Portion Ritz-Carlton Case study
Asia which provides its greatest reputation based on its comfort, luxury, and impeccable service. In china, where many multinational companies face a constant shortage of talent and high employee turnover the Portion Ritz -Carlton Hotel has been able to attract, develop, and retain high quality talent to deliver excellent customer service and ensure profitable growth.
After the terrorist attacks on the World Trade Center on September 1 1, 2001, international business travel saw as the Portion Ritz-Carlton, which catered mostly o business travelers, a decline in occupancy was inevitable and it was immediate. Moreover, there was a greater threat in the form of two new direct competitors, but it Nas not only the loss of clientele that concerned of Mark J Decisions (Gene. Manager).
Sq a result of his own success in developing professional and service oriented local employees, he had a good reason to worry that his new competitors would aggressively recruit his staff.
Although they were well paid, his competitors might offer them more. Kamikaze is applicable for the continuous improvement of the way it manages and leverages its human resources. KEY ISSUES External Popularity (Opportunity) its popularity with the clients around the market brings revenue to the organization without further promotion activities. New direct competitors (Threat) management fears that the new rival will pursue their current staffs, although they are giving their employees satisfaction with their “ages and benefits, the competitors might offer more than they offer.
Moreover their clients might want to try rival offers that will cause them decline in profit.
Internal Management practices (Strength) the main advantage for the Portion Ritz-Carlton in Shanghai (Ritz) is the way it manages and leverages its human resources. The quality of their employees and their employees’ satisfaction contributes significantly to its success. Lack of employee engagement (Weakness) employees are motivated because on high Mages not on their commitment to the organizations. This is the reason why the company has a frequent turnover.
The Ritz should be focus on providing, benefits, incentives, promotion, and recognition, based on improvements of employee, key for motivation and empowering their employee leading to happier Norfolk and commitment. CONCLUSION Success at the Portion Ritz Carlton, Shanghai did not happen overnight. The Asia Hotel industry suffers as a whole for a few reasons, reasons which also plagued The Portion Ritz Carlton. First is employee turnover, the second issue is guest satisfaction, which is a direct effect of employee turnover.
And the third are occupancy rates, which is critical to the financial performance of any hotel in any market across the world. For continuous improvement the Ritz-Carlton should documents, gathers and uses survey of customer satisfaction and quality -related LATA on a daily basis to ensure the continuous improvement to a service. By asking customers how Ritz-Carlton can improve, the company shows dedication to providing extremely personalized, caring, and quality service.
Resonates with customers become a source of competitive advantage for the Ritz-Carlton, since no other hotel in the industry shows this level of dedication to quality. Because of high quality service, customers are willing to pay more for an experience; this means that even during times of economic decline guest that desire such quality service are willing to pay to sat with the Ritz-Carlton. It also provides way to match the right candidate to the right Job and reduces of employee turnover.