HTM 110
593
C h a p t e r 14
Leadership and Management
L E A r N i N G o B J E C T i V E S
after reading and studying this chapter, you should be able to:
• Identify the characteristics and practices of leaders.
• Define leadership.
• Identify the characteristics and practices of management.
• Define management.
• Differentiate between leadership and management.
• Discuss ethics in hospitality.
M14_WALK2761_07_SE_C14.indd 593 09/24/16 8:09 AM
594 Part iv assemblies, events, attractions, Leadership, and Management
Leadership Our fascination with leadership goes back many centuries. Lately, however, it has come into prominence in the hospitality, tourism, and other indus- tries as all strive for excellence in the delivery of services and products in an increasingly competitive environment. No matter whether as a part of industry, government, school, church, a nonprofit organization, or even a neighborhood association, we all have experienced both good and poor leadership. It’s also fair to say, based upon our experiences, that it is the presence of an effective leader that ultimately ensures the success of any group endeavor. Leaders can and do make a difference when measuring a company’s success.
characteristics and Practices of Leaders So, what are the ingredients that result in leadership excellence? If you look at the military for examples of leadership excellence, you see that leaders can be identified by certain characteristics. For example, the U.S. Marine Guidebook lists the following leadership traits:
• Courage
• Decisiveness
• Dependability
• endurance
• enthusiasm
• Initiative
• Unselfishness
• Integrity
• Judgment
• Justice
• Knowledge
• Loyalty
• tact
a marine officer would likely choose integrity as the most important trait. Integrity, one of the Marine Corps Leadership traits, “means that you are honest and truthful in what you say or do.”1
In addition to these leadership traits, the following identifiable practices are common to leaders:
1. Challenge the process. Be active, not passive; search for opportunities; experiment and take risks.
2. Inspire a shared vision. Create a vision; envision the future; enlist others.
3. Enable others to act. Do not act alone; foster collaboration; strengthen others.
4. Model the way. plan; set examples; strive for small wins.
5. Encourage the heart. Share the passion; recognize individual contribu- tions; celebrate accomplishments.
LearNINg OBJeCtIve 1 Identify the characteristics and practices of leaders.
M14_WALK2761_07_SE_C14.indd 594 09/24/16 8:09 AM
chapter 14 Leadership and Management 595
Definitions of Leadership Because of the complexities of leadership, the different types of leader- ship, and individual perceptions of leaders, leadership has several defini- tions. Many definitions share commonalities, but there are also differences. In terms of hospitality leadership, the definition “Leading is the process by which a person with vision is able to influence the activities and outcomes of others in a desired way” is appropriate.2
Leaders know what is needed and why it is needed in a given situation— and they are able to communicate this necessity to others to gain their coop- eration and support. Leadership theory and practice has evolved over time to a point where current industry practitioners may be identified as transac- tional or transformational leaders.3
LearNINg OBJeCtIve 2 Define leadership.
Horst Schulze is a legendary leader in the hospitality industry and one of the most influ- ential hospitality industry leaders of our time. His vision helped reshape concepts of guest service throughout the hospitality and service industries.
Mr. Schulze grew up in a small village in Germany, and he was 11 years old when he told his parents that he wanted to work in a hotel. When he was 14, his parents took him to the finest hotel in the region, where they had an “audience” with the general manager—it lasted 10 minutes, and the general manager didn’t speak to him again for the next two years! Everyone, including young Schulze’s mother, the general manager, and the restaurant maître d’, told him how important the guests were, and, with knees shaking, young Schulze found himself in the restaurant working as a busser. The maître d’ made a favorable impres- sion on the young man because he was respected by both guests and staff alike. So, when Horst had to do an essay for his hotel school (he attended hotel school on Wednesdays), he
chose the title, “We Are Ladies and Gentlemen Serving Ladies and Gentlemen.” He kept the essay because it was the only A he received, but that A also became the foundation of his philosophy to create service excellence.
Mr. Schulze now speaks on guest service to thousands every year, graciously sharing with others his knowl- edge and experience. He says that there are three aspects of service:4
1. Service should be defect free. 2. Service should be timely. 3. People should care.
It is the caring piece that exemplifies service. The guest relationship begins when a guest is greeted with a warm welcome. Mr. Schulze adds that all hospitality businesses should be doing four things:5
1. Keeping guests delighted equals loyalty, meaning guests trust you and are happy to form a relation- ship with you.
2. Find new guests.
i n t r O D u c i n g H O r s t s c H u L z e
Capella hotel group
(Continued)
M14_WALK2761_07_SE_C14.indd 595 09/24/16 8:09 AM
596 Part iv assemblies, events, attractions, Leadership, and Management
transactional Leadership Transactional leadership is viewed as a process by which a leader is able to bring about desired actions from others by using certain behav- iors, rewards, or incentives. In essence, an exchange or transaction takes place between leader and follower. Figure 14–1 shows the transactional leadership model. this figure illustrates the coming together of the leader, the situation, and the followers. a hotel general manager (gM) who encourages the food and beverage director to achieve certain goals in exchange for a bonus is an example of someone practicing transac- tional leadership.
transformational Leadership Leadership involves looking for ways to bring about longer-term, higher- order changes in follower behavior. this brings us to transformational leader- ship. the term transformational leadership is used to describe the process
3. Get as much money as you can from the guest through excellence in service. 4. Create efficiencies, meaning to provide the best services in a timely manner.
Mr. Schulze also worked with Hyatt Hotels and Hilton Hotels. After joining the Ritz-Carlton as a charter member and vice president of operations in 1983, Mr. Schulze was instrumental in creating the operating and service standards that have become world famous. He was appointed executive vice president in 1987, and president and chief operating officer (COO) in 1988. Under his leadership, the group was awarded the Malcolm Baldrige National Quality Award in both 1992 and 1999; it was the first and only hotel company to win even one such award. In 2002, Mr. Schulze, along with several former Ritz-Carlton executives, formed the Capella Hotel Group to create and operate branded hotels in several distinctive market segments. The canon of the company is as follows: “The Capella Hotel Group is in business to create value and unparalleled results for our owners by creating products that fulfill individual customer expectations.”6
They offer significant opportunities within three profiles:7
1. Ultra-luxury hotel properties in gateway cities and spectacular resort destinations 2. Luxury hotel accommodations for frequent travelers 3. Management of select independent hotel properties
Capella Hotel Group has several hotels and resorts under two brands: Solís and Capella.
i n t r O D u c i n g H O r s t s c H u L z e (Continued )
Leader
Situation Followers
Figure 14–1 • Transactional Leadership Model.
M14_WALK2761_07_SE_C14.indd 596 09/24/16 8:09 AM
chapter 14 Leadership and Management 597
of eliciting performance above and beyond normal expectations. a transfor- mational leader is one who inspires others to reach beyond themselves and do more than they originally thought possible; this is accomplished by fos- tering a commitment to a shared vision of the future.
transformational leaders practice a hands-on philosophy, not in terms of performing the day-to-day tasks of subordinates, but in developing and encouraging their followers individually. transformational leadership involves three important factors:
1. Charisma
2. Individual consideration
3. Intellectual stimulation
Of course, it is also possible to be a charismatic transformational leader as well as a transactional leader. although this does involve a measurable amount of effort, these leaders are guaranteed to rake in success throughout their careers.
examples of excellence in Leadership Dr. Martin Luther King, Jr. was one of the most charismatic transformational leaders in history. Dr. King dedicated his life to achieving rights for all citi- zens through nonviolent methods. his dream of how society could be was shared by millions of americans. In 1964, Dr. King won the Nobel peace prize.
another transformational leader is herb Kelleher, the co-founder, Chairman emeritus, and former CeO of Southwest airlines. he was able to inspire his followers to pursue his corporate vision and reach beyond them- selves to give Southwest airlines that something extra that set it apart from its competitors.
