Report on Total Quality Management in Emirates Airlines

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Table of Contents
1. Company background 3
1.1. Current vision: 3
1.2. Mission 4
1.3. SWOT analysis 4
2. Rationale for adopting TQM 6
2.1. Core competencies 6
2.2. Strategies for Competitive advantage 7
2.3. Implementation of ISO 9000 and its relation to TQM 9
2.4. Requirements for improving quality and culture adopted by the company 10
2.5. Policies adopted by the company in order to operate ethically 10
2.6. Role of managers in the respect 11
2.7. Relevance of ethics to quality management. 11
2.8. Policies adopted by the company in order to achieve a motivated workforce and to find its employee’s needs. 11
3. Implementation plan with justification 12
4. References 15

Company background
Emirates Airline was founded in 1985 with only two aircrafts in the beginning. However, the rate with which Emirates Airline has grown has helped them develop a niche for themselves in the global aviation industry. Emirate Airline falls under Aviation industry (ZAWYA, 2016) and is a part of the Emirate group. It is entirely owned by the Government of Dubai (ownership type: government) but they have grown through competition and high standard of quality in airline business (THE EMIRATES GROUP, 2015). Now, Emirate Airlines operates with 84,000 multinational team members compromising of more than 160 nationalities and across six continents (THE EMIRATES GROUP, 2015).
Current vision:
The current vision of the company focuses around the establishment of a niche for itself in the global aviation industry and be a global leader in the field of aviation among the different Airlines present in different continents. The vision statement has been provided in the following statement,
“A strong and stable leadership team, ambitious yet calculated decision-making and ground-breaking ideas all contribute to the creation of great companies”
Mission
Mission of the Emirates Airlines is “Offering consistently high-quality value-for-money service and to be the best airline on all of its routes” (THE EMIRATES GROUP, 2016).

SWOT analysis
Strengths Weaknesses
• Consistently high quality of service to the customers that is passengers travelling across Emirates Airways.
• It is one of the world’ largest airlines in terms of passengers carried.
• It carried about 49.3 million passengers and cargo of about 2.4 million tones across the year 2014-2015 Invalid source specified..
• It has excellent organizational performance and high efficiency in its organizational structure.
• It has established high operational excellence. It occupies strong position in the market (ZAWYA, 2016).
• It provides considerable number of fleets available for air travel and cargos. It has established diversified geographic presence across the globe.
• It continuously improves its service by identifying the factors that can be improved in terms of quality (THE EMIRATES GROUP, 2015).
• Limited liquidity position
• Needs to establish more options in its services
• Flexible services are not available
• Substantial debt Invalid source specified..
• Weak diversification and unsuccessfulness
• Proper handling and movement and storage of raw materials is a major problem Invalid source specified..

Opportunities Threats
• The ever increasing GDP of the UAE provides a pool of opportunities to the Emirates Airlines
• Increasing flow of passengers that would be coming from across the globe to UAE.
• The announcement of the Dubai Expo 2020 has increased the number of expatriates, tourists and business personnel that are coming to Dubai as well as UAE Invalid source specified..
• The world’s longest non-stop commercial flight from Dubai to Auckland as well as purchasing the largest aircraft in the world Airbus A380 Invalid source specified..
• It provides a wide pool of opportunities to provide considerable service and comfort to the customers across the globe.
• The strong business partnerships that it develops with other companies increase the number of opportunities for expansion for the Emirate Airlines.
• It has a highly efficient International Cargo system.
• It has witnessed growth in its business since the last 27 years and it is a record in itself. The annual growth rate for Emirate Airlines is 7% Invalid source specified..
• It has the opportunity of business expansion in number of destinations across the globe.
• Foreign currency fluctuations
• High increase in oil price (THE EMIRATES GROUP, 2015).
• Increasing the engagement of the employees.
• Un-recognition of demand
• Development of potential rivals in the global market Invalid source specified..

