Easy Jet Airline Company is a British company based in London at Luton airport. It has emerged out as one of the most profit making companies in the transport sector. Easy Jet has a history of having good employment terms and working environment. This allowed good outcome from the workers’ performance. In the end, all is seen to going on well and this has allowed the company to the number of stake holders. Another major reason as to why Easy Jet Airline Company has had such dominance and yet it is known to be a low cost company, is that the kind of organization structure it employs tends to provide a good platform for its better working. It employs a very good functional organizational structure for its day to day activities and better management capabilities. This allows the CEO of the company to distribute the roles well and equally.
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This functional organizational structure employed enables a better distribution of resources, good coordination among the departments, and employees themselves. This, therefore, allows cost reduction as resources are shared. Another reason is the fact that company opts to use low cost airports as its base or the headquarters. This in the end has helped the company to cut costs and reduce expenses; this has helped greatly in profit maximization and increased power of investment as well as better services. To be sincere, Easy Jet Airline has just flourished even in the middle of world wide economic downtown, thus making itself a center of attraction and an example to be considered by anyone who wants to shine. It has dictated the mode of customer satisfaction and general treatment (Hurt 2004, p 34).
Today, Easy Jet is one of the best companies in terms of customer satisfaction in general treatment and attention. Corporate social responsibility of a company has the purpose of achieving the obligations of its stake holders in line with the products and services it deals with. This comes in relation with the company’s efforts of painting a good image and taking care of the vulnerable communities around it. This is affected as a result of the peoples’ voice having an impact on the company’s decision making process and also as a result of the government’s efforts to make sure companies comply with stipulated rules. Corporate sustainability on the other hand, where a particular company sees it as its responsibility to preserve the environment and take care of its immediate community through sustainable programs and charitable works is put in place.
Easy Jet airline is a British based air line that majors its operations from London at Luton airport, its business flourishes than most of its competitors. This has come as a result of good organization structure and the general flexibility of the management’s decision making. The type of structure put in place for a company determines its control capabilities and the general smooth running of the company’s daily activities. This is also reflected in the communication chain within the organization. For a company to strongly stand out in the midst of competition and dynamic business environments, it must have a very good organization structure. This structure acts as a guide to its daily activities that has to undertake every now and then. There are different types of organization structures, in a short while; I will highlight some of them briefly.
To begin with, there are three main structures mostly employed by many big performing companies. These are functional structures, divisional structures and finally matrix organizational structures. For matrix organizational structure, an employee reports to more than one manager or is answerable to several managers, for instance, one employee may be required to report to product manager as well as to functional manager. Here, matrix structure tries to benefit from both functional as well as divisional structures. On the other hand, divisional organizational structure is where by each division is separated according to geographical location, customer subdivisions and also product fragments. This means that every division has its own resources that it required for proper functioning.
Furthermore, looking at the functional organizational structure, we find that, departments are made depending on the function each has to carry out; this is to say for instance that all information technology technicians work together, with all maintenance technicians having one department they work under. This enhances harmony among the employees in the same department and increases the level of idea innovation. This kind of structure is shown below (Mosler 1980, p 56).
In this kind of organization structure as we can see, there is one overall superior that controls all functioning and is the final decision maker after the board of directors has come out with an idea that needs to be implemented. The CEO is the voice and head of the company. On the other hand, the board chairman has a responsibility of heading or chairing any meeting the board holds. He ensures decisions are made in good faith and in relation to the company’s abilities and working environment in relation to operation limits. The chairman is a figure known to the general public mostly as he is always involved with the company affairs at all levels. He works hand in hand with the company’s CEO to ensure that all activities that the company gets involved in are in order with the rules stipulated in the country, which the company operates in.
The directors are the largest shareholders of the company, they participate in the decision making process. They are not known to the general public but their influence is well considered in the day to day activities of the company.
All the other departments function according to the requirement of their respective sections and the general rules governing their existence. For instance, the sales department has to make certain that everything that entails sales is within their line of duty and any fault arising from this line falls under their department squarely. This in the end allows teamwork among the departments’ employees, which in the end leads to hard work, good coordination and reduced costs. Therefore, a good profit margin is realized, this may go even higher depending on the focus the company has (Schaffer 2008, p 79).
`Good profit realization helps the company to venture into many activities that would serve the purpose of bringing in more customers and increasing the profits. On the side of the employees, more money may be available at the end to help cater for their welfare and good payments. The above advantages and benefits are among many of the reasons as to why Easy Jet Airline Company has been on the high ranging of the most profit making airline in the world. This plan has yielded more than what was previously thought it can bring since its adoption. Adding on the fact that Easy Jet airline uses low cost airports away from town, the organization structure has been seen to have more benefits and therefore success than failure (Hurt 2004, p 147).
Factors impacting upon effective management in the global environment
To begin with, there are several factors that can hinder the way management carries out its duties daily. Therefore, to mention some of them, we begin with the culture, competitors, consumers, communication and other elements such us corruption, piracy and cronyism. To expound on a few, management decisions are greatly affected when corruption is given a chance to crop in this means that any decision made has to satisfy some big fish without actual looking at the effects that decision has on the majority. Another thing is that of communication, when there is a non-effective way of communicating ideas, management will be at a stake. No instructions given out reach its target as it was originally formulated and intended. Management will have a problem in running an organization whose existence violets or interferes with the culture of the community around it as this will always print out a picture of negative publicity against the company which in the end will hinder the management’s functions and general existence roles.
The corporate social responsibility and sustainability
The corporate social responsibility of a company has the obligation of meetings the community’s charity activities and the environmental maintenance. The company does this to increase its market share as well as stakeholders. On the other hand, the company gets involved with activities touching the community so that it can print out a good name. This allow the company to carry out its business without negative publicity and also help the employees be proud and confident of their company thus making them motivated at the end. Generally the community expects the company to preserve and maintain the environment.
On the other hand, sustainability is whereby the company puts the stake holders’ expectations in line with its products. This means that the company sees it as its responsibility to maintain the environment and have a good picture out there (Hurt 2004, p 157).