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 BUSN11127 Leading and Managing Change

Assessment Individual Report

Task

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o I have read and understood Regulations 3.49—3.55 of Chapter 3 of the

Regulatory Framework of the University of the West of Scotland regarding
cheating and plagiarism;
o This assessment is the result of my work, except for those parts that are
explicitly referenced, and contribution of others is indicated;
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of the completion of assessment(s) on any other module, regardless of
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Date:
Table of Contents
Abstract:...............................................................................................................................................2
Introduction:........................................................................................................................................4
Kurt Lewin Model:..........................................................................................................................9
Kubler Rose Strategy:.....................................................................................................................9
Burke Lit Win Casual Change Model:.........................................................................................10
Change Management Practices:.......................................................................................................12
Business Strategy:..............................................................................................................................12
SWOT Analysis of British Airways:.............................................................................................13
TOWS Matrix of British Airways:...............................................................................................14
Recommendation and Improvements:.............................................................................................15
Bibliography.........................................................................................................................................16
Abstract:

This study focuses on British Airways and its change management process with different
models and strategies under the leadership of New CEO British Airways. The company took
many strategic change decisions in the pandemic three years which was beneficial for the
company in terms of revenue as compared to the other Airline companies in the pandemic.
Many models and strategies applied on the British Airways organizational structure, inner
and outer business model, like John P Kotter Model, Kurt Lewin Model, Burke Lit model,
etc. Also discussed in this study about the drivers of the change management policy and
critical assessment on the company vision, leadership vision, and its business model. We also
discussed British Airways’ new policies which changed due to the formation of the business
model.
Introduction:

British Airways Vision:

Because we want to be the world's most socially responsible airline, we've dubbed all of our
CSR activities "One Destination." We have set challenging objectives to decrease our carbon
emissions, trash, and air and noise pollution. (About BA | British Airways 2022)

British Airways Organizational Structure:

In British airways the organizational structure is based on CEO and under the CEO three
different types of position lie which is customer and operation executive. Board management,
reporting to CEO. There are number of employees underlie in these operations which are
communication officers, engineers, flight operators, operations, safety and security,
Investments, sales and marketing, strategy and business units, customers, finance and
performance. (Rehling 2019)

British Airways Culture:

Employees at British Airways are highly valued since they have a say in shaping the
company's culture. The views of British Airways employees have a significant influence on
the company's culture. Workplace attitudes have an impact on the BA culture. "To be the most
or exclusive first choice airlines for all airline passengers" and "One destination wants to
guarantee our customers fly safely that, collectively, we are acting responsibly to take care of
the planet we live in" are British Airways' vision and mission statements, respectively.
Employees and customers of British Airways are assured of their safety by using these.
British Airways likewise wants its staff and customers to feel secure and confident while
traveling with them. (Grugulis & Wilkinson 2020)

British Airways Leadership:

Alex Curz the Chairman of British Airways, Alison Reed the Deputy Chairman, Sean Doyle
CEO, Rebecca Napier CFO, Gavin Patterson, Julia Simpson, Lynee Embleton, Secretary
Andrew Fleming. These leadership team of British Airways help to change in the revenue and
go out from the loss of the pandemic. (Grundy & Moxon 2018)

British Airways Strategy:

Pristina and Podgorica are only two of the nine new flights the airline has planned for 2020,
including Italy's Perugia, Turkey's Ankara, Dalman, and Aegean, France's Rhodes, Greece's
Rhodes, and Oregon's Portland. New aircraft, including 787-10s and A350s that really are up
to 40% more power than their predecessors, are expected to arrive in 2020. The airline's
company seats, the Club Suites, will be offered on more flights with a suite's door, 40% more
storage capacity, and a 1-2-1 layout. (Graf-Vlachy, the year 2021) Customers may mitigate
their own emission beginning in January, according to a new initiative by British Airways and
the Environmental Defence Fund. This year, the airline plans to make further announcements
on environmental issues. The airline's 787-9 planes will include more First-Class seats. Air
France has partnered with Do & Co and Latest to provide fresh meals at Gatwick and
Gatwick airports. Heathrow, Edinburgh, and Berlin are among the locations where the airline
plans to revamp its lounges in the near future. There will also be a major overhaul of the
Elemis Spa at JFK Airport. By 2020, the vast majority of eligible aircraft will be equipped
with Wi-Fi. The Manage My Booking service will be changed to make it simpler to discover
information and services. The British Airways app has been updated with a more modern
look and greater functionality, making it easier to book and manage flights. At Heathrow
Airport, British Airways is putting new automatic wayfaring robots to the test. (Melsom, the
year 2021)
In order to maintain flights on time and seats available, the airline's IT professionals will
constantly testing non-essential aircraft equipment like tray tables. Members of the New
Concorde personnel in many countries will be looked after by the new Concorde team.
Numerous British Airways station hosts across the world will get further instruction. The
airline's Executive Club will have new partners and incentives this year. After 10 years of
raising money for a charity in the UK and internationally, British Airways' Strong Start
charity turns ten. British Airways will be the first UK airlines to offer paid work experience
beginning this summer. (Akbar & Kisilowski 2020)

