Is Rationalization a desirable strategy for managing & organizing Junction Hotel in the current economic climate?
Junction Hotel is currently facing problems within the business and is struggling to keep its identity of a ‘quality hotel’. The problems have arisen from a mix of poor leadership and co-operation of staff within the business and also the external influences of businesses which has led them to compromise on quality of service for profit. In this essay I will delve into whether or not I think rationalization is a good strategy for Junction Hotel to adopt.
Rational Organization increases efficiency and control and also brings down costs because the tasks are minimized to the core that they require almost no training for
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It will also allow the tasks to be completed efficiently so that the business can focus on improving other areas of the business where the employees may require a higher level of training in customer service such as the waiters and reception staff. I think these departments should not use rationalization because they have direct contact with the customers, to make the customers feel welcomed and help the business to keep its identity of a quality hotel they must be more social and engage with the customer to provide them with the individual needs and services the hotel has on offer. Junction Hotel should also cut down on their costs much like Travelodge have done so that they offer the basics to the customers and have the extras available on extra cost so that not only can they exploit efficiency in service but have variety in terms of the product they have on offer which will help them increase their profits and market share in this difficult climate. Junction Hotel should also change their way of management so that they have more of a social business which will should help the employees to feel more willing to work and feel wanted so that they can provide a cheerful and happy experience for the customer, which will be an opposite to if they adopt rationalization in management like the experience customers feel at McDonalds, they often feel they are talking to a robot and may choose to go
Tourism is one of the most international industries. Globalisation is the gradual forging of links between groups and societies until they finally reach around the globe in several directions (Smith, D,2006). Globalization is one of the serious challenges facing managers today. It is critical to develop services that are able to satisfy a highly diverse customer base (Ueltschy et al., 2007) Now to keep up with the rising levels of globalization in the hotel industry, there’s a need to understand not only the positive, but also the negative impacts of globalisation. I’ll also talk about the growth and rise of one of the most respected brands in the hospitality industry - the Hilton Hotels. Throughout the evolution of this famous organization, the Hilton has
This essay will be discussing the affects that Junction Hotel would sustain if they were to implement rationalisation as a strategy. Julien Freund (1968) defines rationalisation as "the organization of life through a division and coordination of activities on the basis of exact study of men 's relations with each other, with their tools and their environment, for the purpose of achieving greater efficiency and productivity.”
Is Rationalisation a desirable strategy for managing and organising Junction hotel in the current economic climate?
The Club Med (A) case examines the companies core values, innovative goals in providing a complete all-inclusive resort getaway experience for their customers, and competitive advantages and disadvantages the resort company had against others. They pride themselves on being innovators and on customer satisfaction, though they did begin to fall behind in some areas due to new competitors entering their category. Some of the Club Med issues were that they didn’t seem to actively take new threats very seriously, they were heavily catered towards the French/European culture, and how they didn’t have much flexibility in terms of adjusting their services to fit consumer needs better.
As we discussed in class, every business is faced with these issues and they are important to managers making strategic decisions. One of the first things learned about business is that if there is no demand for a good or service, the firm that provides it will not continue to exist. Over time the hotel industry has continued to change with market conditions and make itself attractive to business
Creating groups and teams with an organisation can be a highly successful way for managers to control their workforce as groups tend to form their own cultures and ‘norms’ (Coghlan) and if management can influence a group to develop positive ‘rules’ and to accept the organisational approach implemented, then they have gained control over that set group of workers. Also, by allowing workers to work within their chosen groups, the social needs of the group can be more easily met and therefore, hopefully, lead to greater efficiency. This approach could work well for Junction Hotel as there are already apparent groups formed and by allowing them to work together, greater efficiency could be the outcome.
