Hotel_Management_and_Operations_by_Denney_G_Rutherford,_Michael

81Section 2.2 ᭿ Organizational Design

accounting department that connects to oper- We make two final points about the ac-
ations, cost accounting, and cost control counting department. First, accounting is re-
throughout the hotel. This often results in the sponsible for collecting and reporting most of
department being called the controllers’ de- a hotel’s operational and financial statistics. It
partment rather than the accounting depart- therefore plays an important hotelwide staff
ment. The two central concerns of accounting role as data provider for decision-making and
control are rooms and food and beverage. The budget preparation. Second, the accounting
accounting department’s front office cashier department head is responsible not only to
tracks all charges to guest accounts. The night the hotel’s GM but also to the hotel chain’s fi-
auditor reconciles all guest bills with the nancial vice president or to the hotel’s owner.
charges from the various hotel departments. The reason for this dual reporting relation-
Although these employees work at the front ship is to provide the hotel corporation an in-
desk and sometimes have direct guest con- dependent verification of the accuracy of the
tact, they are members of the accounting de- financial and operating results of the hotel—
partment and report to the assistant that is, independent from the GM. Thus, unity
controller for operations. of command is routinely violated in the case
of hotel controllers.
The food and beverage controller, and the
food and beverage cashiers, who work in the ᭤ STRENGTHS AND
accounting department, keep track of the rev- WEAKNESSES OF A
enues and expenses of the food and beverage FUNCTIONAL
department. Food and beverage cashiers re- ORGANIZATION
port to the assistant controller for operations,
and the food and beverage controller reports The reason for organizing a business along
directly to the hotel controller. The food and
beverage department may be responsible for functional lines is to group employees who
food preparation and service, but the ac- perform similar tasks or have similar skills.
counting department is responsible for col- The strength of a hotel’s functional organiza-
lecting revenues! The food and beverage tional design is the resulting efficiency within
controller verifies the accuracy and reason- individual departments or subunits. Perfor-
ableness of all food and beverage revenues. mance of common tasks allows for work
The accounting department is responsible for specialization, which increases overall pro-
tracking and preparing daily reports on the ductivity. Because functional departments
costs of the food and beverage used in the ho- perform similar tasks, workers rapidly de-
tel. In many cases, the accounting department velop specialized skills and knowledge. Train-
is also responsible for purchasing and store- ing is easier because of task similarity and the
room operations. Finally, the director of sys- many opportunities for inexperienced work-
tems is responsible for designing the ers to learn from experienced workers. This
accounting and management information helps new employees quickly learn the skills
systems used throughout the hotel. This dis- and behavioral patterns that lead to success.
cussion demonstrates the accounting depart-
ment’s direct involvement in day-to-day
operational aspects of the hotel.

82 Chapter 2 ᭿ Organization

A functional organization is a logical way are likely so different that either would be at
to organize work because it fosters efficiency, a loss if placed in the other’s department. The
teamwork, and coordination within depart- director of sales might have a marketing or
ments. However, the functional design’s most general business degree and spend a career in
important strength is also the source of its sales-related work. The food and beverage di-
greatest shortcoming. The success of a hotel is rector, on the other hand, could have a culi-
measured by its overall performance, not the nary diploma and a hospitality degree,
performance of one department. A functional extensive food production and service experi-
department’s strength lies in its ability to fo- ence, and little or no sales experience. One of-
cus on its own tasks and activities. Although ten finds accountants running the controller’s
this is surely important for departmental effi- office, engineers in charge of engineering and
ciency, it does not necessarily ensure the over- maintenance, individuals with degrees in per-
all effectiveness of a hotel. Because they are sonnel administration heading the personnel
specialized, it is sometimes difficult for func- department, and a variety of educational
tional departments to fully appreciate the re- backgrounds among rooms managers.
lationship between their performance and the
overall performance and goals of the hotel. Managers educated in hotel administra-
All departments must keep hotelwide goals tion are capable of filling most department
of customer service and profitability in mind head slots. The longer managers stay in one
rather than focus narrowly on their own con- department, the more narrowly specialized
cerns. A method must be found to coordinate they become. While a manager may perform
the activities of individual departments and to well within one department, he or she may be
set hotelwide strategies and goals. Left to unprepared to address problems that require
themselves, it is unlikely that individual de- a hotelwide knowledge and perspective. Nar-
partments would be capable of doing this. row specialization can result in bias, mistrust,
Specialization at the department and subde- and friction between departments unless up-
partment levels results in the need for leader- per management takes steps to counter this.
ship at the top of an organization. Someone Individual departments may pursue their own
above the departments must set the overall narrow interests rather than broader overall
strategic course of the hotel, set hotelwide goals and objectives (Dann and Hornsey
goals, coordinate activities between depart- 1986). This is a particular problem for hotels
ments, and arbitrate interdepartmental dis- because of the need for close interdepartmen-
putes. A hotel’s functional organization tal cooperation in providing guest services.
demands strong leadership at the top.
᭤ HOW MEETINGS HELP
While functional departments produce COORDINATE THE
specialists within a narrow skill category, they ACTIVITIES OF A HOTEL
do not develop executives with broad hotel
exposure. Consider the heads of a hotel’s There is plenty of potential for service break-
marketing and food and beverage depart-
ments. These two executives might only have downs in hotels. A well-thought-out set of
superficial knowledge of each other’s spe- standard operating procedures and systems
cialty. Their education and work experience

