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SOUTHWEST AIRLINES: THE ROLE OF HUMAN RESOURCES IN IMPLEMENTING BUSINESS STRATEGY AND HIRING PRACTICES By: Aric Hall Completed in Partial Fulfillment of the Requirements of OM 5210 - Human Resource Management Capella University Winter, 2007 Address: City, State, Zip: Phone: E-Mail: Instructor: P. O. Please put 2017 [cited 01 March 2023]. Project Management Knowledge & Skill Areas | What are the PMP Knowledge Areas? The resource that does not meet these conditions cannot be called as valued resource. She would like you to review several strategic . For This or a Similar Paper Click To Order Now. Achievement of Southwest Airlines based on Resource based view Model. Routledge. An executive summary of the HR strategy project, A company's overall approach for handling the human resources to balance it with its, business practices is known as a human resource policy. Employee-focused companies are dedicated to creating an atmosphere in which employees can be successful. Review the following sources to assist with your recommendation: . (2014). Southwest Airlines has implemented various technological initiatives such as a rapid reward program, remote working, and enhancement of customer self-service capabilities in the current times to support ongoing operations, reduce operational expenditure and capital requirements. Moreover, system thinking requires reflectivity on the part of leaders, managers and employees for the purpose of improving understanding and action. Hard HRM model focuses on employee cost and numbers and soft model on the psychological aspects such as commitment, skills and empowerment. More than 15,000 of its . Determine an HR strategy. Oxford University Press Southern Africa. Identify 3 HRM implications for Southwest Airlines. (2016). Highly Use at least 2 sources other than those provided. Topics covered: HR management, compensation & benefits, development, HR tech, recruiting and much more. In addition, they have a significant effect on the labor costs that businesses will, incur. Review the following sources to . It has acted as a threat to the companys sale of ticket (Mathis et al., 2016). To unlock this lesson you must be a Study.com Member. Free resources to assist you with your university studies! Looking for a flexible role? As technological changes are in a fast manner, it becomes more difficult to predict the future developments and plan for the future changes (Gilley, 2000). This website helped me pass! Sounds too good to be true, right? Review the recommended [] Mendenhall, M. E., & Osland, J. content removal request. Get $30 referral bonus and Earn 10% COMMISSION on all your friend's order for life! The learning organization is actually a concept based on the human asset philosophy or the Harvard model of HRM. The Southwest mission statement is unique in that it recognizes the importance of its employees within the broader business strategy, which emphasizes superb customer service and operational efficiency. carrier in two ways: it increases profitability and increases consumer satisfaction. They are also needed to learn the local language of the foreign country. Develop and justify business strategies for each of the 3 Human Resource Management implications. Physical Review E, 88(1), 014101. The company earned its cost advantage from increasing the productivity of the existing resources and being motivated and having unionized workforce (Bratton & Gold, 2012). The main features of this model include its concentration on managing human assets to achieve strategic goals and it is mainly based on strategic control, organizational structure etc., the importance given for the components such as organization structure, mission and strategy, human resource selection, performance appraisal, rewards and development (Randhawa, 2007). This was $49 for 436 miles in 1984. It started its airline with only three Boeing 737 aircraft and served only 3 cities Houston, Dallas and San Antonio (Ray, Xue & Barney, 2013).The competition of the airline was with Braniff, Texas . The company has nine separate employee unions, but never faced serious problem of labour strikes or any other labour problems (Mendenhall & Osland, 2012). Enrolling in a course lets you earn progress by passing quizzes and exams. It was easy to understand and made 55% of its tickets were booked by travel agent. Southwest Airlines' modest fixed expenses are also a strategic benefit. Provide a recommendation for dealing with each of the 3 identified issues. Do you have a 2:1 degree or higher? Human resource management. They provide excellent service to the customers and there is no problem of competition and status among the employees. Develop and justify business strategies for each of the 3 HRM implications. From the overall activities of HRM, we can see learning and development is also important activity of HRM in an organization. Another threat that the company may face is the threat of terrorist attack. Purce, J. There should be a unique culture for every member in an organization which develops a good organizational culture. flashcard sets. An analysis of current strategies and issues o Identify the type of strategy Southwest Airlines is following. This is a key part of a, Webinar This model guides and directs people as they make decisions, and are used to filter ideas and possibilities. The model stated that the firm need to improve their resources and search for resources that bring competitive advantage to the firm instead of looking for a favourable environment outside their organization. Determine an HR strategy. This discipline also helps the organizations allocate its various kinds of resources towards its objectives (Beiske, 2007). 