Preview

Southwest Airlines and Control Mechanisms

Better Essays
Open Document
Open Document
1271 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Southwest Airlines and Control Mechanisms
Southwest Airlines and Control Mechanisms
August 20, 2010
MGT330

Southwest Airlines and Control Mechanisms
Southwest Airlines is a vigorous business commonly admired, whether it is positive or negative, by many for countless reasons. Southwest Airlines has withheld a positive social responsibility for many years. Southwest is an organization promoting people to be innovated leaders focused on promoting the success of the company. Establishing and maintaining the function of control is crucial in a company of this size. The appropriate protocols must be in place to ensure performance, organizational and ethical goals are being met. Currently, several control mechanisms are used by many companies around the world. Some control mechanisms used by Southwest Airlines are budgetary, bureaucratic, clan and financial management.
Control Mechanisms
The bureaucratic control mechanism is important to a company the magnitude of Southwest Airlines. The organization uses this method to verify organizational goals, measure opportunity for improvement and progress, and applying corrective measure in place to ensure performance. One way that they increase efficiency while keeping cost at the management level low, is by giving their middle management more control over their employees to negotiate solutions to unforeseen problems. Another successful control mechanism is done through their cooperation and maneuvering with workers’ unions. The airline industry operates under the Department of Transportation, which is heavily unionized. While most pilots working for other airlines operate within a national union, Southwest pilots operate under a separate independent union. This allows them to fly more hours, and get paid per trip, increasing their motivation to work more (D'Aurizio, 2008). One of the more interesting bureaucratic controls that Southwest has put into effect is giving their lower level employees more direct control in the screening and interviewing process for



References: Bond, D. (07/18/2005). Big Mo at Southwest. Aviation Week & Space Technology, 163(3), p36. Retrieved from http://search.ebscohost.com.ezproxy.apollolibrary.com/login.aspx?direct=true&db=f5h&AN=17739259&site=ehost-live D 'Aurizio, P. (Nov-Dec 2008). Southwest Airlines: Lessons in loyalty.. Nursing Economics, 26(6), p389-392. Retrieved from http://search.ebscohost.com.ezproxy.apollolibrary.com/login.aspx?direct=true&db=rzh&AN=2010146005&site=ehost-live Hallowell, R. (Winter 1996). Southwest Airlines: a case study linking employee needs satisfaction and organizational capabilities to competitive advantage.. Human Resource Management, 35(4), p513-534. Retrieved from http://search.ebscohost.com.ezproxy.apollolibrary.com/login.aspx?direct=true&db=rzh&AN=1998028036&site=ehost-live

You May Also Find These Documents Helpful

  • Better Essays

    As far as the employee training is concerned, the employees are extensively trained so as such to ensure that they are able to satisfy the arising concerns and needs of the customers effectively and efficiently. They are actually made to practically exercise resolving complaints and other service problems on the spot. Moreover the employees are made to look professional and behave in a professional manner because they have to deal directly with the customer. One-on-one communication and query handling requires good communication and interpersonal skills to ensure the supreme satisfaction of the customers and their complaints. Otherwise; the demand for their product will eventually die out. The product that this airline is offering is a travel solution for the customers; with the standards set as the low airfares and high service standards. They provide attentive service to the customers in the sky and on the ground and see every flight as an opportunity to underpin and reinforce its reputation for a friendly service that caters to all the flight related concerns of the employees. Another point mentioned in the case is that this Southwest Airlines has a mission statement as: delivering the services with a smile shows that the airline genuinely cares about the customers.…

    • 1202 Words
    • 5 Pages
    Better Essays
  • Powerful Essays

    The main reasons for the success of Southwest Airlines are three fold, with CEO Gary Kelly, co-founder and board chairman Herbert D. Kelleher, and president Colleen Barrett, core competencies, and corporate culture as its base. This includes their company values; concern, respect, and caring for their employees and customers - to define it. (BCLC SOUTHWEST AIRLINES, 2006)…

    • 1462 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Mkt 500 Assignment 1

    • 1860 Words
    • 8 Pages

    Southwest Airlines’ corporate culture differs significantly from the other airlines in many ways, as we shall see herein below. The unique difference between the corporate culture of Southwest Airlines and the other airlines is one of the major factors responsible for the prosperous survival of Southwest Airlines. There is a fierce competition in the airline industry. Perhaps because of this competition, companies that are established in…

    • 1860 Words
    • 8 Pages
    Powerful Essays
  • Powerful Essays

    Southwest Airlines’ strong organizational culture is reflected in its mission as shown in its website: “dedication to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride, and Company Spirit.” Southwest is a company that not only excels in customer service and profitability but also in employee development. Its organizational commitment is not reduce to the organization; it is actually expand it to an ongoing relationship with the employees where they have the opportunity to express their ideas, suggestions and concerns. This organizational culture has made Southwest Airlines one of the companies with the fewest customer complaints, and an employee turnover ratio of less than 10 percent (D’Aurizio, 2008). The same strong culture Southwest Airlines has built over the time is supported by every employee who has in mind that they have to deliver a warm and friendly assistance to their customers. Southwest management’s strategy could not be any better; the management treats employees as family, expecting from the employees to treat customers like family as well. The company is characterized for having a decentralized structure. In between the CEO and the frontline supervisors, there are only a few levels. Their philosophy on structure is very relaxed. Any employee who feels the need is welcomed to contact someone above their supervisor. The president has three executive vice presidents who each have five or six vice presidents who report to them. There is one vice president of Internal Audits and Special Projects who reports directly to the president. (Rivera, Cornwell, Abenes, 2003)…

