Crystal Pool Resort Essay
Crystal Pool Resort is one of the new acquisitions of the Western Pacific Hotel Chain or WPHC. It is an existing functional business entity. The analysis begins with a discussion into the structure of the organization. Furthermore, it moves on to the discussion of the issues facing human resource management (HRM) – staffing, employee hiring, training, motivation, assessment and welfare.
The aim of this paper is to analyze the Crystal Pool Resort and the way in which proper human resource management can be used to overcome the human resource problems presented in the case. Its will aim to use different human resource tools and techniques taught and apply it to the given scenario.
The scope of this report is limited to the analysis and the recommendations proposed in the report. None of the proposals should be considered in their literal meaning i.e. they should be carefully scrutinized before they can be practically implemented.
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Furthermore, the recommendations proposed are limited to the knowledge available in this case. Additional case information would probably lead to the recommendations being more appropriate.
2.0 Human Resources management
HRM or human resource management is a field set up to deal with the human factors in the working environment. A company’s main objective is to service its customers to make profits. The direct correlation of customer satisfaction to financial gains leads to the emphasis on an improved final product. Dessler, Griffiths and Lloyd-Walker (2004) believe that the aspiration of providing better goods and services has helped organizations to develop a system which identifies the satisfactions of the final customer, and the buyers or consumer depends on the satisfaction of the internal customers, the employee.It is therefore, imperative to be able to work towards the development and improvement of the employee motivation and enthusiasm, so that it directly translates into business advantage through customer satisfaction. Armstrong (2006) argues that a suitable working environment, the effort a worker puts into his job, the skill factor all such aspects and others lead to the development of the HRM to manage and improve the employed working force.
The strength of staff level is an important strategic decision for any business entity. The man power planning of the resort is a prominent issue needing to be dealt with. For example there is an untrained employee on the front desk and high staff turnover Hyman, Mason (1995) would argue that this type of situation may allocate that the staff level is not only inadequate but it also points to a potential loss in employed workers. Problems such as described above have serious detrimental effects on any company’s financial figures and staff morale. An under employed work force hinders in attaining economies of scale as well as negatively effecting the final product.
According to Robbins (2004), high staff over turn means a direct loss in investment of time and money in training and development of the work force.
3.2.2 Hiring of Employees
The recruitment and selection of employees requires a thorough analysis of the job Ichniowski and Olson (2006) suggest that when the major work force is hired off the local community, workers come into the workplace with minimal formal skills. The employment at the Crystal Pool resort represents a completely different picture. Lack of Qualified staff for life-saving or pool testing, hiring people with minimal formal skills in the food and beverage department and the sole criteria of hiring good looking waitresses show that the management at the resort pays little attention to the recruitment of employees. Mathis and Jackson (2006) suggest the factor behind such practice can be the issue that the resort is situated 200km from the nearest major town so the only source of labor is the local community.
In addition, the majority still at Crystal pool resort come from the local area.
3.2.3 Training and Development of the Employees
The efficiency of a system depends on the ability of all the factors working in harmony, or as it is stated “a chain is as strong as its weakest link”. Complete customer satisfaction depends on the quality of time spent at the resort which is easily ruined or affected by negligible mistakes on part of the work force. So the importance of a high quality work force cannot be stressed upon enough. However the current situation at the resort depicts extensive issues to be dealt regarding employee expertise.
The single day on job training carried out to train the house keeping staff an absence of a human resources program, orders from general managers by-passing the line management regarding employee training, and finally a lack of a long term training initiatives means that the workers at the resort do not have the required skill and knowledge to do their job properly. Potterfield (2007) suggests that using untrained staff. That indicates a lack of professionalism. According to Potterfield (2007), the presence of all such issues start with a non cohesive management system where the top management over rules the line management and leads to an environment where each department looks out for itself and resists the short term loss of letting go the employees for training and development programs. The issue of high staff turnover is raised again to objectify the cost benefit of such training programs. Therefore the effectiveness of such training programs is at stake and it should really be pondered upon as to whether they are actually playing a significant role in retraining the workforce at the resort or it is not so influential and appealing to the workforce members who attend it.The importance of training and development cannot be undermined.