Kelleher recognized that the company does not exist merely for the gratification of its employees. he knew that Southwest airlines must perform and must be profitable. however, he believed strongly that valuing individuals for themselves was the best way to attain exceptional performance. passengers who fly Southwest airlines may have seen herb Kelleher because he traveled frequently and was likely to be found serving drinks, fluffing pillows, or just wandering up and down the aisle, talking to passengers. the success of Southwest and the enthusiasm of its employees indicate that herb Kelleher achieved his goal of weaving together individual and corporate interests so that all members of the Southwest family benefit. Kelleher is a great transformational leader who was able to lead by visioning, inspiring, empowering, and communicating.8
Martin Luther King, Jr., one of the most charismatic transformational leaders of the twentieth century, giving his famous “I Have a Dream” speech.
M14_WALK2761_07_SE_C14.indd 597 09/24/16 8:09 AM
598 Part iv assemblies, events, attractions, Leadership, and Management
In their fascinating book Lessons in Leadership: Perspectives for Hospitality Industry Success, Bill Fisher, former president and CeO of the american hotel & Lodging association and former Darden eminent Scholar in restaurant Management at the University of Central Florida, and Charles Bernstein, an edi- tor of Nation’s Restaurant News, interviewed more than 100 industry leaders and asked each to give advice in an up-close-and- personal manner. here is an example of one of the leaders’ answers: “experience is a hard teacher because she gives the test first, the lesson afterward.”9
Success has as many meanings as there are people to ponder it. One concept of success is to couple one’s personal and family interests, dreams, and aspirations with a business or professional career such that they com- plement and fortify each other. another aspect of leadership is the ability to motivate others in a hospitality-working environment; decision-making skills are also essential. these are discussed later in the chapter.
F O c u s O n L e a D e r s H i P
Leadership—the Basis for Management
William Fisher, Former Darden eminent Scholar in restaurant Management, author and Former executive vice president of the National restaurant association and the american hotel & Lodging association
The concept and practice of leadership as it applies to management carries a fascination and attraction for most people. We all like to think we have some leadership qualities, and we strive to develop them. We look at leaders in all walks of life, seeking to identify which qualities, traits, and skills they possess so that we can emulate them. A fundamental question remains: What is the
essence of leadership that results in successful management as opposed to failed management? At least part of the answer can be found within the word itself:
1. Loyalty. Leadership starts with a loyalty quadrant: Loyalty to one’s organization and its mission, loyalty to organizational superiors, loyalty to subordinates, and loyalty to oneself. Loyalty is multidirectional, running up and down in the organization. When everyone practices it, loyalty bonds occur, which drives high morale. Loyalty to oneself is based on maintaining a sound body, mind, and spirit so that one is always “riding the top of the wave” in service to others.
2. Excellence. Leaders know that excellence is a value, not an object. They strive for both excellence and success. Excellence is the measurement you make of yourself in assessing what you do and how well you do it; success is an external perception that others have of you.
3. Assertiveness. Leaders possess a mental and physical intensity that causes them to seek control, take command, assume the mantle of responsibility, and focus on the objective(s). Leaders do not evidence self-doubt, as they are comfortable within themselves that what they are doing is right, which, in turn, gives them the courage to take action.
M14_WALK2761_07_SE_C14.indd 598 09/24/16 8:09 AM
chapter 14 Leadership and Management 599
Demands Placed on Leaders Demands on a leader in the hospitality industry include those made by owners, the corporate office, guests, employees, regulatory agencies, and competitors (Figure 14–2). In response to many demands, the leader must balance two additional forces: how much energy to expend on getting results and how much to expend on relationships (Figure 14–3).
applied social scientists such as peter Drucker, powerful industry lead- ers such as Bill Marriott, and public service leaders such as former New York mayor rudolph giuliani all seem to have common traits, among which are the following:
1. high ego strength
2. ability to think strategically
4. Dedication. Leaders are dedicated in mind, body, and spirit to their organization and to achievement. They are action oriented, not passive, and prefer purposeful activity to the status quo. They possess an aura or charisma that sets them apart from others with whom they interact, always working in the best interest of their organization.
5. Enthusiasm. Leaders are their own best cheerleaders on behalf of their organization and people. They exude enthusiasm and instill it in others to the point of contagion. Their style may be one of poise, stability, clear vision, and articulate speech, but their bristling enthusiasm undergirds their every waking moment.
6. Risk management. Leaders realize that risk taking is part of their management position. They manage risk, rather than letting it manage them, knowing full well that there are no guaranteed outcomes, no foregone conclusions, no preordained results when one is dealing with the future. Nonetheless, they measure risk, adapt to its presence, control it, and surmount it.
7. Strength. Leaders possess an inner fiber of stamina, fortitude, and vibrancy that gives them a mental tough- ness, causing them to withstand interruption, crises, and unforeseen circumstances that would slow down or immobilize most people. Leaders become all the more energized in the face of surprises.
8. Honor. Leaders understand they will leave a legacy, be it good, bad, or indifferent. True leaders recognize that all their relationships and actions are based on the highest standard of honor and integrity. They do the right things correctly, shun short-term, improper expediency, and set the example for others with high-mindedness, professional bearing, and unassailable character.
9. Inspiration. Leaders don’t exist without followers. People will follow leaders who inspire them to reach beyond the normal and ordinary to new levels of accomplishment, new heights of well-being, and new platforms for individual, organizational, and societal good. Inspiration is what distinguishes a leader from a mere position holder, as the leader can touch the hearts, minds, and souls of others.
10. Performance. At the end of the day, leader/managers rise or fall on the most critical of all measure- ments: their performance. Results come first, but the ways in which results are achieved are also crucial to sustaining a leader’s role. Many dictators don’t last despite results, and many charismatics don’t last despite personal charm.
These 10 elements together spell LEADERSHIP! Always remember, if you want to develop a leadership quality, act as though you already possess it!
M14_WALK2761_07_SE_C14.indd 599 09/24/16 8:09 AM
600 Part iv assemblies, events, attractions, Leadership, and Management
3. Orientation toward the future
4. a belief in certain fundamental principles of human behavior
5. Strong connections that they do not hesitate to display
6. political astuteness
7. ability to use power both for efficiency and for the larger good of the organization
Leaders vary in their values, managerial styles, and priorities. peter Drucker, the renowned management scholar, author, and consultant of many years, has discussed with hundreds of leaders their roles, goals, and perfor- mance. these discussions took place with leaders of large and small orga- nizations, with for-profit and volunteer organizations. Interestingly, Drucker observes the following:
All the leaders I have encountered—both those I worked with and those I watched—realized:
1. the only definition of a leader is someone who has followers. Some people are thinkers. Some are prophets. Both roles are important and badly needed. But without followers, there can be no leaders.
2. an effective leader is not someone who is loved or admired. She or he is someone whose followers do the right things. popularity is not lead- ership. results are.
3. Leaders are highly visible. they therefore set examples.
4. Leadership is not about rank, privileges, titles, or money. It is about responsibility.10
Ownership Interests
GMCompetitors
Regulatory Agencies
Employees
Corporate O�ce
Guests
Figure 14–2 • Dynamics of Demands on Leaders in the Hospitality Industry.
