Question

Compile a strategy recommendation to the HR Director to be used for company-wide decisions. Include the following information in your report: An executive summary of the HR strategy project An analysis of current strategies and issues Identify the type of strategy Southwest Airlines is following. Identify 3 HRM implications for Southwest Airlines. Develop and justify business strategies for each of the 3 HRM implications. Determine an HR strategy.

Answer 1

Title: Human Resource Implications and Southwest Airlines Strategy

Introduction

Southwest Airlines is a major American airline and the world largest low-cost carrier in the segment. The company established the operation on March 15, 1967, and presently has 60,000 employees and operates around 4,000 departures every day during the peak schedule season. The company operates mainly in the domestic segment of airlines with 103 destinations inside the United States and 10 other countries.

Strategic human resource management is the connection between organization human resource strategies, goals, and objectives. The major aim of the strategies in HRM is to develop a matching with the organization culture, ensure to develop or increase business performance, and advance competitive advantage with more flexible innovation.

Strategy Model

The company has a very engaged workforce and strong corporate culture is the very crucial success story of Southwest Airlines. The company is famous for affordable ticketing, efficient operations, low-cost pricing policies, innovative logistics solutions, motivated or friendly employees, and the right human resource management is crucial to maintain both characteristics inside the culture of the company. The major elements are (i) The company has a policy of the HR managers and top management leadership to know the strategies at first-hand priority for the involvement process, (ii) human resource strategies always connected with the buy-in, professional intakes, and technological advancements in the boarding as well as the ticketing, (iii) Human resources initiatives always connected with the company human resource management strategies and corporate culture, and (iv) The performance-based appreciation, motivation is a core strategy, and measuring of the strategic goals is mandatory.

Three HRM Implications and Business Strategy

The human resource implication is a crucial part of every organization or the much strategic way of managing the most valuable assets in the company, i.e., human resources. The major implications of employees as an individual or collectively ensure the attainment of objectives and organizational goals. The two important models are Harvard and Michigan models, and one model connected to business policies and activities are linked with its business strategy. The different components are organization structure, human resource selection, mission and strategy, performance appraisal, rewards, and development.

(i) Rigid hiring policy (Recruitment): The rigid hiring policy is always connected with the company culture of more engagement to the core values and strong policies. The strong culture of hiring the right people is the most valuable competitive advantage of the organization. The rigid hiring policy connected to people-oriented, approachable, and friendly employee’s cultures in the airline. The company always value the individuals who value the brand awareness and passion to serve the customers through inflexible policies or hiring practices.

(ii) Employee training facilities (Training and Development): The Company has invested more energy, time, and money for the training and development of employees in the company. The Training and Operational Support (TOPS) building and Leadership Education and Aircrew Development (LEAD) center is established and opened for the employees to train and accommodate the recruited staff for the league. The business strategy is also similar to the implication because the culture is evolved from the passion and development.

(iii) Profit-Sharing policy with employees (Performance Management): The profit-sharing approach motivates the employees to perform more for the value and growth of the company. The employees are motivated towards the achievement and shareholders model w.r.t. the company growth and development. The company has a business strategy to serve best to the customers and offer affordable pricing for the money paying for the travel. A similar kind of approach is applicable to employees also if they offer better productivity, the company will share profit in return. The company is founded by the principle of ‘our people-first approach guided the company’ in the long run.

Conclusion

Southwest airlines always showcase the fact of learning organizations always become successful in the long run of business operations. In the modern environment, the constant improvements and the importance of continuous changes are essential. The success of the airlines embodies in the well-staged business models and qualitative employee development.