The Regency Grand Hotel Essay Sample

Recently purchased by a big American hotel concatenation. the Regency Grand hotel. located in Bangkok Thailand. is an illustration of prestigiousness. with a 5-star evaluation. For the past 15 old ages it has about ever performed good.

John Becker has been appointed as caput director of the freshly purchased hotel. He is renowned for successfully turning around other freshly purchased hotels that were underachieving. However. his scheme of employee authorization was non decently implemented at the Regency Grand hotel. This has resulted in many organisational issues such as high emphasis. increased absenteeism. an increased turnover rate. every bit good as many other jobs.

It has been revealed that these jobs have mostly been attributed to a deficiency of communicating to employees about their functions. a deficiency of consideration about the local civilization. and a failure to to the full measure the state of affairs beforehand. At this point. some symptoms of the issues are get downing to demo. such as reduced client satisfaction and negative reappraisals. Becker has four options to rectify these organisational issues. before he loses control of the state of affairs. His options include implementing ; a rigorous concatenation of bid. with no room for invention ; rigorous concatenation of bid on determination devising. with room for invention ; merely authorise his employees empower ; or authorise his employees with a new supervisor function. The most logical class of action would be to still keep an employee authorization scheme. but add a new function of supervisor that would move as a determination adviser for fellow employees. while working aboard them. It maintains the benefits of employee authorization schemes. while supplying extra way for the outlooks of employees. It will be implemented instantly through the usage of meetings. and proper preparation. Problem Statement

The Regency Grand Hotel. located in Bangkok Thailand. has suffered from a diminution in overall public presentation since the freshly appointed director. John Becker. attempted implementing employee authorization schemes without success. within the freshly acquired hotel. Sandra Chakri. the Senior Vice President of Human Resources for the big American hotel chain’s Asia-Pacific part. has been tasked with measuring the state of affairs and urging a program of action to the Hotel chain’s senior direction squad. Situation Analysis

Introduction
The Regency Grand hotel has enjoyed being considered one of the most extremely rated hotels in Bangkok Thailand. since its grand-opening 15 old ages ago. Under the old direction. employees enjoyed a figure of benefits. including a year-end fillip that was deserving about 4 month’s salary. The old direction besides maintained a rigorous order of processs. which limited employee’s ability to do their ain determinations about their work.

After the big American hotel concatenation purchased the hotel. John Becker was posted as the hotel director at the new location. In his 10 twelvemonth calling. he has become renowned for turning around other freshly purchased locations of the American hotel concatenation which were preforming ill. The key to his success has ever been authorising his employees.

John Becker applied this same scheme at the new hotel and as a consequence. the employees. who are used to a rigorous hierarchy of order. have become unorganised and inefficient. This has caused both the degrees of employee occupation satisfaction. and client satisfaction to fall. Recent- client reappraisals have all been negative. and many media mercantile establishments are composing negative reappraisals about the hotel.

Sandra Chakri. the Senior Vice President of Human Resources for the big American hotel chain’s Asia-Pacific part. has been tasked with coming up with a recommendation in order to turn to the organisational behaviour jobs that have arisen. She is to subject her program to the hotel chains senior direction squad every bit shortly as possible. Organizational Behavior Symptoms & A ; Issues

* Employee morale and Job satisfaction are enduring
* Absenteeism is on the rise.
* Employee turnover rates are at a record high.
* Increased emphasis degrees.
* Employees are unmotivated.
* Employees lack independent determination doing accomplishments ; missing authorization.
* Employees are bespeaking advice more often on doing determinations.
* Employees are unable to separate between determinations that they are responsible to do. and determinations that direction is responsible to do. * Employees deficiency assurance in their determination devising accomplishments. * Poor communicating between direction and employees.

* Employees are non wholly cognizant of what is expected of them. * Employee’s determinations are frequently overturned by their supervisors. * The new power construction was ne’er clearly outlined. This has led to confusion and uncertainness about the functions and duty of employees. * Management failed to seek out employees sentiments on how they should be managed. * Management failed to include employees in overall determination devising procedure. * Lack of a wages system.

