Brief history and Mission Statement - Research Paper Example

Running Heading: Southwest Airline Southwest Airline MISSION MENT OF SOUTHWEST AIRLINE The mission statement of Southwest Airlines is 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” (Southwest Airlines, 1998).Mission Statement for the Employees of Southwest Airlines:“We are committed to provide our Employees a stable work environment with equal opportunity for learning and personal growth.

Creativity and innovation are encouraged for improving the effectiveness of Southwest Airlines. Above all, Employees will be provided the same concern, respect and caring attitude within the organization that they are expected to share externally with every Southwest Customer” (Southwest Airlines, 1998).The mission statement of Southwest Airline is still applicable today and it reflects the main focus of the airline is to offer the highest quality services to its clients so that they can be satisfied.

Thus, it reveals that satisfying customers and providing the highest quality services are the topmost priorities of Southwest Airlines. In addition to this, the airline has focused on creativity and satisfying employees as well by giving them respect, opportunities to learn and opportunities for personal growth. HISTORY OF SOUTHWEST AIRLINESouthwest Airlines started its businesses in 1967 with the name of Air Southwest Co however the name of the company was changed in 1976 to Southwest Airlines Co.

in 1975, the company was first listed in American Stock Exchange and then it migrated to NYSE in the year 1977.Herb Kelleher became the Chief Executive officer and President of Southwest Airlines in the year 1981 and before that he was the chairman since 1978. In 1990, total revenues of the airline were recorded to be more than $1 billion thus making Southwest Airlines as one of the major players in the airline industry. In 1994, the airline acquired Morris Air and Arizone One to expand its services (Southwest Airlines).

To satisfy the customers and provide them more facilities, the airline started online booking system in 1996. SWABIZ, a travelling plan for business travelers was introduced in 2000 with which business travelers could plan, purchase and track business travel. DING, an application was introduced in 2005 by Southwest Airline that notified customers about exclusive offers of the company. No such application was introduced by any other company in the airline industry before Southwest Airlines (Southwest Airlines).

For sixteen consecutive years (1991 through 2006), the Department of Transportation Air Travel Consumer Report listed Southwest airlines as among the top five of all major carriers for on-time performance and fewest customer complaints. Southwest is the only airline to ever hold the Triple Crown (first in all of the categories) for its annual performance. No other airline has earned the Triple Crown for even one month. Southwest continues to operate with the lowest cost per available seat mile among all major airlines, with an average of 15 to 25% below its rivals.

One of the major factors in this enviable record is that all of its planes are of single type-Boeing 737s-which dramatically lowered the company’s cost of training, maintenance and inventory. In 2007, company operated 483 Boeing 737s. Southwest has a turnaround time for most flights of twenty minutes or less. Southwest Airlines Co. has become one of the largest domestic airlines in America and it enjoys 60% of total market share. The company flies more than 70 million passengers each year to about 68 destinations all around the across the country.

Factors that contributed to the success of the company are its cost-containment policy, its conservative growth pattern and the commitment to its employees. Southwest currently employs 35,000 employees throughout the Southwest system. The people of Southwest see themselves as crusaders whose mission is to give ordinary people the opportunity to fly (Southwest Airlines Co., 2010). ReferencesSouthwest Airlines Co. (2010). FORM 10-K. United States Securities And Exchange Commission. Retrieved November 16, 2011 from http://www.sec.gov/Archives/edgar/data/92380/000119312511026045/d10k.

htmSouthwest Airlines (1998). About Southwest. Retrieved November 16, 2011 from http://www.southwest.com/html/about-southwest/index.htmlSouthwest Airlines Major Initiatives. Retrieved November 16, 2011 from http://www.swamedia.com/channels/By-Category/pages/major-initiativesSouthwest Airlines Earnings. Retrieved November 16, 2011 from http://www.swamedia.com/channels/By-Category/pages/earnings