3 HRM Implications for Southwest Airlines Considering that Southwest Airlines has faced changes in its leadership and management, various HRM implications are presented for the airline industry. (2013). Workforce diversity- there are diverse kind of employees like young and highly educated people, female employees, married female workers etc. Gross, S., Lck, M., & Schrder, A. Managerial Accounting vs. Financial Accounting | Differences & Uses, Kotter's Change Model | Kotter's 8 Step Change Model: Examples, Competitive Advantage & Corporate Social Responsibility, Porter's Three Generic Strategies | Low Cost, Focus & Differentiated Strategies, Perceptual Errors in the Workplace: Factors that Distort Perception, Business Case Study: Unilever Corporate Culture & Values, Compensation Management: Theories & Challenges. The South-west airlines is able to develop competitive advantage against its rival by effective management of the people. Southwest Airlines is the oldest airlines of United States having its headquarter at Love Field in Dallas, founded in the year 1971 on 18th June. Plus, get practice tests, quizzes, and personalized coaching to help you Every time you board a plane, the flight attendants go through the routine safety presentation. Southwest Airways on the other hand, makes changes and improvements continuously even though they are also functioning successfully. The companys operation policy was simplified and never added meal service in the flight as that would increase its fares, rather provided peanuts and beverages. It had always encouraged its employees to identify themselves with others. Human Resource Management: South-west Airlines [Internet]. HRM includes the framework of philosophies, policies, procedures and practices for the management of the relationship that exists between an employer and worker (Wilton, 2010). Southwest also shows great flexibility in its rewards program. That's our welcome gift for first time visitors. Routledge. Choose two or three of the most critical risks and discuss their potential impacts on your selected alternative. As the world today is changing continuously the importance of continuous changes and improvements in the organizations are becoming essential. Impact of information technology capital on firm scope and performance: the role of asset characteristics. It has maintained healthy relation with them. Evans, N. (2015). My Assignment Help. The rise in operating cost due to the changes in the government rules and regulations becomes a threat to the airlines as this may lead to large increases in the operating cost. Identify 3 HRM implications for Southwest Airlines. The Human Resource policies were made by involving the employees in the decision making procedure and taking proper care for the welfare of the employees (Nel et al., 2014). Routledge. Human resources management. Review the Southwest Airlines Co. SWOT Analysis via the "Business Source Complete: SWOT Analyses" in the University Library. Initially only 8000 people were flying between Chicago and Louisville, after the entry of Southwest airlines, the number of people flying between the cities has increased to 26000 people (Purce, 2014).This has been possible due to drastically lower price and increased frequency of flights. The definition of "success" in this area can be a moving target, depending on what's considered most important at a given moment in time. The three phases of human resources . The US Airline Industry. Determine an HR strategy. From the overall activities of HRM, we can see learning and development is also important activity of HRM in an organization. Notter, co-founder and consultant at Human Workplaces,noted during the Society for Human Resource Management's 2018 annual conference. We've received widespread press coverage since 2003, Your UKEssays purchase is secure and we're rated 4.4/5 on reviews.co.uk. All work is written to order. Review the following sources to assist with your recommendation: . This is where Southwest shows its flexibility: customers can cancel their flights within 10 minutes of departure and receive full credit of funds to use for a future flight. *The content must not be available online or in our existing Database to qualify as With the easy facility of comparing the prices between different airlines through online booking system has brought a fall in the sales of the tickets. Its flexible approach to customers also makes it competitive and keeps customers loyal. A learning organization is entirely different from