Scandinavian Airlines System

This is largely attributed to the new corporate philosophy of president and CEO Jan Carlzon. Carlzon was a service-oriented businessman who reversed the focus on technology and cost-cutting, reorganized the company, replaced 13 or 14 senior managers, and emphasized the importance of front-line staff who dealt with customers. He focused on the frequent-flyer businessperson as the linchpin of his growth plan, and encouraged employees to innovate and respond creatively to customer needs. He also reduced administrative costs and encouraged employees to reduce costs that were unimportant, while providing excellent services in areas that the customers desired. His corporate structure was decentralized, emphasizing the development of entrepreneurial profit centers that operated more independently. He eliminated the detailed manuals, and emphasized a few simple principles in his "Little Red Books."

The contrast between Hagrup and Munkberg's tenures and that

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Approximate Word count = 1034
Approximate Pages = 4 (250 words per page)

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