M RahmanStakeholders of American Airlines
This is a detailed analysis of the stakeholders of American Airlines. American Airlines is one of the largest airlines in the world and the largest one in the United States. As a major player in the airline industry, it has many stakeholders, both internal and external. Understanding them is very important for it to manage the business and ensure its success.
Internal stakeholders of American Airlines
Internal stakeholders of American Airlines include the senior leadership team, employees, and shareholders.
Senior leadership team of American Airlines
American Airlines is led by a Chief Executive Officer who is supported by several Vice Chair, Executive Vice Presidents, and Chief officers of different affairs. This senior leadership team is responsible for ensuring the strategic and operational success of the company (American Airlines, 2022).
Employees of American Airlines
Employees are the backbone of American Airlines and without them, it would not be able to function. They are the ones who make sure that the planes are running smoothly, that customer service is up to par, and that the planes are landed safely. Without their commitment, American Airlines would not be successful.
American Airlines has around 123,400 employees (Salas, 2022). However, it should be mentioned that many flight attendants have organised and took part in picket rallies at 11 major airports in the USA, over the airline rejecting new union contract proposals from the Association of Professional Flight Attendants (Sainato, 2022).
Shareholders of American Airlines
Shareholders are also one of the most important internal stakeholders of American Airlines. They invest in the company and provide capital for it to operate. They are also the ones who benefit from its success, as their investments are rewarded with dividends. As they play a vital role in the success of the company, their interests should be taken into consideration seriously when making decisions.
External stakeholders of American Airlines
External stakeholders of American Airlines include customers, suppliers, government, media, and the public.
Customers of American Airlines
Customers (passengers) are the lifeblood of the company, and they are the ones who purchase tickets and fly on the planes. Without them, American Airlines would not be able to operate at all. They have certain expectations and demands, and it is important for the airline to meet those expectations in order to remain competitive.
Suppliers of American Airlines
Suppliers are also one of the important external stakeholders of American Airlines. They provide the parts and materials necessary for the airline to operate, such as fuel and aircraft parts. Therefore, it must maintain good relationships with them in order to ensure that it is able to get the supplies it needs in a timely manner.
Government
The government is another important external stakeholder of American Airlines. It has the power to regulate the airline industry and can impose restrictions or rules that the company must follow. It is important for the airline to abide by the rules and regulations in order to avoid any unnecessary challenges.
Media and public
Media and the public are also external stakeholders of American Airlines. The media plays a key role in shaping public opinion and can have a significant impact on the company. It is therefore important for it to maintain good relationships with the media in order to ensure that it is portrayed in a positive light. The general public is also important as they are the ones who purchase tickets and fly on the planes. They also can be interested in the corporate social responsibilities of the airline.
Stakeholder analysis of American Airlines
Stakeholder analysis is very important for American Airlines to identify and understand its stakeholders. Understanding and meeting their expectations are important as their impact on it is significant. Customers, for example, can have a significant impact on it. If they are not satisfied with the service or the prices, they may choose to fly with a different airline.
Similarly, suppliers can also have a significant impact on it. If the airline does not maintain good relationships with them, it may not be able to get the parts and materials it needs in a timely manner, which could lead to delays in operations.
The government, media, and general public can also have a significant impact on American Airlines. If the government introduces new regulations or restrictions, the airline may have to alter its operations in order to comply. Similarly, if the media portrays it in a negative light, the public may be less likely to fly with it. It is therefore important for the company to maintain good relationships with all its stakeholders in order to ensure its success.
Benefits of stakeholder engagement for American Airlines
Stakeholder engagement can be beneficial for American Airlines in several ways. First, it can help it stay on top of changes in the industry and anticipate customer needs. By engaging with stakeholders and understanding their interests and needs, it can stay ahead of the competition and ensure that it is providing the best customer service possible.
Stakeholder engagement can also help the airline build relationships and trust. By engaging with stakeholders and taking their interests into consideration, it can build trust and loyalty with its customers, suppliers, and other stakeholders. This can help it establish long-term relationships with its stakeholders and ensure its success.
Challenges of stakeholder engagement for American Airlines
Stakeholder engagement can sometimes be challenging for American Airlines. For instance, it can be difficult to ensure that all stakeholders are being taken into consideration in some sensitive and strategic decisions. Likewise, stakeholder engagement can be time-consuming as well. This can be especially difficult for a company as large as American Airlines, which has many stakeholders.
Conclusion
Stakeholders play an important role in the success of American Airlines, and therefore, it is very important for it to understand their interests and needs to ensure its success. Some of the stakeholders have high power and interest, and therefore, they need to be communicated with regularly and their interests must be considered while making strategic decisions.
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Last update: 14 December 2022
References:
American Airlines (2022) About us, available at: https://www.aa.com/i18n/customer-service/about-us/about-us.jsp (accessed 14 December 2022)
Sainato, M. (2022) American Airlines workers picket over contracts as company reports record revenue, available at: https://www.theguardian.com/us-news/2022/nov/16/american-airlines-workers-picket-over-contracts (accessed 14 December 2022)
Salas, E. (2022) American Airlines Group – employees, available at: https://www.statista.com/statistics/422354/number-of-employees-of-american-airlines-group/ (accessed 12 December 2022)
Author: M Rahman
M Rahman writes extensively online and offline with an emphasis on business management, marketing, and tourism. He is a lecturer in Management and Marketing. He holds an MSc in Tourism & Hospitality from the University of Sunderland. Also, graduated from Leeds Metropolitan University with a BA in Business & Management Studies and completed a DTLLS (Diploma in Teaching in the Life-Long Learning Sector) from London South Bank University.
