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Services practiced in a hotel industry

General Management Discover the secret of the successful GM: „always think and act two steps ahead‟. Visionary thinking, motivating your team, pampering your Guests, keeping in touch with third parties, searching for improvements, and ensuring a secure and safe environment for Guests, employees and third parties. Rooms Division Besides a good night's rest, modern Guests demand more to improve the convenience of their stay. Food & Beverage Generating extra sales, controlling and reducing labour expenses, exceeding the expectations of the Guest and providing healthy lunches and meals are core values representing a good service. The value of cooperation between various departments can be explored in order to maximize added value. You can make your team a winning team by optimizing teamwork within F & B outlets. Use of our knowledge by implementing the best practices in the organization. Front Office The front-office forms the entrance to the hotel and all its services. The impact made by a first impression is extremely important to the rest of the stay. Guests arriving in different states of mind, need assistance in having a pleasant stay and in checking-out after their stay. Hoteliers regard the front-office as the heart of the hotel. All kinds of new services play an important role in our Front-office section. Guest Relations 'Feel comfortable, feel at home. Tell me what I can do for you.' These are issues for Guests and for you. Great contact with your Guests is essential in order to create a unique experience. Every Guest has his/her own wishes, and only a personal approach will make a difference. Your role will be essential in exceeding the expectations of your hotel Guests. Ask what Guests want and give them attention. That's what they expect and that's what makes your job unique. Marketing As a marketing executive, you focus your activities on the longer term. How are we currently positioning the hotel, what are the future possibilities, yield management, long term planning, price policy and promotions of all the products and services, choosing the right distribution and promotion channels etc. Human Resources Although all managers should be people managers, the Human Resources Manager should be the best people manager. The right person in the right place. As Human Resources executive you are responsible for providing the hotel with suitable, motivated and skilled management professionals and staff, so that the hotel's targets can be realised and exceeded. Besides this, management professionals and staff need to stay motivated and dedicated in order to run the business effectively. Objectives such as competence management, review management, motivation tools, staff

remuneration, productivity, reduction of sick leave - all these topics should be the prime concern. Sales Sell the hotel, optimize occupancy and room rates, promote and (cross)sell all offered products and services. In brief, this will be your task as sales manager or sales executive. Strive to meet and even exceed targets in collaboration with, or as part of, the marketing department. Maintenance There is no hotel that can function without people who maintain the premise, the building and all the installation used by various departments. As maintenance executive your daily tasks will vary from planning, investigating, making decisions, negotiating with third parties, communicating with departmental colleagues, motivating staff etc. Subjects as preventative maintenance management, motivating elements planning tools and energy saving issues, ROI items are also issues to be considered. Finance & Control As financial expert, you assist management professionals in running the business via the most beneficial economic and financial approaches. In most cases, you play the role of 'devil's advocate' at management team meetings and budget meetings. Budgeting, forecasting, and controlling. Security & Safety To provide a safe and secure environment for Guests, management, staff and all other parties who visit or contact the hotel. This important task will be your duty or responsibility if you are interested in this section. The importance of security has been highlighted considerably in the last decade. Threats from outside or inside the company play an important role in the recent world. Quality & Services The element Quality in Hospitality Management is very important. Consumption of hotel services is pretty much simultaneous with their production. This makes the quality measurements difficult but also essential. Quality: the never-ending story. Organizational Development The structure of every organization is extremely important, e.g. the right (wo)man in the right place. But to get the best results from your organization, culture is even more important. If you allow your management to grow, the organization will follow. Purchasing 'Value for money', 'Just in Time', 'optimal term contracting', 'service level agreement'. These are items which are important when it comes to purchasing. Innovation

Without innovation no business. Discover how new products and service can excel your business.