83Section 2.2 ᭿ Organizational Design

can decrease the chances of many routine Quite apart from decision making, EOCs
mistakes. Still, because of the amount of re- play an important communications role
ciprocal interdependence that exists between within hotels. This occurs by virtue of the fact
departments, close cooperation is a must. that EOC members meet regularly to discuss
Nowhere is this more important than at the hotel business. Any time meetings are held,
department-head level, where differences in communication takes place. Scott and
functional specialties are most extreme Mitchell (1976) identify four functions of
(Dann and Hornsey, 1986). The vehicle often communication:
used to foster cooperation between function-
ally specialized departments is the executive 1. To provide information that helps execu-
operating committee (EOC). tives in their decision making

The Executive Operating Committee. 2. To motivate by fostering a commitment
The EOC is made up of the GM and other to organizational objectives
hotel senior executives. There’s no magic for-
mula for EOC membership, but usually it’s 3. To control by resolving ambiguities in the
those executives who report directly to the role, responsibilities, and duties of execu-
GM. Thus, the EOC consists of the most sen- tives
ior members of a hotel’s management staff:
the heads of the functional departments who 4. To afford individuals the opportunity to
report directly to the GM and are responsi- express their feelings and emotions
ble for the hotel’s major budgetary units. A
subgroup of these executives—the GM, It is important to note that all four of
rooms manager, sales and marketing direc- these functions of communication may take
tor, food and beverage director, and con- place during meetings. Meeting frequency,
troller—usually produce the hotel’s agenda, and the amount of decision making
occupancy, revenue, and profit forecasts for delegated to an EOC depend on a variety of
each year. These forecasts form the basis for factors. The more participative the GM’s
the hotel’s overall annual budget, and meet- management style, the more likely the EOC is
ing annual budget goals determines execu- engaged in joint decision making. Authoritar-
tive bonuses. ian GMs find little need to foster a strong
EOC. The greater the need for change within
The exact duties of an EOC vary from ho- a hotel, the more likely it is that EOC meet-
tel to hotel. The duties and responsibilities of ings are frequent. The less experienced the
groups can be spelled out in detail or left am- hotel’s department heads, the more helpful
biguous. A hotel’s EOC can be loosely struc- frequent EOC meetings are because they can
tured or highly structured. An important serve as a learning and training vehicle for in-
question GMs must answer is the amount of experienced managers.
authority they wish to delegate to the EOC.
Depending on the circumstances, one EOC Under the influence of a skilled GM, the
might be structured to make certain group de- EOC can play an important role. Some of the
cisions, a second to play a strong though con- ways it may be useful are:
sultative role to the GM, and a third to have a
weak or nonexistent decision-making role. • To foster group problem solving and deci-
sion making

• To build a feeling of joint responsibility
for overall hotel performance

84 Chapter 2 ᭿ Organization

• To help instill common attitudes and be- One of the first things to note is the
liefs among top executives sheer number and diversity of meetings.
Surely, one might say that if a hotel were to
• To foster top-down, bottom-up, and hori- hold all of these meetings, there would be
zontal communication little time left over to do any work! In fact,
the effective management of hotels requires
• To assign duties, assess progress, and con- frequent meetings. They are part of the work
trol activities of the hotel. Table 2.1 shows an average of
249 scheduled meetings each year dealing
• To build interdepartmental cooperation with interdepartmental issues. Also, the GM
attends 295 regularly scheduled meetings
• To teach, coach, and build a responsive each year. In many hotels, this is the actual
senior executive team case.

