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Case 27 Southwest Airlines

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Case 27 Southwest Airlines
1.0 Summary of Southwest Airlines: Does “LUV” Last?*

First time in history, Southwest Airlines had its “LUV” for customers questioned. The Federal Aviation Administration (FAA) levied a record $10.2 million fine on Southwest Airlines. They accuse them after missing mandatory safety checks of flying 117 planes on nearly 60,000 flights between June 18, 2006, and March 14, 2007.

Both the FAA and Southwest testified. FAA officials were blamed for being “too close” to the airline and being careless in their regulatory duties. Safety was not compromised by the missed inspections; a tiny section of the plane’s skin had missed being inspected. The cracks in that section would not have led to any terrible accident. The planes should have been taken out of service when it was known that they missed inspection said Southwest Chairman, Herb Kelleher and Chief Executive, Gary Kelly. A “black eye” on the airline’s safety record, according to Gary Kelley.

1.1 Background and Growth Southwest Airlines traces its roots on March 16, 1967 incorporation of Air Southwest Co. by Rollin King and Herb Kelleher to provide service within the state of Texas. The idea of opportunity for an intrastate airline was suggested by Rollin King, a San Antonio entrepreneur who owned a small commuter air service when his banker complained about the issue. While Herb Kelleher is a New Jersey born, Ney York University Law School graduate who moved to San Antonio in 1967 to practice law.

1.2 The SWA Leadership and Culture Kelleher truly believed that business could and should be fun as at Southwest Airlines they have this culture where they won’t hire people who humorless, self-centered or snobbish. In Southwest, they choose to have people department instead of human resource department there. Recruitment guidelines are based on “Hire for attitude and train for skills,” which to Kelleher believed was the most important principle. Mostly,



References: ▪ Inc, W. F. (2011, June 2). Retrieved from Southwest Airlines - Wikipedia, the free encyclopedia: en.wikipedia.org/wiki/Southwest_Airlines 6.0 Appendix [pic] 6.2 Southwest Airlines Boeing 737-3H4 N609SW (msn 27929) (California One) BWI (Brian McDonough) [pic] A great up-close sharp shot of Southwest Airlines ' Boeing 737-3H4 N609SW (msn 27929) dubbed "California One"

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