Innovation And Finance Analysis Of Easy Jet


Easy Jet is a low fare airline that operates in the global market with a number of routes. In the global era, workforce diversity in the workplace is a major issue for business. A diverse workforce offers a number of benefits for the company. By adopting diverse workforce companies would be in a better position to understand the demographics of the customers. A company that supports diversity of workforce is able to understand employee satisfaction and retention issues.

Critical Analysis of Diversity Policy of Easy Jet

Easy Jet, a travel- tourism and airline company appreciates the value of diverse workforce. According to company policies, diversity comes from a range of different factors like age, gender, race, religion and language (Kirton & Greene, 2010). This Company have value the differences between people and the contribution of these differences make to its business.

Easy Jet Company actively manages workforce diversity and utilising the differences to improve its business. Company recruits, develops and retain the most talented employees regardless of age, gender, race, religion and nationality (Marvell, 2005). This strategy provides an insight into different markets and helps to make creative for customers demands and needs. For that, company provides a creative working environment where every employee has an equal opportunity for success. Company's workforce diversity policy and program provides positive initiatives to improve employment procedures and conditions for all employees:

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Treat all employees fairly with respect

All employees have the right to free from of unwanted behaviour

Equal chance for all employees to contribute and achieve their potential

Encourage and facilitate employment and promotion from groups recognised by equal employment opportunity

Review employment practices for changing needs of employees

Easy Jet is an equal opportunities employer. Its applicants and employees receive favorable treatment on the basis of their age, color, creed, disability, gender, marital status, religion and nationality. The company has follows many strategies for maintaining diversity:

Reward: Easy jet offers a reward package and reviews salaries according to market rates for the alignment with the market. In the reward package, annual performance driven bonus are included (Easy Jet: Equality & Diversity 2009). This encourages all employees to contribute for achieving company's strategic objectives.

Share Schemes: Easy Jet offers an opportunity to join a share plan for its all employees. In this plan, many schemes are there for the UK payroll employees. For non UK payroll employees, international schemes have been established with similar terms and conditions of the UK scheme (Easy Jet: Equality & Diversity 2009).

Religion and belief: Easy Jet is a global and diverse company. Company provides prayer facilities for different religions and publishes a monthly religious festivals newsletter of raising awareness of different cultures. It provides a range of dietary options to meet the religious needs of employees.

Age and gender: Age factor have a great impact in the airline industry. Easy Jet Company encourages age diversity in all areas by challenging assumptions related to age factor. It has introduced various flexible working initiatives for women. Company is trying to improve the representation of women in non-traditional areas of airline.

Managing diversity has various issues about policies, practices and way of thinking and impact on different groups (Kirton & Greene, 2010). Easy Jet Company implements various strategies to maintain its diversity but some are its weak area where company should improve by implement new strategies. Company is using diverse workforce for survive in global environment and maximize profits. This firm can be used supplier diversity program for extend opportunity and assist diverse workforce in the development of suppliers of services.

Easy Jet should adopt a new "zero tolerance" diversity policy to set particular goals for women in the company and provided new training programs to help employees meet those goals. The company will be ensures that all employees get an environment which is free from harassment and discrimination. As a company, it will ensure for its disabled employees that they can achieve their potential. In the working process if employees are disabled then company should made reasonable adjustments for them.

Easy Jet airline should support a flexible working environment that helps to balance between home and work life of employees. An important part of the diversity is the way of the company to use its diversities. If the company has a diverse workforce and it does not take the advantage of the wide range of diversity then it could not take the advantage given by background diversity. So, company should take the advantage of workforce diversity to maximize its profits.