Training and development empowers employees and brings them more closer to the organization. Funds spent in the right direction and on the best employees ensures greater productivity and loyalty in the long run.
3.2.4 Employee Motivation
Meredith, (2004) believe that employee motivation is another important factor to attain the maximum possible performance form the working force. An established fact to get the most out of workers is to pay them a satisfactory wage, enough to keep them focused and energized to perform better. In Crystal Pool Resort the employee motivation appears to be low with high staff turnover.
The series of frequent presentations and pep talks by the general manager to the employees shows that the management looks towards employee motivation but such sessions are conducted over various topics unparallel to line management hence losing their core benefit.
3.2.5 Employee Assessment
Potterfield (2007) believes that employee evaluation is a very important tool to identify the work force, the new talents and the loose cannons. A systematic evaluation system provides for a complete picture of worker output. Such a database can not only point out the inefficient workers but also provide a platform to improve the overall organization by improving individual contributors; they can identify the high performers destined for higher posts and finally establish a system where the wages set are according to the performance delivered Potterfield (2007) Disappointingly such a system is nonexistent at the resort. The executive house keeper is not even familiar with an evaluation program.
The management has let down its responsibility. They have been unable to establish a proper system to maintain a check on the employees, to allow 9 them to know their own performance levels. Meredith, (2004) states that an evaluation system is also an important motivating factor for the hard working employees as well as the poor performers to improve their efficiency level and work harder to save their job.
3.2.6 Provisions for employee welfare
Robbins, (2004) suggests that the working environment for the work force is a necessity for the work of a successful business. The employees should be provided with a productive working environment where they are allowed to work, fulfilling their potential at their maximum output.
This function is also related to the employee welfare at the work place. The sub standard operational system at the resort has resulted in high absenteeism and frequent work place injuries. Ichniowski and Olson(2000) propose that this is a serious issue because if a worker does not feel safe in his work place they will put more emphasis on the security and safeguard rather than focus on their given task. Staff welfare initiatives are also absent at the work place – another important motivational factor.
3.2.7 Role of Administration
The role of administration is very important for a business entity.
It is the guiding force which takes the entire business forward. The current issue with the top administration of Crystal Palace is the irregular involvement. The administrations should take the entire team involving the line management and the workers together. Armstrong (2006) suggests that this will be done by delegating responsibility to the line management accountable to achieve their specific goals and objectives, while curtailing the responsibility of the general managers to supervision.
4.1 Strategic HRM Plan
The Crystal Palace resort was acquired by WPHC with a goal to align its world renowned service level with services provided at Crystal Palace while increasing the average occupancy level at the resort by 20%.
The basic infrastructure is set at Crystal pool resort but what lacks is an efficient work force. If the before mentioned issues are dealt with,HR function of the resort will be able to contribute to the WPHC objectives and profit gain detailed.the business plan arrangement will need to conciously pursue this.
4.1.1 Recruitment and Selection
The recruitment procedure at the resort needs to be refined. The addition of labor force into the system reflects as a necessity for the company where new employees are just selected without appropriate formal skills, which means that the resort is taking upon the responsibility of training as its own rather than getting already trained employees and saving up on expensive development courses.
Ichniowski, and Olson, (2000) suggests that the resort requires new faces, people with new ideals, and a change. The homogeneity of the work force can be very use full in employee relations but workers from other towns can be brought in to bring in new characteristics and features into the work force. Ichniowski, and Olson (2000) also suggest that through traditional management the greater the diversity in the workforce, the better it will perform over a period of time. This can be attributed to the fact that similar people with similar capacities and mind frames have more or less the same performance and ability to do work.Ichniowski, C and Olson, C. (2000) believe that thus, when presented with newer challenges, they are bound to all either be interested in it or disinterested in it. As stated by Robbins (2004), maintaining diversity ensures maximum problem solving skills.
