If your specific country is not listed, please select the UK version of the site, as this is best suited to international visitors. Control Systems: A major system that easyJet instils within its staff is LEAN process. The conclusion that is stated is that easyJet is at the top end of its market. He will also invest in order to harness the power of data to improve our customer proposition, reduce costs and increase revenue. Organisational Structure . Although the programme was a good marketing move for the company it did also allow for poor areas to be noticed by the watching potential customers. They do not desire to behave alike others and have an external EasyJets internal environment has been looked at, but its external environment must be considered so that an accurate judgement can be made on the companys strategic position. statement should be brief and comprehensive it should communicate the essence of the business, and its future employees from different demographic backgrounds can adjust easily. The company's mission statement is to provide customers with a safe, good value point-to-point air services. disciplined work culture with vertical hierarchy and tall structure. The airline company, easyJet is a low-cost budget airline which operates mainly within the European aviation markets. Its success is undoubted, but now it is now competing in a much fiercer market. done to leverage the opportunities offered by such constructive differences. Denison, D. R., & Spreitzer, G. M. (1991). dimension denotes the employees identification with either the boss/work unit or their profession. https://www.hofstede-insights.com/models/organisational-culture/. It was the first airline company to go online, it is in a process of producing an eco-friendly aircraft and its top priority is safety. Disclaimer: This is an example of a student written essay.Click here for sample essays written by our professional writers. David and his operations team focus on the safe, efficient and sustainable operations in an increasingly complex and challenging environment. I feel that this report will highlight how the strategy and innovation of a multinational organisation can impact on its position within the market it competes in. We're an optimistic bunch of people. well-diversified. Organizations with open system tend to welcome the new employees and create an inclusive work culture in which This allows for greater flexibility and . It operates domestic and international scheduled services on 927 routes in more than 34 countries via its affiliate airlines EasyJet UK, EasyJet Switzerland, and EasyJet Europe. In this article, the organizational Previous roles in the airline include Head of Change Management and Customer Insight, with a background in customer insight working with a range of brands from Jaguar Land Rover to Mars, Unilever and Vodafone. The main areas easyJet target is the efficiency it has over other airlines such as British Airways, the ideal locations it has unlike Ryanair and the simple fact it has low cost flights and flies to where customers want to go. How these values are generated can be seen by implementing easyJet into Porters value chain. SUBSCRIBE: https://www.youtube.com/c/TwoTeachers?sub_confirmation=1The video covers 3 t. The primary activities involve the inbound logistics, operations, outbound logistics, market and sales, and service. The employee and work orientation reflects the managements philosophy, prioritization and an overall orientation However, in response to the employees growing need for autonomy and empowerment, the management has decided to view of technology-driven change. Governance. His long career in aviation has taken him around the world including Australia and the Middle East. Do you have a 2:1 degree or higher? reproduction, or any misuse in any manner. certain kinds of individuals are encouraged to join and fit well in the organization. We conduct our business in accordance with best practice in corporate governance, and regularly review our policies and activities to ensure we maintain the highest standards. The organizational culture can also be categorized into local versus the professional work culture. decision making authority, and directly controls the employees work behavior. A complex company such as easyJet, has to compete in a very competitive market, therefore it must use modern technology to try and stay ahead of its rivals, so this report will also analyse what technology easyJet can make use of and how can it impact on its current strategy and the set up of the company. Stephen has served as Chief Executive of RSA Insurance Group plc from February 2014 to May 2021, as Chief Executive of Royal Bank of Scotland Group, Chief Executive of British Land plc and Chief Operating Officer of Abbey National plc, as well as holding a number of senior executive roles at Credit Suisse First Boston in London and New York. emphasizes over the importance of accomplishing the goals, and meanwhile encourage employees to take risks only if With lesser managerial levels in between and more access to the senior management and leadership, the employees feel more secure and confident and also have higher access to information. Available at: A core value of the company is safety, and is one of the reasons that customers repeat their business with easyJet. Coca-Colas Sources (Corporate.easyjet.com, 2015) Since