Communication, Leadership and Specialization

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6. Suggestions and recommendations

 

After analysis of current situation regarding HRM in Artis Centrum Hotels it is obvious that there are some problems which need to be solved. In order to improve the situation, we have prepared a development plan within HRM, supporting the strategy of the company.

 

⁸

 

The Service Talent Cycle will be used as a framework in order to give better understanding how the development plan has to be implemented step by step.

1. Hire the right people

 

• Be the preferred employer. First of all, by selecting and hiring the right people, Artis Centrum Hotels has to make a favorable environment in the organization and attractive value proposition for prospective employees to have a good image as a place where to work and make employees feel proud to be part of the team. This would help the organization to attract more competitive people who are willing to work within this hotel and who are doing all their best to get employed. The hotel has to understand the needs of employees and get value proposition right.
• Select the right people. Artis Centrum Hotels treats all applicants equal, but for different positions there have to be people with different skills, sets and personalities. For specific job or position, Artis Centrum Hotels has to identify the best candidates. To analyze each candidate and employ the best one for certain position, Artis Centrum Hotels has to do more than one interview, because people are getting more careful by knowing that the organization is also evaluating more similar applicants and each of them wants to get position within the organization.

 

Artis Centrum Hotels has to observe employee behavior. To have an excellent quality service, the hotel has to judge applicants by looking at their past work experience and behavior, because it would be the best predictor for future behavior. A person with many complimentary letters, great references from past employers and many awards is better for job position in the hotel rather than a family member or friend without any experience or knowledge about tourism and hospitality management.

• Give applicants a realistic preview of the job. During the recruitment process, Artis Centrum Hotels has to give applicant a chance to try their new work place and environment and assess whether it is a good fit for them or not. Because there may be that applicant is not suitable for this position and can be more times better by doing other work, or in some casees he can change his mind and decide that this position or work placement is not suitable for him.

2. Enable your people

 

Employee training and education is the most reliable tool that companies can use to keep an edge on the competition. In fact, investments in work-force training can predict a company's future performance, including stockholder return.⁹ Once the right people are hired in a company, the following training programme should be implemented.

 

1. Extensive training on:
1. Organizational culture, purpose and strategy – employees have to be familiarized with companies mission and core strategy (to be the best business clients serving hotel in Vilnius centre, to make guests feel like at home and pamper them). Moreover, the collaborative working environment has to be created: employees should feel committed to the company and willing to work with excellence. To do that, meetings should be organized with discussions about company’s philosophy, service standards and what is the good of it.
2. Interpersonal and Technical skills:
1. Interpersonal skills include visual communication skills:
• Making eye contact;
• Attentive listening;
• Body language;
• Facial expressions;
2. Technical skills include all the knowledge regarding service delivery process – good knowledge about the computer programme, IT equipment necessary for the work, documentary work and etc.
3. Product/service knowledge – it is essential that staff has a perfect knowledge about the product they are selling in order to keep a high quality services. Therefore front line employees have to have a perfect knowledge about the hotel, to be able to explain any question related with the hotel.

 

Well trained employees feel self-confidence in  tasks they are doing, therefore they feel and act as professionals.

 

2. Empower the front line:

In such a service firm as a hotel, front – line employees mostly work on their own while communicating with guests. Therefore it is important (after the right training) to empower front staff to make their judgements and decisions instead of calling a manager in every confusing or unexpected situation or asking managers permission. Then employees feel that they are involved in a company and responsible for the work they are doing. On the other hand, “empowerment isn’t just setting the frontline free” as Schneider and Bowen emphasise.¹⁰ Empowerment has to be structured by providing employees with a knowledge, information and rewards afterwards a good job.

3. Motivate and energize your people

 

After hiring the right people, training them well end empowering them, company needs to be sure that employees will do everything in order to deliver as best service as they can. Because of that, employees have to be rewarded - "Motivating and rewarding strong service performers are some of the most effective ways of retaining them".¹¹ Money and higher salary is not the only motivating reward - it is more short-term motivator which is not an effective reward for employees. The long-term rewards are job content, recognition, feedback and also, goal achievement.

