This assessment will cover the following questions:
- What is the management theory and how it impacts the functioning of an organization?
- What are the associated problems that affect the operational activities of the organization?
- How effective management improves the productivity of the organization.
The concept of management is considered as a procedure that incorporates different sorts of activities i.e beginning from the setting up of targets of a business undertaking to the accomplishment of goals within the prescribed time limit in an effective manner. A basic part of the management is to consolidate every individual contribution and direct them towards accomplishing hierarchical objectives in order to obtain an increased level of satisfaction from employees as well as customers (Chang, Shu, and King, 2014 ). These objectives vary from association to association. For this report, Imperial Hotel has been considered which is one of the branded and reputed firms within UK hospitality industry. Moreover, it delivers its services across several geographical regions which increases its customer’s expectations in terms of acquiring an improved level of satisfaction. Apart from this, the present study is based on the issue of Poor Guest Satisfaction which has been recently identified within the working culture of Imperial Hotel. Hence, this problem impacts negatively its overall productivity and profitability ratio among competitors. Henceforth, in order to overcome the problem of poor guest satisfaction, this report highlights the content of various management theories or principles which reflect the importance of maintaining better relationships between consumers and manpower. Finally, analyzing the overall findings and recommending suitable ways to improve the management of the hotel.
Analysis of problem and application of relevant management theories
In an organization, the foremost element which lead them to enrich its brand value among rivalries in an impressive style is that high level of satisfaction from customers. This is because, without the effort of consumers, an establishment cannot be able to manage its volume of sales as well as productivity ratio (Diallo and Seck, 2018). In attaining the same, better quality of products, effective relationship with consumers, way of treating end users, fulfillment of demand and many more help them to reaching their desired purpose without any hindrances. In relation to this report, it has been determined that Imperial Hotel has been facing a problem of poor guest satisfaction which reduces its profit margin and revenue ratio. Hence, as per the market analysis of Imperial Hotel it has been acquired that it serve its business activities at international pace and offer varieties of services such as attractive ambiance bedrooms with en-suite facilities, conference hall, leisure centers, bars, restaurants. Due to the global presence of Imperial Hotel, it empower its targeted audience to expect high level of service from the organization which becomes the biggest challenge for company in placing its brand in a better position. On the basis of current issue which Imperial Hotel undergoes i.e. poor guest satisfaction that means the occurrence of dissatisfaction or negative response among customer due to failure in delivering the desired demand, not treating the consumer with respect. On the contrary, Consumer satisfaction assumes a significant feature inside business. Not exclusively, it is the main indicator to quantify client dependability, recognize despondent clients, diminish agitate and increase in revenue. Along with this, it is also regarded as a key purpose of differentiation that encourages an establishment to capture the attention of wide range of new consumers towards company in aggressive business situations (Emir and et.al., 2016). For understanding the influence of poor guest satisfaction over organization overall performance, there are various types of theories or concepts related to management which demonstrates the significance of maintaining improved level of consumer satisfaction in order to gain competitive advantage. Some of the management theories which has been suggested for Imperial Hotel to take corrective course of action in against of Poor guest satisfaction problem that is discussed below:
Cue utilization theory
In the views of Cue utilization theory, any specified products or service comprise of a few varieties of prompts that fill in as surrogate pointers of item or administration quality. There are both intrinsic and extrinsic cues to assist visitors with deciding quality, where the intrinsic signals give data on the physical properties of the item or administration, though extrinsic prompts are item related and give data, for example, brand and value (Kao, Rao Hill and Troshani, 2017). Considerably, because of the restricted substantial quality of administrations inside a friendliness domain, visitors are frequently left to acknowledge the cost of the experience and the physical appearance or condition of the hotels or cruise ship itself as quality markers. However, Imperial Hotel can make an initiative to examine the present scenario of marketplace as well as customer demand. On the basis of that, organization can implement fair price for products or service and also maintain high level of quality in commodity. Due to such action, Imperial Hotel can be able to enhance the operational efficiency and productivity ratio among competitors in a stipulated time duration.
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One of the essential structures that assist an associations to evaluate or seeing how conduct is affected by the physical condition or environment. Hence, Stimulus-organism-response theory which in a hospitality industry expresses that the physical condition goes about as a stimulus, visitors are beings that react to improvement, and the behavior coordinated towards the environment by guests is an immediate reaction to the particular stimulus. It tends to be exceptionally hard for visitors to assess the administration quality, as the experience in general can be to some degree of uncontrollable. To make the administration assessment process less complex, visitors go to the physical condition, the hotel or cruise deliver itself, to search for unique or distinctive proof that show that either 'yes' this is an incredible inn or journey or 'no' this isn't up to desires or expectations (Understanding Guest Satisfaction, 2019). Therefore, it is subsequently essential for Imperial Hotel to comprehend that the physical condition can profoundly affect visitor fulfillment. One investigation additionally found that the fulfillment levels of specified group of visitors are measured by facility of lodging and accommodation service, for example, room neatness, space to be in working request, staff kind disposition and mindfulness (Konuk, 2019). It was likewise discovered that visitors had a low resistance for any of these measurement to be a long way from their requirements. It has been discovered that not just the nature of previously mentioned administrations connect to large fulfillment or satisfaction, yet additionally the room structure and the physical property influence satisfaction levels.
