1. Resources, Capabilities and
Organizational structure

2. Resources

3. Tangible Resources
• Financial Resources - Southwest has always managed its cash well . In the
financial year 2011 , the airline had generated 985,000,000 with an
operating income of 262,000,00 and a credit value very good.
• Physical Resources : The size of fleet in 2011 was fleet of 698 Boeing 737-
717 aircraft .
• Technological Resources - Southwest has always believed in cutting down
additional cost, achieves business objectives and maintains its efficient
operations. ticketless travel was first introduced by Southwest .Southwest
intends to continue to devote significant technology resources to
accommodate the introduction of the 737-800 into the Southwest fleet
and to implement a new reservation system that will allow the Company
to add international destinations and improve revenue management and
Customer Service functionality. The company 's website is responsible for
46 of the revenues and the website has the one of the largest number of
clicks per day among all the airline operators

4. Intangible Resources
• Human Resources - Southwest airlines increased its employee
strength from 195 in the year 1971 to approximately 45 ,000 in the
year 2011 consisting of 19,000 flight,
• 3,000 maintenance, 20,000 ground, Customer, and fleet service,
and 2,000 management, accounting, marketing, and clerical
personnel . The airline has never laid-off an employee during this
period . The company 's management team was excellent be it the
president Herb Kelleher , CE James Parker or COO Colleen Parker
•
• Reputation Resources - The brand value of Southwest is one of the
most unique in its area . The airline in addition to being known as a
low-cost airline , Southwest is also known for its excellent service
and quirky attitude . The customer associate the name Southwest
with an airline that is fun to fly with , caring and also economical

5. Capabilities
• Management - The management of Southwest is considered to be one of most
dynamic of all times . The management policies introduced by Herb Kelleher are
considered by industry analysts to be intuitive and effective . This quality is also
shared by other members of the management chiefly the COO Colleen Barrett.
• Distribution - By April 2011 , Southwest was operating in about 73 cities in United
States . The growth plan has been conservative with only a few cities being
researched and added each year .
• Marketing - Southwest has always been aggressive in promoting itself The slogans
of the company are as famous as the airline itself . The most famous example was
the ad Nobody 's going to shoot Southwest mott of the sky for a lousy 13 , in 1973
, when Brainiff airlines started selling the tickets for one of its routes at the price
for competing with Southwest
• Human Resources Management - Southwest has always maintained good relations
with the employees . The company has 81 of its labor unionized and the pilots
prefer to belong to an independent union instead of the usual...
• Southwest hiring policy is unique not only within the airline industry, but also
more broadly, and revolves around finding people with the right attitude that will
thrive in the Southwest culture. Extensive procedures are employed to hire for
positive attitude and dedication.

6. The organizational structure of
Southwest Airlines
• Functional structure.
• There are three layers of management.
• The values are considered as the core of their
organization which include quality, reliability,
action, informal communication and feedback.
• Job specialization doesn’t go as far with other
airlines like it does with Southwest. An example
of this is in order to reduce the turnaround time,
pilots help to clean the aircraft which rarely ever
happens