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Sources of decline, turnaround strategy and HR strategies and practices: The case of Iberia Airlines

Author

Listed:
  • Mónica Santana

    (University of Pablo de Olavide, Spain)

  • Ramon Valle Cabrera

    (University of Pablo de Olavide, Spain)

  • José-Luis Galán González

    (University of Seville, Spain)

Abstract

This study investigates the coevolution of the sources of decline, the turnaround strategy and the human resource strategy (HRS) at Iberia Airlines, together with the influence of employee responses to these strategies. The analysis of several moments of organisational decline at Iberia, comparing measures adopted in pre- and post-financial crisis periods, shows that, in a sector experiencing a fiercely competitive transformation that negatively affects established companies, the use of downsizing in an organisation with internal deficiencies may create further problems within the company, while an HRS based on flexibility-oriented practices and a fostering approach to strategic negotiations will improve the requisite recovery strategy.

Suggested Citation

  • Mónica Santana & Ramon Valle Cabrera & José-Luis Galán González, 2019. "Sources of decline, turnaround strategy and HR strategies and practices: The case of Iberia Airlines," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 40(3), pages 583-610, August.
    • Handle: RePEc:sae:ecoind:v:40:y:2019:i:3:p:583-610
    DOI: 10.1177/0143831X18772356
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