Devoted to Managers and those that seek to improve their management skills

Kelleher Walked the Talk

When Southwest Airlines (LUV) began, they only had four planes and less than 70 employees. It didn't take them long to run into financial trouble, which brought forth a dilemma that would challenge the beliefs of Kelleher and Southwest.

They were immediately faced with the problem of laying off some of their people or selling off one of their planes. They decided to do the latter, not the usual choice for a business.

What did they ask for in return? They requested that their employees cut gate turn-arounds down to 15 minutes. They responded with great success.

What this did was create one of the most beneficial, friendly management/labor relationship in the airline industry, if not in the vast majority of industries.

That's the one thing about business, you will be sure that what you stand for will be tested and an easy way offered that looks good for the short term. In the case of Southwest, it was part of their culture from the beginning to run as lean as they could and help people to keep their jobs as long as they wanted to work for the company.

When Southwest was tested right away, they passed with flying colors, and set the stage for one of the most unique business stories of the 20th century. It was all because Kelleher decided that what he had talked he would also walk, no matter what the short-term results would bring. The workers responded by doing what was needed to make the decision work - everybody won!

Other Herb Kelleher Sources:

A Culture of Commitment

HERB KELLEHER

The wild turkey

Herb Kelleher on the Record, Part 1

Herb Kelleher Talks about How Southwest Airlines Grew from Entrepreneurial Startup to Industry Leadership

Belief Model for The Leadership of Herb Kelleher (Southwest Airlines)

Herb Kelleher, Chairman, CEO and President, Southwest Airlines

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