gnrlies
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- 2003
I dont know if this is of any use to anyone, but I have made my notes regarding major aspects of this course on these three businesses. They arent complete int hat they cover every aspect of the course, but should be ok for any general info required.
Qantas and Management Structure
Qantas utilizes a behavioral method of management which has shifted from a classical scientific management method. This has been due to a structural response to change which has been required in order to maintain competitiveness in the Australian airline market. Since privatization, the business has taken on the main goal of improving the efficiency of the business by utilizing a flatter management structure which reduces staffing costs in the middle management, as well as promoting a more human centered approach to human resources. The business has adopted management by leading, communicating and motivating.
Change in Qantas
Qantas has had several changes over the last few decades. Change has come in three main areas. That is legal, changing markets and technological. Legal changes have occurred which include the changing legislation that states that a maximum of two competitive airlines can exist in the Australian market. This has meant the emergence of other competitors such as Compass, Virgin Blue, and Impulse which brought new competition to the Australian market (as opposed to the two airlines in Ansett and Qantas). Changing markets for Qantas has also seen major changes over the last few years. Again, with the emergence of new competitors, Qantas has found still competition and has lead to a pricing war prior to the collapse of Ansett which changed the market rapidly. Also with a reduction in the demand for particularly international travel since September 11 and SARS, the airline has had to face a number of different issues. Technological change has meant that the business needs to update its technology in both planes and in-flight entertainment. This has been pressured by particularly many of the innovative Asian airlines such as Cathay Pacific which has resulted in the need to update due to maintain competitiveness.
Qantas has had several responses to these changes including the introduction of the one world alliance including airlines such as British airways and American airlines. Other responses to change have been in the behavioral management theories adopted by the business.
Working capital management in Aldi
Aldi is a German cut price supermarket offering discounted food items. They have been able to maintain extremely effective financial management particularly in relation to working capital management. The business is able to maintain effective management of its current assets through many just in time inventory strategies and strict credit policies. The business offers products with a high turnover rate. They aim to achieve maximum stock turnover so as to maintain the liquidity of its inventory supply. The products are quickly sold, and replaced on a just in time basis. This means that the products within the business can provide the business with all the benefits of a thorough inventory, whilst being able to achieve maximum liquidity of the business as a reduced amount of stock is kept in a physical stock.
Profitability management and Aldi
Aldi is a global leader in profitability management. They have been able to achieve the right mix in reducing costs, and achieving maximum revenue. On the cost side, the business promotes a pro-active program of cost reduction within the business which is ever growing. Where a cost saving can be made, the business will make it, whether it be in the efficient low energy lighting in the stores, to the cheap non luxurious head offices. Aldi provides a perfect example of how expense minimization can achieve effective profitability.
On the revenue side, Aldi aims to tap into a market of consumers who are after cheaper low budget prices for grocery items. Aldi is able to achieve an effective pricing policy which is able to achieve maximum sales, whilst still being able to generate enough revenue to cover costs. The sales mix in Aldi is also an important feature of revenue control. Aldi provides a limited range which to some consumers may seem a limitation to the business, however to Aldi it is an import way of achieving maximum profitability. The limited range means that Aldi is able to achieve maximum sales by supplying the grocery items which are sold in greatest quantities. Achieving the right sales mix is what has assisted the business in maintaining its high profitability rates.
Mcdonalds and Marketing
Mcdonalds has a major focus on its product marketing strategies. Each strategy is aimed at maximizing sales, whilst improving the reputation of the business. These are the two main identified goals of Mcdonalds marketing plan.
Mcdonalds utilizes many different product based strategies. In terms of product, Mcdonalds positions its products as being in the fast food industry. They do not try to achieve a level anywhere above this. In terms of positioning, they aim to make their products appeal to the demographic who desires the food products that Mcdonalds offers. Mcdonalds has maintained a simple branding campaign. The ever recognizable M logo has remained the same over the last 30 years which has allowed the business to be internationally recognizable. Other branding such as the Big Mac, Quarter Pounder and more recently Mc Oz, are aimed at achieving a sense of exclusivity which promotes Mcdonalds over its competitors. Mcdonalds has reduced the level of packaging in its products to maintain a more ecologically sustainable practice. This has included the reduction in the foam based boxes and cups which were seen as harmful to the environment.
Mcdonalds initiates both a cost based and a competition based pricing method. The pricing methods achieve two main goals. The first is to maintain profitability, the second is to maintain market share. Mcdonalds applies a competition based pricing strategy on items which may be under threat by its competitors. Such items include generic based products such as its french fries and soft drinks. Other items like its hamburgers are priced to cover costs as they are the major dollar earner for the business. The business uses pricing strategies in order to achieve maximum sales. These strategies include such methods as penetration pricing and loss leadering. Mcdonalds sells its soft drinks and french fries at a loss, in the hope that these items will attract the sales in other items. Penetration pricing is used to introduce a new food item which allows it to successfully enter the market.
Mcdonalds employs many promotional activities including regular advertising on radio and television medium. Each campaign is designed with a particular focus in mind. Currently the business is aiming to shed light on the real nature of its products with a nothing to hide policy. Such a campaign has included advertising which clears up supposed urban myths about the Mcdonalds food items. This has also been supported by below the line promotions such as the Mcdonalds chant which allows a customer to a free medium sized coke upon reciting a toung twister and an open doors policy where consumers can come into the business to tour the back are of their restaurants, showing the methods of food preparation. Other promotional activites include the new tastes menu which seeks to attract customer through curiosity and aims to create a more dynamic menu than what is typically a fairly static menu.
