¶ … Ceo: Determining Issues With the Expansion of Business

Quality assurance and compliance are significant factors in starting and sustaining a successful business. Without these aspects, a business may experience internal or external risks that might negatively affect the business' future (Thareja, 2007). As one of Western Australia's current growing small airline companies, the company is considering an increase in fleet plans to include five turbo prop aircraft that will be used to reach major west coast city airports and remote mining sites. As the company intends on regular public transport and charter operations, as well as for activities and maintenance to be internal when possible, issues in key personnel, training, facilities, aerodrome, documentation, applicable regulations, and risk management will need to be properly and thoroughly addressed. The purpose of this brief is to inform readers as to the main issues in each of these areas.

Key Personnel

Large and small companies alike require staff to complete duties in order to keep the operations at optimum standards. Each department within a business will require a manager to fulfill and diligently take responsibility for a plethora of tasks, and some departments will require a supportive staff to complete less significant duties. Without a specific job description or plan, a company can appear lost, disorganized, and unprofessional. Below is a list of job descriptions at the expansion of the company.

Operations Managers will be responsible for the financial success of the company. They will market for the company and create the business plan that all departments are to follow. They will also be in charge of interactions with lenders, community lenders, and vendors.

Quality Control Managers are significant in producing quality products and services by monitoring the quality of company appearance to customers. These managers are in charge of the quality of training of the employees.

Office Managers conduct the office overall in proper function. They not only operate the office, but handle office traffic, deal with human resources, and any other duties related to the efficient business in the office.

Marketing Managers are those in charge of getting word and advertisement to potential customers about the business. They are required to handle the promoting and selling products.

Purchasing, Shipping, and Receiving Managers create orders for the company, while also packaging, and transporting inventory and receiving goods for the company.

Accountants will be necessary in order to ensure that the company is financially responsible and stable. The accountant will take care of monthly income statements, balance sheets, accounts receivable, accounts payable, payroll, and other cash management processes.

Receptionists, though not often given much credit, are the first people that the customers will interact with. This person will answer calls, greet customers, take care of mail and other paperwork, while directing business to the correct departments.

Supporting Staff will fill in any necessary areas through direction from management. With departments that need a full supportive team, staff will assist in less important tasks in order for managers to be able to focus on more "big-picture" tasks (Hofstrand, 2009).

3.0 Training

The training of staff can be complex, as the new employees must learn technical, legal, operational, and services skills, while existing staff must complete compliance training once a year. Not training staff entirely in one of these areas could negatively affect the new employees, other staff, customers, vendors, and future staff that the employee may train. It is imperative that employers or upper management staff generate a training plan to make certain key areas of training are completely covered.

When generating a business plan, employers or management staff must identify exact training that is necessary, how it will help the company, the training time urgency, where or how the training will be conducted, and what budget is necessary (Workforce and Economic Development Network of Pennsylvania, 2003). For the public aircraft industry, personnel will require to be trained for customer service. This will positively affect the business in that customers will have experiences that will aid in free advertising and repeat customers. Training must be ongoing, with a refreshment course for staff once...

The training can be completed by management teams, with an annual training budget of twenty hours per staff member (Ward, 2011).
4.0 Facilities

Facilities are to be maintained internally when possible. This includes the heating, ventilation, and air-conditioning systems, plumbing, electrical, and building systems (Pepperdine University, 2011). Not having trained staff could cause harm to employees attempting repair, those using the improperly repaired property, or to the assets themselves. It will be more safe and financially efficient to hire outside assistance for property maintenance.

5.0 Aerodrome Requirements

Aerodromes are small airports, airbases, or other areas prepared for the purpose of landing and the taking off of aircrafts (U.S. Department of Defense, 2005). As an airline company, understanding the aerodrome requirements of Australia and abroad will allow for the safety of employees and clients. The Australian Airports Association (AAA) and the Civil Aviation Safety Authority (CASA) provides continual training and skill development in the areas of aerodrome inspection, reporting, and aerodrome safety functions (Australian Government: Civil Aviation Safety Authority, 2011). Without proper training, staff could risk the lives and safety of all present at the time of takeoff and landing. In 1988, Australia passed the Civil Aviation Act, which in conjunction with the Civil Aviation Regulations and Orders, provide the minimum requirements for aerodrome reporting officers and work safety officers. With the following of these laws, the officers provide the core base for Australian aviation and aerodrome safety (Australian Government: Civil Aviation Safety Authority, 2011).

To allow for the most well trained and safest staff possible, the small aviation company must work closely with the AAA and CASA. Any possible training or experiences provided, the team must take full advantage of.

6.0 Documentation

Documentation provides proof of a physical process or activity (Brown, 2009). It is essential in business practice because it permits errors and discrepancies to be corrected or verified in order to reach peak success. In legal situations, documentation assists in protecting a business or individual against potentially detrimental litigation.

Running a successful business requires a documentation process to be in effect. Aviation requires proper training, regulation compliance, and aircraft quality, each of which will require supportive documentation. Without suitable documentation, the small aviation company could lose the ability to fly, the fight in discrepancies in finances, or legal issues (Enterprise Content Manager, 2011).

7.0 Applicable Regulations

The CASA passed the Civil Aviation Safety Regulations (CASR) in 1998, which aims to protect employers, employees, clients, and vendors in experiences involving aircraft. CASR discusses many vital sectors of the aviation field (Australian Government: Civil Aviation Safety Authority, 2011).

Airworthiness describes CASR's requirements that plane parts must have for each type of aviation, including sailplanes, free balloons, very light aero planes, and more directly related to the company's interest, commuter and normal category aircraft. In addition to the regulations setting standards for aircraft registration and marking, it also sets regulations for operations, crew licensing, aerodromes, and drug and alcohol testing.

The company is required to provide a Statement of Compliance (SOC) which is a signed statement declaring status that aircraft was created, manufactured, and is maintained to have an airworthiness system, while continually meeting the aviation standards set forth by CASA (Australian Government: Civil Aviation Safety Authority, 2011). If the small aviation company is not able to meet CASR standards, it will not be able to truthfully sign a SOC, thus not being able to rightfully continue conducting business.

8.0 Risk Management

Risk is defined as "the combination of the probability of an event and its consequences (The Institute of Risk Management, 2011)." To manage against risk, corporations must recognize the benefits and the detriments of risk and consider both perspectives and potential outcomes. In beginning a new venture, such as expansion, the aviation company must fully address the risks involved in increased plane count to five turbo prop aircrafts. The company must consider the risk involved in…