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Job Title
Sturgeon, K
Elian, S
Hillman, B
Belfer, L
Irvine, P
Drabik, H
Lehto, D
Perez, W
Yanodori, J
Tsui, A
Mahoney, T
Ragusa, H
Bradshaw, F
Nigh, A
Chapman, C
Carson, F
Freking, J
Schwab, D
Hernandez, M
Madsen, J
Bauman, C
Silbert, S
Lee, K
Hiller,G
Heneman, H
Administrative Aide
Administrative Leader
Clinical Liason
Clinical Liason
Graphics Designer
Graphics Designer
Market service reprensentative
Market service reprensentative
Programmer analyst
Programmer analyst
Project leader
Project Support Assitant
Project Support Assitant
Quality assurance analyst
Quality assurance analyst
Senior quality assurance Technician
Senior quality assurance technician
Software user interface architecht
Software user interface architecht
Training Assistant
Training Assistant
User interface designer
User interface designer
Visionary Champion
Visionary Champion
American Airlines
Employment Security:
Though the benefits and salary provided was less, AA provided
employment security. This helped reduce the costs as well as
improve the employee performance
Wage Negotiations
The 1989 TWU negotiation resulted in a performance based reward
system for a smaller percentage increase in base wages.
Merging the tiers
Agreeing to the trade unions and entering into a contract to increase
the salaries for pilots and reducing the merge point of co-pilots from
nine to six years was not in line with the low cost strategy.
However, the salaries that were given to front end employees was far
less compared to those of pilots. Also, the employees could note the
paradox of opposing Crandalls preoccupation with cost cutting while
applauding his cost containment strategy for helping to create rapid
growth and opportunities.
Lower Cost
Southwest airlines
Southwest airlines contained labour costs by curtailing on benefits. They did not offer
club memberships, company cars and separate hotel stay for officers. Also to contain
the labour costs the SWA hired very less number of MBAs and they preferred people
without extensive industry experience, what mattered most was the cultural fitment.
Also, below market wage were offered to clerical and management positions, however
there was enough flexibility option provided as an advantage where the employees
had an option of working for more hurs to earn more. A culture of informal teamwork
and helping each other was encouraged where even a pilot could help in cleaning the
aircraft or check passegers at the gate or loading the bags. This helped in
maintenance of a turnaround time of 15minutes,despite the fact that gates are
manned by by single agent and fewer ground crew.This further helped them to spend
an average of 11 hours in air daily as compared to industry average of 8 and earn
more revenue at low costs. Low fares frequent flights help to increase passenger
volume.
Leadership at Southwest
Herb got best out of employees who work for him. He created a culture of
inclusiveness and promoted professionalism to be worn lightly. Barrett, Southwests
human resource professional also reflected the relaxed management style.
Recruitment: Southwest airlines ensured that they are extraordinarily selective in its
recruiting to hire culturally fit employees whose attitudes and team working knack fits
with the company. This leads to higher committment on employees behalf thereby
increasing the employee's productivity
Training Programs
Southwest had all in-house training programs. This helped their employees to gather
desired skills and use them in their daily work. There were multiple programs like:
New Hire Celebration: Induction program
Special 80 hours of training for supervisors
The Climb: Outward bound course. It helps in generating emotional contact which is
necessary to foster change.
Cordial Labor relations
Despite the fact, there were nine unions at Southwest airlines; Herb could get union
people to identify personally with the company. There were