MNG10247 - Managerial Leadership in Hospitality: A Case Study Analysis

This report analyzes the importance of leadership within the hospitality industry, focusing on an interview with Mark Von Arnim, General Manager of Park Hyatt Sydney. The interview explores the challenges faced by managers in the hospitality sector, including adapting to technological advancements, managing employee expectations, and maintaining high standards of customer service. The report further discusses the critical balance between people skills and business skills required for effective leadership, emphasizing the importance of fair play, problem-solving abilities, and customer relations. It also highlights the need for managers to be tech-savvy and possess a strong understanding of the business end of the hospitality industry. The conclusion emphasizes that managers in the hotel industry need to be leaders who trust their instincts and lead from the front, especially in the face of digital commerce, social media influence, and declining brand loyalty. The report uses academic peer-reviewed journals to support the analysis.

Running head: MANAGING ORGANISATION
Managing Organisation
Name of Student:
Name of University:
Author’s Note:

1MANAGING ORGANISATION
Introduction on the importance of leadership:
Leadership is a crucial element of the directing function of management in organisations.
In whichever place there are a group of people working towards a common goal a certain type of
leadership is essential to facilitate the achievement of the goal. The main power of leadership lies
in the power of integration of all activities in an organisation. The leader is responsible for the
stimulation of the best capabilities in each of his or her subordinates. The leader is basically a
person who provides latent energy to perform activities in all of the people working in the
organisation.
Importance of leadership as a managerial function:
The importance of leadership in any sort of group function or activity is extremely
obvious to be over emphasized. The important functions of a leader include setting of goals,
organising, initiation of action, co-ordination, direction and motivation, link between the
management and employees among others. A leader helps in the setting of goals for the better
performance in the organisation. The leadership function also involves proper assimilation of the
organisational requirements to assign individual abilities with the view to make suitable
capabilities with components for the sensitive operation towards the goals. “Leadership serves
the function of influencing people to think or act differently”. Leadership in an organisation is
also responsible for the rectification of the imperfectness of formal organisational relationships.
Chosen organisation and leader to be interviewed:
The industry selected for this particular assignment is the hospitality industry. The chosen
hotel is the Park Hyatt Sydney. The name of the manager to be interviewed for this particular
interview analysis is Mark Von Arnim, who is the General Manager of the chosen hotel. It is
known that he took over the Park Hyatt Sydney hotel in the year 2012. Many consider him to be
the leader behind its dramatic transformation. The manager was interviewed with the help of a
questionnaire which was an interview questionnaire with open ended interview questions. The
questions are based on the chosen practice of leadership which is applicable in the case of his

2MANAGING ORGANISATION
organisation. The interview is helpful for the people gaining an advantage about the different
challenges which the manager faces and the problems which are to be looked into and solved.
Challenges of the manager in the hospitality industry:
There are several problems which the manager has to face in the given industry. The
managers need to be friendly and be people whom the employees and the customers can
approach. They need to possess excellent communication skills, manage their time in a proper
manner, meet the ever changing trends of the hotel industry and much more (Suh, West & Shin,
2012).
It is seen that the development of technology and offered services on the spot, the
consumers all over have begun to expect that there will be a same level of “convenience,
personalization and efficiency” in whichever place they go and every type of facility which is
suitable for them. There often arise requirements for long and irregular work timings which are
not unheard of in the hospitality industry. It often happens that individuals who are employees of
this industry may not be available all round the clock. Therefore it is desirable that the duties are
made clear to the people and the managers understand the importance of work hours (Solnet,
Kralj & Kandampully 2012).
Critique and importance of leadership in the hospitality industry:
There is huge importance of leadership qualities of managers in the hospitality industry.
The economic fluctuations have made hotel accommodations in top hotels a matter of luxury and
hence it is all the more essential to have leaders who are capable of bringing their guests to the
hotel door. The managers who are capable of exhibiting proper leadership qualities, also have the
capability of either making or breaking a particular business. The desirable skills which a
manager can possess in the industry comprise of a proper balance between “people skills” and
“business skills”.
“People skills” include the concept of fair play among employees, respect, problem
solving abilities as well as customer relations. A manager can be considered to be successful who
is respected by those people who work for him or her. The most important factor in this

