...The focus on this page is about the water scarcity problem due to drought in Tampa Bay region and how the Swiftmud and Tampa Bay Water could allocate the available resource to the public both economically as well as empathetically. Authors Robert L. Beekman and Brian T. Kench, have used Friedrich Hayek’s ideas to construct a rational economic order. Friedrich has stressed on few points in his book “The Use of Knowledge in Society”, on how to solve the economic problems and how to make the best possible decisions with the given information, which we will see in this paper. The economist Friedrich Hayek has explained in his papers on how to find an economic order with a few considerations and assumptions. According to him, there is a solution to all economic problems if we possess all the relevant information, if we can start from a given system of preference and if we had the complete knowledge of available means. From his view the mathematical equations, which is used to solve the problem gives the best emphatic solution but does not solve the economic problem of the society. This is because the economic calculus never gets the data from the macro level but from a single mind. And this in return will help us on how to allocate the given resources but not how to secure the best of the resources. One of the major points that Friedrich talks about in his paper is knowledge transfer and how the inefficiency in the transfer could hurt the economy in a long term. The “planning” is...
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...BUS599 Strategic Management Strayer University Professor Joel Nwagbaraocha September 9, 2010 1. Discuss the corporate culture at Southwest Airlines and how it leverages its culture to achieve a competitive advantage. Southwest Airlines was incorporated in Texas in June 18, 1971. Southwest started with only 3 Boeing 737 aircraft and they only serviced Houston, Dallas, and San Antonio. Today Southwest operates 541 Boeing 737 aircraft and they service 69 cities. Southwest became a major in the airline industry in 1989 when it exceeded the billion dollar mark in revenues. Southwest is the US most successful low fare high frequency airline. Southwest operates more than 3,510 flights a day coast to coast making it the largest US carrier based on domestic passenger carried. Southwest maintains the third largest passenger fleet of aircraft among all of the commercial airlines. According to the Department of Transportation Bureau of Transportation Statistics Southwest carries more passengers than any other US airline. Southwest profitability business model led to a common trend called the Southwest Effect. The Southwest Effect is to show that it is less expensive to take a flight than driving between to points. Southwest entered the airline market at rates that allowed the airline to be profitable only on the basis of lean operations and high aircraft use. The main ides of the Southwest Effect is when a...
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...Service Champs Course: Human Resource Management Foundations-HRM 500 Business Week: Customer Service Champs Southwest created a new high-level job that oversees all proactive customer service communications. Southwest believes that providing great customer service takes coordination from the top, bringing together people, management, technology, and processes to put customer needs first. Throughout this paper, it will discuss characteristics of high-performance organizations that Southwest Airlines demonstrates, ways that an organization can recruit and select people who have the level of commitment to customer service, other HRM practices that can reinforce and maintain an organization wide commitment to superior customer service, how Southwest commitment to customer service has impacted it organization performance over time and whether or not Southwest would be a workplace that appeals to myself as an employee. Characteristics of high-performance organizations that Southwest Airlines demonstrates. Southwest Airlines demonstrates several characteristics of a high-performance organization. Southwest begins with organizational structure which is a way the organization groups its people into useful divisions, departments...
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...COMPANY PROFILE Southwest Airlines Co. REFERENCE CODE: DEFBDE99-9B78-4A63-BE9C-7EA7568D476E PUBLICATION DATE: 30 Nov 2012 www.marketline.com COPYRIGHT MARKETLINE. THIS CONTENT IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED OR DISTRIBUTED. Southwest Airlines Co. TABLE OF CONTENTS TABLE OF CONTENTS Company Overview..............................................................................................3 Key Facts...............................................................................................................3 Business Description...........................................................................................4 History...................................................................................................................5 Key Employees.....................................................................................................7 Key Employee Biographies................................................................................10 Major Products and Services............................................................................16 Revenue Analysis...............................................................................................17 SWOT Analysis...................................................................................................18 Top Competitors.................................................................................................23 Company View.............................
