Service Operations Concept at EasyJet Company - Case Study Example

easyJet Written Report easyJet written Report Besides being among the companies listed in the London Stock Exchange, easyJet is dominating UK’s airline industry because of its exceptional performance. The company embraces strategies aimed at attaining high level of customer satisfaction. Further, it has strategies to ensure perfect competition against industry rival airline companies in the UK and throughout Europe. The company’s first strategy is service operations designed to ensure safety and punctuality. Through the five competitive objectives, easyJet has maintained a competitive edge in the UK and Europe airlines market. Third factor that helps maintain the company competitive is its supply chain management. In addition, capacity management at the company is effective to improve competition. Through its competitive executive management, the company has maintained a competitive edge in the UK and Europe. Service Operations Concept at easyJet easyJet Company operates under its “on time performance” policy (OTP). Its central focus is to ensure customers get to their destination under strict punctuality. It updates customers with its punctuality numbers through its performance measures that are available in reports and company website. The company uses the ACARS system to record arrival times for its aircrafts. Data on arrival time is transmitted to the company’s operational control center. The system accurately measures customers’ arrival time. easyJet operates flies between a network of primary airports across Europe compared to other airline companies in the UK. An extensive network of airports enables passengers to gain greater connectivity across Europe. Recently, the company has been extending its network across the region. On March 27, 2014, it launched a new base in Naples. easyJet’s Naples base was its third in Italy. Throughout Europe, it has twenty-four bases. That represented its master expansion plan and strategies to increase capacity. As part of its service operations initiative, the company unveiled innovative technologies to help operate its fleet. The technologies were important in operating 220 Airbus A319 and A320 Aircrafts (Gubisch 2014, p.1). The company intended to use technology to improve punctuality and safety. The drones will inspect any damage to the aircrafts and report to engineers for prompt actions. In relation to launching the control system, the company is coordinating with Coptercrast Company that programs the drones. Alongside Coptercraft, easyJet is working with Measurement Solutions to implement the project (Press Association 2014, p. 1). The company has an exceptionally competitive management team to deliver services to customers. Under the management of its CEO Caoryl McCall, since July 1, 2010, the company has initiated several reforms in its operations and service provisions. The team of highly qualified experts is responsible for daily management of the airline company to attain the status of an industry leader. The current executive management under McCall has improved service provision through enhancing airline punctuality. Innovations introduced in the company such including allocated seating are attributed to its recent success. Exceptional service operations at the company enabled the company attain record high profits in 2012. In 2013, it was listed in the FTSE 100. It further acquired 135 Airbus aircrafts. Five Competitive objectives of easyJet easyJet’s mission statement easyJet’s operations are based in the UK and mainland Europe. In the corporate sphere, every company has its specific tasks to obtain certain objectives and goals this would guide the business for the present and in the future. easyJet company has its missions to provide its customers with perfect services. The company provides the customers with the most efficient point- to- point carrier services at affordable rates to elevate the value of the company and make it the most sought after Airlines. The company has embedded a long lasting relationship with their suppliers and customers to build the strength of the enterprise as the low-cost airline in Europe. Strategic plan A strategic plan is a framework, which serve in decision-making as it gives the basis for more detailed planning, the performance monitoring, and the business future growth. It is also the basis for benchmarking as it explains business to employees and the stakeholders. A good strategic plan leads to perfect returns because of high customer dependency. The point can connected to the easyJet Airline Company by offering affordable customer’s services increasing its returns at a fast rate. A good strategic plan should cover two to five years to realize the organization growth. The easyJet company has well organized social networking system platforms to advertize and create awareness of its services to the large customers. Strategic plan is the good way of setting targets and fulfilling them with the period. Critical success factor of easyJet Organization easyJet is one of the successful, low-cost airlines dominating the top position among other travel and tours company in the UK and other parts of Europe. The company has an extensive network structure all over Europe to connect and communicate with the customers. The critical factors help to evaluate the company current positions managerially and economically improving its stability. Website Evaluation easyJet management and marketing team understand the demands of European customers. Most customers demand cheap comprehensive and comfortable flights. Fuethher, the demand to travel in comfortable flights without the hassle of the third party agents it is the most critical factor. The easyJet airline has adopted the more manageable steps to establish the online booking services to its clients widening the scope of the customers. The company uses the information based on reliability, usefulness of the information rather than its esthetic appeal. The company Orange identification is the most critical aspect of the web development. Business Focus Because of the investment in the information technology, the easyJet has reduced the supply chain to deal with customers directly. The direct contact with customers ensures the effectiveness and the reliability of the information received making it efficient and competitive. easyJet has almost sold 90 percent flights online by incorporating hospitality services like Hotels, Car rentals, apartment booking services targeting the wider range of customers and generating more profits. The company’s success can be attributed to the perfect management skills, which focuses on the present and future enterprise development. easyJet’s Supply Chain Management Supply chain management (SCM) outlines the processes involved during a company’s operations. At easyJet’s SCM outlines processes from the suppliers to its customers. Currently, the company is an e-manufacturer. It can opt to cut down on operation costs throughout