Business Report: Innovation, Technology, and Ryanair Plc

This report provides a comprehensive analysis of Ryanair Plc's business environment, focusing on the impact of innovation, technology, and corporate social responsibility (CSR). It defines innovation and technology, illustrating their contributions to economic growth, with the UK as a prime example. The report details how Ryanair utilizes new technologies, such as real-time tracking and playback, to enhance operations. It examines the influence of these technologies on sales and profits, although specific data is limited due to recent implementation. Furthermore, the report explores the significance of CSR for Ryanair, defining corporate governance and CSR, and discussing the historical context of corporate governance in the UK. It highlights the importance of CSR in attracting customers, improving public image, increasing brand awareness, and gaining a competitive edge. The report also explains Archie Carroll's Pyramid of CSR, emphasizing the importance of economic, legal, ethical, and philanthropic responsibilities for Ryanair.

Business Environment

INTRODUCTION
Business environment refers to All events and influences and factors that affect business
organisation and practices are collectively known as business environment. Innovation refers to
Idea and creation of a product that is perceived as completely new. This report aims at discussing
different types of innovation and Technology and the impact on progress of country. In addition
to this portable discuss about importance of corporate social responsibility for an organisation.
This report willcontextualize Ryanair Plc Irish low cost airline founded in 1984 and is
headquartered at Dublin airport Ireland. Ryanair Plc was biggest European budget airline in 2016
on the basis of scheduled passenger flown and international passengers of airline were highest
than any other airline. Report will include description of innovation in technology and their
impact on operation sales and profits of Ryanair Plc.
MAIN BODY
Task 1
1. Different types of innovation and technology and how they have impacted the economic
progress of the country
Define innovation and technology
Innovation can be defined as any product, service or process that is perceived as new and also
differentiate from existing products and services and processes (Varadarajan, 2018). This is
mainly done in order to enhance existing value of product, service or processes.
Technology can be defined as collection of knowledge, skills and processes that are used in
accomplishments of objectives. Technology mainly involves scientific knowledge and is related
to machinery and equipments (Ellis and et.al., 2020).

Practical examples of how innovation and technology have contributed to the economic
growth of the country
Innovation and technology have made significant contribution in economic growth.
Economic growth of a country is mainly dependent on two factors that are increasing number of
inputs that are required to accomplish a productive process and another factor that lead to growth
of economy is converting inputs into output. However compared to countries who can provide
inputs for completing production process are less economically developed compared to those
who are able to convert input into output. In order to convert input into output it is important that
countries have adequate and required Technologies. Effectiveness of Technology is considered
when countries are able to produce optimum output from the given input by ensuring its quality
as well as low cost. Countries when are able to manufacture optimum output from Limited and
required input also become able to provide this product to other countries. This export of
products and services contribute in economic growth of countries. UK is fifth largest national
economy on the basis of nominal Gross Domestic Product and ninth largest on the basis of
purchasing power parity (Maradana and et.al., 2017). UK along with this is also fifth largest
exporter in world. It was because of innovation that UK became first country to industrialize in
18th century and in 19th century it had dominant role in global economy. In the products that are
exported by UK machinery and transport equipment are top products. In order to export
machinery and transport equipment it is important that UK adopt best practices of manufacturing
these products which provide high quality to importers. This is only possible when country
undertakes Innovation and develops and improves its Technology through innovation. UK is one
of the best example in which innovation has significant contribution in economic growth of the
country.
How business organizations use new technologies in their operations
Innovation and Technology has become centre of growth and success of an organisation.
This is why it has become very important that organisation keep innovating and improving its
existing practices in order to survive and grow.Operations of a business include those practices
through which they provide good and services to their customers. In order to use new
technologies in operation organisations firstly required to you either developed or purchase new
technologies from other organisations (Moşteanu, Faccia and Cavaliere, 2020). This require
organisations to identify operational problem and on the basis of investigating how Technology

can solve there problem. This is followed by implementation of new technology within
organisation and implementing Technology throw systemized program within organisation bi
training to those who will be working on new technology.
2. How innovation and technology have impacted the operations, sales and the profits of Ryanair
Plc
Overview of Ryanair Plc
Ryanair Plc is an low cost airline of Ireland. Company was founded in 1984 and is
headquartered Swords, Dublin. Key operations of airline are undertaken at Dublin and London
Stansted. From the time of its Foundation company has been characterized by its Rapid its
function and also became cause for deregulations of aviation industry in Europe. In addition to
this Ryanair Plc is also a successful business model in low cost airline (Gonçalves, 2018).
Because of its low-cost company has been very successful and presently route network of
Ryanair Plc serves 40 countries in Europe, Middle and East North Africa and serve at 225
destinations. In order to complete its operational activities Ryanair Plc has employed 17500
employees. Other than this, Ryanair UK, Malta Air and Buzz are also known as sister airlines of
Ryanair Plc.
New technologies and how they are being used by Ryanair Plc
Ryanair is heavily investing in tracking Technologies which help airline in tracking
information about location of its aircrafts. This is aimed at avoiding reputation of an incident like
MH370 and making it impossible. In addition to this staff and Pilots will be able to replay its
flights immediately after they have landed. For this two technologies are-
Real time tracking
This new technology that is to be implemented in Ryanair fleet by integrating it with satellite
tracking (Leite, 2018). This system will be primarily based on Flight Aware’s software. This
would be tied into ADS-B data. This technology will allow Ryanair to track exact locations of
the aircraft and because of this airline will be able to effective coordinate and connect with its
different aircrafts in real-time. This will help airline to avoid any incident that can happen
because of not having right location of the aircrafts and will be able to coordinate with them.

