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Operations objectives at the Penang Mutiara

by: MohammadHashem Karimi

Introduction

Introduction

  • one of the most luxurious hotels in Malaysia, a 440 room hotel
  • the name Mutiara
  • landscape tropical greenery
  • managed by Singapore Mandarin International Hotels

competitive advantage

COMPETITIVE ADVANTAGE

  • impeccable customer service, not price

  • around half guests are people who have been before.

  • more guests is what really keeps cost per guest down

  • and profitability reasonable

Managing operations

managing operations

  • an immensely complicated task

  • customers have every right to be demanding

  • first class service

  • " if we have any problems with managing this operation, the customer sees them immediately"

Performance Objectives

quality

"OUR QUALITY OF SERVICE JUST HAS TO BE IMPECCABLE"

  • courteous, friendly staff having enough knowledge

  • stylish design and top-class materials

  • most of all, anticipating guests' needs

  • avoid repeating information

  • helping guests sort out their own problems

speed

" A GUEST JUST SHOULD NOT BE KEPT WAITING"

  • fast response to customers' requests

  • not always easy, but we do our best

  • for example, grossly overloaded requests for meal

dependability

"WE MUST ALWAYS KEEP OUR PROMISES"

  • a fundamental principle of a well-managed hotel

  • rooms must be ready on time and accounts must be ready

  • the guests expect a dependable service

  • on the grand occasions, dependability is particularly important

  • any deviation from plan ...

  • planning the details & anticipating what could go wrong

flexibility

"WE NEVER LIKE TO SAY NO!"

  • they should be able to meet a guest's requests

  • if can't get any, we will negotiate an alternative solution

  • an important side effect: maintain the motivation of staff

  • ability to cope with the seasonal fluctuations in demand

  • temporary part-time staff, extra shift

cost

"IT IS IMPECCABLE CUSTOMER SERVICE WHICH GIVES US COMPETITIVE ADVANTAGE, NOT PRICE"

  • food, beverages, energy

  • very careful never compromise the quality in order to cut costs

  • so what about profitability?

  • quality of services keeps volumes high and costs low

Internal Benefits

dependability

quality

Question 2

  • decreases cost
  • increases dependability
  • supports speed
  • future bookings and demands
  • saves time

cost

  • affected by all other objectives
  • profitability

The case describes how quality, speed, dependability, flexibility and cost impact on the hotel's external customers. explain how each of these performance objectives might have internal benefits.

speed

flexibility

  • process information quickly
  • reduces inventory
  • reduces costs
  • attracts more customer
  • makes customers loyal

Question

1

Qustion 1

Describe how do you think the hotel's management will:

a) make sure that the way he manages the hotel is appropriate to the way it competes for business?

  • don't miss competitive advantage
  • expand their business in other areas
  • offer differentiation

Describe how do you think the hotel's management will:

b) Implement any change in strategy?

  • keep in mind the quality
  • implementing new ideas such as automatic service
  • keeping high standards for hiring
  • register membership for loyal customers
  • diversify services

Describe how do you think the hotel's management will:

c) Develop its operation so that it drives the long-term strategy of the hotel.

  • hiring highly skilled and up to date people
  • gather information about customers
  • apply newest and finest materials

End

Thank you.

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