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Etihad Airways: Organizational Culture Proposal


Abstract

The paper will provide an analysis of Etihad Airways in terms of employee motivation and organizational culture. It will explore the company’s approach to management and determine its unique characteristics. Moreover, the project will help to better understand global business as well as the importance of corporate responsibility. The paper will provide two research objectives, research question, SWOT analysis, and details of the research activities and methodology.

Introduction

The aim of this paper is to analyze Etihad Airways in terms of employee motivation and organizational culture. It will explore the company’s approach to management and determine its unique characteristics. Moreover, the project will help to better understand global business as well as the importance of corporate responsibility. The paper will provide two research objectives, research question, and details of the research activities and methodology. The choice of the company has been motivated by the following criteria: it is “one of the fastest growing airlines in the history of commercial aviation” (Etihad Airways, 2016a, par. 1), the organization has partnership agreements with eight airlines thereby creating a network of more than 400 destinations, Etihad Airways has received numerous awards reflecting their standing as ‘World’s Leading Airline’ (Etihad Airways, 2016e).

Research Objectives

  • To conduct a SWOT analysis of Etihad Airways
  • To evaluate the company’s organizational culture and its practices aimed at maximizing employee motivation

Research Question

How organizational culture of Etihad Airways promotes employee motivation?

Industry Overview

According to Aviation Investment Summit (2016), the aviation sector of the UAE economy represents a substantial share of the world’s transport market. Moreover, the air transport market of the Middle East grows at rates that are not commensurate with that of Europe and North America. A recent report by Civil Aviation Organization reveals that air transport network of the region expanded by 11.2 percent in 2013 (as cited in Aviation Investment Summit, 2016). If the current trends continue, the UAE aviation sector is expected to cater to tourism and business needs of more than 6.4 billion of passengers by 2030 (Aviation Investment Summit, 2016). The aviation industry has been chosen because it serves the fastest growing market in the Middle East.

Corporate Profile

Etihad Airways is the national airline of the United Arab Emirates that was established by Amiri Decree in 2003 (Etihad Airways, 2016b). The organization is one of four divisions of Etihad Aviation Group (EAG) (LinkedIn, 2016). According to the company’s website, its vision is to promote the prestige of Abu Dhabi and “to reflect the best of Arabian hospitality-cultured, considerate, warm, and generous” (Etihad Airways, 2016b, par. 2). The main goal of Etihad Airways is to become the leader in its industry that challenges and transforms the conventional view of airline hospitality. EAG is staunch in its commitment to diversity; therefore, it employs more than 27, 000 people of various origin (LinkedIn, 2016). The Etihad Airways profile at LinkedIn reveals that the company’s personnel is comprised out of professional from more than 140 nationalities (LinkedIn, 2016). The airline has hired approximately 3,000 employees from the UAE thereby emphasizing their “strong commitment to Emiratisation” (LinkedIn, 2016, par. 4). The company also recognizes the importance of integrity and corporate responsibility (Etihad Airways, 2016c). According to the company’s Code of Business Conduct, it embraces cultural differences and strives to treat each employee with fairness and respect (Etihad Airways, 2016d).

Etihad Airways’ organizational culture promotes the personal growth of the employees who share the company’s vision and are driven by determination for excellence (Gammell, 2016). The airline provides its services to more than 14 million people each year; therefore, it is interested in attracting workers who are passionate about improving its services and expanding the customer base even further (Gammell, 2016). In order to motivate its employees to work toward attainment of the company’s strategic goals, Etihad Airways offers them “a dynamic career, a competitive package, and opportunities for personal and professional development” (Gammell, 2016, par. 9). Moreover, the airline recognizes the importance of continuous training of its staff; therefore, is invests substantially in its employees, thereby improving their skills and morale. (Gammell, 2016; MSG, 2016).

SWOT Analysis of Etihad Airways

SWOT analysis is an important strategic planning tool that helps to classify available information (Ferrell & Hartline, 2014). The choice of the company has been influenced by the careful consideration of the findings of SWOT analysis.

Strengths Weaknesses Opportunities Threats
Etihad Airways is a national airline company; therefore, it is backed by the UAE government (Etihad Airways, 2016b). The total combined network of the company consists of nearly 600 unique destinations (Etihad Airways, 2016e). The airline has 198 interline relationships and 49 partnerships in different parts of the world (Etihad Airways, 2016e). The company’s fleet includes 120 passenger and cargo aircraft (Etihad Airways, 2016e). Company’s culture that promotes inclusion and diversity. The company’s map of passenger and cargo destinations shows that it has only one destination in South America and 26 codeshare partner destination (Etihad Airways, 2016e). It makes Etihad Airways vulnerable to foreign competition (Etihad Airways, 2016e). A strong emphasis on national pride creates an opportunity for intensive growth of domestic market (Gammell, 2016). The company could grow its business in Latin America by offering its customers superior service at lower cost. Taking into consideration the fact that economic climate is currently better in Europe and North America, it could be argued that foreign competition is the main threat to Etihad Airways (Aviation Investment Summit, 2016).

Research Activities and Methodology

In order to explore the subject in a scientific manner, it is necessary to use valid research methodology. To this end, research problems associated with organizational culture and employee motivation have been identified. Moreover, after reviewing existing information about the company, two research objectives, and a research question have been formulated. Research activities have reflected theoretical expectations and other specific needs of the project. The case study has been chosen as a research design method. Secondary data has been collected for analysis. The researcher has reviewed the company’s website as well as current business and economics literature in order to have an in-depth understanding of the company’s organizational culture and the methods it uses in order to maximize employee motivation.

Study Plan

The study plan will include the following activities: create a research proposal, submit the proposal, prepare and submit literature review, prepare and conduct interviews, analyze primary sources, write discussion, findings, recommendations, conclusions, prepare final a draft report, and submit a final report.

Time Table for Study Plan.

TASKS WEEKS
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
Create a research proposal X X
Submit the proposal X
Prepare and submit literature review X X X
Prepare and conduct interviews X X
Analyze primary sources X X
Discussion, findings, recommendations, conclusions X X
Prepare a final draft report X X
Submit a final report X

References

Aviation Investment Summit. (2016). Web.

Etihad Airways. (2016a). About us. Web.

Etihad Airways. (2016b). Web.

Etihad Airways. (2016c). Web.

Etihad Airways. (2016d). Code of Business Conduct. Web.

Etihad Airways. (2016e). Facts and figures. Web.

Ferrell, O., & Hartline, M. (2014). Marketing strategy (1st ed.). New York, NY: Cengage Learning.

Gammell, R. (2016). Letter from Chief People & Performance Officer. Web.

LinkedIn. (2016). Etihad Airways. Web.

MSG. (2016).Web.

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IvyPanda. (2020, October 14). Etihad Airways: Organizational Culture. Retrieved from https://ivypanda.com/essays/etihad-airways-organizational-culture/

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"Etihad Airways: Organizational Culture." IvyPanda, 14 Oct. 2020, ivypanda.com/essays/etihad-airways-organizational-culture/.

1. IvyPanda. "Etihad Airways: Organizational Culture." October 14, 2020. https://ivypanda.com/essays/etihad-airways-organizational-culture/.


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IvyPanda. "Etihad Airways: Organizational Culture." October 14, 2020. https://ivypanda.com/essays/etihad-airways-organizational-culture/.

References

IvyPanda. 2020. "Etihad Airways: Organizational Culture." October 14, 2020. https://ivypanda.com/essays/etihad-airways-organizational-culture/.

References

IvyPanda. (2020) 'Etihad Airways: Organizational Culture'. 14 October.

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