* Employees do non have feedback. even after doing good determinations. * The merely wages system in topographic point. the year-end fillip. is given on such a regular footing it is now. more or less. an outlook. * Failure of direction to take cultural differences into consideration. * John Becker. who has merely so far worked at American locations. was posted to a foreign state. He may non be to the full knowing about the local civilization. * No surveies were conducted to see if differences in civilization could hold any consequence on implementing an authorization scheme. Consequences non looked into. * The new scheme does non take into consideration differences between American and Thai employees in their power distance. individuality. Bolshevism. and uncertainness turning away. * The relationships amongst employees. and with their supervisors were ne’er taken into history. Measure Analysis

Social-Relationships between employees were non taken into history. -Cultural differences were non addressed. | Technological| Economic-Customer dissatisfaction causes decreased net incomes. | Political ( Environmental ) -Media is composing negative reappraisals about the hotel. | SWOT Analysis

Strengths * Considered to be one of the most esteemed hotels in Bangkok. * Maintains a five-star evaluation. * Employs 700 people who have all worked for the hotel under its old direction. * Employees are knowing of how the hotel should run. * The new director. John Becker. does hold 10 old ages of experience as a director. * John Becker does hold experience in pull offing freshly get hotels. * John Becker has managed to turn hotels around earlier. * John Becker is knowing of what Employee Empowerment is. | Weaknesses * Employees are still excessively used to the manner the old direction conducted its concern. * Employee motive is on the diminution ; absenteeism and emphasis are on the rise. * Job satisfaction is enduring the turnover rate at a record high. * Communication about outlooks between supervisors and employees is badly missing. * New power hierarchy was ne’er decently developed and outlined to employees. * Management has non taken into history the demands and wants of both the employees and oversing staff. * There is a deficiency of feedback between direction and employees. when employees do do good determinations.

* Management has non taken cultural difference into history. | Opportunities * The direction squad at the hotel still has the chance to turn the public presentation of both the employees and supervisors around. * A fresh and more efficient work environment can be made. * An Employee Empowerment scheme can still be successfully implemented. * If direction manages to turns things around at the hotel. it will be able to recover its position as one of the most esteemed hotels in Bangkok. Thailand. | Threats * As a consequence of the current events. the Regency Grand hotel’s public image has been hurt. * As a consequence of the hapless service provided. some media are now nicknaming the Regency Grand hotel as “one of Asia’s incubus hotels” * If direction fails to turn to the jobs and failings originating from recent events. client perceptual experience will go on on a downward negative tendency. |

Organizational Problem Analysis
The alteration between the old Thai direction. to the current American direction at the Regency Grand hotel. has caused a figure of organisational issues. These issues have accumulated. and are now go forthing the new proprietors in charge of a faltering employee base. and a antecedently esteemed hotel that is now considered to be a incubus by media mercantile establishments.

Under the old Thai direction. the Regency Grand hotel had about ever been successful. basking a 5-star evaluation. The power hierarchy under the old direction was clearly outlined. and stressed following management’s instructions. It involved a concatenation of bid get downing off with employees. who would so do enquiries with their directors. who would so hold to document the determination to the general director. Employees made really few of their ain determinations. and would be punished for any errors they would do. Innovation and creativeness were besides frowned down upon.

However. employees did bask a figure of benefits such as a ample year-end fillip that was deserving about four months’ wage. Besides. the employee’s wage at the hotel was paid out at a value above the market rate. and employees besides felt that their occupation was secure.

Becker’s standard for employee authorization has ever involved allowing employees have greater determination doing authorization. His manner of direction pushed employees to go more advanced and “think outside of the box” . in order solve every customer’s job on an single footing. This manner of direction is radically different from the old management’s strict concatenation of bid for determination devising authorization.

Becker has taken some stairss to implementing his new employee authorization scheme. He foremost explained to the direction squad that he would be leting greater employee decision- devising authorization. every bit good as greater employee invention and creativeness. He did keep that larger determination devising would be left up to direction. and that repeated errors would be punished. Becker has besides attempted to convey these alterations and new outlooks to his employees through one-on-one interactions with them.

While this was a first great measure to implementing the new employee authorization scheme. it failed to to the full sketch the outlooks to everyone on the direction squad. and all of the employees. The response many of the members of the direction squad gave. strongly hints that they either did non understand the new alterations. or merely are unenthusiastic about them. The manner in which employees showed great trouble in doing determinations. besides hints at a failure by Becker to pass on what sort of determinations employees are expected to do. and what is to be left to directors.

The combination of confusion in determination devising authorization. and punishment for reiterating errors. has led to an increased frequence in employees seeking advice from Becker. This has perpetuated the job of employee’s hapless determination devising accomplishments. as it does non turn to the large issue. It merely solves the current job.

Another big job that has resulted from this failed execution of employee authorization has been a diminution in employee motive. as made evident by the addition in employee turnover rates. and increased absenteeism. This can be attributed to Becker’s neglecting to take cultural differences. and the relationship kineticss of the employees into history.