Relationships GM Results
Figure 14–3 • Amount of Energy the Leader Needs to Spend on Getting Results and Maintaining Relationships.
M14_WALK2761_07_SE_C14.indd 600 09/24/16 8:09 AM
chapter 14 Leadership and Management 601
Drucker adds that regardless of their enormous diversity with respect to personality, style, abilities, and interests, effective leaders all behave in much the same way:
1. they did not start out with the question “What do I want?” they started out asking, “What needs to be done?”
2. then they asked, “What can and should I do to make a difference?” this has to be something that both needs to be done and fits the leader’s strengths and the way he or she is most effective.
3. they constantly asked, “What are the organization’s mission and goals? What constitutes performance and results in this organization?”
4. they were extremely tolerant of diversity in people and did not look for carbon copies of themselves. It rarely even occurred to them to ask, “Do I like or dislike this person?” But they were totally—fiend- ishly—intolerant when it came to a person’s performance, standards, and values.
5. they were not afraid of strength in their associates. they gloried in it. Whether they had heard of it or not, their motto was the one andrew Carnegie wanted to have put on his tombstone: “here lies a man who attracted better people into his service than he was himself.”11
6. One way or another, they submitted themselves to the mirror test—that is, they made sure the person they saw in the mirror in the morning was the kind of person they wanted to be, respect, and believe in. this way they fortified themselves against the leader’s greatest temptations— to do things that are popular rather than right and to do petty, mean, sleazy things.12
Finally, these leaders were not preachers; they were doers. the most effective leaders share a number of skills, and these skills are
always related to dealing with employees. the following suggestions outline an approach to becoming a hospitality industry leader rather than just a manager:
• Be decisive. hospitality industry leaders are confronted with dozens of decisions every day. Obviously, you should use your best judgment to resolve the decisions that come to roost at your doorstep. as a boss, make the decisions that best meet both your objectives and your ethics, and then make your decisions known.
• Follow through. Never promise what you can’t deliver, and never build false hopes among your employees. Once expectations are dashed, respect for and the reputation of the boss are shot.
• Select the best. a boss, good or bad, is carried forward by the work of his or her subordinates. One key to being a good boss is to hire the people who have the best potential to do what you need them to do. take the time and effort to screen, interview, and assess the people
M14_WALK2761_07_SE_C14.indd 601 09/24/16 8:09 AM
602 Part iv assemblies, events, attractions, Leadership, and Management
who have not only the skills that you require, but also the needed values.
• Empower employees. give people the authority to interact with the customer. the more important people feel, the better they work.
• Enhance career development. good bosses recognize that most of their people want to improve themselves. however, career develop- ment is a two-edged sword: If we take the initiative to train and develop our people properly, then the competition is likely to hire them. the only way a boss can prevent the loss of productive work- ers looking for career development is to provide opportunities for growth within the organization and to maintain an empowering work environment.
The Ritz-Carlton Hotel Company was officially organized in the summer of 1983, although the Ritz-Carlton history and tradition long precede that date. Indeed, this tradition has entered our language: To be “ritzy” or “put- ting on the ritz” denotes doing something with class. With the purchase of the Ritz-Carlton, Boston and the acquisition of the exclusive rights to use the name came a rich heritage.
The legacy of the Ritz-Carlton begins with the celebrated hotelier Cesar Ritz, the “king of hoteliers and hotelier to kings.” Cesar Ritz’s philosophy of service and innovations redefined the luxury hotel experience in Europe through his management of the Ritz Paris and the Carlton in London. The
Ritz-Carlton, Boston revolutionized hospitality in the United States by creating luxury in a hotel setting. Cesar Ritz died in 1918, but his wife Marie continued the expansion of hotels bearing his name. In the United
States, the Ritz-Carlton Investing Company was established by Albert Keller, who bought and franchised the name. In 1927, the Ritz-Carlton, Boston was opened by Edward N. Wyner, a Boston real estate developer, with room rates of $15 per night. Because of the reputation of Ritz in Europe and the cosmopolitan society in Boston, Wyner knew the Ritz-Carlton name would secure immediate success.
Fast-forward to 1983, when William B. Johnson acquired the rights to establish the Ritz-Carlton Hotel Company. The company is now a part of Marriott International and operates 81 hotels worldwide.1 Further expansion plans are included for Europe, Africa, Asia, the Middle East, and the Americas.2
The Ritz-Carlton Hotel Company was named the winner of the prestigious Malcolm Baldrige National Quality Award in 1992 and again in 1999. The Ritz-Carlton is the only hospitality organization ever to have won this
c O r P O r a t e P r O F i L e
the ritz-Carlton hotel Company: a Commitment to excellence and Quality Service Worldwide
1The Ritz-Carlton, Fact Sheet, http://www.ritzcarlton.com. Go to The Ritz-Carlton Story, click on About Us, and then click on Fact Sheet (accessed November 28, 2014).
2Ibid.
M14_WALK2761_07_SE_C14.indd 602 09/24/16 8:09 AM
chapter 14 Leadership and Management 603
In recent years, the role of the hotel gM has changed from that of being a congenial host, knowledgeable about the niceties of hotelmanship, to that of a multigroup pleaser. guests, employees, owners, and commu- nity should all not only be satisfied but be delighted with the operation’s performance.
Many gMs are so bogged down with meetings, reports, and “putting out fires” that they hardly have any time to spend with guests. One gM who makes time for guests is richard riley, former gM of the fabulous Makati Shangri-La hotel, in Manila, the philippines. as gM of a luxury Caribbean resort in Barbados, West Indies, the author of this book person- ally greeted every guest to the property. Obviously, there is a difference between a medium-sized resort and a large city hotel. resort guests stay for at least two, sometimes four, weeks in high season, so they need individual attention.
coveted honor for quality management, given by the U.S. Department of Commerce. Seven categories make up the award criteria: leadership, strategic planning, customer and market focus, information and analysis, human resources focus, process management, and business results. At the Ritz-Carlton, a focus on these criteria has resulted in higher employee and customer satisfaction, and increased productivity and market share. Perhaps most significant is increased profitability.
Horst Schultze, founding president and CEO, whose vision and leadership was the driving force behind the success in obtaining the Malcolm Baldrige Awards. Since joining the company, Herve Humler has been respon- sible for the successful opening of several hotels. This expansion continues with seven hotels and resorts slated for opening over the next decade. The Ritz-Carlton Residences and the Ritz-Carlton Destination Club were also successfully developed and launched under Humler’s tenure.
Committed employees rank as the most essential element to Ritz-Carlton’s success. All employees are schooled and carry a pocket-sized card stating the company’s Gold Standards, which include a credo, motto, three steps of service, and 20 Ritz-Carlton basics. Each employee is expected to understand and adhere to these standards, which describe processes for solving problems that guests may have as well as detailed groom- ing, housekeeping, and safety and efficiency standards. “We are Ladies and Gentlemen serving Ladies and Gentlemen” is the motto of the Ritz-Carlton, exemplifying anticipatory service provided by all staff members. “Every employee has the business plan of the Ritz-Carlton—constantly reinforcing that guest satisfaction is our highest mission,” says Humler.
The company has quickly grown a collection of the finest hotels around the world. Several of these hotels are historic landmarks, following a commitment of the company to preserving architecturally important buildings. Some examples are the Ritz-Carlton New York, Central Park; the Ritz-Carlton, San Francisco; the Ritz-Carlton, Philadelphia; and the Ritz-Carlton, New Orleans. Each property is designed to be a comfortable haven for travel- ers and a social center for the community. The architecture and artwork are carefully selected to complement the hotel’s environment. “We go to great lengths to capture the spirit of a hotel and its locale,” says Humler. “This creates a subtle balance and celebrates a gracious, relaxed lifestyle. The Ritz-Carlton is warm, relaxed yet refined; a most comfortable home away from home.”
