Generic Benchmarking: Intersect Investments
University of Phoenix
Intersect Investments has an aggressive 12 month transformational plan. We have identified four major concepts that have successfully been used by other companies faced with the same challenges and will help Intersect achieve its goals. The following pages will contain Santhosh Mathews’ benchmark of American Airlines and Cantor Fitzgerald’s use of the Preventing Organizational Decline concept, the solution to the high turnover of McDonalds and Best Buy as summarized by Darnita Bailey, Candace Sharp’s research of Chick-fil-A and The Lady and Sons restaurants and the utilization of the Shaping Employee Behavior with Positive Reinforcement and Rewards concept, followed by General Motors and Intel decision to use the concept Models and Dynamics of Planned Change by TaKeisha Yancey. We will review the issues, response and outcome of following the concepts mentioned before.
Concept: Preventing Organizational Decline
Company: American Airlines
Issue: The terrorist attacks on New York City on September 11, 2001, devastated the US transportation industry more than any other business. Airline Business (2006) states that the industry lost about 69 million domestic passengers over the two years after the attack. The US airlines went back to the 1996 passenger count level with 525 million passengers carried in 2002. American Airlines one of the biggest airlines in the industry lost a major chunk of the business because of the attacks. Major US carriers like US Airways and United Airlines have filed for Chapter 11 '' in bankruptcy protection and American Airlines was close to doing the same in 2002 (Airline Business, 2006).
Response: While the other legacy carriers like Delta and United started slashing labor costs and increasing efficiency to compete with successful low-cost airlines, American decided to imitate aggressively the positive employee...