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Hotel Management

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Charlotte O'Donnell

on 4 November 2013

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Transcript of Hotel Management

Goddard's Girls Presents ...
What Kind of Work Environment Might Enable Employees to Deliver High Quality Service, and What is Managements' Role in This?
Management Commitment to Service Quality
Behaviour Based Evaluation
So is the customers overall service experience purely influenced by the employee’s role within the service encounter or is there more to it?

“ Customers evaluate service consumption experiences in a holistic manner, by paying attention to both the servicescape and employee interactions” (Lin and Mattila, 2010:82)

Interestingly, in service organizations the same physical setting that communicates with and influences customers may affect employees of the firm (Baker, Berry, and Parasuraman, 1988 as cited in Bitner, 1992:57)

ServiceScape Cues:
- Ambient Conditions (Smell, Music, Temperature)
- Space Functions (Layout, Furnishings)
- Signs Symbols & Artifacts (Decorations)

Enhancing your Servicescape can:
- Increase the Perceived Congruency of the organisation (Lin and Mattila, 2010)
- Increase levels of pleasure amongst customer's and employees
- A memorable experience for new customers
Now close Your Eyes and Imagine ...
Benefits of Empowering Employees
' Contact employees need the flexibility to make on-the-spot decisions to completely satisfy customers' - (Hartline & Ferrell, 1996:56)

'Empowering employees can lead to the sort of spontaneous, creative rule-breaking that can turn a potentially frustrated or angry customer into a satisfied one' - (Bowen & Lawler, 1992:33)

Empowerment can:
- Increase in employee job satisfaction and reduced role stress (Niehoff et. al, 1990)
- Increase employee confidence (Hartline & Ferrell, 1996)
- Increase self efficacy (Conger & Kanungo, 1986)
- Feel better about jobs and has more enthusiasm (Bowen & Lawler, 1992)

- More adaptive due to increased flexibility (Scot & Bruce, 1994)
- Increases likelihood of satisfying the customer's needs
Criticisms of Empowerment
'Though empowered employees gain confidence in their abilities, they also experience increased frustration (conflict) in their attempts to fulfill multiple roles at the organization's boundary' - (Hartline & Ferrell, 1996:62)

'A lack of role clarity [from empowerment] has been shown to be a major source of job tension, dissatisfaction, and reduced innovativeness as workers are unsure of the exact nature of role expectations' - (Kahn et al. 1964 cited in Charles & Kollias, 2000:71)

Empowerment can:
- Cause frustration
- Increase role ambiguity
- Increase stress and decrease job satisfaction
- Complex concept for managers to manage
How to Empower Effectively?
Benefits of Behaviour-Based Evaluation
'The use of behaviour-based evaluation complements the use of empowerment by mitigating some of its negative comments' - (Hartline & Ferrell, 1996:62)

'Behaviour-based evaluation focuses on performance criteria that are consistent with the behavioural requirements of empowerment (e.g., making decisions, exercising authority, serving customers’ needs)' - (Hartline et al., 2000:38)

'Behaviour-based evaluation is particularly suited to customer contact employees in that their performance in serving customers' needs is directly related to customer-oriented behaviours (e.g., courtesy, friendliness,problem solving) rather than specific work- related outcomes (e.g., quota, sales volume)' - (Hartline et al., 2000:38)

Behaviour-based evaluation can:
Give employees the incentive to engage in behaviours that lead to customer satisfaction - (George, 1990)
Reduce role ambiguity - (Basu et al., 1985)
Improve employee response - (Hartline & Ferrell,1996)
Increased adaptability if rewards are offered for their behaviour - (Scott & Bruce, 1994)
Provides an incentive to give high quality customer service
'An environment in which employees are satisfied and committed is one that is conductive to customer satisfaction' - (Frenkel & Sergeant, 2000:27)
Bitner, M.J. (1992) “Servicescapes: The Impact of Physical Surroundings on customers and employees” Journal of Marketing, 56 (2) pp 57-71

