Contents
Principles of Management – Applying Managerial Functions at AirAsia
Task
Select one organisation and one managerial issue, challenge, or change. Your essay should explain how the organisation applied, or could have applied, planning, leading, organising, and controlling in managing that situation. The emphasis should be on application and reflection rather than simple description.
Essay Structure
| Section | Suggested Word Count | Guidance for Students |
| 1. Introduction and Organisational Context | 200–250 words | Introduce the organisation, the industry, and the managerial issue, challenge, or change being examined. Briefly explain why this situation is important from a management perspective. |
| 2. Planning | 350–400 words | Explain how the organisation planned, or should have planned, in response to the issue. Students may discuss goals, forecasts, strategies, priorities, contingency planning, or action plans. |
| 3. Leading | 350–400 words | Explain how managers or leaders guided employees or stakeholders during the situation. Students may discuss leadership style, communication, motivation, influence, and direction. |
| 4. Organising | 350–400 words | Explain how the organisation arranged people, roles, resources, systems, or workflows to respond effectively. Students may discuss structure, coordination, division of work, reporting lines, or resource allocation. |
| 5. Controlling | 350–400 words | Explain how the organisation monitored performance, tracked progress, identified problems, and made adjustments. Students may discuss KPIs, targets, reviews, quality checks, or corrective action. |
| 6. Reflection and Managerial Lessons | 250–300 words | Reflect critically on whether the organisation managed the issue effectively across the four functions. Explain what worked well, what could have been improved, and what management lessons can be learned from the case. |
Framework Requirements
| Item | Guidance for students |
| Student-created framework | Students should develop one original framework to explain how the issue is managed through the four management functions. |
| Place for it | The framework should be placed in Section 6: Reflection and Managerial Lessons, or immediately before that section if it fits better |
| How to use it | Students should briefly explain the framework and use it to summarise how the four management functions are connected in managing the chosen situation. |
Experts Answer on Above Questions on Principles of Management
Organisation selected
The organisation selected for analysis is AirAsia and the managerial issue considered for analysis is the recovery and digital transformation of the airline after covid-19.
Introduction
Air Asia is one of the major airline operators in the Asian market, and the company faced significant challenges especially during covid-19 pandemic because of travel restrictions being imposed leading to decline in the demand for air travel services, and the airlines suffered huge financial losses. In order to come up with the issue and remain competitive, the company had to restructure its operations with specific emphasis on performing digital transformation.
Application of managerial functions
The company has successfully applied in the managerial function in order to achieve a recovery from the crisis situation. The initiatives and the strategies considered by AirAsia are analysed as follows:
Planning
The planning has been done by the managers at AirAsia which aims at reducing the cost and diversifying its revenue sources. It has been achieved by the airline through expanding its digital business through the AirAsia Super App, introduced new revenue streams such as e-commerce and food delivery and performed the resumption of its domestic and international flight on a phased basis. This effective planning approach has allowed the airline to adapt to changing market conditions in a better way.
Organizing
The airline performed a significant reorganisation of resources and workforce structures with the objective of supporting its new business goals. The initiatives undertaken were the relocation of employees to digital business units, streamlined operational processes to reduce the overhead cost, and performed the integration of technology teams to support its online services. As a result of these reorganisation initiatives, the airline witnessed an improved operational flexibility and better contribution to its revenue.
Leading
The responsibility on the management of Air Asia was huge, as the employees get demotivated because of uncertainties in the business environment. However, the management at AirAsia showed an effective leadership approach in motivating its employees during such uncertainty. They have successfully communicated the recovery strategies with their staff on a regular basis to make them feel participative, and encouraged innovation and adaptability, and promoted a culture of resilience despite there being a reduction in the workforce. This stronger leadership has allowed the airline to maintain its employees commitment towards the organisation and lead the transformation.
Controlling
The effective monitoring of performance was achieved at Air Asia to support the recovery growth. The initiatives considered were the tracking of passenger numbers and operational cost, continuously monitored the digital platform performance and utilised financial performance indicators to measure the overall improvement and progress. Continuous monitoring has allowed the organisation to identify problems and make necessary adjustments.
Conclusion
The response of Air Asia in relation to covid-19 indicates the efficient application of managerial functions of planning, organising, leading and controlling to support the organisational change during uncertainty. The initiatives considered for the digital transformation were quite effective in allowing the airline to ensure long term sustainability in the Malaysian market.
| The above model answer is reviewed by Syahidah Mohd, specialises in hospitality management business analysis. Disclaimer: Thais answer is a model for study and reference purposes only. Please do not submit it as your own work. |
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