Source: © 2004–5 The Ritz-Carlton Hotel Company, L.L.C. All rights reserved. Reprinted with the permission of The Ritz-Carlton Hotel Company, L.L.C.
M14_WALK2761_07_SE_C14.indd 603 09/24/16 8:09 AM
604 Part iv assemblies, events, attractions, Leadership, and Management
Courtesy of James McManemon, M.S., University of South Florida Sarasota–Manatee
One of the most significant recent advances in consumer-based information technology is the introduction, and extremely fast adoption, of social networking tools. Today there are more than 650 million active users on Facebook, according to the site, with its popular “friending” approach to making connections. On any given day, 50 percent of these users log into their accounts. More than 250 million photos are uploaded daily; more than 350 million active users access Facebook through a mobile device; and more than 70 languages are used on the site.1
In the business arena, thousands, if not millions, local businesses have active pages on Facebook and those pages have created billions of fans combined. Twitter, with its 140-character “tweeting” approach to getting the word out, is powerful in its own right, with an estimated 289 million users in 2015. Marketing rules used to dictate that a happy guest would tell three friends about your establishment and an angry guest would tell 11 friends. This is no longer the case; in both instances, whether happy or displeased, guests can easily reach tens if not hundreds of contacts. Given the vastness of social media connections and net- works, this can quickly multiply into thousands or more potential guests with word-of-mouth insight into your products and service.
Hotels and restaurants in the Fray Many hotel and restaurant operators are aware that social media tools can and should be leveraged for their businesses, but they struggle to identify specific return on investment. In fact, according to Hospitality Technology’s 16th annual Restaurant Technology Study, although nearly one-half of restaurants recognize that there is value in Twitter as a marketing tool, only one-third of restaurant operators use it. There exist, however, many successful examples of hotels using social networking sites to generate awareness and additional revenue opportunities and many restaurants and hotels have thousands of fans each.
While the size of the fan base is important, the true value is in the interaction. A quick scan of these Facebook pages shows two factors for success: First, they have personality and build emotional connections, and second, people respond and interact on these pages.
strategies for success Social networking tools can be used for more than connecting to external customers. Companies also use these tools to find employees and to solicit feedback from current and potential guests on menu items, decora- tions, room design, and more. They can even be used as a venue to prompt guests to suggest new menu items. If encouraged properly, employees can be ambassadors of a company in their own social networks.
One creative example of a hotel’s use of social networking to boost guest participation is demonstrated by The Pod Hotel New York’s own social networking site, Pod Social. When guests make reservations online, they are invited to become a member of the Pod Community. There they can choose a log-in and password and participate in an array of forums: Drink with Me, Eat with Me, Shop with Me, Go Out with Me, and so forth.
Though social networking tools are powerful, they must be well planned and carefully implemented to avoid pitfalls. If you ask for customers’ opinions, listen to them. What’s more, managing social networking
t e c H n O L O g y s P O t L i g H t
Use of Social Networking tools in the hospitality Industry
1“How many are there?” http://www.howmanyarethere.net/. Click on the tag “Facebook” ( accessed April 20, 2015).
M14_WALK2761_07_SE_C14.indd 604 09/24/16 8:09 AM
Chapter 14 Leadership and Management 605
▶ Check Your Knowledge
1. Identify the characteristics and practices of leaders.
2. Define leadership.
3. What three factors does transformational leadership involve?
4. explain the demands placed on leaders.
hospitality Management Managers plan, organize, make decisions, communicate, motivate, and con- trol the efforts of a group to accomplish predetermined goals. Management also establishes the direction the organization will take. Sometimes this is done with the help of employees or outside consultants, such as marketing research specialists. Managers obtain the necessary resources for the goals to be accomplished, and then they supervise and monitor group and indi- vidual progress toward goal accomplishment.
Managers, such as presidents and CeOs, who are responsible for the entire company, tend to focus most of their time on strategic planning and the organization’s mission. they also spend time organizing and controlling the activities of the corporation. Most top managers do not get involved in the day-to-day aspects of the operation. these duties and respon- sibilities fall to the middle and supervisory management. In hospitality lingo, one would not expect Bill Marriott to pull a shift behind the bar at the local Marriott hotel. although capable, his time and expertise are better used in shaping the company’s future. thus, although the head bartender and Bill Marriott may both be considered management, they require slightly different skills to be effective and efficient managers.
What is Management? Management is simply what managers do: plan, organize, make decisions, communicate, motivate, and control. Management is defined as “coordinat- ing and overseeing the activities of others so that their activities are com- pleted efficiently and effectively.”13 In looking at this statement, you can see
tools will take time. For this reason, each company should assign personnel to the task of monitoring and regularly updating its social networks. Some hotel companies are recruiting managers dedicated to online services and e-commerce initiatives. Many are combining this responsibility with a revenue, marketing, or front office manager.
My recommendation to all hotels and restaurants would be to connect to their guests, employees, families, and vendors through different social networking tools. If you are not doing this already, you are behind the curve.
LearNING OBjeCtIve 3 Identify the characteristics and practices of management.
LearNING OBjeCtIve 4 Define management.
M14_WALK2761_07_SE_C14.indd 605 10/21/16 1:40 PM
606 Part iv assemblies, events, attractions, Leadership, and Management
that the functions of management and working with and through the work of others are ongoing. additionally, management involves getting efficient and effective results.
Efficiency is getting the most done with the fewest number of inputs. Managers work with scarce resources: money, people, time, and equipment. You can imagine the rush in the kitchen to be ready for a meal service. But it’s not enough to just be efficient; management is also about being effective. Effectiveness is “doing the right thing.” as an example, cooks do the right thing when they cook the food correctly according to the recipe and have it ready when needed.
Who are Managers? the changing nature of organizations and work has, in many hospitality organizations, blurred the lines of distinction between managers and non- managerial employees. Many traditional jobs now include managerial activi- ties, especially when teams are used. For instance, team members often develop plans, make decisions, and monitor their own performance. this is the case with total quality management.
So, how do we define who managers are? a manager is someone who works with and manages others’ activities to accomplish organizational goals
I began my career working in marketing at the local country club in Santa Monica, California. I had the fortune of working with a talented team of professionals and from them I learned the skills needed to cultivate strong business relationships. I learned how to get creative when things didn’t go as planned, and I became as resilient as this field requires you to be in order to achieve success. After a few years, I moved to Los Angeles into a senior sales manager role for one of the city’s most prestigious hotels.
Some interesting parts of my sales and marketing job entail hours of researching new businesses, spending countless hours on telephone calls to qualify possible leads, and the pressure to exceed revenue numbers that are set each month, each quarter, and each year. Other aspects of my job that at times are more rewarding include taking part in training new sales and marketing team members, working with the general manager of the hotel to strategize and maximize hotel revenues, and identifying the latest trends. All of these tasks, though, ensure that my days are never dull and they keep me on my toes.
Although many people choose this field because of a desire to serve people and work creatively, it is a busi- ness like any other. I feel Mr. Henry Ford said it best, “A business absolutely devoted to service will have only one worry about profits. They will be embarrassingly large.”14
a D a y i n t H e L i F e O F D a n n a g r e y
Director of Sales and Marketing
M14_WALK2761_07_SE_C14.indd 606 09/24/16 8:09 AM
chapter 14 Leadership and Management 607
in an efficient and effective way. Managers are often classified into three levels: frontline managers are the lowest-level managers; they manage the work of line employees. they may also be called supervisors. a front-office supervisor, for example, takes charge of a shift and supervises the guest service agents on the shift.
