| 2011 | | Critical Issues 2011
Sabrina
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[High Staff Turnover in the Hospitality Industry – Is there a Solution?] | People Products and Performance within the Hospitality Industry |
CRITICAL ISSUES in HOSPITALITY
Article Front Cover Sheet
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Author Name: Sabrina
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Theme Selected: People Products and Performance within the Hospitality Industry
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Paper Title: High Staff Turnover in the UK Hospitality Industry – Is There a Solution?
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Abstract: The aim of this article is to explore one of the biggest issues and
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They continue to use resources to hire more people, but fail to put many of these resources toward minimising or eliminating turnover in the hourly employee and management ranks (DiPietro 2007). The cost of turnover is great given the financial expenses of recruiting, training and retaining employees. Furthermore, the emotional cost manifested by stress in the workplace for existing employees, supervisors and customers can have negative effects on the working environment (Hinkin and Tracey 2000). It is widely known across the globe that the general requirements for hospitality job roles require little skill and little proficiency in speaking the native language. As a result, training is often spent on new employees which are often an international migration of workers (Miller 2010).
Not only does this take more than the usual amount of training time it can effectively lead to poor levels of service quality that can have devastating effects on the company’s image and reputation: There is a high level of interaction between hospitality guests and employees that has a significant impact on the customer experience and the success of the business operation. Therefore a fine balance must be drawn between cost controls and guest satisfaction (Wang 2009).
Possible Solutions
Possible short term solutions and external motivational factors include wage increases to encourage employees to
I will Use secondary research to give me a wider understanding and hopefully trends within the subject, staff turnover is an ongoing issue for most if not all organisations so there should be readily available information available for me to use in my study.
In the second part the report gives an overview over the analysis of the current situation by describing its positive and negative points. Its opportunities & treats and strengths & weaknesses.
A doorman can please the customer with a smile and a few words of welcome, but one surly waiter can kill the effect. Or if we keep an executive waiting in his suite in his underwear for his only suit to come back from a one-hour pressing, we could lose a lifetime customer worth hundreds of thousands of dollars. No hotel, however splendid, looks good to someone whose day it has ruined. For example, lodging manager usually work long and irregular hours including weekends, evenings and most public holidays, usually works indoors, and from an
1. One reason for the high turnover rate of hospitality staff is the fact that many hospitality jobs do not pay well. Personnel usually begin at a lowest wage rate or below which does not fascinate top eminence long-term employees because these employees are always looking for a better paying position. Situations that pay below tiniest net depend entirely on customer satisfaction and liberality. “Tips”. Around the world, the average beginning wait staff personnel is paid $2.15 per hour by their employer. The rest of their revenue is based pay on the urge of their customers. Monetary turn-downs mean fewer consumers, which in turn shrinkage is wage potential. Add this to the fact that many hospitality positions are seasonal and it is not hard to see why hospitality staff turnover can reach high rates quickly.
The title of the article, Where Has All The Staff Gone?: Strategies to Recruit and Retain Quality Staff instantly draws the reader in, especially a human resources specialist looking to find methods for recruitment and
The purpose of this essay is to heighten awareness of a couple of problems as they relate to the
employee turnover, thus improving client care and experiences. This would improve the quality of client services and their overall satisfaction. Another benefit would be increased staff retention. In order for this change to be feasible there would need to be a willingness of behalf of the board, CEO, and management team to operate with transparency and keep stakeholders informed about the future plans of the organization.
Workforce turnover is a complex and important issue amongst today's organisations. It is perhaps one of the most often cited cause of increased cost and decreased productivity. No wonder people management has become an important frontier to extract and create more value from company assets. On comprehending the articles, it has become evident that organisations have moved beyond the traditional approach of only investing in core business activities, to invest in employee retention strategies. Many organisations, for example St. George Bank
Customer service is very important element in hospitality industry. A good restaurant or a good hotel always have an excellent service first. Hotels and restaurants put added value in their products and service make guest love it. Some hotels give guest drink when they arrived or prepare small birthday gifts to their loyalty guests. But sometimes hotels spend lots of money to added value of customers’ experience but customers still don’t like their service. So, what’s happening? Hotels gave service and improved service are not customers needed or most needed. That’s the gap between you and your customer. “You know your hotel inside out, but do you ever see it through your guests' eyes? In many cases, there is a disconnect between what hoteliers think
Green Mountain Resort was a hospitality organization which underwent significant change after its original purpose vanished and the need to become more independent became key to its success (Palmer, Dunford, & Akin, 2009). Due to the demographics of the county which Green Mountain Resort was located, the resort management faced a challenged concerning human capital (Palmer, Dunford, & Akin, 2009). The new owner and manager, Gunter, identified human capital turnover as a problem, the hospitality industry claimed turnover as a chronic problem, and a newly hire consultant brought up an entirely new perspective to the so called turnover problem (Palmer, Dunford & Akin, 2009). We 'll first review Gunter 's perspective and approach.
A comprehensive approach is needed to provide a better hospitality education. The globalisation of the industry has lead to an edge of competitiveness where one of the most important elements is having quality human resource. This can only be achieved by developing a hospitality curricula that integrates modern management and innovative practises and building from the conventional based teaching practices that focus on technique, skills, aesthetics and culture. (Chang & Hsu, 2010)as said by the authors while doing a comphrehnsive study of the hospitality curriculum in
Allowing to Jarvis & Mayo (1986) the hospitality business must pursue market-share gains, rather than market-growth gains. Capturing new customers is expensive because of advertising, promotion and sales costs, and start-up operating expenses. (Reichheld, 1996). Once customers have made a decision about a brand or an organization and they are satisfied, they can become loyal customers (Assael, 1991). This means that they will make purchases again in the future and recommend a brand or organization to friends (Dick & Basu, 1994). Loyal customers are not so susceptible to negative information about a brand or organization as non-loyal customers (Ahluwalia, Unnava, & Burnkrant, 1999) and they choose the products over others, even those with better features or lower prices (Assael,
Employees are the backbone of any organisation. They are the human capital that operates the functions of the organisation. Employees enable an organisation to function with its day to day operations. According to the Global Talent Trends and Issues for the Travel & Tourism Sector report by World Travel & Tourism Council (WTTC), global employment in hospitality is over 100 million jobs. This figure is expected to rise 2% yearly. Hospitality industry will grow faster in upcoming years. Global and national employee demand and supply pool will be affected. More hospitality industry employees will be needed to fulfil the demand. Therefore, retention of employees for a stable workforce in an organisation is important.
Conduct a review of the annual report of major airline company in U.K. and literatures on employee’s turnover and connect them to develop research hypotheses
One indication would be the working environment as it is unique work pace and not one often seen in the hospitality industry. Although with these limitations there is should be no impact upon the following findings.