• Job content. It is enough for people to know that they are doing the good job and that could be as one of the motivating factor for them. It is essential for employees to feel as an important part of the company, to have some special tasks to do, to feel responsible of what they are doing, especially if it is effecting others (for example - customers). Artis Centrum Hotel should concentrate more on how employees understand the importance of their job. And also, there need to be given a clear feedback about how well they did their work that employees would have more motivation to continue their successful performance (if everything was did right and customers are satisfied, it makes employee to feel more self-confident which is important when working in a hotel).
• Feedback and recognition. Every employee wants to get positive feedback if he did his job well. And it is very important to get recognition from people around them - their customers, colleagues or bosses. If employee feels that others are grateful for excellent service which he gave, it is a strong motivating factor for him and he will want to continue his performance. Artis Centrum hotel should keep selecting "Employee of the month" which shows who of the employees were the best at that time of period. It is important to be recognized and if they get some small award for their good performance (for example - a film ticket) it will make them to try harder to continue this successful achievement. And for other employees "Employee of the month" could be as an example how to be "the best one".
• Goal achievement. One of the main things when working in a company is to reach goals and to do tasks which you have been given. Goal achievement works as high motivating factor which inspires employees to continue their work, especially if these goals are important and accepted by other staff. And important thing there is to have a leader in a company, who is motivating employees and inspire them in order to reach the goals. Artis Centrum Hotels does not really have this kind of person. So it will be a good idea to consider this and try to hire suitable worker as a leader in the company. With this kind of leadership, staff are more likely to perform their best and "above and beyond the call of duty", because it is consistent with their own values, beliefs, and attitudes.¹²

 

Implementing The Service Talent Cycle correctly will give firms highly motivated employees who are willing and able to deliver service excellence and go the extra mile for their customers and  a highly productive at the same time.¹³

7. Conclusion

 

Artis Centrum Hotels does not have HR department but that does not mean they do not care about their employees. Even if HRM is not developed very well yet still the main objectives employees recruitment, motivation and trainings. However, after all analysis how Artis Centrum Hotels is using HRM, we came up with the conclusion that in this area there are problems which need to be solved in order to have a really well run hotel with satisfied, loyal and motivated employees. And a starting point could be to have HR department officially because without HRM a hotel is not so attractive to customers and employees.

8. Reference list

 

1. http://www.younghrmanager.com/roles-and-functions-of-the-human-resource-department
2. Dennis Nickson "Human resource management for the hospitlity and tourism industries", 2009, England, 90p.
3. http://guides.wsj.com/management/developing-a-leadership-style/what-is-the-difference-between-management-and-leadership/
4. Ian Brooks, "Organisational Behaviour. Individuals, Groups and Organisation", 4th edition, 2009, England, 190p.
5. Ian Brooks, "Organisational Behaviour. Individuals, Groups and Organisation", 4th edition, 2009, England, 202p.
6. http://db1.stat.gov.lt/statbank/selectvarval/saveselections.asp?MainTable=M3110105&PLanguage=1&TableStyle=&Buttons=&PXSId=3457&IQY=&TC=&ST=ST&rvar0=&rvar1=&rvar2=&rvar3=&rvar4=&rvar5=&rvar6=&rvar7=&rvar8=&rvar9=&rvar10=&rvar11=&rvar12=&rvar13=&rvar14=
7. http://db1.stat.gov.lt/statbank/selectvarval/saveselections.asp?MainTable=M3020103&PLanguage=1&TableStyle=&Buttons=&PXSId=7371&IQY=&TC=&ST=ST&rvar0=&rvar1=&rvar2=&rvar3=&rvar4=&rvar5=&rvar6=&rvar7=&rvar8=&rvar9=&rvar10=&rvar11=&rvar12=&rvar13=&rvar14=
8. Ch. Lovelock, J. Wirtz, "Services Marketing people, technology, strategy", Seventh Edition, 2011, p. 313
9. http://www.bizjournals.com/phoenix/stories/2002/04/08/focus6.html?page=all
10. Ch. Lovelock, J. Wirtz, "Services Marketing people, technology, strategy", Seventh Edition, 2011, p. 319
11. Ch. Lovelock, J. Wirtz, "Services Marketing people, technology, strategy", Seventh Edition, 2011, p. 323
12. Ch. Lovelock, J. Wirtz, "Services Marketing people, technology, strategy", Seventh Edition, 2011, p. 325
13. Ch. Lovelock, J. Wirtz, P. Chew, " Essentials of Services Marketing", First Edition, 2008, p. 299
14. http://db1.stat.gov.lt/statbank/selectvarval/saveselections.asp?MainTable=M3060102&PLanguage=1&TableStyle=&Buttons=&PXSId=3610&IQY=&TC=&ST=ST&rvar0=&rvar1=&rvar2=&rvar3=&rvar4=&rvar5=&rvar6=&rvar7=&rvar8=&rvar9=&rvar10=&rvar11=&rvar12=&rvar13=&rvar14= (1 Lithuanian litas = 0.3 euro)

 

9. Enclosures

9.1 Enclosure 1

 

The successful implementation of the business strategy depends on the following points:

• The image on the market and internal culture;
• The services company offers, quality and price, and the way how they are delivered to the customer;
• Accessibility of the services;
• Companies’ public relations, marketing and promotion;
• Employees of the company – trainings and motivation;
• Internal and external atmosphere of the company;
• Management style.

