But just this last year, there’s even more of an appetite for it. We’ve always had a lot of companies reach out to us because of our legendary culture. What do you say to other companies looking for advice on culture? But we realize having fun and working hard are equally important. A lot of organizations shy away from that. But also, we’re known for our fun-loving attitude. We just happen to fly airplanes.īeing a caring airline comes down to having that servant’s heart, putting others first. Southwest is about the people who work here and the people we serve. We’ve always referred to that as the People Department. One example is we don’t have a Human Resources Department. That they’re involved and that they feel included.Īre there examples of how you approach culture differently and retain staff? It’s ensuring that your employees’ voices are heard. And then bringing in the right complement of other people throughout the organization. We were blessed with our founders Herb Kelleher and Colleen Barrett. Second is making sure you get the right senior leaders in place. That is something you’ve got to stay focused on and be true to. First you have to be really clear about your vision and your values. There are three elements that matter the most. What’s the secret behind Southwest’s distinct culture and engaged workforce? Employee satisfaction, in turn, translates into exemplary customer service and superior shareholder returns that consistently outperform competitors and indices – between September 20, Southwest’s share price grew nearly 400 percent. One reward for that emphasis on culture is a strong loyalty: the average tenure of a Southwest employee is 11.5 years and, with 55,000 employees, turnover hovers around 2.5 percent. At Southwest rallies, Kelly, CEO since 2004, shoots T-shirts into the crowd from a bazooka-like contraption. He also engendered the playful spirit of the airline, whose flight attendants often amuse passengers with jokes and serenade them with songs.Ĭurrent CEO Gary Kelly has sustained and even expanded that tradition. The creator of this vibrant culture, Chairman Emeritus Kelleher, understood from the outset that employees “luv” (the Southwest spelling it is also the company’s NYSE stock symbol) being part of a team that treats every member as important. In addition, the airline also holds employee events called Spirit Parties, Culture Summits and Blitzes. Thousands of employees travel on their own dime to these rallies to hobnob with executives and listen to inspirational speeches. As society and technology change, so do the needs of employees.Įach year, Southwest holds rallies at four different locations around the country. Like being a good friend or family member, being a thoughtful and inspiring employer requires constant attention and adjustments. Hughey says there is no checklist of amenities or privileges that creates an engaged workforce. Southwest established the American industry’s first profit-sharing plan in 1973, and has long been a fixture in the top ranks of lists of the best places to work. It has posted 44 consecutive years of profitability, a record unmatched in the US airline industry. The number of moving parts in a Boeing 737 is nothing compared with the human requirements of running a major airline, a feat that no carrier in the world accomplishes with more consistency and success than Southwest. It takes commitment by your senior leaders.” “When you think you’re there, you’re in the danger zone,” says Hughey, a 37-year veteran of Southwest. The creation of a highly motivated workforce, after all, is a process without end. Southwest founder Herb Kelleher all but invented the discipline.īut the airline’s well-established reputation for engaged workers is exactly what worries Cheryl Hughey, Managing Director of Culture at Southwest. That a publication devoted to employee engagement would include Southwest Airlines will come as no surprise. Email Southwest Airlines’ Managing Director of Culture, Cheryl Hughey, speaks about the elevation of workplace culture
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