Middle managers are akin to department heads; they fall between frontline managers and top management. they are responsible for short- to medium-range plans, and they establish goals and objectives to meet these goals. they manage the work of frontline managers.
Top managers are responsible for making medium- to long-range plans and for establishing goals and strategies to meet those goals. Figure 14–4 shows the three levels of management plus nonmanagerial employees.
Key Management Functions the key management functions are planning, organizing, decision making, communicating, human resources and motivating, and control- ling. these management functions are not conducted in isolation; rather, they are interdependent and frequently happen simultaneously or at least overlap. Figure 14–5 shows the key management functions leading to goal accomplishment.
hospitality companies exist to serve a particular purpose, and someone has to determine the vision, mission, and strategies to reach or exceed the goals. that someone is management. the planning function involves setting the company’s goals and developing plans to meet or exceed those goals. Once plans are complete, organizing is undertaken to decide what needs to be done, who will do it, how the tasks will be grouped, who reports to whom, and who makes decisions.
Decision making is a key management function. the success of all hos- pitality companies, whether large, multinational corporations or sole propri- etorships, depends on the quality of the decision making. Decision making includes determining the vision, mission, goals, and objectives of the com- pany. Decision making also includes scheduling employees, determining what to put on the menu, and responding to guest needs.
Top Managers
Middle Managers
Frontline Managers
Nonmanagerial Associates
Figure 14–4 • Three Levels of Management Plus Nonmanagerial Associates.
M14_WALK2761_07_SE_C14.indd 607 09/24/16 8:09 AM
608 Part iv assemblies, events, attractions, Leadership, and Management
Communication with and motivation of individuals and groups are required to get the job done. Human resources and motivating involves attracting and retaining the best employees and keeping morale high.
Controlling is the final management function that brings everything full circle. after the goals are set and the plans formulated, management then organizes, communicates, and motivates the resources required to complete the job. Controlling includes the setting of standards and comparing actual results with these standards. If significant deviations are seen, they are inves- tigated and corrective action is taken to get performance back on target. this scientific process of monitoring, comparing, and correcting is the controlling function and is necessary to ensure that there are no surprises and that no one is guessing what should be done.
Managerial skills In addition to the management functions of forecasting, planning, organiz- ing, communicating, motivating, and controlling, managers also need other major skills: conceptual, interpersonal, and technical.
Conceptual skills enable top managers to view the corporation as a complete entity and yet understand how it is split into departments to achieve specific goals. Conceptual skills allow a top manager to view the entire corporation, especially the interdependence of the various departments.
Managers need to lead, influence, communicate, supervise, coach, and evaluate employees’ performances. this necessitates a high level of inter- personal human skills. the abilities to build teams and work with others are human skills that successful managers need to cultivate.
Managers need to have the technical skills required to understand and use modern techniques, methods, equipment, and procedures. these skills are more important for lower levels of management. as a manager rises through the ranks, the need for technical skills decreases and the need for conceptual skills increases.
You next need to realize the critical importance of the corporate philoso- phy, culture, and values, and of a corporation’s mission, goals, and objectives.
Goal Accomplishment
Planning Organizing
Decision Making
CommunicatingMotivating
Controlling
Figure 14–5 • Key Management Functions Leading to Goal Accomplishment.
M14_WALK2761_07_SE_C14.indd 608 09/24/16 8:09 AM
chapter 14 Leadership and Management 609
Figure 14–6 shows the degree of managerial skills required by top managers, middle managers, and supervisory managers.
the Manager’s changing role Managers may still have subordinates, but today’s successful manager takes more of a team leader/coach approach. there are, of course, other ways to “slice and dice” what managers do. For example, managers don’t just plan, organize, make decisions, communicate, motivate, and control. they wear a variety of hats, including the following:
• Figurehead role. every manager spends some time performing ceremo- nial duties. For example, the president of a corporation might have to greet important business guests or clients or represent the corporation by attending dinners.
• Leader role. every manager should be a leader, coaching, motivating, and encouraging employees.
• Liaison role. Managers spend a lot of time in contact with people in other departments both within the organization and externally. an exam- ple would be the sales manager liaising with the rooms division director.
• Spokesperson role. the manager is often the spokesperson for the organization. For example, a manager may host a college class visit to the property.
• Negotiator role. Managers spend a lot of time negotiating. For example, the head of a company along with qualified lawyers may negotiate with a union representative to establish wages and benefits for employees.
Top Manager
Technical Skills
Human Skills
Conceptual Skills
Middle Manager
Supervisory Manager
Figure 14–6 • Management Skill Areas Required by Management Level.
M14_WALK2761_07_SE_C14.indd 609 09/24/16 8:09 AM
610 Part iv assemblies, events, attractions, Leadership, and Management
these roles, together with the manage- ment functions, encompass what managers do. remember, managers need to be many things—often in quick succession—even to the point of wearing two or more hats at once.
twenty-first-century managers face not only a more demanding and increasingly complex world, but also a more dynamic and interdependent one. the “global vil- lage” is a reality, and sociocultural tradi- tions and values must be understood and diversity respected and encouraged by future managers. the two most important changes going on right now are the techno- logical advances and the internationaliza- tion of hospitality and tourism. the extent to which you as a future leader/manager can master these events and functions will determine your future.
the manager’s role is not only internal but also external. For instance, a manager must be responsive to market needs and income generation. Managers must continually strive to be innovative by realizing efficiencies in their respective areas of responsibility through process improvement— for example, by determining how to reduce long check-in lines at airports and hotels. Some companies use innovative and creative ways to streamline the check-in procedures to make the process a more worthwhile experience for the guests. Disney, for instance, uses the creative approach of sending Mickey and the gang to entertain the guests while they stand in line.
a general Manager’s survival Kit ali Kasikci was a top-level manager at the peninsula Beverly hills, California. Under his management, he was involved in creating and implementing broad and
You, Too, Are a Manager
Your classmates have just voted you to be the leader/manager of the summer study-abroad trip to France. None of you knows much about France or how to get there, what to do when you get there, and so on. Where would you start? (Resist the temp- tation to delegate the whole trip to a travel agent, please.)
You might start by thinking through what you need to do in terms of planning, organizing, deciding, communicating, motivating, and controlling. What sort of plans will you need? Among other things, you’ll need to plan the dates your group will be leaving and returning, the cities and towns you’ll visit, the airline you’ll take there and back, how the group will get around France, and where you’ll stay when you’re there. As you can imagine, plans like these are very important: You would not want to arrive at Orly Airport with a group of friends who are depending on you and not know what to do next.
Realizing how much work is involved—and that you cannot do it all and still maintain good grades—you get help. You divide up the work and create an organization by asking someone to check airline schedules and prices, another person to check hotel prices, and someone else to research the sights to see and the transportation needs. However, the job won’t get done with the group members simply working by themselves. Each person requires guidance and coordination from you: The person making the airline bookings can’t confirm the bookings unless she knows in what city and airport the trip will originate. Similarly, the person making the hotel arrangements can’t make any firm bookings until he knows what cities are being visited. To improve communications, you could set up regular meetings, with e-mail updates between meetings. Leadership and motivation could be a challenge because two of the group members do not get along well. So, ensuring that everyone stays focused and positive will be a challenge.
