Question

In: Operations Management

The Ritz-Carlton Hotel Company was established by president and founding father Colgate Holmes along with four...

The Ritz-Carlton Hotel Company was established by president and founding father Colgate Holmes along with four business partners in 1983. At that time, the only existing Ritz-Carlton hotel was located in Boston. By 1992, the company had opened 22 additional hotels in the United States. By 1998, the company was acquired by Marriott International. Today, Ritz-Carlton Hotels is based in Chevy Chase, Maryland, operates more than 90 luxury hotels in 30 countries and territories, and employs more than 40,000 people.

The Credo

  • The Ritz-Carlton is a place where the genuine care and comfort of our guests is our highest mission.
  • We pledge to provide the finest personal service and facilities for our guests, who will always enjoy a warm, relaxed, yet refined ambiance.
  • The Ritz-Carlton experience enlivens the senses, instills well-being, and fulfills even the unexpressed wishes and needs of our guests.

The Motto

At the Ritz-Carlton, “We are Ladies and Gentlemen serving Ladies and Gentlemen.” This motto exemplifies the anticipatory service provided by all staff members.

Service Values

  1. I build strong relationships and create Ritz-Carlton guests for life.
  2. I am always responsive to the expressed and unexpressed wishes and needs of our guests.
  3. I am empowered to create unique, memorable, and personal experiences for our guests.
  4. I understand my role in achieving the Key Success Factors, embracing community footprints, and creating the Ritz-Carlton mystique.
  5. I continually seek opportunities to innovate and improve the Ritz-Carlton experience.
  6. I own and immediately resolve guest problems.
  7. I create a work environment of teamwork and lateral service so that the needs of our guests and each other are met.
  8. I have the opportunity to continuously learn and grow.
  9. I am involved in the planning of the work that affects me.
  10. I am proud of my professional appearance, language, and behavior.
  11. I protect the privacy and security of our guests, my fellow employees, and the company’s confidential information and assets.
  12. I am responsible for uncompromising levels of cleanliness and creating a safe and accident-free environment.

In order to ensure the effective implementation of its legendary service philosophy, the Ritz-Carlton emphasizes the importance of teamwork at all of its properties. In particular, teamwork is emphasized in service value #7—I create a work environment of teamwork and lateral service so that the needs of our guests and each other are met. Lateral service means that all Ritz-Carlton employees must support each other in realizing the hotel’s mission. Sometimes this may involve performing duties and responsibilities that are not part of their job, such as assisting a guest with his/her luggage, obtaining a bottle of shampoo or soap from housekeeping for a guest, or providing a recommendation for a good local restaurant or show to see for a guest.

The company uses a variety of practices to support lateral teamwork, including the following:

  • Managers foster a culture that supports teamwork through the effective modeling of desired behaviors and recognizing those who practice lateral teamwork;
  • Employees provide informal training on what their coworkers need to do to provide lateral teamwork and how they need to do it;
  • Employees complete formal training on teamwork as well as participate in team-building activities;
  • Employees team up with each other (e.g., concierge and the hotel’s restaurant manager) when doing so will enhance a guest’s experience;
  • Managers incorporate lateral teamwork into the professional development plans of employees so that they can see how lateral teamwork can enhance their ability to grow and advance at a personal and professional level.

Discussion Questions

  1. What types of groups/teams are used at the Ritz-Carlton Hotels?
  2. How are roles defined in order to support teamwork at the Ritz-Carlton Hotels?
  3. Evaluate the performance of teams at the Ritz-Carlton Hotels in terms of the six dimensions of a team process.
  4. How does the Ritz-Carlton develop teams?

Solutions

Expert Solution

Ritz carlton case

1. Ritz-Carlton Hotels uses both formal ( as prescribed by organization ) and informal group (as formed by members who share their experience with others to help without any formal command). This is also evident by lateral group thinking and working .

2. Roles are defined formally , however , everyne is expected to do work which is not defined formally , e.g. a receptionist might help guests with luggage or might recommend places to visit and so on . lateral work is encouraged and is engrained in their work habits and thinking .

3. Six dimensions of team process

  • Relationships — Focus is on building realtionships and helping each other .
  • Diversity —Since everyone
  • Servanthood — It’s a commitment to serving others first.
  • Skills — development of high level of skills
  • Leadership — developing leadership qualities at every level in terms of owning up
  • Growth Depth — employees who can grow to a higher level

4. Ritz carlton develops teams by giving them responsibilities , encouraging informal groups and lateral thinking .

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