Don’t Run Your Business like an Airport | They Are a Government Subsidized Industry That Can Afford to Lose Money

Show Notes

If you are having a hard time with the experience that your customers have when they interact with your brand then listen in to this Thrivetime Show podcast where Clay Clark will tell you why hiring for character and attitude is so important.  

FUN FACT – 2016 – Southwest Airlines earns $2.2 billion of profit in 2016, 44th consecutive year of being profitable – January 26th, 2017 – http://atwonline.com/airline-financials/southwest-earns-22-billion-2016-net-profit-44th-straight-profit

FUN FACT – Delta loses $450 million bet on fuel prices – http://money.cnn.com/2016/07/05/news/companies/delta-fuel-hedges/index.html

FUN FACT – American Airlines loses another $1.7 billion – April 19th 2012 – http://money.cnn.com/2012/04/19/news/companies/american-airlines/index.htm   

Hire for Character and Train Skill

Jack Welch’s 4 Es

  1. Energy
  2. Energize
  3. Edge
  4. Execute

2:00 PM – Ended Elephant In The Room Meeting

2:15 PM – Drove to Tulsa International Airport to fly to Owensboro, Kentucky (via Dallas, TX and then to Evansville, Indiana)

2:45 PM – The fun begins as my wife, and our 5 kids make our way through security while the airport security woman continues to roll her eyes to and to make negative facial expressions as my 13 year old daughter puts her items on the conveyor belt. If this was my office, I would write her up for negative body language. However, apparently this is a character trait that the Transportation Security Administration seeks out in their new recruits.

4:30 PM (Esc) – I board the plane and I realize that I have a middle seat…Seat 11B. I immediately begin to sweat.

NOTABLE QUOTABLE – NOTABLE QUOTABLE – “You don’t hire for skills, you hire for attitude. You can always teach skills.” – Herb Kelleher (The founder of Southwest Airlines)

  • MYSTIC STATISTIC – American Airlines – 2016
  • Net income plunged 44 percent to $950 million in the 2nd quarter
  • MYSTIC STATISTIC – US Postal Service –
  • In 2012 the USPS lost a whopping $15.9 billion dollars

 

http://fortune.com/2015/03/27/us-postal-service/

Business Coach | Ask Clay & Z Anything

Audio Transcription

Get ready to enter the best business coach thrive time show on talk. Radio 1170 distance to another edition of the thrive time show on your radio and today. Show jump has a potential to be a fabulously fun infested, because the essence of really good comedy is where people can say. You know that is so true. I can relate to that and so I went out to owensboro kentucky. You had an american travel experience in you and I went out there to help this church. Are we work with gold river city church great people out there and I went out there, but the specific specific purposes in helping to optimize the systems in the church. I don’t go there to teach theology i, don’t go there to to teach anything about the bible in the practical application of that, because I have a final leader, great pastor, pastor brian gibson in his wife, pastor jesse. They have me help them, build the systems that the checklist, the workflows and that’s why shop we went out to owensboro kentucky. Is it pastor brian and what’s his wife’s name on sunday and jay hello, pastor, brian, hello, pastor, jesse, left on friday, we left on friday at 2 at 2, with an elephant in the room meeting with our team. So it’s like to meet and when starts at 1 and 2 p.M. If you can follow me there, a tribe nation at 2:15, we drive to tulsa international airport to fly to owensboro kentucky and you have to fly from tulsa to dallas dallas dallas to evansville, which is not actually in kentucky, i, believe evansville in indiana and had to fly to evansville and then from there you’ll drive about an hour to owensboro. So we get there at you know about 2:45 in the fun begins, because my wife and I are five. Kids were going through the airport security and there’s a woman behind me in the airport security line. Do they ask you to take your shoes off and put your stuff in a bag? And you start taking off your belt and perhaps I’m the only person to do this, but there is somebody there who works there as part of the best business coach member. A member of the transportation security administration at my 13 daughter at a 13 year old daughter as she attempts to put her stuff in the tray cuz we have 5 kids play rolls her eyes movie. She has an eye problem, abc news call dr. Z or maybe have you seen. This kids were going to the line and immediately as soon as we start to go through the line, I have 5, kids and they’re all well-behaved they’re putting their stuff in the the buckets in the benzos great bands going through the tsa worker, the transportation security administration worker begins to apparently you don’t just rolled her eyes at me.

