a) How would you build a culture of quality in an organization such as Ritz Carlton Hotel? Briefly explain THREE (3) appropriate cultures. b) Discuss TWO (2) best practices for resolving customer complaints in Ritz Carlton Hotel. c) Discuss appropriate strategies/techniques can Ritz Carlton Hotel practice for improving service productivity. Briefly explain THREE (3) techniques. d) Explain any TWO (2) reasons why customer satisfaction is very important to Ritz Carlton Hotel. Provide example. e) A fish-bone diagram can be used by operations managers to identify possible causes of poor services. It can assist department heads to identify the root causes for a certain problem. Develop a fish-bone diagram illustrating FOUR (4) quality variables (4M’s - materials, methods, machinery and manpower) as potential poor services for a guest who just check in the hotel. Give at least TWO (2) related examples for every quality variable.

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a) How would you build a culture of quality in an organization such as Ritz Carlton
Hotel? Briefly explain THREE (3) appropriate cultures.

b) Discuss TWO (2) best practices for resolving customer complaints in Ritz
Carlton Hotel.

c) Discuss appropriate strategies/techniques can Ritz Carlton Hotel practice for
improving service productivity. Briefly explain THREE (3) techniques.

d) Explain any TWO (2) reasons why customer satisfaction is very important to
Ritz Carlton Hotel. Provide example.

e) A fish-bone diagram can be used by operations managers to identify possible
causes of poor services. It can assist department heads to identify the root causes
for a certain problem. Develop a fish-bone diagram illustrating FOUR (4) quality variables (4M’s -
materials, methods, machinery and manpower) as potential poor services for a
guest who just check in the hotel. Give at least TWO (2) related examples for
every quality variable.

Case Study B1 - Quality at the Ritz-Carlton Hotel Company
Ritz-Carlton. The name alone evokes images of luxury and quality. As the first hotel
company to win the Malcom Baldrige National Quality Award, the Ritz treats quality
as if it is the heartbeat of the company. This means a daily equipment to meeting
customer expectations and making sure that each hotel is free of any deficiency.
In the hotel industry, quality can be hard to quantify. Guests do not purchase a product
when they stay at the Ritz. They buy an experience. Thus, creating the right
combination of elements to make the experience stand out is the challenge and goal of
every employee, from maintenance to management.
Before applying for the Baldrige Award, company management undertook a rigorous
self- examination of its operations in an attempt to measure and quantify quality.
Nineteen processes were studied, guest reservation and registration, message delivery
and breakfast service. This period of self-study included statistical measurement of
process work flow and cycle times for areas ranging from room service delivery times
and reservations to valet parking and housekeeping efficiency. The results were used to
develop performance benchmark against which future activity could be measured.
With specific, quantifiable targets in place, Ritz Carlton managers and employees now
focus on continuous improvement. The goal is 100% customer satisfaction: If a guest"s
experience does not meet expectation, the Ritz Carlton risk losing that guest to
competition.
One way the company has put more meaning behind its quality efforts is to organize its
employees into "self-directed" work teams. Employee teams determine work
scheduling, what work needs to be done, and what to do about quality problems in their
own areas. In order to see the relationship of their specific area to the overall goals,
employees are also given the opportunity to take additional training in hotel operations.
Ritz Carlton believes that a more educated and informed employee is in a better position
to make decision in the best interest of the organization.
Source: Adapted from C.T. Horngren, S.M. Datar, and G. Foster, Cost Accounting, 14 ed.
(Upper Saddle River, NJ: Prentice Hall, 2012).
Transcribed Image Text:Case Study B1 - Quality at the Ritz-Carlton Hotel Company Ritz-Carlton. The name alone evokes images of luxury and quality. As the first hotel company to win the Malcom Baldrige National Quality Award, the Ritz treats quality as if it is the heartbeat of the company. This means a daily equipment to meeting customer expectations and making sure that each hotel is free of any deficiency. In the hotel industry, quality can be hard to quantify. Guests do not purchase a product when they stay at the Ritz. They buy an experience. Thus, creating the right combination of elements to make the experience stand out is the challenge and goal of every employee, from maintenance to management. Before applying for the Baldrige Award, company management undertook a rigorous self- examination of its operations in an attempt to measure and quantify quality. Nineteen processes were studied, guest reservation and registration, message delivery and breakfast service. This period of self-study included statistical measurement of process work flow and cycle times for areas ranging from room service delivery times and reservations to valet parking and housekeeping efficiency. The results were used to develop performance benchmark against which future activity could be measured. With specific, quantifiable targets in place, Ritz Carlton managers and employees now focus on continuous improvement. The goal is 100% customer satisfaction: If a guest"s experience does not meet expectation, the Ritz Carlton risk losing that guest to competition. One way the company has put more meaning behind its quality efforts is to organize its employees into "self-directed" work teams. Employee teams determine work scheduling, what work needs to be done, and what to do about quality problems in their own areas. In order to see the relationship of their specific area to the overall goals, employees are also given the opportunity to take additional training in hotel operations. Ritz Carlton believes that a more educated and informed employee is in a better position to make decision in the best interest of the organization. Source: Adapted from C.T. Horngren, S.M. Datar, and G. Foster, Cost Accounting, 14 ed. (Upper Saddle River, NJ: Prentice Hall, 2012).
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