The Manager as an Organizational Developer in Operation Hospitality Management - Assignment Example

Operation Hospitality Management Operation Hospitality Management Introduction Hospitality management refers to the line of work of running an organization in the hospitality industry. The most adverse field in the industry is the hotel business and it is what this article will focus on. In this particular scope of the industry, there are various levels pertaining to the managerial positions with that of the General Manager taking the epitome. The role of one in this position is mainly dealing with job demands and handling relationship issues. Therefore the journey to the possession of such a job starts off at the entry level. This position has both short-term and long-terms demands. Housed in the short-term demands includes: the day to day running of the hotel, customer relations, regulating operational costs and capitalising on returns. The long-term goals however, are more of a wholesome approach on the running of the entity and may include: monitoring and dissemination of information regarding the entity and resource allocation for hotel projects. L01. The Manager as an Organizational Developer For hotel managers to fulfil their long term goals, they have to abide by an intermediate path that entails the recruitment, training and development of a subordinate staff. They are also tasked with the duty of outlining the operational procedures that the hotel staff must abide by. These obligations go as far as the internal running of the hotel is concerned. The external factors however, cannot be ignored for they play a crucial part in shaping the business prospects of the hotel. Changes in the external environment are at times unpredictable and require a proactive mind to effectively counter them. The hotel personnel must also be able to have creative and critical minds to enable them to tackle any unprecedented events. The structural organization of the entity therefore comes into view. A structure that is flexible to deal with external commitments for the sake of the smooth running of the entity is necessitated. Putting in place such a system is tasked to the General Manager. Evidently, all these operations require a constant and effective interaction system between the manager and their subordinates. Effective communication is therefore a factor that is crucial to the success of a hotel operation. When a manager recruits and trains personnel, he/she makes use of the human resource segment of the company. The human resource department is a division of the hotel that handles matters affecting the welfare of the staff. By using the human resource programs and goals, the manager is able to advance the long-term goals. The Manager as an Operational Controller This role involves an entirely hands-on approach. This is solely because, the input of the GM is essential in combating the daily challenges that face the subordinates especially those that are beyond the staffs’ experience or professional scope to handle. When unmatched issues come up outside the daily routine, it calls for a deductive minds to solve the glitches that affect the daily operations of the hotel. For instance, if short-run hassles that require budgetary allocations arise. The GM is expected to allocate their personal time to solve such problems because they are under the scope of the staff in the sense that, they are looked up to. The level of motivation of the manager trickles down to the personnel. Every interaction that the GM has with the staff is an opportunity to showcase their leadership talents. When a GM realises that they are in constant scrutiny it keeps them on toes. In turn, the subordinates are able to deduct what actions are in agreement with the manager. 1.3 Customer Profiles Customer requirements shape the market strategy adopted by a business. The experience of the customer while under the care of the hotel reflects majorly on the success rating of the entity. There are clients who want standard services at the lowest levies possible. This group has little emphasis on the uniqueness of the service offered or its quality what they mostly seek is the convenience of its availability. Others seek multiplicity and quality. This group scarcely focuses on the price situation; their major focus is on the quality of service provided. They could be considered as special taste clientele and it is this group that has the largest implications on company reviews. They expect a service that is comparative to the price paid. 1.4 Spending Power Regarding the size of the hotel industry, the customers have the buying power due to its competitive nature. For a given entity to charm and retain clientele, it has to offer special facilities and services to such customers. Marketing strategies engaged using marketing mix are the gateway to success. Such approaches such as promotion through advertising require funding, with the state of the economy globally such an undertaking is an uphill endeavour. A survey conducted in New Zealand revealed that most hotels spend a minimal 1.39% of their budgetary allocations on advertising. Companies prefer to use cheaper avenues like corporate websites and print advertising. The viability of daily deals on the internet is dwindling due to its expensive nature reflected in marginal returns. This is a result of the discounts awarded to consumers which heavily cut on profits (Hospitality Report, 2012). LO2. Front-Office Operations 2.1 The front office is considered to be the centrality of operations because they offer the first impression to the client. Over time, the functions of the front office have graduated, this follows the progress achieved in the communication sector. The use of