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HUMAN RESOURCE MANAGEMENT AT OCEATIC AIRWAYS<br />Submitted by<br />AjitkumarSeth<br />NibeditaBiswal<br />RanjeebPadhi<br />Richie Das<br />VivekMohapatra<br />SCHOOL OF MANAGEMENT,<br />NIT ROURKELA<br />

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INTRODUCTION<br />This case study is based upon a giant company who was the market leader once upon a time.<br />

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

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

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

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ISSUES<br />Heavy loss of money around $4 billion.<br />Loss of company’s brand image and reputation.<br />

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Profits /loss in million<br />

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

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

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

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

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

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

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

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