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"Analyse and evaluate British Airways decision to cut jobs and routes" As is the trend with many other airlines post September 11th, British Airways have found themselves with a great excess capacity on their airplanes which they are trying to address here by the cuts. By reducing the number of routes; and therefore flights, and reducing the number of airplanes, capacity utilisation per flight should increase meaning higher levels of revenue to outweigh the fixed costs associated with each flight, no matter how full the plane is. This is clearly a financial exercise, aiming to reduce overheads for the currently un-profitable company. Making many management staff redundant should succeed in reducing overheads by having to pay fewer salaries. It may also reduce some of the dis-economies of scale associated with large companies with many layers of management, such as poor vertical communication. In the airline industry which has a very uncertain...

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