Memo – Evaluating Success at Transglobal Airlines

Memo – Evaluating Success at Transglobal Airlines

To: The Chief Financial Officer

From: Flight Controller

Date: 4/1/2022

Subject:  Evaluating Success at Transglobal Airlines

Transglobal has the potential to expand significantly. However, any expansion must be accompanied by setting strategic goals. The goals highlight the company’s mission and guide its people towards the goals. Effective strategic goals define measurable tasks needed to pursue the organization’s mission. The analysis below evaluates Transglobal’s strategic goals and key performance indicators needed to achieve its goals. Our assignment writing services will allow you to attend to more important tasks as our experts handle your task.

SMART Goals

Financial

Transglobal intends to increase its net revenue to $3 billion from the current $2.0999 in the next financial year. That will be achieved by cutting the current operational expenditure from $18 billion to $17 billion. The goal is achievable given that some of the company’s revenue is lost by operating non-profitable flight routes. Abandoning such flights will save the company a dime.

Internal Process

The company will improve its employee retention by improving internal processes. Transglobal will achieve this by offering employee training. Training will help them understand internal operations and what is expected from them. With proper training, the company is likely to increase employee retention by at least 10%. Hiring new employees is inherently expensive, hence the need to retain the current crop.

Customer

There is a need to hire five more customer support staff by the end of the year to improve customer experience. The new staff will share space with current customer support staff that operate from relatively large offices. Increasing customer support staff will encourage return customers and attract new ones.

Learning and Development

Also, there is a need to improve operational efficiency by increasing the American market share from the current 18% to 30%. The goal can be attained by reducing client waiting times. Sometimes clients wait for too long for their flights due to insufficient jets. The acquisition of new jets will go a long way to reduce wait times.

Key Performance indicators

Key performance measures an organization’s performance to gauge its improvement over time (Ganesan & Paturi, 2009). A key performance indicator for attaining positive financial results is inventory turnover. In this case, selling all flight tickets will indicate improving financial results. Secondly, a key metric to show improved internal processes is employee retention within the year. Thirdly, booking capacity on each chartered plane and returning customers are crucial metrics to determine whether performance goals for the customer segment were attained. Finally, the success of learning and development in improving internal operations will be judged based on customer reviews on the company’s social media platforms.

References

Ganesan, E., & Paturi, R. (2009). Key performance indicators framework method to track business objectives, link business strategy to processes, and detail the importance of key performance indicators in enterprise business architecture.

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Memo – Evaluating Success at Transglobal Airlines

Scenario
You are a former Navy officer and fighter pilot who is now the controller of a division of TransGlobal Airlines, which utilizes a fleet of corporate jets for charter at several airports in the southeast part of the United States. Your division’s private charter clients include several Fortune 500 companies in the region. The Chief Financial Officer (CFO) has informed you that the company is considering the acquisition of two smaller aviation firms in the Caribbean specializing in chartered flights for luxury vacations using light aircraft (60 passengers or less). The CFO has tasked you with assessing the organizational benefits of acquiring these aviation firms.

Before evaluating these aviation firms, you want to evaluate the performance of TransGlobal Airlines.

Prompt
Write a memo to the rest of the leadership team at TransGlobal Airlines, identifying strategic goals and key performance indicators (KPIs) to help evaluate the company’s performance. Use the information provided to you in the TransGlobal Airlines Company Information document to complete your memo.

Specifically, you must address the following rubric criteria:

SMART Goals: Write at least one strategic goal using SMART criteria for each of the four components in a balanced scorecard. Explain your rationale for choosing each goal.
Financial
Internal process
Customer
Learning and development
KPIs: Identify at least one KPI corresponding to each strategic goal.
Explain how you determined the KPIs.