AOAM 211 / WEEK 7-11 / MIDTERMS

functions that relate to all resources, including staff

WEEK TOPIC members.
7-8 HUMAN RESOURCES MANAGEMENT FOR
HOSPITALITY AND HOSPITALITY INDUSTRY: Human Resources Management Functions
SKILLS, COMPETITION AND TURNOVER Planning Performance improvement
9-10 HUMAN RESOURCE MANAGEMENT AND Analysis Compensation
ORGANIZATIONAL STRATEGY, JOB DESIGN IN administration
HUMAN RESOURCES FOR HOSPITALITY, Recruitment Benefits planning and
EMPLOYEE WORKPLACE SAFETY administration
11 CUSTOMER SERVICE AND GUEST Selection Discipline
SATISFACTION IN THE LODGING INDUSTRY Hiring Counseling
Placement Termination
HUMAN RESOURCES MANAGEMENT FOR Orientation Labor relations
HOSPITALITY AND HOSPITALITY INDUSTRY: SKILLS, Training Managing diversity
COMPETITION AND TURNOVER Development Retention
Coaching Information systems
Human Resource Management for Hospitality Team building Employment law
Performance evaluation Improving work
 Human resources management is the part of a environments
business that deals with attracting people to an
organization and then managing them once they get Hospitality Industry Skills
there. Customer Service Skills
 Human resources management is the implementation  Due to the wide availability of jobs and the positive
of the strategies, plans and programs required to economic impact it has on local communities,
attract, motivate, develop, reward and retain the best hospitality is an important industry. It’s also hugely
people to meet the organizational goals and varied; whether you choose to work in hotels,
operational objectives of the hospitality enterprise. catering, beverages, cruises, events or nightlife, there
 The activities or functions required by human are hundreds of roles on offer, with many choosing
resources management are what make up the job to stay in the sector long term and work their way up
duties of the manager with human resources the ladder.
responsibilities. These functions serve to assist the  In order to be successful, though, there are a core set
hospitality organization in improving its bottom-line of skills that you will need to possess. After all,
results as well as adapting to the changing workplace. hospitality is all about providing outstanding service
 Human resources managements is a term for what and leaving customers with a smile on their face,
historically was referred to as personnel which is a role that isn’t necessarily suited to
administration or personnel management. ◦ In today’s everybody.
arena, human resources managers are sometimes  Therefore, to help you determine whether you have
called “people managers,” and employees are what it takes to make your way in this field, we’ve
referred to as “our people” or “our associates.” compiled a list of the key attributes required.
 The manager with human resources responsibilities in
today’s hospitality organization participates in
strategic planning sessions and understands financial
documents.
 As a manager with human resources responsibilities,
human resources management will need to be part of
your skills and knowledge base. The human
resources manager is an adjunct to all departments.
 The role of the manager with human resources
responsibilities in the hospitality industry no longer a
simple one of filling out paperwork and making sure
that the food and beverage director has a dishwasher
for the evening shift. The world of today’s hospitality
manager is filled with complexities, largely due to Cultural Awareness
changing demographics and increasing legal  In hospitality, a large percentage of the customers will
constraints. be from abroad; this means working with people from
 The hospitality industry is recognizing the need to a variety of cultural backgrounds.
emphasize people and human resources functions as  As a result, the ability to be culturally aware and adapt
vital to the success of their organizations. to attitudes and norms that are different from your
 The staff members of every hospitality and tourism own is crucial to building a successful career.
organization are its most important resource. How  Your customers will not always share the same
their work is managed directly impacts the success or values, belief systems, and perceptions, so it’s
failure of the organization. important to take this into account when trying to help
 The basic management process is the same in almost guests feel more comfortable.
any type of organization, and it consists of six basic  As with all customers, the goal is to make them so
happy that they will want to come back, so ensure that
AOAM 211 / WEEK 7-11 / MIDTERMS
you have taken all measures required, whatever they customer, especially at the end of a long and tiring
may be shift

Teamwork Skills
Communication Skills  In hospitality, regardless of your role, you will always
 Strong communication skills are highly valued in every only ever be one cog in a much larger machine.
