The Use of EFQM Model in Squire Hotel

THE USE OF EFQM MODEL IN SQUIRE HOTEL
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Table of Contents
Introduction......................................................................................................................................3
The background information about the Squire Hotel group............................................................3
SHG issues...................................................................................................................................3
Measuring performance by using the EFQM model.......................................................................4
The fundamental concepts of excellence.....................................................................................4
Criteria of the model....................................................................................................................5
RADAR logic..............................................................................................................................6
Limitations of using the EFQM model............................................................................................6
Examples of using the EFQM model by successful organizations..................................................7
Pom+ consulting, Switzerland.....................................................................................................7
Cross country, UK.......................................................................................................................7
Alpenresort Schwarz, Austria......................................................................................................7
Application of EFQM model to the Squire hotel.............................................................................7
Conclusion.......................................................................................................................................8
Recommendation.............................................................................................................................8
References......................................................................................................................................10
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Introduction
The EFQM model is known as a quality management model, which is an applied model rather
than the theoretical concept. The full form of EFQM is the European Foundation for quality
management. for the continuous improvement of an organisation this not able to create a
platform. However, benchmarking is one of the important practices within this model, which
head in developing a sustainable growth of the economy by collaborating with other European
organisations (AlEidraous et al. 2019). The total quality management concept is used under this
model for creating efficiency, quality and sustainability for developing sustainable excellence.
There are some important areas, which are part of the organisation to achieve the objective of
implementing this model. Those are effective policies and strategies, strong leadership, skilful
people, effective processes and resources and partnerships. This business report will be focusing
on the reasons why some customers are more valuable than others and how service managers
retain valuable customers. For analysing this perspective, the case study of Squire Hotel will be
used to apply the EFQM model to overcome the key issues.
The background information about the Squire Hotel group
SHG issues
Squire hotel group is found in various locations like Oxford, Warwick and Southport. This hotel
group is known as a three-star in the market where the number of rooms available is within 40-
200. The organisation is known for its food quality, first rated services and reasonable pricing.
The weekend or occupancy of this hotel is around 30% where the midweek occupancy is 80%.
The branch of Oxford has different lines like tourists, local businessmen and visitors from the
nearest Magdalen College. The organisation has 70% staff turnover rate. The overall budget of
this organisation including purchasing, staffing, menu planning is limited and suggested by the
head office. All the different branch managers of this hotel are answerable to the head office for
any type of decision making. Most of the decisions are related to the other local hotels and
demands of the local community (Almekhlafi and Saeed, 2018).
The current business environment of this hotel has identified several problems and challenges.
The competition of the competitive market has the need to improve the satisfaction level of the
customer with the excellent quality of services and products. The process of identifying the
issues will help in a meeting getting those challenges by improving the leadership, using better
strategies, motivating the employees and improving the quality of services and products.
Some key challenges of this organisation:
According to the manager of the Oxford branch, the entrance room of this hotel has a
complicated structure which did not care for the outlook for organised properly. It is mainly
arranged in a traditional way (Daniel, Naderpour and Lin, 2018).
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In fact, in the time of peak season, the current bedroom is always less than the demand of the
customer. Therefore it can be said that the supply of this hotel is less than the demand.
Any type of expansion plan is not part of the project which creates issues problem for increasing
or maximizing the profit. Therefore demand can easily manage the off season which is around
60%. But in the peak season, the scenario is totally different and lack of space creates the issue
of guaranteed customer retention.
Another important issue is the food quality because the customer trying to complain about the
food quality. There is a lack of gathering information about the quality of the food under the
management of this organisation. Therefore the improvement and rectification process is
required. In the process of suggestion and complaint from the customer will help in analysing the
quality of the offered services.
The competitive market of a rival has excellent and famous restaurants, which are also creating
threats for this organisation. In fact, it has been identified that the potential customers are
attracted by these market competitors specifically for the evening (Dubey and Lakhanpal, 2019).
According to the restaurant manager, the type of budget developed by the head office did not
assist them in the process of using new and excellent ideas to create a better restaurant menu for
the customers. Therefore issues problem is creating and the established and potential customers
of this organisation are decreasing rapidly.
Measuring performance by using the EFQM model
The fundamental concepts of excellence
The EFQM model describes some fundamental concepts of excellence. Understanding this
concept will help in the process of understanding this model more specifically and how it can be
implemented for overcoming the identified issues of Squire hotel. The few different concepts
are:
Creation of a sustainable future- developing sustainability should be considered as a
significant element of creating an excellent organisation. For which the organisation has to
increase its performance for the purpose of creating and sustaining a positive impact on the
environment, stakeholder and Society.
Addition of value for the customers- An organisational products and services can create it's
excellence when the customer demands not only fulfilled but also their expectations are being
valued by the organisation. Adding value for the customer is highly required according to this
model (El Talla et al. 2018).
Developing the capability of the organisation- development of organisational capability is
considered as one of the major ways to improve the excellence of the organisation. By
developing organisational capability competitive advantage of the organisation generally
increases.
Leading the process with inspiration, vision and integrity- Leadership is considered one of
the major factor of creating quality product and services for which including leaders who can
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