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...Case studies Learning excellence: Southwest Airlines’ approach Ulla K. Bunz and Jeanne D. Maes Introduction With the airline industry in the USA hardly making financial records, how has it been possible for a small company such as Southwest Airlines to completely satisfy their customers since 1971? (Bovier, 1993). What lessons has the management of Southwest Airlines learned in such a relatively short time period? How have these lessons enabled the company to capture such a portion of the market? (Bovier, 1993; George and Jones, 1996) Southwest Airlines began its service in 1971. Since then the killer-whale painted planes have become familiar to their customers and to corporate America. Besides being profitable, expanding constantly and defending its high place on the Fortune 500 list, Southwest has a very special trait: attitude (Bovier, 1993). The Southwest perspective stems from CEO Herb Kelleher and Southwest’s employee motivation. The purpose of this article is to discover the sources of success of Southwest Airlines as a company with high employee motivation. Three factors will be addressed: (1) Southwest as an “excellent” company; (2) the source of employee motivation in this “excellent” company; and (3) whether lessons learned can adequately address potential future problems for Southwest. The authors Ulla K. Bunz and Jeanne D. Maes are based at the University of South Alabama, Mobile, AL, USA. Abstract In an era in which adapting to change means survival, it is...
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...STRATEGY MBL 915P Southwest Airlines in 2008: Culture, Values and Operating Practices Repeater Assignment 2 By : Refiloe Mokebe (72542683) 9/6/2011 Table of Contents Introduction 3 Question 1 – What is impressive about South West? 3 Question 2 – Benchmarking against the best practices 4 Question 3 – Key drivers for low cost / no frills strategy 6 Question 4 - What are the key elements of Southwest’s culture? 9 Question 5 - What grade would you give Southwest management? 13 Question 6 - What problems or weaknesses do you see at Southwest Airlines? 15 Question 7 - What recommendations would you make to Gary Kelly? 16 List of References 17 Introduction The objective of this assignment is to apply analytical methods on how Southwest Airlines strategy is executed. Various Strategic models will be used in analyzing how Southwest Airlines is applying and executing their strategy. In late 1966, Rollin King, a San Antonio entrepreneur who owned a small commuter air service, marched into Herb Kelleher’s law office with a plan to start a low cost/ low-fare airline that would shuttle passengers between San Antonio, Dallas and Houston. Southwest Airlines was founded as Air Southwest Company in 1967, it incorporated as Southwest Airlines in Texas and began customer service in 1971. The airline was founded on King’s simple business concept “attract passengers by flying convenient schedules, getting them to their destination on time with good experience...
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...1) Before describing Southwest Airline’s organizational culture, it is important to know what is meant by this term. Organizational culture refers to the norms and values of an organization, including the vision shared by its members. At Southwest, their culture was lived first and foremost through their employees who they valued dearly. Southwest renamed human resources “The People Department” because they understood that their people are their competitive advantage and most important resource. Their family spirit could be seen in many ways; for example, there is the catastrophe fund in which voluntary contributions are made for Southwest employees who need help. Their culture promotes informal teamwork and employees routinely help each other out. In order to ensure they have the right people to preserve this culture, Southwest places great importance on recruiting the right people. As Ann Rhoades (the Vice President of People) noted, “If they say ‘I’ too much in the interview, they don’t get hired.” This displays how much of a critical role, teamwork plays at Southwest. In addition, Southwest looks for people who are creative as they value those that will constantly be innovators. For instance, as part of the interview process, applicants are given crayons to draw a picture that tells a story of their life; Southwest wants people who think outside the box. Furthermore, Southwest’s relaxed management style ensures that work is always a fun place to be. Kelleher believes that...
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...Kiara A. Holland Capella University Southwest Airlines Case Study Analysis MBA 6143: Entrepreneurial Leadership August 17, 2012 Abstract This paper analyzes Southwest Airlines Case Study. Southwest Airlines was originally incorporated to serve three cities in Texas as Air Southwest on March 15, 1967, by Rollin King and Herb Kelleher. Leadership at Southwest Airlines plays a paramount role in the success of the company. Before its role is discussed in detail though, a definition of leadership will provide a foundation for the rest of this analysis. The paper explains the Southwest Airlines company history, background of the company, the role of leadership at Southwest Airlines, how culture is displayed at the company, competitive dimensions, leadership practices of CEO, recasting the role of the CEO, and 21st century entrepreneurial leader. Keywords: 21st century entrepreneurial leader, Southwest Airlines, Leadership, CEO Company History Southwest Airlines was originally incorporated to serve three cities in Texas as Air Southwest on March 15, 1967, by Rollin King and Herb Kelleher. According to frequently-cited story, King described the concept to Kelleher over dinner by drawing on a paper napkin a triangle symbolizing the routes (Dallas, Houston, and San Antonio). Some of the incumbent airlines of the time (Braniff, Aloha Airlines, United Airlines, Trans-Texas, and...
