Advantages And Disadvantages Of Qantas

Corporate social responsibility (CSR) is a broad term used to describe a company's efforts to improve society in some way. These efforts can range from donating money to non-profits to implementing environmentally-friendly policies in the workplace. CSR is important for companies, non-profits, and employees alike.

Qantas Airways is the major airline carrier in Australia and is the leading airline not just in Australia but the whole world. Qantas is a major airline known all around the world that delivers to their customers and wants to constantly improve their performance. Qantas has been a major developer in the airline business since they were founded in 1920. They have had some major success within the business for over ninety years, however, over the past ten years they have experienced some major challenges which have put the business and leadership of CEO Allan Joyce into question. This report outlines the challenges they have faced in they have faced in the post maturity stage in the business life cycle which include the 2011 Qantas Industrial Disputes and the 2013/14 Qantas loss of profit, how they have been able to overcome those challenges and influences, both internal and external.

Rivalry among industry competitors has caused attention to be focused on tariff levels. Airfare prices were at an all time low in 2009. This suggested a strong competitive rivalry based on price differentiation. This price differentiation will cause a dramatic loss in revenue if these prices continue to drop and this would lead to a reduced competitiveness. In an effort to safeguard revenue and reduce expenditure, Qantas has developed a strategy to deal with a change in the external competitive environment. .

Corporate social responsibility (CSR) is a corporate initiative to assess and take responsibility for the company 's effects on the environment and impact on social welfare. CSR may also be referred to as "corporate citizenship" and can involve incurring short-term costs that do not provide an immediate financial benefit to the company, but instead promote positive social and environmental change.

Qantas group further demonstrates strong social responsibility through actively producing both business & group policies with intention to defend both its brands and reputation. Through the decades of operation, they have become known to zealously crack down on crime and corruption within their midst as well as taking part in business and its relations with a strong moral and ethical code. They provide evidence for these claims through significant checking of employees as well the requirement of all individuals employed under them, regardless of specific occupation, to strictly stand by and enforce all bribery laws. In order to assist with this, reports made by those under them are done so in a way that allows the individuals making wrongdoings known not be put in danger. This nonviolent environment allows

Corporate social responsibility (CSR) is the ethical behaviour of a company towards society it operates in. It is a commitment to the concern to the society’s sustainability & development.

The Australian aviation industry faced toughest operating environment in the past 2 years driven by increased capacity in the domestic and global market, weak consumer sentiments after repetitive plane crashes, the ever rising and unstable oil prices and the economic uncertainty prevailing due to global economic crisis. Qantas introduced transformations in the form of maximising cost reduction, right-sizing fleet and network by reducing the staff, working existing assets harder, deferring growth, aligning capital expenditure to financial performance and accelerating simplification which are hard yet necessary precautions to be maintained for a profitable and sustainable future (Anon., 2014, p. 5). Qantas recorded $204 millions of benefits in the second half of 2013/14 due to the transformations even though Qantas recorded a loss of $646 million loss before tax, associated with an increase in fuel price by $253 million compared to 2012/13 and revenue decline of $550 million. Demand reduced drastically in the domestic market with decrease in consumer spending as an impact of low business activity in mining and government sectors (Anon., 2014, p. 6). Qantas introduced leaner, focussed and sustainable transformation reducing unit cost by 3%, and only if there is relative international and domestic capacity growth,

Corporate social responsibility (CSR) is a term used to describe a company’s efforts to improve society in a certain way. These efforts range from donating money to an organization such as a nonprofit organization, to implementing environmentally friendly policies in the workplace. This idea is not required for companies; instead it is something that companies do to improve their communities. The way companies practice CSR is different from company to company, and some companies may not even practice it at all.

In 2014 Qantas Airways LTD reported the deepest loss in the airline’s history. Qantas informed they made massive losses and cut thousands of jobs (Ross K, 2014). The situation was caused by write-downs, higher fuel costs, weak demand in Australia and market capacity growth outstripping demand (Creedy S, 2014). Qantas chief executive Alan Joyce said that the company needed to take measures to fix the airline. Qantas Frequent Flyer is a loyalty program. A person who flies Qantas Airlines, books a hotel or rents a car can earn points and exchange them for rewards. Qantas Frequent Flyer has a value of $3 billion (Wardell J, 2014).

In February 2014, the company announced an A$252 million loss in the first half of FY14 alone, and the need to cut costs by A$2 billion and the workforce by 5,000 full-time employees or part-time equivalents. Planning also to exit underperforming routes, the airline as the end result of this cost reduction programme would be smaller but hopefully profitable. Given the severity of the situation, Qantas is lobbying for the Federal Government not only to repeal or at least alter theQantas Sales Act, but also to guarantee its debt.

Alan Joyce the current CEO of Qantas is doing the same at the moment. The overview of the current strategy implemented by Qantas is that the company has to come out of the financial deadlock caused by strikes and heavy competition. For this they are painting the brand as the ‘Spirit of Australia’ to associate nostalgic influence in the experience. Qantas is using Jetstar as a brand for lower tier in the developing countries and Qantas’s original brand to cater USA and European market. In Australia Qantas is using its multi brand strategy. (Euro monitors International, 2014) Since Qantas has not have a good experience with unions recently so they are trying to keep diplomatic relations with them at all levels. (Economist,

The assignment includes understanding the corporate strategy of Qantas Airways in respect to its domestic and international markets. The report also includes accounting policies that are necessary in aviation industries. The assessment then evaluates the financial position of Qantas Airways for the year 2013 and 2016. The comparison of the performance for the two years has also been done. Finally, the recommendation has been

For the financial year that ended on the 30th of June 2013, the Qantas Group reported an underlying profit before tax of $192 million, which translates to a statutory profit before tax of $17 million and a post tax statutory profit of $6 million respectively. The development of the Qantas Group’s strategies set for 2012 and 2013 progressed in seemingly tactical ways, despite a challenging backdrop in both the domestic markets and international markets with stellar high fuel prices across the globe and an excess of capacity in Australia concerning domestic low cost and full service carriers. The international market also faced and continues to face over capacity

This report is on Qantas which is one of the largest airline companies of Australia. It is operating in more than48countries of the world. Qantas is admired by people for its safety, low fare, good and friendly crew. Qantas is providing quality service to its customers. Qantas is facing a few problems mainly due to its high cost and strong competition in the international market. The management of Qantas needs to work according to the international standards to cope up with the present day customer needs and requirements.

CORPORATE SOCIAL RESPONSIBILITY (CSR) is a term describing a company’s obligation to be accountable to all of its stakeholder in all its operation and activities. Socially responsible companies consider the full scope of their impact on communities and the environment when making decisions, balancing the needs of stakeholder with their need to make profit.