Real-time playback
This is another technology that will be implemented in Ryanair Plc. For this carrier announced a
new application through which company will enable its flight crew to instantly replay any
portion of flight in form of animation (How Ryanair Is Becoming A Leader In New Technology,
2019). This technology will enable pilots to select a portion of their previous flights and replay
them in form of animation once they have completed post-flight briefing.
Sales and profits of the company before and, after the new technologies were introduced
Because these new technologies have been implemented in 2019 and this why any
information about sales and profit of the company is not available after the new technologies
were introduced. In addition to this, changes and new technology is also a part of operations of
the company because of which it is difficult to identify impact of these technologies on sales and
profit of the company.
Comment
It has become very important for organisations to understand importance of technology
and implement them within organisation. Ryanair Plc as a low-cost airline it has become very
important that company adopts right technology through which it can ensure best output and
productivity at low cost. This is very important because Ryanair Plc might face difficulty in
success if its cost is high.
Task 2
1. Importance of Corporate Social Responsibility for Ryanair Plc
Definition of corporate governance and corporate social responsibility
Corporate governance can be defined as system by which companies are directed and
controlled (Adnan, Hay and van Staden, 2018). In other words corporate governance can be
defined as Framework by which various stakeholders’ interest are balanced.
Corporate social responsibility is defined by Philip Kotler and Nancy Lee is a
commitment of the organisations to improve community building through voluntary and non-
compulsory practices of business and contributions of corporate resources for the well being of

society. This means that responsibility of Corporate that extend to their customers and
stakeholders and include community as consideration in their practices is corporate social
responsibility.
History of corporate governance in UK
Corporate governance in UK is not much older and systematic existence of corporate
governance and its code took place in 1990 with Cadbury report on financial aspect of corporate
governance. This report attached some of the practices that can be considered as best practices
for corporate. Aim of this report was limited to companies that are in the listed and look at
standard and ethics for corporate behaviour. These were known as Cadbury code and it was
gradually adopted by organisations as good practices of board room. After this in 1995 and other
report was created and included principles about remuneration of Executive directors. This report
was response to some of the scandals that happened that time and included Yes Chief Cedric
Brown in which 75% rice in remuneration affected both Union as well as small shareholders of
company. Followed by this in 1998 Hampel report brought principles of Cadbury code and
principles of remuneration of Executive directors as per Greenbury report and created first
combined code (Veldman and Willmott, 2016). After this Turnbull report was created and this
emphasis internal control of organisation and risk management within organisation. After this in
2002 direct hits who was an investment banker was given a brief of corporate governance in
order to build on previous reports to produce a comprehensive code. After short time
consequences of Enron and Worldcom scandal realised and this led to new complexities. In 2003
report came out and some of the leading companies did not considered it well because they claim
that report placed an unrealistic burden on non-executive and marginalized the role of the
chairman. This report was improved and code of corporate governance were updated in 2003
with small amendments. And new version of the codes of corporate governance applied financial
year beginning on and after November 1 2006.
Importance of CSR for Ryanair Plc
 CSR has become very important for organisations because social responsibility and
ethical practices are vital for success of Ryanair Plc. This is because customer as well as
internal and external stakeholders expects companies to corporate responsibly and

ethically. In addition to this majority of customer is focuses on buying responsible
products whenever possible.
 In present Times consumer have become increasingly aware of importance of social
responsibility and Ryanair Plc because of this requires to practice ethically and
responsibility so that it can attract customers.
 For Ryanair Plc CSR is important as it demonstrates that Ryanair Plc take interest in vital
social issues rather than focusing solely on Profit increasing and profit margins.
 CSR is important for Ryanair Plc this improve public image of the airline. This is because
CSR practices of organization are perceived positively by customers and public.
 WhenRyanair Plc undertakes CSR practices it increases brand awareness and recognition
of airline because such news will spread and more people will know about airline
(Huang, Cheng and Chen, 2017). This will create brand awareness and will provide
benefits of increased brand awareness of organisation.
 Practicing CSR also provide advantageto Ryanair Plc over competitors in which by and
raising responsible and ethical practices help in standing out from competitors.
2. Explanations of Archie Carroll’s Pyramid of CSR
Understanding of the four areas of CSR as identified by Archie Carroll

