TURKISH we are going to cover this five years

TURKISH AIRLINES STRATEGY
FOR NEXT 5 YEARS

Turkish airways
are the world’s 4th best airline. Turkish Airlines have the most flight in the
world. In this report, we will mention that Turkish Airlines next 5 years
strategy and Leadership characteristic and threat. We are going to describe THY
next five years strategic management according to our course that we took from Omar
Khalid BHATTI. Also, we are going to cover this five years strategy as a
leadership concept again the course that we took name of leadership. We are
going to examine THY’s five years strategy according to each steps that we have
courses books as a strategic management and leadership.

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Strategic
management can be defined as the art and science of formulating, implementing,
and evaluating cross-functional decisions that enable an organization to
achieve its objectives. Strategic management include 3 parts. It has begun that
strategic formulating, strategic implementing, and strategic evaluating. Other
part of this research is leadership management concept that cover all business
way of THY.

 

Strategic Plan

As short cut it is
company’s game plan in strategic management. THY has good, efficient and
reliable strategic plan that has been continue from company started to do
airway business. We will pay attention the newest strategic plan. The newest
strategic plan of THY related with four major parts. These are:

 

Network

THY is a growing
airway company every year in the market and they have find new customers to expend
their company to feed the grow of company and maintain and hold their existence
costumer portfolio. THY’s point view of network is to reach new destinations
point and make a new agreement with partners all over the world. Thy is already
one of the best airway that reaches more country with its destinations points
from most of other competitors in the business. THY tries to reach more
destinations point such as Asia, Europa, Africa. THY has already put an effort
to make this success in Africa from 2012 until now.

Geographical Location
of Istanbul

Istanbul has good
location that the big and profitable flights are in the world. Such as, Middle
east, Europa-Far east, Asia, Europa, America-Middle East. ?stanbul can be used
as a transfer point to reduce the distance between destinations that mentioned
above and reduce the gas price that are spent while flying at last reduce time
to reach to destinations. Other importance Istanbul’s location is that the
flexibility to use different aircraft fleet at different capacities. ?stanbul
is middle point of between Asia and Europa.

 

Endless Costumers
Satisfaction

THY operates
different countries and different cultures as a worldwide. This is reason that
underline costumers satisfaction. They put costumers satisfaction top of the
plan near others. THY hire dynamic, young employers and provide them technology
that helps employers for costumers’ satisfaction. THY brings new innovative
look to airways business and took all attention on the company.

 

Brand Awareness

THY has been investing
more money in 2017 than previous investments to social media campaign,
sponsorship agreement and advertisement with globally famous people. The
purpose behind these steps to build strong brand image and awareness of
costumers.

 

Competitive
Advantage of Turkish Airlines

Competitive
advantage can be defined as anything that firm does especially well compared to
rival firms. First and top consideration is location of Istanbul main based of
company. Geographical location of Istanbul is helping and contributing to
company to reduce time and distance between top using destinations. Best
competitor of THYs are British Airlines, Air France, Emirates and Qatar
airways. Location is key to deal with this competitor of company. Other factor
is that all these competitors that we have mentioned above serve luxury policy
for satisfaction of costumer but THY serve also luxury staff with cheap prices
strategy compare other luxury airway in the Europa.

Vision and Mission
of Turkish Airlines

Vision means that
what do you want to become? Mission means that how will you become, or what is
your business? THY has vision and mission part. Vision is maintaining the
growth trend above the sector average, reduce accidents to zero, perfect
service concept in the world, sales and distribution expenses below the sector
average, THY has local customers, and self-develop staff. To become an airline
with management that embraces the principles of modern governance, taking into
account the interests of its shareholders and all its parents. The mission of
Turkish Airlines is to be Europe’s leading and global active airline with
preferred flight safety, reliability, product range, service quality and
competitive position.

Turkish Airlines
is the national airline company of Turkey. The headquarters of Turkish Airlines
is in Istanbul. Turkish airlines have big flight networks such as Europe,
Middle East, Far East, North Africa, Central Africa, South Africa, North and
South America. Turkish air routes carried a total of 61.2 million passengers in
2015. According to the Skytrax 2016 awards, it was chosen as the best airline
in Europe at six times.

THY has announced
its next five years strategy based on their investment and growth of company
market share. Board of directors had a meeting in their headquarters in
Istanbul about forward five years strategy in 2016. The chairman of THY Mehmet Ilker
AYCI was leading this meeting and announced final decision of company to the
media. Strategy based on rising number of profitability account in company. By
expanding to new destinations practically day by day and increasing its fleets
because THY has already good profitable margin in airway market and successes many
rivals. This is only and best option to expand the company as increasing its
fleets and discover and explore new destinations. The new destinations of THY
includes these countries that are Saudi Arabia, Ukraine and Croatia as a part
of first step of strategic plan.

Adding this 5 years
strategy Chief marketing officer of THY Ahmet OLMUSTUR has explained about
details of the strategic plan to the public next 10 years strategy for THY.  Airline’s growth plans, U.S corporate segment,
future technology and sales staff.

