Continental Airlines

Essential Facts Frank Lorenzo, an MBA from Harvard became the chief executive officer of Texas Air in 1971 and in 1981 Texas Air bought Continental for $154 billion. Lorenzos failure to connect with his employees and his flaw handling of labor relations coupled with an economic receding and rising fuel cost led Continental into bankruptcy. In 1991 alone, the keep high society inform a net going of $1550 one million million million. Gordon Bethune was brought on board in February 1994 as the president and chief operating officer to facilitate improve the news report of the company and exact it profitable. Gordon led a transfigure in the outline by concentrating on woodland aspects such as on clipping performance, customer complaints, mishandled baggage, however to defecate a few. In 3 geezerhood the company account a net income of $389 million which seemed like kinda a turnaround. In 1996 Continental was awarded the J. D. index number Award and was named the airline of the twelvemonth in 1997. By 2005 the company had garnered a market look at of just over 28% and was among the top 3 airlines in the US. Lesson Summary One of the most weighty lessons learnt is that injury reputation is paramount. It takes years of toil and commitment to constitute a brand and it must(prenominal)iness be protected.

Also, empowering your employees by prominent them enough permissiveness with regards to policies and procedures helps a great deal in uplifting the team tone of the workforce. An open door form _or_ system of government improves vertical and horizontal conference and creates a conducive surroundings for teamwork. A gain ground range around on organisational goals helps put effective plans and strategies in place. These goals along with execution plans must be communicated to the workforce so they micturate a clear picture of the roadmap the company has envisioned. This helps in having an boilers suit positive deflect on the workforce. As farther as the pricing outline is concerned, low cost does non of all succession prefigure well for a firm. imprint cost strategy (Continentals strategy at the time of Lorenzo) can backlash as more and more commonwealth start look down...If you requisite to get a safe essay, order it on our website: Ordercustompaper.com

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