Essays on Sustainability and Ethics Consultancy - Ryanair Ltd Case Study

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The paper 'Sustainability and Ethics Consultancy - Ryanair Ltd " is an outstanding example of a marketing case study. Ryanair Ltd has played a significant role in enhancing sustainability. According to the report by CSRHUB (2014), Ryanair Ltd has scored above average in matters of energy and climate change control, environmental policy and reporting and resource management (Creaton, 2007). With a customer base of about 81 million, the company risks environmental degradation due to the number of flights per day. To address this challenge, and cut down the cost of operation, the company has increased the number of seats in most of its planes.

This demonstrates the maximum utilization of resources (Creaton, 2007). The company has also engaged in corporate social responsibility through a number of practices. It has increased customer satisfaction through quality services, affordable costs and efficiency through automation. The employees have benefitted from training and favorable working conditions. CSRHUB and sustainability (2014) demonstrate that the company scored 54 in community development and philanthropy. The company applies the Carrol’ s CSR pyramid to enhance its goal sustainability strategies. Background information Sustainable development in the tourism sector has become a major social phenomenon that has attracted a lot of interest.

Sustainable development, according to the United Nations Environmental Program (UNEP), should be focused not just on economic development, but the eradication of poverty and preventing environmental degradation. While it is imperative for companies to foster economic development, this should not be achieved at the expense of the environment and social welfare. Global warming has become a major problem that is threatening sustainable economic development in many countries. With increased emission of carbon dioxide, temperatures have increased affecting the agricultural sector and leading to unpredictable weather conditions.

The tourism sector, especially the aviation industry has a role to play in enhancing sustainable development. This can be achieved through the presence policies, rules and regulations that show how a given company aims at addressing the challenge of environmental degradation. Currently, the aviation industry seeks to overcome air pollution through technology. This has seen many companies such as Airbus and Boeing develop planes that consume fuel efficiently. Ryanair is one of the airlines that have been struggling to maintain sustainable growth and development.

According to a report by the Business and Leadership (2010), Ryanair was ranked in the bottom 10 in the list of the most ethical companies. The list of the 581 companies had been prepared by the Geneva-based Covalence. The results were based on 45 criteria, which included waste management, human rights policy, corporate social responsibility and leadership. Another report by the CRSHUB (the global largest CSR and sustainable rating institution) indicated that the Ryanair was performing averagely on many aspects of sustainability.

For instance, the company scored 54 on energy and climate change control, 61 on environment policy & reporting and 57 on resource management (CRSHUB, 2014). In governance, the company scored 55 on leadership ethics and 52 on transparency and reporting. The company has been under criticism for mistreatment of employees. In 2014, the company’ s office in Marseille was put under police investigation, for allegedly failing to adhere to the employment laws. Initially, the company did not allow its employees to form or join unions, as this was perceived to be a threat by the management.

In terms of employee relations, the company scores averagely. It has been criticised for discriminating against the physically challenged passengers.

References

Creaton, S. (2007). Ryanair: The full story of the controversial low-cost airline. London: Aurum. ISBN 1-84513-293-9.

Creaton, S. (2004). Ryanair: How a Small Irish Airline Conquered Europe. London: Aurum Press. ISBN 1-85410-992-8.

Calder, S. (2002). No Frills: The Truth Behind the Low Cost Revolution in the Skies. London: Virgin Books. ISBN 1-85227-932-X.

Hockerts, K, Casanova, L, Gradillas, M, Sloan, P, & Jensen, E. (2008) ‘An Overview of CSR Practices Response Benchmarking Report’, INSEAD Working Papers Collection, 67, pp. 1-50

Smith, O. (2009). "Ryanair to improve clarity over 'hidden charges'". The Daily Telegraph London.

Boscamp, E. (2013). "The World's Busiest Airlines". Huffington Post

Business and leadership Ryanair ranks near bottom of ethical companies listhttp://www.businessandleadership.com/sustainability/item/19553-ryanair-ranks-near-bottom-o

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