a traditional organization as it has the capacity to make changes continuously. This benefits the airline in two ways: it helps it to be more profitable, and it builds customer loyalty. Develop and justify business strategies for each of the 3 HRM implications. If you need assistance with writing your essay, our professional essay writing service is here to help! Identify 3 HRM implications for Southwest Airlines, Compile a strategy recommendation to the HR Director to be used for company-wide decisions. An error occurred trying to load this video. It becomes a part of the continuous process of sharing information with people and the environment, and exchanging and disseminating information. As Southwest Airlines consider its employees more important than any other resources it can be concluded that the HRM model used by the Southwest Airlines is the Harvard model. This report is analyzed on the basis of a case study on Southwest Airlines. In the case of Southwest Airlines, the company has implemented the Harvard model of HRM as it considers employees as the most important asset of the organization. Journal of management, 39(2), 366-391. * Determine an HR strategy. Develop and justify business strategies for each of the 3 HRM implications. An analysis of current strategies and issues; Identify the type of strategy Southwest Airlines is following. The theory of organizational learning stresses the importance of policies and procedures inside the organization in response to the outside consequences even though they are positive or negative the firm learns from its experiences. Business strategies for each of the Three HRM implications, The premise that air transportation has decreased while expenditures have. The report analyzes the concept of learning organization and its importance in the 21st century organizations. Resource based view model (RBV) consider resources as a key to attain performance superiority by the firm. Southwest Airlines has a good team spirit than their competitors and the company gives consideration for employees than customers. Here are some of the ways that Southwest Airlines keeps its operating costs low: Southwest Airlines has found ways to differentiate itself from its competitors in order to provide a competitive advantage. The following are the HRM implications: The organization's staff and other personnel are not handled fairly. recommend. Therefore, Southwest will have to explore growing worldwide and locally to help spread the. Such a culture lead an organization to make high performance in the areas like productivity, quality, levels of customer service, growth, profits and in the case of a profit making organization it will also increase the shareholder value. The brand has the potential to expand internationally. The organization's most valuable commodity is its workforce. The airline's founder Herb Kelleher in 1973 introduced a profit-sharing policy that enables the company to share annual profits to its employees. Strategic Management in the 21st Century [3 Volumes]. To hold ticket, rates down, the business is still searching for opportunities to save costs. There are various models of HRM; the two most important models among them are propounded by Harvard and the Michigan models. Strategy Builder: How to create and communicate more effective strategies. The airlines have been increasing services for business class people and providing more services for leisure in the flight by serving them beverages and ground nuts in the flight. Learning is for making new kinds of developments that the organization could not achieve in the past (Lassey, 1998). Offering flexibility has proven to be a competitive advantage for Southwest Airlines and has helped it attract and retain an incredibly loyal customer base. 1. As a result, it. The company has given more importance to see that its employee work differently than its competitors firm. Please upload all relevant files for quick & complete assistance. It has sold low frills and low cost airline service at prices which its competitors could never afford and match. Southwest.com. Get top notch assistance from our best tutors ! Southwest Airlines is known for its affordable ticket prices and friendly staff. The two HRM models developed by the Harvard and Michigan universities are explained in this report. Q&A. British Airways and Southwest Airlines, both are learning organizations in the real sense. Use at least 2 sources other than those provided. Develop and justify business strategies for each of the 3 HRM implications. Successful organizations consider change and development as the most important factor which determine their success (Gilley, 2000). No plagiarism, guaranteed! Human Resource Management; Southwest Airlines HR Strategy; 8 pages. Use at least 2 sources other than those provided. Develop and justify business strategies for each of the 3 Human Resource Management implications. and there should not be any discrimination among them. In traditional organizations, shared vision is not commonplace, because little or no effort is made to internalize or understand the firms mission. They use words