Imperial Hotel, London: Management and Operational Challenges Report

This report examines the issue of high employee turnover at the Imperial Hotel in London, a 4-star establishment facing significant operational challenges. The report identifies key causes of staff turnover, including poor guest satisfaction, low pay, ineffective teamwork, and a negative work culture. It proposes a three-point problem-solving strategy: identifying the problem, implementing solutions, and reviewing the outcomes. The implementation phase emphasizes motivation through a rewards system, both financial and non-financial, and the application of Maslow's hierarchy of needs to address employee requirements. Furthermore, the report supports these strategies with relevant management and operational theories, including Frederick Taylor's scientific management theory and Elton Mayo's behavioral theory, to provide a comprehensive approach to improving staff morale, service quality, and operational efficiency. The conclusion underscores the importance of motivation through a rewards system as the most effective strategy for addressing the hotel's challenges.

The imperial hotel, London

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Discuss the problems from a management and operational perspective in hotel...................1
Problem solving strategy........................................................................................................2
Management and operation theories and principles...............................................................5
CONCLUSION................................................................................................................................7
References........................................................................................................................................8

INTRODUCTION
The hospitality industry is a board category of field in service sector. This includes
various segment which are considered in this sector such as event planning, food and drink
services, transportation (Akgunduz and Eryilmaz, 2018). Employees are played effective roles in
this sector because they are provided best services to customers. Hotel is also best part of
services industry which is related to provide accommodation and lodging services. The present
report will be based on “The imperial hotel” which is established in London. It is the well-known
brand hotel in 4 star hotel chain. The report will identifying causes of staff turnover. Report will
also discussing by various strategies to solve problem. The solution of problem will supported
by the different management and operation theories and principles.
MAIN BODY
Discuss the problems from a management and operational perspective in hotel.
The imperial hotel is 4 star hotel in London and it is operates 25 hotels in UK. Recently,
new general manager, Peter Farnsworth taken over management of the whole hotel. The hotel is
faced one of the biggest problem which is employee turnover. It is gives extremely high impact
on imperial hotel. The employee turnover refers with the number of employees who are leave
company and placed at other place. This condition is bad and losing the lowest performance in
the business. This gives negative impact on the company because most of employees are leaving
job and other hand customers are suffers from various services by lack of employees at hotel.
Hotel is face problem from high staff turnover with 80% of the staff leaving within the year. This
affect to the business and it growth in negative manner because employees are leaving job. This
is not good for hotel and also for customers.
Causes:
There are various causes which is generate employee turnover in hotel from the side of
management and operation (Claver-Cortés and et.al., 2019). Those help to understand why
employees are leaving job from hotel. The causes of employee turnover such as:
Poor guest satisfaction:
Poor guest satisfaction is refers the customers are not satisfied by hotel services. This can
create by lack of proper training. Lack of proper training is biggest problem of the Hotel Imperial
which is create poor guest satisfaction at workplace. This create lots of mistakes which are
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happens by employees of hotel. By ignoring this responsibility company faced legal problem and
creates accidents at workplace. This will give negative impact on hotel because employees are
not done work and also not able to provide best customers services. For that, they are feel
demotivated and take decision for leave job.
Figure 1- FISHBONE DIAGRAM
(Fishbone diagram, 2018)
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High staff turnover:
High staff turnover is refers employees are leaving job by unsatisfying needs at
workplace. Poor pay level is problem and biggest issues which is negative impact on company.
Poor pay level is refers the lower payment in against of best work. By this employees are feel
negative at workplace in ineffective manner. This is also the cause of leaving hotel and increase
employee turnover.
Poor team working:
Poor team working is refers poor work of employees at workplace. Ineffective
communication is refers the unclear statement, instruction and information which is give to
employees. At the workplace have various information about that employees have to know
which are related to the compensation and polices. Information is also relate to work process.
That is also create chance of increasing employees turnover. This also create the negative team
working and inefficient use if IT.
Negative work culture:
Poor perception of work culture is create chance of sick leaves and poor attendance of
employees. This refers unhealthy and poor culture and work environment. Unhealthy
environment create demotivation in employees regarding to work. This is not good and effective
for employees because after, this they are take decision to leave job.
This is not good and better for hotel growth and this impact on profit margin in
ineffective manner. Here, new general manager of imperial hotel need to solve this problem
timely for further growth and improvement.
Problem solving strategy.
High employees turnover is faced by imperial hotel. This problem is give negative impact
on hotel. In order to solve this problem, here is mention three point plan which is help to improve
quality of services, staff morale, operational efficiency and productivity (Lashley, 2016).