You know cuz, we have 5 kids, and so it’s just to my mind, to be expected in today’s training work on today’s a show is:don’t run your business like an airport. They are a government-subsidized industry that can afford to lose money, but just start right there by the only one who you go through the tsa and you think yourself, I wish I could get quiktrip employees doing the check out there, certainly more detailed there more accurate their kind, or can we get some chick-fil-a employees at chick-fil-a I had an experience once in the same scenario that you had and what are the people called me and my cousin, jerry’s, kids and I was rudy transportation, like as we were just standing there. Cuz, like you, said people will forget your shoes off your panties, like we hear him say to the other. So I can I’m just saying this because, as I go through airport security, every single time I go through, because I’m too fly to tulsa usually have to connect to multiple city see you should go to dallas and then somewhere else, where you go to denver and somewhere else. But it seems like if I’m going to fly somewhere, I’m as the best business coach guaranteed at for flights and I’ll goes for a flight. There will be one to two super sarcastic transport of the transportation security administration officials. It just seems like that’s that’s. The deal is I’m on the plane, I’m just going to say:i was not on southwest airlines I’m, going to keep saying that, but as I board, the plane. On southwest airlines in the seat I get assigned, paul is 11b, which is in the middle and so I’m in the middle and I start thinking things like you know what this plane weighs a lot of money. So i. Look it up when I discovered a lot of weight. I mean this puts his plane weighs a lot of a way that the plane is a 702-2771 35 metric ton, boeing 737 metric tons. How is it possible to keep this plane in the air, but not the technology needed to keep the plane cool. I will say when I fly southwest, if I do a hundred lights without southwest, 9899 of them are going to be a pleasurable experience, but because it was flying to this small town in kentucky, I knew I have to fly with the other best business coach guys. It seems like there are certain airlines correct me if I’m wrong, pop, every single time you fly, you know that if you’re going to check your bags, you’ll never see those bags again, that’s right! You know. Why is that client? When you go into one convenience store, they ought to be able to I mean quiktrip is so much different. Southwest is so much different. Why? What I mean that in the same business, why can’t they figure it out? I want to make today show super action bolt for all the listener.

So what you think about this there in 2016 I generate 26017 southwest airlines posted their 44th consecutive quarter of profits. Okay, they’ve been profit, southwest airlines has been profitable every quarter, even with the recession over and over and over and over and over. These guys are profitable year after year after year after year, but yet airlines in 2016 lost, 450 I lost a $459 bet on fuel prices in american airlines every was every 4 or 5 years paul. Since you live in tulsa, or do we not do a bailout for american, airlines or united, or we have to bail him out and what’s what’s not right, so think about this for a second or the year that southwest airlines was founded? Was we pull this up here on the show notes there was founded in 1967 and I want to make sure that we’re getting this four consecutive years not quarters. They have posted a profit 44 consecutive years, but do you realize it since I’ve lived in tulsa to the titty or you I can’t even count? The number of bailouts in american airlines have received a blow your mind that it seems like every other. Airline gets a bailout, but southwest has not had. This is just blow your mind. You know it. It has because I don’t understand just like i, don’t understand why every account doesn’t proactive, i, just don’t understand. Why don’t they taken before looking and help clients till their business? Why isn’t why don’t the other airlines, you’ll secret shop, southwest and then duplicate what they do? They found a best business coach pattern. Why doesn’t it work and I’m going to explain to you why they don’t I thought you determine this I want to know. They’re going to get a bailout was the last time the hood cpas got to bail out, because your service was so bad that you got a government bailout in order to stay afloat. Well, we’re still waiting for the check playing with her dollars and i. Don’t dj connection.Com I mean I’ve ever built in my life elephant in the room, the men’s grooming lounge, dr. Robert, zoellner and associates. Every business that were a part of they all are the customer gets to vote with their dollars, except for in the aviation industry. That’s why you cannot run your business like an airport or a government subsidize airline if you want to make it so what I did is I was going through all the calamities that happened during my my trip.

