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FLY ME HIGH

              By:
         Apoorva
         Arindam
          Tanmay
         Subhanu
         Mousumi
      Jagswaroop
 Lufthansa’s record loss of DM 730M in 1992.
 No Capital for the enlargement of
  organisation.
    Banks denied to give Loans.
    Liquidation Crisis.
   The Gulf War.
 There was a necessity for drastic action.
 Awareness that there was a massive
  pressure to act.
 Meeting by Jurgen Weber entitled CRISIS
  MANAGEMENT MEETING.
    Learning about interdepartmental cooperation
    Non Bureaucratic problem solving.
    Setting of ambitious goals.
• Repeat CMM workshop several times.
• Making managers live through the process
  of recognising the threats and feeling the
  urgency rather than discussing strategy.
• Emotional mobilisation.
• Setting of PROGRAM 93.
    Setting of 131 projects.
    Cut down of Non Personal Cost.
    Downsized fleet.
    Town meetings in various departments.
• Monitoring teams who was set up, viz
  REDEVELOPMENT CONTROLLING.
• Implementation of PROGRAM 93 by OPS
  Team.
   In 1993 70% of programm 93 was
    successful.




       THE CRANE HAS LIFT OFF AGAIN
 Superficial Recovery couldn’t guarantee
  long term success.
 Division into five departmets.
    Finance
    Personnel
    Maintenance
    Sales Marketing
    IT
LAGS
 Involvement of Top Level Managers in
  operational matters.
 Slow decision making process aka
  Fragmented Decision making.
 Lack of accountability.
 Lack of transparency.
 Insufficient response to the market.
SOLUTIONS
   Divisions of the company into federative
    groups of interdependent smaller
    subsidaries.
    LH Cargo AG             LH Technik AG
    LH System GmBH         LSG Sky Chefs
    City Line              Condor
    Redefined tasks and responsibilities of
    executive board.
   Strengthing of Strategic focus.
   Weightage to Core Business Of Passenger
    Service.
   Privatisation in 1997.
   Strategic Cost Saving.
 GROWTH THROGH PARTNERSHIP
  STRATEGY.
 Introduction of Star Alliance.
 Merging of Lufthansa with Star Alliance in
  1999.
 Ground Breaking strategies including
    Eye in the Global market
    Improved Marketing and Sales
    Service and Product Development
    Enhanced Information technology
   Evolution of an Aviation Group.
   Development of each and every sector into Global
    brand with a local outlook
   Internationalization of Relationship

   Radical improvements in Punctuality , Luggage
    safety and technical Reliability
   Development of LUFTANSA School of Business to
    create world class leaders
 STRENGHTS
Emerging as a global brand
Technical Reliability
Improved Hospitality
Emotional Mobilization
Provide space for Reflection and Dialogue
Intensive personal learning
   Weakness

No division of jobs
Slow decision makers
Insufficient responsiveness to changing
global trends
MONOLITHIC Organizational Structure
   Opportunities

SKY IS THE LIMIT – as far as the Lufthansa is
  Concerned the global market is at the
  Stake

Inclusion of STAR ALLIANCE – Lufthansa
  improved under the Flag as the Union
  proved to cater to the needs of the
  Public and set a benchmark
   Setting a common Goal throughout the
    organization is Extremely Important
    Program 93 and 15 were a success , Steps should be taken to
    introduce more Programs for overall development
 Training And Development for Employees
  for Emotional Mobilization
 LOW COST AIRFARE to cater to the middle
  class and thus increase revenue
 Development of other Business
THANK YOU

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Lufthansa 2007

  • 1. FLY ME HIGH By: Apoorva Arindam Tanmay Subhanu Mousumi Jagswaroop
  • 2.  Lufthansa’s record loss of DM 730M in 1992.  No Capital for the enlargement of organisation. Banks denied to give Loans. Liquidation Crisis.  The Gulf War.
  • 3.  There was a necessity for drastic action.  Awareness that there was a massive pressure to act.  Meeting by Jurgen Weber entitled CRISIS MANAGEMENT MEETING. Learning about interdepartmental cooperation Non Bureaucratic problem solving. Setting of ambitious goals.
  • 4. • Repeat CMM workshop several times. • Making managers live through the process of recognising the threats and feeling the urgency rather than discussing strategy. • Emotional mobilisation. • Setting of PROGRAM 93. Setting of 131 projects. Cut down of Non Personal Cost. Downsized fleet. Town meetings in various departments. • Monitoring teams who was set up, viz REDEVELOPMENT CONTROLLING. • Implementation of PROGRAM 93 by OPS Team.
  • 5. In 1993 70% of programm 93 was successful. THE CRANE HAS LIFT OFF AGAIN
  • 6.  Superficial Recovery couldn’t guarantee long term success.  Division into five departmets. Finance Personnel Maintenance Sales Marketing IT
  • 7. LAGS  Involvement of Top Level Managers in operational matters.  Slow decision making process aka Fragmented Decision making.  Lack of accountability.  Lack of transparency.  Insufficient response to the market.
  • 8. SOLUTIONS  Divisions of the company into federative groups of interdependent smaller subsidaries. LH Cargo AG LH Technik AG LH System GmBH LSG Sky Chefs City Line Condor  Redefined tasks and responsibilities of executive board.  Strengthing of Strategic focus.  Weightage to Core Business Of Passenger Service.  Privatisation in 1997.  Strategic Cost Saving.
  • 9.  GROWTH THROGH PARTNERSHIP STRATEGY.  Introduction of Star Alliance.  Merging of Lufthansa with Star Alliance in 1999.  Ground Breaking strategies including Eye in the Global market Improved Marketing and Sales Service and Product Development Enhanced Information technology
  • 10. Evolution of an Aviation Group.  Development of each and every sector into Global brand with a local outlook  Internationalization of Relationship  Radical improvements in Punctuality , Luggage safety and technical Reliability  Development of LUFTANSA School of Business to create world class leaders
  • 11.  STRENGHTS Emerging as a global brand Technical Reliability Improved Hospitality Emotional Mobilization Provide space for Reflection and Dialogue Intensive personal learning
  • 12. Weakness No division of jobs Slow decision makers Insufficient responsiveness to changing global trends MONOLITHIC Organizational Structure
  • 13. Opportunities SKY IS THE LIMIT – as far as the Lufthansa is Concerned the global market is at the Stake Inclusion of STAR ALLIANCE – Lufthansa improved under the Flag as the Union proved to cater to the needs of the Public and set a benchmark
  • 14. Setting a common Goal throughout the organization is Extremely Important Program 93 and 15 were a success , Steps should be taken to introduce more Programs for overall development  Training And Development for Employees for Emotional Mobilization  LOW COST AIRFARE to cater to the middle class and thus increase revenue  Development of other Business