 

Corporate Sales
Growth

THY has 8000
account and 8 percent of total revenues are coming from corporate sales end of 2015.
He said the company future oriented vision is to increase the numbers of
corporate sales from 8 percent to 20-25 percent of the total income. Why they
measure and compete these numbers to achieve because THY headquarters see to
potential of THY flying more countries than any other competitors in the
business. Planes fly across the 110 countries. According to Ahmet OLMUSTUR if
thy will success fulfils the needs of the costumer, to make a decoration in
some units such as, reservations, sales until the baggage claim, after that
Turkish Airlines are going to increase their percentage of corporate accounts
in the next five years.

 

Foresee the Growth
and Opportunities of Location

THY has two
airports in ?stanbul. First one is Atatürk airport and second one is Sabiha
Gökçen that place on the Asia side. Atatürk airport has achieved good success
path for company, but it has not fulfilled the capacity needs, so Turkish
government has decided to make a new airport in north-western side of ?stanbul
for Turkish Airlines. The reason of making third airport is to fix the
congestion situation of Atatürk Airport. Other problem is to provide good
product to the costumer as a desire of company, but with new airport Turkish
Airlines provide more product related with Arline business, than They have
already offer. In the past years company had product-centric approach but company
is going to dedicate themselves to customer-centric approach for next 5 years.
Related with customer-centric approach, company is taking action and take a
several steps; investing on a customer relationships management program, THY is
implementing process of CRM program. Turkish airlines is taking measures in the
customer appreciation side. For example; Turkish Airlines change to reservation
system, because Turkish airline’s customers are complaining about the
reservation and sales part. Turkish airlines will do huge investment for CRM
system.

 

Turkish Airlines
New Airport

Turkish Airlines
airport is going to finish first part in May 2017. Turkish Airlines is going to
have more profit with the first new part airport its passengers capacity up to
90 million. Atatürk Airport capacity is 55 million passengers. The construction
company is doing three phases. The end of the construction is going to finish
in 2024. Turkish Airlines is going to have 150 million passenger annual after
construction will be finished. Dubai and with new airport Istanbul is going to
be biggest airports in the world until someone makes better one. The new
airport will work 22 hours per day, when the new one will open also to help
other airlines can be increased their frequencies, or new airline can open its hub
in Atatürk Airport.

 

The Lines that are
targeting U.S corporate travel

THY fly New York
triple daily. They also fly Washington D.C: Boston, Chicago, Los Angeles, San
Francisco and Houston. Before Turkish Airlines complete 2015, THY has been
started direct flights to Miami every day, and Turkish Airlines has been flied
since May 2016 to Atlanta Hartsfield-Jackson Airport. They started the summer
2016 program, maybe they are thinking of increasing their flights to Washington
D.C. There are so many daily flights to San Francisco and Los Angeles. This
situation is going to give connection depth throughout the world. Turkish
Airlines has started to fly 45 countries in Africa. They are offering products
in terms of connection from America to Africa. In terms of location, they rank
first place in Africa. They have started to go Maputo, Mozambique, flights and
start Juba, South Sudan. Also since 2015, THY flies every major city in the
Middle East like Tel Aviv, Dubai, Amman, Jordan, Beirut, and six cities in Iraq,
THY puts their target as a rank two in middle east because of using many
destinations. In India, they fly two cities such as Mumbai and Delhi. Turkish
airlines want to increase their goals. Also, they make connections to Central
Asia such as Kazakhstan, Tajikistan, Uzbekistan, and also Russia, particularly
Moscow. Turkish Airlines prefer so close Balkan countries to Istanbul, such as
Bosnia, Romania and Moldova, they can connect American corporate segments to
all mentioned destinations after these routes arrangement.

 

Customer
Satisfaction

Turkish airlines
want to increase customer satisfaction. They are going to put special employees
for American stations. Also, this employees will work 7/24. Turkish Airlines
knows America want that service level. Turkish Airlines is going to make
investments to give perfect service. Also, Turkish Airlines is going to invest
sales staff for growth. Turkish Airlines staff is around 4,500 and around 2500 staff
on those 4500 staff work in the international office. Turkish airways are
working with the British people in London, they are working with Spanish people
in Spain. For America, Turkish Airlines work a lot of Turkish people because
Turkish people speak English very well in America.

Global
Distribution System Strategy

Turkish Airlines
use Troya System for reservations. They bought Troya system from British
Airways 20 years ago. Turkish Airlines use Troya system usually on domestic
flights. All domestic flights are coming from Turkish airlines own system. They
work with GDSs to connect and work other airways all around the world. Now,
instead of focusing on GDSs, They are going to focus their online channels.
Only 15 percent of reservations come from thy.com for Turkish Airlines. Turkish
Airlines want to increase usage of Online Channel. They are going to invest,
and they have started putting 15 different languages on their online channel by
August 2015 and they are going to work on online channel to make it better ever
before.

