Summary of Models & Whiteboard from Tutorials

On Wednesday's tutorial we drew diagrams on the whiteboard for KIWI Airline and how we can apply Porter's Five Forcer and the Value Chain.

Porter's Five Forces

Value Chain

You might also find this page to be useful: http://engmba.wikidot.com/scrib-book4

It summarises many of the models from the book and provides a number of examples of how the models apply to the airline industry.

Week 2 Weekly Blog Question: Option 3 - Simaota Magele

Information systems (IS) must complement business strategy. In the KiwiAir case, they are:

(1) cutting costs - by introducing the new customer-centric information systems as the core of the business strategy and digitising the supply chain, they are able to cut costs by offering a ticketless and paperless e-travel experience to customers (reduce cost of supplies), fuel could be immediately monitored, and wastage would be reduced by customising the supply of resources to each step in operations (optimising resource allocation to reduce costs), and reducing the time gap from supply order to supply delivery meant less inventory on hand and aligning costs more tightly with services (reduce wastage of products not being used means less costs).

(2) enhancing the customer experience - restructuring the existing loyalty programme by implementing the use of RFID tags to regular customers will save them time (from booking, to paying, to baggage deposit, to boarding - no paper work required). Also, the flexibility to cancel flights within one hour of departure and to book flights whenever, wherever is more convenient and tailored to customers personal preferences.

(3) out-performing the low-cost airlines - competing on costs was always going to be an issue with KiwiAir so competing in terms of offering the customer flexibility (cancelling flights as early as an hour before departure, booking and paying a fare on-line, check-in kiosks for baggage deposit, paperless and ticketless e-travel, etc), a better customer service experience (educating both internal (employees) and external customers in alignment with new strategic initiatives (training employees who can then assist external customers) and optimising the entire supply-chain to reduce costs), KiwiAir can out-perform its competitors on service by implementing IS as part of its strategic and organisational business plan and compete using non-price competition tactics (by offering a better customer service experience than its competitors).

Week 2 Weekly Blog Question: Option 2

For this week's blog post, you will need to answer ONE of the questions about the Kiwi Air Case. (These questions will help you with this week’s mini-analysis.  Try to give an original answer or angle, or pick an question/area that others have not chosen):

2. Explain KiwiAir’s competitive strategy in terms of ONE of the forces in Porter’s Five Forces model.   Note: For your Week 1 assignment you need to consider ALL FIVE forces.  (See pp52-57 of text; plus the Porter reading – link on Blackboard.)



IMPORTANT NOTE: If you have not already checked your student email for an invitation to become a contributor for the blog, please do so (even if you are already a member of the blog). If you have recently changed to this tutorial or have not received an invitation, please send me an email.

Week 2 Weekly Blog Question: Option 3

For this week's blog post, you will need to answer ONE of the questions about the Kiwi Air Case. (These questions will help you with this week’s mini-analysis.  Try to give an original answer or angle, or pick an question/area that others have not chosen):

3. Jack Morrison, The new CEO of KiwiAir has chosen a  “three pronged tactical attack” or competitive strategy (see p.1 of case in Student Notes): (1) cutting costs, (2) enhancing the customer experience, and (2) out-performing the low-cost airlines.  How will information systems  help KiwiAir  with this attack?  


IMPORTANT NOTE: If you have not already checked your student email for an invitation to become a contributor for the blog, please do so (even if you are already a member of the blog). If you have recently changed to this tutorial or have not received an invitation, please send me an email.

Week 2 Weekly Blog Question: Option 1

For this week's blog post, you will need to answer ONE of the questions about the Kiwi Air Case. (These questions will help you with this week’s mini-analysis.  Try to give an original answer or angle, or pick an question/area that others have not chosen):

1. What features of the airline industry have affected KiwiAir’s competitive position? 


IMPORTANT NOTE: If you have not already checked your student email for an invitation to become a contributor for the blog, please do so (even if you are already a member of the blog). If you have recently changed to this tutorial or have not received an invitation, please send me an email.