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Strategic Management

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Strategic Management of Malaysian Airline

12 Pages 3067 Words 77017 Downloads

Introduction To Strategic Management

Strategic management is the systematic analysis of the external and internal environmental audit to identify issues and monitor them for future objectives. Strategic management helps to achieve objectives and support to set strategic priority for organization (Jeffs, 2008). Report will provide the information about individual contribution in the group report about Malaysia airline. It will also indicate the key areas of research and research skills which were identified in section-4. Report critically discuss the strategic models applied in group report and provide the details for individual work.

B) Key Areas Of Research And Sources

In the group research report, I have found out many important areas about Malaysian airlines and provided detail information for each topic. My key areas of research are as follows:

Financial areas: I have tried to find out the procedure of collecting funds and distributing them. In the research report, I carried out the research that Malaysian airline is facing issues in the financial area for operating their business after 2 major incidents has happened in last 10 months. Management is working to find out new investors for financial support.

Terrorism and political areas: In the research,I have tried to find the impact of terrorism and political forces which influences the business activities of Malaysian airlines. Company is feeling pressure from both ends to its flight and policies. Management is working on improvement in safety and security of passenger and staff members and is trying to implement government policies for the betterment.

Employee retention areas: Malaysian airlines is facing challenges to meet the expectation of employees and retaining them for effective service delivery. Management of organization is facing issues in salary,as they lack in financial areas and safety of staff members which are creating barriers to meet the objectives of employees. From the research, it is considered that a Malaysian airline is facing issues in retaining their employees.

SWOT and PESTLE research issues:

SWOT research: With the help of SWOT analysis it is carried out that organizational strength is its strong brand image and weaknesses are distribution of funds and tax policies. I had found out that a Malaysian airline has the opportunity in international market and threats from competitor organization like Easy jet, Emirates and Singapore airlines. Fluctuations in currency exchange also a big threat for them.

PESTLE research: From this analysis I have discovered that organization needs quick improvement in social and environmental factors which are affecting their business activities. In technical and legal areas management of Malaysian airlines has developed impressive strategy to meet responsibility.

Sources of research:

I have carried out the research with the help of websites which provide me details for strategic management. I use the online information provided on the official web site of Malaysia airline and their annual report. To support my research I took the help of online articles and books which were based on the strategic management. From the SWOT and PESTLE analysis I have discovered business issues in Malaysia airline. I used them as sources of finding in depth information to support my report.

C) Discussion Of Strategic Models Related To Topic Set

For managing gaps and gaining competitive advantage over other airlines, I have suggested two strategic models that could be helpful to Malaysian airlines. I have tried to apply sustainable strategy model and limited growth strategic management for the improvement.

Sustainable strategy model:

Brief introduction of model:

Environmental scanning: By performing this organization can identify the issues and problems that are affecting their business activities. For environmental scanning management uses the SWOT and PESTLE model.

Strategy formulation: After identification of problem, using this model organization is required to frame strategy to solve the problem and establish new possibilities. This is the secondary part of model (Tactics, tools & strategies – five steps to implement, 2010).

Implementation: Next step is to apply the changes in organization to mark improvement and increase brand image as it was facing in previous years. To implement it properly, organization needs acceptance of all employees (Gomes and et. al., 2014).

Control: After implementation management is required to monitor that the process of work is going in right direction or not (Parvinen, Tikkanen and Aspara, 2007). By monitoring the activities company can check the capability of strategy in providing positive results for obtaining objectives set for future.

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Critical evaluation of models:

This model is used to manage the operational and tactical activities within organization and make necessary changes to accomplish objectives of Malaysian airline. To implement the strategy management of organization needs to conduct environmental scanning which will add cost and time which influences the planning of organization for collection of funds and distribution of them (). However, environmental scanning is helpful for the company to identify the key issues which are creating barriers in the growth but it required the money and time to effectively perform. By scanning environmental with the help of this model ,I have find out that organization is lacking in managing funds and formulation of effective strategy which is not in favor of Malaysian airlines. Environmental scanning is performed with the help of SWOT and PESTLE analysis to support the report I have prepared. The major task is formulation and implementation of new strategy developed with the help of this model. Though, it is for betterment of organization but it requires human resource and funds for research, analysis and execution. Management needs the consideration of all staff members for the changes they are going to apply, some of the staff members resist to change and vote against new policies which becomes tough task for manager to clarify and convince the employees to manage their work according to new strategy. Organization can use the sustainable business strategy to fix the gap and get competitive advantage (Doole and Lowe, 2008). For the implementation organization need support of all staff members and other stakeholders which is crucial and vital.