All civilizations are different. and some will exhibit different cultural values than others. Exhibit 1 displays the cultural values the Thai employees exhibit. in comparing to the consequences of cultural values displayed by Canadians as reported by ; ( D. Oyserman. 2002 ) . The civilization of the- Thai employees at the hotel is clearly reliant on authorization. with a high power distance. The employees are besides still clearly non used to the thought of individuality. go forthing many employees dependent on authorization to do determinations for them. Becker failed to look into these cultural differences when he implemented his employee authorization scheme. As a consequence. a scheme that has been successful for their American opposite numbers. merely does non work for the Thai employees at the hotel. as it was non implemented consequently. Becker gave the employees more determination doing power than they were of all time used to. and failed to properly train and present them to a scheme that incorporates their cultural values.

Another big issue that Becker failed to to the full look into is what precisely motivates the employees. and so using this to his advantage when implementing his employee authorization scheme. The year-end fillip the old direction awarded employees is an outlook more or less as it would ever be awarded irrespective of the businesses’ fiscal result for the financial twelvemonth. Becker missed his opportunity to implement a simple wages system by non holding his directors give positive feedback when employees go above and beyond what is required of them. This is non merely an of import factor of employee authorization. but besides plays a large portion in an employee’s thrust to get. Positive feedback is a great tool to actuate employees.

Becker’s failure to really analyze the relationship kineticss amongst the employees besides allowed a negative influence on their motive to happen. Becker did non take their societal norms. personal values. and really small of the employees past experiences into history. before implementing his authorization scheme. These three factors all have a direct influence on the four motivational thrusts. and will straight impact an employee’s mental set in doing purposive picks and therefore their ability to do determinations. Had Becker looked into how these- factors would impact employees when they were introduced to the new scheme. he may hold been able to take these factors into history. and use his scheme consequently. Exhibit 3 shows how these factors influence employee motive. and determination devising accomplishments.

Finally. the deficiency of employee motive. in combination with the confusion from the determination devising procedure has resulted in a great trade of emphasis. This is apparent by the record high employee turnover rate. and the increased frequence of employee absenteeism. The concluding consequence of the high emphasis. low motive. and deficiency of occupation satisfaction. is that it decreases service quality. which in bend has a negative consequence on client satisfaction. which can harm the overall profitableness for the company. This consequence can be seen from start to complete in exhibit 2. This flow chart makes it obvious that hapless organisational patterns affect every facet of the service experience within an organisation. It shows how Becker’s hapless execution of his authorization scheme will hold a negative influence on employees. every bit good as clients. and as a consequence the hotel’s profitableness.

It is besides deserving observing that non all of the organisational issues are being caused by the employees and Becker. Many of the directors at the hotel are exhibiting organisational issues as good. When Becker told them about his program to implement authorization. many merely nodded their caputs. This shows that they are non wholly unfastened to the proposed alterations. and are non to the full unwraping their sentiment with Becker. therefore increasing their concealed country. Their unsighted country is besides reasonably broad as they do non supply the positive feedback the employees need. Exhibit 4. As a director excessively. Becker’s unfastened country is besides in a similar place. External Analysis

As a direct consequence of the organisational issues. client satisfaction has fallen. This is made apparent by the increasing sum of ailments from clients to employees. and to the direction squad. It has gone every bit far as some media mercantile establishments now nicknaming the Grand Regency hotel as “one of Asia’s incubus hotels” . Premises

One of import spot of information that the instance fails to explicate is if the employee fillip at the terminal the twelvemonth remains in consequence. It would be safe to presume that the new direction would non desire to anger its employees by taking this fillip off. but it is deserving observing that this isn’t a warrant. Deductions

Some of the effects from the improper execution of the employee authorization scheme are already apparent. Because employees are confused with the determination devising procedure. they are seeking out advice on doing determinations more frequently. This necessarily leads to increased delay times for clients. and as a consequence. decreases client satisfaction. A really serious effect originating from hapless client satisfaction is negative reappraisals. both from clients and other media mercantile establishments. This will further defile the Regency Grand hotels image of being a prestige hotel. and will do the hotel to lose new clients. and even loyal clients. As exhibit 2 clearly shows. client satisfaction. and client trueness all have a direct influence on profitableness. If client satisfaction diminution. it can be expected that profitableness declines every bit good. Options

1. Strict concatenation of bid. no room for invention.
2. Strict concatenation of bid on determination devising. but room for invention.
3. Empower employees.
4. Empower employees under a new supervisor function.
1. The most consecutive forward option would be to return back to original concatenation of bid. in which employees would hold to confer with their directors on every determination they make. and so have those directors document it to the general director. Under this strategy. employee invention and creative activity would be discouraged. unless permission is given to them by their directors.