    • 1228 Words
    • 5 Pages
    Powerful Essays
  • Satisfactory Essays

    Southwest Airlines

    • 474 Words
    • 2 Pages

    Southwest Airlines strict adherence to its mission to provide the highest quality of customer service delivered with a sense of warmth, friendliness, individual pride, and company spirit is a key factor to the company’s success (About Southwest Airlines Co, 2013). The airlines ability to commit to employees to provide them with a stable work environment that ensures equal opportunity for learning and personal growth. Southwest prides itself on allowing all within the company to be creativity and innovative to help improve the effectiveness of Southwest Airlines. The most important benefit, 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.…

    • 474 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    This internal business analysis is on Southwest Airlines, which was founded in 1967 by Rollin King and Herb Kelleher. The main focus for Southwest Airlines was to provide low cost flights for their customers, and also have exceptional customer satisfaction. Southwest is a leading airline company that continues to do well in an industry that has been historically challenging. For instance, in the span of two years (2005-2007) five major airlines have filed for bankruptcy. The challenges are great in the airline industry, because competitors are trying to imitate the “low-cost” offering of Southwest. Many companies have tried to do what Southwest has done, and many have failed to stay in business. Surprisingly, many of those companies were started by ex-employees of Southwest. Southwest currently has a profitability record for the past thirty six years, which is spectacular in such a challenging industry. Herb Kelleher has been replaced by Gary C. Kelly, as the president when he resigned in May of 2008. Southwest is in the process of expanding the locations they serve so that they can increase market share, and also find ways to cut costs without losing their quality. In order for southwest to continue their consecutive financial success there is a necessity for excellence in the execution process of their strategy.…

    • 1766 Words
    • 8 Pages
    Powerful Essays
  • Satisfactory Essays

    Tale Of Two Airlines Memo

    • 623 Words
    • 3 Pages

    References: Gittell, J. H. (2003). The Southwest Airlines way: Using the power of relationships to…

    • 623 Words
    • 3 Pages
    Satisfactory Essays
  • Better Essays

    Southwest’s relentless commitment goes beyond the lip service most companies uphold. From line level to the C-suite, everyone works hard to ensure customers feel they are the center of attention. Flight crew routinely exceeds passengers’ expectations to the point it has become routine. Attendants feel encouraged to be creative. They feel their duties entail not just standard tasks, but going further to ensure customers are entertained or engaged in other ways that would ‘infect them’ with Southwest’s positive energy. Senior management does its part by, for example, doing everything to keep prices as low as possible low and using fees for special services only as a last resort.…

    • 1257 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    Johnson, M. E. (2009, May 08). Enhancing Service at Southwest Airlines. Tuck School of Business at Dartmouth,…

    • 2454 Words
    • 10 Pages
    Powerful Essays
  • Powerful Essays

    Lockheed Martin Case Study

    • 1657 Words
    • 7 Pages

    References: Butler, A. (2007, October 15). Aviation Week. Retrieved January 22, 2010, from Aerospace Daily & Defense Report: http://abcnews.go.com/Technology/story?id=3732391&page=1…

    • 1657 Words
    • 7 Pages
    Powerful Essays
  • Best Essays

    In the wake of a sizable slump in demand driven by economic downturns, terrorism attacks (especially the events of September 11, 2001) as well as increased competition from low-cost carriers, many incumbent U.S. airlines have been attempting a fundamental restructuring of their operations. Many would argue that a central element in this restructuring should include an overhaul of the labor-management relationship.…

    • 4943 Words
    • 20 Pages
    Best Essays
  • Good Essays

    Southwest Airlines Union

    • 568 Words
    • 3 Pages

    The flight attendants union says that at Southwest, “we have some of the best working conditions in the industry” (Noe, Hollenbeck, Wright, & Gerhart, 2013). With both the employees’ unions and management making such a bold statements it shows that they are on the same page and agree with one another. However, there are some conflicts between them also. Two of the first few conflicts tackled by the union was the need for written work rules and to not be required to wear hot pants as part of their uniforms. With those union victories, they were well on their way to becoming “the most unionized airline ” (Noe, Hollenbeck, Wright, & Gerhart,…

    • 568 Words
    • 3 Pages
    Good Essays
  • Better Essays

    Team A will discuss how Southwest Airlines president can recruit and develop the airlines future leaders. Even though there is a proposal to avoid managerial derailment and failure for Southwest Airlines. They can compare-and-contrast of common leadership traits in the airline industry because there are methods for developing leaders in the airline industry, and there are strategies for how airline industry leaders balance competing values and priorities. The main objective will be to identify and discuss common leadership traits in the airline industry. Next the team A of this paper will include what makes a leader, leadership style, developing a leader, and how loyalty plays a major role in an organizations culture. Third, the team will discuss strategies for how airline industry leaders balance competing values, priorities, and discussions, including a…

    • 1645 Words
    • 7 Pages
    Better Essays
  • Powerful Essays

    Southwest Airline case study

    • 2348 Words
    • 10 Pages

    For the purpose of this study we shall be taking southwest airline as a case study, Southwest Airline is a major U.S. airline that primarily provides short haul, high frequency, point- to point, low fare service. Southwest was incorporated in Texas and commenced operations on June 18, 1971 with three Boeing 737 aircraft…

    • 2348 Words
    • 10 Pages
    Powerful Essays
  • Satisfactory Essays

    Mgt 301

    • 438 Words
    • 2 Pages

    Top management: always motivated employees by portraying the airline as the underdog. Also allowing a large portion of the compensation to be in the form of stocks ,therefore sharing profits. Finally the provision of job security.…

    • 438 Words
    • 2 Pages
    Satisfactory Essays