• To ensure acceptance of priorities and de- There is no denying that meetings are
cisions by senior management time-consuming and sometimes unproduc-
tive. Still, there doesn’t seem to be a better
Other Hotel Committees and Meetings. way to effectively manage a hotel (Conlin
Well-managed hotels address the need for co- 1989). One often finds frustrated, dissatisfied
ordination of activities through an elaborate executives in hotels where there are too few
structure of committees and meetings. Just meetings. These executives complain about
like a hotel’s organization chart, these com- not being kept informed of what is going on.
mittees and meetings constitute a formal part As elementary as it may seem, it is easy for a
of a hotel’s organizational structure. The GM hotel to fail to keep its managers and employ-
usually prescribes a hotel’s committee and ees adequately informed. This shortcoming
meeting structure. Each group’s responsibili- can have disastrous consequences for the atti-
ties are spelled out (sometimes in great tude and morale of a hotel’s staff. A second
detail), regular meeting schedules are pro- complaint relates to service breakdowns that
mulgated, and minutes are often taken and occur as a consequence of too few meetings.
distributed to participants and to higher-level Hotels are subject to frequent, usually daily,
executives, including the GM. The committee changes. Meetings must be scheduled fre-
and meeting structure of a hotel should be a quently in such an environment, or their ef-
well-thought-out part of its formal organiza- fectiveness is lost. Too few meetings results in
tional structure. confusion over a hotel’s goals and objectives.
People need to know what is important to the
The purposes of the committees and hotel. What does it value most? What does it
meetings in a hotel vary with the complexity stand for? What constitutes good perfor-
of the hotel. They address a range of concerns mance? Because hotels provide many intangi-
including daily operations; intradepartmental ble services, a constant effort must be made at
and interdepartmental issues; hotelwide con- all levels to provide answers to these ques-
cerns; and financial, personnel, and marketing tions. Meetings are an effective means of ac-
issues. Table 2.1 lists the regularly scheduled complishing this vital management function
meetings of a typical large hotel. While not (Hosansky, 1989).
the meeting schedule for an actual hotel, it
could be. It will pay dividends to review this
list carefully. The meetings a hotel holds pro-
vide clues about what it takes to manage it.

85Section 2.2 ᭿ Organizational Design

Table 2.1 Typical Meetings Structure for a Major Hotel

Meeting Attendance Frequency Purpose Meeting
Length

Operations GM, department heads, front 1 to 5 Review upcoming day’s activities 15 to 30
Staff office, manager on duty, times per
housekeeping, security, week and previous day’s results minutes
engineering, executive chef
GM, department heads, Weekly Review last week’s performance, 1 to 2
all subdepartment managers this week’s activities, next week’s hours
reporting to department heads 1 to 4 plans and special projects;
times per present performance awards 1 to 2
Executive GM, department heads month Performance review, hours
Committee 1 to 4 policy, strategy 1 to 2
times per formulation hours
Sales GM, resident manager, month Review room demand
Forecast front office, for upcoming 90 days, 1 hour
and sales, reservations 1 to 2 devise strategies to
Marketing times per increase room-nights
month average rates, or both
Department GM as needed, department head, Monthly Review department issues
and all subdepartment heads,
Subdepartment managers, and supervisors Monthly Subdepartment, department 1 hour
Department head as needed, issues 1 hour
Credit subdepartment head, all members, Monthly
management, and staff Review accounts receivable
Safety GM, controller, sales, front Monthly
office, reservations, catering Review safety program and 1 hour
Energy and credit manager Semi- safety record 1 hour
Conservation Personnel, food and beverage, annually Control of energy costs
housekeeping, and engineering
Supervisory Chief engineer, resident manager, Annually Review hotel performance, 1 hour
Staff food and beverage, personnel, present awards, start new
Meeting rooms, and housekeeping Monthly programs 1 hour
Annual All management and supervisory Year-end review of 1 hour
Meeting personnel Monthly performance and awards 1 hour
Employee Informal communication
Meetings All hotel management and discussion
Supervisor/ and employees Informal communication
Junior GM and selected employees from and discussion
Manager throughout the hotel
GM and selected first-line
supervisors and junion
managers

86 Chapter 2 ᭿ Organization

Hotels are businesses that require an ex- ployed to overcome this problem is a formal
traordinary degree of interdepartmental co- meeting structure designed to foster interde-
operation in order to provide high-quality partmental communication and cooperation.
guest service. The functional organizational Thus, an important part of management’s or-
design used in most hotels fosters efficiencies ganizing function is to design an effective
within each department of a hotel but is weak meeting structure that compensates for and
with respect to coordination between depart- complements a hotel’s functionally depart-
ments. One of the organizing strategies em- mentalized organization.

