Kelleher's Secretary Before Southwest example essay topic

... ure if times are good or bad -- a bond of loyalty that is hard to break. This bond has led Southwest in becoming "one of the most unionized companies in the airline industry" reports N.P.R.S. Wade Goodman. It helped the company to sign an unprecedented, ten-year, labor agreement with their pilots in 1995. Most contracts are for a maximum of three to five years.

Southwest believes that the front line employees are their most important assets. Kelleher's beliefs are that their characteristic of organization is an upside down pyramid. Robbins defines organization as "a systematic arrangement of people brought together to accomplish some specific purpose" (3). With operatives (employees / laborers ) and managers, Kelleher believes upper management and he are actually the low men (people) on the totem pole. The front-line employees / operatives are highest up on the pole because without them, Southwest would not get customers or function as a business. Southwest strive for excellence has brought and will continue to bring unprecedented actions and firsts for some time to come.

The level or pride their employees have grows, as their employees are also part owners of their company. Southwest is the first company to offer their employees a stock option purchase plan. Now their employees have a vested interest in what they do. The fact sheet from Southwest says, "today their employees now own ten plus percent of their company's stock". This unbound employee loyalty shows first hand in its day-to-day operations, the employees go out of their way to stay on time and to accommodate and help their customers.

Andre O. Schw age, CEO and President of Sat metrix Systems, a software analysis company of customer satisfaction and service in many industries today, said "Southwest Airlines' consistently high customer ranking is just further evidence of the strong reputation it has created with it's customers - making people feel as if they are part of the Southwest Airlines family". This was as Southwest was receiving an award for Best Customer Service in the transportation industry. The success of Southwest is all a reflection of company goals and management. One journalist said Southwest's major reason for success is their depth in management. Herb Kelleher was CEO of Southwest from 1982 to the start of 2002 and voted #1 CEO in America more than once by a couple of publications. Although he has released his reigns, Southwest Airlines has not lost a beat, even in times of hardship and despair.

This is thanks to what some say are the children of Kelleher - James Parker and Colleen Barrett. James Parker has been working for Kelleher for more than 15 years and Ms. Barrett was Kelleher's secretary before Southwest was even thought of. The foundation is well cemented to go on in the future. Colleen Barrett has been a valued asset from the start.

Although some still call her Kelleher's secretary, her reaction is "I liked being a secretary". Kelleher says, "Ms. Barrett has nurtured and produced a culture which is truly exempt - where people feel cared for - she has earned the trust of the company's employees". James Parker has worked for Kelleher for many years and his beliefs are very similar. Kelleher says, "Parker, 54, is exactly the kind of leader Southwest needs. Parker's plan as CEO is to stick with the blueprint - keep Southwest the low-fare, no-frills airline it has always been" (77). So far, so good.

Southwest is still on top and the only airline to profit in every quarter since 9-11. Fortune Magazine says "Jim Parker probably has the toughest job around today: replacing Herb. Just to make is job a little harder, the airline industry is facing the most severe economic downturn in years" (78). I could go on for a bit with more on the aspects of business management and company profile of Southwest Airlines. Unfortunately, I must wind things up for now (hopefully I can expand on this in future classes). I was really impressed with Southwest Airlines and surprised about their history.

Their rag to riches story got to me, along with their company hierarchy and foundation. From fighting just to start business to being one of the few profitable companies in their industry. This exemplifies their desires to grow, to do things their way, not the expected way, and be the leader in groundbreaking strategies and business plans. The sky's the limit for this high-flying company.

As I leave, following is a list of some more facts and accomplishments that really impressed me. SS Fortune Magazine ranked Southwest Airlines #2 as America's most admired companies. (84) SS Forbes Magazine ranked Southwest #232 in their Super 500 largest U.S. corporations. SS Money Magazine ranked Southwest #1 in their list of "30 Best Stocks" in performance over the last 30 years. SS Southwest was the first airline to establish a home page on the Internet. Today they generate 50% plus of their scheduled / paid fares because of the Internet, also a first for the airline industry and most others.

SS Chief Executive Magazine recognized Southwest as one of the "Top 20 Companies for Leaders" in June 2002. SS Year after year Southwest ranks in the top for the best customer service, on-time flights, and fewest complaints on lost or damaged luggage.

Bibliography

America's 500 Top Companies". Forbes 14 April 2003: 185-204 Brooker, Katrina.
The Chairman of the Board Looks Back as Herb Kelleher Hands Over the Controls, He Tells Fortune's Katrina Brooker What it Took to Make Southwest Airlines a Great - If Wacky - Company. How Did He Do It?" Fortune 28 May 2001: 62-85 DeL enzo, David A.
and Robbins, Stephen P. "Fundamentals of Management". New Jersey: Prentice Hall Edwards, Bob. "Success of Southwest Airlines". Morning Edition (NPR); Radio 4 December 2002: 1-4 Huey, John.
Outlaw Fly boy CEO's, Two Texas Mavericks Rant About the Wreckage of the U.S. Aviation Industry". Fortune 13 November 2000: 237-52 Southwest Airlines.
History and Fact Sheet. web 13 May 2003 Southwest Airlines Co.
web "Southwest Airlines Honored for Customer Satisfaction". Business Wire 6 December 2001: 1-3 Stein, Nicholas.
America's Most Admired Companies". Fortune 3 March 2003: 81-93.