3MANAGING ORGANISATION
consideration is whether the particular leader is fair or not. It is desirable that managers distribute
responsibilities, avoid any sort of micro-managing, encouraging achievement, thereby creating a
place of work which is extremely enjoyable.
Another important and desirable skill of managers is their problem solving ability. In case
managers have a proper mind, excellent verbal skills and a flare for negotiation, they are
considered to be proper problem solvers. There are several problems which might arise any time
in the hospitality industry. Customer relations are a very crucial part of the responsibilities of any
manager. It is desirable that the customer complaints be addressed fairly for all people
concerned. A proper level of honesty and transparent attitude needs to be maintained under all
conditions.
“Business skills” are important for the leadership managers in the hospitality industry
which cannot be under-estimated. These skills include a proper control of computer technology,
bookkeeping processes, business sense and so on. With the advancement of technology, tech-
savvy managers are more desirable for the present industry. Business sense is the capability of
understanding the business end of the hospitality industry. The risks taken by the managers and
the assumptions need to be accurate and in line with the changing nature of the hospitality
industry (Li, Sanders & Frenkel, 2012).
Conclusion:
The hospitality industry is facing a formidable set of challenges at present. Certain
challenges are relatively new and digital in nature. The rise of digital commerce, the growing
influence of mobile an social media and an overall decline in the brand loyalty are the present
trends in the hotel industry. Therefore, more than planners, organisers or controllers, the
managers need to be leaders who need to trust their instincts and lead from the front. The
realities of the hotel industry scenario need to be clear to the manager for him to effectively lead
the organisation he helms.

4MANAGING ORGANISATION
References:
Li, X., Sanders, K., & Frenkel, S. (2012). How leader–member exchange, work engagement and
HRM consistency explain Chinese luxury hotel employees’ job
performance. International Journal of Hospitality Management, 31(4), 1059-1066.
Solnet, D., Kralj, A., & Kandampully, J. (2012). Generation Y employees: An examination of
work attitude differences. Journal of Applied Management and Entrepreneurship, 17(3),
36.
Suh, E., West, J. J., & Shin, J. (2012). Important competency requirements for managers in the
hospitality industry. Journal of hospitality, leisure, sport & tourism education, 11(2),
101-112.

5MANAGING ORGANISATION
Appendix:
Open-ended interview questions to the manager of Park Hyatt Sydney and the provided
responses related to the managerial function of leadership:
1. What are the most important values which you demonstrate as a leader?
The manager said that according to him the most important value which a leader needs
to demonstrate is that of integrity. He also needs to be trustworthy and understand the
problems and the point of view of all the individuals who are part of the hospitality
industry.
2. How have been you able to gain commitment from your subordinates and team
members?
The manager mentioned that he had always remained honest with my team and discussed
all the immediate problems which could have impacted the team performance and their
hotel at large. The manager never distinguished between his subordinates and hence they
always are committed and fully devote themselves to the needs of the industry.
3. How do you motivate your team?
The manager said that he motivated his team by rewarding them on their performances
and uplifted them when work load was more and their morale was low. This was
successful in motivating them and keeping them happy in their work.
4. What do you think is the greatest change taking place in the hospitality industry?
According to the manager the advancement of technology and the rise of online and
mobile bookings has brought about a drastic change in the hospitality industry and the
changing nature of interests and requirements of the customers also constitute a drastic
change.
5. How can your career been so far?
He is currently the General Manager of the Park Hyatt Sydney. He looks after all the
operations of the Hotel. He also served as the General Manager of Administration and

6MANAGING ORGANISATION
General at Blue Coast Hotels from August 1, 2009, to March 4, 2012. He has experience
of 18 years and have joined Blue Coast in August 2009 and also served as the General
Manager at the Hyatt Regency, Auckland. He has managed the operations of the hotel
industry and this has helped him perform as a manager for the organisations.
6. Why do you thing leadership is important in any industry, particularly hospitality?
The manager feels that leadership is important for any industry and even for the
hospitality industry. Unless there is a leader, the organisation as well as its workers
cannot move forward and the company cannot succeed in its operations.