the structure of the organization has a flat structure, the span of control is limited within a few hands. The cultural web is six key areas that help to create the culture within which easyJet operates. Whilst at the same time easyJet is saving itself money by refining its workload and passing it onto the customer, this can be known as Lean process. In 1996, easyJet wholly owned its first aeroplane, expanding its routes to include London to Amsterdam, the first of which would be many over sea routes within the continent it operates in. The key points of its business model are high aircraft utilization, quick turnaround times, charging for extras (such as priority boarding, hold baggage and food) and keeping operating costs low. Here are 10 types of organizational structures commonly used by businesses with pros and cons for each: 1. applied by analysts to analyze the organizational culture of any company. Functional structure. Figure 2 clearly The deciding agents on TAP organizational structure are the depicts those entities and their geo-location. It gained industry recognition as it received awards such as Best Low Cost Airline 2009 and one of the 100 great marketing moments of the 20th century (Seatmaestro, 2009). http://2009annualreport.easyjet.com/files/pdf/easyJet_AR09.pdf (page 19). Buyers: Due to easyJet only operating short-haul flights then its customers are more specific. Rivalry: EasyJets major competitor is Ryanair as both these companies are Europes leading budget airlines in the short-haul sector while the long-haul sector is mainly played amongst three major companies; Air France-KLM, Lufthansa and British Airways. By focusing on the mean orientation, Easyjet Plc ensures that the employees must adopt the ethical and The four types are: 1. Internally driven versus externally driven, Easy going work discipline versus the strict work discipline, Local versus Professional organizational culture, Employee orientation versus work orientation. It uses the same type of aircraft so less variety of maintenance has to be carried out. The organization keeps its door open to the Looking for a flexible role? This involves looking at how staff is operated and its process, whilst discovering what impact easyJet has on rivals and what impact rivals have on easyJet. the entities involved on airline operations. Here you can choose which regional hub you wish to view, providing you with the most relevant information we have for your specific region. Unfortunately, you don't own enough credit to see this new org chart. If organizational culture is presented in the form of circle, it will have three layers. satisfaction and motivation. welfare. This report has critically evaluated the strategic position of easyJet whilst at the same time looked at the impact emerging technology may have on this position. The case of Google is explored to understand how companies use organizational theories to support employee performance and project management. *You can also browse our support articles here >. It means the management withholds the Suppliers: Airports are the obvious controllers to air traffic, and despite having regulations, airlines such as easyJet have received higher charges from the airports they use. The company's flat organizational structure has reduced the number of middle level managers. Economic profit is a key margin for the company but this is hopefully gained after gaining the trust from customers. This cultural of Hofstede's cultural dimensions. Gehani, R. R. (2016). Although, employees are assigned with the challenging goals, the management takes employees have high desire for association and relatedness to the people around them. The social values of easyJet targets the companys suppliers as it aims to establish lasting relationships and create strong group of staff by pushing them to be the best of their abilities. culture. The Sources (Corporate.easyjet.com, 2015) Since the structure of the organization has a flat structure, the span of control is limited within a few hands. skills and competencies of employees from diversified backgrounds. The model has six dimensions, as listed below: In next section, each individual organizational cultural dimension is discussed in detail and related to the Robert is a highly experienced consumer marketing and general management leader with a track record of driving growth, building brands and leading winning teams across ecommerce, travel, online apparel, wireless and consumer goods for both large companies and start-ups. Stephen is a highly strategic and successful leader with more than 35 years of wide-ranging experience at major businesses, bringing a strong track record of value creation and listed board experience. Easyjet Plcs employees to put their efforts in right direction, give best performance and ensure strong commitment The average fare of the company is somewhere around 50 % lower than other rivalry companies in the market on the short-haul routes as well as 21 % to 41% below as comparison to the other competitors in lower cost (Karwowski, 2016). Some examples of the artefacts are- open door policy, office layout and official dress code for the employees. A weakness in easyJet is that it is a limited market that it operates within. This ensures that tickets do not go missing and customers do not have any worries before flying about not receiving tickets on time. A functional structure is also known as a bureaucratic organizational structure and is commonly found in small to medium-sized businesses. With this in mind, this could be an emerging technology of the future. The company easyJet was chosen as it has information which is accessible and I have a personal interest in the commercial aviation industry. I am motivated by creating and driving results through coaching, leadership and organizational development.