industry, but especially so in hospitality and tourism.  Whether it is within a particular hotel department, in a
 Each day you will be dealing with people from a busy kitchen or as part of the bar staff, you need to be
variety of backgrounds, ages, nationalities, and able to work well with others, especially during busy
temperaments, so it is important that you can periods.
communicate in a way that is both clear and  Given the high turnover rate within the industry, this
understandable, as well as representative of your can be challenging, after all, you will have to adapt to
employer’s brand. new faces constantly and build relationships from
 As already mentioned, you want your customers to scratch all over again.
come back, so the ability to build and cultivate  But if you are not working seamlessly in union, the
relationships can make a big difference. whole operation can start to go south, which is bad for
 It is also important to be able to communicate clearly customers, for your employer and ultimately for you.
with your fellow staff members, especially in busy, Problem-Solving Skills
high pressure environments like kitchens or  This is a skill that is highly valued in any industry, in
nightclubs, where effective teamwork is crucial. hospitality though, the ability to think on your feet and
Multitasking Skills solve problems quickly can save yourself a lot of
 One of the reasons why hospitality can be so difficult potential hassle.
to work in is because it is almost always hectic.  For instance, if a guest complains about their room,
 In most cases, there is no such thing as a quiet day in you could offer them complimentary drinks in the bar
the office and, therefore the ability to multitask and while you wait for another guest to check out.
handle several tasks at once will serve you well.  This keeps the customer happy, leaves a good
 This means learning how to prioritize and manage impression of the hotel and saves you the trouble of a
your time effectively, while you will also need to be potential conflict.
able to handle pressure and remain clam when things  Alternatively, if a customer has very specific dietary
get chaotic. requirements, you could consult with the chef on their
Work Ethic behalf to offer a tailored alternative solution.
 If you are going to work in hospitality, regardless of Attention to Detail
your role, you are going to have to work hard.  Attention to detail skills can come in handy when
 It is likely that you will be on your feet for most of the working in hospitality. Whether it is spotting billing or
time, working long shifts for little reward—all while administrative errors at reception or noticing that a
maintaining a cheerful and friendly facade in front of particular ingredient is past its best in the kitchen, it is
customers. the little things that can make a big difference.
 Therefore, if you have a tendency to avoid work, or  It can also help you to develop relationships with
you are not willing to roll up your sleeves and get customers and provide a more positive experience
stuck in, it is likely that you will get found out and overall. For instance, suggesting a particular wine to
dismissed rather quickly. accompany a dish, remembering how a certain
Language Skills customer prefers their drink to be made, or even
 Although not necessarily a requisite, language skills noticing that somebody is struggling to carry their
are a huge bonus in this field because they allow you luggage and offering to help are all small details that
to communicate with a wider range of clients. can leave a big impression on customers.
 They are particularly useful if you want to work in the
tourism sector, where your knowledge of languages is Human Resources Planning
useful on an in-person, day-to-day basis.  HR planning is responsible for determining the human
 Language skills can also benefit your career in the resource contributions as well as the processes and
long term, too. activities required to achieve the goals and objectives
 If you speak French, for example, then there could be of the business plan.
operations and/or management opportunities  It evaluates current human resources policies and
available to you on a more senior level, such as in a practices in light of the business goals and
customer liaison or relationship management role. determining which new human resources initiatives
Professionalism are necessary.
 Most employers in the hospitality industry rely on their  It is a dynamic management process of ensuring that
customer-facing staff to uphold the reputation of their at all times a company or its units has in its employ
brand; therefore, it is important that at all times you the right number of people with the right skills,
remain highly professional. assigned to the right jobs where they can contribute
 Usually this means ensuring that you look tidy and most effectively to the productivity and profitability of
well groomed, are on time for your shifts and are not the company.
caught doing anything you should not be doing, such
as smoking outside the main entrance or not washing
your hands before handling food.