2.3 A S I S E E I T : H O T E L
ORGANIZATION STRUCTURE

Mark Conklin

One way to represent the environment in our subtle but powerful message. Employee sug-
hotel is a chart I use at our new-hire orienta- gests a class structure wherein someone is al-
tion class (see Figure 2.3). I call this a reverse ways organizationally inferior to someone
organizational chart; it is also referred to as else.
an organizational pyramid—and, as you can
see, the GM is on the bottom of the hierarchy. It is my belief that the front line associate
is the most important person in the hotel, be-
At the top is the customer. Customers are cause he or she serves the customer. The job
the reason we are here. This focus on our of the supervisors, managers, and the leader-
guests creates alignment throughout the ho- ship team is to:
tel. Our mission is to ensure that every guest
leaves satisfied and wants to return, thus en- • Support the front line and remove the
suring customer loyalty. One of Marriott’s barriers to doing good work.
fundamental beliefs is: “If you take good care
of your employees, the employees will take • Lead and help people do their jobs better.
good care of your customers.” This belief is at
the core of who we are and what we believe in This means managers support the front
as a company. line by:

I say that we have two types of customers: • Demonstrating concern for associates
external customers—our guests—and inter- (and it must be sincere).
nal customers, who are the hotel’s associates.
I don’t use the term employee but have re- • Solving their problems quickly and fairly.
placed it with the word associate. The differ-
ence is that employees work for you and • Above all, treating associates with dignity,
associates work with you. Associate implies kindness, and respect.
partnership and working together, which is a
To accomplish this, leaders must develop
working relationships with associates that are
based on mutual trust. Quite simply, it is my

87Section 2.3 ᭿ As I See It: Hotel Organization Structure

Figure 2.3 Reverse Organizational • We involve our hourly associates in the
Chart selection process—after all, they have to
work with the new people; therefore, line
Guests associates and managers take collective
responsibility for the success of a newly
Associates hired associate.

Management Invest in Training

GM • Our emphasis on training is a reflection of
Marriott’s corporate culture. We invest in
building the skills and knowledge of asso-
ciates to give them the tools to succeed.
We also provide them with an operational
framework (standard operating proce-
dures) that represents the foundation for
our training.

fundamental belief that our associates will Create Empowered Associates
not treat our customers any better than we
treat them. This is the cornerstone of our cul- • The foregoing combination of training
ture, and the challenge is to keep this idea and standards creates empowered associ-
alive as the company grows. ates who have the authority, accountabil-
ity, and confidence to do their jobs. Years
As leaders, it is our job, then, to establish ago, we were challenged to operate our
the direction and to create the environment hotels with fewer managers. To accom-
where people focus on our customers. We set plish this and to improve customer ser-
the tone for outstanding service, which re- vice, we had to have trained, empowered,
quires a lot of coaching and leadership. and involved associates running the
business.
Putting the GM at the bottom of the pyra-
mid shows that the leader actually works for • These systems and standards and this at-
the people who work with the leader. I view tention to detail help us deliver a consis-
my role as doing whatever it takes to gain and tent product and reliable service, which
keep customers. To create this environment, gives customers confidence and trust in
I’ve tried to capture the following key operat- our brand name.
ing principles:
Recognize and Promote
Select the Right People
• Recognition in our organization takes
• We work hard to select the right people place in many forms to create a positive
using predictive screening tools. We look environment. One of the greatest ways to
for people whose talents predispose them show appreciation is by promotion. More
to provide great service and who have the than 50 percent of our managers started
highest potential to fit in with our culture. as hourly associates.

88 Chapter 2 ᭿ Organization

• Our associates like us, they trust us, and Finally, it is my strong opinion that our
they act in our best interests. Recent com- managers should be hands-on. The hands-on
panywide associate opinion surveys indi- manager is one who stays close to the cus-
cate that 95 percent of our associates tomer and close to the associate—and hands-
rated Marriott as an average or above- on managers never forget who is making
average place to work. This is 15 points them successful.
above the service industry norm.

REFERENCES

Aldag, Ramon J., and Timothy M. Stearns. 1987. Up the Corporate Ladder.” Successful Meet-
Management. Cincinnati: South-Western. ings 38(5):51–52.
Pelletier, Ray. 1988. “Overnight Success Takes
Conlin, Joseph. 1989. “Management Strategy: Get Some Time.” HSMAI Marketing Review
Control!” Successful Meetings 38(7):37–42. 7(1):16–20.
Scott, W.G., and T.R. Mitchell. 1976. Organization
Dale, Ernest. 1967. Organization. New York: Theory: A Structural and Behavioral Analysis.
American Management Association, p. 9. Homewood, IL: Richard D. Irwin.
Stoner, James A., and Charles Wankel. 1986. Man-
Dann, D., and Timothy Hornsey. 1986. “Towards a agement. Englewood Cliffs, NJ: Prentice-Hall,
Theory of Interdepartmental Conflict in Ho- pp. 233–234.
tels.” International Journal of Hospitality Man-
agement 5:23.