together with a positive attitude and a willingness to learn Skills required 1. Often an employee is required to take orders. Thus. They must be able to be able to meet the needs of their guests any way they can. Clayton Barrows. amenities and advertising strategies to this group.Personal growth & success The well-being of people is one of the essential factors to personal growth. For example. Key factors in success of hotel industry 1." advises hotels to veer away from generic descriptions such as "luxurious rooms" and "bargain price. 2. For example.Customer Service  Customer service is an integral part of the hotel experience. Reid. 3. author of "Introduction to Management in the Hospitality Industry. In many instances. some hotels advertise as an ideal location for business travelers by giving corporate discounts.Problem-Solving Skills  A hotel management employee needs to be able to solve a multitude of problems.Team Leadership Skills  The ability to lead others is a necessary factor for a successful hotel industry employee. displaying its on-site conference rooms in magazines aimed at executives.Multitasking Skills  The ability to do more than one thing at once is vital in the hotel industry.Advertising  Successful hotels target specific consumers and will cater their prices. This employee provides the customer's first and last impression. both typical and unusual. This type of hotel also promotes itself as a venue for business meetings." Instead. employees must work with others to best meet the needs of their customers. 2. author of "Hospitality and Marketing Management." explains how the front-desk worker serves as the gatekeeper of the hotel. an ad for a hotel in Hawaii may show an image of its best-selling tropical drink. Robert D. hotels achieve a critical success factor by ensuring the staff is knowledgeable. Providing quality service also entails remembering the names and preferences of repeat visitors and giving advice about attractions and surroundings. while still adhering to company guidelines. settle payments and problem solve simultaneously. Reid recommends commenting on the specifics of the décor or customer service. courteous and capable of resolving any conflicts that arise. .

This uniqueness may stem from the location: A rural hotel in the heart of the Tuscan countryside may offer Italian cooking classes. insolvencies in August 2012 stood at around the same rate as July 2012.06% in August 2012 overall. Michael J. and electricity and maintenance with profits deriving from booked rooms. gift shops and food and beverages. The picture in Yorkshire was also relatively good compared with the rest of the ." explains how computer programs also enable managers to identify the customers most willing to spend money and on which items. the manager can advertise directly to the person before arrival by offering packages.Product Differentiation  Hotels thrive by offering guests a unique experience. the establishment of a loyalty program enables hotels to lower rates for repeat guests while charging different rates for others. 4. which showed that the insolvency rate in the sector fell from 0. Hotels in Las Vegas.Cost Control  Managing costs is a critical factor in a hotel's success. thrive by providing specific services that cater to the theme of the hotel.3. the differentiation is within the hotel itself. upgrades and other incentives. Other times. whereas a boutique hotel in Morocco might offer a hookah lounge. Additionally. Overall. food and beverages. Most hotels vary their rates according to high and low seasons.723 business failures for the month in total. O'Fallon. author of "Hotel Management and Operations. with an insolvency rate of 0. amenities.15% in August 2011 to 0. such as a Camelot theme or a Grecian décor. One of the ways hotels plan is through reservations programs that forecast demand beyond 90 days. There were 1. Successful hotels also balance the cost of workers' wages.12% in August this year. Leisure and hotels sector sees biggest fall in insolvencies Neil Gerrard Monday 24 September 2012 14:23 The leisure and hotels sector saw a larger drop in the rate of business insolvencies in August 2012 than any other sector. Scottish firms did well. That's the finding from Experian's Business Insolvency Index. From this knowledge. for instance.

Experian Business Information Services. They need to continue sensible financial practices such as risk planning and monitoring their financial health and those of their customers and suppliers. In addition. we've seen real pockets of improvement. with a fall in insolvencies among all businesses from 0.08% in August 2012. according to hotel consultancy HVS. "But firms cannot afford to be complacent. Max Firth. The scarcity of debt and economic uncertainty will continue to dampen investment until at least the end of 2012. UK&I. single asset transactions and the sale of development sites have boosted business in London in what is otherwise a depressed hotel investment market. managing director. which have been sustained over a number of months now. . said: "Since March we've seen insolvency rates flatten out. While a lack of available debt continues to dampen the market in Europe." By Neil Gerrard European hotel investments falls 16% Janet Harmer Thursday 20 September 2012 12:46 London has topped this year's European hotel investment league as the overall number of transactions across the Continent has dropped by 16%.UK.1% in August last year to 0. which is a positive and welcome trend. such as in Scotland and Yorkshire.