I thought about number two I’m going to go to write down all the crazy things that happened and I’m going to make sure that we teach the driver’s license are common sense, but I think you for not aware of them. Then we can’t improve upon them. So it’s just go to the calamity so far, so so far, except when I go through the transportation security administration I go through the tsa inspection I ran into out of the five people. I talk to the front desk guy super sarcastic because you went to the wrong line building to go to that one. So that was once the next line. The person was. Do I go to the conveyor belts, the person telling my kids. What to do to the line was not nice. So it’s two out of three. Nice, put your hands up in the air and then a scan around you. You put your hands up in the air in a scan you when you walk that revolving scanner thing that guy was nice. We were together for then the third v guy he’s a strong man have to pat you down I’m, going to use the outside of my hand now I need to pat down the groin area and I said I would prefer, if you did just joking with the guy. Not only does he not smile or not laugh, he is pissed. So now you are pissed, so I got 3 out of 5. The employees that are pissed and I’ve been to the quick trip over and over I go to quiktrip everyday a million times. I can count on one hand how many times I’ve dealt with a unpleasant employee since 1999 2018. This means I’ve been to qts for 19 years and I can count on one hand the number of times I’ve had a bad experience and every other time thousands of times quiktrip, delivers excellent service. I haven’t been as much as I have quick trip, but I don’t think I can count one bad chick-fil-a, employee interaction, experience in the middle, it’s hot, like a sauna, hot like I’m, not exaggerating to probably i, don’t know-probably 90, maybe 85 degrees on the plane at work where I took off here on friday, so the weather wasn’t 90, but they ain’t. They made no best business coach announcement, they didn’t say we apologize for the out. You get on the ramp, walk down the little jet bridge you get on the plane, a taxi out to hop on the bike, and they say they delayed. They don’t make any search for 35 minutes. I am literally sweating and everybody’s just breathe, and the guy next to me he’s a great guy.. I got a guy and he is body. Heat is like making me hot and I am just dripping at this point, and so I immediately begin to sweat. I thought about. You know what thrive nation. What’s audit are businesses today? Let’s think about our businesses in. Do we do our employees? Do we antagonize 3 out of 5 customers? We have to do three to five of our employees, antagonize people so jack welch. If he were here the number one ceo of all-time. Arguably, who grew ge, buy 4000 %. He said he’d to hire people with a dirty people that can energize others, people with an edge to make the right call the tough call and people who have that ability to execute in to get their stuff done and I can say for tsa.

They missed on all of those marks, because even the person that was nicer to me had no energy in kept yawning, that’s cuz. They were asleep. So this is what herb kelleher the founder of southwest airlines says to do. He says:don’t hire for skills, you hire for attitude. You can always teach skills. This is the guy who has run the only airline that is produced a profit for 44 years in a row. Do you realize it’s like southwest airlines versus the cleveland browns every single year the other airlines lose now chuck during the show. A break I would like for you to look up the annual losses of the united postal service and the losses in the past decade of delta and united americans I want to give him a fair shape. I would love to know how much money these other airlines are losing. We come back we’re going to talk about segment number to how to create a wow experience. If you listen to this show-and you happen to work at united or delta or american-please mystery shop southwest and fix it. It’s unbelievably consistently terrible stages to drivetime show on your radio as we talked about how not to run your business like an airport like an airport or a government-subsidized airline, stay on your radio i. Remember my days back in the drawer room well with the job that try to consume for the future that I can pursue. What from the mountaintop I can conclude that you have what it takes. If you want it agenda world’s best business workshop led by america’s number one best business coach for free by subscribing on itunes and leaving us an objective review, claim your tickets by emailing. Did you did it and your contact information to info at drivetime, show.Com, all lights, red nation, welcome back to the conversation is the drive time show on your radio and for those of you who are just now tuning and we’re talking about the importance of not running your business like an airport or heavily subsidized government airline, and just to give you an example, we have the airline’s paul when you and I want to get on a plane, I’m going to fly down to austin texas, you could fly southwest right. You can fly american delta, who you typically fly with. When you go down to austin or other, will you bring you fly on youtube with so you’re going to have 10 flights? What person do the experiences are bad by 10 points on the last five years, I’d say 85% were terrible. You say terrible like what are the things that your mind by define terrible I mean like you get the dallas and the weather’s fine and your flight is delayed or cancelled, and are we can’t get you out till tomorrow, but is the weather’s fault? So we don’t have to give you anything or you know they that just like you said they would try to save money by not firing up the engines early enough and you sweat, like a pig in in in there, and so I usually have to take a change of clothes if I’m flying down there for a day me and you work with call the river city church in owensboro, kentucky I went there to help them build some operational workflows in system. They have a great pastor, pastor brian and pastor jesse, and a great team of people that are really wanted to serve the community.

