Impact of Innovation and Technology on Economic Progress

This document discusses the evaluation of different types of innovation and technology and their impact on the economic progress of the nation, with specific emphasis on business organizations. It also explores how innovation and technology have impacted the operations, profits, and sales of companies, using Ryanair as a case study. Additionally, it highlights the significance of corporate social responsibility (CSR) for companies and applies Carroll's CSR pyramid to Ryanair.

PROJECT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
1. Evaluate different types of innovation and technology and its impact on the economic
progress of the nation with specific emphasizes on business organisations................................3
2. Ways in which how innovation and technology have impacted the operations, profits and
sales..............................................................................................................................................5
TASK 2............................................................................................................................................6
1. Significance of CSR for the company..................................................................................6
2. Application on Carroll’s CSR Pyramid in Ryanair..............................................................7
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Projects are basically the individual or the collaborative enterprise which is carefully
planned for achieving the particular aim and objectives. Ryanair is a low-cost Airline whose
headquarters are in Swords, Dublin where it performs all its primary operations. This also forms
the largest part of Ryanair holdings airlines family having many sister Airlines including Ryanair
UK, Malta Air etc. It is also considered as the largest European budget airline including the
scheduled passengers and there are many international passengers as compared to the other
airlines (Ryanair, 2020). The report basically focussed on the innovation and technology along
with giving the practical examples. It also shed light on the ways in which new technologies are
used by the business operations along with the ways in which Ryanair uses the innovation and
technology and faces the rapid growth. Importance of Corporate Social Responsibility will be
highlighted and the Archie Carroll’s pyramid of CSR will be shed light in context of Ryanair.
TASK 1
1. Evaluate different types of innovation and technology and its impact on the economic
progress of the nation with specific emphasizes on business organisations
Innovation and technology
Innovation is the process of creating, development and implementation of the new idea or
new product or services. with the goal of influencing efficiency or competitive advantage. In
other word, innovation is an idea that has been modified into practical reality. While technology
is the study and transformation of tools, techniques and machines developed by human. Both
innovation and technology play vital role in the business that innovation enhances the chances to
react to change and discover new opportunities (Tian and et.al., 2018). It can also support foster
competitive advantage as it allows to develop the better product and services for the customers.
On the other hand, technology supports business to gain competitive advantage.
Evaluate contribution of innovation and technology towards economic growth of the nation
There is a great example of Ryanair company which offer airline services to the
customers. This innovation was beyond from the people expectations like company thoughts that

something happen like that people can fly in sky then they adopt Blue Ocean Strategy (BOS) to
bring something innovative thing. As resulted Ryanair company proposed airline services to the
people which was beyond from customer expectation. While technology factor supports Ryanair
company to improve customer’s travelling experience. With the support of digital platform
company enables to offer online airline booking services to the customer and create awareness in
customer about it’s brand (Morrar, Arman and Mousa, 2017). Thus, technology also has led
advance growth in the Ryanair success. Innovation and technology factors are not only supported
company to gain competitive advantage in airline industry but also it enhances growth of the
nation. Contempory business environment is highly changing in the digital transformation world
because there are various companies and brands are emerging with high innovation and wide
funnel of creativity through which individual can look for ethical working measurements and
higher working operations which can make them more career-oriented. One of the major
advantages of the innovation is that it helps to improve quality of existing product and services
through which company can gain profitable outcomes on the business. When companies enable
to improve profit margin ratio and market share of specified product that ultimately brings high
economical growth in the UK. On the other hand, technology factor allows different companies
for more efficient production of more and better goods and services that directly bring economic
growth of the nation. There has good technology and innovation performance due this UK has
good GDP rate among potential nations.
Describe how business organizations use new technologies in the operations
Ryanair uses new technologies i.e. internet and social media on it’s business operation
through which it enables to create awareness in customer about it’s different product services and
differentiate it’s brand image from others (Leon, ed., 2020). For example, marketing
representative of Ryanair uses social media platform i.e. video tutorial and give brief information
about Ryanair’s airline services, benefits and advantage of it’s offered services, holiday packages
etc. through which it enables to improve buying behaviour of customer for it’s services. In
addition, it provides online booking services along with different types of payment methods
which influences customers to buy it’s services at good cost. Thus, new technology brings
positive impacts on organization’s success.

