How Did United And Continental Airlines Promote Organizational Change

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Organizational change is inevitable within any organization desiring continuous success and to remain profitable. The questions one may ask when initiating change is what process should be used to promote this major change? Are these changes necessary? Will these changes continue to promote our vision? There are so many components of any major change that takes place within an organization or company. Let’s take a look at a major change that took place between to major companies. The merger of United and Continental Airlines will help us understand the history, diagnosis of the internal issues, how the implementation of the changes affected the organization and evaluation of the merged companies. In order to understand the merger, we must understand the history of each company and some of the elements that may have led to the decision of the merger. Beginning with Continental Airlines that initially started as Varney Speed Lines in 1934. The lines initially started as airmail and passenger services only operating in the American Southwest. In 1937, Robert F. Six, the CEO of Continental until 1966, changed the name to Continental Airlines. Being no…show more content…
Their radical behavior seemed to exhibit elements of the second-order change ideas. Continental began to dramatically introduce the idea of economical fares that would provide airline services to more passengers. Six coined this idea internally within Continental in hopes to increase customers, which will eventually increase revenue. They kept growing in their flights and even began using better equipped aircrafts such as the Boeing 747. In 1978, Continental attempted another merger with Western Airlines in 1978, but the merger never completed. Continental added several markets into their trip schedule that helped to absorb some of the setbacks that took place after the Airline Deregulation Act was put into
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