Figure 1 Archie Carroll's pyramid of CSR
This model of Corporate Social Responsibility that includes a pyramid outlines responsibility of
Organisation in their corporate social responsibility. These responsibilities are-
Economic Responsibility
This is first and most important Responsibility in CSR for Ryanair Plc. This responsibility
required organization to be profitable which is considered as foundation for all other
responsibilities in CSR. This responsibility of organization is also important for survival and
growth of the organization. Being profitable is important in which company becomes able to pay
adequate compensation to its employees and also provide tax contribution to government. In
addition to this economic responsibility of Ryanair Plc also enables organization to pay adequate
returns on investment of investors and provide benefit to shareholders in form of high dividend.
In order to follow philanthropic responsibility economic responsibility becomes very important
(Carroll, 2016). This is because Ryanair Plc will only be able to fulfil philanthropic
responsibility when it has sound financial and economic position. In addition to this in order to
pay fair and adequate amount of compensation economic condition is very important.
Legal Responsibilities

This responsibility is concerned with responsibility of organization to obey all regulations and
legislations. Laws refer to codification of society about right and wrong conduct and are imposed
by government and legal authorities. Organisations however do not have any toys for weather to
adopt and over these rules or not however there are some ways in which they can do so. This
responsibility includes conforming to rules that governs Ryanair Plc and its activities. This
requires an organisation to obey rules like employment regulation. In this Ryanair Plc has
responsibility to treat its employees and provide them right on the basis of employment
regulations. Along with this there are several other regulations that organization requires to
follow that include health and safety regulations equality law and competition laws. This
responsibility ensures that organisation does not become subject to any kind of legal regulations.
Ryanair Plc has responsibility to obey those rules and regulations that are mainly imposed on
airline industry and its organizations. This includes passenger safety regulations and other
aviation laws.
Ethical Responsibilities
Ethical responsibility refers to ethical conduct of the organization (Carroll, 2016). Ethical
conduct means that Ryanair Plc on the basis of right and wrong choose to select right even when
it is not in much favor of organization and its benefits. Ethical responsibility of business in CSR
goes beyond requirements of following rules and regulation. This includes fair equal treatment
of suppliers and also providing suitable working conditions to employees and ensuring well
being of employees. This responsibility is obligation to do what is right just and fair. In order to
understand ethical responsibility an example is that when Ryanair Plc request to select between
doing what is right and just and on the other hand something that is beneficial for organization
and its profitability. Ethical responsibility will required to select a practice that is right and just
rather than profitable.
Philanthropic Responsibilities
Philanthropic responsibility of Ryanair Plc is about being a good corporate citizen and
contributing its resources to community and to improve quality of life. This responsibility
requires Ryanair Plc to give back to society however this responsibility is discretionary but still
is important for organizations (Understanding & Applying Carroll’s CSR Pyramid, 2020). There
are several ways in which Ryanair Plc can fulfil their philanthropic responsibility and some of

the key aspects of this include Charity and donation and performing activities that are aimed to
help so society and contribute in enhancing and improving lifestyle and standard of living for
community.
CONCLUSION
On the basis of above discussion, it can be concluded that it is very important for
economic growth and development of country to have innovation and technology. UK and its
economic growth is best example of this. Along with economic growth of country innovation
and technology is also important for success and growth of organisation. As report later
discussed about corporate social responsibility, it is important that organisations consider
corporate social responsibility as an important responsibility of organisation towards their
community and responsibilities of organisation for its community and other parties have been
discussed in the CSR model of Archie Carroll.

REFERENCES
Books and Journals
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governance on corporate social responsibility disclosure: A cross country
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Carroll, A.B., 2016. Carroll’s pyramid of CSR: taking another look. International journal of
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Ellis, J and et.al., 2020. Toward a Productive Definition of Technology in Science and STEM
Education. Contemporary Issues in Technology and Teacher Education (CITE
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Gonçalves, M., 2018. Ryanair holdings PLC (Doctoral dissertation).
Huang, M.H., Cheng, Z.H. and Chen, I.C., 2017. The importance of CSR in forming customer–
company identification and long-term loyalty. Journal of Services Marketing.
Leite, D.L.M., 2018. Ryanair Holdings PLC: equity valuation research (Doctoral dissertation).
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Moşteanu, N.R., Faccia, A. and Cavaliere, L.P.L., 2020, August. Digitalization and green
economy-changes of business perspectives. In Proceedings of the 2020 4th
International Conference on Cloud and Big Data Computing (pp. 108-112).
Varadarajan, R., 2018. Innovation, innovation strategy, and strategic innovation. In Innovation
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Veldman, J. and Willmott, H., 2016. The cultural grammar of governance: The UK Code of
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Online
How Ryanair Is Becoming A Leader In New Technology. 2019. [Online]. Available Through:
<https://simpleflying.com/ryanair-technology-leader/#:~:text=While%20Ryanair
%20is%20known%20for,make%20flying%20safer%20than
%20ever.&text=Additionally%2C%20pilots%20and%20training
%20staff,immediately%20after%20it%20has%20landed.>.
Understanding & Applying Carroll’s CSR Pyramid. 2020. [Online]. Available Through:
<https://blog.submittable.com/carrolls-pyramid-of-corporate-social-responsibility/>.