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Case study
Publication date: 18 November 2024

Satyendra C. Pandey and Pinaki Nandan Pattnaik

The learning outcomes are as follows: to comprehend the dynamics of crisis management in the airline industry and appreciate how sudden shifts in critical human resources, like a…

Abstract

Learning outcomes

The learning outcomes are as follows: to comprehend the dynamics of crisis management in the airline industry and appreciate how sudden shifts in critical human resources, like a pilot exodus, can impact an airline’s operations and its market position and image; to explore the legal and ethical considerations involved in managing employee contracts and transitions, emphasizing the complexities and responsibilities in this process; and to evaluate human resource retention strategies in a competitive market highlighting the importance of these strategies in maintaining a stable and skilled workforce.

Case overview/synopsis

In August 2023, Akasa Air, an emerging Indian airline barely a year old, found itself entangled in a challenging predicament due to an abrupt pilot exodus to rival Air India Express. This development resulted in significant operational setbacks for Akasa Air, notably the cancellation of over 800 flights as 43 pilots departed within weeks. In reaction, Akasa Air initiated legal proceedings against the pilots, accusing them of contract violations for not adhering to the required six-month notice period. Represented by Nora Chambers, a leading company law firm, the airline navigated a complex legal landscape, contending with both the pilots and Air India Express. The defense from Air India Express hinged on the argument that the pilots had settled their early departure through substantial bond payments, alleged to cover training expenses. This legal conflict occurred against a backdrop of broader challenges within Akasa Air, particularly concerning the viability of their business model in a fiercely competitive aviation market. The airline’s strategy, involving a significant increase in pilot salaries, mirrored industry-wide efforts to secure and retain skilled aviation personnel. The crisis at Akasa Air underscored the turbulent dynamics of the Indian aviation sector, already shaken by similar issues in other airlines like Indigo. Confronted with this critical situation, the leadership at Akasa Air was compelled to make a pivotal decision: either to overhaul their recruitment and retention policies, engage in negotiations with Air India Express or aggressively pursue legal action against any entities hiring their pilots. This strategic choice was not only vital for Akasa Air’s immediate trajectory but also for shaping its influence in the competitive Indian airline industry.

Complexity academic level

This case is ideal for Masters-level courses in Strategic Management, Human Resource Management and Aviation Management. It also fits well into executive education and professional development programs, particularly for those focused on crisis management and legal aspects of employee relations in the aviation sector. Suitable for a 60–80-min class discussion, the case is beneficial for both management students and professionals, offering practical insights into managing complex industry-specific challenges.

Supplementary material

Teaching notes are available for educators only.

Subject code

CSS 6: Human Resource Management.

Details

Emerald Emerging Markets Case Studies, vol. 14 no. 4
Type: Case Study
ISSN: 2045-0621

Keywords

Case study
Publication date: 7 February 2024

Pinaki Nandan Pattnaik, Satyendra C. Pandey and Bignya Patnaik

After completion of this case study, students will be able to help participants appreciate how the personal experiences of the founder(s) shape the inception of a social venture…

Abstract

Learning outcomes

After completion of this case study, students will be able to help participants appreciate how the personal experiences of the founder(s) shape the inception of a social venture and impact its ongoing evolution; elucidate the intricacies and challenges inherent in managing a mission-driven organization dedicated to serving the underserved segments of society; emphasize the difficulties associated with exploring opportunities for scaling up a social venture; and facilitate comprehension of the various options and strategies available for achieving scalability.

Case overview/synopsis

The Kalinga Institute of Social Sciences (KISS), founded in 1992–1993 by Prof. Achyuta Samanta in Bhubaneswar, was a pioneering institution with a distinctive focus on providing high-quality education at all levels, exclusively to tribal students. From its inception, KISS remained unwavering in its commitment to the holistic development of marginalized tribal communities. It offered not just free education but also comprehensive support, including accommodation, food and health care, to thousands of students spanning from kindergarten to post-graduation levels. Remarkably, KISS held the unique distinction of being the world’s only university dedicated to tribal education. Over the years, KISS witnessed remarkable growth, evolving from a modest 125 students in 1992–1993 to a thriving community of 30,000 students. Its success garnered attention from federal and state governments, public institutions, philanthropists and corporations, all intrigued by the prospect of replicating its transformative model in diverse regions of the country. KISS even received invitations to establish similar campuses in neighbouring countries such as Sri Lanka, Bangladesh and Nepal. What set KISS apart was its self-sustaining approach. While it did receive support from like-minded organizations and government schemes, it operated without charging any fees to its students. This ethos posed a unique challenge for Samanta: determining the nature and extent of support and resources required should KISS choose to expand its impact beyond its current boundaries.

Complexity academic level

This case study is suited for inclusion in courses pertaining to social innovation and non-profit management, particularly in modules around the theme of scaling social innovation. It provides an illustration of the growth trajectory of social innovation-oriented ventures and the key factors underlining their success and sustainability. Furthermore, this case study delves into the inherent tensions that often emerge during the process of scaling up such initiatives.

In addition to the MBA-level courses, this case study can also be used as a resource for executive education programs with a specific focus on social purpose organizations and those dedicated to fostering partnerships in pursuit of social goals. It offers insights into the dynamics of these organizations and their collaborative efforts towards achieving social impact.

To effectively explore and analyse the case material, instructors should allocate approximately 70–90 min of class discussion time.

Supplementary materials

Teaching notes are available for educators only.

Subject code

CSS11: Strategy.

Details

Emerald Emerging Markets Case Studies, vol. 14 no. 1
Type: Case Study
ISSN: 2045-0621

Keywords

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