JetBlue Airways, Starting from Scratch
Date of Case: October 9, 2001
The major issue of this case is how will JetBlue address hiring and recruiting employees and acquire the skill sets necessary to support its anticipated growth.
This case demonstrates a good value of the compensation function of the human resource management functions. What JetBlue focuses on is the different length of time periods each individual job they offer will be. For the flight attendants, they understand that it is not a career for people, just a job for that time. Offering three different kinds of pay helps JetBlue as a company because it gives them options of people to hire. Another good value of Jet Blue’s compensation aspect is that they paid their jobs more than their competitors. This gives them an advantage for finding employees because not only do they offer better pay they also ...view middle of the document...
The importance of focusing in on the customers is exemplified by JetBlue’s strategy of going paperless. Jet Blue got ahead of its competitors by reaching for a new innovative way for citizens to fly easier and cheaper. By providing a paperless travel for flyers, Jet Blue saved money by not having to pay for employees dealing with all the paperwork. By saving money they were able to focus in on providing the best service for the customers. This began with buying a bigger airplane. This provided the flyers more room for comfort. Jet Blue also looked at a way of how it could make the process of flying from across New York without costing so much. This was a big step for Jet Blue; it gave them the advantage over their competitors towards the customers. What Jet Blue also did was give more options for flying, not having to make it mandatory for you to stay overnight on a Saturday. This helped them get customers more frequently, which helped escalate their company ahead of the industry.
To ultimately solve their problem, I believe JetBlue would do well if they looked at the labor market they had. Meaning, if they need to hire that many people and interview so many more they need to focus on which jobs can be done if they hire someone who doesn’t match all the values. If a person is missing a key value, yet they can still help Jet Blue fulfill their mission, Jet Blue should hire them and then train that employee. With their company growing rapidly, they need to be able to hire rapidly which will cause them to go through a shorter staffing period.
The aspect that I would use from the case to improve my HRM competencies, is the different styles of compensation. What I liked most about this is that it gives you as a manager more options for employees, different people may be working for different reasons. It also gives you a set of identity for each worker, they are all doing different jobs so each one will get different benefits and pay because of their job. It just keeps an open mind available in the workforce, and it doesn’t prevent anyone from not wanting to work because they won’t think they are being paid unfairly for the work they are doing.