The Southwest Effect -- Successful Practices of a Market Leader Presented By: Jason Young
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The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young The Southwest Effect Successful Practices of a Market Leader CULTURETOPIA CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young The Emergence of Southwest • Founded by Herb Kelleher and Rollin King in the late 60 ’s • Designed to be a low cost high frequency carrier serving Dallas, San Antonio and Houston • After several years of legal battles with other airlines, Southwest won their certificate to fly in Texas in 1971 • From the very beginning the employees of Southwest wanted make flying fun and available to all of the traveling public not just business travelers, the wealthy and celebrities CULTURETOPIA The Emergence of Southwest • Consumers, particularly corporate travel departments, became more price-sensitive in the 80 ’s • Consumers began to redefine quality more in terms of reliability • After about 20 years of operation, Southwest gained national attention in early 90 ’s by winning California intrastate markets from other major carriers • During the Gulf War crisis, Southwest expanded while other airlines shrank CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young Continued Growth • While other airlines struggle to achieve 3 or 4 consecutive years of profitability, Southwest has been profitable every year since 1973 “The most successful airline in history… ” CULTURETOPIA “Southwest is having a profound effect on the airline industry. Southwest’s much lower operating costs are making it the dominant airline today in the sense that Southwest, more than any other airline, is causing the industry to change. Other airlines cannot compete with Southwest in the same manner as they do each other. ” Department of Transportation report CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young Culture Drivers Most Loyal Southwest Customers will say: • Low Cost • Lean/Efficient Operations • Reliable Service • Fun and Enthusiastic Employees • Customer First Attitude CULTURETOPIA CULTURETOPIA High Performance High Performance Low Fulfillment High Fulfillment Low Performance Low Performance Low Fulfillment High Fulfillment CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young Performance What Drives Performance? Teamwork CULTURETOPIA CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young Performance People Tension Relational Coordination CULTURETOPIA Performance People Tension Relational Coordination CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young Performance What Drives Performance? Teamwork Culture CULTURETOPIA CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young Change Culture Startup Growth Maturity Learn Change Risk-Taking Growth Culture Innovation Culture Learning Culture Culture Cycles Building Heated Competition Don’t lose your edge! Recruiting New products? Learn your way to the New strategy? next level? Managing What ’s next? Startup Culture Risk-Taking CULTURETOPIA Comfort Zone Renewal Equilibrium Culture Change Denial Confusion, Resistance Trial & Error CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young PEOPLE CULTURE CULTURETOPIA Performance Values What Drives Performance? Teamwork Culture CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young CULTURETOPIA CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young Starbucks Features of Starbucks Coffee’s Organizational Culture Servant Leadership (“employees first”) Relationship-driven approach Collaboration and communication Openness Inclusion and diversity Starbucks Coffee’s culture is a key success factor in the business. The company uses its organizational culture as a distinction from competitors. CULTURETOPIA Southwest Airlines Vision The Vision The Purpose The Mission of Southwest Airlines of Southwest Airlines The mission of Southwest Airlines is dedication to the highest To become the world’s Connect people to what’s quality of Customer Service most loved, most flown, important in their lives through delivered with a sense of warmth, and most profitable airline. friendly, reliable and low-cost friendliness, individual pride, and air travel. Company Spirit. CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young Customer Service Focus Southwest Airlines is a customer service company that happens to be in the transportation business. The level of service you give externally will only be as good as the level you give internally. CULTURETOPIA THE MOMENT OF TRUTH CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young Moments of Truth Perception Values CULTURETOPIA 01 Appearance 02 Facial Expression What People Notice 03 Eye Contact Body Movement “The 4 Minute Sell” 04 Research by Janet Elsea 05 Personal Space 06 Touch CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young Sending & Receiving Gestures 55% Emotions Tone 38% Albert Mehrabian Professor Emeritus of Psychology, UCLA Words 7% CULTURETOPIA Culturetopia “Best Practices” Clearly define goals and expectations. Provide the tools and training to ensure success. Get people using their talents and strengths. CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young Soar with your Strengths By Don Clifton 90 wpm 300 wpm 6 week speed reading course 130 1500 wpm wpm $ CULTURETOPIA Culturetopia “Best Practices” Clearly define goals and expectations. Provide the tools and training to ensure success. Get people using their talents and strengths. Give frequent recognition and praise. Encourage continuous learning and development. Listen more than you talk. CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018 The Southwest Effect -- Successful Practices of a Market Leader Presented by: Jason Young ListenSilent CULTURETOPIA Thank You Connect with Jason Young Phone : (877) 995-2273 Email : [email protected] Web : www.culturetopia.com Twitter : @Culturetopia CULTURETOPIA 2018 Frame Building Expo Keynote Presentation - Wednesday, February 14, 2018.