A Review and Analysis of Ryanair and Flextronics Operations - PHDessay.com (2024)

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It will discuss the four stages In the Hayes and Wheelwright's model of operations contribution. This will take Flatirons as an example. Ryan is one of Rupee's largest low cost airlines, which operates more than 1,400 flights per day from 44 bases across 27 countries with a fleet of 272 Boeing 737 aircrafts. They operate with a team of 8,000 personnel and have carried around 73. 5 million passengers during 2011 with the average fare of 39 Euros. (Ryan official website).

Operations Strategy

In every organization, operation strategy provides a framework to determine how the organization should pretzel and utilize Its resources to achieve Its performance objectives and gain advantage to Its competitors In the pre-defined market place. In another word, once a company defines it's role in business and identifies its performance objectives then it needs a set of framework and guiding principles for decision makers, to ensure that all the objectives are met. These frameworks and guidelines are the principles of what is known as operations strategy.

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In today's easiness world, operations managers are faced with various challenges regarding development of effective strategies in line with organization's -mission and vision- and to properly implement those strategies.

Ryan Operations Strategy

As a low cost airline, Ryan overall framework is to provide air travelers the option of flying to vast number of destinations with the minimum fee possible. To attain that In the costly business environment Like the allure business, Ryan needs to carefully adopt operations strategy to malignant It's basic services while lowering the costs as much as possible in different operation areas.

It is important to understand Market qualifiers, in order to survive in the market. The terms Order-winning and qualifying objectives will be discussed later. Hence in general the efficiency of the Ryan operations should support it's market positioning, as a low-cost airline, and the following are some key elements on how RA manages the processes and implements the operational factors to deliver its results.

Keeping turnaround time at minimum

This has been achieved partly due to improved employee productivity, which could be the result of intense staff training and development, and partly because there are no meals and sees luggage to be loaded on to the plane. * Aircraft equipment cost. Using identical aircrafts (Boeing 737) in large quantities helps Ryan to reduce significant cost in repair, services and storage of aircraft parts. It also gives the company the advantage to negotiate the price of purchasing aircrafts and parts coming all from single supplier.

Apart from those, using identical aircrafts offer reduction in staff training cost as well as flexibility in the scheduling of crew and equipment.

Airport access cost

Airport landing and services fees are much lower in secondary airports and could save the airline a lot of none by diverting flights to these airports. Also diverting passenger traffic to these airports gives Ryan the advantage to negotiate costs with airports by providing high passenger flow.

Customer services costs

Ryan has developed its own Internet booking service facility, which sells tickets directly to the costumers, offering lower prices by cutting travel agency commissions. Using electronic services will give an advantage to management to access a range of data for future planning and service enhancement. Apart from that, Ryan has entered into agreements with third party contractors at certain airports for assenter and aircraft handling, ticketing and other services that can be provided in a more cost efficient way by third parties. Personnel productivity Ryan endeavors to control its labor costs by continually improving the productivity of its already highly productive work force. Compensation for employees emphasizes productivity-based pay incentives, including commissions for on-board sales of products for flight attendants and payments based on the number of hours flown by pilots and cabin crew personnel, within limits set by industry standards will stem to higher personnel engagement and productivity.

Apart from the mentioned bullet points Ryan air's management, reviews the day-to-day experience of the company regularly to modify and refine their strategic decisions in order to abide to the company's policy on customer services.

SWOT Analysis

Strength

Ryan has been known as Rupee's first low cost airline, which is the company's strongest selling point. Adopting low cost strategy helped Ryan to rapidly increase of customers and expansion of their operations. Addressing to the marketing trends by adopting Internet services like booking and ticketing has changed the customer behavior and has provided wide range of clients for them.

Last but not least, rapid expansion of flight routes and aircrafts, has provided more frequent flights and destinations to air travelers.

Weaknesses

Restricted customer service, deceiving advertisem*nt and low quality services are among those weaknesses, which has lead to bad publicity for the company.

Opportunities

Ryan, according to its strength, has opportunities to still dominate the European airline industry in term of providing more quality service standards and maintain its positioning as a low cost airline.

By determining the latest trends in airline industry and meeting the up to dated demands of customers they are capable of gaining more customers to be the number one airline company in the whole region.