Of course, you’ll have to make sure the whole project remains in control. If something can go wrong, it often will, and that’s certainly the case when groups of people are traveling together. Everything needs to be double-checked. In other words, managing is something managers do almost every day, often without even knowing it. Source: Adapted from Gary Dessler, A Framework for Management (Upper Saddle River, NJ: Prentice Hall, 2002), 8.
M14_WALK2761_07_SE_C14.indd 610 09/24/16 8:09 AM
chapter 14 Leadership and Management 611
comprehensive changes that affected the entire organization. ali offers his list of tips:
• Know yourself, your own core competencies, and your values.
• hire a seasoned management team.
• Build barriers of entry; that is, make yourself indispensable.
• Be very flexible.
• get close to your guests and owners to define reality versus perception.
• Show leadership, from both the top and the bottom.
• Delegate. there is no way you can survive without delegation.
• appeal to trends.
• trust your instincts.
• take risks and change the ground rules.
• Don’t become overconfident.
• Look successful, or people will think you’re not.
• Manage the future—it is the best thing you can do. Bring the future to the present.15
Sustainable Leadership Sustainable leadership is “individual leadership that benefits the long-term good of society by positively influencing people, creating change, and dem- onstrating values that support the highest principles of society.”16
the United Nations (UN) has developed a blueprint for corporate sus- tainability leadership. the blueprint consists of three parts17 and is a model upon which leaders can use to make a difference within their organizations while advancing support for broader UN goals for sustainability. participating companies and their leaders agree to implement the principles into their strategies and operations, take action in support of UN goals and issues, and commit to engage with the UN global Compact.
Many business leaders, including hospitality ones, are becoming increasingly more concerned about sustainability. Not only are they concerned about the environment but also social responsibility. In the preceding chapters we have learned about the many ways that hospitality enterprises are becoming more sustainable in their operations. Leaders and managers need to steer the organization on a path of sustainability for all associates to follow.
M14_WALK2761_07_SE_C14.indd 611 09/24/16 8:09 AM
612 Part iv assemblies, events, attractions, Leadership, and Management
If leaders stress the importance of sustainability, then others will follow. Sustainability does not happen by itself; it needs leaders to promote it. From cities that do not allow Styrofoam food containers to reducing water, paper, and electric consumption, it all comes together when leaders focus on sus- tainability in all the key result areas of their operations.
▶ check your Knowledge
1. Identify the characteristics and practices of management.
2. explain levels of management.
Distinction between Leadership and Management Managing is the formal process in which organizational objectives are achieved through the efforts of subordinates. Leading is the process by which a person with vision is able to influence the behavior of others in some desired way. although managers have power by virtue of the positions they hold, organizations seek managers who are leaders by virtue of their personalities, their experience, and so on. the differences between manage- ment and leadership can be illustrated as follows:
Managers
• Work in the system
• react
• Control risks
• enforce organizational rules
• Seek and then follow direction
• Control people by pushing them in the right direction
• Coordinate effort
Leaders
• Work on the system
• Create opportunities
• Seek opportunities
• Change organizational rules
• provide a vision to believe in and strategic alignment
• Motivate people by satisfying basic human needs
• Inspire achievement and energize people18
LearNINg OBJeCtIve 5 Differentiate between leadership and management.
M14_WALK2761_07_SE_C14.indd 612 09/24/16 8:09 AM
chapter 14 Leadership and Management 613
▶ check your Knowledge
1. What is the distinction between leadership and management?
ethics Ethics is a set of moral principles and values that people use to answer questions about right and wrong. Because ethics is also about our personal value system, there are people with value systems different from ours. Where did the value system originate? What happens if one value system is different from another? Fortunately, certain universal guiding principles are agreed on by virtually all religions, cultures, and societies. the foundation of all principles is that all people’s rights are important and should not be violated. this belief is central to civilized societies; without it, chaos would reign.
today, people have few moral absolutes; they decide situationally whether it is acceptable to steal, lie, or drink and drive. they seem to think that whatever is right is what works best for the individual. In a country blessed with so many diverse cultures, you might think it is impossible to identify common standards of ethical behavior. however, among sources from many different times and places, such as the Bible, aristotle’s Ethics, William Shakespeare’s King Lear, the Koran, and the Analects of Confucius, you’ll find the following basic moral values: integrity, respect for human life, self-control, honesty, and courage. Cruelty is wrong. all the world’s major religions support a version of the golden rule: “Do unto others as you would have them do to you.”19
In the foreword to Ethics in Hospitality Management, edited by Stephen S. J. hall,20 former Dean emeritus of Cornell University, robert a. Beck poses this question: “Is overbooking hotel rooms and airline seats ethical? how does one compare the legal responsibilities of the innkeeper and the airline manager to the moral obligation?” he also asks, “What is a fair or reason- able wage? a fair or reasonable return on investment? Is it fair or ethical to underpay employees for the benefit of investors?”
ethics and morals have become an integral part of hospitality decisions, from employment (equal opportunity and affirmative action) to truth in menus. Many corporations and businesses have developed a code of ethics that all employees use to make decisions. this became necessary because too many managers were making decisions without regard for the impact of such decisions on others. Stephen hall is one of the pioneers of ethics in hospitality; he has developed a code of ethics for the hospitality and tourism industry, as follows:
1. We acknowledge ethics and morality as inseparable elements of doing business and will test every decision against the highest standards of honesty, legality, fairness, impunity, and conscience.
LearNINg OBJeCtIve 6 Discuss ethics in hospitality.
M14_WALK2761_07_SE_C14.indd 613 09/24/16 8:09 AM
614 Part iv assemblies, events, attractions, Leadership, and Management
2. We will conduct ourselves personally and collectively at all times so as to bring credit to the hospitality and tourism industry.
3. We will concentrate our time, energy, and resources on the improve- ment of our own products and services and we will not denigrate our competition in the pursuit of our success.
4. We will treat all guests equally regardless of race, religion, nationality, creed, or sex.
5. We will deliver all standards of service and product with total consis- tency to every guest.
6. We will provide a totally safe and sanitary environment at all times for every guest and employee.
7. We will strive constantly, in words, actions, and deeds, to develop and maintain the highest level of trust, honesty, and understanding among guests, clients, employees, employers, and the public at large.
8. We will provide every employee at every level all the knowledge, training, equipment, and motivation required to perform his or her tasks according to our published standards.
9. We will guarantee that every employee at every level will have the same opportunity to perform, advance, and be evaluated against the same standard as all employees engaged in the same or similar tasks.
10. We will actively and consciously work to protect and preserve our natural environment and natural resources in all that we do.
11. We will seek a fair and honest profit, no more, no less.21
as you can see, it is vitally important for future hospitality and tourism professionals to abide by this code. the following sections present some ethical dilemmas in hospitality. What do you think about them?
ethical Dilemmas in Hospitality previously, certain actions may not have been considered ethical, but man- agement often looked the other way. a few scenarios follow that are not seen as ethical today and are against most companies’ ethical policies:
1. as catering manager of a large banquet operation, the flowers for the hotel are booked through your office. the account is worth $15,000 per month. a florist offers you a 10-percent kickback to book the ac- count with him. given that your colleague at a sister hotel in the same company receives a good bonus and you do not, despite having a better financial result, do you feel justified in accepting the kickback? If so, with whom would you share it?
M14_WALK2761_07_SE_C14.indd 614 09/24/16 8:09 AM
chapter 14 Leadership and Management 615
2. as purchasing agent for a major hospitality organization, you are responsible for purchasing $5 million worth of perishable and non- perishable items. to get your business, a supplier, whose quality and price are similar to others, offers you a new automobile. Do you accept?
