In the annals of American business history, few figures loom as large or laugh as loudly as Herb Kelleher. Born in 1931 and passing in 2019, Kelleher was not merely an airline executive; he was a revolutionary force who fundamentally altered the economics of travel and the psychology of corporate management. The genesis of his legend is often traced back to a cocktail napkin in a San Antonio bar in 1967, where he and client Rollin King sketched out a triangle connecting Dallas, Houston, and San Antonio. However, the true story of Kelleher’s rise is one of relentless legal warfare and an unwavering commitment to a counterintuitive philosophy. Before a single Southwest Airlines plane could take off, Kelleher spent four grueling years in courtrooms, battling established carriers that sought to strangle the infant airline in its crib. This trial by fire forged a warrior spirit in Kelleher, transforming a lawyer into a corporate crusader who viewed business not just as a means of profit, but as a fight for the freedom of the common man to fly.
The era in which Kelleher operated was characterized by heavy regulation and a stifling corporate stiffness, yet he dared to build a company based on "LUV"—Southwest’s ticker symbol and its internal mantra. He rejected the traditional, hierarchical structures of the mid-20th century in favor of a culture that celebrated individuality, humor, and egalitarianism. Kelleher famously posited that if you treat your employees well, they will treat your customers well, which will, in turn, please the shareholders—a complete inversion of the standard "shareholder first" doctrine of the time. His leadership was visceral and present; he was known to load baggage on Thanksgiving and dress as Elvis Presley or the Easter Bunny, breaking down the walls between the C-suite and the tarmac. This approach created a fanatical loyalty among his staff, allowing Southwest to remain profitable for decades while competitors filed for bankruptcy.
Kelleher’s legacy extends beyond the low-cost carrier model he pioneered; it resides in the humanization of the workplace. He proved that a company could be ruthlessly efficient and fiercely competitive while simultaneously being a place of joy and compassion. His life was a testament to the idea that the soft skills of empathy and humor are actually hard assets in the cutthroat world of commerce. As we explore his words, we delve into the mind of a man who took the industry seriously but never took himself seriously, a paradox that became the secret sauce of the most successful airline in history.
50 Popular Quotes from Herb Kelleher
The Philosophy of "Employees First"
"Your employees come first. And if you treat your employees right, guess what? Your customers come back, and that makes shareholders happy. Start with employees and the rest follows from that."
This statement encapsulates the core inversion of traditional business logic that Kelleher championed throughout his career. By prioritizing the workforce, he believed that the emotional state of the employee directly dictates the quality of service the customer receives. It creates a virtuous cycle where valued employees become brand ambassadors, generating customer loyalty that ultimately drives profit. This philosophy challenges the short-termism of focusing solely on quarterly returns for investors.
"We have a strategic plan. It’s called doing things."
Kelleher had little patience for paralysis by analysis or the endless bureaucratic churning that plagues large corporations. This quote emphasizes a bias toward action and execution over theoretical planning or complex modeling. It reflects the agility of Southwest Airlines, which could pivot and adapt faster than the legacy carriers because its culture encouraged immediate problem-solving. The essence here is that movement and trial are superior to stagnation and perfect planning.
"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."
Here, Kelleher demystifies corporate success, stripping away the jargon to reveal a simple human truth. He frames business success as a logical chain reaction starting with human morale rather than financial engineering. This analysis serves as a reminder that complex organizational problems often have simple, human-centric solutions. It reinforces the idea that happy people build profitable companies.
"Competitors can buy all the physical assets we have. They can’t buy our people, our esprit de corps."
Kelleher understood that tangible assets like airplanes and gates are commodities that anyone with capital can acquire. He argues here that the only true sustainable competitive advantage is culture and the collective spirit of the workforce. This "esprit de corps" is intangible, impossible to copy, and resistant to corporate espionage. It highlights that the soul of a company is its ultimate defense against competition.
"A company is stronger if it is bound by love rather than by fear."
In an era where management often relied on intimidation and strict hierarchy, Kelleher introduced the concept of love as a binding corporate agent. He believed that fear stifles innovation and communication, while a supportive environment encourages risk-taking and loyalty. This quote suggests that emotional bonds between colleagues create a resilience that contractual obligations cannot match. It redefines the workplace as a community rather than a battlefield.
"The essential difference in service is not machines or 'things.' The essential difference is minds, hearts, spirits, and souls."