Hosansky, Mel. 1989. “Meetings Give You a Leg

SUGGESTED READINGS

Books Schaffer, Jeffrey D. 1984. “Strategy, Organization
Structure, and Success in the Lodging Indus-
Nebel, Eddystone C., III. 1991. Managing Hotels try.” International Journal of Hospitality Man-
Effectively: Lessons from Outstanding General agement 3(4):159–165.
Managers. New York: Van Nostrand Reinhold.
Schaffer, Jeffrey D. 1985. “A Dynamic Model of
Articles Organizational Performance in the Lodging
Industry: The Role of Competitive Strategy
Pondy, L.R. 1967. “Organizational Conflict: Con- and Organization Structure.” Proceedings.
cepts and Models.” Administrative Science CHRIE Conference, Seattle, WA, pp. 168–173.
Quarterly 12:296–320.

SOURCE NOTES

Chapter 2.2, “Organizational Design,” by Eddys- Chapter 2.3, “As I See It: Hotel Organization

tone C. Nebel III. Structure,” by Mark Conklin.

chapter three

GENERAL MANAGERS: A
VIEW AT THE TOP

3.1 I N T R O D U C T I O N

In most companies, someone who has at- ported a high degree of job satisfaction. He
tained the title of general manager (GM) or also provided an analytical framework for re-
something similar heads the organization. porting how these GMs allocated time and
Most of us in the hotel field consider this job importance to a number of classic managerial
the acme of one’s career. In many hotel com- roles. The most important of the managerial
panies, the job serves as the springboard to roles ranked by the GMs were (in descending
corporate jobs or larger and more prestigious importance): leader, entrepreneur, monitor,
properties. and disseminator, with six others (figurehead,
liaison, spokesman, disturbance handler, re-
In previous editions of this book, I noted source allocator, and negotiator) assuming
how surprising it is that so little has been writ- less importance (see also Mintzberg, 1973).
ten about hotel general managers. Little
structured attention was paid to the develop- Readers of Arnaldo’s article may be
ment of their careers and the skills and struck by the similarities that echo in Nebel
strengths they bring to their jobs. Strangely, and Ghei’s contribution here. Another useful
this is still the case. comparison can be made by reading Ar-
naldo’s work with that of David Ley (1980).
A 1981 article by Arnaldo presented a This work, based on a small sample of seven
statistical profile of hotel general managers. GMs in comparable properties in one hotel
Arnaldo drew a demographic picture of his company, recorded how much time the GMs
sample (n ϭ 194) and commented that al- allocated to the same managerial work roles
though GMs changed jobs frequently, they re-
89

90 Chapter 3 ᭿ General Managers: A View at the Top

(Mintzberg, 1973). The difference here was and developing mentoring relationships can
that Ley asked for a corporate office rating of have a positive effect on several aspects of a
each GM’s effectiveness. He compared the ef- GM’s career.
fectiveness ratings (highly effective, effective,
and less effective) to the observed time allo- Another view of the career and personal
cations of the GMs to leadership and entre- aspects of the GM’s job is discussed by
preneurial activities. Ley concluded that in Pavesic and Brymer (1990). In a number of
this small group, the more effective managers studies in recent years, they have looked at
spent more time on entrepreneurial activities the roles job satisfaction and stress play in
than leadership activities. In contrast, Ar- managerial careers. In a review of this techni-
naldo’s much larger group of GMs devoted cal research, the authors interpret the behav-
much more time to leadership than entrepre- ioral dimensions of the GM’s career, work
neurship. This should suggest to the reader values, and personal challenges. Hotel careers
some interesting questions about what sorts are challenging, but as these researchers point
of activities might best prepare future GMs out, they do not have to be arduous.
for that role.
In the research reported by Woods,
This makes the Nebel and Ghei piece all Schmidgall, Sciarini, and me, we sought an-
the more interesting, for while still a small swers to questions regarding the importance
group, their GMs were studied intensely, and of various operational measures, and at the
the authors propose a structural framework same time asked GMs for suggestions about
from which to view the job of GM. If you will, the structure of a hotel-related education.
it is a hotel general manager theory that can Students reading this article find solid sugges-
be used to explain, predict, or control the po- tions from successful GMs, as the sample for
sition of GM. the study was drawn from mostly upscale and
luxury hotels with more than 500 rooms.
A central aspect of career development Much of the financial data are out of date, but
among GMs is explored by Rutherford and many of the conclusions are still viable.
Wigenstein (1985), which looked for the first
time at the role of mentoring as it could be In an interesting new article, Beth Chung-
measured to affect the success and satisfac- Herrera and her colleagues study the specific
tion of a modern hotel GM’s career. skills and competencies demonstrated by suc-
cessful hotel leaders. The model they develop
Although the demographic, salary, and can be useful to hotel organizations, schools,
operational data in that article are out of date, and professionals crafting the structure of
the focus of the research can still be useful to successful careers.
those who aspire to the top job in a hotel or-
ganization. Also, because the literature on ho- Speaking of success, the three profession-
tel GMs is so sparse, the insights gained from als who contribute their thoughts on the job
the managers studied in this case add flesh of GM have attained that level in separate ar-
and tone to the work of the other authors in- eas of the country and for different types of
cluded in this section. In the mentoring re- organizations. The employment circum-
search, Rutherford and Wigenstein conclude stances of each have also changed since the
that there is ample evidence that seeking out previous edition.