Bitner, M.J, Booms, B.H and Tetreault, M.S. (1990), “The Service Encounter: Diagnosing Favorable and Unfavorable incidents”, Journal of Marketing, 54(January) pp. 71-84

Bowen, D.E., (1992), “The empowerment of service workers: what, why, how and when”, Sloan Management Review, 33(3) pp.31-38

Chebat, C. and Kollias, P. (2000), "The Impact of Empowerment on Customer Contact Employees' Roles in Service Organizations", Journal of Service Research, 3 (1) pp.66-81

Frenkel, S. and Sergeant, A. (2000). "When Do Customer Contact Employees Satisfy Customers?", Journal of Service Research, 3 (1) pp.18-34

Gruber, T., Szmigin, I and Voss, R. (2006), “The Desired qualities of customer contact employees in complaint handling encounters”, Journal of Marketing Management, 22 pp.619-642

Hartline, M.D, et al., (2000), "Corridors of Influence in the Dissemination of Customer-Oriented Strategy to Customer Contact Service Employees", Journal of Marketing, 64 (2) pp.35-50

Hartline, M. D., and Ferrell, O.C, (1996), "The Management of Customer-Contact Service Employees: An Empirical Investigation" Journal of Marketing, Vol. (60), pp.52-70

Lin, Y. and Mattila, A.S. (2010) “Restaurant Servicescape, Service Encounter and Perceived Congruency on Customers Emotions and Satisfaction” Journal of Hospitality Marketing and Management (19) pp. 819-841

Menon, S.T (2001) “Employee Empowerment: An Integrative Psychological Approach”, Applied Psychology, 50 (1) pp.153-180

Walls, A.R (2003) “A cross-sectional examination of hotel consumer experience and relative effects on consumer values” International Journal of Hospitality Management (32) pp.179-192
"Lewis and McCann (2004) examined service failure and recovery in the hotel industry and found that only just over 50% of their respondents were satisfied or very satisfied with how the hotel had dealt with their problem" – Gruber, Szmigin and Voss, 2006:620

"Even service delivery failures can be remembered as highly satisfactory encounters if they are handled properly” Bitner, Booms and Tetreault, 1990:80

The Hartline and Ferrell article discusses a number of key points regarding MCSQ:
- MCSQ is a precursor to the use of other control mechanisms. It requires, 1) Strong personal commitment to quality improvements, 2) a visible and active involvement in the quality-improvement process.
- Empowerment and Behaviour based evaluation are initiatives that management can use to influence contact employees responses during their service delivery.

“The data suggest that guest experiences are most positively impacted through caring/attentive and professional staff interaction”. - A.R. Walls, 2003:190
How to Implement Behaviour- Based Evaluation
Customer Questionnaires:
- effort, friendliness, ability to solve problem, attentiveness
willingness to help

To aid empowerment, discuss with the employees what criteria should be used, this will also help reduce role ambiguity:

- 'Behaviour-based evaluation also reduces employees' role conflict and ambiguity because it give employees more control over the conditions that affect their evaluations and frees them from the pressures to produce measurable outcomes' - (Anderson & Oliver, cited in Hartline & Ferrell, 1996:57)
A focus on staff interaction with guests.

Empowerment must be controlled and structured.

Performance should be measured through behaviour-based evaluation.

Managers must be committed to service quality before implementing empowerment and behaviour- based evaluation.

Managements creation of a positive ServiceScape.
However, Parasuraman, Berry and Zeitharnl (1990) failed to find a link between MCSQ and service quality – this is probably because it is an indirect relationship.

"Challenge for service managers to find ways alleviate the role conflict associated with the empowerment of their contact employees" - Hartline and Ferrell, 1996:62
(Cited in Hartline & Ferrell, 1996)
(Hartline & Ferrell, 1996)
(Bowen and Lawler, 1992:36)
(Hartline & Ferrell, 1996)
Welcome to the Annual Hoteliers Conference
Kindly hosted by Lancaster University
Charlotte O'Donnell
Christopher Goddard
Jessica Jeffers
Sarah Warsaw
Full transcript