This quote elevates the concept of service from a transaction to a spiritual exchange. Kelleher insists that while technology and infrastructure are necessary, they are cold and impersonal without the human element. The true differentiator in the hospitality and travel industry is the warmth and genuine care provided by the staff. It serves as a directive to hire for character and humanity rather than just technical proficiency.
"You can’t have a mid-life crisis in the airline industry because every day is a crisis."
With his trademark humor, Kelleher addresses the volatile nature of the aviation sector, known for its thin margins and external shocks. This observation suggests that resilience and a steady hand are requirements for survival in his field. It implies that constant adaptation is the norm, and one must find stability within the chaos. It also reflects his ability to laugh in the face of relentless pressure.
"We will hire someone with less experience, less education, and less expertise, than someone who has more of those things and has a rotten attitude."
This is the foundational principle of Southwest’s recruitment strategy: hire for attitude, train for skill. Kelleher believed that technical skills can be taught, but a person’s inherent nature and outlook are largely fixed. By filtering out toxic personalities, regardless of their credentials, he protected the company’s culture. This approach ensures that the workforce remains collaborative and enthusiastic.
"I’ve always felt that our people are our best marketing department."
Kelleher recognized that no amount of advertising spend could replicate the impact of a positive interaction between a passenger and an employee. When employees genuinely love their jobs, their enthusiasm becomes infectious and serves as organic promotion for the brand. This quote shifts the responsibility of marketing from a siloed department to every single individual on the payroll. It underscores the integration of HR and marketing in a service business.
"The business of business is people."
This short, punchy aphorism strips away the complexities of commerce to reveal its fundamental unit. Whether it is employees, customers, vendors, or shareholders, every aspect of business relies on human interaction. Kelleher warns against getting lost in spreadsheets and forgetting that every number represents a human behavior or decision. It is a call to remain grounded in empathy and sociology.
Leadership and Strategy
"Keep costs low and spirits high."
This dual mandate served as the North Star for Southwest Airlines’ operational strategy. Kelleher mastered the difficult balance of fiscal austerity without creating a miserable work environment. Most companies fail at this, assuming that cutting costs requires cutting benefits or morale, but Kelleher proved that a fun, spirited culture does not cost money. It demonstrates that efficiency and joy are not mutually exclusive.
"We hold it together with a very distinct culture and a very strong spirit."
As companies scale, the centrifugal forces of bureaucracy tend to tear them apart or slow them down. Kelleher identifies culture as the gravity that keeps the organization cohesive as it expands. This quote emphasizes that without a shared spirit and common values, a growing company will fracture. It highlights the role of the CEO as the custodian of culture above all else.
"I think my greatest moment in business was when we finally made a profit."
Despite his focus on culture and fun, Kelleher was a pragmatic businessman who understood the necessity of financial viability. This quote reflects the immense struggle of the early years when the airline’s survival was in doubt every day. It grounds his legacy in the reality that a company must be profitable to sustain its mission and protect its employees. It shows the relief and validation of the underdog finally succeeding.
"You have to treat your employees like customers."
This perspective revolutionizes internal management by applying the principles of customer service to the workforce. Just as a business woos and retains customers, leadership must woo and retain its talent. Kelleher implies that employees have choices and must be sold on the vision and value of the company daily. It demands a level of respect and care internally that matches the external brand promise.
"If you’re crazy enough to do what you love for a living, then you’re bound to create a life that matters."
Kelleher was passionate about aviation and the battles he fought, and he encouraged others to find similar passion. This quote connects professional pursuit with personal meaning, suggesting that work should be an extension of one’s identity rather than just a paycheck. It speaks to the existential fulfillment that comes from aligning one's career with their authentic self. It is a call to reject mediocrity and pursue passion.
"Think small and act small, and we’ll get bigger. Think big and act big, and we’ll get smaller."
This paradox warns against the arrogance and bloat that often accompany corporate success. Kelleher urged his team to maintain the hungry, scrappy mindset of a startup even as they became a major player. By acting "small," the company retains its connection to the customer and its agility. Conversely, acting "big" leads to complacency, detachment, and eventual decline.
"Strategy is the easy part. All strategy is, is doing things better than your competitors."
Kelleher often downplayed the intellectual complexity of business strategy to emphasize execution. He believed that many companies overthink their strategic positioning while failing to deliver on basic promises. This quote asserts that excellence in operations and service is the ultimate strategy. It simplifies the competitive landscape to a contest of competence and consistency.
