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Masca Indra
 Renni Rengganis
Yessie Fransiska L.
   JetBlue was incorporated in Delaware in August
    1998.
   David Neeleman (former Southwest Airlines
    employees( founded the company in February
    1999, under the name "NewAir."
   Initial capital of $ 130 million
   The top management is veterans of the airlines
    industry who were looking for chance to start from
    scratch.
   Home Base : New York City – JFK International Airport
   Type of aircraft : Airbus 320 (less fuel, better cabin technology, has
    a wider cabin)
   Market Segment : people who aren’t going travel, people who are
    disgusted with their current choices, people would drive, or people
    who wouldn’t go at all
   Goals : low fares, great services, and to deliver on that promise over
    time
   Operation Strategy :
    o The world’s first paperless airlines

    o Each pilot was provided with a laptop into which was loaded all
      the required flight and operation manuals
    o Almost all maintenance logs were also computer based

    o E-mail as a media of communication
   JetBlue started by following Southwest's
    approach of offering low-cost travel, but
    sought to distinguish  itself by its amenities:
    ◦ High quality service domestic airline with point to-
      point service on both short haul and long haul
      routes.
    ◦ It offers a differentiated flying experience that
      includes pre-assigned leather seats and free Direct
      TV for every passenger.
   In Neeleman's words, JetBlue looks "to bring
    humanity back to air travel.“
Safety



Passion              Caring




   Fun             Integrity
Efficient Utilization & High Yields Per Passenger
 Mile (Utilization and high yields are key to generating revenues
    and high profits)
   in 2001
                                Aircraft operated an
                                  average of 12.6
                               hours/day, the highest
                                   in the industry.



                                Aircraft operated an
                                  average of 11.1
                                     hours/day.
Jet Blue               Southwest

   Low costs and high efficiency enable JetBlue to
    charge lower fares than its competitors.
   As an example, JetBlue’s New Orleans to New
    York roundtrip fare is significantly cheaper than
   that of alternative carriers. JetBlue offers two
    nonstop flights per day both ways and a
    roundtrip
   fare of $177. Southwest offers no nonstop flights
    and a roundtrip with one stop in each direction
   costing $321.
   Southwest Airlines traces its roots to the
    March 15, 1967 incorporation of Air
    Southwest Co. by Rollin King and Herb
    Kelleher.
   Slogans include "Just Plane Smart", "The
    Somebody Else Up There Who Loves You" and
    "THE Low Fare Airline". The airline's current
    slogan is "Grab your bag, It's On!".
Base of operations is JFK, an airport that has traditionally attracted
considerably less attention from competitors for domestic flight activity
than either LaGuardia Airport or Newark International Airport because
 of an industry perception that JFK is primarily an international airport
 and that the commuting distance from Manhattan to JFK is too far, as
   compared to LaGuardia or Newark, to attract domestic travelers.
“Low Fare Airlines With High Quality
        Service Experience”



            Vision   1. Used new airplanes,
                     2. Offer great personal service,
                     3. Create a state of the art revenue management system,
                     4. Service fare less than the competition


                                              Operation                                   Marketing
      Business Strategy
                                •Using ICT as operational system              Market Segment : people who
                                •Two nonstop flights per day both             aren’t going travel, people who are
                                                                              disgusted with their current choices,
                                 ways                                         or people who wouldn’t go at all.
                                •operating one type of aircraft               People who are price sensitive leisure
                                •offering one class of service,               traveler and small business traveler.
                                •supporting a ticketless reservation          Not unlike Southwest, JetBlue
                                 system                                       enters a market where it believes
                                                                              it can generate new demand

      Miles Stone Strategy                       Finance
                                                                                                       HCM
                                   JetBlue took a conservative financial     Leveraging Human Resources :
                                 strategy in which they maintained high      creating esprit the corps
                                 liquid ratios relative to the other major   Selecting the Right People
                                                   airlines
                                                                             Customized Employment Packages
CORE COMPETENCE Value-based




            Customer
 Concern                                  Achievement    Organizational
              Service     Self Control
for Order   Orientation
                                           Orientation    Commitment




                              According to Spencer Competence Based Model
JetBlue has survived by a focus on bringing humanity
      back to air travel at low fares. They focused on
 providing value, customer service, and unique extras for
                         customers.
      Employees benefit from training and a strong
                organizational culture.
 The business benefited from measures to cut costs and form
    lucrative partnerships. Presently, the financial reports of
    JetBlue showed that the company was outperforming its
  competitors in a recession making the company highly likely
               to be successful over the long term.
CORE COMPETENCE Value-based is needed for organization in
               JetBlue CBHRM to sustain the values
   David D. Dubois & William J. Rothwell. Competency-Based Human
    Recources Management
   Ganesh. Competency-Based Human Recources Management
   Competence at Work: Models for Superior Performance (Lyle M.
    Spencer, Signe M. Spencer)
   JetBlue. (2009). JetBlue's 2009 Annual Report on Form 10-K
   Jet Blue official website : www.jetblue.com
   Johnson,Nancy B.2007."LOW-COST COMPETITION TAKING OFF IN
    THE GLOBAL AIRLINE INDUSTRY ANDIMPLICATIONS FOR
    EMPLOYMENT RELATIONS".LABOR AND EMPLOYMENT RELATIONS
    ASSOCIATION SERIES Proceedings of the 58th Annual
    Meeting.Univerity of kentucky.

