Measuring market orientation of Muscle Pharm Corp. (MSLP:US) REAL LIFECASE STUDY – REACHING NEW HEIGHTS | Page 12

Reaching new heights - Open source software application SabreSonic® Res.
accumulation of technological experience. Proactive management and the ability to identify and
seize opportunities also played a vital role in the success of those airlines that implemented the
reservation systems. In those early days, for companies that had implemented reservation systems,
“learning by doing” was key for growth in market share, while one of the limiting factors for these
companies was to match the envisioned functional complexity and capability of such a system with
the technological capability of the time (Copeland and McKenney, 1988).
In modern days, when airline mergers are frequent, many lessons can be learned to ensure a smooth
transition to a new IT system. Successful implementation is brought about when key people are
retained, and best-practices and procedures from both airlines are shared and implemented (Schaal,
2013). When deciding which system to implement, it is best to keep the customers in mind and
adopt that which works best for most customers. In most instances, this may mean adopting the
larger airline’s technology infrastructure, with this airline taking charge of this aspect (Leff, 2013).
Short-sighted decisions (due to arrogance) should be avoided if these are merely to please the
company in control of the merger.

4.3 Past mistakes, future implications and lessons learnt for management
An overview of recent airline mergers shows that the implementation of a single reservation system
can prove to be a great hurdle in the merger process. In the US-American West merger, web checkin and check-in kiosks did not work, having a negative impact on customers and profits. In the
Continental-United merger, flights were delayed, there was missing data, and long telephone wait
times. What these two cases had in common was that it was decided to implement the smaller
company’s technology (Leff, 2013). In the case of the United-Continental merger, the practices of
the larger company were eventually adopted (Schaal, 2013). The lesson to be learned is that the
merged airline cannot afford to be arrogant and dismissive of what either company is currently
doing. As stated above, in most cases it is best to adopt the technology of the larger company as this
will benefit both employees and customers.
circumstances and have proper training.

It is also imperative to plan for all possible

In the case of the US-America West merger, three

extensive tests failed to detect large technical problems and employee training proved