 It also means keeping your cool and not reacting
negatively when dealing with an angry or irate
AOAM 211 / WEEK 7-11 / MIDTERMS
Determining HR Requirements
 Human resources forecasts stem from the operational
plans of finance, sales, marketing and production
 Predicting the number of employees that operation
will need to recruit, hire, train, develop, transfer and
Human Resources Process promote is based upon operational objectives
 Effective human resources planning refers to  Demand for employees is based upon a combination
identifying and selecting the right person for the right of variables that are common to all operations
job at the right time:
 right person: appropriate qualifications in terms of HR Needs versus Supply
skills and experience
 right job: implies that a careful analysis
 has been done to determine what the work requires in
both physical and mental energies
 right time: knowledge of projected needs

HUMAN RESOURCE MANAGEMENT AND

ORGANIZATIONAL STRATEGY, JOB DESIGN IN
HUMAN RESOURCES FOR HOSPITALITY, EMPLOYEE
WORKPLACE SAFETY
HR PROCESS
Human Resource Management and Organizational Strategy
Planning for Goal Achievement
 Human Resources Management (HRM) constitutes
multiple functions like recruitment of right employees,
conducting periodic training and refresher programs,
drawing up schemes to monitor individual
performance, introducing staff welfare measures, and
maintaining relevant records.
 Apart from these routine tasks, the real challenge
before Human Resource Management professionals
is to evolve appropriate strategies and set meaningful
1. Begins with organizational goals and objectives plus goals aimed at future growth of the organization.
data gathered through trend forecasts  As a whole, Human Resource Management calls for
2. This determines the human resources requirement for an exclusive Project Management system, which lays
the operation out guidelines and policies for managing the
3. Next, identify the status of the current work force while workforce effectively
taking into consideration the employee’s career goals
4. Compare that with an inventory of the current human
resources skills and numbers (analysis of the human
resources supply)
5. A gap between the operation’s needs and supply,
either as a shortage or surplus, indicates that
corrective action needs to be initiated by management
 Note: The entire process is governed by
budgetary Constraints

HR Supply Analysis
Inventory of Internal Labor Supplies
 Analyze the abilities, skills, talents and growth
potential of the people in the operation and Linking HR Planning to Strategy
organization  However, today's HR professionals are developing
Skills inventory schemes to actively involve all employees in strategic
 a data system that describes the employees working planning with the aim of making every employee
for the hospitality organization by name, skills, and productively contribute to the growth of the company.
important characteristics  Individual employees no longer work in isolation but
 a management tool used for assessing the supply and as a part of a team to accomplish the company’s
available skills of employees objectives.
AOAM 211 / WEEK 7-11 / MIDTERMS
Job Content
 HR managers are fully alive to the fact that any  A job description is a useful, plain-language tool that
outside impression of an organization can be badly explains the tasks, duties, function and responsibilities
impaired by disgruntled employees, which will of a position.
adversely impact company sales.  It details who performs a specific type of work, how
that work is to be completed, and the frequency and
the purpose of the work as it relates to the
organization's mission and goals.
 Job descriptions are used for a variety of reasons,
such as determining salary levels, conducting
performance reviews, clarifying missions, establishing
titles and pay grades, and creating reasonable
accommodation controls, and as a tool for recruiting.
 Job descriptions are useful in career planning, offering
training exercises and establishing legal requirements
for compliance purposes.
 A job description gives an employee a clear and
Job Design for Human Resources in Hospitality concise resource to be used as a guide for job
Job analysis performance. Likewise, a supervisor can use a job
 Is the process of determining that what knowledge description as a measuring tool to ensure that the
each employee needs, what task the employee needs employee is meeting job expectations.
to perform & the standard to which the employee must
perform the task. The three components of job Job Qualifications
analysis are as follows:  Job requirements are the skills, experience, and
Job knowledge attributes the employer wants to find in the candidate
 Is the complete know how require to perform a who is hired for the position.
particular task while meeting the require standard.  Job qualifications are the credentials that qualify an
Job list applicant for the role.