Potential Impact on the business

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Diversity policies have positive impact on business. Human resource diversity helps to understand the customers from all over the world and provides a more sensitive customer relationship environment (Advantages of Human Resource Diversity, 2008). Diversity policies of this company attract more women and minorities. In addition the potential impacts of diversity are as follows:

Communication: By adopting the diversity policy, Easy Jet Company would have more efficient and effective personal and interpersonal communication between employees and general public. Cultural and language problems can solve by diversity programs because ineffective communication is main point of confusion and lack of team work (Wood & Landry, 2008)

Increased flexibility: Diverse workforce in this company can supply a greater variety of solutions of problems in service, sourcing and allocation of resources (Richard & Johnson, 2001) Employees from diverse background suggest different ideas that are flexible in fluctuating markets and customer demands.

Performance Improvement: Company would increase its creativity and innovation in the workplace, improve team work performance and enhance problem solving capacity (Wood & Landry, 2008). Easy Jet has increasingly global market place, diversity increases cultural awareness and sensitivity and it makes easy to company to enter into a foreign market.

Fill Communication Gap: Diverse staff helps to bridge cultural differences because of company doing business in multilingual communities and employees helps to understand their customs, traditions, culture and language (Richard & Johnson, 2001).

Variety of ideas: A diverse workforce provides a larger pool of ideas and experience and Easy Jet Company can use that pool of knowledge to meet the strategic goals and needs of customers (Wood & Landry, 2008).

In this way, Easy Jet Company would get many benefits through diversity policy. Company works in travel, tourism and airline industry survives in various countries so, it get profits by communicating effectively to the different cultural customers through diverse workforce. Diversity is an extra marketing tool to attract new customers.

Critical Analysis of Recruitment Policies and Strategies of Easy Jet

Employees are the key element of the service industry and Air Line Company is a service provider company. Company's people strategy is supported by that it has right skills in the right place at the right time. Easy Jet, Air Line Company continues focus on recruiting new staffs that match their values and match the seasonal demands of business. Company's strategy to recruited 672 cabin crew in this year on fixed term contracts. It invites its employees back to manage business flexibility and maintaining high standard of operation (Easy Jet: Recruitment, 2009). Company also operated the Flexi crew scheme for requirement of pilots and employs pilots for fixed period of time to meet operational needs.

Easy Tech and GB are the consolidation function of engineering and maintenance of the Easy Jet Company (Easy Jet: Recruitment, 2009). Focus of the company is integration and building talent for future growth. Company recruited 28 employees for the function of in-sourcing of several activities. In past these activities was followed by third party supplier. This action helps to manage the safety, oversight, availability and reliability of the company. It is a positive action for secure a good operation and fully integrated engineering and maintenance function (Harvey, 2008).

Company takes recruitment very seriously and it requires high professional standard and cultural fit persons for the services. This company provides a great working environment for the employees that is enjoying by their employees. It provides rewarding career and unmatchable opportunities. Graduate program for operations division is successfully implement in the company.

Easy Jet Company creates planning to give internal HR training for managers within E&M department. Company's strategy for executive recruitment for senior board level is with the E&M department. Relocation of GB airways employees to Easy Jet will be the best planning for this company.

Critical Analysis of Learning Policies and Strategies of Easy Jet

Training strategy should be focused on real business needs, meet customer expectations and operate within limits. Easy Jet opened a new training academy. This academy is the centre for learning and development and it is important for air line recruitment and training (easyJet opens NEW world class training academy, 2010). In this academy recruitment, training, development and cultural activities are occurred by the company. The new academy has a wonderful environment in which employees develop their skills and career. This academy has increased the cost of the company.

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Easy Jet has recruited a wide variety of people and it want continues improvement in the employees. It is created through its well established induction program for crew and the fresher employees of management and administration (Easy Jet: Training, 2009). The result is that all new employees understand the culture, values and strategic objectives of Easy Jet. The company wants to settle their new employees in the organisation as fast as possible with efficiently. Company's strategies to continue invest in the induction program for employees and businesses profit.

Easy Jet has partnership with Cranfield University and London City for high quality support of managers in developing technical and management skills. Company continues to build and maintain good relationship with well research and advisory organisations to represent Easy Jet at various external events (Easy Jet: Training, 2009). The cabin crew services have learned advanced first aid and handle emergency situations. The technical training is enhancing the use of a dedicated cabin simulator.