"Market share has nothing to do with profitability. Market share says we just want to be big; we don't care if we make money doing it."
In an industry obsessed with size and dominance, Kelleher remained focused on the bottom line and return on investment. He criticized the vanity metric of market share, noting that growing for growth’s sake is often a path to ruin. This reflects a disciplined financial conservatism that prioritized the health of the company over its ego. It is a lesson in sustainable growth versus reckless expansion.
"We don't pay you to do what we tell you to do. We pay you to do what needs to be done."
This quote is a powerful endorsement of employee autonomy and empowerment. Kelleher rejected the command-and-control model, trusting his staff to use their judgment to solve problems in real-time. It encourages proactivity and ownership, treating employees as intelligent adults rather than cogs in a machine. This philosophy allows for faster resolution of customer issues without waiting for management approval.
"The intangibles are more important than the tangibles because anyone can buy the tangibles."
Revisiting the theme of competitive advantage, Kelleher stresses that money can buy planes, fuel, and airport slots, but it cannot buy a vibe. The "intangibles" refer to the mood, the energy, and the relationships within the company. This analysis suggests that the true value of a corporation lies in the things that cannot be measured on a balance sheet. It is a defense of soft power in a hard industry.
Customer Service and the "Golden Rule"
"We have always believed that our competitors could duplicate our aircraft, but they could not duplicate our people."
Kelleher frequently reiterated this point because it was the cornerstone of his confidence. He viewed his workforce not as expenses to be minimized, but as assets that constituted a unique market differentiator. This quote serves as a warning to competitors that copying the business model is useless without the culture to drive it. It places the human element at the very center of economic warfare.
"When someone comes to me with a cost-saving idea, I don't ask how much it will save. I ask how it will affect the customer."
This statement reveals the hierarchy of Kelleher’s decision-making process. While he was a fanatic about keeping costs low, he refused to do so at the expense of the customer experience. It illustrates a long-term view where brand reputation is more valuable than short-term savings. It acts as a filter to ensure that efficiency never morphs into hostility toward the consumer.
"If you create a culture where people participate, you don't need control."
Control is often a substitute for trust and engagement; Kelleher sought to replace the former with the latter. By fostering a participatory culture, employees self-regulate and align with the company's goals voluntarily. This quote suggests that heavy-handed management is a symptom of a disengaged workforce. It promotes a democratic workplace where everyone feels a sense of ownership.
"Leading an organization is as much about soul as it is about systems. Effective leadership finds its source in understanding."
Kelleher believed that a leader must be an emotional anchor for the organization, not just an administrator. This quote bridges the gap between the mechanical aspects of running a business and the emotional intelligence required to lead people. It emphasizes empathy and the ability to understand the motivations and struggles of the team. It defines leadership as a deeply humanistic endeavor.
"You don't hire for skills, you hire for attitude. You can always teach skills."
This repetition of his core hiring philosophy underscores its importance; it was not a one-off thought but a dogma. Kelleher realized that a toxic pilot or a rude gate agent could destroy the brand regardless of their technical proficiency. This quote is a directive to HR departments to prioritize psychological fit over the résumé. It values character as the primary qualification for employment.
"It is my practice to try to understand how valuable something is by trying to imagine myself without it."
This philosophical approach to value assessment shows Kelleher’s thoughtful side. It suggests a method for gratitude and strategic prioritization by visualizing loss. Whether applied to a key employee, a business partner, or a specific route, this mindset prevents taking assets for granted. It is a mental exercise in appreciation and risk assessment.
"The people of Southwest Airlines are the creators of what we have become."
Kelleher constantly deflected credit away from himself and toward his employees. This humility was not false; he genuinely believed the airline was a collective achievement. This quote reinforces the communal nature of the enterprise and boosts morale by validating the contributions of the rank and file. It is the mark of a servant leader who views himself as a steward rather than a king.
"Servant leadership is all about making the goals clear and then rolling your sleeves up and doing whatever it takes to help people win."
Here, Kelleher defines his specific style of management. It involves removing obstacles for employees and providing them with the resources they need to succeed. This quote positions the leader as a support system rather than a taskmaster. It implies that the leader’s success is entirely dependent on the team’s victory.
"Communication is the solvent of all problems and is the foundation for personal development."
In a large organization, information silos can be deadly; Kelleher advocated for radical transparency and constant dialogue. He believed that most business problems stem from misunderstandings or lack of information. This quote elevates conversation to a strategic tool for problem-solving and growth. It encourages an open-door policy where truth can flow freely up and down the hierarchy.
