OSM Aviation, a newcomer in the sector, is disrupting the aviation industry. The specialist in the employment, training and administration of cabin crew and pilots is changing the way airlines approach talent management. OSM Aviation’s idea is based on a new and comprehensive outsourcing model of “total crew management” – taking responsibility for the entire crew management process, from recruitment and training to planning and execution. The company’s value proposition is two-fold: offering crew members secure, fair and predictable employment; and giving airline operators both added flexibility and an opportunity to save costs, as well as providing them with top quality crew members.
China Resources Beer: Becoming future ready
Summary
The China Resources Beer (CR Beer) case study is a compelling narrative of the world’s largest beer producer by volume under the leadership of CEO Hou Xiaohai. In 2016 CR Beer embarked on a pivotal transformation journey. This case study offers critical insights that particularly resonate with Chinese corporations navigating similar challenges in an era marking the end of China’s rapid economic growth. Faced with industry saturation, changing consumer behaviors, the rise of digital technology and the imperative shift from expansive to high-quality growth, CR Beer’s story mirrors the predicament in which many Chinese companies find themselves today. The case delves into CR Beer’s strategic overhaul, how it optimized its vast 60,000-employee structure, streamlined operations and embraced digital transformation to remain competitive. CR Beer’s transformation was characterized by tackling “three mountains” – operational inefficiency due to numerous small factories with high costs and low-capacity utilization, weak brand presence in the high-end beer market and an underutilized and mismatched workforce. The study also highlights the company’s innovative approach to rebranding for younger consumers, integrating consumer insights into product development and exploring new business models. It underscores the importance of internal cultural shifts to support these external changes and the role of leadership in guiding transformation. CR Beer’s journey from traditional efficiency to future-readiness offers valuable lessons in managing large-scale organizational change, strategic management and business innovation. It provides essential insights for understanding the complexities of transformation in a rapidly evolving industry, making it a crucial read for those interested in organizational change, particularly in the context of the Chinese market and its unique challenges and opportunities.
Reference
IMD-7-2538
Copyright
©2024
Copyright owner
IMD Copyright
Organization
China Resources Beer
Industry
Consumer Goods, Food and Beverage
Available Languages
English
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DIDA: Becoming a world leader in IT infrastructure
Summary
Five friends created DIDA in 1983 and turned it into a global provider of IT infrastructure and services. Riding the wave of rapid growth of communication networks and increasingly global business relationships of corporations, DIDA established its brand through its strong alignment with dominant infrastructure companies such as Cisco and Microsoft. Navigating the end of the internet bubble, DIDA served as a major reseller of these companies’ products, adding value with its integration services by increasing its clients’ efficiency and enabling collaboration within corporate networks. By 2005 DIDA had resumed rapid growth through partnerships, equity-based alliances and, most prominently, acquisitions, which led to a network of subsidiaries in more than 50 countries and six continents. By the end of 2009, DIDA had shown its critics that it could grow and integrate. However, its revenue was growing faster than its profits and it was not poised to help corporations move to the next generation of internet technology which would require new capabilities for installing and managing large data centers for computing as a service (CaaS) and cloud computing. The case ends with DIDA’s CEO reviewing the prospects of shrinking core markets and displacement by technological disruption. He acknowledges the need to make choices and get ahead of technological trends again in a changing IT infrastructure landscape. DIDA could seek to further grow its core business or internalize new capabilities to get ready for a CaaS future. Should DIDA seek more profitable growth organically or through acquisitions?
Reference
IMD-7-2547
Copyright
©2024
Copyright owner
IMD Copyright
Organization
DIDA (Disguised)
Industry
Services, Telecommunications
Available Languages
English
Contact
Research Information & Knowledge Hub for additional information on IMD publications
Honda and Nissan need more than a $58bn merger to compete with Chinese EVs
Summary
Honda and Nissan's $58bn merger aims to compete with China's EV dominance, but risks include cultural clashes, overlapping markets, and uncertain innovation outcomes.
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Trump Policy - Navigating The Fog - A Near Term Guide
Summary
Once again, Donald Trump has promised bold yet unspecified moves that will add to the uncertainty facing executives. Business leaders must cut through the "policy fog" by focusing on what the re-elected President can actually control, comprehensiv...
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Strategies for negotiating cross-sector alliances
Summary
Given the world’s many challenges, the ability to forge effective alliances across business, government, the non-profit sector, and academia has become essential to building durable solutions. Here are eight steps to guide you through the process.
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Navigating Geopolitical Rivalry - Geopolitical Radar
Summary
The mention of geopolitics leads many to ask how company strategies are being reformulated to capitalize on what's left of globalization. But this overlooks a critical prior question: what's the best way for firms to track and assess geopolitical ...
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What tramp shipping can teach strategic management
Summary
Shipping is a unique industry, and tramp shipping is a niche sector within it. Yet, in an age of growing market disruption and uncertainty, it has some key lessons for strategic management in other industries.
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Annual prognoses and corporate strategy - 2025 Trends
Summary
Most annual predictions fail to provide actionable insights for executives. Here are two approaches to better discern the implications for your business.
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Eliminating roadblocks to sustainable business transformation
Summary
Companies need clear guidance to achieve sustainable business transformation. A practical roadmap identifying drivers for effective change can make success more likely.
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Why leaders don’t engage in strategic thinking
Summary
Strategic thinking is widely acknowledged as a critical leadership capability, yet many executives struggle to consistently prioritize it.
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