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...Southwest Airlines The success of any organization, regardless of the size, depends on strong communication between its employees and senior management to the entire organization. Moreover, a successful organization depends on functional groups which are powered by strong individuals that hold a leadership position. Leaders have a tremendous effect on an organization and can influence the organization and its employees in a variety of ways both positively and negatively. In terms of communication, leaders influence how an organization’s managers and employees communicate with each other. Effective communication occurs when the intended receiver understands this idea, information, or belief in the way the sender intends. However, when the receiver fails to interpret the meaning of the idea, information, or the feeling the sender is attempted to transmit, the result is poor communication. When this occurs, negative reactions, confusion, or even anger can occur that can result in a good idea or plan to fail (Nayab, N. (2010). How does Leadership Affect Group Communication. Retrieved from http://www.brighthubpm.com/resource-management/92791-how-does-leadership-affect-group-communication/). Southwest Airlines was established and is currently operated by individuals who pride themselves as strong leaders, who insisted on creativity within the company, and created an organization that allowed its employees to communicate with each other and with senior management. One of the...
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...Security Divisions (Boeing, 2010). In the early 2000s Boeing struggled and was surpassed by Airbus in annual airline sales. Through the organizing function of management, Boeing is once again the leader in the aerospace industry, continues to build a competitive advantage, and is more flexible, innovative, efficient, and responsive to its customers. The organizing function of management follows the planning function and requires management to develop and organizational structure, assemble and coordinate the human, financial, physical, informational, technological, and other resources needed to achieve the organizations goals. To be effective, managers need to use new forms of organizing and possibly view people as the most valuable resource. Companies will departmentalize an organization during this function of management. Examples of departmentalizing an organization include organizing by function, product, geography, or customer. Although the organizing function of management consists of assembling and allocating the resources needed to achieve goals, organizing is also about utilizing resources to build a dynamic organization (Bateman & Snell, 2009). A key resource to the organizing function management is human resources, which involves maximizing the capabilities and performance of the organizations people (McNamara, 2011). For Boeing to regain its elite status, the company began making plans to...
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...Running head: WEEK 5 Week 5 Ron Martinez University of Phoenix Week 5 Southwest Airlines is a company that has endured many changes through its more than 38 years in the airline industry through an understanding of what leadership and management is. What began as a small Texas airline has grown to become one of the largest airlines in America. Today, Southwest Airlines flies over 100 million passengers a year to 66 different cities all across the country, and they do it more than 3,200 times a day. The Department of Transportation began tracking Customer Satisfaction statistics in 1987, and since then, Southwest Airlines has led the entire airline industry with the lowest ratio of complaints per passenger boarded. So what is it that makes Southwest Airlines so different from the other airlines, it is a correlation of doing many things right. These things include but are not limited to, leadership, management, and dealing with occupational stress. Let us take a closer look into the success of this company and how it overcame some seemingly impossible obstacles. When industries and [pic]its customers complained on how they are treated, there is something wrong fundamentally. Many Airlines have chosen an alternative to respond to this crisis by cutting down in services and workforces. It is not a lot to anticipate enterprises or airlines to provide a profitable return to investors, job’s for their employees and reliable services that is high in quality...
