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Old 16th Jun 2007, 10:10
  #308 (permalink)  
xxx5572
 
Join Date: Mar 2006
Location: uk
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Im not sure if many of you understand the set up of swissport.

One half of the company is dedicated to Ryanair because of the large operation and operates seperately. And on the other side there is the easyjet contract which is the biggest yet to fill in for the down time and in turn increase efficiency they handle other carriers such as tcx,4u, dy and so on. Whils the management is a central structure the loss of the easyjet contract would not mean the end of swissport as a whole all it would mean is the other side of the operation would have lots more spare time which is why they COULD tender for other contracts to fill this time back up.

Lets not forget that as much revenue as a contract can bring in, businesses want to see a return on investment and mainly a profit, businesses aims are always profit maximisation. Therefore if the easyjet contract in bringing back minimal return on large capital investment in both machines and labour, an attempt could be to streamline a business to make it more profitable by reducing the workforce (bearing in mind this alone counts for 70% of costs) and allowing swissport (charter) to become a smaller workforce than before and working on more profitable contracts.
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