1.1 Purpose of the document
This strategic analysis is intended to analyse the internal environment of ‘The Roccoco Hotel’. Also an analysis of the external environment of the hotel is included.
1.2 Company The Roccoco Hotel is a boutique hotel located at Times Square in New York. A full service restaurant, a wine bar, a cocktail lounge and 24-hour room service are just some of the services provided by this high end hotel.
1.3 Industry
1.3.1 Hotel Industry
As of March 2013, there were a total of 348 hotels in the Manhattan market encompassing approximately 82,000 rooms. (2013 Manhattan Hotel Market Overview, 2014). The pace of new hotel development in New York City, combined with the inevitably of future downturns, suggests the real possibility of oversupply on the horizon. (NYC Hotel Industry | NYC Hotel Development, 2014).
2. Analysis of Internal Environment
2.1 Management
Tony Richards is the general manager of ‘The Roccoco Hotel’. He began working in the industry 25 years in a family restaurant. This hotel has a high managerial turnover with an average of 3.7 years seniority. This can result in high costs of recruiting a manager each time. Tony Richards is one of five general managers since the hotel opened. The management held a meeting without two members of the executive committee, this shows poor management skills.
Sylvia Jenkins is the director of operations. Sylvia is the only member of management who has been working within the hotel for over 10 years. She
After 15 years has passed, the general manager decided to retire and decided to sell this magnificent place to a large American hotel chain that was somewhat similar to what they have experience with their hotel thus far. The new American chain hotel decided to keep all 700 employees and promoted a few people in different positions. One of the spots filled was an American man named John Becker. He was promoted to general manager over this hotel because of his prior experiences. The hotels that John previously worked at was underprivileged, and in horrible shape when John took over. Then later he made it a successful hotel.
They upgrading a hotel first upgraded employee facilities. When a survey at London hotel showed dissatisfaction with workers’ areas, installed new floors, lockers, and showers within three months. Four-seasons needed to get it down to the front line: clerks, bell-staff, bartenders, waiters, cooks, housekeepers, and dishwashers, the lowest-paid and in most companies the least-motivated people, but the ones who would make or break a five-star service reputation. Four-seasons needs employees able and willing to respond on their own to whatever comes up, employees who can spot, solve, and even anticipate problems. That means delegating authority as well as responsibility. Four-seasons pay attention on how to treat employees and make them feel confortable when they work in hotel because employees could bring positive attitude towards customers if they in good mood.
Though there has been growth in the luxury market, customers are increasingly identifying with other strong hotel brands. In addition, the market is getting more crowded. In 1996 Rosewood and its key competitors had 165 properties combined. Today that number has almost doubled to 310, with 120% growth specifically
Only a few minutes from the boutique Cambria Hotel, guests will discover all of the wonders of Washington DC. From the National Mall to the White House, the Smithsonian National Zoological Park to The Howard Theatre, there are more than enough attractions and excursions awaiting Washington DC guests. From the rooftop lounge, visitors may take in the shear beauty and historic grandeur that is Washington, while lavishing in superior hospitality and services at the Cambria Hotel Washington DC.
The newly appointed General Manger that was set to run the grand opening and the entire hotel operation in DC was James McBride. Upon taking the job, McBride was faced with pressures from Millennium concerning Ritz-Carlton’s employee training methods for the hotel’s grand opening. Millennium’s main reason for concern was that the seven-day training process might not be enough time to train their employees for the grand opening. They were also upset that to make up for short training program, Ritz-Carlton would limit the occupancy rate to 50% for the first few months. In other words, they were worried about a loss of revenue from the three to five month adjustment period The Ritz gives its employees to build confidence.
Our team chose the hotel industry in the United States for our economic analysis. The hotel business has existed since the earliest times, and has influenced the development of the economy since the founding of this country.
Report projects population growth as well as retail sales growth, along with a demand for additional hotels. Such growth will increase demand for other services and products. Also, with emphasis on room types, outdoor or indoor rooms, overlooking the beach.
Threats – The biggest threat in this industry is the challenge from the biggest hotels in
Lodging has changed and improved a lot in the last 100 years. When hotels were first becoming popular in the 1900’s people had to share rooms with other strangers because hotels then, did not have a variety of rooms where you can get your own. They had very uncomfortable and small beds in very small room, most of them did not have a bathroom in the hotel room (picture 1). The hotels replaced the old beds with comfortable ones (picture 2, now) so people can enjoy and allow them to sleep comfortably. In 2004, after three years of declining revenues, the U.S. lodging industry returns to positive profit growth. They made luxury hotels so more people can be attracted to them, they have much more independent space with their own bathrooms and TVs
Among the most avant garde of Manhattan properties is the storied Hotel Chelsea, aka the Chelsea Hotel or simply the Chelsea. The 12 storied red brick ironwork 250 unit hotel located on 222 West 23 Street in Chelsea Manhattan has witnessed layers of New York's steamiest history and hosted some pretty notable residents from groundbreakers and rule-makers to the great, the good, the famous, and the infamous.
However, the operations of first month at the Portman Hotel was as not as managers and PVs expected. All PVs expected they could offer guests what the guests wanted, but most of the PVs are doing cleaning which is not what they want to do before they decided to work here. Those who saw this position as a ground-floor entry job into an exciting new concept in the hotel business were disillusioned with the hotel's strategy.
To remain profitable, hotels must operate with around 65-70% capacity . Due to seasonality, political and economic events, some hotels are finding it difficult to maintain profitable occupancy levels and have started to provide services along multiple levels within the industry's
The Economic conditions challenge the hotel to achieve business and profit margins. Due to the economic crisis, it is becoming difficult for the hotel to maintain Ionian Hotel Enterprises S.A. brand as a lesser amount of capital given to run the operation.
The organization has explicitly kept this advantageous environment over other organizations by improving its service capacity. Additionally, the organization ensures that it stays ahead of its rivals by engaging in research and development that focuses on luxury products and markets analysis. The Ritz-Carlton hotel uses data from its research to predict the future of the industry; therefore able to dictate what and how the market will trend in the foreseeable future. Another factor that keeps the organization’s advantage over its rivals is that while rivals tend to become a hotel brand in the industry, Ritz-Carlton has rather position itself to be a leader and lifestyle brand that constantly develop new properties and ensure that customers live the culture of the hotel. The final factor that has kept the advantage of the organization intact is the culture of trust that exists between the management and employees. The leadership of the hotel lives and communicates the organization’s value to its employees who in turn satisfy customers in a way that they often anticipate a return visit. These are some of the reasons that the Ritz-Carlton hotel continued advantageous environment over its rivals has persisted in the hotel and resort industry (Reiss,
Q1. TAKING ACCOUNT OF THE ORGANIZATIONAL CONTEXT, WHAT ARE THE PARTICULAR HUMAN RESOURCING CHALLENGES OR ISSUES THAT WILL NEED TO BE ADDRESSED IN SETTING UP A NEW HOTEL OF INTERNATIONAL FIVE-STAR QUALITY?