4.1.2 Employee Motivation Employee
Motivation depends on two major issues. The compensations in wage for his efforts as well as the benefits they receive by staying with the company.
4.2.1 Compensation / Wage
This is the biggest issue facing the resort, how to keep the trained workers.
So the importance of appropriate job compensation is important to not only keep the effective working force but also protect the business investment on the employees. Mathis and Jackson (2006) believe that labor relations such as binding legal contracts can also be used to prevent the loss of higher skilled labor.
22.214.171.124 Employee Welfare
A satisfied employee is the goal of an HR department. Employee welfare is a huge part of employee motivation.
To get the best out of the employee, a sentimental association has to be developed where the employee starts to feel part of the business. The employee welfare is overlooked at the Crystal Palace Resort. Robbins (2004) believes that it can be accepted that arranging events to develop a stronger bonds amongst employees and the company results in being expensive but the benefit of an emotional attachment a worker feel towards his company is guaranteed hard work and dedication.
4.3 Employee Relations
Nkomo, Fottler and McAfee (2004) believe that employee relations are an important factor regarding the company’s relationship with its employees and the relationship amongst employees. In the case of Crystal Palace Resort there is high staff turnover and absentees. Dessler, Griffiths, and Lloyd-Walker (2004) propose that an atmosphere of goodwill has to be established where all departments are aligned on the same side assisting each other for the betterment of the service provided to the customers.
4.2.4 Training and Development
The importance of training and development is accepted unanimously. A skilled work force will always provide the better goods. A major absence in the HR functions at the resort is the reflected in a lack of trained and qualified workers. Human Resource Management, (n.d.
), Stated that once the factor of staff turnover is controlled the true benefits of training and employee development will start to show. A trained employee will be empowered with the correct skills and knowledge to perform his duties and tasks correctly. Dessler, Griffiths and Lloyd-Walker (2004) believe that long term training courses need to be set up for the employees of the resort so that they can provide the level of service linked with the WPHC.
4.2.5 Performance appraisals and Record keeping
The performance appraisal system is very important in keeping the HRM system aligned. Cotton (1993) believes that employers need the information regarding their work force, such as which worker is productive and which worker needs some assistance to improve.
The performance appraisal system is absent at the resort. A proper computerized or even a manual system needs to be established through which the performances of the employees is graded annually. Such evaluations are needed to be stored and kept in a database or a record to evaluate the performances. Ichniowski and Olson (2006) believes that such evaluations can allow viewing the benefits of the training and development programs as well as individual improvements of the workers.
4.2.6 Occupational Health and Safety
A major improvement required at the Crystal Palace resort is the health and safety record.
The current data shows that their standards are below the average level of employee safety in resorts. Murrell Formisano and Meredith (2005) believes that when a worker gets injured on the job this not only results in temporary loss of paid labour but also the uncertainty which springs up amongst all employees, regarding the working conditions, the hazards they face and the question of whether this job is worth to risk such drawbacks. Armstrong (2006) advocates that health and safety standard of the resort needs to be improved to provide workers with a more secure environment to work in.
The acquisition of Crystal Pool Resort by the Western Pacific Hotel Chain is a profitable addition to the business chain. However The Crystal Pool Resort is lacking in some obvious HRM function’s although there can be sorted out through proper management. The improvement in the efficiency of the working force of the resort will improve their service standards not only bringing it up to the standards of the Western Pacific Hotel but also ensuring it are of international hospitality standards.
The analysis of the case has been done keeping into mind the different theoretical aspects of organizations and how they apply to the workplace. The recommendations form an integral part of the case and present the different ways in which the situation can be handled with great control there include improving Crystal Pool Resort will be able to overcome the deficiencies mentioned by following the recommendations outlined previous sections and will emerge as a high performing unit of Western Pacific Hotel.
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