7
A Case Study by Prof. Vijay Govindarajan, Julie B. Lang and Suraj Prabhu

Southwest airlines c ase

Embed Size (px)

Citation preview

Page 1: Southwest airlines c ase

A Case Study by Prof. Vijay Govindarajan, Julie B. Lang and Suraj Prabhu

Page 2: Southwest airlines c ase

THE GREAT VISIONARIES

Page 3: Southwest airlines c ase

COMPANY IN BRIEF

• It was founded by Robin King and Herb Kelleher on March 16th 1967 as ‘Air Southwest Company’.

• ‘Air Southwest Company’ was renamed as ‘Southwest Airlines’ in 1971.

• The company has its headquarters at Dallas, Texas.

• The company started its service with 3 Boeings 737s serving Dallas, Houston and San Antonio.

Page 4: Southwest airlines c ase

CURRENT STATUS OF THE COMPANY

• Gary C. Kelly is the CEO of the company.

• The company employs around 46,000 (aprox) employees.

• The revenue of the company for 2011 was 15.6 Billion US Dollars.

• The company has a fleet of 581 planes.

• The company flies to 78 destinations.

Page 5: Southwest airlines c ase

SOUTHWEST STRATEGIES

• Change from ‘Hub and Spoke’ approach.

• Use of Less Congested Airports.

• Adoption of Online Booking Strategy.

• Innovative desktop applications ‘Ding!’

• Reduction of headcount per aircraft.

• Concept of Hedging.

Page 6: Southwest airlines c ase

ORGANISATION CULTURE

• The Concept of “WE”.

• Concept of Fun.

• Concept of Hard Work.

• Highest Pay Scales in the Industry.

• Innovative Recruitment Style.

• Profit Sharing with Employees.

Page 7: Southwest airlines c ase

“Sincerely hoping to some visionaries like southwest in you”