The top management vision for the company. What top management feels about the future of the company permeates into the entire organization. If the CEO for instance does not have faith in the company's future, a tone of hopelessness may prevail among employees. The nature of the immediate work group will affect one's perception of the quality of culture. In Semco, the employees are divided into group of six to ten people where they cultivate a culture of hardworking. (Child, 2005, ch.16, pp 397), according to him Child “Semco’s distinguishing feature is the utter liberation of its employees from the control of hierarchies and the rigidity of uniform rules”
The other feature is a profit making entity. The companies have been making profits since their inception. Southwest airline has been recording profit all through without a year of loss. This has led it to being one of the successful airlines in history. Semco has also been registering profits despite its background of erratic economy in the 1980’s. This feature has worked for the companies since the shareholders are promised of return on their investment, the companies are able to get additional finances from lenders since they have a strong profit record, they have positive publicity in the public and these increases their share prices in the market.
The other feature is that the company has been able to withstand competition from their competitors. Although the companies have almost the same technology these two companies have been able to beat the competition because of their approach to their employees and customers.
The evidence that can be used to support this is the companies are in a position to cut a niche for themselves in the market. They have their own customers. The companies have turned out to be the most sought after companies by potential employees. For example Southwest received 216,000 applications for only the 5,000 jobs available. This is an evidence of the fact that the company takes good care of its employees. The other evidence to support this is that the companies are listed among the most admired companies in the fortunes list. Southwest is listed as a top employer among the companies listed in the fortune 150 whereas more than 150 companies listed in the fortune 500 have visited Semco to study its success. Also there is evidence that non conventional approaches often lead to real benefits to its people. This usually lead to remarkable commitment from the employees and they in turn help the organization in resolving the crisis and also helping the companies achieve a competitive edge in the market.
In conclusion this case studies provide a good example of the path pioneering companies took to reform the organizations and make it beneficial to people. They show how change can be achieved regardless of opposition from some managers within the organization. They show that companies that work with greater responsibility towards their employees and other stakeholders end up being very successful. These are those companies which are willing to decentralize their decision making process, reduce bureaucracy, and shorten the organization structure and those companies that are willing to increase participation.