Moving along to theories on satisfaction, numerous specialists or researchers have contended what the meaning of fulfillment really is, and numerous theories have been proposed. Among the most mainstream models is the 'disconfirmation theory' which demonstrates that "fulfillment is identified with the size and bearing of the disconfirmation experience that happens because of looking at administration execution against desires”. Szymanski and Henard found in their meta-investigation that the disconfirmation is the best indicator of consumer loyalty. In spite of the fact that numerous models exist, for example, the disconfirmation theory and different speculations, for example, the presentation just approach, the specialized and utilitarian polarity draws near, the administration quality versus administration fulfillment approach and the characteristic execution approach, it is concurred among all hypotheses that fulfillment is a post-utilization assessment by the visitor. Hence, Oliver delivers the updated definition on the disconfirmation theory which states "Satisfaction is the visitor's fulfillment reaction. It is a judgment that a product or service highlight, or the item or administration itself, gave (or is giving) a pleasurable degree of utilization related satisfaction, including levels of under-or over-satisfaction". In the content of the above mentioned definition it has been very clearly stated that the satisfaction response is a positive feeling experienced by visitors in regard of implementation of best decision towards uncertainly or dynamic nature of business environment competition. Oliver besides additionally opposes that positive opinions can happen not just by the unexpected impacts of over-satisfaction, yet additionally by under-satisfaction which can happen when the harm or torment an issue causes is not exactly being anticipated (Lankton, McKnight and Thatcher, 2014). Henceforth, this specified theory has been viewed as an integral determinant as it centered mainly two ideas which are; "The primal content is that the satisfaction is an consequence of direct experiences with items or service; and furthermore, it happens by looking at this experience against a standard (for example desires)". The significant weakness of the disconfirmation principle ought to however be noted, which is that the model shows that if one's desires are reduced, satisfaction should inevitably increment.
Henceforth, past research demonstrates that obtaining high level of fulfillment is a outstanding indicator of repurchase intentions. Apart from this, various other scholars found through a several empirical studies that satisfaction, and also quality are regarded as a key drivers in an organization's financial performance. These findings point towards the significance for hospitality organizations to completely understand and perceive what drives visitor gratification and focus on the areas which are performing ineffectively and considerably negatively affect visitor fulfillment (Metan and Murthy, 2018).
Evaluation of theories
When conversing or discussing the concept of satisfaction, it is necessary or essential for Imperial Hotel to understand guests or tourists assessment of service as it include two fundamental distinctive dimensions: service delivery and administration outcome. Research demonstrates that how the service was conveyed (seen practical quality) is a higher priority than the result of the administration procedure (specialized quality. This investigation basically reveals that contribution by staff contains a strong affect over visitor's fulfillment decisions. Having thoroughly discussed the aspects of satisfaction, it is also important to signify the term dissatisfaction and why it occurs. Hence, dissatisfaction towards the service often simply happens or take place when guest’s perceptions do not meet their expectations. There are several specifics to why dissatisfaction would occur within a hospitality environment, such as: 1) the company not understanding what guests wants, and can therefore not deliver; 2) false or incorrect advertising which causes guests to have unrealistic expectations; 3) staff not able or willing to deliver adequate service. On a more theoretical level, dissatisfaction can be explained by Parasuraman’s gap model which proposes that ten dimensions determine service quality: “reliability, responsiveness, competence, access, courtesy, communication, credibility, security, understanding/knowing the guests, and tangibles”. Above basically suggest that the differences between expected performance and perceived performance on each of the above dimensions will determine the overall received service quality. Dissatisfaction could therefore arise if the perceived performance falls short on any or all of the expected performance dimensions; this is based on the disconfirmation theory (Peng and Kim, 2014).
Among the preceding mentioned satisfaction theories, disconfirmation theory is considered as more appropriate for Imperial Hotel in aspect of tackling over the issue of poor guest satisfaction. However, this theory contends that contentment or satisfaction is identified with the size and bearing of the disconfirmation experience that happens because of contrasting help execution against desires. Fundamentally, fulfillment is the consequence of direct encounters with items or administrations, and it happens by looking at recognition against a standard (for example desires). Likewise, research demonstrates that how the service was conveyed is a higher priority than the result of the service procedure, and dissatisfaction towards the administration often basically happens when guest's interpretations or perceptions fails to meet up with their desires and expectations (Piercy and Ellinger, 2015). Therefore, proper allocation of resources and utilization of same in an appropriate manner enable Imperial Hotel to generate impressive level of financial stability, quality of service, increased degree of productivity, operational efficiency as well as enrich the employee’s morale in an amended mode.
Related Services: Concepts and Philosophies Of Organisational Behaviour - BBC
It has been summarized from the above explained report that for acquiring the positive response from customers and also to maintain a long term relationship with them, high level of guest satisfaction is regarded as an integral element. Apart from this, another benefit which increased customer satisfaction impose over organization is that it lead them to implement best decision for obtaining profit maximization in a stipulated time duration without any hindrances. Moreover, application of different theories or concepts assist establishments to identify its weakness or potentiality and also motive them to take corrective course of action in order to gain competitive advantage among rivalries. IN addition to this, analyzing the market trend or demand and consumer need or requirements help company to produce high quality products and service. With the help of such initiation, organization can acquire improved level of consumer satisfaction and also aid them to retain them for longer time duration which enlarge its market share or size in an amended mode.
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