Know-How Exchange : Career/Training

Hi FrankP:

Using Southwest Airlines as example, here is a SWOT.

Keep in mind a SWOT is usually developed into a 4 quadrant matrix and I am unable to do that here.

Internal Strengths:
1. Possess recipe for profitability.
2. Able to offer consistently low fares.
3. 1st airline to establish an online reservation site.
4. Ranked #1 in fewest number of customer complaints for 11 consecutive years.
5. Ranked 1st among airlines for the highest customer service satisfaction.
6. No pilots union.

Internal Weaknesses:
1. High number of lost baggage claims.
2. High number of overbooked flights. Ranked number eight in the highest number of passengers denied boarding because of over-booked flights.
3. Does not provide as many flights as other popular airlines.
4. Web site has become isolated from the rest of the online travel community.
5. CRM is not custome-centric.


External Opportunities:
1. While other airlines struggle to stay afloat, SW is adding new routes.
2. Online reservations and ticketless travel continues to rise.
3. Employer of choice among college students.
4. As the Internet and the market for home computers grows the number of online users will increase.
5. SW has installed self-service computer terminals, making air travel less time-consuming and more attractive.


External Threats:
1. Governmental restrictions cause curtailments in service, increasing operating costs and limiting expansion plans.
2. Increased car/train/cruise travel as a result of safety fears.
3. Federal regulators have enacted new security directives, adding to travel hassles.
4. SW low fares continue to threaten profitability of other carriers & weakening industry.
5. Although Southwest was well poised to withstand the events of September 11, they will continue to face the challenges of a weak economy and a lower demand for air travel.
6. Longer airport check-in times and new security procedures initiated after Sept. 11 threaten profitability and demand
7. New competitors, such as JetBlue, have started to post low-fares and profitability.
8. Competitors web-sites are more customer-centric.

I hope that helps you out!