Abstract
This research paper provides an analysis of the operational management of the Dubai Marina Hotel and Resorts. It seeks to examine its core operational and management techniques that it applies to ensure profit maximization and increased market shares. Sections that are analyzed include the basic operational management components and strategies that have been put in place for further improvement. A qualitative research design was used to complete the study. Data was collected through the administration of online questionnaire instrument to the staff and top, middle, and frontline managers.
The population used for the study was 300 people where 150 respondents were issued with questionnaires. The primary hypothesis was derived from the literature review. Statistical software (SPSS version 21) was used for analysis of the data. The results of the research indicated that operational management involves a combination of factors that occur in both the internal and external business environments. The factors were realized to have both direct and indirect influence on employee performances. They also had some effects on the behaviors of customers and suppliers. It was deduced that the operational management and strategies that are stipulated well ensured improved performances and quality service delivery to customers in the Dubai Marina Hotel and Resorts.
Introduction
The Dubai Marina Hotel and Resorts is one of the most advanced hotels in Dubai due to the booming tourism industry in the region. The vision of the premise is to offer to customers a higher experience in every aspect of the service they need. The hotel is committed to excellence in both the local and global markets. The goal of the entity is to attract many guests from diverse geographical locations globally. It does not only target leisure, corporate, military, and wholesale markets but also individual customers and traveling groups. This research paper provides an analysis of the operational management of the Dubai Marina Hotel and Resorts by examining its primary strategies that are applied to ensure profit maximization and increased market shares.
Operational Management
The hotel industry judges operational management strategies based on the customers that are served both within and outside its events. Various factors that enable most of the hotels to progress in the competitive global markets include customer experience, quality service delivery, and sustained relationships with suppliers, retailers, customers and other stakeholders. Successful accomplishment of goals in the hotel industry requires an environment that allows favorable competition for profit maximization (Heizer & Render, 2008).
Hotel organizations implement various factors that include excellent resource planning, total quality management, and supply chain management in an attempt to gain a competitive advantage in the industry (Jung, Su, Baeza, & Hong, 2008). Most managers value employee motivation who in turn offers excellent services to their customers (Jung et al., 2008). Some managers embrace teamwork with a view of maintaining collaboration amongst the employees. Market performance is promoted by ensuring proper pricing and issuance of discounts on services to the customers in a bid to increase the sales volume (Jung et al., 2008).
Statement of the Problem
Operational management is one of the vital factors that have enabled the hospitality industry to improve internationally. Presently, the industry is perceived as one of the leading sources of employment opportunities in the United Arab Emirates. A growth in tourism and recreational activities that go hand-in-hand with food delivery in restaurants and food chains are responsible for the boost in the hospitality industry. Most business people are currently investing their returns from other businesses to the hotel industry due to the increased market shares that have higher returns.
A shift of focus is now targeting the United Arab Emirates region where tourism and hospitality industries are seen as the replacements for agriculture, a sector that is characterized by trivial economic returns. In the UAE, it has been realized that various businesses fail to perform well due to poorly laid down operational and management strategies (Correa et al., 2007).
However, many studies have revealed that the factors of operational management significantly lead to productivity improvement in other industries such as manufacturing and processing. This situation is not the case in the service industry, especially in the hotel sector (Jung et al., 2008). As a result, the research aimed at evaluating the operational management of Dubai Marina Hotel and Resorts to establish how such practices underpin its performance. Therefore, it is limited to the operational management of the Dubai Marina Hotel and Resorts within the UAE region.
Hypothesis
- H0: Operational management practices have no significant effect on the performance of the Dubai Marina Hotel and Resorts.
- H1: Operational management practices have significant effects on the performance of the Dubai Marina Hotel and Resorts.
Methodology
A qualitative research design was implemented in the research. Data was analyzed by use of statistical tools. The hypothesis was further tested to determine if there was a relationship between the variables (Cooper & Emory, 2002). The data was obtained from the online questionnaires that were administered to the top, middle, and front management, as well as the employees. The questionnaires were sent to the company’s website through the management teams, who ensured that the employees accessed them. 150 respondents were included in the study. 15 of the respondents were from the upper and middle management while 20 came from the frontline executives. The rest of the respondents were employees.
The primary variables that were measured include the operational management and performance of the Dubai Marina Hotel and Resorts. Various variables that were indicative in the operational management included good leadership, effective planning, design, quality service delivery, operational strategies, and networking that was ensured by the efficient implementation of communication channels in the organization.
A census sampling technique was implemented. The questionnaire was designed to incorporate five-point Likert scale indicators. The scores on the Likert scale were marked in numbers from 1 to 5. An indication of ‘strongly disagreed’ was marked at position 5 followed by ‘disagree’ at 4; ‘neither agree nor disagree’ at 3, ‘agree’ at 2, and ‘strongly agree’ at 1 respectively (Cooper & Emory, 2002). The reliability and validity of the questionnaire were tested using the Cronbach’s Alpha for recommendation of the study (Cooper & Emory, 2002). Both the validity and reliability were measured at 0.3 and 0.5 respectively.
Results of the Study
Demographic Characteristics of the Respondents
150 respondents were selected for the survey. The male respondents whose ages fell between 30 and 60 years were 74-percent of the study population. Females comprised 26-percent. A majority of them fell in the age bracket of between 30 and 40 years. The top and middle-level managers were holders of Ph.D. degrees. A significant percentage of the frontline managers had acquired Masters level degrees. About 75-percent of the staffs had attained Bachelor Degrees while those at the lowest levels were diploma and certificate holders. Among the top management, the females occupied about 40-percent while the rest were males. Most of the staffs were females with about 56-percent of them falling under the service and food and beverage departments.