Apply Change Management model:

John P Kotter 8 Stage Model:

Author John Kotter introduced his 8-Step Model Of change in his seminal book "Leading
Change" (1995). Lewin's work inspired the model, which states that skipping even one phase
may completely destroy the process.

Step 1: Inspire Urgency

The notion that changes is essential may have a big impact on a British Airway's growth.
Enlighten individuals about the issue and show us how it can be corrected to boost change
support. The British Airway's present position and prospective future route may be discussed
openly. It could be useful to create a forum for discussing issues and solutions. (Singh &
Ramdeo 2020)

Step 2: Build a Viable Coalition

British Airway's team to support you is vital since it will be tough to lead the complete
transformation process alone. An effective coalition should include people from varied
backgrounds, abilities, and viewpoints. To guarantee everyone is on board with the idea, you
may form a coalition. (Singh & Ramdeo 2020)

Step 3: Construct a Change Vision

A sophisticated transformation program of British Airway's may be difficult to grasp for

employees at the bottom of the organizational pyramid. For everyone to get on board, create a
succinct vision that includes the organization's objective. This vision should be both simple
and compelling in order to obtain better effect. (Singh & Ramdeo 2020)

Step 4: Share the Vision

After establishing the vision of British Airway's, it must be communicated across the
company to get support for the goal. Use British Airway's alliance since they have
relationships in all departments. Repeating this message is crucial since other messages may
be spreading. (Singh & Ramdeo 2020)

Step 5: Clear the Way:

To guarantee British Airway's change project is a success, you must first complete the first
four stages. The obstacles to your intended change may be people, culture, laws, or even
physical obstacles. British Airway's plan ahead of time to deal with these challenges without
hurting other areas of the company. (Singh & Ramdeo 2020)

Step 6: Achieve Quick Wins

Anger and frustration may undermine a project's success in British Airways. The new strategy
British Airway must thus be shown by short-term accomplishments in order to demonstrate
its efficacy. Short-term objectives should also be motivated and guided. These wins may re-
energize personnel and keep people on board. (Singh & Ramdeo 2020)

Step 7: Consolidate the Gains

Many transformation programs in British Airway fail due to complacency at the end. Kotter
says that once the change is made, it must be sustained. In order to maintain moving forward,
set new goals and focus on how issues may be improved. (Singh & Ramdeo 2020)

Step 8: Anchor Corporate Culture Changes:

It's not always feasible to modify a British Airway's culture. Changes should be embedded in
the organization's core if you want them to last. We need to keep senior stakeholders aware of
the changes, encourage new recruits to embrace them, and reward those who do. (Singh &
Ramdeo 2020)

After decrease the quantity of Cabin Crew members on long haul flights and implementing a
two-year salary freeze in October 2018, British Airways had a major crisis that lost the airline
money, customers, workers and brand reputation. Create a sense of urgency "Kotter thought
that the change would fail unless most workers and managers felt a sense of urgency.

Firms can build it by identifying risks, motivating employees, and including other
stakeholders. According to BA's most recent annual report, intense competition and the
financial crisis presented major threats to BA (2020). BA also has a large pension deficit.
Passengers will now have more freedom in their travel arrangements with British Airways
new commercial strategy. To accommodate passengers who have already booked or are
planning to purchase flights for traveling up to 30 July 2020, airlines are allowing them to
revise their travel arrangements at no additional cost. Both modifications are effective up to 3
days before departure. After obtaining a 2018 certificate from Bureau Veritas with UKAS
approval, British Airways Catering Company confirmed that its Food Safety Program
satisfies the highest standards in the world for the first-time last year. (Baum et al, 2007, p.5).

