Organizational and Operational Plans
The purpose of this assignment is to assess the effectiveness of a company’s operational and organizational strategies and processes.
Previously, you conducted an extensive assessment of American Airlines external and internal environment and of the elements influencing both. Reflect on this research and analysis as you move forward assessing the next steps for the firm and how to increase value for the shareholders and stakeholders involved. This question of value is largely influenced by the firm’s ability to be optimally organized and operated.
Compose a written assessment of American Airline’s organizational strategies and operational processes, evaluating what changes need to be made and what procedures need to be maintained in order to outfit the firm for increasing success.
Address each of the following issues in a 1,250-1,500-word paper:
1. How does the current organizational and operational structure, including the system of corporate governance, benefit the firm? How does the current organizational and operational system challenge the firm’s success? What would have to change to reverse how structural issues are impeding the firm’s success?
2. How might the firm benefit from a strategic alliance? What are the risks of a strategic alliance and how might those risks be managed?
3. How might the firm utilize a business-level cooperative strategy to create a competitive advantage? Of the four business-level cooperative strategies ( Complementary strategic alliances (vertical and horizontal) Competition response strategy. Uncertainty reducing strategy. Competition reducing strategy.) presented in section 9-2 of the textbook, which is most likely to be of significant value to your team’s firm? Why? What are the risks associated with this strategy and how might they be managed?
4. What internal governance mechanisms would you propose to monitor managers’ decision making?
5. Section 11-2 of the textbook states that strategy and structure have a reciprocal relationship. Explain how this is true within your selected firm. If it is not true, how might the situation be changed for the better?
