WestJet began operations in 1996 with the goal of providing affordable air travel in Western Canada. Unlike other airlines that focused only on low prices, WestJet also emphasized excellent customer service and a fun, positive culture. Key aspects of their culture included humor, employee empowerment, and profit sharing. These differences helped WestJet succeed while other Canadian airlines struggled, allowing them to expand across Canada.
WestJet began operations in 1996 with the goal of providing affordable air travel in Western Canada. Unlike other airlines that focused only on low prices, WestJet also emphasized excellent customer service and a fun, positive culture. Key aspects of their culture included humor, employee empowerment, and profit sharing. These differences helped WestJet succeed while other Canadian airlines struggled, allowing them to expand across Canada.
WestJet began operations in 1996 with the goal of providing affordable air travel in Western Canada. Unlike other airlines that focused only on low prices, WestJet also emphasized excellent customer service and a fun, positive culture. Key aspects of their culture included humor, employee empowerment, and profit sharing. These differences helped WestJet succeed while other Canadian airlines struggled, allowing them to expand across Canada.
WestJet began operations in 1996 with the goal of providing affordable air travel in Western Canada. Unlike other airlines that focused only on low prices, WestJet also emphasized excellent customer service and a fun, positive culture. Key aspects of their culture included humor, employee empowerment, and profit sharing. These differences helped WestJet succeed while other Canadian airlines struggled, allowing them to expand across Canada.
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KNOW YOUR CUSTOMER
ished. In April, 2002, they reported their
21st consecutive quarter of profitability, and
The WestJet Story produced net annual earnings in 2001 in
excess of $37 million. Low fares have only been one compo- BY CHARLTON COMMUNICATIONS nent of their success. Westjet has also suc- ceeded in understanding customer service- and fixing some of the basic problems of air- line culture.
The Misery of Air Travel
Not so long ago, air travel was still con- sidered an exotic luxury and the simple act of boarding an aircraft was looked on as an adventure unto itself. Getting on an airplane is still an adven- ture, but of a very different sort. The litany of woes facing the modern air traveler is familiar: delayed flights, line-ups at the counter, over-booked planes, lost luggage, cramped seating and, above all, sharply reduced customer service all around. Air travel has become the modern equivalent of being shipped in steerage and has become an experience to dread. All of this leads to a situation that is unhealthy and unsafe, as well as uncomfort- able. "Space is tight. Planes are full. When there are delays, when the flight's crowded, and you've got a lot of people in a small area, you've got the potential for some airline rage," says Chris Marquet, a New York- The Westjet Story based senior managing director for corpo- rate travel consultants Kroll Associates. InCalgary 1994, entrepreneur Clive Beddoe along with businessmen Tim Morgan, Donald Bell and Mark Hill realized that there was an Say It With a Smile opportunity to satisfy the need in western Canada Most of these negative changes in air for affordable air travel by starting an airline. travel have been the result of increased com- Through researching other successful airlines in petition in the industry to meet the public North America, the team examined low-cost demand for cheaper and more frequent carriers from throughout the continent, including flights. From this perspective, WestJet does the primary examples of Southwest Airlines and not seem much better. Its flights are just as full Morris Air, both operating in the United States. and common conveniences offered by other Commencing operations in February 29, 1996 airlines - such as meals and entertainment - the airline started flying to the cities of Vancouver, are replaced with light snacks and a low-cost Kelowna, Calgary, Edmonton and Winnipeg. Over style of entertainment on WestJet flights. the coming years, they added further destinations Unlike other airlines, WestJet has over- across Western Canada and, in 1999, began come this by recognizing that humour, a pos- extending their service to cities across the country. itive attitude and a focus on the customer are While other Canadian airlines have been the secrets to make any experience enjoyable. struggling and failing, WestJet has flour- "WestJet intends to put the fun back into travel," Clive Beddoe, Chairman and Chief Executive Officer, said when he launched the KNOW YOUR CUSTOMER
company in 1996, "with more casual flight
