Quality – WestJet’s culture emphasizes a fun and friendly atmosphere for all travellers and empowers employees with bottom-up management. Customer service is of the utmost importance to WestJet and is shown in the enthusiasm of it employees, which is yet another competitive advantage over its competitors. Delivery – WestJet has been able to implement changes in its operations with the use of dual boarding and the continued use of the same type of planes. Because of this, they are able to boast that they have the best on-time arrival performance to its competitors within 15 minutes of the original scheduled time. 3.
Southwest’s traditional pricing strategy has been the choice of buying cheap airplane tickets for just basic transportation services, without any extra service, such as meals. This pricing strategy was so successful throughout the airline’s first three decades because their strategy was the complete opposite of competitors. The airline did not serve major airports, but second-tier destinations where the costs were lower. They only served snacks on the flights, and employees were offered a profit sharing plan in place of a retirement plan. All of these elements helped cut costs and make Southwest profitable every year since its founding.
Control Mechanisms used at Southwest Airlines Company University of Phoenix MGT 330 Management: Theory, Practice and Application June 30, 2008 Southwest Airlines Company Southwest Airlines is a vibrant organization due in part to its positive corporate culture. This culture attracts dynamic workers to the organization whom are encouraged by management to be innovative and grow as leaders while supporting and promoting the mission of the airline. This culture at Southwest Airlines was established through effective planning, organizing, leadership and control. To maintain this culture and the success of the airline, the function of control mechanisms is vital. Systems must be put in place to monitor performances and outcomes to ensure that the organizational goals of Southwest Airlines are being met and exceeded.
Not to mention, the startup of some discount airlines such as Southwest has hurt the major airline companies even more. There are numerous strong competitors that offer similar services, with many using the same routes as Southwest. There are approximately 28,000 commercial air flights every day, keeping the airline travel market very saturated. With the high number of flights and number of routes
United Airlines On the surface the Wall Street Journal (WSJ) report sounds very impressive. As if the homework done and the facts and figures provided show they know more about the airline and their business than possibly the airline itself knows. I think the WSJ may have a few good points about the cost of the flights from San Francisco to Washington, D.C. But they can not possibly know everything that goes into how and why and airline provides flights to certain segment of customers. For an airline to simply apply a percentage or portion of the costs of airport fees, baggage handlers, ticket agents and building charges to each flight to cover the costs of sunk or overhead costs would most likely eliminate 60 to 70 percent of the flights they provide.
Advances such changing engines from piston to jet engines and new software allows aircrafts to function more efficiently with less wear and tear and for longer period of times. Additionally, Delta’s changes in depreciation from 1986 through 2006 had a positive effect on the company’s financial statements. Although depreciation does not affect cash flows or revenue, it does have an effect on the bottom line. By stretching out depreciation, Delta decreased its depreciation expense resulting in higher net income. This is very beneficial for Delta; the airline industry is always being pressure to show more profits and results.
This leader can multitask and have a connection with employees to make a difference, which is the strength for this approach. The weakness will appear to be off in organizing, but this leader will recognize and make changes accordingly, so the organization is on the right track for success. The example of Herb Kelleher is a prime example of the behavior approach, and Southwest Airlines is a thriving travel business all because he put his employees first, because they can make or break a company’s ongoing prosperous future. Good leaders are made not born (Jago,
JetBlue Airline LOW COST LEADERSHIP MODEL OPERATIONS - Low-cost leader because of full planes, hedging of fuel, pilot training, and maintenance costs - 100% ticket-less reservations - Agents work from home at a lower rate than other airlines - Pilots paid less because there is no seniority standing - Only offer snacks instead of meals, which helps to keep costs down SALES & MARKETING - True blue frequent flyer program - Satellite televisions free in every seat on the plane - Strong word-of-mouth from previous passengers - Several marketing awards noticing their hip and humorous advertising, 2002 & 2003 - First to book flights online, technology SERVICE - Self-service kiosks for those passengers who are in a hurry - Agents who walk around and help guests check-in, portable devices - Flights are never over-booked, also all passengers are assigned a seat - Pilots will load baggage to ensure on time departures - Leg room has been extended to 34”, from the industry standard 31” JetBlue has tried to position their company in the airline business as a low-cost leader that provides quality service. The problem with this type of position in the airline business is that although there are only a few substitutes, they are very strong. Many different new airlines have attempted to enter the market, such as People Express Airline, who in the early 1980’s attempted the same strategy as JetBlue and failed. JetBlue has been able to fight off rivalry from fellow competitors since they were incorporated in 2000. JetBlue has an economy of scale for cost on a seat per mile basis, even surpassing Southwest airlines.
Human beings are exchanging more and more thoughts and cultures everyday with advance of the airplane. Airplanes contributed to cross-border diplomacy and foreign trades. As the invention enables foreign diplomatic representatives to meet at the same place with ease, they can make negotiations and agreements much faster. Moreover, aerial trades made a contribution to liberalization and expansion of trade. Compared to past trades with ships, for instance, airplanes
The cheapest way to travel around the world. Write now Article Tools by James Johnson The cheapest way to travel around the world is to get paid for traveling around the world, and there are several ways to do that. To start with, there are always airline companies looking for employees will to travel. If you have the right qualifications and can pass their entrance requirements, you can get a job that requires you to travel. Grant you there are few airlines that go all the way around the globe, but they will usually have exchange programs with sister airlines and you can go any where.