Organizational

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Read the case and answer the questions below:

 

a) Using the dimensions of Organizational Culture, explain the present culture at Ritz- Carlton.                                                

 

b) (i) How do employees learn the culture?                                                                                                 
     (ii) How the employees at Ritz-Carlton learn the culture? Specify.

Making You Say Wow
When you hear the name The Ritz-Carlton Hotels, what words come to mind? Luxurious?
Elegant? Formal, or maybe even stodgy? Way beyond my budget constraints? Three words that
the company hopes to mind are exemplary customer service. Ritz-Carlton is committed to
treating its guest like royalty. It has one of the most distinctive corporate cultures in the lodging
industry, and employces are referred to as "our ladics and gentlemen." Its motto is printed on a
card that employees carry with them: "we are Ladies and Gentlemen scrving Ladies and
Gentlemen. And these ladies and gentlemen of Ritz have been trained in very precise standards
and specifications for treating customers. These standards were established more than a century
ago by founders Cacsar Ritz and August Escoffier. Ritz employees are continually schooled in
company lore and company valucs. Every day at 15-minute “lincup" sessions at cach hotel
property, managers reinforce company values and review service techniques. And these values
are the basis for all employce training and rewards. Nothing is left to chance when it comes to
providing exemplary customer service. Potential hires are tested both for cultural fit and for traits
associated with an innate passion to serve. A company executive says, "The smile has to come
naturally, "although staff members are expected to be warm and caring, their bchavior toward
guests had been extremely detailed and scripted. That's why a new customer scrvice philosophy
Transcribed Image Text:Making You Say Wow When you hear the name The Ritz-Carlton Hotels, what words come to mind? Luxurious? Elegant? Formal, or maybe even stodgy? Way beyond my budget constraints? Three words that the company hopes to mind are exemplary customer service. Ritz-Carlton is committed to treating its guest like royalty. It has one of the most distinctive corporate cultures in the lodging industry, and employces are referred to as "our ladics and gentlemen." Its motto is printed on a card that employees carry with them: "we are Ladies and Gentlemen scrving Ladies and Gentlemen. And these ladies and gentlemen of Ritz have been trained in very precise standards and specifications for treating customers. These standards were established more than a century ago by founders Cacsar Ritz and August Escoffier. Ritz employees are continually schooled in company lore and company valucs. Every day at 15-minute “lincup" sessions at cach hotel property, managers reinforce company values and review service techniques. And these values are the basis for all employce training and rewards. Nothing is left to chance when it comes to providing exemplary customer service. Potential hires are tested both for cultural fit and for traits associated with an innate passion to serve. A company executive says, "The smile has to come naturally, "although staff members are expected to be warm and caring, their bchavior toward guests had been extremely detailed and scripted. That's why a new customer scrvice philosophy
naturally, “although staff members are expected to be warm and caring, their behavior toward
gucsts had been extremely detailed and scripted. That's why a new customer service philosophy
implemented in mid-2006 was such a radical departure from what the Ritz had been doing.
The company's new approach is almost the opposite from what the company had been doing:
Don't tell employces how to make guest happy. Now they're expected to figure it out. Says
Diana Orcck, vice president, "We moved away from that heavily prescriptive, scripted approach
and toward managing to outcomes." The outcome didn't change, though. The goal is still a
happy guest who's wowed by the service received. However, under the new approach, staff
member interactions with guest are more natural, relaxed and authentic rather than sounding like
they're recited lines from a manual.
Transcribed Image Text:naturally, “although staff members are expected to be warm and caring, their behavior toward gucsts had been extremely detailed and scripted. That's why a new customer service philosophy implemented in mid-2006 was such a radical departure from what the Ritz had been doing. The company's new approach is almost the opposite from what the company had been doing: Don't tell employces how to make guest happy. Now they're expected to figure it out. Says Diana Orcck, vice president, "We moved away from that heavily prescriptive, scripted approach and toward managing to outcomes." The outcome didn't change, though. The goal is still a happy guest who's wowed by the service received. However, under the new approach, staff member interactions with guest are more natural, relaxed and authentic rather than sounding like they're recited lines from a manual.
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