Milestone4.docx

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Milestone 4: Tour Summary and Reflection

Tour Summary and Reflection

Company Tour

My learning-based tour to American Airlines Inc has ended. It officially ended on Friday 12 June 2021 at 12.30 pm. During the study excursion, I gained a wealth of experiences in terms of career skills such as communication skills, personal responsibility, and industry information, and personal responsibility.

Observation

Accordingly, I observed a range of activities and issues that entails an enterprising entity. One of these is how information flows in a centralized organizational structure. American Airlines has a centralized organizational structure where decisions stem from the head office and are distributed down the chain of command. Other than its organizational structure, I also observed how the company cooperates with other airline firms in strategic alliances. According to the operating manager whom I interacted with, cooperation levels in these firms depend on stakeholder’s strategies. In American Airline’s case, interlining and grouping of loyalty programs are the most commonly used forms of strategic alliances. These are commercial arrangements in which the company shares the same flight with Alaska Airlines and Allegiant Air. This is a competitive strategy that reduces costs via economies of scale associated with maintenance, computer reservation, joint marketing, and ground facilities.

Reflection

The tour experience equipped me with immense knowledge and skills regarding airline operation and management. Initially, I did not know the typical means used by airline firms to deliver customer value. However, after touring American Airlines, I now realize that cooperation for operations and market-wide alliances are major competitive strategies in airline companies. The strategies include both cost-cutting strategies and robust revenue management approaches. Additionally, the trip offered me an opportunity to gain a realistic perspective on my profession. The experience was an incredibly memorable real-world revision of my studies and enabled me to gain insight into organizational processes in the real work environment.