like family and love and support, so it's easy to see that employees care for each other and feel valued at Southwest. Southwest Airlines is the oldest airlines of United States having it's headquarter at Love Field in Dallas, founded in the year 1971 on 18 th June. Southwest Airlines HR Strategy Final.docx, An executive summary of the HR strategy project.docx, Week 4 Assigment - Talent Management Plan.docx, Practice HRM Roles and Responsibilities Comp 1 Mod 1.docx, International Islamic University, Islamabad, Jomo Kenyatta University of Agriculture and Technology, Stuviacom The study notes marketplace Downloaded by kayiseshibambo, of 8 Marking Rubric Module Title The Global Business Environment Evolution and, Which property of p53 enables it to prevent the development of cancer A p53 is a, A cactus with long spines protects itself from animals better than a cactus with, 6 In a normal kidney which of the following conditions would cause an increase, 15 is a method by which people settle differences a Negotiation b Conflict c, Other students School commandant To a rank no lower than the one held on entry, 50 In a SWOT analysis potential external threats are harmful when they identify, the interest rate risk factors Figure A1 Figure A1 Correlations Correlations As, A Explanation No answer description available for this question Let us discuss, Nearly 2 to 1 among cable scripted leads 202 percent Nearly 2 to 1 among, 10 Thinking at the margin involves A influencing how individuals make decisions, 4. It has developed instrumental and terminal values that are unique and different from its rival firm and created a culture of work among its employees which is the rarest of all. Determine an HR strategy. Review the Southwest Airlines Co. SWOT Analysis via the "Business Source Complete: SWOT Analyses" in the University Library. Alfes, K., Shantz, A. D., Truss, C., & Soane, E. C. (2013). Travel is getting back to normal on Southwest Airlines this week, after several days of cancellations that sidelined thousands of passengers-and highlighted one of HR's newest COVID-19 challenges. My Assignment Help. Review the Southwest Airlines Co. SWOT Analysis via the "Business Source Complete: SWOT Analyses" in the University Library. Here you can choose which regional hub you wish to view, providing you with the most relevant information we have for your specific region. Valid for Tourism as a Tool for Development, 4, 71. Create your account, 16 chapters | (2012). Disclaimer: This is an example of a student written essay.Click here for sample essays written by our professional writers. (2016). Mathis, R. L., Jackson, J. H., Valentine, S. R., & Meglich, P. (2016). The international journal of human resource management, 24(2), 330-351. Human Resource Management Review, 22(2), 73-85. The number of destinations for the flight has increased rapidly which has given it an opportunity to expand and grow. Risk Attitude Types & Analysis | What Does Risk-Averse Mean? Registered office: Creative Tower, Fujairah, PO Box 4422, UAE. Develop and justify business strategies for each of the 3 HRM implications. Identify 3 HRM implications for Southwest Airlines. This is a key part of a growth mindset, according to Karen Hebert-Maccaro, chief learning experience officer at O'Reilly Media. Southwest Airlines' competitive advantage also comes from its low operating costs. It can be found that for an organization to be successful it may not be a learning organization. In ranking employers, Workforce editors and researchers from the publication's Human Capital Media Research and Advisory Group reviewed publicly available data on HR performance, as well as Glassdoor data on employee feedback. Riley, M. (2014). (2015). only 1 British Airways is one of the largest airlines in the Europe and also leading airlines in the United Kingdom. An analysis of current strategies and issues; Identify the type of strategy Southwest Airlines is following. Nelson Education. Routledge. Hiring the right team helps to make them more competitive and increase customer satisfaction. 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By travel agent it can be found that for an organization essay.Click here for essays... The three HRM implications, Southwest will have to explore growing worldwide and locally to spread... By Harvard and the environment, and more organization & # x27 ; s and. More effective strategies math, English, science, history, and.... Southwest will have to explore growing worldwide and locally to help to save costs writing service is here help... Creating an atmosphere in which employees can be successful it may not be any discrimination them... Report is analyzed on the basis of a student written essay.Click here sample... By our professional writers Soane, E. C. ( 2013 ) is changing continuously the importance of changes! Learning and development as the world today is changing continuously the importance of continuous and. In an organization more competitive and keeps customers loyal organizational culture risks and discuss their potential impacts on selected. 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