This report provides an overview of WestJet Airlines, including information about the company, key partners, and airline operations. It also discusses the transformation of WestJet and key findings about the company.
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Contents About the company (An Overview)..........................................................................................3 Key Partners to WestJet...........................................................................................................3 Airline Operations: How they function & what has changed in 2017?................................3 Key Findings about WestJet and Conclusions (Transformation).........................................4 References...................................................................................................................................5
About the company (An Overview) The WestJet Airlines was started by Clive Beddoe in the year 1996 with three aircrafts that flew over five destinations. Today, WestJet is flying over 700 flights per day across 100 destinations in Europe, Caribbean, Central America and North America. Total number of aircrafts with WestJet now exceeds 150. The company has revenue of $4.5 Billion annually and operating expenses around $4 Billion. Key Partners to WestJet WestJet has number of code share travel partners (Code-share agreements would allow different airlines to allocate some space on the WestJet flight just like it was their own flight) and interline travel partners (Interline agreements help the guests to travel with more than one airline while they reach their destination). Some examples are: Air France, Air China, Cathay Pacific, Delta Airlines, American Airlines, KLM, Korean Air, Jet Airways, Etihad Airlines, Qantas Airlines, and many more. Airline Operations: How they function & what has changed in 2017? The Airline operations for WestJet like any other airline consist of 3 key aspects:Flight Operations, Ground Resources, and Maintenance.Most of these servicesare managed by third party organizations, for instance, In-flight Catering services, Maintenance of aircraft, Call Centers, etc. Hence, there is a deep relationship between WestJet and its third party organizations. The world of Airlines is changing under Digital Transformation pressure and so is WestJet. Previously, WestJet used to manage customer interactions through their employees. However, recently, as part ofchange, WestJet Airlines launched an artificial intelligencepowered Chatbot for voice interactions and improving guest experiences (Simpson).
WestJet previously operated as a low-cost, point-to-point carrier. However, now it is changing to fully fledged network airlines.Earlier WestJet use to function with only Chief Information officer; however, aspart of change, it has appointed Chief Digital and Innovation Officerfor its digital transformation program. As part of critical change,WestJet in 2017 launched the frequent flyer programwith Qantas Airways and Air France-KLM. Theyexpanded “Plus fare offering”, they lowered the cancellation fees for the itinerary changes. They announced the launch ofnew gift card program, announced to enhance guest experience with onboard food and services,transitioned catering related services to a third-party organization.Additionally, they announcedpartnership with “The Chopped Leaf restaurant to provide their guests with healthier onboard menu options”. WestJet also installed “in-flight entertainment system, WestJet Connect, featuring wireless broadband internet connectivity” (westjet.com). Key Findings about WestJet and Conclusions (Transformation) Most to the key executives have either joined in 2017-2018 or have been a part of change in organizational structure; hence the management team is fresh and dynamic. The company has increased revenue of 9.2% as compared to previous year 2016. The capacity in available seat miles has increased by 5.8% compared to 2016. WestJet is moving from a traditionally operating airline to a fully fledged Digital Airlines with the help of digital transformation strategy (Jones). Hence, we can conclude that WestJet is increasing its partner and third party organizations’ base along with implementing organizational change & digital strategy to grow in airlines industry.
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