By:Amita Sinha

Ankur Kr AgarwalAyushi Sharma

Garima RathoreNeeraj Garg

Southwest Airlines that has built business and corporate culture around the tenets of total quality management and customer service.

This case deals with corporate philosophy, culture and HRM practices.

“Focus on Customer”.

Treat their employee as their customer.

Case also talks about the manager Herb Kelleher’s innovative way of dealing with the employees.

Believe in Fun at work philosophy with safety.

From 1992 through 1996, they won DOT’s triple crown for best on-time performance, best baggage handling & fewest customer complaints.

From 1996 to 1998, they won Airline Quality Rating for three consecutive years.

Managed to make profit even in industry downturns.

To show the level of satisfaction & pride felt by customers of

SouthWest Airlines . . .

Challenges faced by the U.S. aviation industry: “Industry faced two major economic downturns since 1973(which had led to heavy losses and conflict with the labor union)”.

SWA resorted to low cost carriers and wide range of aircraft.

Offered affordable prices to consumers Followed a work culture that helped them in

retaining talent.Continuously improved their service for

customers. Involving Customer in various activitiesBest Employee – Management relation in the

industry

Fun at Work Philosophy Focus on the employee involvement and

empowerment.Acknowledging employees Births, deaths,

marriages and promotions.They hire people with attitude and then build

upon that foundation.Employees are asked to use their own judgment

and to go beyond job description. SWA’s belief in continuous improvement of

strategic focus.

Involving Employees in decision makingHealthy relationship between employees and

management as there is no labor strike. Fun at work culture.Highly motivating employees and feeling of

belongingness in employees. They get attention from CEO.

Even passengers were given due weightage from company perspective.

Most enjoyable work life:Work with fun

Least enjoyable work life:Servicing peanuts as meals.

Yes, we think that Kelleher’s “fun at work” philosophy could work equally well in any other company:will help to reduce employee absenteeismwill increase employee’s satisfaction.will lead to lower stress and higher productivity.Will give the feeling of belongingness among the

employees.

SouthWest’s success is due to balance between good business practices and good HR practices.

No, good business strategy can’t survive in long term without an equally good HR strategy.

Both essential for a company’s success.