SOUTHWEST AIRLINES

PRESENTED BY

NAME REGISTRATION NO

Nazmul Azim Supan 2009731005

Ayesha Akter Bristy 2009731010

Nahian Ahmed Chowdhury 2009731016

Abdul Malek 2009731043

Kawsar Mahmud Chy Tarek 2009731062

History of Southwest

• 1971-1994:• Unique low cost carrier is born• Golden Triangle (Dallas-Houstan-San Antonio)• Ten minute turn around time• Spreading on the “LUV” theme• Self-ticketing machines• Over 22 aircrafts• Ranked no. 1 in customer satisfaction• Wins the 1st monthly & later on annual Triple Crown• Introduces Ticketless Travel in 4 cities.

ORGANIZATIONAL CULTURE

“Doing the Right Thing”

Mission: “Dedication to the highest quality of Customer

Service delivered with a sense of warmth, friendliness, individual pride, and Company Spirit.”

SOUTHWEST SPIRITWarrior Spirit

– Work hard– Desire to be the best– Be courageous– Display a sense of urgency– Persevere– Innovate

Servant’s Heart– Follow the Golden Rule– Adhere to the Basic Principles– Treat others with respect– Put others first– Be egalitarian– Demonstrate proactive Customer Service– Embrace the SWA Family

SOUTHWEST SPIRIT

Fun-Loving Attitude• Have FUN• Enjoy your work• Celebrate successes• Maintain perspective (balance)• Be a passionate Team player• Don’t take yourself too seriously

Competitive Analysis

RivalryJet blue

SuppliersMaintenance People Fuel Providers

Food Providers

Substitutes1. Brand competition

Continental Airlines & American Airlines

2.Generic competition train (Amtrak) and bus(Greyhound)

CustomersLeisure travellers,Businessman, College students

CompetitorsBraniff, UnitedShuttle, Delta, Trans

VALUES : 5 F’s

• Flamboyance• Freedom• Fun• Freshness• Family

A FAQ

SUCCESS STORIES

• Major airline to make profits(1990,1991 and 1992)

• Fewest Customer Complaints

• Ranked one in the airline industry

• Ranked second across industry

• More passengers, fewest employees

• Investment grade credit rating

SWOT ANALYSIS

Strengths

Fast Turnaround. Committed Workforce. Strong Management

Team. Focus on PSP(People-

Service-Profit)!!! Competitive Advantage First Mover Advantage

Weakness

Fully valued Share Price

Limited Alliances

Opportunity Threats

Weaker Competitors International Expansion Take up routes abandoned

by competitors. Long haul flight - Tap

undeveloped market. Dominant position -Offers

pricing power High fuel prices – Exit of

unprofitable competitors

Competitor -Jet Blue Airlines

Internet reliance –Risks (system disruption)

No frills > limit frills - Increase operation cost.

Southwest’s Performance

• Only major US airline in 1990, 91, 92 to make both net & operating profits.

• Averaged more than 12% return on investment & 23.6% return to shareholders.

• One of the few airlines in the world with an investment grade credit rating.

• Ranked first in the airline industry in fortune magazine’s 2002 America’s Most Admired Companies list.

RECOMMENDATIONS

• Continued Gradual Expansion

• Maintain their success story

• No Internationalization

THANK YOU