1. Presented by Sara Weron
Astro Airlines
Presented by Sara Weron

2. Astro Airlines Summary
Arthur Burton establishes Astro Airlines in 1980
Low-cost, no-frills airline
Company emphasized quality, participative leadership, and self- management
Despite early success, organizational problems eventually occurred
Company filed for bankruptcy in 1986

3. Problems with Astro Airlines
Organizational Problems
Lack of communication, overwhelming workload, and decision processes
Sub-problem # 1
Lack of experiences management
Issues occurred in company, absence of managerial staff
Problem # 2
Burton as CEO and President
Not capable of handling all issues, reluctant to hire a new company president, not able to keep up with trends of industry and major competitors
Problem # 3
Internal problems associated with employees
Attempts of organizing unions, employees quitting jobs, and atmosphere different than original atmosphere of company

4. Alternative Solutions to Problem # 1
Hire new employees for Astro Airlines
Pros
More work will get done
Room for communication
Employees are happy
Cons
Costs would be greater
Finding the right employees takes time
Additional time to properly train new employees

5. Alternative Solutions to Problem # 1
Delegate certain tasks to specific individuals
Pros
Reduces overwhelming workload
Communication to higher authorities is minimal
Jobs are routine, making them easier
Cons
Dissatisfied employees
Employees not fit for their assigned task
Repeated tasks become boring

6. Alternative Solutions to Problem # 1
Do absolutely nothing
Pros
Saves company money
Cons
Lower customer service
Unhappy employees
Company loses money long-term

7. Solutions to Sub-Problem # 1
Hire outside experienced managers
Pros
Eliminate chaos and disorder
Time management will be more efficient
New insights on company projects
Boost team morale
Cons
Expensive
Requires time and resources to train new management
Existing employees could no longer be part of management

8. Solutions to Sub-Problem # 1
Train current employees for management positions
Pros
Cost effective
Earn more respect from current employees
Employees can use past experiences to help with future problems
Cons
No expert advice
Old ideas
Resistance to change

9. Alternative Solution to Problem # 2
Arthur Burton needs to hire a company president immediately
Pros
New innovative ideas
Less stress on Burton
Fresh start for Astro Airlines
Cons
New president and Burton may not see eye to eye

10. Alternative Solution to Problem # 3
Company should hold a meeting to discuss employees’ needs and concerns
Pros
Open communication
Answers how goals be achieved
Employee satisfaction
Cons
Time
Resources
No solutions stem from the meeting

11. Recommendations
Astro Airlines should hire more employees and hire outside experienced managers
Arthur Burton needs to hire a company president
Astro Airlines and Burton should hold a company meeting to discuss what needs to be done in the organization

12. Conclusion
Astro Airlines will be successful if they implement new strategies
Need a clear vision of what their company will represent in years to come
Solutions are in the best interest of the company, not Arthur Burton

13. Comments or
Questions ?