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Jet blue airways starting from the scratch

  • 1. Masca Indra Renni Rengganis Yessie Fransiska L.
  • 2.  JetBlue was incorporated in Delaware in August 1998.  David Neeleman (former Southwest Airlines employees( founded the company in February 1999, under the name "NewAir."  Initial capital of $ 130 million  The top management is veterans of the airlines industry who were looking for chance to start from scratch.
  • 3.  Home Base : New York City – JFK International Airport  Type of aircraft : Airbus 320 (less fuel, better cabin technology, has a wider cabin)  Market Segment : people who aren’t going travel, people who are disgusted with their current choices, people would drive, or people who wouldn’t go at all  Goals : low fares, great services, and to deliver on that promise over time  Operation Strategy : o The world’s first paperless airlines o Each pilot was provided with a laptop into which was loaded all the required flight and operation manuals o Almost all maintenance logs were also computer based o E-mail as a media of communication
  • 4.  JetBlue started by following Southwest's approach of offering low-cost travel, but sought to distinguish itself by its amenities: ◦ High quality service domestic airline with point to- point service on both short haul and long haul routes. ◦ It offers a differentiated flying experience that includes pre-assigned leather seats and free Direct TV for every passenger.  In Neeleman's words, JetBlue looks "to bring humanity back to air travel.“
  • 5. Safety Passion Caring Fun Integrity
  • 6. Efficient Utilization & High Yields Per Passenger Mile (Utilization and high yields are key to generating revenues and high profits)  in 2001 Aircraft operated an average of 12.6 hours/day, the highest in the industry. Aircraft operated an average of 11.1 hours/day.
  • 7.
  • 8. Jet Blue Southwest  Low costs and high efficiency enable JetBlue to charge lower fares than its competitors.  As an example, JetBlue’s New Orleans to New York roundtrip fare is significantly cheaper than  that of alternative carriers. JetBlue offers two nonstop flights per day both ways and a roundtrip  fare of $177. Southwest offers no nonstop flights and a roundtrip with one stop in each direction  costing $321.
  • 9.  Southwest Airlines traces its roots to the March 15, 1967 incorporation of Air Southwest Co. by Rollin King and Herb Kelleher.  Slogans include "Just Plane Smart", "The Somebody Else Up There Who Loves You" and "THE Low Fare Airline". The airline's current slogan is "Grab your bag, It's On!".
  • 10.
  • 11. Base of operations is JFK, an airport that has traditionally attracted considerably less attention from competitors for domestic flight activity than either LaGuardia Airport or Newark International Airport because of an industry perception that JFK is primarily an international airport and that the commuting distance from Manhattan to JFK is too far, as compared to LaGuardia or Newark, to attract domestic travelers.
  • 12. “Low Fare Airlines With High Quality Service Experience” Vision 1. Used new airplanes, 2. Offer great personal service, 3. Create a state of the art revenue management system, 4. Service fare less than the competition Operation Marketing Business Strategy •Using ICT as operational system Market Segment : people who •Two nonstop flights per day both aren’t going travel, people who are disgusted with their current choices, ways or people who wouldn’t go at all. •operating one type of aircraft People who are price sensitive leisure •offering one class of service, traveler and small business traveler. •supporting a ticketless reservation Not unlike Southwest, JetBlue system enters a market where it believes it can generate new demand Miles Stone Strategy Finance HCM JetBlue took a conservative financial Leveraging Human Resources : strategy in which they maintained high creating esprit the corps liquid ratios relative to the other major Selecting the Right People airlines Customized Employment Packages
  • 13. CORE COMPETENCE Value-based Customer Concern Achievement Organizational Service Self Control for Order Orientation Orientation Commitment According to Spencer Competence Based Model
  • 14. JetBlue has survived by a focus on bringing humanity back to air travel at low fares. They focused on providing value, customer service, and unique extras for customers. Employees benefit from training and a strong organizational culture. The business benefited from measures to cut costs and form lucrative partnerships. Presently, the financial reports of JetBlue showed that the company was outperforming its competitors in a recession making the company highly likely to be successful over the long term. CORE COMPETENCE Value-based is needed for organization in JetBlue CBHRM to sustain the values
  • 15.  David D. Dubois & William J. Rothwell. Competency-Based Human Recources Management  Ganesh. Competency-Based Human Recources Management  Competence at Work: Models for Superior Performance (Lyle M. Spencer, Signe M. Spencer)  JetBlue. (2009). JetBlue's 2009 Annual Report on Form 10-K  Jet Blue official website : www.jetblue.com  Johnson,Nancy B.2007."LOW-COST COMPETITION TAKING OFF IN THE GLOBAL AIRLINE INDUSTRY ANDIMPLICATIONS FOR EMPLOYMENT RELATIONS".LABOR AND EMPLOYMENT RELATIONS ASSOCIATION SERIES Proceedings of the 58th Annual Meeting.Univerity of kentucky.