Skywest Inc. Case Study

Published: 2021-06-29 06:58:48
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SkyWest, Inc. Airlines

I. Background Information
SkyWest, Inc. was founded in 1972 by Ralph Atkins in St. George, Utah. The Airline was first used by businessmen flying between Salt Lake City and St. George, Utah. SkyWest partnered with major airlines to service the smaller connecting airports. In 1985 SkyWest partnered with Western Airlines to service the Salt Lake City Hub. In 1987 Delta airlines bought out Western Airlines and formed the SkyWest and Delta partnership that is still in existence today (Thompson, 2010).
SkyWest Inc. has also partnered with United Airlines and Midwest Airlines. In 2005 SkyWest Inc. acquired Atlantic Southeast Airlines (ASA). SkyWest, Inc. Currently operates in 158 Cities and is in 42 States. It also operates in Canada, Mexico and several countries in the Caribbean (Thompson, 2010).
In its first year Sky West only had 256 passengers and had a negative income. In 1976 SkyWest, Inc. had its first profitable year with $ 17,097 in Net Income. In 1979 the airline made some capital investments in some buildings and maintenance facilities. The passenger growth was up 38%, enough to support the capital investments. By the 10th year in operation SkyWest had a net income of $ 123,000 with 81,000 passengers. SkyWest continued growth thru out the 1990's and into 2000's. In 1999 it had over 4 million passengers and a net income of $21,944,000. It had also received numerous awards for operations and customer service (SkyWest, 2012).
SkyWest, Inc. has had a good reputation for safety, on-time arrival and customer service. In 2000 SkyWest was named Top Regional Airline by Professionals Pilots Magazine. In 2002 Air Transport World Magazine named SkyWest, Inc. as Regional Airline of the year and in 2008 SkyWest, Inc. received the Bombardiers reliability award for the Americas (SkyWest, 2012).

II. Company Strategists
Jerry C. Atkin
Jerry C. Atkin is the Chairman and the Chief Executive Officer of SkyWest, Inc. and its subsidiaries. He joined SkyWest in 1975 as director of finance and shortly after became the youngest president of a regional airline. He led the company from under $1 million in revenues to over $ 3.5 billion a year. He obtained his Master of Business Administration from the University of Utah and worked as a Certified Public Accountant (SkyWest, 2012).
Bradford R. Rich
Bradford R. Rich is the President of SkyWest, Inc. & subsidiaries. Mr. Rich joined SkyWest in 1987. He has served in several positions including controller, CEO, and Treasure. He currently oversees the strategic development and operational and financial performance of all entities and investments associated with SkyWest, Inc. He obtained his bachelor degree from Utah State University and previously practiced as a Certified Public Accountant (SkyWest, 2012).
Michael Thompson
Michael Thompson is responsible for SkyWest Airlines strategic planning, scheduling, pricing, inventory control and production planning. Michael served as the operational analyst in 2001-2005 where he helped create the "Performance Rewards" that rewarded employees for superior performance. He has helped create policies and infrastructure to improve cash flow and operational efficiency. Mr. Thompson holds a Master in Science and a Master in Business from Brigham Young University (SkyWest, 2012).

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