State-Owned Airlines Poor Customer Service
TITLE
A loss💥making state💥owned airline has a reputation for poor customer service.
ESSAY
Title: Examining the Proposal to Improve a Loss💥Making State💥Owned Airline's Business through Employee Compensation
Introduction
In this essay, we will evaluate the proposal made by the Human Resource Director of a loss💥making state💥owned airline to improve its business by offering higher wages and an end💥of💥year bonus to employees. We will analyze this suggestion in the context of the airline's poor customer service reputation, considering both the potential benefits and drawbacks of such an approach.
Knowledge and Understanding
To start, it is crucial to acknowledge the state of the airline as being loss💥making and owned by the government, facing challenges related to poor customer service. This situation indicates a need for strategic interventions to enhance performance. Payment methods, such as increased wages and bonuses, can be considered as potential tools to address underlying issues.
Application
The proposal to pay employees higher wages and offer bonuses can be seen as a direct response to addressing business problems related to poor customer service. By providing financial incentives, there is a possibility of improving employee morale, motivation, and ultimately, their performance. This aligns with the idea that better compensation can lead to increased productivity and service quality.
Analysis
In examining this suggestion on employee compensation, we must consider not just the financial aspect but also non💥financial rewards that could motivate workers. Various motivation theories, including Taylor's scientific management approach, can help shed light on the potential impact of paying higher wages and giving bonuses. However, it is essential to note the limitations of a purely Tayloristic approach and explore other theorists like Maslow, Mayo, Herzberg, McClelland, and Vroom for a more comprehensive understanding. Alternative solutions beyond monetary rewards should be explored to address the root causes of poor customer service.
Evaluation
While improving employee compensation may boost motivation and performance to some extent, it is crucial to evaluate whether the airline's issues stem solely from employee motivation. Other fundamental problems within the organization, such as outdated technology, poor management practices, or bureaucratic inefficiencies related to its state💥owned status, must also be considered. The context of a nationalized business presents unique challenges that may require a holistic approach to drive sustainable change.
Conclusion
In conclusion, while offering higher wages and bonuses to employees can be a proactive step towards enhancing performance in a loss💥making state💥owned airline with poor customer service, it is essential to recognize the broader organizational issues at play. Striking a balance between financial incentives and addressing structural deficiencies is key to achieving a meaningful turnaround in business operations.
SUBJECT
BUSINESS STUDIES
LEVEL
A level and AS level
NOTES
A loss💥making state💥owned airline has a reputation for poor customer service. Its Human Resource Director suggested that: ‘the best way to improve this business is to pay our employees higher wages and give them an end of year bonus’. Discuss this suggestion. [20]Knowledge and understanding • Knowledge and understanding of loss making/state owned/poor customer service/payment methods/possible performance improving methods. Application • Reference to business problems and the use of payment methods to solve them. 20 9609/12 Cambridge International AS/A Level – Mark Scheme PUBLISHED October/November 2019 © UCLES 2019 Page 12 of 15 Question Answer Marks 6 Analysis The following points may be suggested in order to improve a business and/or be related specifically to solve the problem of poor customer service in a stateowned airline. • A consideration of non💥financial rewards to motivate workers. • Reference to potential employee motivation factors including HR focus on remuneration methods. • Motivation theories may be used as vehicles to consider the suggestion in the question. • A recognition that the statement by the HRM Director is very much in line with the Taylor School of motivation. • A reference to the limitations of the Taylor approach. • A discussion of other motivation theorists, such as Maslow, Mayo, Herzberg, McClelland and Vroom. • Alternative solutions referring to motivational theorists may be suggested. • Level 3 Analysis needs to be in the context of a state💥owned airline/stateowned business/airline. Evaluation • The context is a state💥owned airline/state💥owned business/airline. • and the suggestion is that this poor performance can be explained by its poor customer performance reputation. • Discerning answers may challenge the assumption that the problem of this airline is simply a people/motivation problem. • There may be more fundamental problems such as under💥capitalisation/old aircraft/low technology on board/poor management of front💥line staff/poor time keeping. • The state💥owned ownership issue may also be important in that clear achievable/rewardable objectives may not be set. • A nationalised business may be over bureaucratic and there may be a lack of dynamism as compared with a private sector business.