Leadership: The Essential Herb Kelleher
by Raymond Yeh
Leadership is a complex topic and most of us
would like to know more about what makes the top leaders in the
world tick. To understand the true essence of a great leader
like Herb Kelleher, Chairman of Southwest Airlines (SWA), we simply
need to examine his revealing reactions on the morning of the
September 11 tragedy. Kelleher recalls his thoughts:
"The first thing on my mind, quite honestly, was the well being of our crews and our passengers. Are we getting the airplanes down safely? Do we know where everyone is? Are we taking care of them? The second thing was, just instantly, this is an economic catastrophe which is going to have widespread effects for a long time to come and survivability is going to depend on cash. So cash is king! Forget profitability. Get all the cash that we can, so we went out and borrowed a billion dollars because I figured this was going to be a war of attrition. Whoever had the most cash could last the longest."
Kelleher's genuine concern for his people and quick action to help SWA survive are the twin pillars of his success. His concern for people demonstrates that he always tries to do the right thing first, and his immediate action to borrow one billion dollars exemplifies his ability to do the things right. The formula of do the right thing and do things right is what makes SWA the largest and most profitable domestic airline today. Very few executives nowadays are able to combine these two capabilities, and that's one reason we have overly greedy enterprises like Enron.
Kelleher is considered a legend in the worlds of aviation and business, and was voted by Fortune as one of the ten best CEOs in the U. S. His leadership skills, combined with his flamboyant and dynamic personality, have been envied by many but ably copied by few. Very few people are able to maintain his level of dedication to a higher purpose, his indomitable will to succeed, his humility, and his absolute lack of ego.
In fact, my first interview with him, scheduled for an hour, actually lasted three and a half hours. During that time, he laughed often, sometimes loudly. The most amazing thing to me was that he was totally focused on me during the whole time. When it was time for me to catch my flight back to Austin, he took me to the airport personally. On our way out, he waved to every person, calling them by first name and hugging many along the way.
At SWA, Kelleher does not differentiate people by the positions they hold, choosing instead to honor the sacredness of each person as a human being. Says Kelleher, "It's very important to value people as individuals." Throughout his professional life, he has held true to the early values he gleaned from his mother, always treating each person as an equal. When SWA built its corporate headquarters in Dallas, Texas, Kelleher appointed himself a windowless office away from a corner. Though flamboyant and often loud by nature, Kelleher is humble at heart.
While he seldom takes credit for himself, Kelleher likes to win. Here is a personal example. When Kelleher was diagnosed with prostate cancer in 1999, he never stopped working. He would fly from Dallas to Houston everyday to receive his radiation treatment at the M. D. Anderson Cancer Center, and then return to work as usual. Recalling his fight with cancer, he jokingly says: "I just kind of kicked its ass."
Throughout his life, Kelleher has adhered to the basic principle of "doing good for others." Over time, this principle has evolved into the golden rule in SWA, which is "Do unto others as you would have them do unto you." This rule has evolved into the more encompassing principle of "Making a difference." During his early years fighting for the airline's survival in the courtroom and on the field, Kelleher instilled in his people his vision of helping millions of people to fly, of making a difference. Today, every employee at SWA still believes that they are on a crusade in the business of freedom. They believe that their company exists for a purpose, not just to make a profit. As such, they almost always focus on serving the legitimate needs of the customers.
Kelleher is a man deeply satisfied with himself because he knows that when his best was called upon, he delivered time and again. He is man with peace of mind who emanates confidence and joy all the time. LUV, the ticker symbol of SWA, in my opinion, stands for what Kelleher is about, in his own words: "I would characterize myself as a person who always wants to make a difference while having fun."
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