including the InterContinental Westminster. including the four-star Cavendish London for just under £160m. This represents a 22% decrease compared with the same period in 2011. The whole Principal Hayley portfolio. Principal Hayley went on to sell these properties for £90m in a sale-and-leaseback agreement with Pramerica. Hilton Bankside and the Odeon site in Leicester Square acquired by the Edwardian Group. reaching a volume of £1. a 10% decline on 2011. consisting of 22 hotels (3. show that investment in both single assets and hotel portfolios during 2012 has been significantly down on 2011 levels.2b. Total single asset investment volume reached £1. has been placed on the market for £500m." said Tim Smith. 28% below the same period in 2011 when 59 like-for-like transactions took place. compared with £208. This was £75m less than the sum Principal Hayley sold the portfolio to aAim for during the property boom in 2006.000. where volume of sales reached more than £800m. "Until debt becomes more readily available and trading significantly improves.8b.000 in 2011. A number of hotel development sites have also been sold in London. director at HVS London. the majority of investment has been based in the UK. The first eight months of 2012 saw hotel investment activity in Europe total around £2. a 16% decline on the same period in 2011. A total of nine portfolio transactions involving 29 hotels have taken place in the first eight months of 2012. Some 46 hotels (around 9. In London some 12 hotels changed hands. .68b in the first eight months of 2012. The average sale price per room was £172. Transactions this year have included the acquisition of six hotels from investment vehicle aAim by Principal Hayley for £200m. released to coincide with this week's Hotel Investment Conference Europe in London.500 bedrooms) were sold ." added Smith. it is difficult to estimate when the hotel investment market will improve but we hope to see transaction figures rising during 2013. "Trading has been difficult in recent months for many European markets: even Paris and London have experienced a slowdown.700 bedrooms).each for more than £6m.The company's latest hotel transaction figures. As in 2011.

. Hospitality management refers to management of hotels. go to the movies. Immense work pressure. eat out. 6. defines success as “an event that accomplishes its intended purpose” The following factors are the main reasons that the hotel has been trading successfully for 80 years. TNN Jun 18. They must also handle tasks such as training employees. as managers need to be flexible enough to anticipate and meet a wide variety of needs.35AM IST Hotel management or hospitality refers to the relationship between a guest and a host. The management of such establishments is very challenging. handling staff. They invested time in ensuring their staff was trained to the highest possible level.Choosing a career in the hospitality industry Swati Salunkhe. They are willing to take risks. They are not adverse to spending money on advertising and pr activities. Case Study Q1What accounts for Westins continued success? Westin hotels have been in operation since 1930 and have seen many changes during this time which accounts for its continued success. One must be ready to work round the clock and even on night shifts. one must be calm. and not be arrogant. wherein the host receives the guest with goodwill. They have carried out large amounts of market research by means of surveys etc. setting standards. 4. 07. 2. 5. patient and always maintain a smile. and other institutions in the hospitality industry. Princeton. Their customers are their main focus at all times 7. stay in a hotel. 2012. They are a first in their industry for many trends etc. Whoever the customer one faces. they are patronising establishments in the hospitality industry. travel agencies. long hours of work and maintaining harmony with the clients forms an essential part of the industry. and engage in similar activities. restaurants. They are not adverse to spending money on upgrading and improving facilities and services for customers. and so on. There are no fixed working hours in this field. 3. Any time people travel.