"We are in the customer service business, we just happen to fly airplanes."
This reframing of the company’s identity was crucial to its success. By defining the business as "customer service" rather than "transportation," Kelleher broadened the scope of what was important. It meant that a smile was as important as on-time performance. This quote reminds any business leader to look beyond their product to the experience they are actually selling.
Humor, Life, and Resilience
"I’d rather have a company bound by love than a company bound by fear."
Repeating this sentiment in various forms, Kelleher solidified "love" as a hard business metric. He understood that fear induces paralysis and hiding mistakes, whereas love induces loyalty and transparency. This quote challenges the machismo of the corporate world. It posits that affection and camaraderie are the strongest glues for any organization.
"If you don't treat your own people well, they won't treat other people well."
This is the psychological mechanism behind the service profit chain. Kelleher recognized that abuse flows downstream; a manager who abuses an employee creates an employee who abuses the customer. This quote serves as a warning to leaders that their behavior sets the tone for the entire customer interface. It is a plea for kindness as a business imperative.
"Bureaucracy is the death of any achievement."
Kelleher waged a lifelong war against the creeping rot of administrative complexity. He viewed bureaucracy as a force that stifles creativity and slows down reaction times. This quote is a rallying cry for simplicity and directness in organizational structure. It champions the idea that the shortest distance between two points—a problem and a solution—should be a straight line.
"We have to turn our backs on the old ways of doing things."
Southwest was born out of a rebellion against the established airline cartel and its rigid ways. Kelleher constantly pushed for innovation, whether in ticketing, boarding procedures, or turnaround times. This quote encourages a mindset of constant disruption and refusal to accept the status quo. It defines the company as a perpetual revolutionary force.
"Humor is a great unifier."
In tense situations, such as flight delays or labor negotiations, Kelleher used humor to diffuse hostility. He believed that laughing together bridged the gap between management and labor, or company and customer. This quote identifies humor not as a frivolity, but as a strategic tool for social cohesion. It suggests that a company that laughs together stays together.
"I have much more fun at work than I do at home."
While likely said with a wink, this quote reveals Kelleher’s total immersion in his creation. It speaks to the joy he found in the daily battles and camaraderie of the airline business. It challenges the notion of work-life balance by suggesting that work can be a source of immense pleasure. It reflects a life lived with vocation and avocation fully merged.
"The core of our success is that we have never lost our underdog spirit."
Even after Southwest became a giant, Kelleher insisted on maintaining the mentality of a scraper fighting for survival. This "underdog spirit" prevented the arrogance that toppled carriers like Pan Am. This quote emphasizes the importance of humility and hunger, regardless of market position. It is a strategy to prevent complacency.
"It’s a company that has a heart."
Kelleher often personified the corporation, attributing to it human qualities like a heart and soul. This anthropomorphism made the company something worth fighting for and loving. This quote suggests that a business is more than a legal entity; it is a living community. It appeals to the emotional connection stakeholders feel toward the brand.
"When I started out, I was just trying to create an airline that I’d want to fly on."
This simple statement of intent highlights the power of solving one’s own problem. Kelleher designed the airline based on what he, as a passenger, desired: low fares, friendly service, and no nonsense. This quote validates the "founder’s intuition" and the importance of empathy with the user. It strips away complex market research in favor of personal instinct.
"You have to be willing to fight for what you believe in."
Kelleher’s early years were defined by courtroom battles where the existence of the airline hung in the balance. He was a tenacious litigator who refused to be bullied by larger opponents. This quote is a testament to grit and the necessity of conflict in achieving great things. It reminds us that disruption always invites resistance.
The Maverick Spirit
"Rules are for people who don't know how to handle a situation."
Kelleher trusted judgment over rigid policy manuals. He empowered employees to break rules if it meant doing the right thing for a customer in a unique situation. This quote criticizes the reliance on blind compliance and champions situational ethics. It encourages critical thinking over robotic adherence to protocol.
"If you’re not making mistakes, you’re not doing anything."
A culture of fear punishes mistakes, leading to inaction; Kelleher’s culture accepted mistakes as the cost of innovation. He believed that if people were trying new things, they would inevitably stumble, and that was acceptable. This quote creates psychological safety, allowing employees to take calculated risks. It frames failure as a necessary step in the learning process.