The elements of the independent variables (operational management) such as good leadership, effective planning and design, quality service delivery, operational strategies, and networking within and outside the premises were highly correlated to the improved performance of the Dubai Marina Hotel and Resorts. These variables were above the 0.3 mark. A significant level of alpha 0.2 (0.3) was arrived at after testing the hypothesis thus operational management have an effect of the performance of the Dubai Marina Hotel and Resorts.
Information on the response as indicated in the Likert scale
Table 1: Information on the response as indicated in the Likert scale.
The above diagram indicates a flow chart of a sample Business Process Model that is used in the Dubai Marina Hotel and Resorts to ensure that arising issues are alleviated in time. At the outset, the management realizes an issue that affects the organization. The issue is then taken to various teams in a meeting who work on it with a view of realizing a cordial solution. The teams are frequently checked to ensure that they perform their activities efficiently. The supervisors guide the progress of the team to ensure that changes are executed where necessary. If the issue is solved, the management presents a new problem to the teams in a scheduled meeting. This approach to management ensures that arising issues are constantly resolved before they adversely affect the enterprise.
Discussions of the Findings
Quality Service Delivered
The quality of service was highly commended. Most of the employees and management indicated that their services were geared towards beating the expectations of the consumers with a view of maintaining a repeat business. According to the research, most of the customers were keen on their experiences in the hotel. Indeed, the respondents reported that most foodstuffs and services were of superior quality. In terms of skills, the management attested that their employees are frequently trained to ensure quality delivery (Heizer & Render, 2008). The delivery of service also included free transportation of foodstuffs to customers during their vocational periods (Heizer & Render, 2008).
Correa et al. (2007) supported a factor of quality service delivery by mentioning that performances of various businesses are based on operational management that embraces the consumer needs. The Dubai Marina Hotel and Resorts strive to ensure that they offer quality services that surpass the anticipations of their diverse clientele. Most respondents revealed that the prices of the products and services in the hotel were relatively affordable as compared to those of the competitor hotels within the UAE region. The company has also realized improved production and quality of service delivery due to lower costs of service provision and product processing.
Good Leadership
The study revealed that the enterprise had distinguished leadership teams who embraced collaboration and flexibility. The management tends to work closely with the employees in the daily activities for assurance of quality product and service delivery. This set of circumstances was accomplished through proper motivation that was ensured by the management. Jung et al. (2008) noted that leadership involved engagement with the employees to ensure constant participation and inspiration.
Proper Planning
The managers of the Dubai Marina Hotel and Resorts appreciate the systems of the operational management that are implemented in the organization. Due to the current increase in tours and travels, the managers have ensured expansions by opening several resorts under the same name. The new facilities offer additional accommodation rooms for the ever-increasing guests. The management has embraced video conferencing, teleconferencing, and online booking systems that have significantly promoted its operations.
Effective Communication
Effective communication is highly regarded in the Dubai Marina Hotel and Resorts. The managers of the premises have ensured that proper equipment for communication is installed in the facility to ensure effective relay of up-to-date information. The management also considers both top-down and horizontal communication channels that have enabled customers, employees, and managers to access the company information easily concerning operations such as accommodation bookings among other arrangements.
Recommendations
Operational management in the hotel industry ought to incorporate proper planning of various activities. Although the hotel has strived to embrace operational management, it has not exploited the potential of the approach. This situation is evident where the respondents agreed or disagreed with the elements that were evaluated concerning the operational management. When the results were crossly examined, it was clear that about 22-percent of the respondents did not know what to indicate in the Likert scale on all the variables measured. This situation can be rooted in the laxity or inadequate skills possessed by the above-mentioned number of employees.
Consequently, the management must embrace proper leadership skills, culture, and clear goals to ensure that all employees are trained equally. The well-defined objectives and culture set by the individual employees should be in tandem with those of the company to ensure proper service delivery.
In addition, the management should also embrace quality standard measures. Employee performances should be measured against the company’s expectations to ensure progress. This performance measurement should be part of the culture and core values to help in the improvement of quality service delivery. Managers should embrace both long-term and short-term goals to address future issues that are related to quality delivery, better customer experience, strategies to capture more market shares, and maintain fair competition.
Conclusion
The report has analyzed the operational management of the Dubai Marina Hotel and Resort. The results indicated that the management has been embracing various elements of operational management that include quality of service, good leadership, and effective planning among others. A major drawback that was indicated in the report was the absence of performance measurement for each employee within the organization. It was recommended that performance measurement should form part of the operational management. Consequently, it should be embraced in the company’s core values.
Reference List
Cooper, D., & Emory, D. (2002). Business Research Methods. Chicago: Richard D. Irwin. Web.
Correa, H., Ellram, L., Scavarda, A., & Cooper, M. (2007). An operations management view of the services and goods mix. International Journal of Operations and Production Management, 27(5), 444-463. Web.
Heizer, J., & Render, B. (2008). Operations Management. New Jersey: Prentice-Hall. Web.
Jung, J., Su, X., Baeza, M., & Hong, S. (2008). The effect of organizational culture stemming from national culture towards quality management deployment. The TQM Journal, 20(6), 622-635. Web.