This option would be really easy to implement because it is what the employees are already used to. and merely minimum extra preparation would be required. Merely John Becker would hold to go acquainted with this manner of direction. This class of action has already worked for the hotel in the yesteryear. However. it does non let any room for employee invention. which could forestall new thoughts and employee sentiments from making direction. This would maintain the unfastened country in exhibit 4 to a lower limit. and maximise the hidden and blind countries. as a consequence of deficiency of feedback from employees to their direction and vice-versa. In the long tally. direction will lose out on ways it could execute better. since employees are non unwraping feedback. Besides. employee motive may fall. as a consequence of holding no authorization. Pros| Cons|

-Employees and the direction squad have experience with this option. -This option has proven successful under the old direction squad. -Easy to implement ; minimum extra preparation. | -Does non authorise employees. -Not leting employees to introduce and be originative will forestall direction from larning better concern patterns that suit employee and client demands. -Employee motive may endure in the long tally.

2. Taking a turn on the old management’s strict concatenation of bid. another class of action would be still use a rigorous concatenation of bid for any determination devising. but allow room for employee invention. Employees would still hold to clear determinations with direction. but they would be encouraged to believe up new thoughts on how they could do their work more efficient. For illustration ; if an employee in the housekeeping staff realizes that costs can be minimized by utilizing one peculiar multi-cleaner. they would be welcomed to go on to make these patterns. However. employees would still necessitate permission from direction on determinations such as traveling a client to another room.

A major drawback to this class of action is that employees could really good likely be confused between what invention is. and what a determination is. Innovation requires an employee make a determination on whether a undertaking can done more expeditiously if it is done otherwise. and this is where the confusion would happen. Although some obvious determinations are outlined as being purely up to direction. utilizing this scheme would still confound employees non cognizing what is being advanced and what is doing a determination. While it does open some of the unfastened country in exhibit 4 into the unsighted country. it still maximizes the concealed country as employees will still be unsure of what is expected of them. Pros| Cons

-Employees would be allowed to introduce. -Employees would somewhat be empowered. -Could conveying new thoughts to the tabular array in how the hotel could better its concern patterns. -The line between invention and determination devising is excessively blurred. -Would do confusion. -Does non solve organisational issues to the full.

3. Becker’s original scheme of authorization could be re-implemented. in a more organized and successful manner. It would necessitate Becker to develop and convey everyone on the direction squad. and all of the employees to an apprehension of what employee authorization is. every bit good as what sort of determinations employees are allowed to do. Roles would hold to be clearly outlined. Management would be in charge of big histories. every bit good as administrative and fiscal determinations. Employees would manage more twenty-four hours to twenty-four hours determinations. such as traveling a client to another room.

While this scheme failed to be implemented the first clip. there is still clip to successfully implement it. If it is done right and clearly. confusion about functions could be kept to a lower limit and the passage could travel over swimmingly. To successfully implement this scheme. direction must maintain in head that it must maximise the unfastened country. in exhibit 4. by supplying feedback to employees. and unwraping what their functions are. Clearly sketching these two standards will forestall confusion. and as a consequence addition occupation satisfaction. which as exhibit 3 shows. will increase client satisfaction. and therefore profitableness. However. if this program is non implemented right the state of affairs could fall back to the manner it is now.

-Empowers employees. -Allows invention. which will in bend improve concern patterns. -Increases employee satisfaction every bit good as client satisfaction. and therefore increases net incomes. | -This scheme has already failed to be implemented right one time. -Very similar to what is in topographic point now. Although it would include extra preparation. the lines between employee’s determinations and managerial determinations could still be blurred.

4. Another manner of authorising employees. while minimising confusion. would be to still authorise employees in the same manner but integrated supervisors into the scheme. These supervisors would merely be employees who have proven themselves capable of doing determinations. and will confer with other employees in their country necessitating aid on separating what sort of determination they can do. and other enquiries about determinations. By and large. there should be at least one supervisor per country ( i. e. ; housekeeping. front desk ) at all times. These supervisors do non hold the same degree of authorization direction has. Their lone excess authorization is being designated to assist other employees. An extra wage rate may be considered. if it is financially possible.

