What's changed at SWA?

[52560]

What has changed at Southwest Airlines after Herb Kelleher retired? Is the culture similar how the book "NUTS" portrays them, or is it a new ballgame?

 

[RJones]

It's a new ballgame now...

 

[turn&pull]

For the most part the culture is very much the same. Of course the bigger we get the more difficult that will become.

There are very few disgruntled or unhappy people here. The most disgruntled Captain I have flown with here didn't say anything bad about SWA. The company has treated it's employees so well for so long that most believe that they have the companies/our best interest at heart.

I really believe that the biggest difference between our management and those at other airlines is that our management is at SWA for the long haul....just like the employees. If the CEO plans to stay until he retires he tends to make good decisions for the long term good of his company. And if management is doing what is good for the company, the employees will normally follow suit.

It's a great place to work.

 

[FlyBoeingJets]

The crazy antics part of Nuts is, at best, a past history. Some of it is or was "hype" for public consumption and to sell books. Kinda like a public persona.

Its fun to read Nuts, but the pilots have always been and expected to be more buttoned down than the rest of customer service. That is probably more so now. But there is no limit on the value of friendliness. Both to and from the pilots.

I would read a book called "Postively Outrageous Customer Service". That may not be the correct title, but I think it is more helpful for interviewing.

If you don't want increase your chances of getting rejected, refrain from any of those crazy antics described in the book. The interview is slightly casual and little low key but still conservative in nature.

 

[Big Slick]

NUTS page 49.
Even at the height of its success, Southwest exercises the discipline not to stray from its strategy. It does not, for example, buy jumbo jets, fly international routes, or go head-to-head with the major carriers. While other niche carriers have been lured by the temptation to step outside their niche, Southwest Airlines has maintained the discipline to stay focused on its fundamental reason for being.

SAY NUTS TO MARKET SHARE
In serving its specific market niche, Southwest Airlines is obsessed with keeping costs low to maximize profitability instead of being concerned with increasing market share. Kelleher believes that confusing the two concepts has derailed many firms that were otherwise on track in fulfilling their fundamental purpose. “Market share has nothing to do with profitability,” he says. “Market share says we just want to be big; we don’t care if we make money doing it. That’s what misled much of the airline industry for fifteen years, after deregulation. In order to get an additional 5 percent of the market, some companies increased their costs by 25 percent. That’s really incongruous if profitability is your purpose.”

Southwest is successful because it is willing to forgo revenue-generating opportunities in markets that would disproportionately increase its costs. By focusing on profitability instead of market share, the company has demonstrated the discipline to do without market segments that don’t fit its niche. And no carrier knows its niche as well as Southwest.

Interview with Gary Kelly, SWA CEO (26 Feb 2006)

Since taking over the airline three years after charismatic founder Herb D. Kelleher retired, Kelly has led development of a more aggressive airline, adding airports, challenging traditional carriers on their turf and forming a partnership with ATA Airlines that could give it an opening into the international market.

No, you don't stand still. You grow or you shrink. There is no in-between.

We're also off to a fast start in Denver, and we're trying to get more gates in Philly.

These destinations are just the beginning for Southwest in Denver.

We don't have international capabilities. We are constructing that within our reservation system right now.


I posted this earlier and got all sorts of negative feedback. Yes, obviously Southwest is evolving. The big question is, what are they evolving into? International flights and assigned seating doesn't sound very Southwest-like.

 

[N1kawotg]

When I started reading this thread I thought I had missed Herb's retirement. Eventhough he is not CEO, he is still the man that makes the calls. In fact, he is extremely active at the company. At the GO in Big D yesterday, I bumped into him. He's awesome. I can't imagine what his schedule is like, yet he still takes the time to meet and greet with everyone there. With that said, he may not be CEO but you can bet he's making most of the calls.

 

[mdanno808]

I had to fly SWA on two legs in the past couple of weeks, and something dawned on me. SWA who was always the no frills airline, has better service now then some of the major airlines. On a flight from BHM to LAS, the flight attendants actually seemed to enjoy their jobs. They cracked jokes, smiled, called everyone sweetie, and seemed to actually enjoy this 4 hour flight full of rednecks. When the snack boxes came out, they actually gave them to the passengers, not tried to sell them for 5 bucks as do many others of the majors. AA in fact does not provide customers food on a 6+ hour transpacific flight. I hope SWA keeps it up, because it was a terrific experience both flights.

​

 

[canyonblue]

What has changed at Southwest Airlines after Herb Kelleher retired?

Ask me when he does.

 

[52560]

Ok...sorry for saying he has retired. I'm trying to learn about the company and the culture and decide if Southwest is a place I would like to spend the rest of my career. I guess that is my first lesson What is his current position?

Do Herb's core principles remain intact at Southwest...such as spend more time planning parties than creating policies? From some of the other post I have read there seem to have been a lot of changes in the culture over the last several years. Is it still the fun place to work or is it more of a bureaucracy?

Thanks for all the good input from everybody's responses. Please, take no offense to me stating that Herb Kelleher has retired.

 

[SWA/FO]

Herb = Chairman of the Borad.