Understanding organisation theory and practice Essay - 1

Understanding organisation theory and practice - Essay Example The findings of the report highlighted issues related to operations and structures of Qantas and Virgin airlines, economic factors, and the role of the government. In addition, the report also gave several recommendations that were geared towards optimizing the bottom line of the companies and dealing with hurdles that surface in the cause of operations. Qantas and Virgin airlines have encountered several challenges that stem from their internal and external environment. The challenges can be attributed to impacts of globalisation and advancement of technology. The management approach that they have often employed depending on the prevailing situation is the use of contingency theory approach. The report focuses only on the contingency management approaches of the Qantas and Virgin airlines. It does not incorporate other management theories that the two airlines (Qantas and Virgin) employ in their operations. The significant continual growth of Virgin brand across borders is a reflection of the success of the airlines’ success in its management approaches. The unique structure of the airline makes it difficult to designate a specific/particular management approaches in its operations. However, the contingency management approach is perceived to be the main approach for the success of the operations of the airline. Its management is usually reorganised to commensurate with arising contemporary situations hence decision making being based on situational analysis. Virgin’s current model of contingency planning explores both internal and external factors, ensuring employee morale and motivation are not neglected in times of external contingencies. The models of management are integrated to align with the market trends aimed at mitigating risks and changes, and ultimate optimisation of profit. The business has not only grown beyond the borders and gained competitive leverage inc lusive of the diversification of its operations but has also been an