 | Some fans of Rand have said that if _Atlas Shrugged_ is ever made into a movie that it should be "updated"--i.e., the passenger train industry should be replaced by passenger airplanes. I think it would quite foolish to tamper with _Atlas_ in such a way. It could also be said that the story of "Atlas Shrugged with Airplanes" has already been written and actually happened.
That story is _Southwest Passage_ by Lamar Muse. Muse was the founding CEO of Southwest Airlines up till 1978. The book also includes many details about his personal life and his other adventures in the airline industry before and after Southwest. The best parts are his years with Southwest, and Muse is rightfully proud of all the things his little airline has accomplished since his departure from the company.
It all started when Herb Kelleher and Rollin King were talking in San Antonio. They decided to start an airline that would simply operate in the triangle formed by Dallas, Houston, and San Antonio. In 1967, they got started and immediately found themselves challenged in court by the established carriers of the time--Texas International (based in Houston) and Braniff (based in Dallas). As a result of this "business harassment" (a term used by several judges), Southwest's first flight didn't take off until 18 June 1971.
Southwest was not the first intra-state carrier. Their inspiration had been the California-based Pacific Southwest Airlines which had started in 1949, and they took many of PSA's best ideas. But just like PSA, Southwest was free from the federal regulation of the Civil Aeronautics Board. (See www.catchoursmile.com for the story of PSA.)
In 1972, Muse made a critical decision which set the tone for much of the company's success since that time. Losing money at the time, Muse decided that the best way to raise money was to sell one of their four planes. Maintaining the same staff and scheduled with three planes, Muse then challenged his team to turn (completely unload and reload) planes in TEN MINUTES. It worked, and Southwest still turns planes faster than its competitors today. They have also never furloughed an employee.
Southwest has always viewed its greatest competitor as the automobile and still does today. The stats in this book show this story. Southwest didn't take much business away from the other airlines. Southwest got people who had never flown before to fly.
Muse also tells about their expansion into other Texas cities and more of the other dirty tricks engaged in by the entrenched competitors. Dallas and Houston also did what they could to make life difficult for them. It seems as though Houston has given up, but Dallas (their home city) still probably would rather see Southwest leave town even today.
Then there is the interesting part of federal deregulation. Muse gave a great speech on the subject before Congress. Most of the established carriers (such as American) bitterly opposed deregulation. Only United Airlines favored it.
Southwest is one of America's great business success stories. In terms of passenger numbers, Southwest is America's #1 airline for domestic flights. Their stock price has even outperformed Walmart's during its 35-year history. Southwest has turned a profit every year since 1973 and is the only airline which gets an A credit rating from Standard and Poors. Their leaders have shown that the best way to get rich is to treat employees with respect and dignity and to give customers great service. The good guys won.
Unfortunately, the book has no photographs. It seems to indicate that Muse didn't take many or that many people didn't want to give him any for the book. Maybe he just didn't ask.
Published in November 2002, _Southwest Passage_ is out of print for reasons which I can't fathom. It was published by a small press here in Austin, and I even called them about it. I actually paid $100 plus shipping for a used copy of it and saw copies with prices as high as $500 on the web. In today's wired world, this just means that people will scan it and then distribute bootlegged PDF's all over the Net for free.
http://search.barnesandnoble.com/booksearch/isbnInquiry.asp?z=y&isbn=1571687394&itm=10
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Southwest Passage by Lamar Muse
