“The best-performing companies worry less about performance and more about their
organizational capabilities” (Bititci, 2015).
When I first looked at the discussion post, I was not sure one way or another if I truly agreed with
the above statement but after more thought I do agree with the statement. There are so many
different types of intangible factors that come into play in the success or failure of any given
organization, it would be foolish to say they should not be heavily considered. My own company in
2022 so far has seen an increased focus on culture building and an assortment of different training
and development positions have been created throughout the organization so that the company
can better focus and invest in the development and growth of the employees of the company.
From a “performance” standpoint these are added positions that will cost money and do not
directly interact with clients so in a traditional sense are not “making money” for the organization,
but it was a investment that was made due to the understanding that better trained and developed
staff will be able to outperform undertrained staff and empowered staff stick tend to have a lower
turnover rate.
I believe that organizational culture has a significant effect on the performance of an organization.
If employees are dreading to come into work due to a toxic culture and are only showing up every
day for the pay check, they are going to be performing at the bare minimum to get through their
day. Compare this to employees that are excited about coming into work and feel empowered by
their organization are more likely to go above and beyond.
Looking at the cultures for both Company A and Company B, I would go as far to say that neither
company has an especially strong culture going on currently. For example, Company A is working on
borrowed time essentially until all these old systems they have in place fail, but because they have
strong finances currently, they are not worried about it, even though with an investment now in
these trouble areas they can fix the issues, have less strong financials for a few years, and then truly
live up to the premium service that they state they offer.
Company B has always been a underdog in the airline industry and there are members of the
organization who are complacent and comfortable with where they fit in to the big picture, which is
in total opposition to the President and IT manager who are attempting to revitalize and reinvent
the company (even if some ideas are wild and could lead to disaster) a much healthier culture
would be if the two extremes of ideologies met somewhere in the middle. From a acquisition
standpoint if Transglobal is able to acquire both companies the leadership and resources present in
the parent company might allow both Company A and Company B to turn into very lucrative assets
down the road.
Gaining market position
Market position for the longest time has been recognized as an important tool in keeping up with
the competitive pressure and organize the performance of an organization. Competition and
profitability pressures means that firms ought to be responsive to the market conditions. A positive
correlation between the pricing strategies and the perceived quality of service and innovation with
different benefits. Without unique and never seen before marketing tactics, chances of survival in
the market are minimal. If the airline wanted to remain competitive and dominate the industry,
focusing on the right marketing strategy is primary for the survival of its operations (Sustainability
in the Aviation Industry, 2020). Executing these strategies can influence performance taking the
company to the next level helping it gain market position.
Some of the strategies includes creating one’s loyalty program an example being that of upgrading
the reservation and ticketing experience, all inclusive of smartphones apps and integration with
apps associated with lodging, ground transportation, and attractions as well addressing workplace
inequalities building an inclusive culture which helps build the brand awareness. Focusing on the
existing customer is another strategy and improving on the airlinrs.com safety ratings from 5 stars
to 7 strs helps encourage and assure the customers (Sustainability in the Aviation Industry, 2020).
The company after 10 years will be making significant progress and will be among the top 80 status
in the top working place status as well as providing competition to the rest of the airlines by being
among the top airlines.
Question 2.
One of the company’s goals is reducing the amount of the carbon footprint by targeting to reach
net-zero carbon footprint by 2075 and expanding the use of carbon offset measures. Carbon
footprints contribute to the intensity of carbon in the economy. The adage that what gets
measured gets managed holds true for emissions which are directly related to energy costs an
things like tracking can have tangible relevance to the profitability of the company. Company
conducts analysis to help gauge the absolute and relative efficiency of the company serving as a
tool to engage management and help in assessing where the company is moving (Rathoure, 2020).
The International Air Transport Association has confidence in that the goal of the industry of
reducing carbon-dioxide emissions as achievable, while net-zero emissions from transport by air
could be reached within a decade or there abouts later. Fusion of many different data sources
including the specifications of aircrafts and their performance, the flight status, the tracking, and
airline schedules, which provide better logistics for emissions performance by the operator, the
type of geographical region and aircraft, as well as the looking forward per-seat basis (Rathoure,
2020).
The measurement of emissions and developing of uniform standards is very important. Ciriums
Chief Marketing Officer holds that their calculations consider the actual airframe and engine series,
the type of winglet, the configuration of the aircraft’s seats, the age of the aircraft, the actual taxi
time and the air minutes. The typical aircraft weight, baggage and passengers, payload of the cargo
and degradation in the engine efficiency coupled with the real time air navigation data helps gets
an effective 360-degree view of every flight (Rathoure, 2020).
Question 3
Starting tracking is one way for improving sustainability in the aviation industry. One x
cannot manage what they cannot measure. To understand on what must be improved, one ought
to have a baseline showing the status and to map out what needs be done. The tracking systems
include emissions, emission intensity, fuel consumption, fuel efficiency, water and energy use, and
waste. Setting goals is another way of improving sustainability as once you’ve got a baseline, you
can determine what your overall goals might be including reducing emissions, using renewable
sources of energy, reducing the waste more so in increasing the number of recycled materials, and
having consumption efficiency (Madsen et al., 2015).
“The best-performing companies worry less about performance and more about their
organizational capabilities” (Bititci, 2015).
Yes, I agree with this statement because organizational capabilities are what is needed to drive
performance, implement strategy, gain competitive advantage, and adapt to change. Organizations
should be focusing within the organizations, culture, and what they are capable of first prior to
worrying about performance. Organizational capabilities are assets that an organization focuses on
to get the work done, execute business ideas, and satisfy their customers. It also defines an
organization’s identity and differentiates their competitor. It basically contributes to organizational
culture, leadership performance, relationship with customers, and allows an organization to
operate efficiently (Boatman, 2021).
