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British Airways case study

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INTRODUCTION British Airways can trace its origins back to the birth of civil aviation, the pioneering days following World War I. On 25 August 1919, its forerunner company, Aircraft Transport and Travel Limited (AT&T), launched the world's first daily international scheduled air service between London and Paris. That initial flight, operated by a single-engine de Havilland DH4A biplane taking off from Hounslow Heath, near its successor company's current Heathrow base, carried a single passenger and cargo that included newspapers, Devonshire cream and grouse. It took two and a half hours to reach Le Bourget. Shortly afterwards, two more British companies started services to Paris, and to Brussels. Today British Airways operations are carried in more than 130 countries and cities round the globe with 600 offices and destinations. If we closely analyze the success of British Airways over the years, we can see that due to adapting new technology in the business and the use of appropriate technology in proper planned systems have had dramatic changes in the operation in British airways. (www.britishairways/history/html.pdf) Key Elements : People Procedures, and Products Apart from international and domestic scheduled passenger airline services, BA offers a number of other services to its customers. These services include: Web Services: * Online Booking * Online Travel Insurance for UK Residents. * Online timetable/schedules. * Real time arrivals and departures * Telephone contact no.s worldwide. ...read more.


ENVIRONMENTAL FACTORS Social influences Many UK travellers fly frequently to various destinations. Because they have plenty of choice and also know something about key world issues and events, their travel selections are influenced by many different factors. The widely reported SARS epidemic and various acts of terrorism each caused a significant fall in numbers travelling to certain destinations. Legal influences * Like all airlines, BA must observe the rules and regulations of the USA's Federal Aviation Authority (FAA) and the UK's Civil Aviation Authority (CAA). This leads to heavier costs and more administration. * Under current USA/UK agreements, only four major airlines may land at Heathrow on direct flights between the two countries. These are British Airways and Virgin Atlantic. With European legislation focusing upon opening up this market, any form of anti-trust legislation could lead to increased competition. Economic influences * Governments are under pressure to create 'open skies' as well as to force down prices on high traffic routes such as Heathrow. * In recent years, airlines have had to cope with higher landing charges as well as additional taxes imposed upon the air-travelling public. * World events such as SARS and the Iraq war also have a direct economic influence upon airlines' activities. * Ever fluctuating oil prices. Political influences The political environment is determined largely by governments and powerful decision makers able to create laws, regulations and codes. ...read more.


Apart from the above-mentioned examples there are various other fields in which information systems play a vital role in British airways. Some of them are very useful in terms to know the financial status of British airways, the future investment etc. * Strategic level information system: This information system is used to take strategic decisions to aid in forecasting the budget for the company. Decisions include review of financial statements and estimations of future profits and costs and thus helping them to budget for the next few years. * Management-level systems: This information system helps the Management to do and track Sales. The managers get ready data of quantitative analysis. They get ready coefficients, pie diagrams, charts etc and thus track sales according to their products and Regions, which they cover. * Knowledge-level systems: This information system helps the people in the technical departments and those involved in the research and development by aiding in tracking the developments in the technical and research fronts. These systems help British Airways to automate all the paperwork and thus bring about efficient office work. * Operational-Level systems: These systems include Transaction Processing Systems as follows. Order Tracking System: This system uses an information base of all the orders undertaken over a period for ready reference and action. The order database is used to service the clients and distributors and works in conjunction with other transaction processing system. Employee Record Keeping: The human resource departments use this system. It helps the management to keep employee records. ...read more.

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