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...Southwest Airlines 1 Southwest Airlines: What is Southwest Airlines Doing Right? Management Southwest Airlines 2 Southwest Airlines: What is Southwest Airlines Doing Right? Time and time again Southwest Airlines has been recognized for its outstanding customer service, employee loyalty and unorthodox leadership methods. Southwest Airlines success can be attributed to the enforced morals and belief system of its leaders; they treat their customers fairly and their employees like family. There are numerous reasons why Southwest Airlines has been so successful; some of the most important being employee and customer satisfaction, keeping costs down and strong future initiatives. These key areas would not be what they are today without the strong leadership behind this great company. Southwest also believes in educating its employees formally and informally, Southwest Airlines Chief Executive Gary Kelly incorporates several policies of his own to keep the company going. These policies are: First question authority and challenge convention, second remove the fear of failure, third make work an adventure, and fourth play to win, don’t play not to lose. Southwest Airlines has one of the lowest absenteeism rates of major companies and almost a complete lack of tardiness on staff, as a reward Southwest Airlines implemented casual Friday’s everyday. The leadership...
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... it should always replicate the vision, mission, core values, and goals of the company. This paper will focus on the mission, vision, and value of Southwest Airlines Company. For many years, Southwest has managed to create a positive relationship with its customers by fulfilling its vision, mission, and values. These key elements make up Southwest Airline Company Philosophy. Philosophy Southwest Airline Co has a philosophy that focuses on delivering exceptional customer care through the attitudes of their employees rather than relying on one’s job experience (Campbell, 2010). Through their philosophy, attitude is most important because it develops a good relationship with the customers who continually retain them to accommodate their personal or work need for traveling. Because of Southwest Airline Co. philosophy, they have earned the top spot for the last four years in a row of providing customer services. Also, Bruce Temkins stated that “Southwest does a great job with customer experience and continue to set the bar for airlines” (McFadden, 2014). Therefore, the results of the rankings prove that they have kept their philosophy. Mission The direction of Southwest Airline mission is to provide their customers with the best customer service through a sense of individual pride, friendliness, warmth, and company spirit (Southwest, 2015). The company’s ultimate goal as a team is to meet the customers’ expectations the...
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...Reflection for Southwest Airlines As a group we started looking at Southwest strategic management, analyzing the strategic formulation of the vision statement as effective and a good mission statement. The vision for Southwest is a people-centered organization that focuses on the needs of customers as well as employees. Like the Southwest employee said, “We are all dedicated to the delivery of positively outrageous service to customers—with a sense of pride, warmth, and friendliness.” Southwest has formulated a strategy that is unlike any other airline. They have designed a culture among their employees that: * Creates a friendly atmosphere * Nonconforming structure that lets people be themselves * Generates team spirit * Empowers employees to make decisions Based on the interviews of Southwest employees by the HREP of Stanford, it appears that this vision is working for Southwest employees effectively. And if you’ve ever flown Southwest, you would learn that it works for customers, too. The low-cost, no-frills airline with no assigned seating and no business class appeals to the masses, including business travelers. The sense of humor used by the flight attendants makes passengers feel relaxed. The mission statement for Southwest Airlines is dedication to the highest quality of customer service delivered with a sense of warmth, friendliness, individual pride, and company spirit. We are committed to provide our employees a stable work environment with equal...
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...Southwest Airline Strategic Choice Christine Stevenson University of Phoenix STR/581 January 26, 2011 Dennis Madison Southwest Airline Strategic Choice Southwest Airline is one of the most successful airlines. Southwest Airline success is because the airline stays on track with the company’s mission. The mission of Southwest Airlines is dedication to the highest quality of customer service delivered while keeping cost low. Since September 11, 2001 many airlines have struggle to survive. The airlines again are struggling because of the low economy. Southwest Airlines shows the example on how combining different strategies a company can because successful. Value Discipline Southwest Airlines set bar for other airlines after September 11, 2001 terrorist attack on the New York Trade Centers. As many airlines went into bankruptcy. Southwest airlines continued to have success. Part of Southwest Airlines success is because of the value discipline to observe operational efficiency and keep cost as low as possible. Southwest Airline became known for its low cost solution in its industry. Southwest Airlines changed people views on traveling by air in the United States. Each department followed the airline’s objective making the airline the top airline in the industry. Southwest Airline took the philosophy to sell a product, the product has to be the right price, place, and timing. Operational efficiency of Southwest Airlines built on the key points: Price (low ticket rates...
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