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Task Week 6 Strategic Management and Management Control
Task Week 6 Strategic Management and Management Control
IACC Institute
29-04-2021
Development
Consider the LATAM Company. This company offers air transportation services with different
national and international destinations. Considering this company, you are required to answer the
following questions:
• What would happen if the LATAM company decides not to update its technology for 5 years
We know that the world of Information Technologies does not stop and this is why, if we see
the evolution of cell phones in recent years, we have that 5 years ago the basic cell phone still
used vga type cameras (very low quality ) and the memory was in Kilobytes, unlike the most
advanced one that had 1 Gb memory, but currently the most basic cell phone has 2 megapixel
cameras and 2 Gb of memory. Taking this evolution, as an example, innovations in air traffic
and in aeronautics in general have also advanced, with the incorporation of flight control apps
on the ground, cargo supervision in air traffic and obviously communications, the taking of a A
decision as important as technology stagnation can represent a fall in business and considering
this option must be taken several instances of measurement and evaluation, with different
essential for the analysis of data, which leads senior management to make such an important
strategic decision. And the big question is, what would happen? Mechanically, the planes and
operations would continue to operate, but at a slower pace, with a high possibility of customer
dissatisfaction, since the equipment and processes are very old, after 5 years. On the other
hand, at the end of this period, we would see that the investment to update operations would
have very high costs to be able to match the competition, which leaves the company at a
disadvantage compared to its weaker competitor, since that they adapted to the market and the
demands of their clients for 5 years, which would imply, for their competition, a low
investment to remain above them, in addition to elements such as administrative control that
would be far below the needs of clients. internal and external, social control would be
diminished since by not updating the technologies, customers would be faced with planes with
lower performance, which for some people who travel frequently, having WIFI and places to
charge their cell phone are essential, even more so if They are people dedicated to business.
• How does an information system support the strategic management of LATAM? Explain your
LATAM has information systems in several of its areas of strategic management and
operations, but its strategic focus is on the efficiency of its operations, which seeks to
make them as simple as possible and with various levels of flexibility that allow
Decisions are made in the shortest possible time, using technological means for long-
distance meetings, with translation apps incorporated into their video conferences, in
the decisions. taken. On the other hand, being competitive in terms of costs implies
generating savings in fuel, rates, purchases, operations, general expenses and distribution
costs that are allowed by information systems, which, when intertwined with each other,
allow us to have a vision of the current situation at any time, which implies that the
accelerated pace of work does not stop, leaving its competition behind, becoming
undisputed leaders. We know that ICTs are modelers of strategies that go hand in hand
• What would happen if a public service worker decided not to use information systems and
Santiago Airport in the domestic flight area, when the information and communication
systems have failed or the electricity was out, where the Counter operators have had to
the operation, from control with printed passenger forms, manual checking and
Counter and the boarding gate ( which is commonly used today), radio communication
between the head of operations and the Counter and his control of passenger forms, the
entry and boarding of passengers, control of the cargo registration of passengers and
cargo of shipping companies. this. In addition to all these operations, which only name
the most relevant, it should be considered that the staff must be doubled or tripled, for the
operation, the long lines of dissatisfied customers for long periods of time. delays in the
registration of your data, delay in flights due to the delay in the Counter, but in the face
of a contingency situation, the application of previous protocols may allow the operation
to work, not in the best way or in the way that It is usually expected, but with staff
trained in handling conflict situations (exalted passengers) success can be achieved at the
end of the day, but maintaining this situation over time as a habitual tool will end up
collapsing the collaborators and the The company will quickly see the losses due to
that a business can have when things are as customers expect them to be.
Bibliography