Southwest Airlines

Topics: Leadership, Management, Airline Pages: 8 (2655 words) Published: February 25, 2014


Market Based Management on Knowledge Management and Effective Leadership Style at Southwest The fundamentals of Knowledge Management in building an effective leadership style will focus on establishing the importance and relationships between leadership practices and knowledge management in any organization. The business concept must be identified with the emphasis on detailed features and essential role of leaders while developing the organization goals. This paper will provide a framework addressing the relationship between Knowledge Management and Leadership; along with creating a successful organizational goal within Southwest Airlines. The mission statement of Southwest Airlines declares that” the company is dedicated to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride, and Company Spirit”(Southwest Airlines). Southwest Airlines pledges a commitment to provide its employees a stable work environment with equal opportunity to learn and for personal growth. Creativity and innovation are encouraged for improving the effective leadership and effectiveness of Southwest Airlines. The company is a principal supplier of air transportation in the United States for the transport of passengers for business and leisure purposes. “Southwest Airlines has capture the U.S. Department of Transportation’s “triple crown”- as the airline carrier with the most on-time flights, the best baggage handling, and the highest customer satisfaction ratings” (Southwest Airlines). The company retained its leadership in customer satisfaction, increase their fleets to better service their customers, and increase on profitability.

Concept of Management
“Management is defined as planning, organizing, leading, and controlling of human and other resources to achieve organizational goals effectively and efficiently” (Bateman, T. S., Snell S. A. (2004). The concept of leadership involves establishing a direction, aligning people to an organization, motivation and inspiring others. Corporate management is directing and supporting a progressive attitude of achievement shared by the entire structure of the organization. In maintaining a consistent management, Southwest was able to continue its corporate culture and vision. Creativity in marketing and negotiation in the face of an obstacle has been proven in the history of the company. “We now separate the market size that currently included in the growth component”( Mudde, Parvez & Sopariwala, 2013). Management identified that they were in a price sensitive market chose to cut out the add-ons in airline travel, reducing cost and therefore, making it financially feasible t offer the lower cost to consumers. Remaining a lean company allows management at Southwest the ability to react to and seize opportunities. Knowledge Management

The benefit of Knowledge Management (KM) is that information is easily shared between employees and knowledge is not lost if an employee is a way for vacation, sick or retires. The idea of KM is to increase innovation and create an improved customer relationship. In a global market, KM can create an influential workforce when different cultures are brought together to share knowledge. KM gives employees the knowledge that is needed to do a better job, which makes them more productive. According to Llewellyn, organization effective performance is achieved through strategic design created by leadership. Management trains employees to provide the same concern, respect, and caring attitude with the organization that they are expected to share externally with every Southwest customer. In agreement with the mission statement, Southwest Airlines has recognized the importance of customer service and has trained its employees to conform, in agreement with responsible awareness of their customer needs. Throughout the company’s growth Southwest maintained a loyalty to their employees, fostering a team spirit....

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Mudde, Paul A., and Parvez R. Sopariwala. "Examining Southwest Airlines ' strategic execution: a strategic variance analysis: here is an analysis of how one airline company made some strategic changes and improved its financial performance." Management Accounting Quarterly 9.4 (2008): 20. General OneFile. Web. 3 Nov. 2013.
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