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A Case Studyon Assessing The Ritz-Carlton Hotel Company, L.L.C.

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A CASE STUDY ON ASSESSING THE RITZ-CARLTON HOTEL COMPANY, L.L.C. USING THE CRITERIA OF MALCOLM BALDRIGE NATIONAL QUALITY AWARD PROGRAM Q.1 The Ritz-Carlton Hotel (RC) is in the Strategic Quality Management era. Our findings are based on the 6 following; View of Quality, Emphasis, Methods, Roles of Quality Professionals, Responsibility for Quality, and Orientation and Approach. The President, Mr. Horst Schulze, and senior leaders of RC are of the view that quality is a pro-active way to keep pace with customer needs. Their emphasis is that quality a promising way to bring the hotel towards business excellence and thereby to attain higher performance standards. As the importance of it, the President personally and his team realized that managing for quality could not be delegated. Therefore they take charge of itquality management. Quality is everybody's business. To instill the quality thinking into the hotel, senior leaders have adopted various methods at RC. Some of these eExamples include setting up the Credo to define the traits of all company products/services, translating the Credo into Basic Standards to clarify the quality responsibilities for Ladies and Gentlemen, adopting the MBNQA Criteria to assess and collect feedback, involving various levels of staff in planning the work, and so forth. The roles of quality professionals are acted as quality advisors. To avoid conflict of interest and maintain impartiality, quality professionals are outside the operations. ...read more.


* Plans are rewritten, rebudgeted and reapproved if process owners and consultants indicate the need. Ladies and Gentlemen daily identify and implement improvements. * The VP, Quality is responsible to keep performance measurements current with business needs. ? It seems that RC has not built up a centralized computer platform for analysis and storage of data. 4.2) Information Management * Senior leaders have the right of access high-level organizational performance data. Whereas Ladies and Gentlemen have the access of operational performance data. * Trainings are provided to Ladies and Gentlemen to insure data and information reliability.. A the corporate level RC assigns individual process owners to assure data can withstand examination. * Independent specialists are employed to provide reviews of information analysis and processes. 5. Human Resource Focus 5.1) Work Systems * Using 3 basic components, (1) know what they are supposed to do (2) know how well they are doing (3) authorize to make changes, to promote cooperation, initiative/innovation and flexibility. * Ladies and Gentlemen receive coaching from managers and peers on individual tasks. * Feedback to employees is given via their daily SQI report and semi-annual performance appraisals. ? Mechanism has not been put in place to achieve effective communication and to share knowledge/skill. 5.2) Employee Education, Training and Development * Employees and their supervisors provide inputs via a review and appraisal to determine their education needs. ...read more.


The areas of growth include the pre-tax return on investment and administrative costs, the total revenue per hours worked, and the gross profit. 4) Cost Efficiency: In order to stay competitive in the market, every company should plan and control its cost efficiently. Cost efficiency is not merely means to cutting cost; it means that every dollar to be spent should be planned carefully and worthily. With the help by MBNQA, RC demonstrates his ability to improve its cost efficiency by reducing the repair/maintenance cost and the administrative costs. 5) Strengthened Productivity of Work Force: A company's success depends on the knowledge, skills, creativity, and motivation of its employees. RC has dramatically improved the Employee Satisfaction by applying MBNQA. And by adopting a more effective hiring process and lowering the turnover rate, RC reduces its administration cost, training cost and increases the productivity and morale of staff. Besides that, employee empowerment and involvement of staff in decision making are proved to be an effective means of no only encouraging staff participation and loyalty, but also leading to the increase of employee satisfaction and to unify the entire organization on a common set of goals. 6) Acceleration of Continuous Improvement: MBNQA accelerate continuous improvement. It creates an accountability that moved the organization faster and further than it could have done on their own. The feedback report from MBNAQ is an important self-assessment that helps the organization to improve continuously. A Case Study on Assessing the RCHC Using MBNQP Award A Case Study on Assessing the RCHC Using MBNQP Award ...read more.

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