Organizational culture is very important in any organization as it influences capability and
performance, it drives innovation, productivity, employee development, retention, and allows an
organization to meet their objectives and goals. According to a study conducted by Eagle HIll
Consulting, organizational culture influences job performance, 77% agree a strong culture allows
employees to do their best work; 76% see the impact in productivity and efficiency, and 74%
believe that there is a connection between culture and the ability to serve the customer base. It has
an impact on an employee's commitment to achieving company goals (O'Donnell, 2019). Lasty, in
order to have a strong organizational culture that encourages capability and performance there
needs to be a strong, trusted relationship with those in leadership.
Upon review of the memos for both Company A and Company B, the organizational culture and
capabilities are lacking in Company A. They are focusing more on customer satisfaction to drive
their performance and less focus on their employees. They are falling behind due to losing their
most valuable employees, they are not training nor developing their employees, they are feeling
burned out, there is limited opportunity for them, and due to issues with compensation they are
experiencing recruitment difficulties. Due to budget restrictions, they are not limited to
opportunities for creativity and innovation, they have quality issues, antiquated systems, and
productivity challenges. They are performing well at the expense of their employees.
The organizational culture and capabilities is much better for Company B, they may have
experienced a decline in sales, but having a new president to come in with a strong belief to move
the company forward, adopt a stronger culture, and empower employees. The new president was
to introduce new innovations to the organization. I do believe if they make changes to outsourcing
their HR department, they would be improvements to recruiting employees. The HR department
does not seem to be focused on offering technical training for tier employees. Even though
Company B is a much smaller company, the employees are hardworking, seasoned individuals, and
who are innovative. I believe that Company B is aware that it needs to make changes to the culture
of the company whereas Company A is in a standstill.
“The best-performing companies worry less about performance and more about their
organizational capabilities” (Bititci, 2015).
Yes, I agree with this statement because organizational capabilities are what is needed to drive
performance, implement strategy, gain competitive advantage, and adapt to change. Organizations
should be focusing within the organizations, culture, and what they are capable of first prior to
worrying about performance. Organizational capabilities are assets that an organization focuses on
to get the work done, execute business ideas, and satisfy their customers. It also defines an
organization’s identity and differentiates their competitor. It basically contributes to organizational
culture, leadership performance, relationship with customers, and allows an organization to
operate efficiently (Boatman, 2021).
Organizational culture is very important in any organization as it influences capability and
performance, it drives innovation, productivity, employee development, retention, and allows an
organization to meet their objectives and goals. According to a study conducted by Eagle HIll
Consulting, organizational culture influences job performance, 77% agree a strong culture allows
employees to do their best work; 76% see the impact in productivity and efficiency, and 74%
believe that there is a connection between culture and the ability to serve the customer base. It has
an impact on an employee's commitment to achieving company goals (O'Donnell, 2019). Lasty, to
have a strong organizational culture that encourages capability and performance there needs to be
a strong, trusted relationship with those in leadership.
Upon review of the memos for both Company A and Company B, the organizational culture and
capabilities are lacking in Company A. They are focusing more on customer satisfaction to drive
their performance and less focus on their employees. They are falling behind due to losing their
most valuable employees, they are not training nor developing their employees, they are feeling
burned out, there is limited opportunity for them, and due to issues with compensation they are
experiencing recruitment difficulties. Due to budget restrictions, they are not limited to
opportunities for creativity and innovation, they have quality issues, antiquated systems, and
productivity challenges. They are performing well at the expense of their employees.
The organizational culture and capabilities are much better for Company B, they may have
experienced a decline in sales, but having a new president to come in with a strong belief to move
the company forward, adopt a stronger culture, and empower employees. The new president was
to introduce new innovations to the organization. I do believe if they make changes to outsourcing
their HR department, they would be improvements to recruiting employees. The HR department
does not seem to be focused on offering technical training for tier employees. Even though
Company B is a much smaller company, the employees are hardworking, seasoned individuals, and
who are innovative. I believe that Company B is aware that it needs to make changes to the culture
of the company whereas Company A is in a standstill.
Boatman, A. (2021, November 29). Organizational capabilities: Definition, examples, and how to
build them. AIHR. Retrieved February 21, 2022, from Organizational Capabilities: Definition,
Examples, and How to Build Them. e e
O'Donnell, K. M. and R. (2019, March 27). Culture directly influences job performance, employees
say. HR Dive. Retrieved February 21, 2022, from https://www.hrdive.com/news/culture-directly-
influences-job-performance-employees-say/551159 /
Boatman, A. (2021, November 29). Organizational capabilities: Definition, examples, and how to
build them. AIHR. Retrieved February 21, 2022, from Organizational Capabilities: Definition,
Examples, and How to Build Them. e e
O'Donnell, K. M. and R. (2019, March 27). Culture directly influences job performance, employees
say. HR Dive. Retrieved February 21, 2022, from https://www.hrdive.com/news/culture-directly-
influences-job-performance-employees-say/551159 /
Madsen, P., Dillon, R. L., & Tinsley, C. H. (2015). Airline Safety Improvement Through Experience
with Near-Misses: A Cautionary Tale. Risk Analysis, 36(5), 1054–1066.
https://doi.org/10.1111/risa.12503
Measuring sustainability in the airline industry—A 360-degree view of every flight. (n.d.). Cirium.
https://www.cirium.com/thoughtcloud/measuring-sustainability-airline-industry/
Rathoure, A. K. (2020). Carbon foot print and impact on biodiversity. Biodiversity International
Journal, 4(2), 109–110. https://doi.org/10.15406/bij.2020.04.00170
