Human Resource Management in the Hospitality Industry - Case Study Example

Human Resource Management in Hospitality Industry (Case: Harbour Inn) Student’s Name: Instructor’s Name: Course Code: Date of Submission: Introduction Human resource is considered a very important asset for any organization given its contribution to the overall performance of an organization. It is for this reason that different organizations have human resource management functions to help manage this very important resource so as to ensure that the organization has a competitive advantage in terms of what its workforce can offer. The aspect of human resource management especially becomes very critical in the hospitality industry. Perhaps this is because the employees in many occasions engage directly with the customers and thus raising of how well they are satisfied by the services delivered (Boxall and Purcell 2000). To help illustrate on some of the issues that are facing human resource management in a hospitality industry, the case of Harbour Inn which is situated in Sydney Australia will be used. This analysis will entail two major areas which are: identifying management issues or problems facing the hotel and the recommendations for managing the already identified problems. Issues and problems in the business Given the company scenario, a number of issues and problems and which are very common in human resources across different industries can be identified and they include: high employee turnover, training and development, teamwork and diversity management. High employee turnover The hospitality industry is among the industries that are leading in recording high employee turnover, especially among the middle managers and the front staff. Research is showing that the main contributor of high employee turnover in the hospitality industry is the attitude individuals have towards their work something that is founded on employee satisfaction. The variance in satisfaction among the employees is a very important point as it determines the rate of employee turnover and should be used to address the prevailing human resource management challenges. This is what has been witnessed in the case of ‘Harbour Inn’ in Sydney Australia. To illustrate this, the high employee turnover that has been witnessed in the hotel in the recent past, has been as a result of lack of motivation among the employees (Hoque 2000). For instance, the way the company is handling employees’ concerning is worrying given that numerous promises that cannot be met are made. This can be learnt from two main areas namely parking space for junior employees and training programs within the Hotel. In other words, what is emerging here as an issue, is the inability by the hotel to satisfy employee expectations like providing parking space and adequate training in order to improve their competence both in soft and hard skills. Training and development Training and development are also of the functions of human resource management and its aimed at enhancing the skills and knowledge that employees in any given industry have and that are required in improving on service delivery. While training may seem to be a costly affair in the short-term, if well planned and executed, in the long run will translate into high quality services that the business offer. In the case of employees, training and development is one sign demonstrating how the management regards the staff. This is one of the difficulties in the case of Harbour Inn. For instance, when Susan was hired, she was promised to be supported to undergo a certain training as one way of making her competitive in her position. However, even the process did take place, it is slower and less focused and does not the attention it deserves especially from management level (Canny, 2002). This problem could also be extended to the weaknesses in the recruitment process which is also not clear given that Susan has worked for a relatively long time as a casual and for very few hours making it very difficult for her to earn the income that comfortably sustain her. Lack of teamwork spirit and involvement In the hospitality industry unlike in many other industries, teamwork among the employees is very crucial given the fact that they are expected to be consist in all what they do and how they respond to the customer. This is particularly important in winning customer loyalty and trust. Teamwork is particularly important in ensuring that each and every employee is working towards a common goal and this can only be achieved if the managers and the supervisors allow participation of other employees and that they do their communication in an appropriate manner. In the case of Harbour Inn, the case is totally different. For instance, the team meetings are very rare and that the employees do not easily meet with the managers. This makes it difficult to discuss the way forward by the members of a department like is in the case of the rooms division where David works. Inadequate communication has also resulted into a situation where important issues related to performance like rewarding incentives are ignored despite the effort they put in by the employees in their work. This problem is known to escalate to a point where employee’s opinion and involvement in major decision that affects their performance is not given a chance and also denied the opportunity to get feedback on some of the issues that may be raised by the employees ( ILO 2001). Lack of diversity management For workplace people with different and very unique cultural background are likely to exist. This in a great deal is expected to affect the whole process of managing them. Employees from different countries are expected to portray different preferences and which they wish to have the management consider. One major difference in the workplace is age and which to a greater extent affects they ways people of different ages perceive communication and how they think it should be done to have an impact (Eaton 2001). For instance the employees who belong the veteran generation of before 1945 may be comfortable with a certain form of communication different from those employees who belong to Generation Y. This is one of the problems that has emerged at the Harbour Inn. Management of culture diversity is also an issue especially when it comes to managing employees from different countries. For example, in the company, breakdown in communication and understanding is being experienced between the managers who in the 40s and 50s and young employees who are in the early 20s. This is because these are individuals from different Generations. The employees also come from different countries of the world meaning that their process of communicating and understanding is different. Recommendations for managing these problems 1. The first problem that has been identified is high employee turnover and this has been attributed to lack of satisfaction and motivation among the employees. To help the human resource management tackle this problem, the first and most important thing to do, is to ensure that they make which they are able to promise to the employees. For example, when the company promises to provide space for parking and also sponsor employee training programs, it would have been very prudent to abide to that (Grugulis and Wilkinson 2002. 2. In the company, it has been identified that the company is a lacking a policy on employee training and development. First and foremost, is to appreciate the role of training among the employees and how it is likely to change the employees’ attitudes for the better. There is also need to equip all the employees in the operations with both working and interpersonal skills which are useful not only to the staff but also in delivering services to the customers. This can also be extended to provide some service orientation and coaching (Jollife And Farnsworth 2003). 3. There is need to come up with a program that shows clearly when and how different group meetings are to be held and what should be discussed and their mandate. This goes along providing the opportunity for the employees to air their views and also help foster positive relationship between the employees and their managers and supervisors through regular interactions. On the aspect of rewards and incentives, this must be detailed program that should show how individuals are to be compensated and under what terms (Jollife and Farnsworth 2003). 4. In managing diversity, it is important to recognize that at workplace people from different backgrounds might pose a challenge to leadership if not well managed. To help manage this problem, a strong internal policy need to be developed that appreciates all individuals irrespective of their origin, age, color, race, experience or education (D’Annunzio-Green, et al S 2002). References Boxall, P and Purcell, J 2000, ‘Strategic human resource management: where have we come from and where should we be going?’, International Journal of Management Reviews, 2(2), p. 183–203. Canny 2002, ‘Flexible labour? The growth of student employment in the UK’, Journal of Education and Work, 15(3), p. 277–301. D’Annunzio-Green, N., Maxwell, G. and Watson, S 2002, Human Resource Management: International Perspectives in Hospitality and Tourism, London, Continuum. Eaton, J 2001, Globalization and Human Resource Management in the Airline Industry, Ashgate. Grugulis, I. and Wilkinson, A 2002, ‘Managing culture at British Airways: hype, hope and reality’, Long Range Planning, 35(2), p. 179–194. Hoque, K 2000, Human Resource Management in the Hotel Industry, London, Routledge. International Labor Organization (ILO) 2001, Human Resource Development, Employment and Globalization in the Hotel Catering and Tourism Sector, ILO. Jollife, L. and Farnsworth, R 2003, ‘Seasonality in tourism employment: human resources challenges’, International Journal of Contemporary Hospitality Management, 15(6), p. 312–316. Read More