 Enumerates in simple term the various tasks to be  Job requirements may include specific skills, types
accomplished and amounts of work experience, personal qualities,
Job breakdown educational credentials, professional certifications, or
 Identifies what an employee needs to know to areas of knowledge.
perform, the task to the expected standard.  Job postings may also state that some other skills,
experience, or credentials are preferred but not
required.

Job Design
 Job design involves organizing the tasks and What Employers are looking for?
responsibilities for each position. For this, the Employers Like People Who Are
following questions will be asked: Able to follow instructions Organized
 What specific tasks need to be accomplished accurately
for the position?
 How is each task performed? Tidy in their appearance Able to handle problems
 How long does each job take to complete? Enthusiastic Able to work as part of a
 What is the order in which the tasks need to Team
be completed?
Willing to learn Able to work with
customers

Proud of their work Use their initiative

Trustworthy Punctual
Reliable Flexible
Friendly Positive
AOAM 211 / WEEK 7-11 / MIDTERMS
 This helps ensure that the training which is developed
Hard Skills versus Soft Skills will include relevant links to the content of the job.
During the job application and interview process, employers Performance Analysis
look for applicants with two skill sets: hard skills and soft skills.  Are the employees performing up to the established
 Hard skills are teachable abilities or skill sets that are standard?
easy to quantify.  If performance is below expectations, can training
 Soft skills, on the other hand, are subjective skills help to improve this performance?
that are much harder to quantify. Also known as  Is there a Performance Gap?
“people skills” or Content Analysis
 Interpersonal skills,” soft skills relate to the way you  Analysis of documents, laws, procedures used on the
relate to and interact with other people. job.
 This analysis answers questions about what
knowledge or information is used on this job.
 This information comes from manuals, documents, or
regulations.
 It is important that the content of the training does not
conflict or contradict job requirements.
 An experienced worker can assist (as a subject matter
expert) in determining the appropriate content.
Training Suitability Analysis
 Analysis of whether training is the desired solution.
Training Needs  Training is one of several solutions to employment
 Training (a performance improvement tool) is needed problems.
when employees are not performing up to a certain  However, it may not always be the best solution. It is
standard or at an expected level of performance. important to determine if training will be effective in its
 The difference between actual the actual level of job usage.
performance and the expected level of job Cost-Benefit Analysis
performance indicates a need for training.  Analysis of the return on investment (ROI) of training.
 The identification of training needs is the first step in a  Effective training results in a return of value to the
uniform method of instructional design. organization that is greater than the initial investment
 A successful training needs analysis will identify those to produce or administer the training
who need training and what kind of training is needed.
It is counter-productive to offer training to individuals Knowledge, Skills and Abilities
who do not need it or to offer the wrong kind of  Today's workplace often requires employees to be
training. independent thinkers responsible for making good
decisions based on limited information. This kind of
Types of Needs Analyses work may require training if the employee does not
Organizational Analysis have these skills.
 An analysis of the business needs or other reasons  Below is a list of various competencies that
the training is desired. An analysis of the employees may be required to possess in order to
organization's strategies, goals, and objectives. perform their jobs well
 What is the organization overall trying to accomplish?
 The important questions being answered by this
analysis are who decided that training should be
conducted, why a training program is seen as the
recommended solution to a business problem, what
the history of the organization has been with regard to
employee training and other management
interventions.
Person Analysis
 Analysis dealing with potential participants and
instructors involved in the process.
 The important questions being answered by this
analysis are who will receive the training and their
level of existing knowledge on the subject, what their
learning style is, and who will conduct the training. Employee Workplace Safety
 Do the employees have required skills? Are there Workplace Safety Risk
changes to policies, procedures, software, or  In the hospitality industry, there’s the usual suspects
equipment that require or necessitate training in terms of workplace hazards and risks that are
Work analysis / Task Analysis generic to our business.
 Analysis of the tasks being performed.  These hazards are found in most hospitality venues
 This is an analysis of the job and the requirements for including hotels.
performing the work. Also known as a task analysis or  They basically need to be addressed to ensure we
job analysis, this analysis seeks to specify the main reduce the risk of injury to employees in particular,
duties and skill level required. and patrons and guests with public liability issues in
mind.
