1. HUMAN RESOURCE MANAGEMENT AT OCEATIC AIRWAYS Submitted by AjitkumarSeth NibeditaBiswal RanjeebPadhi Richie Das VivekMohapatra SCHOOL OF MANAGEMENT, NIT ROURKELA

2. INTRODUCTION This case study is based upon a giant company who was the market leader once upon a time.

3. BACKGROUND 1948- Oceatic airways was originally established as international airways ltd. By M.sayid. 1950-It is merged with state owned airline and was renamed oceatic airways. 1957-started first schedule international service to London via Cairo and Rome. 1959-Launched first jet service(Boeing 707) on London-Huderabad-dacca route. 1961-started cross atlanta service from Baharin to Newyork.

4. Contd. 1997-it was one of the biggest corporation in Asia. It was the first airline in Asia to induct Boeing 737 aircraft and also provided helicopter service. It has near about 50 aircraft,18000 thousand employees and travel around 100 destinations.

5. OBJECTIVES To improve the HR practices & co-ordinate various functional areas to receive from financial less lost reputation of the company.

6. ISSUES Heavy loss of money around $4 billion. Loss of company’s brand image and reputation.

7. Profits /loss in million

8. CAUSES Stiffer competition from both domestic and international airways. The increasing price of the fuel. Political interference in the process of recruitment. Requirement was not based on proper merit basis. Lack of proper trainings to the employees. No priority was considered for standby candidates which leads to demotivation of the employees to compete next year with fresher.

9. Contd. Lack of coordination between HR department and other functional department. Each subordinate has to report a multiple number of bosses. Tall organization structure.

10. STRENGTH Strong brand recognition. One of the largest public sector company. First to operate helicopter service and Boeing 737 in Asia. 3 star ranking by skytrax. Efficient seat utilization factor. Promotions are based on ability and not on seniority.

11. WEAKNESS Unable to make proper utilization of man power Employees are recruited on non merit basis. Lack of proper training and control leads employee demotivation. Lack of coordination between HR dept. & functional dept. during induction process leads towards wrong forecast of HR needs. The appraisal form is unclear. Bell curve system for performance appraisal which is not understood by the employees.

12. Contd…. Reporting to more than one boss which creates confusion and unclear picture of the job. Improper promotion system. Balloon type organization structure leads towards delay in decision making. Job descriptions are not clearly explained or written down. Lack of efficient employees. Inefficient staff cervices and product deliveries.

13. THREATS Increase in fuel price. Competition from other airlines in the both local and global domain. Government started giving more incentives to attract greater investment.

14. OPPORTUNITY Broad image. Large no. of employeer and their potential is to be used effectively. To upgrade standardised & energised the existing HR system.

15. SOLUTIONS Need a proper HR planning and involving middle and lower management people along with top management in the decision making process. Developing strategies to integrate different HR functions in order to achieve organizational goals. Adopting flat organization structure. job description should be clear and it should not contain any ambiguity.