Motivation is best way to improve those aspects in effective manner. The three point plan are as
follows:
Step 1: Identify the problem:
Identify the problem is very important and effective aspects which is creates in Imperial
hotel. The main problem which is faced by company that is high employee turnover. The high
employee turnover is biggest and this create the negative environment in hotel. This is not good
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and best for the company. Manager of hotel is want to remove high employee turnover from their
hotel and workplace. Other hand, manager also want to improve quality of services, staff morale,
operational efficiency and productivity in manner to solve high employee turnover.
Step 2: Application and implementation:
In order to improve quality of services, staff morale, operational efficiency and
productivity, here is use strategy which motivation through rewards system and understand that
by uses of Maslow Hierarchy need theory are as follows:
Figure 2:Maslow's needs hierarchy
(Our Hierarchy of Needs. 2018.)
Reward system:
Reward system is also best way to improve employees morale in term of work and solve
high employee turnover. Rewards system is divided into two parts which are financial and non-
financial system.
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Financial reward system
The financial rewards system is consist with various aspects which are pay and
allowances, bonus and productivity like like wages incentives, profit sharing. For example: high
turnover is face by hotel and work is suffers. In that, manager of imperial hotel give incentives
to their employee for extra and best result of work. After than, they feel apprised and give their
hard contribution for work towards quality of services. With the application of this can help to
improve quality of services.
Non-financial reward system
Apart from financial reward, an individual also has physiological, social and emotional
needs (Reward system, 2018). This includes factors like status, organisational climate, career
advancement opportunity, job security etc. For example: if employees done their work in
effective manner with best result in this, manager of hotel promote them on other position. With
the application of this in hotel than employees performance are improve in effective manner.
The best motivation theory is Maslow hierarchy need theory. This theory is the best way
to improve employees performance, services and morale also. This theory is considers with the
aspects which are physiological, safety, belongings, esteem and self actualization needs. With the
help of motivation manager of hotel is able to solve all those problems in effective manner. This
create various opportunities for business and employees. Physiological needs concerns with basic salary of employee against of their work. To
compete with high employee turnover in the hotel. The motivation by fulfil physiological
needs of employees are best way to improve work and services quality. For example: if
employer is provide basic salary against of their work. By this employees are motivated
and give good efforts for work because this help to fulfil the basic needs of employees at
job.
 Safety need is highly concerns with the work safety, job security and health insurance. By
fulfilling safety needs of employees, employees are able to provide quality services. For
example: employees are leaving hotel by not satisfying by their safety needs like work
and job security (Lee And et,al., 2016). In this case, manager provide job security to
employees. By this employees are feel safe at work place and give their best for improve
quality of services.
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 Belongingness: In order to improve employees morale, manager of hotel can try to build
employees relation between employees, client and co-workers. For that belongingness is
best way for improve employees morale. Belongingness is teams, clients, supervisors and
co-workers. For example: at the time high employees turnover employer of imperial hotel
organize games, case studies and program there all employees are participant in group or
in a team. This help to improve belongingness between employees and co-workers. Esteem need like high status and responsibilities. Operational efficiency and productivity
is the main concerns in hotel sector. To improve efficiency of employees and productivity
to give them more responsibilities for others work with training and development
program (Minor, 2017). With the help of this employees are done their work with more
specific manner.
 Self-actualization needs like training, advancement, growth and creativity. Training and
growth is other factor to improve operational efficiency and productivity of employees by
motivation. This most effective and valuable way to compete with those in effective
manner. With the help of best training as per more responsibilities to give them
employees.
Those are strategy and ways to improve employees morale, performance, quality of
services, operational efficiency and productivity in effective manner. With the help of this
motivational strategy, general manager Peter Farnsworth of imperial hotel, London able to
compete in situation of high employees turnover at hotel. It is best way of improving
performance of hotel at marketplace.
Step 3: Review and controlling:
Review and controlling is the best and effective option which is help to get answer in
proper manner which is best option for improve quality of services, staff morale, operational
efficiency and productivity. As per the above discussion here is concluded that the motivation
through rewards system is the best policy and strategy in order to improve all those things in
effective manner. This is checked by taking feedback from seniors and analysis performance of
employees.
Management and operation theories and principles.
It is very important to manage problem which is employee turnover. For that, above
mentioned some ways of improving morale, quality of services and operational efficiency with
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the help of motivation tools which is financial, non-financial and theory. Here, is mention some
management and operation theories and principles for supporting those strategy of improving
employees morale.
Management theory:
Management theory is the set of general rules and regulations which guide manager to
manage organization and its problems in effective manner. There are two management theories
such as Frederick Taylor and Elton Mayo.
