http://www.lhsystems.com/media/2006/sep_06_02.htm
Southwest is the largest carrier in the U.S. in terms of domestic passengers, and therefore has very complicated accounting systems. Up-to-date revenue information is difficult to see at any one time. In 2006 they decided to sign a contract to implement the Sirax, a revenue accounting system developed by Lufthansa’s systems (Lufthansa is also an airline based in Germany). This system will allow the management and the accounting division to get up-to-the-minute accounting information that will allow them to create some efficiency in their accounting.
I think that this is a smart accounting decision by Southwest as the companies accounting affairs continue to grow more complicated as the company continues to expand. The Sirax system will be a great tool for the managers so that they will be able to see the up to date financials to determine cash flows in the company. Because payments come from so many sources these days and there are so many fees and taxes, revenue is harder to determine today then ever. Therefore, I believe that the Sirax system is a smart choice for Southwest airline to incorporate.
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