Specify organisational standards of customer service So the customer segment of the Ritz-Carlton is a wealthy clientele who has very high expectations since they use to get upscale products because they are ready to pay more to have more. Therefore, the differentiation of the Ritz-Carlton is made on an efficient and effective customer service. As we know the needs are general but the wants are specific, so the companies have to make the difference so as to become the customer’s wants. For example, customers will need to book an hotel room but some customers will want to book an Ritz-Carlton hotel room. So the Ritz-Carlton is really known for their customer service.
Each employees adopts his own unique set of behavioural attributes in his approach to develop solid customer relationship. This process is called the empowerment process and has been seen to afford employee a certain level of flexibility in handling customer relationship. (The Ritz Carlton Hotel Company LLC, 2000) THE CREDO The Ritz Carlton Credo is a mission statement statement to its customers and states the following The Ritz Carlton pledges a) Genuine care and comfort of guests as its highest mission. b) Finest personal services and facilities. c) Unique experience that enlivens senses, instils wellbeing, fulfils unexpressed wishes and needs of guests.
The Five Competitive Forces of Industry will influence prices, costs and investment (Porter, 1980). The potential retaining of customers, profitability of a holiday inn can be determined by being aware of the strengths and weaknesses of the hotel industry. (Figure 2.2: Porter’s Five Forces Model (Source: Adapted after Porter,2008) Porter’s 5 model helps in success of Holiday inn between suppliers and buyers. Giving customers the service they are looking for, acquire customers, retain customers and looking externally how the competitors are doing is very important. To ignore the power of customer relationship is not an option.
One of the key differences with the Ritz-Carlton lies in its exceptional customer service practices. According to a Forbes article by reporter Carmine Gallo, customer satisfaction is measured by the American Customer Service Index and it was discovered the true concept of it is in bad shape. A survey released by the American Customer Service Index in February, showed the biggest decline in customer service in two years, due to the economy, massive layoffs and general lack attention to the very basics. However, even with this grim report "The Ritz-Carlton continues to delight its guests by focusing on educating its staff and keeping them motivated" (Gallo, 2011). In his report, Gallo interviewed the Marriott International President for Asia
It is proud of its cultivation of opening up a multitude of experiences and opportunities for people from all walks of life. Further, it prides itself on offering several business advantages to include: a strong balance sheet, sound management, and a record of industry leadership. Marriott describes its business model, brands, senior leaders, and deeply-ingrained service culture as having firmly established Marriott as a leading performer (2013, para 1-2). Another source describes Marriott International as a company that takes pride in the fact that they have always taken care of their customers and employees above all else, living up to their slogan of “People First” (Addonizio, Mathos, Khalil, & Ortiz, F., 2012, para 1). Essentially, Marriott has gone to great lengths to focus their business efforts and strategy on providing the best working environment and hotel stay for employees and customers alike.
The purpose of this report is to find solutions to the prevailing issues in Ritz Carlton like an increase in absenteeism, demotivation, a decrease in productivity level as well as discrimination, underpay and conflicts arising between team members. For the purpose of this assignment, the focus will be on providing recommendations to improve the culture, working environment, structure, motivation of employees and strengthen team-working. Ritz Carlton is using a hierarchical and centralised structure, first of all, different type of structures will be proposed to find the right one. The different type of structures (1) Functional – each portion of the organisation is grouped according to its purpose. (2) Matrix - ‘’ creates project teams that cut across traditional functional departments, instead of highlighting the role or status of individuals, it gathers together a team of specialists with the objective of completing a task or a project successfully ‘’ .
The motive behind their strategy is not to appease shareholders first, but to cover all their social responsibilities. The advantage of this over a company that primarily runs for shareholders’ sake is that it is more closely involved with-and on top of societal changes, enabling it to respond quicker to society’s demands. Furthermore, ongoing attention to society builds trust between the company and its stakeholders. People are more likely to perceive such a company as responsible and conscious, translating later into buyer’s confidence. This has the overall effect of increasing the company’s reputation.
“The training of team members and leaders is the foundation of any successful improvement program” (Business Balls, 2014) SERVICE QUALITY The study result show that lot of guest was not really happy about the services which the hotel has to offer, the reason behind this could be less of man power and standard of service, if the hotel has to maintain its competitive advantage than it needs to provide distinctive services to keep the guests happy, the quality of service has to be up to the mark considering that the hotel is a star property and guests wont settle for anything which is just about
According The Ritz-Carlton official page, if occupied one day for the room need $4,200. -Facing tough competition from major competitors, for example W Hotel is nearby The Ritz-Carlton. W Hotel is same type hotel with The Ritz-Carlton, such as five star hotel, same of have bar and same of is international brand, so maybe have a strong competitor will effect company business. -Most of the product rely heavily internet system, so if the internet be hack, customers information will be steal. And then, if the internet system destroyed that affect the service quality, such as will delay customers check-in or check-out process.