His goal was to single handedly create a unique airline that was innovative for the current market.
Most airlines started canceling their flights earlier in the day, but JetBlue did not and hoped to live by its reputation of providing excellent service to its passengers.
This resulted in the passengers and the crew getting confined inside the planes for many hours without basic necessities such water, food and good toilets access.
Upon realizing the gravity of the problem, JetBlue management started canceling flights leading to many customers rescheduling their flights or canceling them altogether. Because of so many passengers rebooking, canceling, or tracking their baggage the airlines automated system and staff could not handle all the traffic.
In addition, the airline did not have a Jetblue case in place to effectively communicate with its employees in case of such emergencies. This was a wake up call for the company that had relied on low cost technology, and a skeleton workforce.
Response to crisis evaluation Despite the ordeal, JetBlue remained true to its business model of excellent customer service.
The response to the crisis was a somber one. He expressed deep regret that good intentions had gone totally wrong. As a result of the crisis, airline management introduced numerous changes to deal with inadequate staffing, obsolete technology, and frustrated customers.
The airline promised to upgrade its IT infrastructure and install new software to track availability of its staff during emergencies, to train employees from the corporate office as backups during emergencies, and to by introduce a bill of rights that would penalize the airline whenever it fails to offer appropriate service.
A move I believe was unfair considering that Mr. The airline relied heavily on low cost technology that was unable to withstand high traffic volumes as witnessed during the New York storm.
The storm saga was as a result of multiple systems and business functions failures. The major failure was with the Transaction processing systems TPS. This is a system responsible for ticket reservations and tracking the flow of all transactions.
JetBlue was unable to manage passenger rebooking or rescheduling their flights because of TPS failure. Since TPS is the major source of information for all systems its failure proved disastrous for the airline as there was no flow of important information regarding all transactions.
The CRM is the system that helps firms manage their relationship with their customers. The fact that the airline was unable to effectively communicate with their customers during this period shows a break in their CRM system.
This is a system that senior managers use to address strategic issues and long term planning.
The fact that the company outgrew its infrastructure capacity shows that management did not plan for its rapid growth. The lack of foresight proved costly to the organization. Finally, we also note a failure in the Human Resources functional business process. Future Preparedness Finally, its essential to appreciate the measures the airline has put in place to address its short comings.Analysis The case of JetBlue illustrates JetBlue’s plan to succeed, and be among the few airlines that have had longevity.
Dave Neeleman was the founder of Morris Air, which was later purchased by Southwest Airlines in the mid s.
JetBlue Airways IPO Valuation Kevin Haber, Chase Boyle, Sean Crane Background July , David Neeleman announced plan to launch a new airline that would bring "humanity back to air travel".
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JetBlue Case Analysis Executive Summary JetBlue airline was founded by David Neeleman who is a Brazilian born entrepreneur. His goal was to single handedly create a unique airline that was. JetBlue Vacations offers vacation packages and deals, including Caribbean and All Inclusive vacations.
The JetBlue flight attendant incident She claims that the only incident she recalled had involved a man a few rows back who tried to retrieve his case.