In: Operations Management
Organizational culture - Ritz-Carlton
The Ritz-Carlton is committed to treating its guests as HRHers of the hotel, drawing on the best institutional cultures in the area of residence, and the staff are referred to as "ladies and gentlemen". The hotel employees carry a card with the hotel logo printed on it that states: “We, ladies and gentlemen, provide the service to women and gentlemen.”
They have trained the employees of the Ritz in very precise
standards and specifications to deal with customers. The founders
of the company, Caesar Ritz and Auguste Escover, set these
standards for more than a century, and Ritz employees are
continuing to be trained in the company's traditions and
values.
The managers reinforce the company’s values and review service
methods in 15-minute “show” sessions every day in every hotel
building. These values form the basis for employee training and
compensation. Nothing is left to chance when it comes to providing
exemplary customer service,
Prospective employees pass tests related to cultural suitability
and attributes associated with the innate love of service
provision. "The smile should look natural," says one of the
company’s managers. Although team members are expected to be highly
motivated and highly motivated, their behavior in dealing with
inmates is very detailed and written, which is the company's new
approach in contrast to what the company has been doing before: No
less for employees how to make inmates feel happy. Employees are
expected to discover this themselves now. Diana Orrick, Vice
President, says, “We have switched from this written guideline
approach and moved to results management.” But the result has not
changed. The goal is still for the inmate to express his admiration
for the service they receive. However, based on the new approach,
the interactions of team members with inmates are more natural,
calm, and honest, which is better than appearing as lines from a
booklet.
answer the questions:
1. What is the prevailing culture at the Ritz-Carlton? In your
opinion, why is this type of culture important to a luxury hotel?
With a discussion of the weaknesses of such a culture type?
2. What challenges do you think the Ritz-Carlton Hotel faced in
changing the organizational culture? With a discussion of what the
Ritz-Carlton should do to maintain the new organizational
culture?
3. What characteristics of a potential employee do you think will
be the happiest and most successful in this culture? In your
opinion, how can new employees "learn" this culture?
4. What can other organizations learn from the Ritz-Carlton about
the importance of organizational culture?
1)
The way of life at Ritz-Carlton can be described as homogenous and client situated. The entire goal of the way of life at Ritz-Carlton is to ensure that the clients are content with the administration that they get. This is the reason representatives with explicit social qualities and measurements are selected. This likewise makes the general culture of the association homogenous.
This sort of culture is critical to lavish inns on the grounds that the clients of lavish inns have certain desire. They need to be dealt with well and such culture gets it going. This is the means by which a business meets the client desire.
The downside of such culture is this can get costly for the lodging. For instance, obliging clients' solicitation of various sorts may make the lodging cause heavier costs. This may diminish their overall revenue. Then again when an organization culture is homogenous, it might cause trouble in considering of the case.
2) Challenges Ritz-Carlton faced in changing organisational structure
The key test that the organization looked in changing the way of life is that it moved from the prescript way to deal with an increasingly natural methodology of client assistance. In doing so the organization needed to change the manner in which they enlist workers. For example, prior they could select any representative that is anxious to serve clients. But at this point they have to enlist workers who are anxious to serve clients as well as have enough insight to make sense of how to fulfill clients. Normally, this has made the circumstance somewhat more confused
Prior Ritz-Carlton had unlimited oversight on worker conduct. In any case, with the new culture that is lost. Additionally the more established representatives have been likely used to the readied way to deal with grin and welcome. With the new culture they may confront certain difficulties and there could be protection from the adjustment in the organization.
3) Characteristics of a potential employee to be happy and successful in this culture
An individual who is client engaged and inventive will probably flourish in Ritz-Carlton's new way to deal with culture. They will have the option to discover better approaches to make their clients cheerful and likely appreciate the workplace for its test and adequacy.
The new representatives likely get familiar with the way of life by viewing the more established workers. Be that as it may, the new workers likely will have thoughts of their own. Thus they will watch the more established representatives, include their own information and change their way to deal with client assistance.
4) Things to learn from Ritz-Carlton on Organiisational Structuring
The above points regarding staff behaviour towards inmates, commitment towards inmates' satisfaction, regular revision of rules and guidelines etc, are some of the important organisational structures to learn from Ritz-Carlton.
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