AOAM 211 / WEEK 7-11 / MIDTERMS
Beer line cleaner is of course a nasty alkaline that will
 A hotel operating in today's regulatory climate just has cause blindness if it gets into the eyes. Some tips
to accept that identifying and controlling health and when using or handling chemicals:
safety risks is a normal cost of doing business…  Use the least hazardous chemicals for the
Manual handling job.
 Fifty percent of all injuries in the hotel sector are  Use personal protective equipment when
incurred while carrying out some sort of manual handling or using hazardous chemicals e.g.
handling related task. They’re generally gloves, face mask, long sleeve clothing and
musculoskeletal type injuries – trauma or pain to your respirator (if required).
back, knees, elbows, muscle tears, contusions etc.  Ensure that safety data sheets are available
 The nature of repetitive work in our industry, like where hazardous chemicals are stored and
moving kegs or carrying cartons, making beds or used, as these provide safety advice and
carrying luggage, can lead to muscle strain directly or details of the chemical.
over a period of time.  Store chemicals safely and securely when
 Ensure that your people undergo a solid induction not in use.
when they join your workplace which includes both  Do not store chemicals in food and/or drink
theory, practical and on-the-job training in how to containers and make sure they are correctly
safely carry out their appointed tasks. labelled.
 Think about the work area and organize it in a way Burns, scalds and cuts
that reduces the need for or instances of lifting,  These are the obvious results of hazards that are
moving and carrying stock. found in hotel kitchens.
 Use mechanical aids like keg lifters, hand trolleys,  Kitchen staff can become blasé when it comes to
pallet jacks, carts and concierge trolleys. safety practices e.g. in many cases it’s not the go to
 It is a reasonable option to lift heavier items by using wear stainless steel mesh hand gloves or gauntlets to
a workmate to help you (a team lift). prevent cuts.
 One of the keys to preventing back or muscle strain is Electrical
to ensure a load is lifted correctly by using your legs  The best protection against electrical hazards is to
to hinge, not your back, and keeping the item close to install residual current devices (safety switches) on all
the body. your electrical circuits.
Slips, trips and falls  Many older hotels don’t have this level of protection
 It’s rare to go back-of-house in either a trading or but it’s becoming an essential in a modern day
accommodation hotel and not find water or context as our reliance on electrical or electronic
condensation on the floor in some form or other. equipment increases.
 This is an occupational hazard, to use the  Do not use electrical double adapters in any
terminology. However, steps can be taken to reduce circumstances, protect extension leads from damage
the risk of water pooling or condensation or lying in wet areas, and test and tag your portable
notwithstanding our sub-tropical climate playing a electrical equipment if all your circuits do not have
part. safety switches.
 Old pipes or lines have a tendency to leak especially
under or around the bar counter where taps, basins Ensuring Workplace Safety
and other activity occurs. Some hoteliers just put up  The hospitality industry is a fast paced environment
with this and let it ride or use rubber matting on the and as such can be rife with workplace health and
floor as a means to prevent slipping. Rubber matting safety hazards.
is a useful short term fix to counter spillage or pooling,  With the high number of casual staff members
but the real answer is to find and repair the source of employed throughout the industry, the additional
the problem. burden of ensuring each staff member is adequately
Other practical measures to prevent slips, trips and falls: trained and follows the correct WH&S procedure is
 Poor housekeeping practices where pedestrian part of running a business in this game.
thoroughfares are clogged with flotsam and jetsamare  Most staff duties in this industry require some sort of
common back of house – find somewhere else to manual labor like lifting, pushing, cleaning, cooking
store it. etc.
 Ensure all staff wear enclosed, non-slip footwear for  The hazards may include slips, trips and falls,
the task. exposure to hazardous substances, and cutting
 If practical for your venue, slip resistant high grade oneself.
vinyl laid behind the bar is a recommended solution. Initial Training during Orientation
 Clean up spills as soon as is practicable (signpost if  A strong initial staff orientation designed to familiarize
the floor is wet). the staff with the operation of your venue can help
 Install good lighting, especially on stairs or pedestrian instill proper procedures and measures, is a
areas that are uneven, so people can see ahead necessary first step in setting the standards for all
clearly employees.
