This turned out to be a poor decision, as the weather conditions prevented the flights from taking off and passengers were stranded for as long as 10 hours. Other than that, both airlines needed more processing power to deal with a far greater volume of customers. These problems impact both of the airlines operational activities and decision making to change their initial carrier which had started out as a system designed for smaller start-up airlines to a better carrier. Today, the company has 7, employees and operates flights per day. In order to get a consistent number for all of the risks, multiply the probability which should be per interval of duration by the impact and finally multiply that by the duration. Last but not least, they need to have experience with technology to deal with the risk.
The loss of a key team member may have a low probability; however, the impact to the project can be great. If the project is working with a new technology, is using a new development methodology, or even if there are new, relatively unknown team members, these need to be listed as potential risks to the project. How did WestJet allow this to happen? As the carries grew, they needed more processing power to deal with increasing numbers of customers. It also serves as yet another reminder of how successfully planning for and implementing new technology is just as valuable as the technology itself. This experience, coupled with the observation of WestJet’s struggles when implementing its new system, motivated JetBlue’s cautious approach to its own IT implementation. The step is to inventory the situation.
Completion bonuses are a routine way that organizations which are closing down operations mitigate the risk that the people participating will cwse before the project is ready to let them go.
For instance, if the greatest risk is personnel turnover as it usually is then, the probability may have to be evaluated more objectively. How did WestJet allow this to happen?
These problems impact both of the airlines operational activities and decision making to change their initial carrier which had started out as a system designed for smaller start-up airlines to a better carrier.
Angry flyers expressed outrage on Facebook and flooded WestJet’s site, causing the repeated crashes. It also serves as yet another reminder of how successfully planning for and implementing new technology is just as valuable as the technology itself.
This experience, coupled with the observation of WestJet’s struggles when implementing its new system, motivated JetBlue’s cautious approach to its own IT implementation.
JetBlue and WestJet: a tale of two IS projects
JetBlue experienced a few glitches—call wait times increased, and not all airport kiosks and ticket printers came online right away. The goal is to collect all the risks. Headquartered in Calgary, Canada, WestJet was founded by a group of airline industry veterans inincluding Neeleman, who left to start JetBlue shortly thereafter. The company is headquartered in Queens, New York.
The time had come for both JetBlue and WestJet to upgrade their reservation systems.
Hundreds of thousands of bookings for future flights that were made before the charge over were inaccessible during the file transfer from Calgary to Oklahoma. The company also hired temporary call center workers to manage potential spikes in customer service calls. This turn out to be a poor decision, as the weather conditions prevented the flights from taking off and passengers were stranded for as long as 10 hours.
Earlier in this decade, WestJet underwent rapid expansion spurred by its early success and began adding more Canadian destinations and then U.
d’ace: CHAPTER JETBLUE AND WESTJET: A TALE OF TWO INFORMATION SYSTEM PROJECTS
JetBlue continued to grow at a rapid pace, remaining profitable throughout, untilwhen the company lost money in a quarter for the first time since going public.
Last but not least, they need to have experience with technology to deal with the risk.
Most of all, however, it should include the things that are new in the project. In addition to the increase in customer complaint calls, customers also took to the Internet to express their displeasure. On the other hand, JetBlue make its switch on Friday night because Saturday traffic stuey to be low. Next, inventory can also help control risk.
Although precision in the estimating process is useful it’s not essential. The critical issue was the ztudy of WestJet’sfiles containing data on transactions for past WestJet customers who had already purchased flights, from WestJet’s old reservation system servers in Calgary to Sabre servers in Oklahoma.
Since WestJet had not anticipated the transfer time required to move the files, they had failed to reduce its passenger loads on tzle operating immediately after the charge over.
In general, the fastest way to reduce the overall risk quotient for a project is to tackle the controllable risks ietblue in the project.
Undaunted, the airline quickly returned to profitability in the next year after implementing its “Return to Profitability” plan, and consistently ranks at the top of customer satisfaction surveys and rankings for U. Its goal is to provide low-cost travel along with unique amenities like TV in every seat, and its development of state-of-the-art IT throughout the business was a critical factor in achieving that goal.
Each risk should be evaluated based both on its probability and on the impact that it would cause if it happens. But compared to what WestJet endured, the company was extremely well prepared to handle these problems.
However, JetBlue had also experienced its own customer service debacles in the past. But JetBlue had also projcts similar customer service debacles in the past. The migration required WestJet agents to go through complex steps to process the data. But when these companies need to make sweeping IT upgrades, their relationships with customers and their brands can be tarnished if things go awry. This is also a part of the process that typically helps validate the estimates made above.
Upgrading a reservation system carries special risks. The step is to inventory the situation.