Posted at 12.14.2018
EasyJet is the next greatest low fare carriers in European countries, behind Ryanair, extending swiftly since its establishment in 1995. Working from its Luton headquarters, it holds around 40 million per year with a growing fleet of over 180 aircrafts. Today, EasyJet hired over 7, 300 people and flies to over 500 routes including to Euro, North African, and West Asian countries. EasyJet worth in no frills, treatment and convenience, low cost concept also to keeping costs low requires high belongings utilization and high efficiency in every parts of their operation. (89words)
Customer service is a key element of easyJet which among lots of enviable statistics has allowed easyJet to boast of continued reductions in customer handling costs. easyJet averages three flights a route 7 days per week, weighed against Ryanair's two.
easyJet has high amount with brief haul network working on multiple flights routes each day. Their cabin service will not provide room for meal and frills. Scheduling is performed through company's website or through company's direct call center.
High volume level with multiple flights per route every day. easyJet operates on the fleet of over 180 aircrafts, with over 500 routes, employed over 7, 300 people and flies an average 40 million individuals yearly.
EasyJet offers low variety. Offering no meals clearly means easyJet does not have any costs.
Variation in demand is low since there is enough aircrafts and staff on ground all the time (whether in off-peak or summer periods), therefore the company doesn't need to employ more personnel or get more plane at these times.
easyJet offers low visibility with low customer contact skills at a lower cost. At present over 82% of its sales are sold online, www. easyJet. com, where in fact the passenger emerges value-added service i. e online check-in and extra discount rates on the ticket price. The occurrence of easyJet's cultural network web page on Facebook and Twitter indirectly helps to promote their services. (243words)
easyJet uses mass service process design that involves many customer ventures, limited contact time and little/no customization. Customers decide on their desired trip from the range and 'customize' the service as offered. (31words)
It is discovered that EasyJet is implementing a bidirectional source string as well as outsourcing strategy. In bidirectional (body 1), EasyJet works as a realtor to travellers while outsourced many of its services and goods from suppliers. Services such as aircraft maintenance is oversee by SR Technics, Network Infrastructure to permit the online booking is been able by Alfred McAlpine, and In-flight publication is provided by Printer ink Company. Gate Premium will be responsible for the way to obtain all food for onboard purchase, responsibility free products, and crew dishes. Both bidirectional and outsourcing strategies helped easyJet to focus on their core operation and help these to trim their costs. (105words)
Sells more seats
Flying 5 services/day
Capacity Planning and Control
Increase routes no. in Key airport
In service industry, services can't be stored for later use. The capacity must be available to produce a service when needed. With high demand of budget journey, easyJet serves the market with an increase of aircrafts and high utilization. Also, the service capacity must be located near the customer. EasyJet flies mainly to key air port - nearing the high density of holidaymakers and avoids delay as well as to secondary air-port - to keep away from congested airport to lessen costs. The volatility of demand in service delivery system is another. The demand of business vacationers in search of budget air travel has raises. easyJet moves frontward to change their capacity to match the demand of holidaymakers who wish to keep travel budget under control. This is so-called "chase demand". (126words)
easyJet runs under a corporate and business culture based on five values - Safeness, Teamwork, Pioneering, Passionate and Integrity. Individuals were recruited who live and breathe such ethos. Employees will undertake a thorough induction programme and training to comprehend that getting the right skills, experience and culture is important to company's performance. Managers are continuously given high quality both technological and management skills development through partnering with leading colleges. Marketing communications with employees are held regularly through meetings and information is spread to all personnel electronically. Personnel are retained and motivated through various rewards including pay, benefits, and career development opportunities (99words)
Schemes and other Benefits
Basic payment + (sector pay (depends upon crew member's seniority) + in a single day allowance)
Language payment (where relevant and depending on degree of skills),
Loyalty bonus (payable after two years full work).
Discounted personnel travel
Sharesave structure - to buy stocks at 1. 86 with a maximum 20% discount
Share incentive plan (Sip) - buy-as-you-earn
Pension system through 'Your Benefit'
Nowadays, meaning of 'airlines' have been altered with the existence of low fare carriers industry that air travel is a luxury and it is merely for the upper segment of the populace. The key purpose of low fare carriers is to reach the market as lowest as you possibly can and to provide the services to a large segment with convenience. That is the main target of easyJet.
easyJet is implementing a low cost leadership strategy, a technique that allows these to provide services at good deal than their rivals. Low cost concept can be produced from high asset utilization and high operating efficiency. In easyJet, the aeroplanes flies 11 hours each day, four hours longer than BA while the pilots journey 900 hours per year, identical to Ryanair but 50% more than Uk Airways.
Low cost operation and efficiency of easyJet is summarized as follow:
Aircraft take a flight out to secondary airport as well as key airport
Aircraft are firmly scheduled, only allowed 25 minutes to off-load travellers and to load another
No delays. Airplane must leave and appear on time
There is not a 'slack' in the machine. easyJet admits to presenting "one. 5 planes' worth" of spare capacity weighed against the dozen planes Ryanair is wearing stand.
Minimum cabin team on-board.
No 'frills' such as free refreshments, meals or assigned seats. This helps to reduce cleaning cost. Food, beverages and in-flight publication can be bought on-board.
Limited payment for delays or lost baggage
No guarantee exchanges as the planes could be late
Ticketless (90% online reservation system). This reduces cost of issuing, distributing, producing and reconciling seat tickets each year and boosts check-in.