Southwest Essay

2153 words - 9 pages

Capstone ProjectAssignment #5: Capstone ProjectBusiness 599-Strategic ManagementMarlene Smith-Henry, StudentDr. Willette Wright, ProfessorAnalyze the company's mission and vision statements against the performance of the organization.A company's strategy consists of the competitive moves and business approaches that managers are employing to grow the business, attract and please customers, compete successfully, conduct operations, and achieve the targeted levels of organizational performance (Thompson et al, 2010). Southwest's strategy is to The airline industry is faced with numerous trends that affect a company's business strategy. According to the company's website, the industry has been ...view middle of the document...

It is a culture that has helped make southwest the only profitable company in the airline industry in the United States beside JetBlue airlines. They have the highest quality of customer service delivered with logic of love, sociability, individual pride, and company spirit. Leaders of Southwest have an unusual but effective style of leadership and participate in contests.Southwest Airlines has still managed to maintain its corporate culture which was introduced to the nation in 1971. The business model used by Southwest is simple but depends on the performance of its human resources as well as the organizational culture that cannot be achieved or sustained by its competitors. There has been 30 years of constant growth which has been achieved by Southwest Airlines. Their managers are not obsessed with gaining a high market share or becoming the largest. It follows a business strategy which does not compete with other airlines but with the surface transportation. It is a no frill, low cost airline.Discuss how the organization's strategic goals link to the company's mission and vision.The Southwest Airlines website states their mission statement as follows: "The mission of Southwest Airlines is dedication to the highest quality of customer service delivered with a sense of warmth, friendliness, individual pride, and company spirit." (http://www.southwest.com) Our vision is to expand our locations both domestic and overseas by being the largest and most profitable airline company to achieve both short and long-haul carriers efficiently and with low cost. Also to be an airline carrier that has the most productive workforce to guarantee the best flight possible for each and every passenger."Herb Kelleher, co-founder of Southwest, managed it with a simple notion to get your passengers to their destinations where they want to get there, on time, at the lowest possible fare, and make sure they have a good time doing it. His culture of extreme customer satisfaction has trickled down through the company and is imbedded in every employee.The organizational structure of Southwest Airlines is known for being functional. There are three layers of management. The values are considered as the core of their organization which includes quality, reliability, action, informal communication and feedback. Job specialization doesn't go as far with other airlines like it does with Southwest. An example of this is in order to reduce the turnaround time, pilots help to clean the aircraft which rarely ever happens.Analyze the company's financial performance to determine the link between the company's strategic goals, strategy, and its financial performance.A company's strategy consists of the competitive moves and business approaches that managers are employing to grow the business, attract and please customers, compete successfully, conduct operations, and achieve the targeted levels of organizational performance (Thompson et al, 2010). Simply put strategy is all about...

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