Southwest Airlines - PowerPoint PPT Presentation

Loading...

PPT – Southwest Airlines PowerPoint presentation | free to download - id: 3b803e-ZDg0O



Loading


The Adobe Flash plugin is needed to view this content

Get the plugin now

View by Category
About This Presentation
Title:

Southwest Airlines

Description:

Southwest Airlines Christine Dao Katrina Elicagaray Kimberly Tran April Weir Airline Regulation 1938 Civil Aeronautics Act Civil Aeronautics Authority (CAA) Its ... – PowerPoint PPT presentation

Number of Views:200
Avg rating:3.0/5.0
Slides: 31
Provided by: cobSjsuEd7
Learn more at: http://www.cob.sjsu.edu
Category:

less

Write a Comment
User Comments (0)
Transcript and Presenter's Notes

Title: Southwest Airlines


1
Southwest Airlines
  • Christine Dao
  • Katrina Elicagaray
  • Kimberly Tran
  • April Weir

2
(No Transcript)
3
Airline Regulation
  • 1938 Civil Aeronautics Act
  • Civil Aeronautics Authority (CAA)
  • Its Mission

4
The Beginning
  • Founded in 1967
  • Founders were Rollin King, John Parker and Herb
    Kelleher

5
The Napkin Concept
Herb, lets start an airline and Rollin,
youre crazy. Lets do it!
6
Mission
  • The Mission of Southwest Airlines
  • To Our Employees

7
Executives
  • Headquarters in Dallas, Texas
  • Current Leadership
  • Herb Kelleher Chairman of the Board and
    Chairman of the Executive Committee
  • Jim Parker Vice Chairman of the Board and CEO
  • Colleen Barrett President, COO, and Corporate
    Secretary

8
Top 3 Strengths
  • Structure
  • Operations
  • Culture
  • Beliefs
  • Policies
  • Innovation

9
Southwest vs. the Majors
  • Debt
  • Pricing
  • Hub Spoke
  • Labor Costs
  • Operations
  • Understanding the Market
  • Customer Service

10
Debt
  • Major airlines
  • High debt
  • High daily losses
  • Low cash
  • Southwest
  • Little debt
  • Low daily losses
  • High cash
  • Major airlines include Alaska Air, America West,
    America Trans Air, American, Delta, Continental,
    Northwest and United. Not included is US Airways,
    which is bankrupt and no longer traded on the
    NYSE.

11
As of Thursday, Sept. 5, 2002. Excludes all
charges. Source Company reports, Baseline, TSC
Research
12
Prices
  • Competition
  • Seat prices
  • Operation costs
  • Fuel
  • Airport fees
  • Hubs vs. surrounding airports

13
Hub Spoke
14
Labor Costs
  • Union vs. Non-Union
  • Salaries
  • Labor costs as a percentage of revenues
  • Employees per flight

15
Operations
  • Maintenance
  • Training
  • Boarding procedures
  • Airport Fees
  • Plane design
  • Idle time
  • Food Service

16
Operating Costs
17
Understanding the Market
  • Niche market
  • Long haul flights
  • Short haul flights
  • Price sensitive
  • High customer service needs

18
Customer Service
  • The Belief
  • The Policies
  • The Results

19
The Belief
  • Southwest people believe that customer service
    involves more than an objective understanding of
    the customers need. It also means, , being
    attentive to the person behind the need, and
    responding to the person more than just
    responding to the need.
    NUTS! Southwest Airlines Crazy
    Recipe for Business and Personal Success by
    Freiberg Freiberg

20
The Policies
  • Seating space
  • Boarding procedures
  • Ticketing
  • Safety
  • Timeliness of flights
  • Amenities

21
The Results
  • Best on-time service Best baggage handling
    Best customer Service Triple Crown Award
  • 5 Years Straight

22
Southwest Culture
23
(No Transcript)
24
Information Technology and Systems What Helps
Keep Southwest on Top?
25
IT/IS Helps Business Strategy
  • I2 Service Inventory Management
  • Computerized Reservation System
  • RAPID CHECK-IN
  • Automated boarding passes
  • Deploys Enterprise Software
  • PROS Revenue Mgmt.
  • CALEB Technologies Corps CrewSolver Software

26
Focused Cost Leadership
  • High frequency, short hops
  • Low fair strategy
  • Cost-effective inventory management
  • Efficient and cost-effective recruitment
  • Unique, high level customer service

27
What Major airlines are doing to compete
  • Cutting jobs
  • Retiring older planes
  • Streamlining routes
  • In the future, closing hubs

28
Combating Competition
  • Structurally competitive through Operations
  • Successful in utilizing Information Technology
    and Information Systems
  • Creating a culture of Innovation and Great
    Customer Service

29
Southwest Beating the Competition
30
Thank You
About PowerShow.com