 

 Fuel Saving Strategy

Having one of the
world’s youngest aircraft fleets, Turkish Airlines aims to further reduce its
carbon and noise emissions by continuing its fleet-age leadership with its new
fuel-efficient next-generation Airbus and Boeing aircraft planned to add to its
fleet until 2023. Also, Turkish Airlines will do Fuel Saving with this planes.

 

New Boeing 777
Cargo Plane

Turkish Airlines
order Boeing 777 for the passenger plane. After that, Turkish Airlines decided
to change the last two passengers planes will come from Boeing 777. Turkish
Airlines will do new cargo plane from Boing 777. Because Boeing 777 planes is
fuel saving. Turkish airlines are going to use Boeing 777 for cargo and Turkish
airlines are going to decrease cost with it.

 

 

 

 

 

 

TURKISH AIRLINES LEADER’S
FEATURES

            Leadership is a process whereby an
individual influences a group of individuals to achieve a common goal. We are
telling about skills approach and transformational leadership related with CEO
and chairman of the board director of Turkish Airlines.

Skills
Approach means that takes a leader center point of the perspective on
leadership. ?t is related with skills that can be learned and developed with
the help of personality of leader. The skills approach suggest that two key of
effective leadership, knowledge and abilities that can help to develop how to
be a affective leader. Skills approach separate three parts that are Technical
Skill, Human Skill, Conceptual Skill.

Technical
Skill is gathered knowledge that point out proficiency in a specific type of
work or activity. It includes competencies in a specialized area, analytical
ability, and the ability to use appropriate tools and techniques. Mehmet Ilker
AYCI was born in 1971 and he has educated in Bilkent University as major of
political science and political administration at 1994. After he has graduated and
gone to England to work as researcher in Leads university with major political
science in 1995, after that he had return to get master degree from Marmara
University in 1997. When he has accomplished learning part of his life, he has
started business life with Kurtsan Medicine C.O, The Istanbul Metropolitan Municipality,
And Universal Foreign Trade Inc. After these job he has been continue different
types companies and important position of all these companies. As conclusion
THY has chosen him to be President of Turkish Airlines Board of Directors and
Chairman of the Executive Committee. 
When we have covered all of his major and job related back round he has
developed technical skills that bring him to Turkish Airlines Board of
directors and CEO position. After he has achieved top position there is no need
to put more technical skills on himself instead of he can help employees who
has a technical skill issues or to develop their technical skills.

Human
skills are people skills. Human skills help leaders to help group workers in
working in collaboratively as a group to have common goals. With Human skills
Leader can provide trustable work place for employees and they feel encouraged
to contribute in the planning of things that will affect them. Being a leader
with the concept of human skills means to be a sensitive to the needs and
motivations of followers. Mehmet Ilker AYCI has developed and learned good
human skill to build an idea toward of THY employers. He has decided benefits
to workers such as giving 4 premium annually, extended health insurance and
good designed work area for every type of unit in thy. Result of this action THY’s
employers satisfaction rate is good. 90 percentage of workers are happy
according to research and 50 percentage of workers want to continue to their
career plan in Turkish Airlines.

Conceptual
Skills are the ability to work with ideas and concepts. A leader who has
conceptual skill do not hesitate to say his or her ideas about every subject
that are matter for followers. The leaders can create an idea that reshape and
rebuild an entire organizations. Conceptual skills are important and central to
design a vision and strategic plan for organization. Mehmet Ilker AYCI has good
conceptual skills that have helped him to decide and take action in political crisis,
economic crisis that Thy has been through in 2015-2016 while he was leading as
CEO and chairman of the board director.

 

TRANSFORMATIONAL
LEADERSHIP OF MEHMET ILKER AYCI

As
its name give a clue, transformational leadership is a process that changes and
transforms people. It is dealing with emotions, values, ethics, standards, and
long-term goals. It is concerning on the follower’s motives, satisfying their
needs and threating them as full human beings. Followers whom are affecting
from transformational leadership achieve more success than leaders expect from
them. As we worked on THY’s leader Mehmet Ilker AYCI, we have decided his way
of leading is transformational leadership. Because his leading unique way and
giving attention on workers of thy. Satisfaction rates of employers beyond the
other companies in Turkey. Mehmet Ilker AYCI knows when he gives attention on
employers and behaving them as a full human being result of that action bring
out best return for company from employers. THY’s profit margin is going well
year by year even the obstacles that thy had in previous years.

As
a conclusion we have mentioned about Strategic management and its important
steps. Strategic management is hard and though process to apply carefully and
decide taking action without fear and hesitate to build the profitable company
and competing on global business. The best and important contribution of having
a good strategic plan gives you an imagination to get success in long-terms.
Beside having a good strategic plan is not enough to apply company without good
chosen leadership. Leadership is the key that open the door of strategic plan.
When you have both importance things, you will get from life as an achievement
what ever you want.