Global Connection Essay Example
Q uestion One: Diagram 1: Etihad Airways Business Model
Cylinders represent information processing, decision making and data storage.
The arrow shows the direction in which the information flows.
The rectangles indicate actions, task and operation either by user or application.
The incorporation of the business model above improves company profitability due to the reduction of human resource required to manage flight booking and ticketing. The business model above will reduce errors of double booking or flight scheduling which is prone to human error. Consequently, the model ensures that customers can shop by redeeming their miles in selected stores using their loyalty card. The loyalty points ensure increased rate of return customers.
he Unification Business Operating Model is one of the tools used in aligning of business and technological initiatives in the company. The tool converts operating model into business process integrated with IT capabilities. Also, it usually represents policies, principles and technological alternatives. The digitizations of business operation try to integrate and standardize process to enhance uniformity and quality of the services delivered to the customer. The figure below shows a prototype of unification business operating model for Etihad Airways.
Source: Adapted from Delta line Documents
Diagram 2: Etihad Unification Business Operating Model
The analysis of Etihad technological use in enhancing its digital capabilities and leadership notes that the company is at Fashionistast quadrant. The company implemented various business information systems that make Etihad one of the leading airlines that have fully automated its process. The process automated includes online booking, rescheduling, loyalty program and digital marketing. The company advertises its products and services on social media platforms such as Google +, Facebook, Twitter, LinkedIn and YouTube.
The partnership between Etihad and Adobe improves its resilience in the airline industry. The partnership aims at digitally transforming airline through the provision of a range of cloud solution to enhance seamless and more personalized digital experience for the company and potential customer. The digital transformation targets company loyalty program, direct sales, social media channels and marketing. The issues arising from customers missing flights and late departure cripples the company effectiveness of using ICT as a disruptive way of operating Airline industry in the information age.
The company has a few issues that need to be for it to digital master quadrant. The company strategies have yielded results and encountered small challenges along the way. Also, the company has placed a strong security system to safeguard company from online fraud and scammers. The company addressed the fraudulent IPO and recruitments. Therefore, the company has strong governance in places that are tasked with the formulation of business strategies.
The partnership between the company and Adobe acts a great stepping stone for the company to advance its digital vision and creating a strong digital culture in future to enable Etihad to become Digital masters. The company has engaged in various digital initiatives whose measure can be evaluated in future to determine its effectiveness. The company consistency in investment and use of the digital solution to smoothen its operations makes it evident that the firm will be able to enter into digital Master Quadrant in less than a decade.
Westerman, G., Tannou, M., Bonnet, D., Ferraris, P., & McAfee, A. (2012). The Digital Advantage: How digital leaders outperform their peers in every industry. MITSloan Management and Capgemini Consulting, MA, 2-23.
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