In this paper I have researched in to Southwest Airline, I have focused to write a three to four (3-4) page paper in which I will, determine how Southwest Airlines’ corporate culture differs from other airlines. I will then analyze three (3) ways that Southwest’s unique culture has benefited the airline and its employees and eventually I will speculate how Southwest Airlines would continue to thrive as a company if its current corporate culture would need to change in the near future.
The specific course learning outcomes associated with this assignment paper are as follows. Examine the private enterprise systems, drivers of change on the system, ethic and social responsibilities of business, and the requirements for success in today’s business environment.
Analyze business plans based on an analysis of domestic and global operating environments, market dynamics, and electronic and internal capabilities.
The paper will close out with a conclusion that restates the main focus of the paper.
Determine how Southwest Airlines’ corporate culture differs from other airlines
Let’s first talk about corporate culture and then will discuss how southwest Airline’s corporate culture differs from other airlines. Corporate Culture is a phenomenon that you cannot see it, smell it, taste it, or hear it, but it is there. It pervades all aspects of organizational life and has a profound impact on organizational success and failure. If managed in the right way, it is a real economic and strategic asset. If managed incorrectly or allowed to deteriorate, it can become a true liability or strategic disadvantage. (Eric & Yvinne, 2011). In other word we can say that culture is the deepest, often unconscious part of a group and is therefore less tangible and less visible. (Edgar H., 2010)
Southwest Airline is a unique company for its corporate culture with great performances and incredible efficiency, quality, reasonable fares, cheerful service, great schedule controlled growth, genuine interest for its customers, organizational competency for building and sustaining relationships for the purpose of shared goals, shard knowledge and mutual respect, high levels of coordination, the extraordinary leadership and more importantly corporate culture of love, friendship laid back family atmosphere, humor, mutual respect and reputation. The Southwest airline is one of the most distinctive company in the region in many ways like intense focus on the quality of its relationships, customer service, and its willingness to forego quick solutions to invest long term commitments in keeping relations among employees, managers and business partners.
It has the high reputation for its high customer satisfaction airline for instance the Southwest airline ticket was cheaper than any other airline. Compare to the Southwest and United, the Southwest’s net income was 4.8 ($B) in 2004 and the United’s was -10.5 ($B) IN 2004. Because the Southwest’s low price of ticket can attract the customer to buy their ticket and they had lowest operating-cost which support and control their low ticket. ("Southwest case study," 2008)
The corporate culture calls for employees to make every one’s responsibility and own it. The company has established two cultural committees to make sure the focus and concentration is kept on the culture. (" southwest airlines," )
If an employee does not have the cultural values, he or she will not be promoted to higher positions. There is a performance appraisal every year for the employee and the employee’s performance is evaluated based on the corporate cultural expectations.
Southwest airline has the highest percentage of unionized employees of any airline in the United States of America, and it prides itself on outstanding relationships with its unions, including traditional unions such as the International brotherhood of...