Top priority of organization need to be considered with the help of model for improvement, managers have to work on this by working on issues identified in environmental scanning. By analyzing the report of environment scanning, manager can easily develop strategy to meet the objectives of growth (Porter, 2008).

In my opinion, this model is very effective to identify the problem and develop plan for improvement. It will provide the evaluation and control for balancing the task and assignment of role and responsibility. Control over the strategy will be beneficial for the Malaysian airline to check the capacity of applied model. By following or implementing this model organization can be able to enhance their brand image and capability of work. For example, if Malaysian airline applied this model for developing strategy for improvement, it would be better for managing funds, employees and creating policies for determining the price to attract customer according to market condition. Formulation of management strategy with the support of model could be supportive for Malaysian airline for sustainable business strategy to fix the gap and get competitive advantage.

Limited growth strategy model:

Brief Introduction of model:

This model is used to identify the customer’s perception and development of new services and modification in existing services. This could be beneficial for management in managing resources and their proper utilization (Kruger and Mama, 2012). Customer perception and market analysis is performed under this model and strategy.

Critical evaluation of model:

I have found t that, this is the easiest model for developing effective and quick strategy according to current situations and circumstances faced by the Malaysia airline. This model is capable of managing the product and services according to market conditions and perception of customer for availing services (Langfield-Smith, 2008). This model and strategy will be helpful for the Malaysian airline to improve its services and to increase brand reorganization as company earlier had at the international level. Limited growth strategy is designed and developed to implement changes at small level and get positive results. However, it would be effective for management to develop strategy but they need to invest funds to perform market surveys to identify the key factors which could be helpful in the formulation of management strategy.

My opinion on this model is that, it would be handy and time savvy for the Malaysia airline to develop new services for the potential customer as per model of strategic management, company needs to collect information about customer’s perception which helps to increase sales and collect funds of future development. For the current scenario, it is very effective and low cost model to overcome the issues like improvement in services, safety and security of passengers as well as motivation of employees. This could be better option for the Malaysian airline management to fix the gap and get competitive advantage over rivalry firms for both international and domestic level. It is critically judged that this model and strategy is very effective and easy for management to understand and explain to other staff members. For example, organization can resolve the issues like financial problem and employee’s retention by developing strategy with the help of limited growth model.
In the current scenario, organization is facing many issues in its strategy where it needs immediate changes to craft improvement in its operation and brand name. In the following areas Malaysian airline need strategic changes. By using this model organization would be able to fulfill its requirement (Marren, 2007).

D) Indication Of Key Conclusion And Findings Related To Models And Practical Implication

By using the models and following them for managing task and other related issues. I have concluded the following facts:

Financial issues: This is the most influencing issues which I have tried to find out in the report with the help of model and theories. The procedure of collecting funds and their distribution for daily operation is insufficient at present position for Malaysia airline. From the research report, I have concluded that Malaysia airline is facing problem in meeting the demand of employees and suppliers, the management of funds is improper and in an unorganized manner which is due to 2 major losses in recent time. In spite of this, management of Malaysian airlines is working to attract new investors for financial support to run their business.

Employment issues: From the group research, I have found that, Malaysia airline is facing challenges to meet the expectation of employees. Organization is facing major problem in its international flight services delivery. Employees are refusing to attend the flight due to safety and security issues. From this research, it is considered that Malaysia airline is facing issues in retaining its employees. Organization can fix this problem by using the limited growth model and strategy.

Political issue: Organization is facing challenges to sustain its position for international aviation. From the research, I have tried to conclude the impact of political forces which influence the business activities of Malaysia airline. After the two major incidents, organization is under pressure of government as they are asked to establish new security and safety measures. Company is feeling pressure from both ends to manage their flight and policies (Cadez and Guilding, 2012). Management is working for improvement in safety and security of passenger and staff members as well as it is trying to implement government policies for the betterment.

Practical implication of model and theories:

To manage their services up to the standard of international level, I suggest that the sustainable growth strategy is very effective. Organization can use it for improvement and overcoming the gap that Malaysia airline have in its service delivery. Implications of issues I have found out in research are as follows:

Discussion and meetings: Management of Malaysian airlines can take the help of group discussion to resolve the issues. By doing this they can develop the satisfactory management strategy that could be acceptable to all stakeholders so as to cover all areas for improvement. My opinion is that, top management has to organize review meeting of strategy and problem to fix the gap in the internal operations.