” In the early years they pioneered such industry firsts as the guest credit card. “Heavenly Bath” and the “Heavenly Crib”. According to Adrian . All of the above cost the company vast amounts of money and involved a risk. The Bed Programs (exhibit 4. the other hotels quickly followed suit then. incase the payout didn‟t prove worthwhile By introducing the “Heavenly Dog Bed” in 2003. page 13 of the case study) shows that Westins first introduced the Heavenly Bed in 1999 and has since been copied by many other leading hotels such as Sheraton and Hyatt. The Westin Timeline (exhibit 1 page 10 of the case study) indicates that the company was always a first in many fields. These included the “Heavenly Bed”.The case study shows that from the very beginning the company “affirmed its focus on people and culture with the 1954 adoption its trademark slogan “People Make the Difference. However they carried out the research and discovered that there are 29 million people who travel annually with their dogs. While it took four years for the Sheraton to copy the idea. „Servicescapes‟ and „Servuction‟ as conceptual frameworks for analyzing the service encounter at Westins Hotel. 24hour room service and personal voice mail in guestrooms. the company took a risk. Q2Discuss the relative merits of „Blueprinting‟. all things which were previously unheard of but are now almost standard. Conceptual frameworks are used to analyse the service encounter. It also shows that the company was always working on ways to improve their service offering for customers. because this is not something that would appeal to everyone. The group knew who its competitors were and which market they were operating in so in the 1990‟s they went about getting to the top end of that market segment by introducing a series of new products.

Blueprinting was the basic process which became elaborated into the development of Servicescapes and Servuction. However this is more difficult in the case of a service encounter. The whole idea is to draw a map of the actual service process which makes it easy for everyone to follow. It is relatively easy to describe an actual physical product which allows the buyer to judge it. Because of this problem a number of methodologies have arisen to try “map out” the service process.Palmer (2008) services are essentially about processes and cannot be easily reduced to objective descriptions as in the case of most tangible goods. There are three main elements to the blueprinting process = . It is particularly helpful in situations where the service production process is complex because it enables the organisation gain an understanding of how elements of the service relate to each other. BLUEPRINTING This is a method of visually portraying the processes and participants involved in the production of a service. (Palmer 2008) Blueprinting is a graphical approach proposed by Kingman-Brundage (1989) to overcome problems that occur where a new service is launched without adequate identification of the necessary support functions. for example a meal in a restaurant. A large part of this is subjective and difficult to define.

For every function.o o o All the principle functions required to make and distribute a service are identified. along with the responsible company unit or personnel Timing and sequencing relationships among the functions are depicted graphically. acceptable tolerances are identified in terms of variation from the standard that can be tolerated without adversely affecting customers‟ perceptions of quality SERVICE BLUEPRINT COMPONENTS PHYSICAL EVIDENCE CUSTOMER ACTIONS LINE OF INTERACTION ONSTAGE/ VISIBLE CONTACT EMPLOYEE ACTIONS LINE OF VISIBILITY BACKSTAGE/ INVISIBLE CONTACT EMPLOYEE LINE OF INTERNAL INTERACTION .

for example a waiter taking a customer‟s order in the restaurant. with the blueprint also being divided into two zones. These interactions are shown in time sequential order. This means all contact or interactions with customers are clearly identified. although are necessary to the proper servicing of a customer. a zone visibility and a zone of invisibility. for example of this could be accommodation staff preparing a bedroom for new guests arriving.ACTIONS SUPPORT PROCESSES Figure 1. The zone of visibility includes all processes that are visible to the customer and in which the customer is likely to participate. may be hidden from their view. Bitners Service Blueprint Components A customer blueprint must show all the steps involved in a certain process clearly. The blueprint identifies points where consumers may perceive failure in the service . The zone of invisibility includes all processes and interactions that.

(Palmer 2008) The concept of a „servicescape‟ was developed by Booms and Bitner to emphasize the impact of the environment in which a service process takes place. In the service encounter the customer is in the factory ad is part of the process. Blueprinting also indicates the level of tolerance for each event in the process and indicates action to be taken in the event of failure. What is important to remember about blueprinting is that marketing. Production and consumption of the service are simultaneous. Identifying these areas can help management focus on ways to improve them. Target times should initially be set by marketing and based on consumers expected level of service.process. Booms and Bitner defined a servicescape as “the environment in which the service is assembled and in which the seller and customer interact. combined with tangible commodities that facilitate performance or communication of the service. These are the critical incidents on which a customer bases his or her perception of quality. SERVICESCAPES This is a description of the environment in which service delivery takes place. . human resource management and operations management should focus on processes that deliver benefits that are effective for the customer and efficient for the company.