Threats

Given the competitive nature of airline business, Ryan is faced with the inevitable threat of competition. To tackle that, Ryan needs to constantly provide highly effective and efficient new products with higher quality services comparing to competitors. St

'Market Qualifiers' And 'Order Winners'

Qualifying and order-wining factors are ways to distinguish a company from its imitators within the market.

Order winning factors are mainly those aspects, which contribute to promote the service or product to the highest level of costumer satisfaction and help the business to stand ahead of other competitors in the market. On the other hand, qualifying factors are those aspects of the service provider, which should be met to attain the consideration from costumers for business. Costumers needs and wants along with competitors market standards define weather a factor is a qualifier or a winner.

Flatirons is an electronics manufacturing services provider, which specializes in supply chain services such as packaging and transportation, as well as design, engineering and after sales services within several markets including automotive, computing, consumer, industrial, infrastructure, medical and mobile.

Based in Singapore, Flatirons is behind well-known brands like -but not limited to- HP, RIM, Motorola, Microsoft, Dell, Cisco, Sony Ericson and IBM. (Flatirons official Website) Flatirons Operations Strategy As one of the global leaders in design, manufacturing and distribution and after sales market services, Flatirons operations strategy must be designed in a way to address the needs for low-costs, responsive and flexible product and services.

To achieve this Flatirons has adopted the following strategies:

  • Extensive network of design, manufacturing and logistics facilities. These extensive networks are placed in the world's major electronic markets helping Flatirons to address each customer's that simplify global product development and supply processes. Through his, Flatirons is able to go through the life cycle of the products from its initial design to volume production, test cycles, distribution and post sales services in a more efficient manner.
  • Integrated industrial parks. These industrial parks are positioned in low cost regions close to the Flatirons costumers and world markets, giving them the advantage of delivering the products and services in a very large scale and as cheap as possible. Also Flatirons encourage its own suppliers to position in these industrial parks for easier access. Through this strategy Flatirons reduce major cost of shipping, handling and storing products.

Hayes and Wheelwright's Four Stage of Operation Contribution

Professor Hayes and Wheelwright developed a four-stage model to evaluate the role and contribution of operations function. These stages are as follow:

  • Internal Neutrality: Lowest level of contribution by operations function. It does not react upon competitive success and the aim is to avoid mistakes.
  • External Neutrality: At one level higher, in this stage the company begins to look outside and compare itself with its competition. The objective may not be to be the best but at least to implement the best practice with regards to other market players.
  • Internally Supportive: Operations at this stage are among the bests in their market. Developing appropriate operations resources to support company's strategic goals is at the most priority.
  • Externally Supportive: At this stage the operations functions are designed to provide a foundation for competitive success. Adopting a long-term view, considering the future changes in the market and consumer behavior helps the company to be one step ahead of the market.

The four-stage model of operation contribution

Looking at Flatirons and considering the four stages of operations contribution, it is Lear that the operations function of Flatirons is a very good example of stage 4 "externally supportive" Operations. As mentioned earlier, through an extensive network of design, manufacturing and after-sale services, Flatirons can deliver its services at the most appropriate locations, which shows in depth knowledge of costumer behavior understanding.

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A Review and Analysis of Ryanair and Flextronics Operations - PHDessay.com (2024)

FAQs

How would you describe Ryanair's overall strategy? ›

Ryanair Holdings plc uses the focus strategy, particularly the cost focus strategy. Companies using a cost focus strategy aim to provide the cheapest product or service within the industry. As a result, Ryanair offers the cheapest flights in Europe.

Why did Ryanair decide to implement a low cost strategy? ›

Ryanair's strategy was to offer cheap fares in order to capitalize on the market, in order to follow its low cost strategy Ryanair offered fares which were almost 20 percent lower than the cheapest fare of its competitors.

How does Ryanair operate? ›

Ryanair makes their money through low-cost ticket sales and charges for extra services, such as baggage fees and extra legroom. Ryanair is a low-cost airline that specializes in budget travel. They offer inexpensive flights to customers and even smaller costs on extra services to desktops, laptops, and mobile devices.

What is Ryanair? ›

Ryanair Holdings plc is Europe's largest airline group and parent company of Ryanair, Ryanair UK, Buzz, Lauda and Malta Air. Together we're Europe's cleanest, greenest airline group with ambitious sustainability goals for 2030. We connect over 240 destinations in over 40 countries and offer the lowest fares in Europe.

