Delivering A New Low-Cost IT Development Model
Background
easyJet is Europe's leading low-cost airline, currently operating 166 aircraft on 400 routes between 107 airports in 28 countries; in 2008 it carried over 44 million passengers.
Delivering low-cost, efficient services is the core of easyJet's business. One of the pillars of its business model is the effective exploitation of IT, which is dependent on innovation and helps to drive down costs and increase revenues. Partnering with third parties in order to extend the core in-house team, tapping into specialist skills and managing risk are also a key part of this rapidly growing airline's strategy.
Sopra Group and easyJet have had a successful partnership over many years in delivering projects such as the rollout of new self-check-in kiosks and the delivery of direct sales via B2B. The two organisations are currently working together to achieve an optimum IT development efficiency to help easyJet maintain its edge in the highly competitive aviation market.
New Low-Cost IT Development Model
From the beginning easyJet embraced the paperless office concept - its management and administration are undertaken entirely on IT systems that can be accessed through secure servers from anywhere in the world - thus enabling real flexibility in the running of the business.
easyJet approached Sopra Group with a proposition for a new low-cost IT development model that would exploit Sopra Group's skills, knowledge and global presence. The model that was subsequently developed is unique in its approach to delivery as onshore and offshore resources are combined to achieve truly integrated teamworking.
A multi-skilled Sopra Group team based at easyJet's Luton headquarters reports directly into the easyJet management structure and is closely integrated with Sopra Group's main development and support team in Noida, India. The Noida team is, in turn, linked directly into easyJet's development environment at Luton airport. By eradicating the barriers that traditionally separate supplier and customer, all team members, regardless of their geographical location, have been able to work very closely together, which has led to greater operational efficiency.
Tim Newing, easyJet's IT Director commented:
"I'm really pleased with the way that the Sopra and easyJet teams have integrated into a seamless whole. A key element of this is having some Sopra staff on site that are treated as part of our team and who can coordinate the activities of the offshore team with what is happening locally. The overall impact is that we get high-quality software delivered in a more timely and reliable manner, and for lower cost, as well as the flexibility we need in a fast-moving and dynamic environment."
Solution
The Sopra Group teams play a primary role, not only in supporting easyJet's IT model, but also in the day-to-day smooth running of the airline by providing it with a service that covers the development and support of its business-critical systems including:
- Development and maintenance of easyJet's main database – easyJet's principal business system which manages customer information and bookings as well as flight references.
- Management of data access via the web – management of the online booking system's interface with the backend of the application is business critical for easyJet as 98% of its bookings are made online.
- Maintenance of the check-in and departure systems – the eReservation system is absolutely essential to the efficient running of the airline because swift passenger turnaround is fundamental to easyJet's operating model. If the system failed then staff would have to revert back to manual processes which are much slower and could lead to flight delays and customer inconvenience.
- Development of the backend of easyJet's B2B Platform - easyJet recently launched a new B2B platform to develop its corporate travel market share; the backend of the platform was developed, and is also currently maintained, by Sopra Group. When a booking is confirmed by an agent using Global Distribution Systems, the data generated is automatically exchanged with the backend of easyJet's systems for processing.
The B2B platform represents an important new revenue stream for easyJet and there are plans to expand it in the future as a growing proportion of its sales are being made via this channel.
Benefits
The new low-cost IT model has enabled easyJet to continue to offer its customers superior service and low air fares against the backdrop of an extremely competitive market by offering the following benefits:
- Improved speed, agility and cost-effectiveness of the software delivery process– through effective integration of the process and all teams involved
- Increased efficiency - by enhancing the check-in and departure process
- Significant system and process enhancements – implementing B2B has created a new and manageable way of gaining corporate and centrally sourced sales
- Effective development and management of business-critical applications – dependable, well-managed and cost-effective business-critical systems are fundamental to the smooth running of easyJet's business.
Future Developments
Sopra Group and easyJet are now looking to extend their current contract to provide additional capacity for the maintenance of easyJet's Business Intelligence projects and internal SharePoint systems.