The fear brought many negative affects to the finances of companies and to the areas of auditing and consulting. Shareholders of many successful companies were now aware of how auditing and consulting led to a conflict of interest and were demanding that organizations address these concerns through the separation of auditing and consulting. Although these shareholders had the right intentions, the split requires further analysis to understand the implications of the Enron and Arthur Anderson relationship and the benefits and drawbacks to having one firm providing both auditing and consulting services. Events Leading to Separation Arthur Anderson’s contributions to the Enron disaster began with the change of focus of Arthur Anderson from unquestioned accounting ethics to generating income (Brooks, 2007). When one focuses primarily on making money other considerations become so unimportant that they rarely, if ever, enter the picture.
The goal for Classic Airlines is to build consumer and employee confidence while keeping costs low. To do this, customer feedback gets thoroughly analyzed so the company can understand forecasting and marketing objectives going forward (UOPX, 2005). Classic Airlines has faced many obstacles, three being the rapid increase in employees, the 19% decrease in rewards members, and the 20% reduction in flights. They need a significant change in very little of time (UOPX, 2005). Another hurdle they are facing is the mandatory cost reduction of 15% handed down by the board of directors for the next 18 months.
The second event deals with eRPD customers filing complaints with the Securities and Exchange Commission (SEC) about lost assets because of not being able to log-in due to eRPD having hardware failure. This forced the brokerage firm to pay-out $1.7 million in damages to the customers who filed the complaints (University of Phoenix, 2009). Finally, when the eRPD customer bulletin boards were reviewed, it reflected a steady flow of customer complaints. These complaints pertained to "eRPD's lengthy lag times in opening accounts, sporadic and inaccurate confirmations of trades, and errors in account information, tracking, and recording" (University of Phoenix, 2009). Stakeholder Perspectives/Ethical Dilemmas There are several internal and external stakeholders that were identified in the RPD scenario.
The steps used in goal setting are outlined from the text and sorted in their order of importance. Their relation to successful emergency management is described in context as part the definition of productivity in a working program. Goal Setting and Emergency Management Sagging productivity is a major problem in the United States as well as in many other countries. From the attention given to the problem in the news media, declining growth in productivity is clearly of great concern to managers, economists, and political leaders, as well as to many citizens. Certainly, this attention is warranted; sagging productivity adds to inflation, which, in turn, degrades quality of life.
Boeing has experienced operational problems due to lack of understanding of personnel issues and unethical conduct. Over the last several years Boeing has experienced internal weaknesses and outside threats leading to a need to improve leadership and management operations. The need to improve internal operations includes lack of understanding of organizational culture that inhibits current and future growth of the company (Heizer, 2009). This can be witnessed through the backlog of deliveries caused by a machinists strike in 2008. A change in Boeing’s organizational behavior is required to more effectively manage labor and customer relations.
Case Study Analysis Boeing May 3, 2015 ORGB 2605 Group 5 Wendy McLeod - A00545182 Courtenay Anderson - A00665468 Ana Cielo Tanjuaquio - A00748789 Taylor Nicholson - A00839192 Contents * Overview * Symptoms and Evaluation of Key Factors * Statement of the Problem * Congruence Model * Star Model * Conclusion * Recommendations Overview As one of the highly regarded manufacturers of aircraft, we look into the problems that Boeing had to overcome in terms of implementing drastic changes within the company and the merger that dealt with integration issues. Symptoms and Evaluation of Key Factors * Loss of market share * Merging of two different cultures * No strategic plan as to how they were going to get to a certain goal. The focus was based on production and costs, “not on airy vision statements” * Low moral * Lack of faith by the community and stockholders * Lack of communication within the organization * Unprepared for the encroachment of Airbus into their market share Statement of the Problem Boeing was not strategically prepared for the market intrusion of Airbus, nor with trying amalgamate two different cultures, with the takeover of McDonnell Douglas. Analysis * not centralizing IT systems to be used * not developing an effective transitional plan with the purchase of McDonnell Douglas * lack of planning when doubling their production capabilities which resulted in a loss of 20 production days Congruence Model In reference to the congruence model we see Boeing, who had been a leader in the aeronautics industry, falter when they failed to keep strategically current in production and information systems as well as when faced with competition. With Airbus taking over market share Boeing reacted without forethought and without forming a strategic plan.
After two straight years of financial losses in 1994, CEO Ron Allen rolled out a new strategy called “Leadership 7.5.” Allen targeted to reduce Delta’s cost per each available seat mile from more than 10 cents to 7.5 cents, which would match that of major competitor Southwest Airlines (Bryant, 1997). Along with a new company strategy a change followed with Delta’s human resource strategy. This changing policy devastated employee morale and resulted in a decline of customer service, efforts to unionize, and dissatisfaction among personnel. Delta couldn’t keep the past primary policy about human resources so there were several significant changes in Delta’s organization and corporate culture. There are many programs that Delta has built after passing through the cost-cutting reformation in 1997 for getting back its capabilities on customer relationships like rewards and recognition program above and beyond and more.
| Student’s Signature (type your full name): | Donald A. Middleton | US Airlines Case Study U.S. Airlines Case Study Since deregulation a combination of the September 11, 2001 terrorist attacks, high fuel costs, and the 2008 financial crisis has contributed to the dismal state of the airline industry (Grant, 2013, p. 472). The U.S. airlines have weathered stormy skies (Suciu, 2011). Through cost cutting efforts, process improvements, and less competition through mergers the airlines are profitable, however, even with all the optimism, the outlook still remains bleak for the industry (Grant, 2013, pp. 472-474). To sustain profitability the airlines will need to abandon some routes leaving smaller airports without service (Federal, 2011) and become better not cheaper, meaning less capacity for those who fly (Siciu, 2011).
Question 2 In 2007 and 2008 Boeing ran into several well publicized issues with regard to its management of a globally dispersed supply chain. What are the causes of these problems? What can a company like Boeing do to make sure such problems do not occur in the future? The root cause of the problem was supply management and Boeings lack of an appropriate inventory management system. A secondary problem with the system was a capacity issue.
Boeing case study Introduction As highly competitive markets in various business markets have been formulated, it has become the natural phenomenon to see dominating business diminishing through being outweighed by its competitors. Boeing, the leading manufacturer of aircraft in America until late 20th century, is one of cases which lost its dominance by failing to enhancing culture and competitiveness. In this essay, it will discuss the case of Boeing given by Palmer (2008) to analyse the cause of its problematic situation as well as realistic improvements on the organisational culture and stability. The methodology of the document is to select two types of models, Congruence and Star, to demonstrate the current issues and circumstances inside Boeing. Explanation of Models and their Applications The first model selected is called Congruence Model.