 

In order to work profitably all these aspects where considered while planning and creating Artis Centrum Hotels strategy.

 

Hence, the main Artis Centrum Hotels objectives are to satisfy the needs and expectations of not only constant guests but also of those who are intending to visit the hotel.

9.2 Enclosure 2

 

Economical factors

• Low wages, high taxes. According to “Statistics Lithuania” official website, the minimum monthly wage varies from 232 euro, in the beginning of the year 2012, to 246 euro, in the end of 2012.¹⁴ Poor economical situation in the country influences employee’s motivation. Even if the offered work position is not appealing for the person, he or she is interested in work just to have any source of income. Most of the people are willing to show good performance at the workplace, work the necessary and extra hours. However, on time paid salary, do not increase employees loyalty. If the person started to work in Artis Cetrum Hotel only because of the wage, it is very likely that he or she will quit the job if in some other location more attractive work position will become available.

Sociological factors

• High unemployment rate. Unemployment rate in Lithuania reaches almost 13% which indicates to an oversupply in a labour market. Therefore, people are looking at their work position very responsibly. They do understand that it is easy to be replaced by someone else, because basic positions in the hotel, such as receptionist or waiter does not require a long training period as well as within this big amount of unemployed people, there will always appear a person who is willing to do the job, someone else refused to.
• High level of emigration. Emigration is a negative external factor for hotel business in general. Not only it decrease the number of domestic visitors, but also decrease the number of professional experienced employees who leave the country because of better working conditions abroad. 

 

¹ http://www.younghrmanager.com/roles-and-functions-of-the-human-resource-department

²Dennis Nickson "Human resource management for the hospitlity and tourism industries", 2009, England, 90p.

³ http://guides.wsj.com/management/developing-a-leadership-style/what-is-the-difference-between-management-and-leadership/

⁴ Ian Brooks, "Organisational Behaviour. Individuals, Groups and Organisation", 4th edition, 2009, England, 190p.

⁵Ian Brooks, "Organisational Behaviour. Individuals, Groups and Organisation", 4th edition, 2009, England, 202p.

⁶http://db1.stat.gov.lt/statbank/selectvarval/saveselections.asp?MainTable=M3110105&PLanguage=1&TableStyle=&Buttons=&PXSId=3457&IQY=&TC=&ST=ST&rvar0=&rvar1=&rvar2=&rvar3=&rvar4=&rvar5=&rvar6=&rvar7=&rvar8=&rvar9=&rvar10=&rvar11=&rvar12=&rvar13=&rvar14=

⁷http://db1.stat.gov.lt/statbank/selectvarval/saveselections.asp?MainTable=M3020103&PLanguage=1&TableStyle=&Buttons=&PXSId=7371&IQY=&TC=&ST=ST&rvar0=&rvar1=&rvar2=&rvar3=&rvar4=&rvar5=&rvar6=&rvar7=&rvar8=&rvar9=&rvar10=&rvar11=&rvar12=&rvar13=&rvar14=

⁸Ch. Lovelock, J. Wirtz, "Services Marketing people, technology, strategy", Seventh Edition, 2011, p. 313

⁹ http://www.bizjournals.com/phoenix/stories/2002/04/08/focus6.html?page=all

¹⁰ Ch. Lovelock, J. Wirtz, "Services Marketing people, technology, strategy", Seventh Edition, 2011, p. 319

¹¹ Ch. Lovelock, J. Wirtz, "Services Marketing people, technology, strategy", Seventh Edition, 2011, p. 323

¹² Ch. Lovelock, J. Wirtz, "Services Marketing people, technology, strategy", Seventh Edition, 2011, p. 325

¹³ Ch. Lovelock, J. Wirtz, P. Chew, " Essentials of Services Marketing", First Edition, 2008, p. 299

¹⁴http://db1.stat.gov.lt/statbank/selectvarval/saveselections.asp?MainTable=M3060102&PLanguage=1&TableStyle=&Buttons=&PXSId=3610&IQY=&TC=&ST=ST&rvar0=&rvar1=&rvar2=&rvar3=&rvar4=&rvar5=&rvar6=&rvar7=&rvar8=&rvar9=&rvar10=&rvar11=&rvar12=&rvar13=&rvar14= (1 Lithuanian litas = 0.3 euro)