HOSPITALITY OPERATIONS MANAGEMENT
Category : Operations Management
Hospitality Operations Management
1. Critically assess, using examples, how an understanding of the performance objectives can help an operations manager improve profitability.
Managing a business is not an easy task to undertake. The management are in charge of more than one people and must give the proper directions in order to reach the goal of the company. Managers must provide the employees a road map in order to attain the strategic objectives. That is why it is important for an organisation to have detailed performance objectives of the employees in order to aid the companies in developing their strategic goals and business plans.
According to (2007) performance objectives helps establish how the business plan of an organisation will be attained. In addition it plays a significant role in determining the end results that the organisation anticipates through the hard work and dedication of the employees. Performance objectives are necessary in establishing clear objectives for employees. It also poses as a challenge for the employees as well as the managers to attain optimal results to promote growth in the business and continuous improvements within the organisation in order to meet the challenges and the changing trends in the market place.
Performance objectives gives the manager and the employee with the criteria necessary to discuss, evaluate and monitor the performance in the most objective manner. And since the organisational and employee objectives go hand in hand, thus performance objectives act as the fundamental basis of an efficient performance management.
According to (2007) performance objectives do the following in an organisation”
- It gives an objective, up-front and mutually understood and accepted basis for discussing and reviewing the results of the performance of the employees within the organisation.
- It decreases misunderstandings between the employees and the management regarding the performance results since it is already indicated on the performance objectives the results that an employee is expected to achieve.
- Specify the role of each employee in accomplishing the things that are necessary for the department and the whole organisation.
- It helps the employees in monitoring their own progress through having a clear performance targets.
There are various types of performance objectives and these are:
Short-range objectives- it can be accomplished within weeks or months and within the performance cycles. Short-range objectives could be increasing sales for the month and finishing the deadlines for the week.
Long-range objectives- these objectives could be accomplished for longer periods and it requires a full performance cycles.
Routine or maintenance objectives- it helps the managers and the employees sustain performance at acceptable degrees or at minimum standards.
Organizational Objectives- it has a huge bearing to the whole organisation because it could contribute directly to the organisation such as setting up a new process in a department.
Problem-solving objectives- this could be establish to improve and enhance the performance of the employees that have slipped below the levels that are acceptable within the organisation.
Personal development objectives- these objectives are created to improve and enhance the performance of the employees that has slipped below the levels that are acceptable within the organisation.
Innovative objectives- are developed and created to increase the creative and innovative thinking of the employees in order to develop a fresh and new approach to the department and the whole organisation.
Personal development objectives- these objectives are created to enhance the development of the employees which could affect the long-term performance results.
Managers must understand performance objectives in order to establish effective performance objectives that will later on affect the organisation such as profitability. In the case of private hospitals wherein the performance of the people working is the main source of profits, performance objectives are very important. If the performance of the staff and the nurses are excellent, therefore most of the clients will come back for check-ups which in turn will lead to higher profits. Examples are the hospitals that offer plastic surgeries, if the clients are satisfied because the doctors and the nurses have performed the job well, and then there is a possibility that they will recommend the service to their relatives or colleagues. For this reason, performance objectives are a must, the hospitals or the organisation must establish objectives that the nurses and health care professionals must meet in order to provide excellent service to its clients. Aside from hospitals, hotels also are an industry wherein the performance of the employees is an important aspect in gaining profits. If the services of the hotel such as the performance of chamber maids are excellent there would be more clients and if the service is bad expect lower number of customers.
2. Discuss how "Service Quality Models" can be used to manage quality improvement issues. Support your answer with relevant examples.
The quality of service given by an organisation reflects the whole organisation. According to and (1998) service quality refers to the appraisals of the customers and management to the service of the organisation. In addition, discussed (as cited buy and ) that understanding the expectations of the customers and meeting it is the critical issue and determinant of service quality.
Service quality models such as customer satisfaction models could be utilised to manage quality improvement in organisations. The public and private sectors have focused their attention on the idea of a quality service over the past decades. One of the determinants of quality of service is the satisfaction of customers to the products or services given by an organisation.
Sports are one of the businesses wherein the quality is scrutinised since millions of people are tuned in to watch the players perform. In the study of the researchers of Lincoln University three primary dimensions of service quality have come out and these are the Outcome Quality, Interaction Quality and the Physical Environment Quality.
In the Outcome Quality the spectators of the sports have listed the atmosphere, the quality of games or matches and entertainment value as important aspects for a spectator. Once the manager of the teams or player has identified those areas then they will provide spectators better atmosphere in the game which includes the stadiums. The management will utilise stadiums that could hold many spectators and will assure the audience that the game will be very good, thus the service of the sports man which is to provide entertainment will be improved.
The second dimension is the Interaction quality which includes the security, the food, and players. Interaction with the players after matches is what some of the audience are anticipating when watching live, therefore if the players are top notch, like in the case of tennis wherein top ten players usually fills the stadium, we can expect that the game will be excellent, therefore the service to the audience is better. Security is also important, particularly in sports wherein there are many fanatics like football. Most of the time football matches lead to stampede and brawls, thus management of the stadium is important. If the managers of the team and the stadium emphasises interaction quality therefore security within the walls of the stadium is listed as one of their priorities.
Physical Environment is the third dimension wherein it includes the seats, cleanliness and access to the game or players. Although most of the time the physical environment is overlooked by most managers, it still plays a vital role in the turn out of the audience. In the case of stadiums, if the game is held in a small stadium which could only hold a small number of audience then most of the spectators won’t be satisfied with the management of the teams since they chose a small place to held the match, thus if the match will happen again most of the audience would rather watch on TV than live. Next is the cleanliness of the place, even if the stadium could hold many spectators if it is not clean then most likely few people will not comeback to watch live and would prefer another place.
Aside from Sports other business sectors could also benefit from service quality models for the improvement of management. They could also utilise the three dimensions just like in the case of hotels. In the outcome quality it includes the service quality of the employees and the ambiance of the hotel. If the feedback of the clients is not good due to the service then the management could retrain the employees in order to improve the quality of service, likewise in ambience of the hotel, they could improve it by having friendlier and more approachable workers.
Just like in Sports, Interaction quality such as the food and security of the customers also are important in improving the management of the organisation. If the food served to the customers did not satisfy the taste buds of most clients then a change of the menu and improvement of the food would be the measures to improve the service and management. Security of the place is also important for clients, if the consumers have identified the lack of security in the hotel then the management could do something about it and improve its security.
In the physical environment such as the cleanliness and the interior and exterior looks of the hotel could also be a vital for the management. If the clients find the hotel not clean enough for them then the management could improve the service through appropriately training the existing and future chamber maids. In the case of exterior and interior designs the management could renovate it to satisfy the majority of the consumers.
Customer satisfaction is very important in any business because through consumers they earn their profits. Thus, the quality of service reflects the organisation as a whole. Through service quality models the management are able to identify the things that consumers like and not, therefore it helps them in improving the quality of management that leads to better service to consumers.