3. an order has come from the corporate office that guests from a certain part of the world may only be accepted if the reservation is made via the embassy of their respective countries. One Sunday afternoon, you are duty manager and several limos with people from “that part of the world” personally request rooms for several weeks. You decline, even though there are available rooms. they even offer you a personal enve- lope, which they say contains $1,000. how do you feel about declining their request?
▶ check your Knowledge
1. Discuss ethics in hospitality.
H O W t O L e a D y O u r s e L F
Courtesy of James McManemon, M.S., University of South Florida Sarasota–Manatee
Personal leadership begins with a vision, a mission, and with goals. An example of a vision might be to become president of a hospitality corporation or to open your own successful restaurant. (What is your vision?) A per- sonal mission is a statement of purpose—perhaps to be the best student or employee that you can be. (What is your mission?) Your goals will involve how you plan to meet the mission. For example, that may mean, as a student, how you plan to achieve a certain grade point average, or, as an employee, how to achieve a high score on an employee evaluation. (What are your goals?)
A first step toward achieving personal leadership begins with developing personal self-discipline, habits, and drive. Personal self-discipline involves how we choose to conduct ourselves. Have you thought about your own strengths and weaknesses? As boring as it may sound, make a list, and then work on improving those areas of weakness that you identified. Review it, and update it regularly. As simple as it sounds, developing personal leadership abilities has to do as much with developing a routine of self-examination as with establishing goals.
Whether currently a student, or beginning a career in the world of hospitality and management, or pursuing established long-term goals in that career, each of us can lead ourselves by creating a vision, formulating a mis- sion statement, and creating goals. Try it. Make a scorecard to record your progress toward achieving the goals you set for yourself. Among the habits you might adopt, all of which will aid you as a student and as you build your career, include the following: creating a schedule and utilizing time management, eating healthy food, exercising, studying, improving your verbal communicating skills as well as technological skills, reading widely, learning from mentors, and managing your money wisely.
M14_WALK2761_07_SE_C14.indd 615 09/24/16 8:09 AM
616 Part iv assemblies, events, attractions, Leadership, and Management
trends in Leadership and Management Courtesy of Dr. greg Dunn, Senior Lecturer & Managing Director, University of Florida, eric Friedheim tourism Institute
• Leadership Is Walking the Talk. For effective leadership, it is very critical to “walk the talk” and set examples. each and every employee has some- thing to work on or improve, and each and every employee has a special skill or ability that others may not. Forming a connection with employees and guests can improve dramatically with genuine, individual interaction. today’s leaders should look to instill the value of building relationships by sharing—whether that be in the form of knowledge or experiences. Leaders can build relationships by participating in daily or special events or functions. For instance, some managers run with their guests or employees and even participate in personal or group training sessions.
• Uncertainty Makes Leadership Harder. the economic and business environment in the upcoming years will continue to be unpredictable. Organizations are introducing more change initiatives than ever—as many as five each year. today’s business leaders believe that “the ability to change” is a key challenge when compared with prior years. an increased feeling of uncertainty can lead employees to lack confidence in one another and can have a derailing effect on change programs. It is important to be proactive and anticipate the future.
• Developing First-Line Leaders. First-line leaders (i.e., the first level of management) make up roughly half of management on average and directly supervise the majority of a workforce. however, recent research shows that there is a lack of people skills among many first-line leaders. they represent the most important group of leaders in an organization, as they are involved in all aspects of a company from strategy to customer satisfaction. Developing first-line leaders must be high on a company’s agenda. First-line leaders are generally promoted to their post based on technical skills and knowledge; but it is their people skills, which often determine their effectiveness and success in their new leadership role.
• Leadership Skills Are Vital. Strong people-leadership skills (i.e., the abil- ity to lead people effectively) is vital in all employees and found to be three to four times more important to a leader’s career success than other skills. Better-performing companies report a much higher adoption of people-leadership practices. effective leaders should become experts in people-leadership areas such as Loading—thinking like a leader, coaching a team, getting results through others, and engaging employees.
• More Thoughtful Training. Just like in the workplace, employees also need more engagement in elements of their training. Many employees feel that they have too much work to do, while others say they have little or no capacity to do more with less. employees tend to not want to attend a one-off training day when they are pushed to work at full capacity, and still manage their regular workload. employees will appreciate learning that is relevant, practical, and challenging; boot camp training is out.
M14_WALK2761_07_SE_C14.indd 616 09/24/16 8:09 AM
chapter 14 Leadership and Management 617
• Choosing a Leadership Style that Works. We all have a preference in the way that we lead a team or an organization. It is imperative that all leaders, even in the hospitality industry, choose that leadership style and sometimes learn to adapt it for certain people. Some people might be coercive, authoritative, democratic, pacesetting, or coaching. the key to being an effective leader is learning when to use each of these techniques and, more importantly, when to switch.
• Understand Your Organization. Being part of the hospitality industry means being in contact with so many different types and numbers of people, including those that may be your employees, competitors, customers, suppliers, and government. It is important to understand your organization to help ensure all functions of the business are working smoothly. It is also very important that all staff know your company’s organizational chart, which may display the executive staff and positions.
• Accepting Responsibility. as a leader in this industry you will need to make many decisions, some being tougher than others, while some also being more impactful than others. Leaders should never shift the blame from themselves onto someone else. they should be quick to accept responsi- bility where due and to apologize for a mistake they or their organization has made. Specifically within the hospitality industry, a good leader will be able to create a positive outlook on most situations even when dealing with an angry customer, poor decisions, or poor profit reports.
• Exceptional Listening. exceptional customer service stems from exceptional listening. although one may be a leader and ultimately be making the final decisions, it is important to listen to others. this includes the executive committee, all employees, all guests/customers, all competitors, and really everyone’s voice should be heard. Not only is this important to make everyone else happy but it will help the leader grow exponentially. this can help identify all needs and be able to take care of them in a quick and professional matter. as far as employees, it is very important to meet with them regularly as well as listen to all of their ideas, thoughts, and concerns.
• Don’t Hesitate to Ask Why. Some hospitality managers do exactly what corporate offices might tell them to do without questioning it. however, an on-site manager normally knows the facilities, functions, and employees better than anyone else in the organization. If a manager does not necessarily agree with or understand a decision, it is that person’s responsibility to step up and to not hesitate to ask why.
• Excel at Every Opportunity. to reach the apex of this organic brand- building process, hospitality organizations are re-evaluating their services and enhancing them to match the highest standards. If you expect your customers to give you genuine positive feedback, then the customer service, in every aspect of the hospitality business, has to create a definite wow factor. While many no-frills services have emerged over the past few years in response to the economic and competitive conditions, there is a new trend toward distinctive services. We can see these in the many innovative offers like online ordering, destination specials that partner with local wineries and eateries, digital in-room dining experiences for busy executives, hiring famous chefs as brand
M14_WALK2761_07_SE_C14.indd 617 09/24/16 8:09 AM
618 Part iv assemblies, events, attractions, Leadership, and Management
ambassadors, and strategic tie-ups with various service providers to make their experience enjoyable. hospitality organizations are going above and beyond to fulfill each customer’s need by offering multiple amenities and services, by having a positive attitude, and by catering to each guest’s needs.
Charles and Nancy both apply for the assistant front-office manager position at a 300-room upscale hotel. Charles has worked for a total of eight years in three different hotels and has been with this hotel for three months as a front-office associate. Initially, he had a lot of enthusiasm. Lately, however, he has been dressing a bit sloppily and his figures, cash, and reports have been inaccurate. In addition, he is occasionally rattled by demanding guests.
