First Choice Holiday, a large UK-based travel agent, saw stagnant revenue growth over two years. They hired Blue Sky, a consulting firm, to evaluate performance issues and develop strategies. Blue Sky found that lack of training, unclear goals, and low motivation among employees were causing low sales. Their solution was a change management program with clear communication, management commitment, addressing senior issues, motivational tools, and maintaining momentum. The program included skills training, new KPIs and bonuses, and management system improvements. It successfully re-energized the workforce and sales increased by 12-16% after implementation. Lessons included gaining management buy-in and using a balanced approach of skills, knowledge and attitude in training.

1. L/O/G/O
Case Study:
Blue Sky Thinking Syndicate 5
Muhammad Ridwan – 29112555
Machadi Dhana – 29112303
Mahammad Khadafi – 29112324
Pedro Putu Wirya – 29112565
Seto Kusparyanti – 29112306
Yuliani Dewi Risanti – 29112321
Rahdianto Maulana – 29112554

2. Case Background
• Stagnancy of Current Business
Performance of First Choice Holiday.
• Achieve the company revenue by 10% year
on year.

3. First Choice Holiday
• A travel agent industry which has more
14,000 employees.
• Operation in all over 16 countries and had
£ 2.6 billion turnover in 2005.
• Sell packages through its First Choice and
Holiday Hypermarket retail travel outlets,
call centers, online and through third-party
travel agent.

4. Blue Sky
• Blue sky is consulting specialises in
performance improvement in sales and
customer services operation.
• The company has 20 full-time employees
and 80 associates working with them.

5. Problem Formulation
• First’s choice sales conversion rates had
been static for two years.
• Need some evaluation on company
performance (management and sales &
marketing).
• Third party consultant to assess, analysis
and startegies the actions to boost up
revenue

6. Root Cause Analysis
Stagnant revenue
for 2 years
Low sales
performance
Lack of
knowledge
and skill
Lack of
motivation to
achieve
target
Unclear
reward and
recognition
Lack of
believe in
themself
Lack of
believe in
their product
Customer
service
satisfaction
Lack of
training
Unclear
requirement
for minimum
competency
Lack of
customer
relationship
skill
Unintegrated
business
operation
Lack of
employee
recognition
Lack of
management
system
Unclear KPI

7. Solving Method
• Develop and communicate a vision and strategy of
company for the call center & each departement.
• Amend the KPI, effective bonus & incentive
scheme, review & clarify the target.
• Redefine roles & responsibility.
• Address in accurasies in forecasting.
• Develop a long term training strategy such as
coaching programme, great management training,
competency framework, a motivating, etc.

8. Changing process & implementation
• Training, which focus on:
– Skills
– Knowledge
– Attitude
• With training approaches are:
• Exploring
• Showing
• Practicing
• Consolidating

9. The delivery of this ‘change management program’ was to solve the
problem of FCH sales and management staffs on motivation, focus,
and believe in themselves and their products. The delivery is:
• Providing a focus trough clear communication of a shared vision.
• Gaining commitment by demonstrating management commitment to
the sales team by involving them in the sales training.
• Address senior management issues.
• Motivating sales team by “erection scoreboard’ on graduate bay.
• Maintain the momentum of the change management program.
Changing process & implementation

10. Result
• Smooth Merger of Direct and Eclipse by re-
energize the ‘change management program’
• Different Management Style
• Average Passenger Value (APV) increase
12% on Eclipse, 16% on Direct
• Mention another positive effect of the new
KPI’s and Bonus Structure in Premium seat
sales, Group seating, First 4 extra sales,
Gold insurance and Car hire.

11. Lesson Learned
• Management by-in (focus on improving the
management system).
• The new KPI and bonus structure had started to
drive performance in all areas and giving the
balance performance.
• The comprehensive training programme must be
introduced that require the skills, knowledge and
attitude approach.

12. L/O/G/O
Thank You!