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Southwest Airline Strategic Analysis

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Southwest Airline Strategic Analysis
Southwest Airline Strategy Implementation

Executive Summary An analysis of Southwest Airlines strategic controls has been conducted in order to determine if these controls match, and or enhance, the companies design and strategy. The company structure, culture, and human resources have been taken into consideration. What was found, was that Southwest has a strong culture, which ties most of the strategies together. Supervisors and employees work side by side, which promotes trust and understanding. This analysis concluded that the strategies implemented by Southwest Airlines, does indeed fit the company strategy.
Introduction
This analysis is of Southwest Airline’s strategic controls and if those controls coordinate with the organizations current and future strategies. Several factors will be reviewed to see if they are in accordance with the current economical and corporate structures. The structure of the organization, its systems, the employees, and the very culture of Southwest will be reviewed. Once the review is complete, an analysis of whether or not these organizational components fit in with Southwest current strategy. This report hopes to confirm that the current strategy is in line with company policies and will continue to be so in future endeavors.
Strategy Implementation Analysis The first aspect of Southwest that will be analyzed is the organizational design. Southwest is considered a “formal” organization. Wikipedia described a formal organization as , “…a fixed set of rules of intra-organization procedures and structures. As such, it is usually set out in writing, with a language of rules that ostensibly leave little discretion for interpretation” (Wikipedia). Southwest Airlines follows this principle and therefore can be said to be a formal organization. The company’s structure is such that, like other airlines, it is “centralized”. The corporate headquarters is located in Dallas, Texas where most of the organizational



References: (N/A). Organizational Structure. In Wikipedia. Retrieved from http://en.wikipedia.org/wiki/Organizational_structure Pryor, M.G, Singleton, L.P., Taneja, S. and Toobs, L.A. (2009). Teaming as a strategic and tactical tool: An analysis with recommendations. International Journal of Management, 26 (2), 320-334. Retrieved on August 15, 2011 from: http://wf2dnvr2.webfeat.org/KAffM1925/url=http://content.ebscohost.com/pdf23_24/pdf/2009/1LM/01Aug09/43465818.pdf?T=P&P=AN&K=43465818&S=R&D=bth&EbscoContent=dGJyMMvl7ESeqLI4v%2BvlOLCmrlGeqK5Ssqy4TbOWxWXS&ContentCustomer=dGJyM Southwest Airlines. The Rise of Southwest Airlines. Retrieved July 2012, from Advance Business Consulting website: http://www.advancebusinessconsulting.com/advance!/strategic-alignment/strategic-alignment-business-cases/the-rise-of-southwest-airlines.aspx Gittell, Jody. (2003). The Southwest Airlines Way: Using the Power of Relationships to Achieve High Performance. Summaries.com, Retrieved from http://www.theclci.com/resources/TheSouthwestAirlinesWay.PDF Brett, McElhaney. (2010, February 17). Southwest Airlines Case Study: Using Human Resources for Competitive Advantage. Enterprising Mind Business Perspectives, Retrieved from http://mcelhaney.wordpress.com/2010/02/17/southwest-airlines-case-study-using-human-resources-for-competitive-advantage/

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