computers, e-mail and the internet. Such developments have brought out the expectation that service delivery will be quicker and more proficient than in the recent past. As much as these changes have brought about a wider scope on ways to provide services to customers, there is the complexity factor that is in play. Communication is the primary duty of the front desk therefore a major consideration for who to appoint for the position of the Front Office Manager (FOM) is communication skills. For service industries in general, the part that effective communication plays in the success of the industry cannot be underestimated. In the modern hotel setting, the front office desk is the hub of operations with customers expecting instant access to information about the hotel and relevant data. 2.2 The front office desk is tasked with the role of handling customer complaints and enquiries. The former however, is the most challenging bit. The training of the personnel should enable them to diligently attend to complaints. The problem is that at times the frequency of flow of complaints may increase and surpass the threshold of the staff. If this happens, then the probability of conflict arising between the personnel and the customer is very high and ought to be neutralised. The FOM has to be an effective communicator and negotiator to enable them to settle any disputes that may arise within the work environment. In a bid to do this, the proactive nature of the manager is in question. He is challenged to find out which departments are relevant to fulfilling the demands of the customer and then link the customers to the relevant divisions. On a typical day, the duties tasked to the FOM include: Reviewing night audit reports and inbound reservations. Communicate to staff any developments regarding shift changes and new assignments. Resolution of any divergences revolving around billing of customers, he also aids the GM in the formulation of a budget, he is in charge of chairing business meetings regarding the promotion of room sales. He conducts interviews on potential front desk employees and maintains front office paraphernalia. These are but a few of the duties tasked to the FOM and they give a general outlook of the role played by this type of manager which in entirety is on the service delivered to hotel guests which in turn is essential to the financial overturns reflected by the hotel (Denney G. Rutherford & Michael J. O’ Fallon, 2005). 2.3 The main hurdle regarding service development is availability of labour. The demographics at the US and Europe show that for any number of people going into retirement, the number coming into employment is insufficient. The industry is also on the public eye for allegations on lagging wage rates. There is a claim that the wage rate at the industry is below the standard value. A recommendation to resolve this matter is for hotel entities to start up their own training programmes so that potential candidates for job opportunities can see them as prospective career growth opportunities. Offering cash bonuses to employees who meet the monthly targets of the hotel provide an incentive to motivate the personnel to push themselves (www.hotel-online.com). L03. Pricing Strategies and Methods Premium pricing is the highest form of pricing that is motivated by the unique nature of a service provided. Savoy hotel accommodations call for premium pricing and are an excellent competitive strategy. Other forms of this stratagem include the inclusion of Concorde flights in the package purchased. Penetration pricing on the other hand involves the artificial low setting of prices for services offered with the intention of capturing a larger customer base than ones competition. This arrangement is temporary and once the objective is fulfilled, the prices are reset. A third stratagem is economy pricing which involves budgetary cuts to various departments like advertising. These cuts allow for other departments like catering having flexible budgets. Backward pricing entails the hotel manager having information on market trends which allows them to have a rough estimate of the overturns. With such information, the manager is able to determine the amount required to spend on the processes like in purchase of ingredients for a maximum profit. Contribution pricing is mainly employed in the room service division. It entails the calculation of variables like room cleaning which will then dictate the price of accommodation. When all variables are accounted for, the hotel is guaranteed to record a profit (www.hospitalityinfocentre.co.uk). 3.2 The Manager as a Business Maintainer For the long-run obligations, the manager has to fulfil the capital prerequisites of the entity. These involves making investment expenditure decisions. Such decisions have to abide by the decree of the hotel and also have to serve the purpose of the upkeep of the hotel to ensure that the viability of the business is in check. Matters that involve expenditure in the communication chain are an upward track for they are forwarded to the hotel executives and partners. The community also has its share in this issue- from the community the manager acquires information on market trends adopted by the competition and intelligence on the general business atmosphere. This position often requires the occupant to present formal reports and proposals on the subject of expenditure. If the manager wishes to employ a new strategy in service delivery, they are expected to justify the proposal through a detailed and comprehensive budget proposal presented to the hotel executives and stakeholders. As much as the GM has to be prompt in providing a solution to short-run problems, there is a consideration for the long-term