2. Ways in which how innovation and technology have impacted the operations, profits and sales
Currently the Ryanair is very reputed brand in the international airline industry, because
it provides great facilities to people of high income as well as people of low income. Basically,
top-level management of this company always tries to provide the low-cost airline services to
different customers in the market place (Noto La Diega, 2019). Ryanair is an Irish airline
business, and currently it serves its products and services in over 40 countries, like; United
Kingdom, France, Malta, Netherlands etc. Existing business expansion strategy of this venture is
very excellent, and this why aircrafts of Ryanair currently flies for different countries.
In this dynamic and modern world, innovation and digital technologies plays an excellent
role to Ryanair in the marketplace. This is a very common thing that that Ryanair is an airline
business, and there is no airline venture can run its business operations without using innovation
and digital technology aspects within its workplace. Top-level management of this company is
very aggressive in order to using different new technologies within its workplace. For example;
digital marketing is new way or technique to effectively promote own brand in the market place,
so upper management of Ryanair is successfully used this technology in its daily operations for
attracting many new customers towards its brand. On the other side, recently it has more
improved its safety and security aspect by innovating new controls inside its different aircrafts.
Anyone can simply see the difference in sales and profit of Ryanair before using new
technologies and after using new technologies. Basically, if any company improves its standard
of technology and innovation, then its sales and profits will be automatically enhanced in the
future (Cervantes, 2018). Basically, the marketing team of Ryanair was started to highly use
digital marketing technique in year 2016, so before this year the company’s revenue was $7,174
million, and when the company has started to highly use this technology in its workplace, then its
yearly revenue is continuously increasing. For example; in 2016 Ryanair’s revenue was $7,217
million, in 2017 the company has gained revenue of $7,295 million, in 2018 was $8,372 million,
and in 2019 was $8,914. On the basis of these data, there are digital technologies and innovation
plays a very positive role to the business right now. It is continuously increasing its levels of
revenue generation year by year with the support of digital technology.
These all information and data are showing the effectiveness of innovation and new
technologies to a business or a company for effectively growing in market place. Day by day

competition is increasing in each industry, so the upper management have to be ready for
innovating different new products and services in the market place (Hoskova-Mayerova and
Bekesius, 2019). Basically, when upper management of company will be focused on using
modern technologies and also on innovating new products and services, then this business will
be able to gain excellent competitive advantage in the global airline industry.
TASK 2
1. Significance of CSR for the company
Corporate governance and CSR
Corporate governance is the system by which organizations are directed and controlled.
The main role of shareholders is to appoint the auditor and director and brings satisfaction in
them. They always concerns with holding the balance between social and economical goals and
between individuals and common goals. It always emphasizes on the action of the corporation
and the board towards it’s stakeholders and the shareholders (Scaria, 2020). On the other hand,
corporate social responsibility (CSR) is a management concept whereas organizations integrate
environmental and social concerns in their business operations and interactions with the
stakeholders. It is important for the company because it directs company to operate it’s business
in an ethical and sustainable way and deals with it’s social and environmental impacts. There are
various examples of CSR such as reduction carbon footprints, improving labour policies etc.
benefits the environment of nation.
Brief history of Corporate Governance in the UK with examples
Governance is the word that barely existed 20 years ago. There is a great example of
Cadbury company which was gradually adopted corporate governance code and enlisted on the
London Stock Exchange (Yoo and Lee, 2018). Corporate governance code is a set of principles
of good corporate governance which has aimed at companies enlisted on London Stock
Exchange. This regulation was proposed in 1992 by the Cadbury Committee. The main goal of

the UK’s corporate governance is to bring long-term success in the business which ultimately
boosts economic growth in the business.
Importance of CSR with emphasizes on Ryanair company
Corporate Social Responsibility leads lots of benefits in company in the form of
profitability by enhancing fair policies in the business. Ryanair airline has bad reputation
previously because airline industry also contributes 5.5% to emission of carbon dioxide in UK so
government imposed the rule to adopt green business practices in all-business sectors
(Indaryanti, Lestari and Fitriah, 2020). But at that period, Ryanair adapts CSR strategy on it’s
business as resulted it gets numerous profitable outcomes such as it has become Europe’s
greenest, cleanest airline and it also offers low fare at airline services. With the support of CSR
strategy, company ensures its staff that no employee will be discriminated in the job place while
offering promotional opportunities. Thus, CSR policies supports Ryanair to establish good brand
image in the airline industry.
2. Application on Carroll’s CSR Pyramid in Ryanair
The Carroll’s CSR pyramid is basically a simple framework which helps in arguing that
how and why the organisations meet the social responsibilities. Its features are as follows:
 The building of CSR is based on the foundation of profit which considers the profit to
come first in every phase.
 After the profit making, the focus is on the need of the businesses for ensuring that it does
all its processes and practices by complying with all the regulations and laws.
 The ethical duties are focussed on by the companies before consideration of the
philanthropic options.