What are Ryanair aims and objectives? ›

The strategy outlines four core strategic pillars underpinning the airline's ambitious goal of net carbon zero by 2050 – sustainable aviation fuels, technological & operational improvements, carbon offsetting, introduction of better Air Traffic Management.

Why would you like to join the Ryanair flight operations graduate Programme? ›

Our Graduate Programme is underpinned by the Ryanair philosophy that will allow you to gain a high level of experience at a fast pace. You will learn from the best people within aviation, gain an invaluable insight into Europe's leading airline, picking up life skills along the way.

What are the main challenges facing Ryanair currently? ›

Conclusion. Recent growth for Ryanair has been slow due increased oil prices, staff strikes, routes, and handling costs—situations that affect all airline companies. With the constant increase in oil costs—1.27% from 2018 to 2019—O'Leary has warned of a loss of EUR 400 million in profit.

What competitive strategy does Ryanair use? ›

It uses the focus strategy, particularly the cost focus strategy, meaning that it aims to provide the cheapest product or service within the industry. Ryanair competitors include EasyJet, Aer Lingus Group, Vueling Airlines and Wizz Air. The airline makes profits by charging customers for everything at a high price.

What are the weaknesses of Ryanair? ›

What are some of Ryanair's weaknesses?
  • Refunds: Customers are enraged at Ryanair's refund policy. ...
  • Layoffs and Grounding: Last June, Ryanair grounded 99% of its fleet. ...
  • Controversial Positions: Ryanair CEO, Michael O'Leary, said operating an airline with social-distancing is stupid.

Why is Ryanair so successful? ›

O'Higgins and the annual report stated that the main competitive advantage of Ryanair is low operating costs and its operating costs is lowest among the European scheduled passenger airlines or other budget airlines.

Is Ryanair good to work for? ›

Low pay, strict rules, poor management

Worst airline I've ever trained for. 2.50 an hour for training over six weeks. Long days, and the trainers will get rid of you over the littlest of things. Most people that I've trained with left after a while or didn't make the training because it was super strict.

What type of organizational structure is Ryanair? ›

The Board consists of one Executive and 10 Non-Executive Directors following the appointment of Geoff Doherty in October 2021. It is the practice of Ryanair that a majority of the Board will be Non-Executives, each considered by the Board to be independent, and the Chairman is Non-Executive.

Is Ryanair a safe company? ›

Ryanair has been recognized for its safety

Ryanair has a safety rating of 7 out of 7 from AirlineRatings.com. Ryanair was named one of AirlineRatings.com's Top Ten Safest Low-Cost Airlines for 2022.

Is Ryanair training paid? ›

You are ONLY paid for your flight hours after training. The Training is a great time.

What is Ryanair full name? ›

Ryanair was founded in 1984 as "Danren Enterprises" by Christopher Ryan, Liam Lonergan (owner of Irish travel agent Club Travel), and Irish businessman Tony Ryan, founder of Guinness Peat Aviation. The airline was shortly renamed "Ryanair".

What is the main purpose of flight plan? ›

A flight plan includes the route the crew will fly and specifies altitudes and speeds. It also provides calculations for how much fuel the airplane will use and the additional fuel it will need to carry to meet various requirements for safety (see fig. 1).

What are the 3 key functions undertaken by airports? ›

Within this airport system, the typical role of an airport operator is to provide and maintain all necessary infrastructure as well as essential services. These core activities regularly include passenger search and perimeter security, firefighting, and cleaning and maintenance of passenger areas.

How to pass a Ryanair interview? ›

Ryanair Interview Tips

Bring extra copies of your C.V. Make good eye contact throughout the interview. Don't speak too fast as you will sound nervous and don't speak too slow as you will sound boring.

What should I say in a Ryanair interview? ›

Highlight your skills and qualifications that make you a good fit for the role you're interviewing for. Talk about your motivation for wanting to work for Ryanair Airlines. Explain how you would be an asset to the company. Conclude by saying why you're the best candidate for the job.

What questions do they ask for Ryanair interview? ›

Interview questions at Ryanair
  • Asked if you have tattoos and if you can cover them up. What job experiences you have had. Why do you want to be cabin crew. Asked if theres any bases you would like to be at and if you are free from t… ...
  • why do you want to be cabin crew. Shared on 27 August 2021 - Cabin Crew - Stansted Airport.

Who are Ryanair biggest competitors? ›

Ryanair competitors include easyJet, Wizz Air, Aer Lingus Group and Vueling Airlines. Ryanair ranks 2nd in CEO Score on Comparably vs its competitors.

