CASE STUDY OF SUSTAINABLE LEADERSHIP

A Successful Business that Highlights HRM and Strategy of WestJet Airlines Ltd.

1. COMPANY OVERVIEW

WESTJET AIRLINES LTD.

A Canadian low-cost airline

Found in 1996

　　“ Just because you pay less for your flight,

　 doesn’t mean you should get less.”

Now has 85 destinations across Canada, USA, Mexico and Caribbean and more than 9,700 employees

Known for its good atmosphere and strong culture

“Canada’s most attractive employer” 3 years in row since ’12 by Randstad Canada

#1 in Waterstones' study of “Canada's 10 Most Admired Corporate Cultures” (’05, ’06, ’07, ’08, ’11)

*Inducted in the Hall of Fame in ’09

J.D. Power Customer Service Champion (’11)

3ed in Aon Hewitt's “best employers in Canada” (’11)

“Canadian airline with the best flight attendants”

(flightnetwork.com , ’11)

“Canada’s preferred airline”

“The most trusted airline”

“The airline that offers the best customer service”

(Leger Marketing, ’13)2nd in overall reputation in the Reputation Institute/Canadian Business 2013 Most Reputable Companies in Canada survey

11. WESTJET LAWSUIT

- Industrial Espionage to Air Canada -

Air Canada alleges WestJet used Lafond's code to access the site 243,630 times between May 2003 and March 2004.

・ Forcing Air Canada out of certain market

・ Planning expansion to new routes

In 2006, Air Canada and WestJet settle lawsuit

・ WestJet paid $5.5 million Air Canada

・ made a $10-million donation to children's charities in the names of both airlines.

・ WestJet admitted "The conduct was both unethical and unacceptable.”

111. HRM SOLUTIONS AND THEIR SUSTAINABLE

LEADERSHIP

A. THE STRATEGY OF HOW WESTJET AIRLINES BECAME A

SUCCESSFUL COMPANY 

1. the low cost structure

2. relentless focus on customer service

3. WestJet corporate culture

4.Human Resources

5.Sharing the success

1. The low cost structure

one type of airplane

one destination-to-another destination model

Individual effort

2. Relentless focus on customer service

3. AIRLINE’S ORGANISATION CULTURE

a. Ask “Do my behaviors and actions live up to the values of the company or contravene them?

b. Values of the company

c. Principle“Everyone is a customer including your fellow employees”

d. CommunicationWHY (We hear you)

a. talent selection

judge personalities

cultivating newcomer

review of the process

b. On-Boarding process

culture and practice

c. performance conversations

performance and development goals

d. talent management

development program

4. HUMAN RESOURCES

a. ESSP(the Employee Share Purchase Plan)

b. profit share

⇨ motivation to make profit and cut waste

5. SHARING THE SUCCESS

B. HOW TO SUSTAIN THE CORPORATE CULTURE

-Always connect with people

-Make balance between the need of -the business and the need of the -people(guests and WestJetters)

-CARE group, which help to create an environment to thank one another

IV. TO STRENGTHEN A SUSTAINABLE LEADERSHIP IN

THE FUTURE

WHAT WE LEARNT FROM THE LESSON

Social:

(a) develop reward systems based on equity, fair distribution, autonomy and respect;

(b) provide safety at work by preventing accidents and promoting workplace health;

(c) treat employees with respect and honesty and create transparent processes;

(d) respect employees’ privacy and regard respect, freedom and autonomy as organisational values.

WHAT WE LEARNT FROM THE LESSON

Environmental:

1. supporting environmental management through employee training, communication and motivation;

2. promoting organisational changes, incorporating the environmental variable into organisational values, developing competencies related to environmental management and ethically addressing environmental issues;

3. integrating the environmental variable into practices of human resources, recruitment and selection, performance assessment, remuneration and training

FACING CHALLENGES AND POSSIBLE SOLUTION

International Airline Company

Competitions Regulations Exchange rates

Operating margins⬇

Not only for profits, but insist of sustainable management

REFERENCES:• Cary L. Cooper, Ronald J. Burke(2011), Human resource management in small business : achieving peak performance, Cheltenham, UK : Edward Elgar, 368 p

• MarketLine(2013), COMPANY PROFILE: WestJet Airlines Ltd.

• Management Centre for Human Values SAGE Publications Los Angeles, London, New Delhi, Singapore, Washington DC(2012), Journal of Human Values, 147–159p

• About WestJet: http://www.westjet.com/guest/en/about/index.shtml, Access time: 23rd May, 2013

THANK YOU!