novelty and complexity. It is based on the idea of companies providing consumers with complex bundles of . homogeneity and simplicity. SERVUCTION This is defined as a description of the producer-consumer service production system. (Palmer 2008) Servuction concentrates on a consumer‟s perception of the service encounter. the servicescape must be efficient and effective for the service provider in securing a customer‟s co-operation in the system. The environment should leave no reminders of poor service which cause negative feelings about the service.Factors to be considered when designing a suitable service environment are likely emotional states and expectations of potential customers. There are two types of environments. „high-load‟ which signifies high information rates and are associated with uncertainty. Peoples emotional needs and reactions determine whether they are attracted to high or low load environments. and ‟low-load‟ which signifies a low information rate and communicates assurance. The ultimate goal is that customers will repeat their visit. and then tries to retain them. The servicescape encourages customers to enter the service environment firstly. After entry. The framework was developed by Eiglier and Langeard (1987) and emphasises experiential aspects of service consumption.

The introduction of customers completes the model. which is made up of the support functions. The visible part consist of the physical environment where the service encounter occurs and the actual personnel who interact with the customers.benefits. (Palmer 2008) the service features of a company are divided into two parts – visible and . This approach is very relevant to services that involve high levels of input from fellow consumers where consumers can actually create their own bundle of benefits. This is always supported by the invisible part. Other customers Service offer 1 Other customers Core service process Other customers Bundle of service benefits Based on – -Service processes -Service environments -Fellow customers service offer 2 Figure 2 – The Servuction Model .

Because all the steps in the blueprint are clearly identified it makes it easy to replicate the process for each of the hotels in the group. it would be ideal to have a general map of the service process. mainly because of the complexity of the organisation. Since the same themes are operated throughout the all the hotels in the group for example “Heavenly Bed”. An expected outcome of blueprinting would be that staff recognise shortcomings or solutions to issues with their own services just as a result of learning the technique. “The Breathe Program” or “The Service Culture Renewal”. which in turn ensures a certain level of consistency throughout the entire organisation. The general blueprint could be standardised and adapted to suit each individual hotel. Blueprinting provides communications between operations and marketing on paper before they occur in real time. I feel that the Westin hotels would benefit from having a Blueprinting to follow.THE FRAMEWORK SUITED TO WESTINS – After examining the three concepts discussed above. The most important thing to remember is that the customer must remain the focus at all times. Some of a blueprint‟s greatest strengths are its versatility and flexibility. This way all staff members at each Westins hotel can follow the steps in the blueprint. Any issues that arise should be tracked so that they can be worked on and . Staff members become actively involved in the process themselves.

The advantages of blueprinting – -Provides a check on logical flow of whole process -Bottlenecks represent points in system where consumer waits longest.improved upon. -Balanced Production Line: Process times and inventories of all steps are same or consumer never waits for next process -Managers should recognize benefits of changing system to process consumers more effectively. Stage in process Greet Customer Obtain table & give menu Take Order Prepare/deliver order meal finished pay for meal further order problem with order Target time (mins) 1 5 5 10 1 .

• Q3 System malfunction is regarded by consumers as particularly significant “Building a brand and delivering consistent service on intangible values is a .Participants Customer Serving Staff Customer Serving Staff Customer Serving Staff Customer/Cook Serving Staff Customer Cashier Visible Evidence Apperance of restaurant Apperance of staff Furniture Menu card Food Crockery Cutlery Cash desk reciept Line of visibility ______________________________________________________________________________________________________________________________________ Invisible processes Staff Training Cleaning of restaurant Order processing Preparation of food Ordering of supplies According procedures Figure 3 – Customer Service Blueprint (Adrian Palmer 2008) There are certain negative points regarding Blueprinting that need to be kept in mind: • Potential for operations malfunction is high. • Results of the malfunction visible to consumers.