What is Ryanair target audience? ›

Our customer is anyone within Europe in the age between 15 and 64, who wants to save money and still be able to travel by air to attractive destinations.

What are the major threats to the airline industry? ›

“Insider threats” / “known insiders”, presenting potential internal risks to airlines. Civil unrest impacting aircrew during their layovers away from their home base. Flights operating in the vicinity of airspace with conflict zones. Lone-wolf and terrorism incidents compromising security.

What are the three 3 strategies for competitive advantage? ›

Building a Competitive Advantage

Michael Porter, the famous Harvard Business School professor, identified three strategies for establishing a competitive advantage: Cost Leadership, Differentiation, and Focus (which includes both Cost Focus and Differentiation Focus)[1].

What are the 4 major competitive strategies? ›

Here are four types of competitive strategy and an example for each:
  • Cost leadership strategy. ...
  • Differentiation leadership strategy. ...
  • Cost focus strategy. ...
  • Differentiation focus strategy.
16 Nov 2021

What are the 3 basic competitive strategies? ›

According to Porter's Generic Strategies model, there are three basic strategic options available to organizations for gaining competitive advantage. These are: Cost Leadership, Differentiation and Focus.

What are the advantages and disadvantages of airlines? ›

The advantages include being able to fly to almost any destination in the world and having a variety of different aircraft for different purposes, and cut down on travel time. The disadvantages include costs of fuel, delays due to weather, and security risks such as terrorism.

What is Ryanair competitive advantage? ›

STRENGTH: The major strength of Ryanair is in its ability to provide air travel services at low rates; it also provide higher rates of on-time departures and faster turnaround times due to its operations from less congested airports.

What is the operations strategy of Ryanair and how does it help to achieve low costs? ›

From its initial strategy, Ryanair controlled aircraft acquisition costs by purchasing used aircraft of one type. This idea helped Ryanair in those days to cut costs ultimately and maintain its low-cost strategy. In the late nineties, Ryanair experienced a shortage in the supply of used aircraft in the market.

Why do people like Ryanair? ›

Ryanair has always existed as the Marmite of air travel. You either hate it for its costly baggage fees, stingy legroom, garish interiors and loud-mouthed CEO, or you love it for being cheap, ubiquitous – and almost always on time.

What is Ryanair's unique selling point? ›

Ryanair as a brand has a very well-defined USP (unique selling proposition) - that of offering ultra-low-cost prices for flights across the world.

When did Ryanair become successful? ›

In 2002, things really became serious for the airline. Their order of 45 Boeing 737s was upped to 125 with 125 more options. A year later the airline acquired Buzz, a brand it hopes to reignite later this year.

Do Ryanair pay well? ›

Average Ryanair hourly pay ranges from approximately $17.32 per hour for Administrative Assistant to $32.28 per hour for Technician. The average Ryanair salary ranges from approximately $26,000 per year for Assistant Supervisor to $100,000 per year for Flight Attendant.

How long is training for Ryanair? ›

At Ryanair we can provide the training for you to gain your aircraft licence. Our 2-year JAE programme is a mix of practical and theoretical training for those who have completed all their EASA basic licence modules. Students are assigned a main base and will travel to Stansted or Bergamo as required for training.

What is the salary of a Ryanair captain? ›

Airline Pilot salaries at Ryanair can range from €49,025 - €175,084 per year.

What are the 4 types of organizational? ›

The four types of organizational structures are functional, multi-divisional, flat, and matrix structures.

What are the 3 main Organisational structures? ›

The three main organizational structures are Hierarchical, Sequential, and Matrix.

What are the 5 best types of organizational structure? ›

Each of these five types of organizational structures have advantages and disadvantages, so it's important to consider which one may be right for your business.
  • Functional reporting structure. ...
  • Divisional or product reporting structure. ...
  • Process-based structure. ...
  • Matrix structure. ...
  • Flat structure.
6 Jan 2022

How uncomfortable is Ryanair? ›

In fact, Ryanair was voted the "world's worst short-haul airline" in a survey by Which? of more than 6,500 passengers in December, with complaints including numerous extra fees, uncomfortable seats, no in-flight entertainment options, and poor customer service.

