porters five forces Essay

There are three main parties to this case; Flywell Ltd (F), the parent company, Jetover Ltd (J), the subsidiary, and the Australian Pilots Association (APA) which is representing the 200 pilots currently employed by J. F incorporated J as a wholly owned subsidiary of F and appointed four directors for J from the six directors of F. Two hundred of F’s pilots were made redundant and immediately rehired by J on lower wages and entitlement previously enjoyed at F. New pilots hired by F receive 20% more pay and entitlements for the same work than pilots of J.

On October 22nd, 2001, the Industrial dispute between QANTAS and its employees was initiated with the offering of a new Enterprise Bargaining Agreement. This proposed an 18-month wage freeze for employees plus a sliding scale profit share scheme. Ten out of twelve unions under QANTAS accepted the terms of the agreement, barring the unions of manufacturing employees (AWU and AMWU). They were holding out for a 4-6% pay rise. On the 8th May 2002, some ten months later, the dispute was resolved when QANTAS agreed to an across the board 6% pay increase. This essay provides an in-depth analysis into the dispute, including causes, the resolution process, the role of stakeholders, and costs and benefits for all concerned.

The main focus of this report is to identify the legal classification, the characteristics, the life cycle stage of Qantas and one internal and external stakeholder that is affected by the activates of Qantas. The legal classification describes that Qantas is a public company and has changed its legal classification in the growth and maturity stages of the business life cycle. The characteristics of Qantas talks about the company's industrial classification and sector classification. The business life cycle is explained and gives reason why Qantas is in the renewal stage of post maturity. There is also description of one internal and external

1) Qantas Airways Limited is the national airline of Australia, it is also the largest airline in Australia. The Qantas Group’s principal business is providing domestic and international air transport services for passengers. Additionally, Qantas owns several subsidiary companies such as Jetstar and QantasLink that also operates flights to domestic and international locations, and Q Catering, a premium full service flight caterer.

Theoretically, secondary boycotting and picketing could be a never ending spiral; employees voice their concerns on an issue, they strike, companies end up in crippling debt (due to man hours lost), are forced to close, which then causes other organisations to go on strike over the way the previous situation was handled.

He was working the hardest of all and performed the best in the department. Interestingly, because of the informal relationship within the groups, the punch-out system was misused by everyone with different practices, except for the 10 women in the rack assembly. Workers tended to punch the time cards for their co-workers who were leaving early after the supervisor left the plant. The production manager was also concerned with this dishonesty among some employees. However, laying off was not a practice in this department because the company wanted to keep training cost down and employees valued feeling of security derived from this policy.

By outsourcing, Qantas is able to significantly reduce costs and maintain it’s competitive advantage. However this advantage also has a draw back, hundreds of engineers have also been cut from their jobs and have had their jobs given to people overseas. This puts a bad reputation on the name of the business as an Australian business will cut jobs from Australian workers and supple foreign workers with jobs. Families and friends of these workers may feel resentment towards Qantas and choose to travel with another airline instead resulting in a loss of customers. This strategy has been effective in reducing cost but has resulted in a reduction of quality and safety and led to a decreased business reputation resulting in a loss of customers and stakeholders.

     Many unions are at battle with their respected employers. Some of these fights are better known than other fights. United Airlines is trying to renegotiate contracts to save their company money. This has been a long battle for United,

Dunlop states that the industrial relations system is seen to be 'comprised of certain actors, certain contexts and ideology which bind the industrial relations system together and a body of rules created to govern the actors at the workplace (Blyton Turnbull, 2004, P27). And

The Aussie Air negotiations were a series of five-party talks between Down Under Air (DUA), the Aussie Air Shareholders (AAS), Aussie Air Management, the Federal Government and the Aussie Air Workers’ Unions. I was the united unions’ spokesperson for the negotiations, representing their interests in order of priority: job security, current management’s contract length and stock prices. This paper will review the contents of the negotiations, relating them to key ideas and concepts gleaned from research and lectures through thorough reflection and critical analysis. It will discuss the success of the negotiations, the tactics used to claim value, the methodology of creating value, and the revision of strategies with dynamic relationships as new information emerged. It will also examine the politics of coalitions formed and the observations of cognitive biases and emotions.

The weakness of Qantas lies in the management and their lack of investment in their employees. The management weakness can be seen in many of the financial and operational issues. Qantas faces several Industrial disputes which the company’s competitors do not experience. These issues affect the interior structure and the external opportunities to gain new customers. This also makes this their biggest

Empowering broad-based action—the company should continually check barriers of change and remove obstacles to make the change strategy successful. BA (2010) announced that striking staff would forfeit cheap travel perks. This action aimed to reduce strikes and penalized strikers. In addition, more than 80 crew members (2010) had been suspended and 13 had been permanently dismissed from BA. BA took actions to remove barriers. However, it did not help Cabin Crew to meet their needs, and caused new barriers.

Imagine a business full of employees who would like to strike or walk out due to the fact of the mother company has cancelled several of their benefits or an employee who has had multiple issue with work, home

In February 2012 the Head of the TMCA Max Yasuda went on the front page of The Australian Financial Review and talked about industrial regulation (IR) reform (Roberts, 2012). He talked about the workplace practices at the Altona manufacturing plant, Saying that when he visited he could see improvements to made with his own eyes (Roberts, 2012). Max Yasuda was doing everything within his power to keep the TMCA going. He said to achieve viability he was aiming to cut the company’s manufacturing break-even point by 25% in two years and double the output of local manufacturing (Roberts, 2012). Toyota was clearly in trouble, Max Yasuda had just cut 350 jobs at the Altona plant (Roberts, 2012). He later tried to cut the cost of making a car by $3,800 through an initiative called the Toyota Australia Future Business Transformation (TAFBT) that started in 2012 ("Toyota Motor Corporation Australia Limited," 2013). But Max Yasuda faced setbacks. He tried to change its Workplace Agreement to provide more flexibility, be more competitive and remove allowances to reduce labour costs ("Toyota Motor Corporation Australia Limited," 2013). Four senior members of the company brought up the decision and the Federal court blocked the decision ruling that it was against the Fair Work Act (Ewin Hannan, 2013).

In 2009 Diageo announced that it was to reduce its work force in the Glasgow and Kilmarnock plants in Scotland by 900 workers. The company faced wide spread criticism from both the Scottish government and trade unions for their refusal to negotiate or adopt a compromise suggested by the Scottish government, which could have saved at least some of these workers jobs. Considering the brand had been linked to Kilmarnock for almost two centuries and most workers had been working in the plants for generations, the way in which they were treated by the company, was abominable. (Maddox 2009)