<br>I have spent most of my 25 years . Founded in 1995, the company is headquartered in . Organizational Culture. A Model to align the organizational culture to Lean. We do believe in giving our team a human . The vision EasyJet might have to pay a huge initial cost to have these in place and have them maintained but could possibly attract even more people to fly. At the same time, this paper incorporates Ansoff Matrix, Expansion Method Matrix, Porter's Generic Strategies and international strategies to recommend the company about future actions. Emerging technology that has been discussed involves identification (ID) cards and how much of an impact this may have on easyJets current strategy and how it will affect the responsibilities of the companys managers. Ella is a skilled Group HR Director with strong experience in the UK and internationally in lean and digital transformation, large-scale change as well as talent development and reward. and understands the complex association between underlying assumptions, core values and observable behaviors, it Organisational structure of Easy Jet: The company has a flat organizational structure. From the matrix, it can be seen that the main power holders of easyJet are the companys executives and the main controller is Carolyn McCall (Chief Executive Officer, CEO) who ultimately has the final say on matters concerning easyJet. Supported by its principal Committees, the Board sets the strategic direction of the Group and aims to deliver sustainable shareholder value for the long term. The authority to order is also low. The mean orientation reflects and knowledge. When an organization successfully creates the alignment between its structure, culture and business strategies, Low Fares Made Simple. . Organizational Structure An organization is a social unit of people systematically structured and managed to meet a need or to pursue collective goals on a continuing basis. This part looks more at the competitors easyJet has and what effect they have on its strategic position. EASYJET'S $500 MILLION GAMBLE the span of two years. In terms of organizational structure, EasyJet operates as a decentralized company, with each of its subsidiaries operating as a standalone business. dialects and dialogues to delivers its opinion ad stance to the public and relevant stakeholders. When a company like easyJet has a large working staff then it is expected to have strict management that ensures flights run to schedule as long as it is within their control. Powerful Essays. values approach. The Essay Writing ExpertsUK Essay Experts. We don't believe in hierarchy or unnecessary layers of management. The organizational culture is broad and complex, and cannot be fully assessed based on a few dimensions. Since joining the airline Johan has set out a significant increase in investment in easyJet Holidays, showcased a series of initiatives to increase business passengers and revealed plans to introduce a new loyalty programme. Companies with an easy going work discipline have the fluid structure with no strict hierarchies. Before joining in easyJet in August 2022, Robert was Chief Growth Officer at ASOS in a role that encompassed marketing, end to end customer experience, data insight and media publishing, increasing revenue growth from 13% in 2019 to 21% in 2021. Get Contact Info for All Departments. Psychology Press. also be analyzed in light of Hofseteds cultural model. obliges the organizational members to behave alike each other. It is also not uncommon to find a passenger has forgotten their passport, only realising when they have reached the check-in desk. Prior to joining the airline David was Chief Flight Operations Officer at Wizz Air. EasyJet succeeds in tight scheduling and that is down to well trained staff that can function together very well. Thomas joined easyJet in 2008 and has served as easyJets Group Markets Director since 2018. EasyJet could be a connection for Virgin over the European air zone which could save Virgin money and help easyJet gain more customers. lacks the certainty and management can only exert a limited control to ensure the discipline. Sort By: Satisfactory Essays. The strategy has four strategic priorities that will build on easyJet's structural advantages in the European aviation market, helping easyJet move closer towards its destination of being Europe's most loved airline, winning for customers, shareholders and . easyJet Jun 2015 - Feb 2016 9 months. remain willing to achieve the desired results even if they involve certain risks. An internally driven organizational culture reflects the employees overall perceptions about their expertise He is a graduate of the Royal Military Academy Sandhurst. Another weakness for easyJet is it is concerned more with quick turnarounds at airports than making sure passengers make flights. While concluding this objective, a better understanding of strategy and innovation is achieved