How did the specific HR programs (recruit, select, train, performance management, etc.) fit with, and support the Southwest corporate strategy at the time of the case?
Southwest had an edge over its competitors because of its people and their people management. The culture practiced at Southwest ensured progress towards their primary goal of customer service and low cost. The HR programs at Southwest were based on the preserving the values and special culture of Southwest Airlines (SWA).
Recruitment: Very Selective
• Southwest looks for candidates with creative minds to fit in their corporate strategy of customer service
• It emphasizes on peer recruitment to conduct easier background checks and offers free-space pass to employees who recommend candidates to fill in critical positions
• It involves customer while interviewing flight attendants to further screen and check for their compatibility with the company’s spirit
• SWA’s manager calls the rejected candidates and provides counselling to help them keep up their self-esteem
Selection: Very thoughtful
• Selection process consists of application forms, phone screening, group and three additional interviews, a consensus assessment and a vote
• The key components of selection are effective performance and behavior
• 35 existing top pilots were interviewed to identify common characteristics (for example team player), in order to select new pilots based on those characteristics
• The most important quality that the company looks for, is the right attitude in candidates to fit their culture unlike expertise or skills
Compensation and benefits: Comparatively Modest
• The pilots and flight attendants are paid by the trip as the leadership believes that the airpl...
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...ld’s largest low-cost carrier now, by deploying the above strategies
Works Cited
[1] "Southwest Airlines' Seven Secrets for Success." Wired.com. Conde Nast Digital, n.d. Web. 4 Mar. 2014.
http://www.wired.com/cars/futuretransport/news/2008/07/portfolio_0708
[2] "Southwest Airlines Reports Record Fourth Quarter And Full Year Profit; 41st Consecutive Year Of Profitability." - Jan 23, 2014. N.p., n.d. Web. 4 Mar. 2014. http://southwest.investorroom.com/2014-01-23-Southwest-Airlines-Reports-Record-Fourth-Quarter-And-Full-Year-Profit-41st-Consecutive-Year-Of-Profitability
[3] "Workperks." Southwest Airlines Careers. N.p., n.d. Web. 4 Mar. 2014.
http://www.southwest.com/html/about-southwest/careers/workperks.html
[4] "Southwest Airlines." Wikipedia. Wikimedia Foundation, 3 Apr. 2014. Web. 3 Mar. 2014.
http://en.wikipedia.org/wiki/Southwest_Airlines
Southwest airlines is one of the most widely respected companies among those profiled by Firms of Endearment. They are recognized for having one of the best corporate cultures, which is emphatically encouraged from the top down. Southwest’s model clearly exemplifies the concept of servant leadership, and we will elaborate on how this creates a firm of endearment.
Southwest Airlines is an Equal Opportunity Employer, therefore, has diversity in their employees from all over the world. They have employees from different cultures and experiences. Southwest Airlines invites military personell, active and retired veterans to apply. They also offer positions to qualified disabled individuals and disabled veterans. According to Forbes, “The icing on the cake is an elaborate recognition program for all employees who are recognized by customers. They are lauded in newsletter features, on the intranet, by the CEO in videos that are played at staff meetings, and dinners honoring them. Voluntary turnover is only two percent, and many of Southwest’s original employees are still there. The company receives 43,000 commendations a year, from both inside and outside the company.”
It is evident that the greatest strength that Southwest Airlines has is its financial stability. As known in the US airline industry, Southwest is one of those airlines who are consistently earning profits despite the problems the industry is facing. With such stability, the corporation is able to make decisions and adjust policies, which other heavily burdened airlines may not be able to imitate.
Since 1987, when the Department of Transportation began tracking Customer Satisfaction statistics, Southwest has consistently led the entire airline industry with the lowest ratio of complaints per passengers boarded. Many airlines have tried to copy Southwest’s business model, and the Culture of Southwest is admired and emulated by corporations and organizations in all walks of life. Always the innovator, Southwest pioneered Senior Fares, a same-day air freight delivery service, and Ticketless Travel. Southwest led the way with the first airline web page—southwest.com, DING, the first-ever direct link to Customer’s computer desktops that delivers live updates on the hottest deals, and the first airline corporate blog, Nuts About Southwest. Our Share the Spirit community programs make Southwest the hometown airline of every city we serve.