Is Ryanair the most successful airline? ›

Communications specialist Cirium, which provides key information to air travel, names Irish giant Ryanair Holdings, as the world's fifth biggest carrier in its yearly world airline passenger rankings.

Who owns Ryanair now? ›

Michael Kevin O'Leary

What to wear to Ryanair training? ›

Dress pants, skirt, or dress with a non-matching jacket is recommended business professional attire for women. Dress shoes, flats, open-toed (for females) and closed-toed shoes are appropriate.

How long is a Ryanair shift? ›

Shifts can be long, up to 12 hours sometimes (4 sectors at times, 4 flights).

What is the oldest age for a flight attendant? ›

At 21 years old, you can apply to be a flight attendant with any airline. Minimum age requirements typically apply at the time of training completion, so candidates who will reach an airline's minimum age during training can apply for flight attendant roles. There is no upper age limit for flight attendants.

What is Ryanair biggest base? ›

Routes World 2022 attendee Ryanair is Europe's largest airline, the largest low-cost carrier, and one of the world's largest airlines as measured by international passengers carried. Ryanair's largest hub is at London Stansted Airport, with its second largest base at Dublin Airport.

What is the culture of Ryanair? ›

The concept is to make them work hard through long hours and short holidays, get rid of them when they are not useful and put in a fresh team. Ryanair's culture and especially its customer service policy are perceived as embarrassing by the staff, and causes high staff turnover in customer service-related positions.

What is the Ryanair slogan? ›

Irish airline's Ryanair's cheeky ads draw censure, but get everyone talking.

What is Ryanair's generic strategy? ›

These rare resources and capabilities provide unique and premium value to customers. Ryanair is using focused cost leadership strategy. They are reducing operational costs to formulate the lowest cost per unit as possible and provide low price products and services for a specific customer segment.

What was Ryanair's positioning strategy? ›

It was unambiguously positioned as the lowest cost of the low cost airlines. Its success, however, came at a price. Ryanair was far from loved. Its operational model, which enabled such low cost flying, had as a side effect service that was seen as far below industry norms.

Is Ryanair's strategy sustainable? ›

Ryanair says it is 'the greenest and cleanest airline in Europe', but it also has huge growth ambitions. It has a stated aim to become carbon neutral by 2050, and has laid out how in its 'Decarbonisation Strategy – Pathway To Net Zero'.

What is strategy in airline industry? ›

An airline marketing strategy is an overall business plan that aims to reach prospective consumers and turn them into customers of the services as well as keep existing customers engaged.

What are Ryanair weaknesses? ›

What are some of Ryanair's weaknesses?
  • Refunds: Customers are enraged at Ryanair's refund policy. ...
  • Layoffs and Grounding: Last June, Ryanair grounded 99% of its fleet. ...
  • Controversial Positions: Ryanair CEO, Michael O'Leary, said operating an airline with social-distancing is stupid.

What are Ryanair's key success and risk factors? ›

Reasons behind the success of Ryanair
  • Pricing strategy or Low Fares offerings. ...
  • Leadership. ...
  • Customer Service. ...
  • Regular Point-to-Point Flights on Short-Haul Routes. ...
  • Low Operating Costs. ...
  • Porter's Five Forces Analysis. ...
  • Bargaining Power of Suppliers. ...
  • Bargaining Power of buyers.
7 Sept 2021

What is Ryanair doing for the environment? ›

This partnership will deliver research in SAF, Zero Carbon Aircraft Propulsion Systems and Noise Mapping. Ryanair will continue to invest in new technology, aircraft, as underpinned by its $22bn commitment to purchase 210 Boeing 737-8200 'Gamechanger' aircraft.

What airline is the most sustainable? ›

The Top Green and Sustainable Airlines in the World
  • Etihad Airways. Etihad is one of Abu Dhabi's largest sustainable airlines and they are currently on track to reduce one-time-use plastics by 80% by the end of 2022. ...
  • KLM – Royal Dutch Airlines. ...
  • Cathay Pacific. ...
  • Virgin Atlantic. ...
  • JetBlue.
27 Sept 2022

What are the 4 types of strategies and strategic analysis? ›

The four marketing strategic alternatives categories include diversification, product development, market development, and market penetration. Companies can use these strategies as a blueprint to achieve their goals.

What are the 3 basic strategies? ›

According to Porter's Generic Strategies model, there are three basic strategic options available to organizations for gaining competitive advantage. These are: Cost Leadership, Differentiation and Focus.

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