Rationale for adopting TQM
Core competencies
The core competencies that are achieved in the Emirates Airlines refers to the quality of service that it provides and it can be obtained from its performance strategy that is adopted in it. Performance strategy refers to the development of various strategies and plans for ensuring competitiveness in the sharp edge competition that is observed in the Aviation field. Emirates have been extremely adaptive in developing strategies as per the customer’s needs and it has incorporated significant changes in its working, structure and service accordingly. It was observed that in 2009, there was a huge decline in the business of the Airline industry due to the reducing number of passengers and inefficiency of many Airlines to ensure quality management across its functioning. In such scenario, Emirates turned out to be an exception with a phenomenal increase in its business and a growth that overpowered other airlines by huge margins.
An example of the core competencies has been provided in the figure below:

(Fattah, 2008)

Strategies for Competitive advantage
The competitive advantages that Emirates possesses is its successful and strong partnerships with other airlines that help in ensuring a good quality of service for the customers. It strives hard to attain excellent on-board and off-board experience for the customers and this is another significant core competency of the emirates Airlines.
Competitive advantage refers to the features or qualities that a company develops to outperform its competitors in the market and develop a considerable position for itself in the global market. It involves obtaining superior firm performance through the following flow of operations as shown in the figure below:

The world’s largest passenger plane
Emirates have developed the world’s largest passenger plane called as the Airbus A380 where it is 40% bigger then the Boeing 747. It has about extensive quality and about 6000sq.ft usable space available in it. It would provide the passengers with an ultimate customer experience that would be through sheer excellence in terms of customer service and quality of travel (Mullen, 2016).
Implementation of ISO 9000 and its relation to TQM

ISO 9000 can be termed as the international standards related to the development of quality management processes and services in an organization. They are developed by the “International Organization for Standardization (ISO)”. It includes developing a sustainable and highly efficient quality system that assures high quality in the global industry pertaining to the company. There is a huge contribution of ISO 9000 in maintaining the operations and plans that are developed at the Emirates Airlines. It has been observed by interviewing an employee from the Emirates airlines that the main focus for adapting it is ensuring customer satisfaction across the various departments. It has been stated by him that there are many environmental considerations, products and procedures to be developed for ensuring the quality management in the system.
While developing high standards of safety, Swiss cheese model has been used as provided by the employee. It is one of the most significant tool that is used to determine the risks involves in carrying certain operations in the market. Thus, it can be stated that it is concerned with the development of risk management in the company. It help in identifying the possibilities of error in advance and ensure that sufficient steps are taken to avoid the same in the global market.
Total Quality Management refers to the development of processes and approach in a company to increase the level of customer satisfaction through ensuring high levels of quality in its functioning through developing a sustainable management approach in the industry. It involves different elements that are prevalent in the market for the company that includes the process, products, services and culture that has been existing in the company. There has to be contribution of each and every person working in the organization in the development of the Total Quality management approach across the system. The implementation of a sustainable TQM approach by the Emirate Airlines can be seen through the number of passengers that it carries across UAE.

Figure: Number of Passengers 2005-2017 for Etihad Airways, Qatar Airways vs. Emirates (CAPA Centre for Aviation, 2015)
Requirements for improving quality and culture adopted by the company
The quality standards that are established in the Emirate Airlines are of high quality in terms of the product as well as services provided by them. The quality is evaluated through the non-conformity standards which are known as the NCER escalation standards in the management process. It helps in determining the safety of the process and accordingly help in establishment of the standards that are related to the management of quality across the company and other functions that are performed in the industry.
Policies adopted by the company in order to operate ethically
Emirate Airlines has been working smoothly and effortlessly through developing firm principles and adhering to it. It has been established by interviewing the employee of the emirate Airlines that there is a certain code of conduct that is followed in the company. It involves developing the key successful elements for the TQM that is carried in the Emirate Airlines. It carries out consistent and highly efficient Audit process that also involves auditing the strategies and similarly, there are many elements that are developed for establishing a balance between the monetary factor and the safety that is provided through the Emirate Airlines.
Role of managers in the respect
Managers play significant role in getting the work done from the employees. It involves developing an approach that would be inculcating leadership qualities among the employees. As per the interview taken of the Emirate Airlines employee, it can be stated that there has to be a correct balance between the right knowledge, right skills and right tools that are established across the processes that are carried out in Emirate Airlines.
Relevance of ethics to quality management.
The ethical standards that are observed in the industry includes the development of strategies and plans on the basis of ensuring the required amount of safety in the company. Quality management requires considering the ethical standards that are to be followed by an airline in the Aviation industry. It also includes developing an implementation plan for the same that would be incorporating the various elements that are to be developed in the system.
Policies adopted by the company in order to achieve a motivated workforce and to find its employee’s needs.
There are high standards of training provided to the employees in Emirate Airlines. It is then followed by establishing a sustainable level of employee engagement in the processes and operations. It involves developing a motivated workforce for the same. The workforce needs to be complying as per the NCER escalation standards for ensuring high quality of service and safety to be obtained in the company. It involves establishing an accurate relationship between the policies of the companies and the goals that it has set for itself. In such condition, there has to be a balance between the profit earned and the level of safety that is provided by the Emirate Airlines (Nataraja & Al-Aali, 2011).
Implementation plan with justification

