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Sustainable Management Futures (indivdual assignement ) - Assignment Example

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Introduction Airbus is one of the leading market players in the global aircraft industry. Airbus is based in Toulouse, France. The company is so big that more than 50 percent market share of world aircraft industry belongs to this company. Presently, around 54 percent market share is held by airbus worldwide…
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Sustainable Management Futures (indivdual assignement )
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Sustainable Management Futures (indivdual assignement )

Download file to see previous pages... EADS and BAE made all of their assets to move to the newly established company. At present, EADS holds 80 percent shares of Airbus, whereas BAE holds 20 percent shares of the company. a supervisory council has been established to look into the operation of airbus. This committee is actually a shareholder committee and consists of seven members only. In this committee five members come from EADS, while the remaining two come from BAE. The committee is responsible for approving budget of Airbus (Airbus, 2010). This shareholder committee also helps in making and implementing investment strategies of the firm. Later on Airbus significant effort has been made to reorganize the company to build several centers of excellence with an aim to earn profit. Each of these centers is authorized with the power of making their own manufacturing and buying policies relating to the production of different parts of aircrafts. They are allowed to make subcontract in order to reduce costs. This kind of operational set up has been chosen by this aircraft company as for this industry, this policy seems to be the most effective way of building and maintaining profitability. Presently, airbus has four subsidiaries which are authorized to take their own operational decisions. These subsidiaries are airbus of North America, Airbus of China, Airbus Japan and Airbus Transport International. It is a very profitable company and presently it offers its supports more than 3000 aircrafts with 250 operators. Airbus has a mission of providing those aircrafts that are best suited to the current needs of the market along with supporting all these manufactured aircrafts with services of the highest quality. It holds the vision of listening to their customers’ needs and responding accordingly. This paper will make an attempt of examining sustainable management of airbus which operates on a multinational ground. First of all a rigorous analysis of the political, economic, social and technological aspects associated with the company will be conducted. Then focus will be placed on environmental aspects that the company should take under consideration. The paper will also discuss the major drivers that have forced the company to take into consideration various environmental aspects while forming its operational policies. This paper will also discuss sustainable management strategies of Airbus along with considering the benchmark requirements. Finally it will analyze the impacts of these policies. PEST analysis and analysis of Environmental Factors associated with Airbus operation: The essential items to deal with the global strategy (based on the PESTEL analysis): Political analysis: Airbus has always been the source of economic activities such as jobs, technology development, ancillary companies and spin offs. Therefore EU has provided Airbus its assistance throughout. Since Airbus is a European consortium of French, German, Spanish and UK companies, therefore EU has served it full-fledged since it a support through tax breaks, financing, loan guarantees and research and development support. In 2001, in one of the reports from European Association Of Aerospace Industries, it is seen that there have been at least 4,35,000 jobs in the aerospace sector of Europe, with 1.2 million jobs being supported directly or indirectly by the industry. There has been a friction in the relationship between US and ...Download file to see next pagesRead More
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