Help from consultancy firm: To get the competitive advantage and improvement in brand image, organization can also take the help of any marketing and strategic consultancy firm. I suggest Malaysia airline management to ask for assistance from firm who performs survey and market research for developing effective strategy by using the proposed models.

Online feedback services: My opinion is that for improvement, organization needs to start 24*7 online feedback website or application that would help the management to recognize the potential areas for improvement. This could be the best option for customers and employees to draft their view which requires modification and major changes.

Up gradation of technology: To meet the security and safety measures at the international level ,my suggestion for Malaysia airline is that, they need more technical tools and assistants to identify and avoid risk in-flight or at ground level. Organization required asking manufacturing firm to add more technical features.

E) My Learning From Research And Success Or Failure Of Team Efforts

From the research my learning about the topic is as follows:

Identification of issues: From the report, I have learnt to find the issues organization is facing in current time. I learned the use of SWOT and PESTLE analysis to identify the issues and challenges which affect or influence the process and decision of organization.

Selection of models: From the research, I came to know that how to select a model and strategy for improvement and development of organizational brand image as well as meeting the expectation of all stakeholders. I learnt the factors and areas to be included in the process of section strategy. This could be the major part of learning.

Implementation:The execution of strategy is an important part. Many kinds of factors are involved in the implementation that I learned from the task I individually perform in research. Organization needs support of all staff members to manage changes to uplift the performance of individual and organization in market.

Success or failure of team efforts:

To perform the research I and my team put their full efforts to meet all the task of research report.

Success criteria:

Finding of issues:Team of research has successfully identified the issues which Malaysia airline is facing. Organization is facing major problem in their international flight services delivery. Employees are refusing to attend the flight due to safety and security issues. From the research, we try to conclude the impact of political forces which influence the business activities of Malaysia airline. The most influencing issues which we have found in the report with the help of model and theories are financial problem. We have concluded that Malaysia airline have problem to meet the demand of employees and suppliers as the management of funds is improper.


As I know team failed to address all relevant areas that might be involved in the research report. We try to meet all learning outcome that needs to be answered. Still we lack proper addressing and applying the function of model for improvement.

F) Individual Contribution And Its Impact On Group Assignment

For the group assignment, I have given my contribution by providing the information about issues we found out for Malaysia airline. Major impact of my contribution is as follows:

From my individual efforts, we have managed the time for completing our task and performed it on time. The impact of my efforts has been that team is able to find out issues Malaysia airline is facing such as safety and security, political forces and improper financial management of funds. From my individual contribution the assignment is easily done and communicated with all team members. By individual distribution of work to maintain effectiveness of each topic (we need to cover in this report) and we try to complete them with efficiency. The major impact of individual contribution is that, we managed our work according to time and have covered all the aspects that we found in research.


From the above report, it is considered that report has fond the key issues that are influencing the business activities of Malaysia airline. In this report, I have provided information to management that organization can use the recommend models and strategy to fix the issues identified in analysis. If they are unable to manage changes, the consequences would be more damaging for improvement. Report has provided the fact about my learning and contribution in the project to compete it. Individual efforts have significant impact on the completion of report as we have managed time and research on the topic effectively.


  • Cadez, S. and Guilding, C., 2012. Strategy, strategic management accounting and performance: a configurational analysis. Journal of Industrial Management & Data Systems.
  • Doole, I. and Lowe, R., 2008. International Marketing Strategy: Analysis, Development and Implementation. 5 ed. Cengage Learning EMEA.
  • Gomes, M. C. and et. al., 2014. Strategic sustainability management and export performance. Management of Environmental Quality: An International Journal.
  • Jeffs, C., 2008. Strategic Management. SAGE.
  • Kruger, C. and Mama, M., 2012. Incorporating business strategy formulation with identity management strategy formulation. Information Management & Computer Security.
  • Langfield-Smith, K., 2008. Strategic management accounting: how far have we come in 25 years?. Accounting, Auditing & Accountability Journal.
  • Marren, P., 2007. High-functioning business strategy. Journal of Business Strategy.
  • Parvinen, P., Tikkanen, H. and Aspara, J., 2007. Corporate strategic marketing: a new task for top management. Business Strategy Series.
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