. which are included in the service offer and consumed by the user. smell. sound. universally cited difference between goods and services” Zeithmal and Bitner (1996) “Pure services present no tangible cues that allow them to be assessed by the senses of light. According to Adrian Palmer (2008) there are certain courses of action that can be taken to give tangible rudiments to a largely intangible component - -Tangible goods. The intangibility of many service processes can make measurement of quality much more difficult than for manufactured goods. “Intangibility is the most basic. For example: having an open fire lighting in the lobby or bar of a hotel on a cold winters day. Adrian Palmer (2008) states that services tend to pose much greater problems in understanding customers‟ needs and expectations. Consumers can only judge the quality of a service once it has been consumed.challenge”. Factors such as reliability. Critically assess the factors that explain the successful repositioning of the Westin brand While goods and services share the general concept of quality. -The physical environment in which the service is consumed or the purchase process takes place. taste or touch” One cannot touch or taste a service. personal care. attentiveness and friendliness of staff are very important here. For example: offering a free chocolate to a consumer when paying his or her bill.

Brand repositioning focuses on increasing volume by winning market share from competitors. slogan and or design scheme that distinguishes a service from other services and conveys expectations about the service. Overtime brands may need to be repositioned. logo. Competitive Repositioning: this involves comparative advertising to try and alter customers beliefs about a competitors brand. . new technology. market decline. (Adrian Palmer 2008) Position in the market means the way one service compares in its marketplace in terms of relevant customer focused criteria. functions or design Psychological Repositioning: the business can try to change the buyers beliefs about the competitiveness of the brand. Many factors can erode a brand such as. changing tastes. rising costs and new competition.What is a brand? A brand is a distinctive identity comprising a name. Reweighting Values: sometimes buyers can be persuaded to attach greater importance to certain values in which the brand excels. The following methods can be explored as a means of doing this: Real Repositioning: the brand may be updated by introducing the latest technology.

Both of these strategies involve introducing new products or services that will be of benefit to their customers and enhance their stay. it was unclear how long this could last and the company feared that “this strategy would be economically unsustainable” The company then went on to adopt a lifestyle brand strategy. Out of the repositioning methods outlined above it is possible that the company combined some of these strategies in an attempt to achieve success for the group. the bath experience. ensuring that they will return. For example – Real Repositioning and Neglected Values.Neglected Values: here new choice criteria are introduced to buyers. with a lot of focus on “enhancing customers’ emotional experiences” . The idea was to provide guests with a new service experience. The above quote by Sue Brush. Sue Brush explained “We mastered the sleep experience. Senior Vice President and global brand leader for Westins Hotels & Resort indicates the type of challenge faced by the company operating in an environment such as this. the fitness experience” While introducing such benefits was their initial strategy. Augmenting the Brand: the competitive position of a brand may be enhanced by offering additional products and services alongside the core product offering. signature products and services intended to elicit relaxation” The customer became the main focus of this experience. Changing Preferences: this involves trying to switch the preferences of buyers. It became known as Service Culture Renewal and involved a combination of “sensory. visual and verbal symbols. Buyers could be convinced to switch from low price products to brands that offer higher quality and value.

This became known as “Service Culture Renewal”. It focused on first impressions and involved improving speed of check in and staff friendliness. According to Sue Brush “it is not that we are switching gears and going in a different direction. which included television spots. . print and online advertising. Another major facet of the new brand was the added emphasis on customer service through staff training. A new training initiative was launched and staff became known as “experience engineers”. The company spent money on a huge advertising campaign to launch this new strategy. for example changing from a four cup to a one cup coffee brewer. The training focused on core value. communication skills and team issues. page 11 of the case study) shows how the Westin brand received the one ranking for upscale hotel from JD Power and Associates.The main reason behind switching strategies was that they feared they could not profitably maintain their product strategy for much longer. we are simply leveraging the product strategy into the lifestyle strategy because we see the product strategy pricing us out of the market over time” By introducing this strategy they also reduced costs by eliminating products that did not add any value to the brand. Revenue Per Available Rom (exhibit 2. The mission of this new strategy was to achieve a successful brand through personal renewal. A number of initiatives were introduced in an attempt to encourage staff such as “Dream Westin” and Westin Workout.

This is a clear sign that they are doing something right and that perhaps their strategies are working .The Guest Satisfaction Surveys (exhibit 8. page 17 of the case study) indicates that the Westin Hotel was above average each year from 2001 to 2006.