Introduction
Hotel administration procedures specifically involved the close tracking of how the resources along with personnel force are able to cope up with the needs and demands of the guests.
Alongside the challenge of facing the needed services of the patrons, hotel should also be able to contend with the ongoing financial crisis that is happening around the globe today. Hence finding a better way to assess their capabilities and put it in line with the expectations they have on themselves and their personnel as they perform for the communities they hope to serve.
In the case to be given attention in this documentation, the position of hotel shall be given reference as to how they should be able to balance their current stance in being able to meet the number of customers to be served. while balancing out the number of personnel they have to deal with the responsibility that comes along with it.
Through balancing the different elements of the institution’s available assets, it is aimed through this document that the needed solutions to current issues faced by the hotel today would be practically addressed.
Findings and analysis
As the hotel is trying to come up with the most remarkable process that would contend with their desire to serve and their aim to find a more definitive manner by which they can use their assets to serve the best of their client’s desires.
The creation of a solution to this dilemma shall create a more viable process by which it would be able to maintain proper approach in defining its position in the market and in the competition; they are facing in the industry while also protecting the values of its personnel who are the primary representatives of their service(Needle, 2011).
Their aims to manifest their excellence in service, it is evident enough that the it is struggling in choosing between two particular adjustments that they should take to be able to increase annual revenues through serving more customers at a time. Through financial analysis procedures, the worth of both adjustments shall be measured hence assuming which evidential process is more valuable compared to the other.
From the simulation, a higher rate of definition could be seen once their financial counterpart is shown.
Through the simulated financial balance of the assets of the institution, it has been realized that the financial turnaround of the simulation of the $1 rate increase in the salary grade of the employee is a total expense of $62,940.33, which has a 6.99% difference in comparison with the rate of expense increase, which has been valued at $4,730,400.
This alone could account for the fact that the decision of going through the adjustment of adding up a $1 increase on the pay grade of the employee would be the best choice. However, other elements need to be considered in consideration with the decision that must be assumed to affect the contemplated result of the proposed resolutions to the issues concerned.
The management strategy program entices extremely faithful guests. The Hotel propels revenue for the hotel, as members return more frequently and opting to spend additionally during their visit at the facility.
The Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A) is also a management tool that discusses the consolidated financial situations, which are always organized in agreement with accounting rules generally acknowledged in the host country.
The establishment and computing of such consolidated statements of account requires management to float estimates as well as, assumptions that have a bearing on the reported condition of liabilities and assets. The revelation of dependent liabilities and assets at the time of the combined fiscal statements, reported sum of revenues as well as costs and expenditure at the time of reporting periods is revealed.
On a continuing basis, the management appraisal estimates as well as judgments, incorporating those that relate to revenue acknowledgment, bad debts, investments, inventories, plant, and apparatus, kindness and indefinable assets, income taxes, fiscal operations, common guest initiative liability, self-insurance program payable, reorganization costs, sequestration benefits as well as contingencies and litigations(Langford and Male, 2008).
The management bases its floated estimates as well as verdicts on historical understanding and on diverse cases, other aspects that are supposed to be realistic under the prevailing circumstances. the outcomes of which are utilized as the foundation for drawing judgments concerning the transportation costs of assets as well as liabilities that otherwise may be readily accessible from other resource centers.
Actual outcomes may be different from such estimates under diverse assumptions as well as conditions(Iverson, 2001).
Basing from the presented difference between the two suggested solutions. it could be realized that there is a better chance for the increase of $1 dollar be implemented more effectively rather than hiring new staff members as part of the hotel’s personnel team. The process of hiring new personnel would require more time for training and reassessing the enculturation of the new teams to the system of the institution.
These both require time and effort that could cost the hotel a certain amount of financial loss directed towards investing on the people.
Take note that in coming up with a viable decision; the management should first consider the primary mission of facilities for communities they are supposed to serve. Narrowing the role of the hotel industry as a whole, one could be analyzed that the primary focus of the industry is the capability of the institution to provide the services the patrons need.
To be able to assure that the customers receive the best service they deserve, the employees or the personnel of the hotel should be given the best kind administrational support. Judging from the presentation of the original revenues report, it could be seen that the months October towards March are the peak months where the most of customers come in the hotel.
