Background
The dream to start a low cost airline company came to Rollin King’s mind in 1966. He walked into Herb Kellers office of law with the idea and wanted to serve the Dallas, San Antonio and Houston cities .The business aspect of the airline was at its peak in 2008. There were a large number of people flying the airline than any other competing company in the U.S.
Customer Service
The company’s dedication to customer service is exceptional. It is controlled by the need to remain on the market grid and it is the biggest advantage that the company has towards the market. One manager explained that customer service is the most inspiring position since flight routes and fares can be matched but the ability to serve the customers remains the exceptional difference between South West Airlines and other air travel companies. The mission of the company is aligned with this notion and up to date, the company seems to be following and up holding its mission.
The company fosters employee involvement in satisfying customer needs. The employees have the liberty to use any means in order to satisfy the customer and it is the philosophy of the company to put the customer first. This is why employees are free to use their best expertise to reach this goal. It is stipulated that no employee can be punished for using common sense or even the old fashioned ways to ensure that the customer is served to satisfaction. The company had gate personnel that had good interpersonal skills and therefore enjoyed chatting with the customers in a cheery manner . This dedication tended to attract more customers to the firm.
MISSION
South west Airlines is dedicated to the service of air transport. The mission of the company is dedication to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride, and Company Spirit .
Risks
South West Airlines has faced a number of hurdles especially in the horizons of legal woes. This is through unfavorable competition and regulations in the field of air transport. The airline was once sued for failing to move its flights from Dallas Love field to a new Dallas Fort. The bone of contention was that the Dallas Love Field was 10 minutes from downtown while DFW was far as 30 minutes from downtown Dallas. The argument in this scenario was that South West wanted its customers to have a short time to access downtown Dallas. A move from the Dallas Love field would put a strain on the airline customers.
Other airline companies tended to sue South West when it made an application in order to serve several cities in Texas. The argument was that the various cities were already served to capacity and an entry by south west was meant to be an overcapacity on costs. This is considered fear of competition because South West offers its services at a low cost and that it has invested in customer experience which could have placed the other companies business at stake.
Relief efforts were reached when South West filed a case to complain about business harassment from two competitors, Texas International and Braniff. The U.S government was obligated to investigate the scenario in which predatory tactics were the main concepts to be investigated. In 1975 the month of February, the two proponents were indicted and even fined $100,000 each for conspiring to put South West out of business. The battles led to the strengthening of the airline employees and policies vigor to achieve more. It is the reason that the company vowed to rise against all odds.
Attention on Quality
Quality improvement is the aim of the company and it proved this by doing a makeover on the face and structure of the planes and the airport area. The upgrade included a business area that was reinforced with padded seats, the tables had power outlets and flat screen TV airing news programs, there was a power station which enabled the customers to charge their devices and without forgetting the kids, their programs were also aired on a flat screen television.
Marketing and Promotion
The company worked mostly to put its story and image out to the market and potential investors. The company worked to put up billboards and print ads. The purpose of the publicity was to ensure that airline travelers got sight of the company, its profile and its dedication to service. This is an important step towards making the image of the company and ensuring it stays alive in the minds of the travelers.
The company ad campaigns included innovative tag lines that were meant to attract the customers’ attention as well as thinking. An example is the “The All-Time On-Time Airline” this worked to prompt the customer to think about two important aspects of the economy the low fares that company offered in comparison with its competitors. There is also an instance when the customer has to think about the time factor. Therefore, the company fulfilled the customer’s thirst for being on time and also using low fares for travel.
The company sought to make its presence in the market a priority and since 1985, the company aired a Christmas wish ad on Television. The ad featured families and children from the McDonald Houses and the employees in South West. This was aimed to promote the interests of the Christmas season which is a hit to the children and consequently to the families. Publicity was therefore well covered and as it unfolded, the company remained on the forefront in air transport business.
Opportunities
The company worked around the clock to ensure that it remained in the top notch in its service providence. The company was able to expand into more geographical horizons just to ensure that more customers are reached. This was done by increasing the number of routes and making the flight schedules flexible for the purpose of reaching new destinations. The company’s aims in this expansion was to look for cities that would provide traffic interested in both leisure and business.
Competitor regions were also exploited and taken over by the company. There are instances when rivals cut back flights in cities that South West served. This prompted South West to put in more flights and ensure that it attracted customers with its low prices as well as exceptional customer service. The company also believed in its culture and strategies that improved employee output and productivity.
The combination of the company culture, strategy, people management traditions and espirit de corps served to lower labor intensive demands. This means that the company experienced low labor costs which helped it to prosper in management strategies as well as operations. The system operations of the company also made service delivery efficient where its services were considered reliable and on time by its customers.
Works Cited
Thompson, Arthur, John Gamble and A. J. Strickland III. Crafting and Executing Strategy: The Quest for Competitive Advantage: Concepts and Cases. 17th. New York, NY: McGraw-Hill Education, 2009. Print.