"We are the airline that gave the common man the freedom to fly."
Before Southwest, flying was a luxury reserved for the wealthy and business elite. Kelleher democratized the skies by competing with the cost of driving or taking a bus. This quote frames the company’s mission in noble, almost patriotic terms. It elevates the business model to a social cause.
"Don't take yourself too seriously."
This was Kelleher’s personal motto and a directive for his leadership team. He believed that ego was a barrier to communication and a source of bad decision-making. This quote encourages humility and approachability. It suggests that one can be serious about their work without being self-important.
"I love the battles. I think they’re fun."
Kelleher thrived on the competitive aspect of capitalism, viewing it as a grand sport. His zest for the "fight" energized the entire company and turned business challenges into exciting adventures. This quote reveals the temperament required to lead a disruptor brand. It reframes stress as excitement.
"The most important thing is to have a sense of humor."
In a high-stress industry involving safety, weather, and logistics, Kelleher valued the ability to laugh. He saw humor as a coping mechanism and a way to maintain perspective. This quote prioritizes emotional resilience and lightness of being. It suggests that a heavy heart cannot fly.
"You can’t fake it. People will know."
Authenticity was paramount to Kelleher; he knew that employees and customers have a radar for phoniness. Whether it was his leadership style or the brand’s marketing, it had to be genuine. This quote warns against performative corporate behavior. It demands that values be lived, not just written on a wall.
"We don't mind being different. In fact, we enjoy it."
Southwest did everything differently: no assigned seats, no meals, casual uniforms. Kelleher celebrated this eccentricity as a badge of honor rather than a liability. This quote is a defense of differentiation and non-conformity. It encourages businesses to embrace their quirks as strengths.
"Success is not a destination, it’s a journey."
This classic wisdom was lived out in Kelleher’s constant tinkering and expansion of the airline. He never felt the company had "arrived" to the point where it could stop improving. This quote promotes a mindset of continuous improvement and perpetual motion. It guards against the stagnation that comes with feeling successful.
"I’m just a guy who likes to have a good time and sell cheap tickets."
In this final self-effacing quote, Kelleher summarizes his life’s work with beautiful simplicity. It belies the genius required to build a multi-billion dollar corporation, presenting himself as a simple man with a simple goal. This quote captures the essence of his charm: accessible, unpretentious, and laser-focused on value. It is the perfect epitaph for the jester king of aviation.
Legacy and Relevance Today
Herb Kelleher left behind more than just a successful airline; he left a blueprint for the modern, human-centric corporation. In an age where automation and AI threaten to depersonalize the customer experience further, Kelleher’s philosophy stands as a vital counter-argument. He demonstrated that in the service industry, the human touch is not an inefficiency to be eliminated, but the premium product itself. The "Southwest Effect"—where fares drop and traffic increases whenever the airline enters a new market—changed the economic landscape of the United States, allowing millions who had never flown to see the world.
Furthermore, his management style prefigured the flat hierarchies and culture-focused leadership that Silicon Valley would later claim as its own invention. Kelleher was "moving fast and breaking things" decades before the tech boom. Today, as businesses struggle with employee retention and engagement, Kelleher’s "employees first" doctrine is more relevant than ever. He proved that you do not have to choose between being a nice place to work and being a profitable machine; indeed, he proved that being a nice place to work is the engine of the machine. His legacy is a reminder that while airplanes defy gravity, it is the human spirit that makes them soar.
What is your favorite example of a company putting employees first? Do you believe Kelleher's "Love" philosophy can work in today's digital-first environment? Share your thoughts in the comments below!
Recommendations
If you enjoyed the wisdom of Herb Kelleher, you will find great value in the works and lives of these similar figures on Quotyzen.com:
1. Sam Walton: Like Kelleher, Walton built a massive empire based on low costs, high volume, and a unique, often folk-style corporate culture. His approach to retail disruption mirrors Kelleher’s approach to aviation, focusing on serving the underserved.
2. Richard Branson: The flamboyant founder of Virgin Atlantic shares Kelleher’s maverick spirit, his love for publicity stunts, and his belief that business should be fun. Branson also fought bitter battles against established carriers (British Airways) just as Kelleher fought the US legacy airlines.
3. Steve Jobs: While their personalities differed, both were visionary founders who obsessed over the user experience and built cult-like followings around their brands. Jobs’ emphasis on "thinking different" aligns perfectly with Kelleher’s refusal to follow industry norms.