Previously the GM of the Rosen Centre

91Section 3.2 ᭿ A Conceptual Framework of the Hotel General Manager’s Job

Hotel in Orlando, Florida, Emilio Fabico is about him was operations manager at the
now in the management structure of the Dis- Westin Innisbrook Resort near Tampa,
ney World Resort complex, also in Orlando. Florida. He is now GM of the Rancho
His perspectives from the standpoint of the Bernardo Inn near San Diego. His observa-
GM and as a member of a management team tions about managing a relatively small but
do not necessarily change. Speaking through top-quality resort differ from his previous ex-
his writing like he was a guest in your class, perience, but both work together to con-
Mr. Fabico shares his insights about manage- tribute to his success.
ment in this fascinating industry.
From an academic standpoint, the Nebel
In the third edition of this book, Rob and Ghei contribution, coupled with the piece
Balmer shared his experiences as the GM of a by Chung-Herrera et al., can be considered
DoubleTree Club Hotel in Las Vegas. the overarching theory guiding the hotel
DoubleTree is part of the Hilton family of ho- GM’s job. Fabico, Peckenpaugh, and Balmer
tel products. Since then, he has managed an- provide us with the insights and views of in-
other DoubleTree in California and was siders and with clear evidence that the theory
recently promoted to GM of the Hilton Bur- actually works in practice. This is my goal for
bank Airport and Convention Center Hotel, this edition of this book: to provide the reader
moving up in complexity and responsibility. with the opportunity to see that there should
His view from the top is instructional. be a connection between the book learning of
the classroom and what happens in the real
Another contributor from the last edition world.
is Bob Peckenpaugh, who when we last read

3.2 A C O N C E P T U A L F R A M E W O R K O F T H E
HOTEL GENERAL MANAGER’S JOB

Eddystone C. Nebel III and Ajay Ghei

Abstract. This article, based on the research of one of the authors into hotel general man-
agers’ effectiveness, presents the viewpoint that the job of a hotel general manager can be
better understood by analyzing the influences that shape it. The two major contextual el-
ements that influence the job are deemed to be job demands and relationship issues. They
differ depending on the time frame (short-run, intermediate-run, or long-run) under con-
sideration. These two elements give rise to specific job functions and concomitantly sug-
gest various managerial work roles that must be performed in each job function. Finally,
the importance of the communications requirement for being effective in the job is em-
phasized. Key Words: Job demands, relationship issues, time frame, job functions, mana-
gerial work roles, communications requirement.