This employee authorization scheme has all the benefits of both authorising employees. and holding a concatenation of bid. Designating employees who have proven themselves as good determination shapers rewards them. and provides clear feedback on their accomplishments. It besides motivates other employees to endeavor to go supervisors themselves. as it would be a rubric of regard. This scheme clearly outlines the functions of employees. and what is to be expected of them. All in all it is the scheme that maximizes the unfastened country the most. as it provides clear feedback and concise revelation.

-Empowers employees. -Allows invention. which will in bend improve concern patterns. -Increases employee satisfaction every bit good as client satisfaction. and therefore increases net incomes. -Sets out clear functions for employees. -Provides a new signifier of wages that will actuate employees. | -Some employees may experience covetous that they are non considered capable plenty for the new function. and therefore lose satisfaction and motive. -The employee who is moving as supervisor may hold a hard clip due to the excess work load. |

Recommendation
Empowering employees is a great manner to increase occupation satisfaction. and employee motive amongst employees. This in bend additions client satisfaction. All this necessarily leads to increased net incomes. as exhibit 3 clearly illustrates. Empowerment requires an employer to allow employees extra liberty in doing determinations. Besides. if employees are to be able to successfully use an authorization scheme. they will necessitate feedback on their work. Honoring employees. even through non-monetary agencies. motivates them and discloses on how they could better. However. one of the most of import facets with authorising employees is clearly sketching the functions and outlooks of employees.

One solution to clearly sketch the functions of employees. while still authorising them. would be to make an extra rank of supervisor. These supervisors would non be directors. but would hold extra authorization than normal employees. They would be responsible with confer withing employees necessitating aid with doing a determination. and any other twenty-four hours to twenty-four hours enquiries. before holding to travel to direction. This solution provides a clear lineation of functions and outlooks. that merely authorising employees does non supply.

The biggest issue with rigorous ironss of bid is that they do non let room for invention. Leting employees to introduce helps a concern evolve in such a manner that it allows employees to transport out their occupations more expeditiously. Another large issue with rigorous ironss of bid is that they do non actuate employees to the same grade authorising them dose. When employees have autonomy. they feel far more compelled to transport out their duties in the most efficient ways possible.

Empowering employees and holding a squad of supervisors is besides more in line with the civilization values that the employees at the hotel have. The civilization values at the hotel. holding a high power distance. topographic points an importance on esteeming authorization. Adding this extra authorization function will give employees way of what their duties are. Supervisors will take by illustration. doing it easy for employees to be cognizant as to what is expected of them. This new function will besides supply employees with inducement to endeavor to accomplish the rubric of supervisor. as it will be a signifier of feedback on their first-class work. While some employees may experience covetous that other employees at the same degree as themselves are granted extra authorization. the regard of authorization in the civilization should outweigh the feelings of green-eyed monster. This same feeling of regard will besides actuate employees in this function to go on to work harder. Action and Implementation

The execution of the option will get down instantly. The first and first action will be to host a meeting with the direction squad. and so host another meeting with the general employees. These meetings will unwrap what responsibilities the new function of supervisor will include. every bit good as spell over what is to be expected of employees. To guarantee that the direction squad and employees have an apprehension of what their functions are. and what the new function is. they will be given a written trial at the terminal of the meeting.

In the award of democracy. employees will vote on who they believe should be promoted to supervisors for their several country. This is the fairest manner of taking these new figures. and will diminish the likeliness of revenge by unsated employees. The direction squad will so be tasked with learning these new supervisors what is precisely to be expected of them. The new supervisors will so get down to work. with direction maintaining an out on their advancement. If the director feels that this employee is non suited for the function of supervisor. so they are encouraged to name person else in their country to the function of supervisor. After several months. if this program works out. an extra wage rate for the supervisors may be appropriate. Eventuality program

Should the new supervisors fail to forestall the current confusion from perpetuating. or if employees retaliate excessively much against the new system. it would so be appropriate to travel back to the rigorous concatenation of bid. This sets out a clear hierarchy in which there is minimum confusion. and the employees already have experience with such a system. There is merely excessively much confusion in the other concatenation of bid. and merely authorising employees would put on the line returning back to the current jobs. A clear hierarchy supports employees working expeditiously. and therefore keeps clients satisfied with the service provided.

Beginnings

D. Oyserman. H. M. ( 2002 ) . Rethinking Individualism and Bolshevism: Evaluation of Theoretival Assumptions and Meta-Analyses. In Psychological Bulletin 128 ( pp. 3-72 ) . Thousand Oaks CA: Sage.