Qantas and Management Structure
Qantas utilizes a behavioral method of management which has shifted from a classical scientific management method. This has been due to a structural response to change which has been required in order to maintain competitiveness in the Australian airline market. Since privatization, the business has taken on the main goal of improving the efficiency of the business by utilizing a flatter management structure which reduces staffing costs in the middle management, as well as promoting a more human centered approach to human resources. The business has adopted management by leading, communicating and motivating.
Change in Qantas
Qantas has had several changes over the last few decades. Change has come in three main areas. That is legal, changing markets and technological. Legal changes have occurred which include the changing legislation that states that a maximum of two competitive airlines can exist in the Australian market. This has meant the emergence of other competitors such as Compass, Virgin Blue, and Impulse which brought new competition to the Australian market (as opposed to the two airlines in Ansett and Qantas). Changing markets for Qantas has also seen major changes over the last few years. Again, with the emergence of new competitors, Qantas has found still competition and has lead to a pricing war prior to the collapse of Ansett which changed the market rapidly. Also with a reduction in the demand for particularly international travel since September 11 and SARS, the airline has had to face a number of different issues. Technological change has meant that the business needs to update its technology in both planes and in-flight entertainment. This has been pressured by particularly many of the innovative Asian airlines such as Cathay Pacific which has resulted in the need to update due to maintain competitiveness.
Qantas has had several responses to these changes including the introduction of the one world alliance including airlines such as British airways and American airlines. Other responses to change have been in the behavioral management theories adopted by the business.
Working capital management in Aldi
Aldi is a German cut price supermarket offering discounted food items. They have been able to maintain extremely effective financial management particularly in relation to working capital management. The business is able to maintain effective management of its current assets through many just in time inventory strategies and strict credit policies. The business offers products with a high turnover rate. They aim to achieve maximum stock turnover so as to maintain the liquidity of its inventory supply. The products are quickly sold, and replaced on a just in time basis. This means that the products within the business can provide the business with all the benefits of a thorough inventory, whilst being able to achieve maximum liquidity of the business as a reduced amount of stock is kept in a physical stock.
Profitability management and Aldi
Aldi is a global leader in profitability management. They have been able to achieve the right mix in reducing costs, and achieving maximum revenue. On the cost side, the business promotes a pro-active program of cost reduction within the business which is ever growing. Where a cost saving can be made, the business will make it, whether it be in the efficient low energy lighting in the stores, to the cheap non luxurious head offices. Aldi provides a perfect example of how expense minimization can achieve effective profitability.
On the revenue side, Aldi aims to tap into a market of consumers who are after cheaper low budget prices for grocery items. Aldi is able to achieve an effective pricing policy which is able to achieve maximum sales, whilst still being able to generate enough revenue to cover costs. The sales mix in Aldi is also an important feature of revenue control. Aldi provides a limited range which to some consumers may seem a limitation to the business, however to Aldi it is an import way of achieving maximum profitability. The limited range means that Aldi is able to achieve maximum sales by supplying the grocery items which are sold in greatest quantities. Achieving the right sales mix is what has assisted the business in maintaining its high profitability rates.
Mcdonalds and Marketing
Mcdonalds has a major focus on its product marketing strategies. Each strategy is aimed at maximizing sales, whilst improving the reputation of the business. These are the two main identified goals of Mcdonalds marketing plan.
Mcdonalds utilizes many different product based strategies. In terms of product, Mcdonalds positions its products as being in the fast food industry. They do not try to achieve a level anywhere above this. In terms of positioning, they aim to make their products appeal to the demographic who desires the food products that Mcdonalds offers. Mcdonalds has maintained a simple branding campaign. The ever recognizable M logo has remained the same over the last 30 years which has allowed the business to be internationally recognizable. Other branding such as the Big Mac, Quarter Pounder and more recently Mc Oz, are aimed at achieving a sense of exclusivity which promotes Mcdonalds over its competitors. Mcdonalds has reduced the level of packaging in its products to maintain a more ecologically sustainable practice. This has included the reduction in the foam based boxes and cups which were seen as harmful to the environment.
Mcdonalds initiates both a cost based and a competition based pricing method. The pricing methods achieve two main goals. The first is to maintain profitability, the second is to maintain market share. Mcdonalds applies a competition based pricing strategy on items which may be under threat by its competitors. Such items include generic based products such as its french fries and soft drinks. Other items like its hamburgers are priced to cover costs as they are the major dollar earner for the business. The business uses pricing strategies in order to achieve maximum sales. These strategies include such methods as penetration pricing and loss leadering. Mcdonalds sells its soft drinks and french fries at a loss, in the hope that these items will attract the sales in other items. Penetration pricing is used to introduce a new food item which allows it to successfully enter the market.
Mcdonalds employs many promotional activities including regular advertising on radio and television medium. Each campaign is designed with a particular focus in mind. Currently the business is aiming to shed light on the real nature of its products with a nothing to hide policy. Such a campaign has included advertising which clears up supposed urban myths about the Mcdonalds food items. This has also been supported by below the line promotions such as the Mcdonalds chant which allows a customer to a free medium sized coke upon reciting a toung twister and an open doors policy where consumers can come into the business to tour the back are of their restaurants, showing the methods of food preparation. Other promotional activites include the new tastes menu which seeks to attract customer through curiosity and aims to create a more dynamic menu than what is typically a fairly static menu.