Frederick Taylor's scientific management theory:
This theory is help to improve employees efficiency and productivity. Taylor said
motivate their employees at work place by money, gifts and positive feedbacks. Its result is best
and effective at hotel. This considers the five principles of scientific management which are as
follows:
 Time and motion study which is the best and effective for find the different ways of
performed work. With the help- of this employees are get proper information relate to
work. By this employees have proper knowledge than their quality of services are
improved.
 Teach, train and develop their employees by giving training as per responsibilities and
job roles (Frederick Taylor's scientific management theory, 2018). with the help of
training operational efficiency in increased.
 Interest of employees and employers by creating mutual understanding of between their
relations at workplace.
 Established fair level of performance at workplace and against of this pay them higher
and valid.
This is the effective and best way of improving quality of services at workplace by motivating
them by training, study, positive relation and fair remuneration. This help to improve quality of
services, staff morale, operational efficiency and productivity.
Elton Mayo's behavioural theory of management:
This theory is help to increase employees productivity in effective manner by producing
psychological need which is feel important. It is very important for employees and employers to
feel important for imperial hotel. By this they are able to done their work in effective manner.
After than employees will respond in positive way in any work environment either it is high
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employees turnover or change in work culture (Munjal and Bhushan, 2017). With the help of this
employees of imperial hotel are more productive because they know they are important for hotel.
Those are the management theories which are help to improve productivity of employees
and morale by motivation through reward system like financial and non-financial rewards.
Operation theory:
This involves various responsibilities which are important for business like meet with
customers requirements by providing quality of services. Operation management is very
important for the hotel and its growth. Operation management theories are six sigma and total
quality management (Wood, 2015).
Total quality management:
Total quality management is very important and effective theory to considers quality of
product and services in workplace environment. the time of high employees turnover. It is the
system management which refers principle. In this every member of staff committed with
maintaining higher standard work in every aspects of hotel operations. This covers the 8
elements which are ethics, training, teamwork, leadership, communication and recognition. By
providing training, effective communication with employees are help to improve quality of
services.
Those are the operation theory which are help to improve quality of services at the time
of high employees turnover by eliminate undisciplined ways and defects from services. Other
hand, by providing training and proper instruction to employees.
CONCLUSION
From the above study it had been concluded that the high employee turnover has biggest
problem which is faced by manager of hotel. There has various caused which create high
employees turnover such as lack of flexibility and ineffective communication in between
employees and management. In had been concluded that the in order to improve quality of
services, staff morale, operational efficiency and productivity of employees, report had covered
by ways of improving those by motivation. It had been very important to improvement for more
customer attraction at the time of employee turnover. Management theory has help to improve
employees morale by motivating employees. Other hand, operation theory has help to eliminate
defects and improve quality of services by giving training.
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References
Books and Journals
Akgunduz, Y. and Eryilmaz, G., 2018. Does turnover intention mediate the effects of job
insecurity and co-worker support on social loafing?. International Journal of Hospitality
Management. 68. pp.41-49.
Claver-Cortés and et.al., 2019. Competitive advantage and industrial district: A review of the
empirical evidence about the district effect. Competitiveness Review: An International
Business Journal. 29(3). pp.211-235.
Lashley, C., 2016. Hospitality and beyond…. The Routledge Handbook of Hospitality Studies,
p.415.
Lee, S. M. and et.al., 2016. Journal of Tourism & Hospitality.
Minor, K. B., 2017. Hospitable or Hostile? The Impact of Daily Deals in the Hotel Sector of the
Hospitality Industry (Doctoral dissertation, Cardiff Metropolitan University).
Munjal, S. and Bhushan, S. eds., 2017. The Indian hospitality industry: Dynamics and future
trends. CRC Press.
Wood, V. R., 2015. Organizational Commitment and International Competitiveness.
In Proceedings of the 1989 Academy of Marketing Science (AMS) Annual Conference(pp.
132-137). Springer, Cham.
Online
Reward system. 2018. [Online]. Available through:
<https://www.entrepreneur.com/article/75340>
Frederick Taylor's scientific management theory. 2018. [Online]. Available through:
https://www.business.com/articles/management-theory-of-frederick-taylor/
Fishbone diagram. 2018. [Online]. Available through:https://businessanalystlearnings.com/ba-
techniques/2018/5/19/cause-effect-analysis
Our Hierarchy of Needs. 2018. [Online]. Available
through:https://www.psychologytoday.com/intl/blog/hide-and-seek/201205/our-hierarchy-needs
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