All they need is just a nail down. A few check. Listen system is operational, but the spirit to treat people kindly isn’t there. So it’s right that down the spirit to treat people kindly is there until I’m out but build systems, but I’m, not there trying to train attitude so i, don’t you’re trying to build systems now chuck think about these industries. Denny’s businesses, where they’re losing money. So how much money does the united postal service lose when you, you did all this research during the break,? They lost a whopping 15.9 billion dollars. The united states postal service lose 15 billion. That is far more than the prophets of ups and fedex combined are getting this. What happened is when the customer doesn’t have choices. The government is subsidizing, a failed, a failing business model. So again, if it was up to the market, the customer would simply choose another alternative, but they can’t because there’s only one united postal service I’m, not sure. If the listeners are aware of this, but did you know that american express used to be the postal service? Did you know this? No I did not american express used to be express and the government came along and in made it illegal for american express to carry your mail because they wanted to improve the quality, and so like government does when they move into any industry, they screw it up, and so what happened was? Is they screwed it up? And so now what happens whenever there’s a failing industry, if it’s too big to fail? If it’s a huge business, that’s bombing will happen, is the government will get involved and they’ll subsidize the business so how much money did american airlines lose in 2012 in 2016 in the second best business coach quarter they get their net income flint 44%, and how much did the record loss on their jewelry record of the los company? So I didn’t want to mix it up, so I can report the american airlines lost 1.7 billion? Do you get what that would mean if they weren’t subsidize to me american airlines out of business, and it wouldn’t mean that people like paul and I wouldn’t want to travel? It would mean then investor like apple and investor like jeff, beezus and investor like elon musk, or anybody out there, who is an investor of a profitable business, that someone might be saying what you want.

Moe’s close is a lot of money to when we can get into that and it’s a separate show. But anybody who knows how to run a profitable business could say you know we’re going to do while your business goes, but why you couldn’t take your airlines into bankruptcy and settle your debts and then will come in and buy it and we’ll fix it, and then southwest airlines could have bought the failing airlines for pennies on the dollar. Just like people do with foreclosure homes and they could have made it better, but instead the government subsidizes the poor performing business until a year after year they can eke out a terrible. A terribly performing existence so was I was trying to fly to owensboro kentucky to help this church grow, I decided to log the issues with my trip on to my notepad as a form of cathartic therapy, so my brain would explode, and so what I got on the airplane in about 4:35 I realize there’s no air movement and they’re not serving alcohol trays. While we’re waiting scape for my current reality, I can’t I’m, just sweating I can feel the sweat dripping down. My lower back as I said, have your guy next to me is breathing and talking. It has the announcements are made with a hundred percent commitment to apathy, I realize that nobody’s listening listening and in the event of an occurrence of an actual emergency. No one would know what to do and that the guy who’s sitting in the emergency exit row for us would definitely not be able to help his ex the plane anymore. That I will be able to help fill in for tom, brady and the event he gets injured because it’s nothing else will terminate. This is heather made. Tell me if you can relate to this job. Is that an answer right now, but I was making an announcement and I am I an ounce with that I was making could result in the death of many people. They don’t know what to do. I tell this. Lady is a best business coach gentleman working to be come and get your ticket for the second I know. You’ve heard this will make sure we get it. That’s an exit row over there and if we have like a bad situation, have it I need somebody was able-bodied to be able to take this are we are? We? Are you sure right there? Are you willing to do that mean by and large southwest airlines? Does it have fun with get the airline that I was on? It was like apathy, it’s like they didn’t even care and they didn’t even want to put the energy needed to talk. Through. Even put for the energy needed to get my attention now. It says, because you take the profit motive out of a business and when you have a subsidized business, the profit motive is gone. They they don’t care that you know okay. Well, if we fail it’s kind of like a so, you got a test tomorrow at school and if I fail, guess what the teachers just going to give me a b anyway.

So why study, why try right? Why put in the effort in this country is built on free enterprise play yeah I totally agree with you. If, if, if they let the post office felt somebody’s going to step in the next day, yeah and I’m going to provide a better service for probably the same amount of money and make money at it and save the money that were, the governments have to put into a whole foods was struggling to make a profit, and so guess who got involved jeff bees out. So you know what he did is make it more efficient. These are the things that can happen, but you got to let a business fail if they’re not performing well in the market will feel the need, and so i, just as I’m sitting there on the air on the best business coach runway, waiting for an hour for the plane to take off with no air conditioning stinking about its a 73, its a 1770 1-ton airplane that they have the technology needed to keep it in the air for over an hour or two. But yet they don’t have the technology or the wheel to turn on the air-conditioning. So, if you’re listening right now and you own a business I want to ask you right now. How well are you and I doing at wowing our customers? We come back, we’ll talk about the specific steps needed to create an experience that wow’s as a as opposed to credit experience that you rotate your passengers

Feedback

Let us know what's going on.

Have a Business Question?

Ask our mentors anything.

Reserve Your Seat

Attend the world's best business workshop

  • Credit cards accepted

Get More Info

Learn more about the world's best business workshop

Get Started

Your first month is ONLY $1!

Get Started

Schedule your FREE 60 minute coaching session

Don't miss out

Watch the rest of this video and get access to thousands of other online trainings by signing up for an account. Get Business School for $1 Go Back Home Browse More Videos

Get Your FREE eBook

Get Your FREE BOOM eBook

You will be redirected to your dashboard in a moment.