Ritz: Organizational Management and Management Analysis

1 January 2018

How has the Ritz emphasized quality?

Ritz-Carlton emphasized quality by ensuring customer satisfaction through premium customer service including distinctive facilities and unusual environment, highly personalized services, and exceptional food and beverage. To achieve these, it carefully selects and trains its employees and reinforces its employee improvement program through recognition of superior individual performance.

How has the Ritz benefited from its quality initiatives?

With its quality initiatives, The Ritz not only won 121 quality-related awards and earned the industry best-ranking by all three major hotel-rating organizations, but most importantly, it gained competitive advantage in the industry. Particularly, high customer satisfaction which resulted to strong patronage of its hotels (as evidenced by its 240,000 repeat customers) is the most important benefit that the hotel gained from its quality initiatives.

Discuss the Ritz in light of Deming’s fourteen points.

Among Deming’s 14 points on Total Quality Management, I would like to cite 3 points that The Ritz exemplified. First is the institution of vigorous program of education and self-improvement for each and everyone in the company. Employees are trained, empowered and made them committed to its “Gold Standards.” In fact, its employees receive 126 hours of annual training on quality issues — an initiative, perhaps unparalleled in the industry. This commitment to empower employees also relates to another point of Total Quality Management: constant and forever improvement of every process of planning, production and service. This is also reinforced by the weekly meetings of the senior management quality team which reviews performance and sets standards. Lastly, by putting everybody in the company to work in accomplishing the transformation, The Ritz introduced participatory executive leadership, thorough gathering and coordinated planning and execution. Every employee is given total authority to do what it takes to satisfy customer needs without waiting for management directions.

What else could the Ritz do to improve quality?

To improve quality, perhaps The Ritz could institute is the removal of barriers that rob people in management and in engineering of their right to pride of workmanship.

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