Given COVID and its effect on world travel, this commercial policy aims to provide
customers of British Airways assurance and calmness when booking a flight with British
Airways. Because it wouldn't nickel and dime budget customers, and because it provides
modest luxuries that are useful on lengthy trips. One of the newest global airlines serving all
six continents, British Airways is also the world's fastest-growing airline because of our
customers' enthusiastic reaction to our services. Dlabay et al (2011)

Kurt Lewin Model:

Using Kurt Lewin's model of change, research has shown that the management culture of
Qatar Airways can be successfully changed by using true leaders who can impact employees'
status for modifying (unfreezing) and later create their dedication to modifying (moving) and
behavioural support for employees later on in time to change effectively (refreezing). These
three attributes are essential for getting things done in a company. The basic premise is to
think about just how vital it is to look at the link between the company's style of leadership in
altering the handling and sharing of information with workers and leaders in making the
employees feel appreciated. QA's management focuses on this connection when envisioning
the company's style of leadership and exchanging information in the framework of Lewin's
change shows. (Sajadi and Badreh, 2019)

Kubler Rose Strategy:

The five stages are:

1. Denial:

It's normally a temporary solution to allow British Airways time to absorb the news before
moving on. Stupidity and wonder are still in their infancy. British Airways denies a transition
has happened.

2. Anger:

British Airways is furious because they realize the changes are genuine and will affect them.
They're enraged and hunting for blame. (Moller, 2018)

3. Bargaining:

It's not unheard of for the deceased to act up. This is a delaying tactic. British Airways
commonly sees the same kind of behaviour when presented with change. Beginning
negotiations to postpone or avoid the transfer. (Benzer and Afable, 2019)

4. Depression:

Negotiations fail when British Airways recognizes they are doomed. British Airways now
knows the financial implications of the shift and what it will lose. This may cause depression,
drain motivation, and make people want to cuddle up and weep. (Moller, 2018)

5. Acceptance:

The acceptance stage occurs when a corporation concedes defeat in a battle against change.
Resigned to change and accepting that they should keep moving with it. (Guan & Ma 2003)
Burke Lit Win Casual Change Model:

(Burke and Litwin, 1992)

British Airways' structure and characteristics promote transformation. If these traits change,
the whole company may be impacted. As mentioned by (Bass, 1993), as the arrows point in
two opposite directions, these variables must be considered. These are leadership, purpose,
strategy, and culture.

Daily workers are called transactional variables. It is British Airways' management that has a
major impact on these elements. Changes in these variables can only be long-term if they
begin to impact transformative elements. There is also a CEU and how goals are made to
encourage people to work hard and attain their goals (systems). Yan et al. (2004)

Drivers of change:

When it comes to British Airways' change management strategy, the pandemic is the most
important factor, relative to the oil crisis and other GFC issues. All foreign flights were
grounded for over a year during the pandemic because of the progression of the virus. As the
coronavirus epidemic decimates the aviation business, British Airways has announced it will
eliminate 13,000 jobs. (PTI 2020)
The parent company of British Airways, IAG, has announced that Alex Cruz is resigning as
CEO of the airline immediately. After 4.5 years in the role, it was time for him to step down.
After a transition phase, Mr. Cruz will step down as chairman.

As the tourism sector struggles to remain solvent, British Airways has been forced to appoint
a new CEO. The coronavirus outbreak and the resulting travel restrictions have been
particularly harsh on airlines, particularly long-haul ones. (PTI 2020)

Sean Doyle, the current CEO of Aer Lingus, an IAG airline located in Ireland, will succeed
Mr. Cruz in his position. In the future, Mr. Doyle will also assume the position of chairman.
Before transferring to the Irish carrier, he spent two decades working for British Airways.

As of September, he's made his first important choice as CEO. Prior to the outbreak of the
pandemic, Willie Walsh was intended to hand over the reins of the airline to Mr. Gallego in
March.

Passenger demand will not recover to 2019 levels till 2023 at the earliest, according to IAG's
latest forecast. On June 30, IAG announced a record operational loss for the quarter. A pre-tax
loss of 2.2 billion pounds ($2.6 billion) included "exceptional items."

