Managing Innovation in the Airline Industry

MANAGING
INNOVATION

EXECUTIVE SUMMARY
This report will examine future developments in airline industry till 2020 and after that along
with capabilities of organisation to innovative and sustain in market.

Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Future of the Airline Industry.................................................................................................1
Organisation Innovation.........................................................................................................3
Innovation capabilities............................................................................................................4
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9

INTRODUCTION
Innovation management is process by which organisation manage its innovation
procedures from starting stage of planning till the last phase of implementing. It includes
decisions, practices and activities so that implementation of innovative strategies is effective.
Ryanair is Irish based airline company situated in Ireland which is owned and managed by
Ryanair holdings. It is largest European airline with more than 24,000 flight in a day which
enable it to have lower fares with safety record of 34 years (Tidd and Bessant, 2018). In this
report airline industry which provides services like carrying passengers and freight from the
route of air and with air-planes and helicopters. Thus report will discuss future of airline industry
till 2020 and even after that which will examine future developments. Thus it also explore
innovations that organisation required to have competitive advantage and sustainability till 2020
and after that also. To come up with innovation business needs to develop strategies that will
help Ryanair to have capabilities for innovations. The main purpose of this report is to find out
developments that airline industry will undergo till 2020 and beyond so that Ryanair can plan
strategies and develop capabilities to have sustainable and competitive advantage in industry.
MAIN BODY
Future of the Airline Industry
Globally Industry: The demand for services provided by airline industry is expected to
increase by 4.3% per year which will create growth for companies and economic development of
society. It is estimated that industry will generate 15.5 million jobs which lead to increase in
GDP of the country. There will be different factors that will impact future of airline industry like
data, security, environment, values, technology, business model, etc (Biemans, 2018).
UK airline industry: UK has one of the largest aviation network in the world which contribute
most to its economy and supports in generating employment. Thus government helps in growth
and development of this industry so that it provides better benefit to the society. Demand for the
aviation services are growing on a very high rate thus it can be seen that growth is sustainable. In
UK it is important that government, industry and other third parties have to work together so that
comprehensive strategies are framed to manage the sector. The government of UK wants airports
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