Development of an implementation plan involves developing various processes that are of very importance for the sustainability and growth of the company in the Airline industry. It involves developing strategies that would be based on the following mentioned elements:
• Derive strategies for transforming goals in to initiative that can be achieved through action
• Developing a testing model for the strategies
• Mobilize the team and plan effective strategies
• Alignment of finances
• Monitoring the progress of the company after adoption of the idea or plan.
• Evaluating the impact and making considerable improvements.
• Continuous analysis of the process across the management (Nataraja & Al-Aali, 2011).
The following TQM approach can be adopted for ensuring proper implementation of the plan developed above.

It can be seen that there are many processes that are considered and developed across the system that is observed in Emirate Airlines. It involves considering each and every element of planning to evaluating to tis implementing and then inspecting or obtaining feedback.
The sustainability of the approach has to be developed on the basis of developing a feedback system that consists of developing a closed loop. The closed loop involves a continuous cycle of obtaining feedback from the customers, evaluating the changes that re to be made in the operations and management of the company, implementing it and then again obtaining feedback from the customers regarding the new system that is developed by the Emirate Airlines. This would help in developing highly successful TQM across the entire functioning of the Emirate Airlines.
There have been many quality processes already implemented by the emirates Airlines. Few of these include the level of comfort and safety that is provided through the airlines among its customers. It also includes developing an approach that would be based on the Total Quality Management processes that are carried out in Emirate Airlines. It has been providing customized solutions to the customers in terms of catering, quality of travel and extremely satisfactory customer service that includes efficient training of the employees.
However, it needs to improve on the cost flexibility structure that it has to provide to its customers across the globe to ensure cost effective services to specific set of customers. It should also emphasize on increasing the number of flights to America and its frequencies should be increased. There has to be effective consideration of all the customers that could travel through Emirates owing to the level of service obtained in it.
The management in the Emirate Airlines has to be established as per the Swiss cheese model established in the above section that would be helping in developing an appropriate risk management and risk assessment approach across the functions and operations that are carried in the industry. It should be observed that complying with the NCER escalation as mentioned by an employee of the Emirate Airlines during his interview, tends to be one of the most significant factor in measuring the quality that has to be accomplished in the company. Any kind of error in that would lead to the development of errors in the functioning of the company and this will lead to decrease in the profit and business developed by the company. It has to be observed that Total Quality Management has to be achieved through operational excellence obtained in the company along with complying with the high standards of safety and quality as per the ISO 9000 to be adapted in the company.

References
Fattah, Z. (2008, May 8). Service Delivery Process. Retrieved from http://www.slideshare.net: http://www.slideshare.net/mrlovat/the-british-airways-service-delivery-process
Mullen, E. (2016, March 25). Take a look inside the Airbus A380 – the world’s largest passenger plane. Retrieved from http://www.coventrytelegraph.net: http://www.coventrytelegraph.net/news/coventry-news/take-look-inside-airbus-a380-11095430
Nataraja, S., & Al-Aali, A. (2011). The exceptional performance strategies of Emirate Airlines. Competitiveness Review: . An International Business Journal, 21(5), , 471-486.
THE EMIRATES GROUP. (2015). Annual Report: Facts and Figure. Emirates Airline. Retrieved from http://www.theemiratesgroup.com/english/facts-figures/annual-report.aspx
THE EMIRATES GROUP. (2016). Our Vision & Values. Retrieved from http://www.theemiratesgroup.com: http://www.theemiratesgroup.com/english/our-vision-values/our-vision-values.aspx
ZAWYA. (2016). Emirates Airline Profile. Retrieved from https://www.zawya.com: https://www.zawya.com/company/profile/759385/Emirates_Airline/

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Posted on

March 10, 2018

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