However, even during these months, there is only 75% occupancy on the rooms available in the hotel’s facilities. This means that the months of April to September, which are noted to be the lean months of operation, receive lesser revenues due to lowered number of hotel during the time(Hitt, Hoskisson, and Ireland, 2012).
Knowing this situation in the hotel gives a viable option for the administration to shift work forces during these times. If the hiring of new individuals to become part of the administration’s new work force shall be chosen as a viable decision then there would certainly be problems when it comes to restructuring the budget for the staff salary during the lean seasons.
Whereas in the process of implementing the changes in consideration with the addition of $1 increase on the salary of the existing staff, restructuring the scheduling system of the employees would be much easier to handle.
So far, the 6:1 ratio has long been working for the hotel. The increase of the current salary of the existing staff would further motivate them to perform better. Working around the resources that the institution already have would allow the hotel to see through the limitations and the strengths of their people hence creating a more peer-support system that could strengthen the service given by the members of the hotel’s team.
It has been noted that a hotel that knows how to balance the different components of the organization’s success through creating culture that would accommodate both the needs and expectations without the need of drastically changing the system is an institution that is able to create a specifically definite reputation that illuminates its excellence through its people towards its customers.
In implementing, the developments needed for the increasing of the staffs’ salary compared to the radical changes that shall be considered in insisting on the new recruitment process. it is important for the administration to keep in mind that the real source of motivation needed by the personnel coming from different factors of satisfaction.
This include such as
- salary-grade;
- relationship with the superiors and administrators;
- better leadership culture;
- better system of communication all around the hierarchy of authority hence improving the process of imposing a system of excellence in the institution(Elliot and Elliot, 2004).
The hotel is essentially committed to the efforts of encouraging eco-sustainability as well as enhanced healthiness of the environment. The Starwood management is dedicated to the integration of enlightened environmental activities and sustainability policies into all operations of the established business strategy.
Through collaborations that bring together the Starwood and the hotel proprietors, franchisees, supplying agencies and business associates, it is actively laboring to shrink the environmental repercussions of the hotel operations that encompass all the hotel’s brands. Conversely, the hotel grapples with challenges such as unpredictable changes in currency and differences in civilizations.
Customer Feedback Policy- The main basis for the hotel is the Customer Feedback Policy which is used to measure the quality of the services provided to its customers.
The results of this policy provide the additional help to the decision makers to create appropriate programs that may encourage the visitors, as well as travelers to support the hotel. One of such programs aims at rewarding repeat customers by offering them benefits like “priority check-in, easy room upgrades, and the ability to enjoy free partner stay with appreciative breakfast” (Clifford, 1999)
They are proud of providing good care to its employees. In addition to regular salary, the employees are provided with medical insurance, housing, as well as share option which makes them feel like being an essential part of the company. It is a good motional tool for the employees to work hard and do their best to ensure 1st class hotel services.
Other strengths of Hotel includes its great locations that provide good views overlooking the seas and rivers; the Company also boasts of sophisticated hotel designs and facilities that would surely make its customers have the most luxurious experience.
The recent increase in the room prices discourages customers from using Hotel services. In addition, the rise in the borrowing profile may lead to refusal of potential from working with the company.
Not a serious weakness though, it is perceived by many international customers as a typical hotel and resort, which may have a negative effect on the external performance of the company in situations when there is stiff competition between it and other hotels abroad.
The Company has not fully implemented a policy of diversity in the composition of its employees. “Every company that wants to internationalize its services should introduce a policy of diversity in employment” (Barak, 2010).
The Hotel might benefit from the new market of Greater China greatly. In addition, as Asia is considered to be the leading tourism destination this year, it may gain this unique opportunity while providing luxury hotel and great resort services to potential international and domestic tourists.
The Hotel always faces stiff competition from other well-known hotel companies. This rivalry was the reason why company’s services have been improved, especially, considering the fact that they are costly to manage.
Sometimes, a change in price at these rivals would make the company to change its pricing regime. These day, the protests of labors happen on almost a regular basis. Thus, if employees feel that they are not treated properly, the hotel may face the same problem.
The hotel also may lose its character as globalization is winning globe and companies are being acquired by a foreign investor. Some of the threats provided earlier in this paper, it may take a long time for others to materialize.
