Jetblue Operations Management Report

Strategic Quality and Systems Management Report

Operations Management

Operations management is now the most essential part in maintaining organizational systems. Actually operations management means all the necessary activities of an organization like finance, human resource management, research, marketing etc (Elnathan, 1995). Whether it is planning, leading, organizing or controlling, they all are part of an organization’s operations management. Because of the speedy change of the business environment, internal and external factors like market position, market value, possibility etc. (Stanton, 2001). it is necessary to have a dynamic system of conducting organizational management to compensate or to make changes in the organization in response

JetBlue’s operations strategy is evident from its choice of location from which they operate since location setup is one of the most important strategic decisions in operations management. They placed their main operations headquarter in the New York City, a city with the population of almost 19 million people (jetBlue, 2013). This fact alone helps them to fly their airlines in their full capacity almost all the time which ensures their business profitability. Their choice of locations fulfills the first and foremost part of the operations management, demand and competition location. It is easily understandable that it is a good practice to choose location of an organization where the product or service they are giving will have demand and will have enough population to maintain the level of demand. For example, if an airline company establishes its base in a place where population is low and economic activities are slow and almost non-existent. It will face two-fold problems in achieving its business objective. One is that there will not be enough passengers at any given time to fly their airlines in full capacity, and another one is that poor economic activities will render most of that meager population unable to bear the minimum

The material management process can help jetBlue Airlines to provide the same services as before but at a lower cost level. As their objective is to hold on to their previous service quality but introduce new elements which will enable them to provide services to the middle income population, they have to employ new sets of strategic decisions to achieve the desired goal. The method jetBlue must use is to find a way to reduce the maintenance cost they bear for the airplane’s maintenance, crew training and salary, fuel consumption by the aircrafts. The objectives jetBlue Airlines give in their 2013 annual reports to make the implementation of cost control, improving revenue and reducing their debt and thus lowering their financial risks. So the cost control objective can be easily achieved by careful implementation of material management process of the organization. And to achieve the cost control objective they must have a new quality and systems management which will retain their service quality and in return will make a significant increment in their profitability (Micheal, 2001). So the strategic plans regarding the cost control objective will be to find ways where jetBlue can decrease the amount of money invested in their maintenance and operational activities without having any