Hazardous chemicals Identify Key Hazardous Areas/Situations
 Most hazardous chemicals used in a hotel context are  Prevention will always be better than cure. In the
cleaning agents. The kitchen will generally use heavy workplace such as club, pub and hotel venues, you
duty oven and grill cleaner although there has been a will have areas that are high risk.
tendency for venues to change to more
environmentally friendly products over recent years.
AOAM 211 / WEEK 7-11 / MIDTERMS
 The difference between customer service and
 Cleaning the beer lines, for example, is one of the customer satisfaction is that one is a cause, while the
more important jobs needing to be addressed. Identify other is the effect or result of that cause.
your hazard, and document safe work processes, so  Providing excellent customer service is a cause
staff understand what is required of them. whose result is customer satisfaction.
Continuous Training, Reminder and Seminars  There are several factors that make up excellent
 Whilst the industry is being looked on by different customer service that will in turn lead to customer
regulators such as the satisfaction.
 Workplace Health and Safety Queensland (WHSQ),
business owners must remain proactive in conducting How to Deliver Excellent Customer
training in occupational health & safety. The onus falls Service?
on the business owner to provide a safe workplace, Warmly Acknowledging Customers
and the employee on following safe work practices.  Whether on the phone or in person, the initial contact
that the customer has with your business is vital in
CUSTOMER SERVICE AND GUEST SATISFACTION IN shaping their opinion about you. Begin with a warm
THE LODGING INDUSTRY smile and a greeting that makes her feel like she is a
welcome guest rather an interruption of your day.
Customer Service and Satisfaction Building Rapport and Trust with the Customer
 Hotel customer service is the care provided by hotels  Your warm greeting initiated a positive connection
to guests before, during, and after their stay. with the customer. You now want to build on that to
 Because hotels rely heavily on loyal customers and ensure a mutually enjoyable experience. If you are
good word-of-mouth marketing, hotel customer serving the customer in person, you want to notice
training is an integral part of a hotel’s customer something about them that they would likely be
service strategy. interested in talking about.
 It is difficult to get right, but doing so will lead to Identifying the Needs of the Customer
guests who return, again and again.  Sometimes the customer knows exactly what they
 Customer service is a series of activities designed to need and sometimes he doesn't.
enhance the level of customer satisfaction – that is, Regardless, it is a part of providing great customer
the feeling that a product or service has met the service to identify his needs so that
customer expectation. you can provide them the best possible service. You
 The underlying truth behind this statement is might start by asking "What
recognizing that customers are the life blood for any brings you in today?", or "What is your reason for
business. calling today?" or "How can I be of
 Understanding the importance of good customer service today? “
service is, therefore, essential for a healthy business Provide Relevant Solutions
in creating new customers, keeping loyal customers,  With the needs of the customer identified, you are
and developing referrals for future customers. now in a position to offer the best solutions for them.
 Excellent customer service is vitally important in all Providing excellent customer service means offering
businesses. the best most relevant solutions that meet or exceed
 For the customer to return, a need to deliver what was the needs of the customer.
promised is paramount, and perfect if you can exceed Expressing Genuine Gratitude
expectation where possible.  You want to complete your interaction on a positive
 Every business needs to keep customers and clients note. Regardless of whether they purchased anything
happy, but in the hospitality industry it’s so vitally or not. Whether they bought the item you wanted
important to keep guests engaged in order for the them to buy, or as much as you wanted them to buy,
business to grow and prosper. express your gratitude. Express your gratitude for the
 The issue is strongly related to how service quality is opportunity to serve the customer.
managed and which holds a significant importance to
customers’ satisfaction and their perceived Customer Satisfaction
performance of hotels. In order for them to grow and  Customer satisfaction is the result of the customer
survive, they must find new ways of handling their having a great customer service experience.
clients.  The customer feels like the person serving him
 Great service make customers feel that you care actually cared about him and his needs. He felt like he
about developing a long-term relationship that means was being listened to and acknowledged
more than just making a sale. appropriately.