Company should adopt a training strategy that must deliver measurable results. Management training should be satisfying all the change and development issues of the employees.

Development policies and strategies

Easy Jet Company's strategy to believe people make difference through the efforts of its employees. The vision of the company is to become the best low fares airline in the world (Easy Jet: Strategy KPIs, 2009). Company follows main four strategies for success and development of the organisation:

Safety: This is the priority of the company to provide safety for its customers. This is the responsibility of the crew, engineering and ground staff employees.

Build No. 1 air transport network: The aim of the company is to fly the right routes to meet the demands of customers and take a number position in low fare air line industry (Easy Jet: Strategy KPIs, 2009).

Develop good position: Company's broad network, great schedule and industry leading distribution attract more customers. Easy Jet provides its services in 27 countries. Company take new initiative that makes its position stronger in leading airline and innovative business.

Reduce cost and maximise profits: Company's strategy for growth to improve margins through reduces cost. Its management team focuses its efforts on all drivers of margin such as yield, ancillaries and cost (Easy Jet: Strategy KPIs, 2009).


Services are provided by employees or people. So in the service sector people is the key of success of business. Company's development policies and strategies are directly related with its employees and its recruitment policies. Easy Jet Company wants to become number one company in low fare air line industry and its development strategy is focus on safety and customer satisfaction. This strategy is completed by its employees because they provide services for customers; they communicate and solve problems of customers.

Easy Jet Company believes people make difference by treating their employees well and employees will be more customer focused and better represent of the company. For this company continues focus on recruiting new staffs to complete its high demands and provide them proper training in its training academy. Employees are representative of company's brand image. So, company's development strategy is depends on its recruitment and learning strategy.


In conclusion, it can be depicted that Easy Jet Company is a global company. So, to provide services in global market, company has diverse workforce in its organization.. From the diversity policy, company fills communication gap, increased flexibility and improve performance of organization. All employees are responsible for maintaining a positive working environment, free of discrimination, hostile, threatening or intimidating behavior.

This company takes recruitment process very seriously and it recruits, train and maintain high professional employees in its organization. Company provides a good working environment and excellent opportunities in career for employees. Training program is conducted for employees to know the values, culture and working process of the organization. Company's recruitment and learning policies are interlinked with development policies and strategies.

Project of Innovation of Easy Jet Company


Aviation industry needs revolution in terms of ease and affordability of cost and flying options. There are many big companies in this industry that provides their services for customers. Ryanair, Easy Jet, Debonair and Virgin Express are the low cost airline operating in the UK. These are the closest competitors of Easy Jet Company. All these offered low fares for short- haul flights on the base of low cost strategy.

Innovative strategies adopted by Easy Jet Company

Innovation means doing something different that never done before. The aim of innovation is to gain competitive advantage in the market and get the benefit of first mover advantage. In competition age, technological innovation is the main cause of inter business competition. Companies want to sustain its competitive advantage through adopting various strategies. Easy Jet Company survives in low cost airline industry in UK and face a tough competition from other companies. All rivals wants increase their aircraft fleet and identify new profitable routes and give services first. This company has adopted new strategy for compete in industry.

Pricing strategy: The most innovative strategy is cut down the cost. For this, company is not providing foods for its passengers. This makes company free from complexities of arranging lunch for the customers. This company is cutting its costs by using internet operations, maximum utilisation of aircraft and cutting down of catering cost. Easy Jet airline is become world class domestic airline operating from London.

Internet operations: for maintain low cost company has to made its offices paperless. It's almost booking is done through online. This makes that the company is largest internet retailers. Passengers also free from carrying their tickets. The concept of ticketless passengers has helped in reducing infrastructural cost by no issuing, distributing and processing of tickets.

