Introduction – Boeing and Airbus
Airbus mission and vision: Airbus is commonly known to be the most popular commercial aircraft headquartered out of Toulouse France. With small and huge airliners, that can seat 100 to 500 passengers, the company has a global human resource of over 50,000 and aircraft strength of over 16,000. Being over 4 decades old, it has a loyal customer base that lays the foundation for its mission and vision – i.e. global presence with a personalized touch.
Boeing mission and vision: Boeing is the biggest competitor for Airbus in the airline industry however it expands its workload in other domains like the design and manufacture satellites, defence weapons along with commercial airlines as well as information and communication systems. The company’s mission and vision includes the production and provision of performance-oriented logistics for the commercial airline manufacturers including competitors like Airbus.
General Strategy – Boeing and Airbus
Airbus: the initial strategy was to increase the overall international network for this airline. The aim was to give the optimal level of customer support through this expansion. Being in the industry for over 4 decades was a key determinant in the success of this strategy aa it helped align most of the decisions necessary for this strategy with ease across the global structure. The reason to expand was primarily to aim an increase in the backlog of the company . Yes, the service level would need to improve and more landscape would need to be bought for this strategy which means more financial capital spent initially but in the long run higher backlog will mean increased investment and demand. This strategy was a success because the aim to create the backlog was a success and the industry was expected to have business for at least another decade.
Boeing: the initial strategy for Boeing was to increase the growth margin in revenue while simultaneously neutralizing the operational costs. This was achieved through the employment of experts in the operating sector. No major changes were implemented for the routes, flight selection or overall company size but primarily the HR department went through an overhaul with experts in the areas of finance and operations being hired with great packages and regular sessions or managerial conferences held to continuously upgrade knowledge and operational strategies. The overall strategy proved to...
References
Annual Report. 2017. Airbus Annual Report. Accessed from http://annualreport.airbus.com/business/
Boeing official website. 2017. Boeing – Global Presence. Accessed from: http://www.boeing.com/global/
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