Strategic Human Resource Management Scenarios: Cathay Pacific
I. Cathay Pacific Airways
Cathay Pacific Airways is a Hong-Kong based airline that has a comprehensive network of flights to over 90 destinations around the world. It is considered as one of Asia¶s biggest and most regarded airlines. The company was founded in 1946 in Hong Kong. The company since then has continued to develop Hong Kong¶s airline industry and supported Hong Kong¶s position as a major transportation centre in the region. The airline company was founded by (American) and (Australian). Cathay Pacific was founded in Hong Kong on the 24th of September, 1946.Cathay pacific is one of the most well known airline ...view middle of the document...
Service has a big impact on the customers¶ perceptions about the company¶s product. Because of the importance of its people, Cathay pacific formulated an employee development strategy through proper and effective training. This strategy is expected to strengthen Cathay Pacific¶s position in the marketplace. Employee development can be an essential ingredient of an organization¶s competitive advantage. Employee development includes all of the education and training that organizations might invest in their employees such as training employees to perform effectively in their current jobs, orienting employees to the workplace, developing them for advanced positions or programs, and building organizational capability for future success. Cathay Pacific promotes a working environment wherein the employees are free to act in both the company¶s and passengers¶ best interests.
2. Organizational Processes and Culture± Service Straight from the Heart
Cathay Pacific believes that its business is selling experience to the passengers.
The emotional bonding with the passengers is the key to building loyalty and one of the major factors that encourage the customers to repurchase the airline products. The
biggest difference of Cathay Pacific to its competitors is its people. The employees at Cathay Pacific are the ones who bridge the gap between product development and customer expectation. The passengers in Cathay Pacific always feel welcomed, appreciated and reassured. Passengers that travel with Cathay Pacific know that they are in good hands. Service Straight from the Heart is a programme that aims to develop cultural change within the airline focused on improving customer service. Service is the principal means of differentiating between airlines and is highly influential in customer choice. Cathay Pacific has expressed within its programme its understanding of the importance of the people within the organization and its recognition of the contribution of those people to its success.
3. Customer Retention and Loyalty
Customer retention and loyalty are among the primary causes of Cathay Pacific¶s success. Customer service is a very vital aspect of the company. Cathay Pacific maintains its leader¶s status in the airline industry through its constant improvement in service. The company continuously makes effort to develop its self-help strategy in order to encourage growth among its employees. Self-help benefits are seen to make career management, career planning including blended learning opportunities possible within the company. The development program aims to equip the employees with the necessary knowledge and skills to fulfill their current positions as well as prepare them for future career advancements. One of the most significant improvements that Cathay Pacific employs is incorporating human touching its high quality, reliable, and predictable service. The company wants to achieve growth through sustained, profitable growth. The company...