Maximum utilisation of aircrafts: Easy Jet airlines adopt an innovative strategy to compete in global market by maximising the number of trips. Company gains profits through fast reverses of every flight and maximum utilisation of its aircrafts. Company increases 25% seats in its aircrafts.

Differentiation: The new technology in competitive market to differentiate and control of product in an easier and less expensive way. The company is using direct connect strategy to makes easier for third parties to connect directly. Direct connect strategy is a multi-channel strategy which improved airline product by allowed of new intermediaries.

Process innovation: Easy Jet Company has developed innovative processes that differentiate its offer and improve efficiency. Company offers online booking facility for its passengers. The location and airports selected by company are innovative. It creates efficient operations allowing scale and cost advantage. Company uses 22% less fuel than the European airlines operating in same route.

Customer retention: company has developed a service to meet the needs of customers. It focuses on particular segments for increase customer satisfaction and retention. It is also effective to meet the needs of segment customers from a no-frills approach. Company carries 58% more passengers in its airlines as compare to European norm.

Electronic Equipment: At the airport there are many tasks are followed like loading and unloading of passengers, checking of luggage and security, catering, cleaning and various activities by the staff members of organisation. This is a challenge for management to handle this by human power. So, company uses electronic equipment and systems for accomplish these tasks.

Revenue Generation: Easy Jet airlines are adopting an innovative way to drive revenue. It makes strategies for complete the needs of target market. Airline Company wants an unregulated approach for its distribution. But it increase capital expenditure and costs of company. By adopting wrong distribution strategy in respect of its size, location or industrial sector, companies face difficulties in revenue generation. This company finds new tools for revenue and gain the profitable situation.

Travel insurance: The adoption of travel insurance have number of factors behind choosing it. When the tickets sells are lower than companies promoted people to online booking and this makes easy of cross selling of product. Easy Jet Company adopted sales strategy through online so travel insurance is important for company and passengers. Insurance provider companies explain the benefits to customers and financial benefits to airlines. Insurance gives various types of claims such as medical facility, delayed departure, cancellation cover and etc.

Critical Analysis of Innovative Strategies adopted by Easy Jet Company

Easy Jet Company adopted many innovative strategies to compete in the market. There are four major competitors of this company. All these are provided low cost fare services. For low cost, Easy Jet gives no-frills services to its customers that mean no food in the journey. But company creates technical innovation and it increases the cost of the company and reduces its earnings.

In the Europe, airline industry had been regulated by different countries to safe their flag-carriers. But after sometime due to high cost and lack of operational efficiency, most of flag carriers rolled up. Deregulation increase competition in Europe than liberalisation. Low cost companies faced challenges of higher airport charges and inflexible workforce.

Europeans had not bought the same number of insurance as compare to Americans. In US market the size of consumers are over 300 million and the UK has only 60 million consumers.

Generally, Americans had not bought travel insurance in the same numbers or way as Europeans.  Covers like Medex tended to be included with private health insurance and many consumers felt there was no need to buy additional coverage.  Market estimates of the size of the US market, with over 300 million consumers was on par with the travel insurance market in the UK.  The UK, however, has only 60 million consumers!  However, the US industry has worked hard at marketing the relevant benefits to consumers and sales have developed considerably as a result.

ndustry experts predicted that deregulation would

spawn fewer new competitors in Europe than liberalization

had in the US. Potential low-cost entrants

faced significant legal obstacles to gaining regulatory

approval from the Civil Aviation Authority (CAA),

and also incurred 40 per cent higher costs on average

than their US counterparts, due to higher airport

charges and relatively inflexible labor conditions. As

a result, low-cost competitors were slower to make

inroads along European routes than they had been

in the US. A 1996 EU report examining the impact of

airline deregulation found that only 6 per cent of all

routes within the EU were served by more than two

airlines, with 30 per cent served just by two and 64

per cent still in monopoly status. easyJet and other

low cost start-ups, however, planned to introduce

competition along lucrative European routes.