the supply chain by dealing with its customers directly. It adopts the downstream supply chain. Its main aim is to sell its services to the target market and make profits while countering competition from other companies. Besides the downstream supply chain involving service provision to customers, easyJet adopts an upstream supply chain. It acquires pains from companies such as Airbus and Boeing. It may purchase or rent planes from its suppliers. In the supply chain, there are communications between the company and its suppliers including Boeing and Airbus. Besides, easyJet advertises its services to customers in the UK market through interactive communication. It updates customers of new developments that suit their demand in the market. The chain of communication to suppliers and customers of the company entails its operations logistics that support management. easyJet applies virtual integration as part of its operations. In virtual integration, a company uses third parties as part of the SCM to provide its services to customers. Easy jet has employees at various terminals of its flights throughout the UK market. In addition to virtual integration, easyJet uses value networks to reach its market and communicate to customers. There are several facilities used by easyJet to reach its target market including the company’s website. Through its website, customers can book flights and holidays. They can access other services such as hotels from the company’s website. easyJet coordinates its operations with other companies in the UK’s hotel and hospitality industry to ensure they meet the demands of consumers and improve convenience in service provision. easyJet’s Supply Chain Management and Customer Satisfaction An efficient SCM has related cost advantages that serve to improve service provision, convenience and promote customer satisfaction. The supply chain adopted by the company has three main cost advantages. First, it enables specialized product. It acquires planes that are comfortable for its customers and staff during flight. Comfort during flights promotes great customer experience and, therefore, leads to an expansion of the market. The company’s operations promote advantages of economies of scale and high profits from return. Its low-cost tickets are a strategy to expand markets and operations, therefore, increasing profitability. Application of facilities by the company such as its website promotes ease of operations that is advantageous to consumers. Fast booking through the website ensures decongestion at the airport and departure on time according to flights’ schedule. Besides, it promotes self-service and smooth operations of the company. At the flight terminals, the company has employees to assist customers in luggage handling. Through its efficient supply chain, the company intends to edge out its competitors by being the best airline globally through low costs. That improves operational excellence at easy jet through high efficiency. Further, it intends to improve customer experience through convenience. Throughout the design of its supply chain, the company regards safety as top among its priorities. In essence, operations at the company make it a great working environment for its employees. Capacity Management easyJet easyJet a service based flight management organization in the UK has adopted an efficient way to manage and maintain its customer. Bearing a larger customer base, the company has been very superb in keeping the potential customers by offering cheap and affordable flights within the easyJet organization. easyJet organization provides most convenient and lowest prices for all the possible customers while increasing the scope of their market. Fundamental goals of the company the deliverance the leading returns to their shareholders through maintaining a leading European network at primary airports. The flight operation company focuses mainly on making the travel easy and affordable for the customer by delivering efficient services at low costs. The organization has the strategies to achieve its goals and ambitions by offering point-to-point low-cost short-haul airline operating efficiently. The organization has well-trained employees to serve the customers with a high level of hospitality therefore maintaining their old customers and getting new ones. easyJet group has developed a sustainable business model plan making traveling easy and affordable increasing the growth and high returns for shareholders. To achieve the developments easyJet has a capital discipline sector maintaining strong balance sheet to withstand external pressure like airport closure. The company reduces the use of aircraft with a policy of returning excess cash to the shareholders. easyJet incorporated the compelling networks flying from main airports in attractive catchment areas dominating European to 100 routes. The company employees have inculcated passionate and friendly culture within their respective platforms to attract more potential customers to improve the productivity of the organization. easyJet Company enjoys the customer demand and conversion yield because of their friendly and passionate nature of their employees. Therefore, through the social network media and mobile telephony the company attracts a million new customers daily. Significant factors to the success of the carrier company are the cost advantage, and easyJet offer low fares to customers by maintaining a low-cost base and delivering operational excellence. It prides in the low overhead costs than its competitors making it dominate the European airspace by operating more carriers than any other organization. The company has a very clear post-reviewed platform for the future success agreed upon by the business shareholders. An example is its fleet framework arrangement with Airbus. The deal of increasing the fleet would lead to more customers’ satisfaction and the company’s significant growth buy more penetration to the Airline market. The cohesion of the easy jet management team has greatly promoted the performance of the organization because of fair distribution of returns to the shareholders. easyJet customers base depend on the network of convenient airports and the friendly websites and the mobile phone applications industry and the intelligent customers base. The company has improved the network proposition by addition of more new routes and introduction of allocated seating. The company’s rollout has been a great success with good feedback from the customers achieved by the company perfect services. Bibliography Gubisch, M., May 8, 2014, ANALYSIS: EasyJet embraces novel MRO technology, Flightglobal, Retrieved March 6, 2015 from http://www.flightglobal.com/news/articles/analysis-easyjet-embraces-novel-mro-technology-399025/ Press Association, May 7, 2014, EasyJet to use unmanned drones to inspect its aircraft, The Guardian, Retrieved March 6, 2015 from http://www.theguardian.com/business/2014/may/07/easyjet-unmanned-drones-inspect-airbus-aircraft Read More