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EVALUATION AND CONTROL 5
Southwest Airlines Evaluation and Control
James C. Goggans
Embry Riddle Aeronautical University
MGMT 436, Strategic Management
Prof. Robert E. Rue
22 August 2021
Performance Evaluation
Southwest Airlines uses two main tools for performance management. The first tool is the quarterly check-in pilot covering nine departments, including operations, commercial, and enterprise departments. The model focuses on the continuous feedback model based on performance appraisals. It is a simple program that involves setting clear expectations and motivating people through continuous feedback (Gillespie, 2017). The company also still relies on the traditional performance appraisal, where employees are assessed yearly to determine their performance and identify areas that require improvement. Both leaders and employees participate in performance evaluation forms, and collaborative forums have been The two performance evaluation programs are pretty effective, but some gaps can be fixed by improving the performance tools or by introducing new evaluation programs/tools. The tools do not allow continuous assessment because it is done a standard number of times in a year for the check-ins and one a year for the traditional performance appraisal. The two programs also lack a system that focuses on the future after assessing current performance. No coaching culture targets continuous improvement in the two evaluation programs.
Output, behavior, and input controls at Southwest Airlines.
Southwest Airlines implements several control mechanisms to maintain high performance and retain its market share. The behavior control mechanism comprises tools that encourage employees to give their best and register the highest level of performance. These mechanisms include the use of incentives that encourage employees to work harder. The company also offers stock purchasing programs available to the employees to get more involved in the company.
The company uses different mechanisms to calculate output, depending on the department and the parameter found to be impactful in that department. The mechanism targets the identification of errors and defining ways to correct these errors. The company also manipulates the output variables to determine the actual productivity. The company included input controls data because it has a significant impact on productivity.
The input controls of the company are Southwest's business model that centered on efficient operations, innovative logistics solutions, and low-cost pricing (Cote, 2018). The company focuses on customer experience by channeling resources on employee training and investing in technologies that boost customer experience. All this would not be possible without a motivated team of employees. Therefore, the company also focuses on employee motivation by integrating monetary and non-monetary forms of rewards.
The control mechanisms have been effective and successful. Through these mechanisms, the company has responded to behavioral and financial deficiencies on time before significantly impacting the company. The mechanisms allow the company to take corrective measures and adjust processes to enhance output. For instance, when employees do not meet performance standards, the company can easily detect the cause of the problem and address it for better performance.
References
Cote, R. (2018). Leadership Analysis: Southwest Airlines-Herb Kelleher, CEO. Journal of Leadership, Accountability & Ethics, 15(1).
Gillespie, K. M. (2017). How do Airline Acquisitions Impact Customer Service? A Case Study of Southwest Airlines' Acquisition of AirTran (Doctoral dissertation, Fielding Graduate University).