The comparison of performance is possible for the bed and breakfast hotel to consider the implementation of smooth changes. The maintenance of the specific database is expected to provide the clear view of the accomplished aspects. The important influence of any sort of changes is on the organisational staff. For evaluating this aspect, it is recommended for the organisation under consideration is considering the importance of possible changes. In case the organisations are growing quicker as compared to the expected company structure, the change is required to be planned for easing the tasks regarding the employees. In the opposite case, the organisation should consider the expected growth with the reduction in employees. All such aspects are required to have a specific back up plan in case of the emergency. The plan of projected
In order to engage the employees the Portman must be dedicated to a performance management system. This cannot be the “system of the month” that simply creates hype for a time and then fades away, as they experienced with the 5-Star system. The hotel must set goals, monitor and evaluate these goals, provide feedback and create a reward and recognition program. (Krasner, 244). With the introduction of the 5-Star Program, the Portman relied on the PV’s to participate in the problem solving for the hotel. The Portman should again rely on the employees with the establishment of a performance management system by using a Management by Objectives system. This type of system would incorporate participation from the employees for decision making, goal setting and objective feedback (Kreitner, 246). This program should begin with the strategic plan of the hotel and then set goals for employees that will align with the hotels organizational objective. These goals should be set using the SMART method (Kreitner, 248). Once the goals are set, management must get commitment from the staff that they believe these goals are attainable and that they believe in why they are pursuing these goals. If the Portman uses staff to set these goals, commitment will be easier to
For a long time researchers are trying to find the perfect recipe for success, however it is very hard to predict the response of the market to a new product and its adaptation to the environment. The Ice Hotel and the Travelodge are two ventures established in the end of 20th century both in the travel and hospitality sector but each one with its own unique business strategy. In evaluation of their success the decisions made throughout the development of the above mentioned ventures can be categorized as effectual and causal, as explained by Sarasvathy (2010). G.Sanvikarja suggests that causational logic is more rational and based on prediction where as the effectual strategy is more creative and is control orientated. Each of these approaches implies different strategies and reasoning behind both individual decisions and responsiveness to the environment. Furthermore, most enterprises follow a set of common principles that are key for building a business strategy including defining means, setting affordable loss, leveraging contingencies and forming partnerships (S. et. al, 2010). These four aspects are crucial for understanding how is a business created and what is its approach. However, it should be noted that most of the businesses are not strictly effectual or causal, rather a mixture of both with a tilt towards one. Every business is individual and should be treated like one. This paper will examine the business strategies behind the Ice Hotel and the
The main objective of the company is not only to attract but also to retain staff who are interested to work in the hotel business for the five-star level of high service, taking into account the wishes of clients, and which offers an innovative, dynamic environment and reflects the culture of the local country. To achieve this, Hyatt strives to be a company listening to well-informed and concerned people. Hyatt provides plenty of opportunities at all levels for their employees, which are accompanied by numerous development
Owing to limited rationality of man, Herbert Simon contends that most decisions are based on limited rationality, that is, the organization is working like a brain. It would be impossible for organizations to attain perfection since their members have limited information-processing abilities (Morgan, G, 1997)
The rational goal model emphasises control and an external focus and views planning, goal setting, productivity and efficiency as effective. Innocent employ experts in all areas from web designers to nutritionists to sales representatives which means everyone works in their specialized field to get the best possible outcomes for the company. This is important as in some
In order to amplify its potential, the government gave contract to change RDH to Hotel International (HI), a reputed global management organization. The new management (HI) took over and started implement the changes to meet the international standards. But the employees could not go under the sudden changes because of their habit of traditional way of working and without having reasonable answers to their questions. This made them feels pressurized and moreover, the policies and procedures implemented were perceived as against the local
Hospitality Management is a difficult and competitive market, and any lack in customer service can result in defecting customers or the termination of a relationship between a customer and a service provider. In this paper we will look at Hilton a company that has continually ranked amongst the top ranking hotels and continues to improve. Hilton’s customer service ranks as one of the top hospitality providers in the United States. We will look at the history of how Hilton came to be the name brand it is today and some of their process the used to narrow the customer service gaps such as Hilton Honors, the Hiltons Reservation Customer Care, and RESMAX. We will look at how they look at how Hilton manages the customer expectations through the use of employee training and their decreased the customer service gap through employee retention. We will also look as how Hilton co-partnered with Citibank in order to offer its Hilton Honors member additional benefits in order to keep in line with the customer service that the customers have come to expect.
3.2. Advantages and disadvantages for this particular hotel from affiliating to the Hilton hotel chain