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Running Head: Southwest Airlines - Performance Management and Training 1 Southwest Airlines - Performance Management and Training By Alina Walenga Lori White Fundamentals of Human Resource Management BUS3040 May 18, 2020
SOUTHWEST AIRLINES - PERFORMANCE MANAGEMENT AND TRAINING 2 Southwest Airlines - Performance Management and Training Performance management is a complex system of processes that aims to provide insight to management into employees’ productivity and how they contribute to the overall organizational goals. Evaluation of employee performance is conducted through assessments, and based on feedback, managers and employees work together to achieve organizational goals. Employees and the organization benefit from hiring individuals whose values align with those of the organization. Southwest Airlines – Company Overview Southwest Airlines is one of the largest low-cost carriers in the world. With more than 60,000 employees serving 130 million passengers annually, it offers lowest airfare, and the only major US airline that does not charge baggage fees. In 2019, Southwest carried over 134 million passengers, hired 6,756 employees out of over 350,000 applicants, and handed out close to 90- million pretzel bags. The 2019 annual net income for the company was $2.3 billion. In 2019, Forbes’ recognized Southwest Airlines as the Best Employer. Southwest Airlines stands out from the rest of the airlines with its superior customer service and excellent employee engagement and commitment to the company brand. Herbert Kelleher, the late CEO of Southwest Airlines, believed that hiring people for their attitude was far more important than hiring for skill because improving leadership and management style was possible, unlike personality (Gaille, 2013). “Effective performance management can tell top performers they are valued, encourage communication between managers and their employees, establish consistent standards for evaluating employees, and help the organization identify its strongest and weakest employees” (Noe, et al., 2020).
SOUTHWEST AIRLINES - PERFORMANCE MANAGEMENT AND TRAINING 3 Southwest Airlines - Performance Management System Southwest Airlines is recognized for having the best performance management system in place. The company has won numerous awards for providing the best customer service, customer satisfaction, top-rated workplace, and other achievements that recognize Southwest Airlines as a leader in the industry. The company provides unique opportunities to high school and college interns, growth opportunities to its leadership, and treats its employees like customers because they are the heart and soul of the organization. Southwest Airlines is committed to take care of its employees by providing stable employment and benefits, a positive company culture that encourages employees to be exceptional, share their perspectives, develop skills, and gain experience through their daily tasks. The company believes that happy employees become great brand ambassadors which benefits Southwest Airlines in many ways.

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