Solved: Management Strategies Any developments in organizational structure for Southwest

1) The organizational structure of Southwest Airlines is known for being functional. There are three layers in the Southwest Airlines management. The core values are considered to be the strength of the organization. They are – quality, reliability, action, informal communication and feedback. Developments in the core values will make airlines even more successful.

2) Business process reengineering is one of the major tools that SouthWest Airlines have used. By improving its current processes and the way the company uses Information Technology in all its key processes tells that SouthWest Airlines is a successful example of the company that uses BPR. In order to keep itself competitive and have competitive advantage in the industry, they continuously re-engineer their strategies to keep themselves successful and original.

3) Some of the core competencies that are available for SouthWest Airlines are :

1. Good labor relations with its employees despite allowing unionization in the organization
2. Southwest airlines uses only one type of an aircraft. This helps to reduce the training and maintenance costs
3. Low fares and low cost structure.
4. Value creation to its customers
5. Contracts with fuel suppliers allow them to save more on fuels.

4) Southwest Airlines improves its productivity by using virtualization and by enabling ‘IT as a service’. Southwest is innovating and adapting with IT as a compelling strategic differentiator. They are trying to provide what their customers and employees want, and are constantly looking out for ways to improve Southwest airlines and make it a better place to travel of its customers and better place to work for its employees. They are good at capacity management by being able to get the right capacity with right applications at right time to increase the productivity.