implications of the decision. L04. Housekeeping, Engineering and Security The housekeeping division serves the purpose of controlling the welfare and environment of the customers when they are staying at the hotel. The housekeeper is tasked with the following roles: cost control, record keeping, and handling of equipment. Evidently, this division is labour oriented and is often a stepping stone for those seeking managerial posts. Engineering guest service helps in the upkeep of hotel engineering systems. In this division, the managerial styles employed are crucial to the smooth running of operations. The various managerial styles that exist may revolve around: the coercive style entails the use of disciplining tactics and threat of being reprimanded for failure. The other method is authoritative which involves a strict but flexible leader, this type of leadership is more involving for it relies heavily on the feedback that the manager gets. The manager persuades the staff to bring results. Affiliated leadership is personnel centred and this translates to looking out for the welfare of the staff and how they relate with each other. As soon as these relations are fostered, then the tasks can be accomplished- social activities are therefore the epitome of this method. Democratic management encourages the personnel to participate in the decision making process; their input is valued and sought from time to time. Security is a major factor that both the hotel operators and customers are widely aware of especially at this modern age. Normally the home atmosphere brings out the notion of security but this changes in foreign environments. The head of security in prime hotels reports directly to the topmost management. The hotel security serves two purposes: to safeguard the customers and staff from harm and to watch over the corporate assets. Recent trends reflect a new system of hiring that looks into the background of potential managerial candidates for experience in any security field be it law enforcement or military. Such a background reflects well on a candidate, this is the case since the industry takes on the matter of security as a staff obligation. 4.2 Human Resources (HR) The human resources segment in any corporate organization aids in the advisory on legal matters pertaining to employees. Corporate culture comes into view in this subject matter; so long as the personnel are in a comfortable and nurturing environment, it will reflect positively on their output. Corporate retreats and holidays are a part of nurturing an associative working environment. Appraisal for good work done also goes a long way in the motivation of employees. The motivation bit stems from the direct supervisors and managers; since they are looked up to it is right to say that the mood of the managers reflects heavily on the work environment. Take for instance a coercive leader- this breeds an immense amount of tension at the workplace that is detrimental to the motivation of the staff. 4.3 The communication network covers a large domain. The primary aspect is the link to the community. Here the community refers to the immediate environment of the entity. Proper relations with the community foster an interaction system that is beneficial to the manager in that they will be well informed on the changes taking place in the external environment. The second network is within the business and it is a link with the company superiors and the specialists within the hotel. If these three are aligned, then the manager will have a smooth sailing in the implementation of corporate policies and ideas. The GM acts as a channel of communication for all sectors of the hotel. The information that the GM attains enables him to take up the role of an entrepreneur in the hotel. This is experienced when the manager makes decisions critical to the operations of the hotel and entails the formulation of strategies that enable the hotel to stay ahead of the competition and this means keeping tabs on the market trends. In the implementation of ideas that improve the operative proficiency of the hotel, there are bound to be unprecedented time debts that have to be addressed and finance allocations to be carried out. Such an occurrence calls for self-sacrifice on the end of the manager as well as his staff. On the part of budget allocations, the manager is the resource allocator. Deductively, it can be concluded that the position of the general manager is that of an organizer- one who ensures that all parts or departments of the hotel are in agreement (Denney G. Rutherford & Michael J. O’ Fallon, 2005). For the smooth running of operations in hospitality based business coexistence between the departments is crucial. From the research provided, one can conclude that most of these relations entirely depend on the managers to foster them. This could be because the managers are a representation of the ideals of the entity and are regarded as the communication link between the relevant parties. The management of operations of an entity are not solely based on a supervisory role but also a social one. Proper interactions among personnel and across departments to customer to company relations are all essential in the long-term viability of the business. References Denney G. Rutherford & Michael J. O’ Fallon, 2005, Hotel Management and Operations, Fourth Edition, Pp. 69-415. Pricing Strategies and Methods. Available from, http://www.hospitalityinfocentre.co.uk/Reports/Hospitality%20industry/pricing-strategies-and-methods.htm The Hospitality Report, 2012. Available from, http://www.restaurantz.co.nz/story?Action=view&story-id=1467 Top Ten Issues in the Hospitality Industry, 2009. Available from, http://www.hotel-online.com/News/ Read More