Figure 1: Carroll's pyramid of CSR
Source: Carroll’s pyramid of CSR, 2020
The Carroll’s CSR pyramid can be applied to Ryanair which is the largest European budget
airline by the scheduled passengers flown and also it deals with maximum international
passengers as compared to the other airline. It is very important for the company in the current
era to come forward which helps in various institutions and communities which helps in taking
part to fill the shortages for the society’s welfare which makes the company considered as the
part of Corporate Social Responsibilities (CSR). The pyramid is quite relevant in the market
scenario which is regularly debated, discussed, modified, cited and criticized by various
politicians, leaders, social commentators and the academia.
For understanding the true relevance of the entire framework and is used it on the optimal level,
it is required for the corporate companies like Ryanair in focussing on the practical implications
and the implementation and looking beyond the point of discussions and debate. This entire
framework of the pyramid is very easy to use which helps in understanding the fundamentals
which helps the companies like Ryanair in comprehending the necessary principles and setting
forth the principles with Ryanair in reaching the topic of pyramid.
ECONOMIC
These are the responsibilities which are the most significant and basic part and elements
of the business. This becomes quite imperative for Ryanair for generating the maximum profits
for the shareholders and the stakeholders along with the model itself which states that the

business of Ryanair can become an economic unit for the society as a whole. Ryanair needs to
overcome the various external and internal factors which works as an obstacle or hurdle for the
overall development and growth of the business. Ryanair faces this in several ways such as by
facing the competition from the competitors such as easyJet, Wizz Air, JetStar etc., enhancing
the brand, promotion of its products and services through promotional and marketing techniques
etc. All these helps in overcoming the other businesses and the dynamics of the market. This
makes the objective and responsibility of the company for generating the maximum amount of
profit which can be achieved by developing the sensible strategic business decisions.
LEGAL
This is the second layer of the pyramid which basically focusses on the legal
responsibilities of the companies like Ryanair. The management of the company must adhere and
comply with the laws and compliances which are laid by the authorities and society which are in
relation with the nature of the business and the operations of the business. Ryanair must adhere
to the laws and regulations of the society and the government so that it helps in enhancing the
brand image of the company which also makes the company stress free as there are no
restrictions on the operations of the company.
ETHICAL
These are at the discretion of the management and are not necessary for the companies
like Ryanair to fulfil but these are required to be expected by the society. This mainly focusses
on the moral rights and values which are mostly not included in the books of law but still are the
expectations of the society. This also refers to the good and ethical behaviour while conducting
the operations of the business which helps in serving as the future guideline. Ryanair must also
follow the ethics and moral values so that it can increase its goodwill which also helps in gaining
the competitive advantage among its competitors.
PHILANTHROPIC
This set of responsibilities focusses on the quality of the life of the people and the society
by standing at the top of the pyramid which forces the companies to be good corporate citizen.
The employees of Ryanair volunteer in various community programs, fundraising regarding the

social issues, corporate the contribution and other such initiatives must be undertaken and is
initiated by the companies like Ryanair having the aim to give something back to the society.
This set of responsibilities are expected and desired by the society from the Ryanair.
CONCLUSION
The report focussed on the ways in which the organisations use the innovations and
technologies for increasing the business of the organisations. This also impacted the economic
progress of the organisations. It also highlighted the technology and innovation’s impact on the
sales, operations and profits of Ryanair. The importance of Corporate Social Responsibility
(CSR) was much highlighted along with applying the Archie Carroll’s Pyramid of CSR in
Ryanair and its importance.

REFERENCES
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Online
Carroll’s pyramid of CSR, 2020. [ONLINE]. Available through: <
https://www.researchgate.net/figure/Carrolls-pyramid-of-CSR_fig2_304662992>
Ryanair, 2020. [ONLINE]. Available through: <https://www.ryanair.com/gb/en>