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Business Organization

Introduction

This organization is a system composed of many subsystems functioning in the environment. Management is the most important of this subsystem.

The management system has managed to integrate with other subsystems to make them compatible with one another within the organization systems and goals. Organizing is the process by which the structure of an organization is created and maintained. The process of organizing involves determining specific activities that are undertaken to accomplish the objective of the organization (Pieper, 1990)

Government study on British airways

In the United Kingdom British Airways is the biggest airline. It has a civil aviation authority type a license and is allowed to carry passengers, mail & cargo with at least 20 seats. British Airways founded one world airline alliance.

The headquarters of British Airways are United Kingdom, London, Harmondsworth and Waterside. The chief executive who is also the key people are Willie Walsh. British Airways was founded in 1924 as imperial Airways (www.britishairways.com).

Government Regulation

Government gives guidance to facilitate implementation of the Directive to make them compatible with regulations that already exist.

The government regulate activities in certain areas as fair employment practices, where employees are supposed to be paid wages and salaries depending on the position that they hold.

Also in relations to labour unions, the organization must observe legal requirements enforced by government whereby employee’s needs are met. The government ensure there are favourable tax structure and have direct influence on the organization profits.

Hiring of employees

Employees are hired to work for the British Airways and they should be qualified in Air Navigation and have valuable work experience for them to be effective and efficient.  Government ensures that employee’s education background and experience is known and this is done by examining the testimonials and conduction an interview to all short listed candidates in order to determine who suits most to the job. Flight crew working in corporate aviation are covered by council. Directive 93/104/EC by regulations of working time in 1998. (Lowson, 2002)

Policies or procedures

Employer ensures that crew member is given adequate rest time whereby he is given a different work which is not tiring but within the scope of his duties.

Employer keeps annual records of all the activities and also working patterns and the records are supposed to be retained for 24months.

The total flying time for crew should not exceed 900 hours in one year.

In 96 days the crew should have rest of at least 7 days.

Regulations enforcement body is the civil aviation authority, which ensures that crew member’s rights are not bleached.

Crew member should talk to the manager to settle any matter, get advice from representative of trade union or the advisory body. If matter is not resolved a claim is made at an employment tribunal. There are also penalties in any time wasted without explanation which is based on working time regulations 1998.

Air trust fund manages and applies trust fund to benefit customers who failed tour operations. End of every year it produces reports and financial statements.

Incase of any crime judgement is made in court of appeal by civil aviation authority.

Legislation of disabled persons traveling by air is in place. Air Travel Insolvency Protection Advisory Committee (ATIPAC) ensures balance of travel, independent and representatives of consumer.

Air operators in the European Economic areas must have license in order to operate. To acquire license there are requirements such as insurance and safety, its nationality of control, at least 20 seats.

For operation beyond European Economic area, another license will be required.

(Kahin, 1995)

Government contracts

These are the agreements between the government and British Airways.

British Airways agrees to pay Tax which is based on the amount of money it gets. In case of bleach of contract, there will be penalty.

The government offers security to the British Airways and Insurance cover whereby incase of any loss, insurance is able to compensate it back to its initial financial position. The government issues license to the company for it to operate business.

The government ensures British Airways operates legal business. Government finances British Airways in case of finance deficit through loans at low interest rates.

How the government affect or control the British Airways

It ensures consumers are protected whereby they are charged fair prices and are not exploited.

It ensures that legal framework is followed when operating business. Illegal businesses are not supposed to be carried out for example selling illegal drugs that are transported by passengers using British Airways.

Government makes sure that human rights are not violated by ensuring that employees are paid their dues at the right time and the right amount.  Employees are paid at the end of the month which is salary or wages. Government offers security to the British Airways to ensure that the working environment is safe and free from robbery.

Incase of any loss, the government offers insurance cover whereby the organization is compensated against any loss and is put back to its initial financial position before the occurrence of the loss or damage.

The government ensures that tax is paid certain percentage of total earning is supposed to be taxed by government. This enables government finance its activities because tax is one of the sources of government income.

Advantages for government regulations

It enables the government generate revenue for its operations for example infrastructure, housing, health facilities. The British Airways enjoys security from the government whereby experienced security personnel are employed at a reduced cost.

Government ensures that only legal businesses are operated and no illegal business is carried out for example no sale of illegal drugs.

Employees rights are catered for and are not violated for example wages and salaries are paid according to the agreement between employer and employee.

Principle of equity is followed in payment of taxes whereby those who are able to earn more income pay more tax and those who earn less income pay less tax.

The government gives license to enable the British Airways commence its business and continue its operations.

The government ensures that there is not air pollution through smoke or environmental pollution through throwing away harmful material or water pollution through sewage.

(Redlish, 2003)

Disadvantages

License may be withdrawn if the business is illegal. Incase of illegal business license will be withdrawn and all the operations come to an end.

Unfavourable tax rate or tax structure have direct influence on organization profit. If the tax rate is high the British Airways will end up paying more money that when it is low tax rate.

The government interferes with the operations of the organization in supervising its operations. Incase of elections, there is political instability in the country and the business of British Airways may go down.

REFERENCES

  1. Pieper. R; Human Resource Management; Walter de Gruyte, 1990.
  2. www.britishairways.com
  3. J. Redlish, France Wrigley; Local Government in England; Mc Millan Co, 2003
  4. B. Kahin, J Abbate; Standards Policy for Information Infrastructure; MIT Press, 1995
  5. Robert Lowson; Strategic Operations Management; Routledge,2002

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