbus' business transformation, which increases overall organization efficiency.

The process of managing innovation can be quite significant. The corporation placed a strong

emphasis on product advancement. Competitiveness from other international manufacturers is

constant for the company. Upgrades to aviation safety must be a key component of their look to

customers. Both Airbus and Boeing's 7 series are innovative in terms of technological

advancements. Modern science and technology used by Airbus in its commercial and defense

products can complete a space expedition.

The company provides space solutions, and through operating its business, it has already

gathered an expertise in the field and skills. The next era of space technology is being made

possible by this placement innovation. The information security of Airbus can guarantee both our

personal and societal safety. This safeguards our system and gives Airbus passengers improved

navigational and onboard service options. System-oriented and progressive processes are used to

innovate at Airbus. Its high costs, knowledge-based nature, and extensive infrastructure preclude

dramatic breakthroughs but make incremental improvement processes acceptable. Control

system innovation is a focus of the Airbus approach, not element level. This industry is well

advanced. The production system as a whole would alter if one aspect of the aircraft changed.

Over 0.2 million personnel have access to a variety of development programs, seminars,

meetings, team conferences, and activities every year to help them improve their leadership and

collaborative abilities. The goal of the company is to communicate with every single employee.
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All segments of the Airbus organization now participate in the development and have a stronger

sense of competition thanks to the company's more user-centric culture.

The innovation approach at the system level is appropriate for Airbus. Veteran

servicemen of the armed forces would be powerful vital components for Airbus. With a growing

economy and manufacturing industry, China also possesses great military strength, which could

boost Airbus' degree of research. Military personnel has a more innovative attitude to air travel

technology, as evidenced by their perspective with them and their knowledge of planes and

security. It would make sense to position the private sector in the security industry. Our

generation is transitioning to a linked, green control system. Airbus's green aviation technology

will have a significant impact on the industry, and its integrated system will result in more

dependable, safe, and entertaining flights for passengers. There should be significant new

administration for offering green technology aircraft.

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References

Ashford, W. (JULY 2021). Airbus helps secure critical infrastructure. 4-7

Bill, T. W. (2017). Air transport, passengers carried. THE WORLD BANK DATA. Retrieved

from https://data.worldbank.org/indicator/IS.AIR.PSGR?

end=2016&start=1970&view=chart

Joe Tidd, J. B. (2019). MANAGING INNOVATION Integrating Technological, Market and

Organizational Change. John Wiley & Sons Ltd.

Kaminski-Morrow, David (13 February 2020). "Airbus takes 75% of A220 program as

Bombardier exits". Flight Global.

Kogan, Eugene (8 February 2018). "China's commercial aviation in take-off mode". Asia Times.

Mutza, Ben (14 October 2016). "Milestone! Airbus just delivered its 10,000th aircraft". USA

Today.

Norris, G (2020) Airbus A380: Superjumbo of the 21st Century

Southan, J. (2016). 12 TRAVEL TRENDS. BUSINESS TRAVEL ASIA, 52-55.