"Think small and there is room for expansion."
This is another one of those counterintuitive thoughts that have to be digested a little to understand their power.
Everyone seems to thing in terms of big and huge, fast and furious. Those not lining up with those attributes are many times said to be on the road to failure. In reality, most the time it's the opposite.
When Kelleher spoke about thinking small, one of the things he was referring to was taking care of one thing at a time. When one hub was focused on and worked until it was established, Southwest Airlines (LUV) would then go on to the next challenge and focus their energy on that.
The other side of it is the idea of growth over a period of time. While anybody with a large enough credit line and a little guts can grow a company fast, most the time it's really an unhealthy thing to do. Think of teenagers that go through growth spurts and they can't keep up their dexterity with their increased stature.
A business that grows too fast has the same problem, especially when it comes to customer service. They pay for their growth with poor customer service and as a result: reputation.
Thinking small is a great strategy for healthy, strong growth. Growth that is sustainable through properly trained and solid customer service people will end up lasting for a long time, over growth artificially created simply because we may have enough money to do it.
Think small, train small and grow small; in the end that's the real secret to growing a large, healthy company.
Other Herb Kelleher Sources:
Herb Kelleher on the Record, Part 1
Belief Model for The Leadership of Herb Kelleher (Southwest Airlines)
Herb Kelleher, Chairman, CEO and President, Southwest Airlines
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