Nancy recently graduated from college with honors, with a degree in hospitality manage- ment. While attending college, she worked part-time as a front desk associate at a budget motel. Nancy does not have a lot of experience working in a hotel or in customer service in general, but she is quite knowledgeable as a result of her studies and is eager to begin her career.
It appears that Charles would be considered a prime candidate for the office manager position because of his extensive experience in other hotels and his knowledge of the hotel’s culture. In view of his recent performance, however, the rooms division manager will need to sit down with Charles to review his future career development track.
Discussion Questions 1. What are the qualifications for the job that should be considered for both applicants? 2. How should the discussion between the rooms division manager and Charles be handled?
Make specific recommendations for the rooms division manager. 3. Who would be the better person for the job? Why?
c a s e s t u D y
performance Standards
You have just been appointed assistant manager at an old, established, but busy, New York restaurant. Your employees respond to your suggested changes with the comment, “We have always done it this way.” The employees really do not know any other way of doing things.
Discussion Questions 1. How should you handle this situation?
c a s e s t u D y
reluctant to Change
M14_WALK2761_07_SE_C14.indd 618 09/24/16 8:09 AM
chapter 14 Leadership and Management 619
Summary
1. Leadership is defined as the process by which a person is able to influence the activities and outcomes of others in a desired way.
2. Contemporary leadership includes trans- actional and transformational types of leadership.
3. Increased demands placed on hospitality leaders include ownership, corporate, regu- latory, employee, environmental, and social interests. Leaders must balance results and relationships.
4. Managing is the process of coordinating work activities so that they are completed efficiently and effectively with and through other people.
5. Leaders, according to peter Drucker, realize four things and behave in much the same way.
(a) a leader is someone who has followers—some people are thinkers, and some are prophets. (b) an effective leader is not someone who is loved or admired, but rather
someone whose followers do the right things. popularity is not leadership; results are. (c) Leaders are highly visible. Leaders set examples. (d) Leadership is not about rank, privileges, titles, or money. It is about responsibility.
6. there are six key management functions: planning, organizing, decision making, communicating, motivating, and controlling. however, in addition to these functions, managers occasionally have to fill roles such as figurehead, leader, spokesperson, and negotiator.
7. the difference between management and leadership is that the former is the formal process in which organization objectives are achieved through the efforts of subordinates, and the latter is the process by which a person with vision is able to influence the behavior of others in some desired way.
Key Words and Concepts
communication controlling decision making effectiveness efficiency ethics frontline managers
human resources and motivating leader/manager leadership management managing middle managers
organizing planning top managers transactional leadership transformational leadership
review Questions
1. What kind of leader/manager will you be? 2. give examples of the management functions
as they apply to the hospitality industry. 3. Discuss the changing role of managers.
4. Define leadership and name the essential qualities of a good leader.
5. Distinguish between transactional and transformational leadership.
M14_WALK2761_07_SE_C14.indd 619 09/24/16 8:09 AM
620 PArT iV assemblies, events, attractions, Leadership, and Management
Internet exercises
1. Organization: Kiva Summary: Kiva is a microloan organization that facilitates loans to entrepreneurs in 83 countries. the purpose of the organization is to alleviate poverty, even in remote areas of the world.
(a) Describe the five-step process that will enable an entrepreneur to receive a loan. (b) Find an entrepreneur on the Web site and describe how their small busi- ness will directly or indirectly impact the hospitality industry in their community. (c) explain how to get involved with Kiva.
2. Organization: UN Global Compact Summary: the UN Global Compact works to encourage businesses across the globe
to implement sustainable and socially responsible principles. the organization has stakeholders in 170 countries. visit their Web site and answer the following questions:
(a) explain the 17 Sustainable Develop- ment Goals (SDGs). (b) Describe what you can do within the tourism and hospitality industry to help achieve any three of these goals.
3. Organization: International Leadership Association (ILA) Summary: the ILa is the global network for all those who practice, study, and teach leadership. review their Web site and an- swer the following questions:
(a) explain the six values of the ILa. (b) Describe the achievements of the ILa and their goals for the future.
apply Your Knowledge
1. Your resort has management vacancies for the following positions: executive chef, executive housekeeper, and front-office
manager. List the traits and characteristics that you consider essential and desirable for these positions.
Suggested activity
1. reach out to a person working in the tourism and hospitality industry who you
believe is a strong leader. Describe their leadership characteristics.
endnotes
1. Strategic Leadership Studies, “Marine Corps Leadership traits,” http://www.au.af.mil/au/awc /awcgate/usmc/leadership_traits.htm (accessed june 5, 2015).
2. U.S. Marine Corps association, Guidebook for Marines, 19th ed. (Quantico, va: U.S. Marine Corps association, 2009), Chapter 5, pp. 43–49.
M14_WALK2761_07_SE_C14.indd 620 10/06/16 12:42 PM
chapter 14 Leadership and Management 621
3. For a more detailed review of the many leader- ship theories, consult one of the many texts on the topic and http://www.ritzcarlton.com (accessed December 8, 2014).
4. horst Schultz, presentation to the University of South Florida School of hotel and restaurant Management, March 26, 2005.
5. Ibid. 6. Capella hotel group, “Company Overview,”
http://www.capellahotelgroup.com. Click on Company profile (accessed November 26, 2014).
7. Capella hotel group, http://www.capellahotel group.com (accessed November 26, 2014).
8. Jay r. Schrock, presentation to the University of South Florida students and faculty, May 2, 2005.
9. Brainy Quote, http://www.brainyquote.com/. Search for quotes by “vernon Law” (accessed January 1, 2012).
10. adapted from peter F. Drucker, “Foreword,” in The Leader of the Future, ed. F. hesselbein, et al. (San Francisco: Josey-Bass, 1996), xii–xiii.
11. Mark W. McCloskey, Learning Leadership in a Changing World: Virtue and Leadership in the 21st Century (New York: palgrave Macmillan, 2014), 185.
12. John r. Walker and Jack e. Miller, Supervision in the Hospitality Industry: Leading Human Resources (New Jersey: John Wiley and Sons, 2009), 22.
13. Stephen p. robbins and Mary Coulter, Manage- ment, 9th ed. (Upper Saddle river, NJ: pearson, 2007), p. 7.
14. Brainy Quote, http://www.brainyquote.com/. Search for quotes by “henry Ford” (accessed November 28, 2011).
15. personal correspondence with ali Kasiki, august 4, 2005.
16. Kelly, Sam, “Sustainable Leadership,” Prezi, March 24, 2001, https://prezi.com/8pyr89n1k6_c/sustainable- leadership (accessed November 17, 2001).
17. United Nations global Compact, “Blueprint for Corporate Sustainability Leadership,” www . unglobalcompact.org. Search for “Blueprint for Corporate Sustainability Leadership” (accessed March 19, 2015).
18. Steve Chandler, 100 Ways to Motivate Others: How Great Leaders Can Produce Insane Results Without Driving People Crazy (Sydney, australia: readhowYouWant.com, 2008).
19. Holy Bible, New International Version. [Colorado Springs]: Biblica, 2011. BibleGateway.com. Web (accessed June 5, 2015).
20. Stephen S. hall, ed., Ethics in Hospitality Management: A Book of Readings (east Lansing, MI: educational Institute, american hotel & Lodging association, 1992), 75.
21. hall, Ethics in Hospitality Management, 108.
M14_WALK2761_07_SE_C14.indd 621 09/24/16 8:09 AM