Southwest Airlines: Profits from People

Management
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WEEK V1 Assignment
Q1. The passage features identification based trust that is well demonstrated by how the company and employees readily engage in discussions to resolve any issues that have or may arise. The company views the employees as partners rather than workers because it recognizes that if employs fail, then the company will also fail. However, it is also clear that former C.E.O James F. Parker did not identify with the employees or their union. In his resignation speech, Parker acknowledged that he never found the job of C.E.O as fun. This clearly shows that Parker never had employees interest at heart.
Q2. In any company, sufficient cooperation among employees and managers will always steer the company through challenging times. In the passage, through cooperation, Southwest Airlines was able to record profits at a time when fellow competitors were recording losses and fighting bankruptcy. The cooperation at Southwest is so deep that union leaders, despite fighting for employees’ well-being are always invited to the company’s functions. As a result, the passage demonstrates that companies can tackle competition by maintaining a high degree of cooperation between all stakeholders of the company.
Q3. In a challenging business environment, other than generating profits, lack of skilled workforce may be a significant challenge. As a result, employees are bound to be attracted to competitors who seek skilled employees. Therefore, it is essential to address all matters related to labor for employees to feel appreciated. In the case study, C.E.O Kelleher recognizes employees as the secret behind the company’s financial success. He remains sensitive t...