due to this evaluation. For this reason there is no risk from any emerging competitors for the foreseeable future (easyJet, 2009). emphasis is put on maximizing the task performance, even if it comes at the cost of the broader employee The Board has endorsed a set of principles, including an ethics policy, which establishes the framework for how the business operates. The Organization Structure adopted by Easyjet Company. Better Essays. Johan also has reaffirmed the companys commitment to increase the proportion of female pilots with a target of 20% of new entrant pilots by 2020. The report will develop an understanding of easyJets internal and external environments so an accurate evaluation is produced. observable by the outside world, however they are hard to interpret. The Easyjet Plcs organizational culture is analyzed in light of Hofstedes organizational culture model. No invasion of other personal information is used within the process. An organization with a clear employee orientation reflects the managements philosophy of putting the Here, the company's departments were made depending on their functions. Organizational Structure of Businesses An organizational structure is the formal system of relationships that provides guidelines on how tasks will be conducted who makes important decisions and the reporting hierarchy.Organizational structures of businesses coordinate control and help motivate employees toward the organization's goals. A flat structure is an organisational structure with only a few layers of management. To have more profit, Easyjet can increase the marketing and BA can reduce the cost of sales, like overheads. diversity in the modern workforce. Lanier, C., & Kirchner, M. (2013). The open cultural system has enabled the Easyjet Plc to ensure a high information flow and leverage the knowledge, This was a major boost for the likes of easyJet as they expected a noticeable decrease in passengers but they managed to capture people who were willing to change their airline style. Such organizations value the EasyJet plc (styled as easyJet) is a British multinational low-cost airline group headquartered at London Luton Airport. importance of cultivating a professional organizational culture to remain successful in a highly diversified The artefacts are the tangible and visible aspects of the Easyjet Plc's organizational culture. and cannot be used for research or reference purposes. The analysis of the Easyjet Plcs organizational culture reveals that the company is more closely related to the The concept of these cards could see more people flying and this is an opportunity for easyJet to increase its passenger numbers and increase profits. The Sheikh Zayed Grand Mosque (Arabic: , romanized: Jmi Ash-Shaykh Zyid Al-Kabr) is located in Abu Dhabi, the capital city of the United Arab Emirates. Whether it be for leisure or business, all customers would like to enjoy a stress free time at the airport, and that can only be achieved with the airlines getting involved and assisting the actual companies who own airports. It may help Easyjet Plc in identifying the possible gaps between actual and desired work culture. The company has been a great success story and for the past fifteen years, has been a major competitor in commercial aviation. The organizational culture represents the specific pre-defined policies that provide guidance to the employees It does not offer free meals in flight, it sells food and drink products instead. The Board has endorsed a set of principles, including an ethics policy, which establishes the framework for how the business operates. Stelios has decreased his shareholdings, and now under his company easyGroup IP, he has a stake of 26% in easyJet while his family, own just over 10% worth of shares. The organizational culture can also be classified as internally or externally driven. Organizations with strong work position on the mean and goal orientation continuum. Discover current team members including executives, board members, and advisors. Easyjet Plc has successfully created a strong organizational culture that is deeply embedded and widely accepted by For example, Cristina has established standard, transparent HR processes for all hotels. He took on his first position as Managing Director in 1996 for a tour operator owned by SAS Airlines in Sweden before moving to Canada as President for Sunquest Vacations, Canadas second largest tour operator. guidance, and learning purposes. Functional org structure. Delete or Cancel . It is important to understand the organizational culture because in todays competitive business environment, the In an extremely work oriented culture, the organizations tend to put excessive pressure on the staff and heavy The largest mosque in the country, it is the key place of worship for daily prayers.A smaller replica of the grand mosque exists in the Indonesian city of Surakarta. While this view is strongly held, the government sees this mode of transport as a link to global markets so has plans in place to increase airport capacities throughout the country allowing companies like easyJet to expand its business. To effect and to offer a consistent and reliable product and fares appealing to leisure and business markets on a range of European routes. He previously held the role of CIO at Formula 1s McLaren Technology Group where he worked in the high-performance environment building a team of in-house experts and specialist suppliers. Economical: As easyJet is low cost airline with short-haul flights, it can pass savings onto the customers which allows for large numbers using the company. Easyjet Plc. In this This plan means that the management mainly focuses on ensuring that employees comply with the established policies as opposed to influencing them to behave in certain ways. Employees may be grouped by their role or function, geography or . Johan studied Music in Sweden, the UK and USA from 1982 until 1985. One of the major problems is at the check-in desk where it is common to witness long queues, causing frustration for passengers. organisational change, outplacement, assessment, projects, contact . Explore easyJet's organizational chart. 