92 Chapter 3 ᭿ General Managers: A View at the Top

Major hotels of today are diverse, multifac- and managerial complexity. Thus, the smallest
eted, and fast-paced businesses engaged in a participating hotel was an internationally
wide variety of operational activities. Their renowned luxury property of about 400
organizational and operational complexity in- rooms, and the largest was a great convention
creases with size. A hotel, irrespective of hotel of nearly 2,000 rooms. The author
whether it is an independent or part of a stayed as a guest at each hotel, observed each
chain, can be managed as a separate, inde- GM for three days as he proceeded through
pendent business entity. Thus, each individual his normal workday, and recorded his every
hotel can, in effect, be treated as a unique activity. The research methodology followed
profit center. While it takes more than one closely that employed by Kotter (1982). It em-
person to effectively manage a hotel, the ex- ployed a combination of participant observa-
ecutive with overall operational responsibility tion of GMs at work, extensive personal
for this business is the general manager (GM) interviews with both the GMs and 53 of their
of the hotel. “The general manager is the key key division heads, background surveys, and
implementer of the business strategy for the analysis of organizational and operational in-
property and the behavioral role model for formation from each hotel. The personal in-
the entire management team” (Eder and Um- terviews extended over a number of days and
breit, 1989, 333). It can thus be argued that the took between four and six hours with each
GM is the central management figure in the GM, and about one hour with each of their di-
hotel business. The demands and challenges vision heads. In addition, informal interviews
of managing hotels are reflected in the com- were conducted with at least 100 other execu-
plexities of the GM’s job. tives and employees of the ten hotels. The
field research was conducted while the author
This article takes a close look at the con- was on sabbatical leave and resulted in over
text in which GMs of major hotels work and 700 pages of field notes, which were subjected
how this context affects the nature of their job. to extensive qualitative data analysis.
It is based on the research of one of the authors
(Nebel, 1991) into the managerial effectiveness From this analysis and from an exhaustive
of hotel GMs. The purpose of the research was, review of the literature on managerial work in
in part, to better understand the nature of the hotels (Guerrier, 1987; Guerrier and Lock-
GM’s job, and through this understanding de- wood, 1991; Koepper, 1988; Ley, 1978; Shortt,
velop a conceptual framework of it. As Dann 1989; Umbreit, 1986) there has emerged a
(1990) has stated, “[T]here is now a need to . . . view of the hotel GM’s job that is given in
develop a conceptual framework for the better Figure 3.1, which presents a model of the in-
understanding of the actual nature of manage- fluences that shape the job. The model incor-
rial work in the hospitality industry.” porates ideas found in the research of Kotter
(1982) and Mintzberg (1973). Kotter (1982,
Ten extremely successful GMs of some of 10–33) showed how job demands and rela-
America’s finest hotels agreed to participate tionship demands affect executive behavior.
in the study. Each of the GMs studied was an Mintzberg (1973, 55–99) described ten sepa-
experienced, top-rated hotel executive with rate work roles that managers perform. Fig-
an average of ten years’ experience in the po- ure 3.1 reflects how the hotel context
sition. One research goal was to study hotels influences the various job functions and man-
that exhibited the fullest range of operational

93Section 3.2 ᭿ A Conceptual Framework of the Hotel General Manager’s Job

Figure 3.1 Influences That Shape the General
Manager’s Job

Specific
Job Functions

The Hotel Context: The GM’s Job
—Job Demands
—Relationship Issues

Generic Managerial
Work Roles

agerial work roles GMs must perform in or- late to a hotel’s short-run, intermediate-run,
der to be effective. or long-run time frame. The structure for this
table is adapted from Kotter’s study of mana-
The two major contextual elements of the gerial behavior (Kotter, 1982, 10–33).
GM’s job that affect the specific job functions
and the generic managerial work roles are job ᭤ THE SHORT RUN
demands and relationship issues. These, de-
pending on whether they relate to the short- The short-run demands on hotel GMs revolve
run, the intermediate-run, or the long-run
time frame, give rise to certain specific job around the daily, ongoing operational issues of
functions. They also suggest, in general, the providing high-quality guest service, control-
various managerial work roles GMs are re- ling costs, and maximizing revenues. Hotel
quired to perform. It is the symbiosis of these GMs bear direct responsibility for their prop-
specific GM job functions and the generic erties and thus, like operational managers in
managerial work roles that actually defines charge of profit centers anywhere, are under
the GM’s job. We now proceed to discuss each tremendous pressure to produce short-run re-
of the elements described in Figure 3.1. sults. They must therefore devote a substantial
amount of their time and efforts toward exer-
᭤ JOB DEMANDS AND cising effective operational control. An impor-
RELATIONSHIP ISSUES tant functional characteristic of hotels is that
many of their day-to-day business problems
Table 3.1 lists key GM job demands and rela- have extremely short lead times. That is to say,
most service-centered problems in hotels must
tionship issues according to whether they re-

94 Chapter 3 ᭿ General Managers: A View at the Top

Table 3.1 Key Job Demands and Relationship Issues of Hotel GMs

Time Frame Key Job Demands Key Relationship Issues

Short Run Day-to-day operational Intense and frequent
Intermediate Run control of service, costs, and downward, internal verbal
Long Run revenues. Intense pressure communication and
to earn profits and render interaction with hotel
high-quality service. subordinates.
Train and develop Downward internal
subordinates. Fine-tune communication. Lateral
hotel’s service strategy to communication with the
changing external external environment.
environment. Develop and Upward communication with
refine the organization corporate superiors and staff
structure. specialists or owners.
Capital expenditure Downward internal
decisions in line with hotel’s communication to further
strategic service vision. stability and vitality. Lateral
Develop and sustain communication with the
organizational stability and external environment.
vitality. Intense upward
communication with
corporate office or owners.

be solved quickly or not at all. Moreover, ma- tional controller. However, the heavy work-
jor hotels are both organizationally and oper- load of short-run operational demands must
ationally complex businesses in which not take up all the time of GMs, as they must
numerous, highly diverse activities take place also concentrate on intermediate-run and
constantly as well as concomitantly. long-run demands and issues as well.

