Business Strategic Analysis Of Korean Airline Management Essay

Excellence in Flight, which is their mission to function operational excellence, service excellence, and advanced excellence. So far, this is the motto of Korean Air and their chief concern is air transit that trades with rider, lading, and aircraft care service with cabin crews developing service ( 1969 ) .

First, have assurance and fondness of client and offer best service. Second, Create affluent life value and desirable societal value as making moral direction. Last, motto is Support creativeness of employees and assist growing of abilities ( 2013 ) . As Global Airline, which got the Three Best which are Best Service, Best Reliability, Best Management, Korean Air concentrates its capablenesss on internationalisation, Knowledge, and E-business by giving all energies to safety and advanced operation every bit good as bettering its image to beef up the stage ( 2013 ) . Although by looking in an internal concern facet from Korean Airline, is presently concentrating on the public presentation of human resource direction or system and which had been settled down profoundly through Korean Airline organisation ‘s civilization.

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The company is concentrating on the trust between capital and labour, which brings them to assist and trust on each other as household members. The familiar community thought does non merely assist them to get the better of the troubles but it besides gives them the motivation of power. Another Human Resource system ‘s based on doctrine is to convey up or level up human resources to take the epoch of alteration. To make so, Korea Air concentrates on educating employees by bettering employees ‘ capablenesss and engrafting fond regard and devotedness to the organisation ( 2010 ) . It is Korean Air ‘s chief intent to do Korean Air become one of the universe ‘s best air hoses by these educated employees supplying better services.

However, this direction demands employees give excessively much that squeezes the employees without an exclusion. This may work for a short period of clip, but when it works for a long term, the employees would experience tired and have ailments. Adding more information, most Asiatic states concern construction or the concern systems are still keeping with proprietor ‘s strong belief on the public presentation, as squeeze direction and it ‘s the key for the success ( 2010 ) . It is because the organisation merely thinks about itself without sing the employees, and there is no clip to reload the employees ‘ energies and has no system that lets them show their sentiments or ideas. This proves how the communicating is non working good. Since there is no sharing between capital and labour, there have been some jobs happening.

Concernment with internal facet from the current Korean Air ‘ s Business Structure, Vertical Structure, has the deficiency of unequal Human Resource Management ( HRM ) system ( 2013 ) . This sort of concerns construction might happen the misconnection between the each section and misconstruing one from the others. Specifically this besides can be connected to the chief fact, which is the deficiency of communicating with Korean Air employees brotherhood.

Like other companies, Korean Air has their labour brotherhood, excessively. Almost every company in the universe has a labour brotherhood, which claims employee ‘s rights every bit good as protecting employee ‘s sentiments. But now this job has come with a really serious issue in Korean Air. The employees call for their labour brotherhood goes against democracy is the process how they select a representative. In order to be elected as a brotherhood president, the campaigner should do a good relationship with non single employees but other representatives on the board. From the research the representative additions a batch of money during the 3years of representative ‘s clip ( 2013 ) . Therefore, this can be seen as a really appealing occupation for many people whom holding a black bosom.

Consequently, this can do a direct affect by holding a disjunction between the company and employees because of non equal elections. With by luck, there has been altering zephyr through this affair of undemocratic elections referred to the Korean Airline Workers ‘ Union intelligence. What I would wish to state at this point is that the figure of brotherhoods and the signifier of a certain labour brotherhood is nil more of import than their relationship as they can come up with good understandings without any difference from common apprehensions.

To propose the solutions in inside informations ; Firstly, doing solid relationships between labour and capital is the chief function in order for Korean Air to take a NO.1 market portion frontward air hose companies in their industry field. What I ‘m proposing for this issue is that new position in managing Labor Unions is required to work out this job. What they need is the in-between director who treats the struggles between workers and the company to assist staff experience being respected.

For case, Southwest Airline, the most successful concern instance in the air hose industry has a certain in-between director that manages less than10 subordinates. Their function in the position of HRM is a span which means the center directors deliver the ailments to the top director and supply the inferior workers with reding. To offer these sorts of services to their internal clients, in-between directors are required to take the leading preparation one time in a twelvemonth ( 2010 ) .

On other manus, In the instance of IBM, they have a steadfast company civilization that the ailments are straight sent to executives and so the executives give back the message including what the reaction will be to the original individual of the ailments. Furthermore, doing the formal and informal organisations practical is utile. For illustration, keeping a round-table conference between labour and direction and a joint labor-management is necessary to understand what another party wants. When these maps are working really good, both parties can deduce the duty and ownership ( 2013 ) .

Therefore, the public presentation of direction will do a turning the repute and popularity of Korean Air. Furthermore, this scheme direction made me has an tremendous outlook from Korean Air and I besides expect in the close future their slogan might include “ Excellence in Management ” .

Korean Airline SWOT Analysis


The Strength of Korean Airline has built up planetary relationship which calls Sky squad. It has confederation with international air hoses such as Russian Airlines, Aero Mexico, Air France, KLM, Alitalia, Continental air hoses, Czech Airlines, and Delta. Having different types of aircraft can be benefits to supply assortment of services for riders in flight. Korean Airlines has 180 Aircrafts in 2013. In add-on, Korean Airlines represent First Place in Cargo portion from 2004 until now. As increasing of repute, more and more people became to utilize service in Korean Airlines ( 2008 ) .


Due to catastrophe from Guam accident in 1997, Korean Air has negative image as an accident air hose. Some people still are afraid the flight with Korean Air. Asiana Airline, which is competitor air hose in Korea, has similar flight paths with Korean Air. As a consequence, it can convey low gross and income for Korean Air to run their concern. For any large air hose, it ever has deficit of clip and complexness system ( 2008 ) .


As increasing of globalisation, Korean Air has possibilities to spread out their concern from local to planetary. The one of outstanding Incheon International Airport, which is ranking figure one in the universe, in Korea, Korean Air can utilize as a selling system to better its concern through this airdrome ( 2013 ) . From this, it besides has chance to turn its more repute through trade name power. They can besides still supply more assortment of services by utilizing different types of aircraft with Sky squad.


Korean does non hold fuel resource. As changing of economic state of affairs, Korean Air may necessitate to pay more fuel monetary value that can impact concern runing. In add-on, Labor brotherhood can be obstacle when it has different thought with employees ( 2013 ) . Particularly, Pilot brotherhood can be representative illustration. If they decide non to work, Korean will non able to maintain their concern.

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