 For hoteliers, learning how to constantly innovate to  He was provided with the service and relevant options
meet high expectations and provide good service is that resolved the needs that brought him to your
one thing they must not forget. business in the first place.
 Celebrating positive initiatives taken by any staff in  Ultimately he felt like you were genuinely grateful for
this regard, communicating and sharing information the opportunity to serve him.
on a consistent basis, empowering personnel, Satisfied customers are more likely to be loyal
fostering wellness and paying attention to intuition are customers, returning more often, and spending more
just a few of the small but critical items necessary for during each visit.
hotel staff to produce the kind of guest and customer
service ethic that will impress customers.
AOAM 211 / WEEK 7-11 / MIDTERMS
When expressing a complaint, the guest may be quite angry.
Importance of Happy Guests  Honesty is the best policy when dealing with guest
 Customer satisfaction is a marketing term that complaints.
measures how products or services supplied by a  If a problem cannot be solved, front office staff should
company meet or surpass a customer’s expectation. admit this to the guest early on.
 Customer satisfaction is important because it provides  There is a certain amount of expertise required when
marketers and business owners with a metric that handling customer complaints in a hotel. Most of the
they can use to manage and improve their time, the complaint comes to the hotel receptionist,
businesses. who should have the skill and knowledge to handle it
 It’s a leading indicator of consumer repurchase effectively.
intentions and loyalty.  It is important to remember that the hotel exists
 It’s a point of differentiation because of the guests only and if guests no longer
 it reduces customer churn stay at the hotel due to dissatisfaction then there will
 It increases customer lifetime value be no hotel.
 It reduces negative word of mouth  A part of the front office’s responsibility is to serve the
 It’s cheaper to retain customers than acquire new customer well and this is evident in the way they
ones handle problem.

Customer Retention Ways of Handling Guest Complaints

 Customer retention refers to the activities and actions  Listen with concern and empathy.
companies and organizations take to reduce the  Isolate the guest if possible, so that other guests won't
number of customer defections. overhear.
 The goal of customer retention programs is to help  Stay calm. Don't argue with the guest.
companies retain as many customers as possible,  Be aware of the guest's self-esteem. Show a personal
often through customer loyalty and brand loyalty interest in the problem try to use the guest name
initiatives. frequently.
 It is important to remember that customer retention  Give the guest your undivided attention. Concentrate
begins with the first contact a customer has with a on the problem, no on placing blame. Do NOT Insult
company and continues throughout the entire lifetime the guest.
of the relationship.  Take notes. Writing down the key facts saves time if
 Strategies: someone else must get involved.
 Set customer expectations – set customer  Tell the guest what can be the best done. Offer
expectations early and a little lower than you choices. Don't promise the impossible, and don't
can provide to eliminate uncertainty about exceed your authority.
the level of your service and ensure you  Set an approximate time for completion of corrective
always deliver on your promises. actions. Be specific, but do not underestimate the
 Become the customers’ trusted advisor – you amount of time it will take to resolve the problem.
need to be the expert in your particular field,  Monitor the progress of the corrective action.
so that you can gain customers’ trust and  Follow up. Even if the complaint was resolved by
build customer loyalty. someone else, Contact the guest to ensure that the
 Use relationships to build trust – build problem was resolved satisfactory.
relationships with customers in a way that
fosters trust. Do this through shared values
and fostering customer relationships.
 Take a proactive approach to customer
service – implement anticipatory service so
that you can eliminate problems before they
occur.
 Use social media to build relationships – use
LinkedIn, Twitter, and Facebook to connect
and communicate with customers and give
them a space for sharing experiences with
your company, so they can become brand
ambassadors.
 Go the extra mile – going above and beyond
will build strong relationships with customers
and build long-term loyalty by paying
attention to their needs and issues.
 Make it personal – personalized service
improves customer experience and is
something customers are expecting and
demanding. Make their experience personal
to strengthen the bond with your brand.