Airlines in the United Kingdom are being pressed by the government to look for funding
elsewhere. In September, the International Airlines Group (IAG) announced intentions to
generate €2.7 billion by issuing additional shares to shareholders. Also in May, it borrowed
€1 billion from the Spanish government to support its airline subsidiaries Iberia and Vueling,
and it borrowed £390 million from the Bank of England via a government-backed borrowing
scheme in the United Kingdom. (PTI 2020)

During his time as British Airways' chief executive officer, Mr. Cruz, who previously served
as CEO of Vueling, a low-cost Spanish airline owned by IAG, was involved in labour
disputes. Instead of signing new contracts with new customers, the airline opted to alter old
ones. (PTI 2020)

Lax security enabled hackers to obtain the personal information of 0.5 M users in 2018 due to
technological breakdowns that have damaged the airline's image in previous years. British
Airways faces a punishment of more than £180 million from the Information Commissioner's
Office as a result of the data breach. A regulator's spokesperson stated on Monday that the
procedure was still underway.
Change Management Practices:

Business Strategy:

SWOT Analysis of British Airways:

Strength:

British Airways has built a strong brand image in the UK by focusing on areas like
technology, fleet efficiency, and customer service. They not only have a solid market
position, but also a customer-friendly brand image. The corporation has accelerated its
digitalization efforts in all areas of operation. British Airways has increased its operating
efficiency by focusing on technological progress. These efforts paid off, and benefits are now
showing in sales, marketing, and customer service. Their website and app have been updated.
Besides serving the domestic market, British Airways has several aircraft flying
internationally. In addition to the UK, it sells to approximately 70 additional nations. They are
also expanding their airline network to include more famous tourist sites. The firm has
formed several valuable collaborations. Finnair, American Airlines, and Iberia have partnered
to increase customer satisfaction. These alliances have aided the company's development,
optimization, and efficiency. (Apapohn Hasoh et al. 2021)

Weakness:

Human resources are undoubtedly an organization's most important asset. British Airways
understands the need of an HR department but has had some challenges in the past. In 2019,
airline pilots went on strike, resulting in a legal conflict. Incidents like this impact employee
morale and the airline's brand. British Airways' income comes largely from sales in the UK
market, which have been hit by COVID-19 and Brexit. Since approximately half of the
company's income originates from home markets, it must develop strategies to grow sales
abroad. (Coline D 2021)

Opportunity:

The organization has already achieved good success by digitizing several of its services. But
technology is a rapidly evolving industry. This implies the organization has an infinite supply
of fresh chances. Airlines also employ hospitality services like the hotel to increase income.
British Airways may learn from this by expanding its product portfolio. Taking advantage of
such chances will increase income and consumer base. (Apapohn Hasoh et al. 2021)

Threat:

British Airways has been adversely affected by Brexit's impact on the economy. Moreover,
the new regulations also have an influence on airline operations. The incidence has presented
British Airways with a number of challenges that they must work hard to overcome. Aircraft
operations will be significantly impacted by limitations imposed by customs and
immigration. The government and aviation authorities have a heavy hand in regulating
British Airways. Rules and regulations must be adhered to in order for the airline to avoid
heavy fines and penalties. The airlines are under a lot of strain because of this convoluted
web of restrictions. All airlines, including British Airways, have suffered as a result of this.
Airlines must adhere to a wide range of COVID-19 Sops in order to keep their system
working properly (SOPs). Trusted airlines get more passengers on board. If regulators
discover a lack of adherence to standard operating procedures (SOPs), your firm might be
shut down. (Coline D 2021)

TOWS Matrix of British Airways:

SO Strategy:

Connecting one's strengths to one's possibilities. By forming code-sharing agreements with

low-cost budget British Airways that already specialize in short-haul flights, you may
increase your market share in this category. (Muda et al. 2019)

WO Strategy:

In order to minimize interruptions and economic loss, it is necessary to reach an equitable

arrangement on pilot and cabin crew compensation in British Airways. (Muda et al. 2019)

WT Strategy:

Be open to the idea of extending the British Airways line of products to include alternatives
to travel, such as virtual reality technology that allow users to attend parties or festivals in
any desired location, and advanced virtual meeting alternatives for business passengers that
can be decided to offer to business class customers. (Nabila Aysca Fakhira et al. 2020)
Recommendation and Improvements:

The SWOT analysis of British Airways was carried out in order to determine the airline's
internal strengths and weaknesses, as well as the opportunities and threats that exist in its
environment, using the framework. Following that, the TOWS framework created strategic
choices for British Airways depending on the outcomes of the SWOT analysis that had been
conducted. To enhance its market performance, according to the TOWS matrix, SO
marketing plan and WT market diversification alternatives would be realistic future
possibilities for the airline in the near future. It was also determined that the strategic option
WO, which was a plan for operations improvement, was adequate and practicable in terms of
implementation. However, in terms of its desirability, it was unclear if British Airways would
be able to fulfil such a request in the mid-long term, given the present Covid-19 pandemic-
related economic problem. British Airways need improvement in sustainability and
environmental strategy. A company needs to focus on the current management issue like HR,
employees retention strategy, new product lines, revenue generations, covered losses in three
years.
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