Maria Jos Cruz Sales147930June 4 th 2015Dr. Tarek Aly El BadawyHuman Resources Management

CASE: THE RITZ-CARLTON HOTEL COMPANY

The history of the Ritz- Carlton Hotel begin since 1898 by Cesar Ritz with the objective of open a branch of luxury hotels where the guest is: Treated like gentlemen and lady by a gentlemen and lady , but not always was a beautiful story, after the Ritz- Carlton expanded to North America the Great Depression was behind the corner and coming the two World Wars the luxuries hotels came down but in 1983 Johnson Company get the rights of all the Ritz- Carlton North America name where only the Boston hotel survived. By the end of 2000, The Ritz- Carlton operated more than 38 luxury hotels and resorts in all around the world, but now the general manager, James McBride faces a new situation: The Ritz- Carlton was opening a hotel that was part of a multi-use facility, where is located in Washington, D.C.Brian Collins is part of the Millennium Partners Management, who explained how hotel owners became, in other way their intention was to create a base for our luxury apartments, but with the trick was to create a plus of the apartments but the challenge it was to convinced the people of the good service so that in some way they may have to experience by themselves, thats how Chris Jeffries has de idea of a: luxury hotel. In this point the Millennium Partners it is whom get property to the Ritz- Carlton.In the hotel industry exist different indicators of success one of them is: ADR (average daly rate) and the other one is: revenue per available room, but in some point with the first one, it was burned with local markets so that means that filling the rooms of the Ritz-Carlton hotel with their two important groups of costumers: independent travelers and meeting event planners is really important.Although, the independent travelers are of pleasure or business, theyre treated since the airport with kindness where McBride worked to catch business travelers to the hotel and provoke to outpace the competition. So the Ritz-Carlton recognized that the vital few is a controllable segment and very important for the business because it represent the 40% of the annual sales income.The quality officer is Patrick Mene, who joined in 1990 to the company, he remarks that the Ritz-Carlton emphases in human resources too much but with the time that philosophy of the company began to improve the organization.Therefore, when we talk about human resources at The Ritz-Carlton is a distinguish way because of their employees. However, that kind of result it is because the respect between the managers and the employee considering that the philosophy based on respect our employees and have passion for people , in that way the employee feel that if he/she goes to work with at purpose we deal with them as a humans been with a heart, soul and brain and not only a machine of making money, so it means that the employee can dream too because she/he has the opportunity to reach a career in the company also to reach approach all the opportunities, in that way the company shows the cultural organization like a base to get identify. Then the employee can show their skills and talent like a good leader.In the process of opened of the new hotel, there were two competencies: dealing with the site and the other was the human resources to get up the hotel. The location made the hotel a desire place to stay because the good location therefore the clients are of good status. So, with the human resources, McBride has the power to choose the personal of the hotel and years before he gave really good results of opening new hotels but in this case Schulze, The Ritz-Carltons president, said that it could be hard to maintain the motivation, an exceptional service and keep the moral every single day, thats why the human resources is important and focus in recruitment, selection and training. For example in cause of the Ritz-Carlton the person with prior experience are hired, talking in high-levels service; then the entry-level jobs, if the personal are not good enough prepared the hotel can training them if they want to serve the people, thats what Marie Minarichi, the hotels human resources director said, considering that the people fit in the culture of the company, thats why The Ritz-Carlton do the seven day orientation, but at the end the person of the committee ask: it is enough time to learn about the philosophy about service, the gold standards, points of leadership, etc?

The human resources department is not for nothing that distinguished the Ritz-Carlton in how the managers not only that: managers, but leaders too who have a duty: to feel part of their work team at a luxury hotel company, which is in first choices of distinguished people and not only by the facilities but the quality of service and customer identification to the hotel and back.

The company is not only a place but a space where you can fell at home, with opportunities to grow up within the company and provoke one feeling of: belonging. Therefore, it causes a domino effect by itself, for example: can be seen only in recruitment day the amount of people who want to be part of the company and on the other hand we can see the empowerment of open hotels employees of choosing their next leaders, this shows that managers take into account the opinion of their people as well as the correct resolution of their mistake who consider their errors as a humans beings hence the resolutions going to be aimed at improving and unresolved with some punishment.

In my point of view, the system of the organization of the Ritz-Carlton is reflecting the importance to have people identify with your cultural organization which is to give the employee a purpose inside the company because if they have one the results are going to be according with expectations of the manager provoking a good environment at work. In the other view, not only the company offers a work to them but in return the employees have the opportunity to growing up with a career and at in this point you can see the skills, the talent, the capacity, and the loyalty that people give you every day at work with coming early, enjoying what they do even if its a small thing but necessary at the company, they have to feel part in place that they work, thats why I consider the kinds of rituals that the managers do to their next employees a way to said lets go to enjoy our work, and in other side where the people couldnt be part of the ship theyre treated with respect and empathy, in every situation the good manners are shown. Go to the other way about the dilemma of Collins to continue with the program orientation of the seven days, in my opinion if the program after it had been used for the last years given greats results there is no reason to be worry however I believe that McBride should not pass overlook the worries of Mr Collins and the committee because in this point there are money between the decision and a big competitor waiting for the next big mistake of the company that it can cost not only employees, money, time, demands but also the great name of the branch of luxury hotels account of this McBride should think to change the seven days orientation and give a little bit of more time to the process.