The culture of an organization can simply be defined by its core values, traditions, and beliefs. For over 45 years Southwest Airlines has been successful. Its success has been attributed to a value system that tasks managers with the responsibility
The promotion of employees from within is a fact and testament of their successful development and training program. Southwest Airlines has a program designed to strategically developed managers in an intensive Manager-in-Training program that prepares them for the next level. The university is the umbrella for training and development for Southwest since 9/11 which has focused on enhancing its curriculum to help employees achieve their goals. Southwest Airlines provides a Career Development Group that helps employees focus on personal and career growth. This is accomplished by working on a component that will align the employee’s personal development needs and strengths so they can grow more. It also encompasses a skills assessment that’s structured toward helping employees align their degree to a specific job within the company. As stated before, Southwest’s purpose is designed to encourage employee fulfillment and by their Career Development services help them become more fulfilled in their jobs. According to their philosophy, Southwest Airlines hires for attitude and trains for skills. This is why they have become a company with high retention rates. Southwest Airlines is voted “the best place to work” for a simple reason. The company invests in their employees and are committed to their values and
Southwest Airlines is one of the most successful airlines in the United States. There has never been layoffs or strikes in the history of the company, although there were several times when layoffs could have been justified, including the months following the September 11, 2001 terrorist attacks. However, Southwest's Mission statement says “Above all, Employees will be provided the same concern, respect, and caring attitude within the organization that they are expected to share externally with every Southwest Customer.” (Southwest, 1988). The Airline has always believed that their corporate culture is one of the keys to their success. The culture recognizes that employees have emotional intelligence and that their attitudes and morale are key to the teamwork and creative environment.
The short haul traveler is the backbone in which Southwest was built upon. The market for short distance airline flights was large enough to allow Southwest to maintain a profit for over 30 consecutive years. Shorter flight times allowed for more flights to take place per day. With the industry average sitting at one or two flights per day, Southwest set itself leaps apart by averaging 10 to 12. Maximizing utilization and minimizing ground time were the key elements to Southwest's profitability.
This particular case is centered around the Human Resources strategy that was implemented by Johnson & Johnson in 1997. This strategy includes many key aspects of corporate culture, leadership and global strategy integrated into one single global human resources program. This program allowed Johnson & Johnson to diversify their current employees, raise the standards for future employees, redefine the standards of leadership within J&J and improve global management overall.
Although many companies are in business to make a profit, Southwest claims that their primary goal is not profit maximization. However, they have been consistently profitable by making air travel affordable to those who previously could not afford it (Freiberg, 1996).Southwest says the customer comes second, showing their devotion to employees. By taking care of their employees, the company encourages employees to take care of the customers. Employees are...
Southwest has comprehensive strategy and they work with harmony. They are low cost airlines which make the customer feel like royalty. Southwest have a winning strategy is proven by their profit year after year even thought they had economy crisis. Since 1973 Southwest reported a profit each year even when they lost billions of dollars from the year 1980 to 2009 because of the low operating cost strategy, low fares and customer service. Since the start of Southwest they have stay faithful of keeping low cost across the industry. Their value in corporate culture reflected through their prices and customer service.
I. Introduction Southwest Airlines has come from an underdog to being one of the best airlines in the industry. This reputation translates from its strategic management of resources. The Co-founder and former CEO, Herb Kelleher, established a unique corporate culture that leads to high customer satisfaction, employees’ morale, and is one of the most profitable airlines in the industry (Jackson et al., 2012). Corporate culture concentrates on empowering the workforce. It shows through Southwest Airlines core values that “happy employees lead to happy customers, which create happy shareholders” (Jackson et al., 2012).
Flying thousands of feet up in the sky is a dream of many young children, but very few actually end up as a pilot when they grow up. Commercial airline pilots will always be needed, but many people do not even think about choosing this as a career. Pilots have extremely important jobs. They must fly people place to place with no problems while at the controls of thousands of pounds of metal and flammable fuel, not to mention the many passengers. A pilot’s job is very risky, but it is also very rewarding.
It all started in 1971, when Rolling King and Herb Kelleher decided to challenge the existing rut of charging high prices for air travels. They considered the railways and roadways their competitors and decided to offer cheaper travel for smaller routes. The company was incorporated in 1967, apart from initial entry troubles, Southwest has been the only US airline to have earned profits since 1973. The eccentric company’s outlandish way of conducting themselves has been the sole reason for Southwest Airlines to succeed in a highly competitive and packed industry.
...n process is very important for an organization to hire new members, as employees need to select the right person to do the right job. Therefore, employees need to read through applicant’s document and qualifications, hence organize an interview to be more close with the applicant, to know more about the applicants, see if they are suitable for the job position. Selection process can help the employees not to make wrong decisions, this is a good opportunities to assess skills, aptitude and abilities. (John, 2007)