Comair – a Delta Connection Carrier and wholly owned subsidiary of Delta Air Lines – is based in Cincinnati, Ohio, and operates 502 flights a day to 71 cities throughout the United States and Canada. Comair was formed in 1977 and pioneered the regional jet era by introducing Bombardier CRJ regional jets to North America in 1993. With more than 30 years of service and more than 5,600 employees aviation professionals. According to Comair. com
The objectives of this report will be to analyze and evaluate Comair and its IT system, as well as suggest a new IT and IS offering few implementations to improve the new system, such as Virtual Airline, create news department or HRM Strategies. Organization Chart. Comair’s organizational chart is pretty much like any traditional airline, providing in-house services and functions required. Comair has never made a huge effort to improve its IT Department , in order to allow the most effective and competent forms of electronic communication in the company.
Because of its hardware and its software are too old, slow and unreliable, making very persistent and costly errors. There is no interrelationship between various departments and this can lead to failures because of a lack of communication. Pestel Analysis. SWOT Analysis. Five Porter’s Analysis. Used to assess the attractiveness of a market in terms of profitability. Porter identified five factors that affect the level of competition and therefore profitability.
The following information has been taken from www. entrepreneurzest. com/strategy/ Current Value Chain. Although the activities through which airlines deliver value to customers must to some extent be common across the industry, Comair must, nonetheless, search for competitive advantage in the value chain, by exploiting any resources available to them, and management of all support activities and external linkages, in a consistent way with the context of the chosen strategy.
Inbound logistics Operations Outbound Logistics Marketing and sales Service . Recomendations New Value Chain 1. The first recommendation for Comair would be restructure their organization structure to turn into a more Virtual Company and, at the same time, link every Department each other. Re-Designing the Flight Operation Department as the core of the new structure. If Comair carries this suggestion out, the Company will improve its communication as well as be more efficiency.
I estimate Comair will benefit from the new structure even more if the firm going to use the outsourced functions for getting the most convenient deal, minimizing the cost of information system department, improving the contribution of information system to business performance, creating new sources of revenue and profit and above all, focusing on its principal business, which are operating a network of air services. However, Comair should be quite cautious about using to outsources to develop applications.
Should these system fail to operate just for few hours, Comair could be close down the business. 2. Creating a Sale Department, setting up a E-Booking Flight services with: a. Online Checking Reducing the cost of personnel, Check-in desk fees saving b. Search for the cheap flight Creating a new distribution channel. c. Flight Information Improving the Customer’s Relationship, increasing the Customer Services as well as minimizing the cost. d. Change / Reconfirm flight e. Term and Conditions
These measures could be prevented a competitive advantage against others competitors. In addition, the company can create a full gathering information from the Comair’s customers such as preferences, habits, personal detail, in order to focus the marketing strategy and services according to the Comair’s mission and objectives. 3. In order to achieve a more motives staff, Comair would has to carries out a full Motivation Plan, putting into a practice a combining of Moslow’s Theory and the Douglas McGregor theory. * Employees unskilled * Executive Board
There must be a division of workers so that Motivation Plan has more success, I maintain that Comair has to differentiate two type of employees, (shown in chart above). The Executive Board employees group should receive a Motivation Plan based on Douglas McGregor’s Theory Y, it is characterized by these points: 4. To fulfill the manage and lead the company in a feasible manner through the options above mentioned, the firm must take into consideration implement a new Information System, otherwise will be not viable carry out the recommendations.
The current IS suffer evidence problems by design, data and operations. All of these problem could be due to lack of management support and poor management of the implementation process. Acquisition of Methods. Taking into consideration the sort of the Comair’s business, its medium-size and its probably limited sources for the purchasing of new IS/IT. I recommend a hybrid method for acquiring the new IS, necessary to support the business need.
A profitable solution, found in Bocij et al (1997:313), could be for a bespoke system to be developed by a third party, which allows the development costs to be spread among all the organizations involves, at the same time, Comair keep its IS integrated in its own structure, therefore Comair avoid outsourcing risk (see page 11). As well as Comair could obtain a competitive advantage since competitors organizations do not have the same software solution. Nevertheless, the companies would have to invest around 3 years to Bespoke development, in addition, Comair should be on the lookout for the software bugs.
Design & System Analysis Phase Even if there are plenty of possible software process to choice such as Cleanroom Software Engineering process, Dynamic Systems Development Method (DSDM), Iterative and Incremental development, Spiral Model (SM), Waterfall Model (WM) or Rapid Applications Development (RAD). In order to achieve the main goals shown in the bottom chart, this report suggest that the DSDM as one of the most useful and profitable software process because it is perceived as the evolution of the preceding RAD model, believing that no software component can be perfect the first time it is built.