Make these Principles a Part of Your Leadership Style

I recently read an article about the leadership principles of Herb Kelleher in which the author stated, "Herb's leadership principles are unique." As much as I admire Herb Kelleher and what he and his partners did when they created Southwest Airlines I do not believe that his leadership principles are unique. These same five principles were taught to me at a very early age by my own father. They are the ones he articulated, but more importantly, he modeled every day in his own small business.  These five principles of leadership have been held and practiced by others. What I would say about  the Leadership Principles of Herb Kelleher is that they are not commonly held among the movers and shakers of corporate America.

Just as they still try to force 19th Century management and motivational principles on the corporations they lead many CEO's and COO's are still trying to lead using principles that no longer fit today's business paradigm.  However, the ones that Kelleher follows fit every age and work in every kind of business.  I'd call them Kelleher's Principles but that wouldn't be accurate. They are universal principles of good Leadership. Let's take a closer look at a few of them.

Principle #1 states "Stand upright and strong for what you think is right, even if the whole world believes otherwise."   Kelleher believed that your first responsibility as a leader was to see to it that resource #1, his employees not his customers or his stockholders, came first!  It is the leaders responsibility to create for his employees and colleagues a work environment that will facilitate their happiness in their work. The employee must come before the customer because it is the employee, not the CEO or COO, who will touch the customer first and most often. If the corporate culture is a happy one it will translate to happy customers. Happy customers will share their happiness with the company even when they are disappointed from time to time with the product.  Kelleher once said, "If the employees come first, then they're happy . . . A motivated employee treats the customer well. The customer is happy so they keep coming back, which pleases the shareholders. It's not one of the enduring green mysteries of  all time, it is just the way it works".  This flies in the face of conventional wisdom that says, "the customer is always right."  To be perfectly honest I have never met an unhappy Southwest employee from the Kelleher era.

If there is anything I have learned over a lifetime of working with people it is that the customer is not always right and in fact are usually be wrong. The idea is not to affirm the customer as being right but to send the customer away satisfied and happy.  So the first rule of leadership in any organization is "Treat your employees and colleagues fairly, generously and kindly and they will relate to your customers in the same kind of way. Now this does not mean that the employee is "always right" any more than the "customer is always right." What it means is that if your goal is a satisfied customer who will return and who will recommend your company to their friends then you need to have stratified and happy employees.

Principle #2 states "Keep Toiling."  My mother used to remind me that "Perseverance pays off" and my father would from time to time remind me to  "Never give up on your dream even if no one else shares it."   I had a teacher who often quoted Vince Lombardi now famous line, "Winners never quit and quitters never win" and he was right.  I believe that leaders must set the example by working hard and being persistent. As a leader we must set demonstrate that if a thing is worth doing it is worth doing well and it deserves our best efforts. That means not getting discouraged by a few setbacks. The Apostle Paul stated it like this when he wrote to the Galatians, "And let us not grow weary of doing good, for in due season we will reap, if we do not give up."  This is the whole idea in the story of the hare and the tortoise.  According to Kellher, "You must be very patient, very persistent . . . . You’re going to have to work like crazy to bring that idea to the attention of people. They’re not going to buy it unless they know about it.”

People often use the phrase “Rome wasn’t built in a day” to remind us that it takes time to create something great. In our day of "instant everything" this is a principle we need to rediscover.  You see, it is  true that it takes time to master a skill, craft, or habit. And it is good to keep this truth in your mind as you ask your employees to help make your dream a reality. Personally I think that while we do need to remember that while Rome wasn’t built in a day, they were busy laying bricks every hour.  The problem is that it is easy to overestimate the importance of building your Roman empire and underestimate the importance of laying another brick. The point is, "If you are persistent and just keep plugging away you'll get there." Keep stacking those brinks and you're wall will emerge in the process.

Principle #3 is "Care for Values More Than Anything Material."  Why values before material? The answer is simple. First you'll be happier when your work is consistent with your core values. Now let me say very quickly that your business core values will generally be stated differently than your personal core values. Business core values must state clearly the heart of your business. However, these business core values must also be consistent with your personal core values or you will find little joy in what you do. In short, you may succeed but it will not be fun. Secondly, yet related to the first is the fact that your values are the hardest things for your competitors to replicate. Your competitors can buy the tangible things. In the travel industry we pretty much all have access to the same products, services and prices. We are all pretty much competitive when it comes to what we sell and the price point at which it is sold. However, in my experience very few travel related companies, be they suppliers or retailers, have a clearly stated and well published set of core values.  As Kelleher states Southwest Airlines Core values when a startup airline was as simple as.  "Lowest cost in the industry, best customer service and the intangibles - a spiritual infusion."

Principle #4   Be People Oriented. As indicated above, our employees are our single most important asset followed closely by your customer/client. Make sure that your people are cared for all the time. Happy employees translates into happy customers/clients. This means that you must constantly be thinking of ways to reward performance in general and exceptional performance in particular. Rewards, incentives, etc. are always helpful especially when they are unexpected or un announced. That is, they are outside of any stated incentive chart (contract agreed) items. These special acknowledgements do more to develop employee loyalty than just about anything else you can do.

In addition to performance rewards there should be constant communication between employees and management that allows people to share happy  personal experiences and personal grievances without fear of retaliation. I have friends who went to work for Kelleher with in a couple of years out of high school in late 1960's when Southwest airlines was still known as Air Southwest Co. Both of them stayed well beyond retirement  (retired 2007 after more than 40 years) and when I asked why they felt such commitment to Southwest Airlines the reply was, "I loved that man."  I asked, "Meaning what?"  The reply, he treated us with dignity and respect.  Kelleher's personal practice of the "personal touch" and his expectations of the same from his employees is what makes the people at Southwest Airlines different.

That dignity and respect earned him employee loyalty.  When was the last time you heard about employee or managerial loyalty in a company. This translated into better treatment of customers by employees which in turn created customer loyalty to his airline.

Principle #5: Have a Remarkable Sense of Humor.  Personally, I believe a sense of humor is essential for survival in the business world. I cannot tell you how many times a humorous story has defused a volatile situation. As a boss (owner) it is essential that you can laugh at yourself.

The reason this works is because humor keeps you focused, persistent and at best relaxed. I have observed over a lifetime of working with business leaders that they each one takes a unique path when it comes to leadership styles. However, I have also found that there are at least traces of these principles in every successful leadership style.  When lifted from paper and put into practice they will attract and maintain a tribe of people which chooses to remain loyal to he corporate vision as stated in its core values.  I suggest it is worth a shot.