attendants, more casual uniforms, exception- al service and a great smile on the face of every member of the Westjet team". From the first moment the customer encounters Westjet, they know they are deal- ing with a different kind of airline. If a caller is to Westjet is put on hold, the on-hold mes- sage plays syrupy tunes that are a parody of elevator music, along with this message: "Wait, wait, wait, wait, wait, wait. Are you tired of waiting? Too bad! We'll be with you as soon as we can." The message fills the remaining time with a series of corny jokes, such as, "What do you get from pampered cow? Spoiled milk." You find that you are almost disappointed when someone finally tragedy) to extend a special discount. Ticket ple," says Beddoe. "It's the culture that cre- does pick up the phone. agents can immediately reroute customers ates the passion to succeed." This culture of humour also awaits trav- without having a supervisor intervene. If a This culture includes having frequent staff elers on the aircraft. Flight attendants rou- flight is delayed more than two hours, all the parties as well as serious town hall meetings in tinely advise patrons, "This is a non-smok- customers on the flight get a full refund. which every employee is able to review and ing flight. If you must smoke, please step out "Our overall philosophy is to treat cus- contribute to the company's development. the back door." Attendants also liven up tomers the way we would want to be treat- It also includes dispensing with the flights with spontaneous events, such as ed," says Ms. Vinish. "We're human, and we bureaucracy and rigid definitions common holding Hawaiian shirt theme days or lead- make mistakes sometimes like anyone. We in most workplaces. "There is no such thing ing travelers in an on-board karaoke session. gauge our success by how we handle those as a training manual and no such thing as a What Westjet has discovered is that mistakes to produce a satisfied customer." job description at Westjet," says Vinish. humour is an often-overlooked element of "Everyone helps each other. When we're customer service that is both free and invalu- Creating a Team backed up, pilots help the baggage handlers able. "Like much of what we do, this is an unload the plane." The success of WestJet's empowerment element of our corporate culture," says The company also believes that, for this policies hinges on its persistent dedication to Siobhan Vinish, Director, Public Relations system to work, the senior executives have to keeping the employees involved in all aspects and Communications. "You can't put out a believe in and live the culture by leading by of company decision making. training manual that says 'Be Funny.' We example. "If Mr. Beddoe is traveling and he The foundation of employee involvement strive to achieve this by hiring young, ener- sees the ticket counter getting backed up, he is profit sharing. In 2001, Westjet distributed getic, good-humoured team members. That's will jump in and help out himself," says Vinish. approximately $10 million to its people. The one of the main things we look for in the company also offers an employee share-pur- interview process." The WestJet Recipe chase program in which the company matches voluntary employee stock purchases on up to The Westjet experience offers important Empowerment 20 per cent of an employee's base salary. As a lessons for any institution, private or public, Promoting a sense of humour on the job result, a front-line employee making a base that serves people. The airline's recipe for is only one of the ways that Westjet tries to salary of $30,000 can look forward to bonus- success — humour, customer service and excel in customer service. Under the direc- es totaling as much as $9,000 a year. This good value — is deceptively simple, but com- tion of Senior Vice President of Customer obviously creates an employee who is very pany executives insist that it takes a lot of Service Don Bell, the company undertook focused on the company's success. "Many of work. It begins with hiring the right people the CARE program - Create A Remarkable the original employees who invested before who can bring a fun yet responsible Experience for the airline traveler. the carrier went public, now have portfolios approach to their work. From there, the One of the chief tools of CARE is the that Air Canada workers could only dream organization must work tirelessly to commu- empowerment of front-line employees to of," says Beddoe. nicate its goals to the employees, to give make on-the-spot decisions to keep cus- However, Beddoe insists that it is the them incentives to share those goals and to tomers happy. Call centre agents who book company's corporate culture that is the pri- create a positive work environment. Most flights are able to over-ride fees if there is a mary reason for the airline's extraordinary importantly, the senior management of the compelling reason (such as a personal performance. "The entire environment is organization must share the team approach conducive to bringing out the best in peo- and display it at every turn. •