Investing in Each Other: Southwest's People-Management Strategy
Southwest Airlines' overall people-management strategy is focused primarily on achieving good customer relations (Gallo, 2013). The basis of good customer relations, however, is good employee relations. When employees feel valued by employers, that value is passed on from employees to customers, so goes the theory according to Southwest founder Herb Kelleher (Gallo, 2013). It is, in effect, a top-down strategy of appreciation and "spirit of mission." The spirit of mission at Southwest Airlines is defined as a "warrior spirit" -- a cumulative effort by the entire workforce designed to facilitate a family-like atmosphere all the way around, from management to subordinates to customers: all are treated like members of one big family -- such is the basic environment in which the airline's people-management strategy is situated (Gallo, 2013). However, as researchers reveal, there is even more to the Southwest story. At the heart of the company is a "secret sauce" that allows it to thrive (Gittel, 2003). This paper will discuss the people-management strategy that Southwest uses to make that "sauce" or "spirit" or whatever one chooses to call it.
Southwest's approach to employee rewards and motivation is generous to say the least. The company offers terrific benefits, such as 401(k) savings plan, a profit-sharing plan, medical insurance, prescription, vision and dental insurance, pre-tax commuter benefits,...
Southwest AirlinesTable of ContentsAbstract 1Introduction 1Organizational Setting 2Integration of Chapter Concepts to the Organizational Setting 3Controlling Service Quality 3Biblical Justification 3Customer Value 3Biblical Justification 4Lean Management 4Biblical Justification 4Supplier Management 5Biblical Justification 5Customer Relationship Management (CRM) 5Biblical Justification 6Balanced Scorecard 6Biblical Justification 6Strategy Map 6Biblical Justification 7Process Control 7Biblical Justification 7Conclusion 7References 8Appendices 9Strategic Analysis Data 9Environmental Scan 9SWOT Analysis 9Strategic Issues 9Operating Plan 9Communication of Plan 10AbstractThis paper provides
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Southwest Airlines Case Analysis Southwest Airlines is a company that has grown from a small regional carrier in Texas and surrounding states to the largest U.S.-based airline. The primary strategy of the company is to be the low-cost, no frills option for people wanting to travel within the United States. Recently, Southwest acquired another carrier so they will soon begin international flights to the Caribbean and Mexico. This paper discusses the
Southwest Airlines has been a model of success for the past forty years. It is a success based on company values, on low prices, on business innovation, and on the quality of the service, among other elements. The company built on these values and used an adequate promotional campaign and strategy to build brand loyalty. Today, many of the company's clients use its services because of what is known as
Business Southwest Airlines (SWA) has been a strong growth company for the last 40 years mainly due to its focal point on cutting costs. Southwest Airlines (SWA) follows the Cost Leadership Strategy in terms of Porter's four generic strategies and is the epitome of Blue Ocean Strategy in its simultaneous pursuit of differentiation and low cost (Kim & Mauborgne, 2009. That SWA is cost-focused is evident from Liang et al.'s (2009) analysis
Southwest Airlines originally began operation in 1967, but as Air Southwest Co. In 1971 its name was changed to Southwest Air Co. The purpose behind its foundation was to provide passengers with a cheap means of air travel within Texas. Today they have a fleet of 550 Boeing 737s and 37000 employees. Although it's a relatively small, domestic airline, taking passengers to 73 American cities, but it provides remarkable customer
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