2). Posted by Harry on All organizations have a management structure that determines relationships between functions and positions and subdivides and delegates roles responsibilities and authority to carry out defined tasks. 3. Garry has worked extensively with overseas governments in creating sustainable tourism policies to promote major economic growth and positive social change while minimising negative environmental impact. Using this information, it helps to understand why easyJet is developing the way it is now. (Eds.). The organizational chart of EasyJet displays its 50 main executives including Johan Lundgren, Kenton Jarvis, David Morgan and Michael Barker . The core competencies of easyJet are efficiency and effectiveness and the company is improving on customer service but improvements still need to be made. If it operates within its strict management and stick to its core values then easyJet will be a leader in this market for the foreseeable future. The company is ambitious and expects to be a leader in the market. A., Kazemzadeh, R. B., & Ebrahimi, P. (2015). In Any opinions, findings, conclusions or recommendations expressed in this material are those of the authors and do not necessarily reflect the views of UKEssays.com. - Transformed function - strategy, structure, people, processes, budget, KPIs Group Head of Talent Acquisition . Easy Jet operates on 125 routes from 39 European airports. academic writing services at least once in their lifetime! ~ 0.0 Page). internally driven culture). The internally driven organizational culture has enabled the He holds a BCom (Hons) degree in Business Management and Languages from the University of Edinburgh. David was appointed Chief Operating Officer in November 2022, having served as interim COO from July 2022. Accordingly, we never encourage or endorse its direct submission, This accessible organisational chart template is fully customisable and features colour-coding to help keep you organised. Over the years there have been major changes in management at easyJet, leading to the companys strategy being changed dramatically, so much so, that the founder has distanced himself from the company more in recent years. All work is written to order. President, Emirates Airline. Accomplished in business transformation, restructuring, start-ups, physical infrastructure changes, cost reduction, process improvement, project pipeline development, strategy development and PMO set-up / management. In 1993, Johan pursued further studies at the Stockholm School of Economics and in 1996 he completed the Programme for Executive Development IMD, in Lausanne, Switzerland. (2018). Easyjet organisational structure.A typical Airbus A319 carries 150 or 156 passengers depending on layout in a single-class configuration, but as the airline does not serve meals on its shorter flights, it opted for smaller galleys and had a EasyJet does not provide complimentary meals or drinks on its flights except for some occasional charter flights operated by the airline. organizational culture is its strongest asset, and can be analyzed on three levels: The artefacts form the outermost layer of the organizational culture circle. In (below) McCall and her executive team can be seen. David joined easyJet in September2016 as the airlines Chief Pilot, and in December 2017 took up the position of Director of Flight Operations, taking responsibility the safe and efficient operation of the airlines flights across Europe. We will write a custom Essay on EasyJet Company's Strategic Analysis and Marketing specifically for you. There is an annual general meeting (AGM) held by easyJet to allow for a moment of realisation of what the company has achieved to date and what is the plan for the foreseeable future. 4. Ella was also Group HR Director at Home Retail Group leading the people aspects of Argos digital transformation. Study for free with our range of university lectures! On the other hand, the organizations with closed-system tend to make it difficult for newcomers to adjust and Employees generally remain unaware of these underlying assumptions, yet they play an In doing so, the author also hopes to . organizational culture plays an important role in gaining the competitive advantage. Within the near future it hopes to capture 10% (BBC, 2010). easyJet is one of the largest airlines in the world, with 308 aircraft, operating 927 routes across 34 . Since joining easyJet in 2008, Thomas significantly grew the Swiss market, developed easyJets market entry strategy for Germany and developed the business traveller segment in Northern Europe.