The chance to survive these threats is based on the management policies, as well as on how the Company is being protected from such internal and external threats. These are the threats that can undermine the performance of any company in the hotel business.
Reflection
Studying the management of hotel financial performance remains of critical importance, given that it allows organizations to gain insight into the underpinnings of successful global businesses. The involvement with the hotel will help me tremendously in understanding and further appreciating hospitality management. Hotel performance is not just another handbook that can be written without paying attention to detail.
I learned that law suits that could have been otherwise avoided were incurred due to misguided, ambiguous, and ill-written employees’ manuals. Furthermore, I was able to learn about the importance of organizational chain of command in an industry like hospitality management, the importance of diligence and excellence.
In addition, I am better equipped now that I have learned firsthand how to write an employees’ manual without the numerous pitfalls observed in certain manuals. Finally, working with a big hotel such as the hotel, has further helped my belief in success and achievements, to aspire more and being confidence of greater success(Immanuel, 1982).
Learning the about hotel industry is paramount to leaving a mark of service and appreciation in my life. At this point, it can be said that education did pay off and we have a better understanding of why we exist.
We are in the process of becoming wise and that is in cognizance of the fact that good thinking is fundamental in a technology oriented, multicultural, and multifaceted world. While reflecting on what has transpired, what necessarily follows is to apply new ideas to both serious undertakings and trivial happenings; meaningful learning is best when applied.
For the sake of profit and getting ahead in the industry, employee motivation is an impending aspect that haunts management. Indeed so, people prove too tough to spell at times. The Reiss Profile may even be a source of confusion if not handled properly. It is somewhat discomforting to find out that you may not want to gain power of sorts and is not self assertive.
On the other hand, it can be a relief, even a cause of pride, to know that you are quite inquisitive and would take on intellectual pursuits. A person can be of many likes and dislikes and there are traits that outweigh the others; still it soothes to know that we can easily conform to norms and other unwritten human codes(Mireille, 2001).
As the Aristotelian mean was a basis for Reiss to perceive that people go for moderation, we get to learn early on in life that too much of nothing makes us worthless and too little of positive things may make us cold. There are many people who do not know the causality of their actions and there are those who get so bothered by this lack of self knowledge; in extreme circumstances, it can set forth mental anxieties.
A deeper understanding of hospitality industry paved the way for a better appreciation of their roles. It opens new windows of possibilities when getting into strategic planning for certain endeavors and for own career trajectory.
It is unsettling to recognize that without knowledge of the theory of the 16 basic desires, a lot could be missed in terms of properly recognizing who we are and who our fellow humans are; not just in work situations, but in everyday dealings. Human resource may sometimes be complicated and tough to decipher, but planning powered by a mastery of personality brings about marvelous results in productivity(Steve, 1993).
Conclusions
There should be a balance between cost and quality manual delivery. Two solutions were arrived at. The management was able to secure a contract with a printing press which will print the manual on non-glossy 100% recycled paper, which will cut the cost of printing by 38%.
Reference List
Clifford, J. R., 1999. Travel and Translation in the Late Twentieth Century. Cambridge, Harvard University Press.
Elliot, B. & Elliot, J., 2004. Financial accounting and reporting. London, Prentice Hall.
Hitt, M.A., Hoskisson, R. E. & Ireland, R.D. 2012. Understanding business strategy: concepts plus. Mason, South-Western Cengage Learning.
Immanuel, V., 1982. Mankind in Amnesia. Garden City. New York, Doubleday.
Iverson, K. M., 2001. Managing Human Resources in the Hospitality Industry: An Experiential Approach. New Jersey, Prentice Hall.
Langford, D & Male, S 2008. Strategic management in construction. Chichester, John Wiley & Sons.
Barak, M.E., 2010. Managing diversity: toward a globally inclusive workplace. Thousand Oaks, SAGE.
Mireille, R., 2001. Postcolonial Hospitality- The Immigrant as Guest. Stanford, Stanford University Press.
Needle, D., 2011. Strategic management: competitiveness & globalization. Concepts. Mason, South-Western Cengage Learning.
Steve, R., 1993. The Stranger’s Welcome: Oral Theory and the Aesthetics of the Homeric Hospitality Scene. Ann Arbor, The University of Michigan Press.