American Airlines Merger Paper

1533 Words4 Pages

Merger of US Airways and American Airlines
American Airlines Group Inc. (AA) is the largest airline in the world. They seek to be an effective organization that has better customer service, effective staff, and a successful vision. The five stages of the Organization Development process will be used to implement the development changes needed for the new “American Airlines Group Inc.”
1. Anticipate a need for change: American Airlines needs new communication channels to follow up with all departments, create a new mission and policy to have a clear future for the organization, and make travel deals to attract customers. Also, there is a need for training all managers, having talented management to adapt the changes, and accept the new challenges …show more content…

Airway and American Airline need to find ways to work together as a corporate culture. The systems approach explains how the organization works, so (AA) must work as an open system. The open system is how the organization interacts with the environment, such as people, information, money, and facilities. The process of the open system has three main parts, such as the input, the process, and the output. First, (AA) has the money, people, and information of the airlines as an inputs. For example, they have to hire effective employees who have the knowledge and experience in the department to perform better and accomplish the objectives of the organization. Secondly, they work on the processes in the organization. For instance, they coordinate the flights, book flights for passengers, and aircraft maintenance. Finally, they will have the output of their performance. There will be customer service, safer airplanes, offers for customers, and less traffic on routs with other competitors. After all, they will receive feedback for the environments, which is going to improve and develop the organization’s performance and help the system …show more content…

The organization has many weaknesses, such as they had to a divestiture of 138 slots in different airports, both American Airlines and U.S Airway faced financial problems and losses, and they had poor marketing programs.
As an opportunity, (AA) has a chance to build great marketing and attract customers by offers and using new technology to make the process easier. The threat that (AA) might face decreases in costs due to competition with others and increase in the fuel prices in the market. Now they have a clear plan to evaluate both the process and the outcomes. Process evaluation helps the organization make sure that the process working toward the objectives. They have to look if interventions work or not, and how and why. Also, see if there are enough supports to implement the process or not. Outcomes evaluation provides the organization if the changes reach the goals and work effectively. It focuses on the benefits of the changes and what makes it

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