To stay on top of this complicated short ᭤ THE INTERMEDIATE RUN
lead-time business is unquestionably the sin-
gle most challenging and demanding aspect of In addition to their involvement in daily op-
the GM’s job. To be able to do so effectively
and in a proactive manner so as to retain the erational issues, effective GMs must train and
ability to influence events, GMs must engage develop subordinates as well as formulate
in intense verbal communication and interact plans and programs that systematically im-
frequently with subordinates. In discharging prove their operational control over the ho-
these responsibilities, a hotel GM can be said tel. As changes take place in the external
to be performing the job function of opera-

95Section 3.2 ᭿ A Conceptual Framework of the Hotel General Manager’s Job

environment, GMs must adapt and fine-tune zational stability of the hotel. Capital expen-
the hotel’s service strategy and organizational diture decisions are required in order to en-
structure on an ongoing basis to keep abreast sure the long-run viability of the hotel, and
of these changes. These initiatives represent a they therefore must be consistent with the ho-
proactive response to the operational de- tel’s strategic service vision. The other impor-
mands of the business; they take time to im- tant long-run demand on GMs is the need to
plement and constitute the bulk of develop a degree of organizational stability
intermediate-run demands faced by a hotel and vitality that is in tune with the hotel’s
GM. These intermediate-run demands, then, carefully planned and clearly defined strate-
involve putting into place a hotel’s organiza- gic service vision.
tional structure, systems, and people who are
capable of quick and effective response to ex- The key relationship issues for long-run
ternal stimuli and who can simultaneously capital expenditure decisions are communica-
help the hotel meet its demanding daily oper- tions upward with corporate executives or
ational commitments. Thus, in effect, the GM owners and laterally with an assortment of in-
is fine-tuning the hotel’s service strategy and dustry and community contacts as sources for
refining and realigning its operating systems intelligence concerning the hotel’s competi-
to ensure a smoothly functioning business. tive operating environment. Developing orga-
nizational stability depends on ongoing
All these efforts require intense, down- programs of human resources training and
ward internal communication and a high de- development and of sequential career pro-
gree of interaction with subordinates. In gression. Many of the human resource pro-
addition, intermediate-run job demands re- grams that foster intermediate-run goals
quire the GM to develop communication ultimately benefit long-run organizational
channels and to nurture relationships that ex- stability and vitality.
tend beyond the specific domain of the hotel.
These relationships include, first, a wide-rang- Organizational stability enables a hotel
ing network of hospitality industry and com- to consistently deliver high-quality service
munity contacts who can help the GM better and effectively control day-to-day opera-
understand the hotel’s external environment; tions. Organizational stability and vitality
and, second, the GM’s corporate superiors and also gives the hotel the maturity and experi-
staff specialists, whose cooperation is needed ence required for it to rethink its basic mar-
for the successful implementation of the for- keting and service strategies in the event of
mulated specific plans and programs for the altered market or environmental conditions.
hotel. In carrying out these responsibilities, the Finally, stability permits the hotel to make
job function of a hotel GM can be referred to any required transition with minimal disrup-
as that of organizational developer. tion to its regular operational practices. Key
relationship issues associated with organiza-
᭤ THE LONG RUN tional stability include continual monitoring
of the external environment and intensive
Two important long-run demands of a GM’s downward communication within the hotel.
job relate to the capital needs and the organi- In fulfilling these responsibilities, the GM’s
job function can be described as that of busi-
ness maintainer.

96 Chapter 3 ᭿ General Managers: A View at the Top

᭤ ROLES PLAYED BY A tor, and negotiator. A brief description of
GENERAL MANAGER these generic managerial work roles is given
in Table 3.2.
This section is organized around Mintzberg’s
The influence of Mintzberg’s work is re-
study (1973), in which he suggested ten flected in the studies of hotel GMs by Ar-
generic work roles for managers. Mintzberg naldo (1981) and Ley (1978) and that of
grouped these ten work roles into three broad restaurant managers by Ferguson and Berger
categories: interpersonal, informational, and (1984). The previous section explained how
decisional. Interpersonal work roles included job demands and relationship issues had an
those of figurehead, leader, and liaison; infor- impact on the job functions of GMs. It was
mational work roles covered those of moni- from that discussion that we proposed the
tor, disseminator, and spokesperson; and three specific GM job functions of opera-
decisional work roles were those of distur- tional controller, organizational developer,
bance handler, entrepreneur, resource alloca- and business maintainer. Each of these three
job functions requires GMs to perform vari-

Table 3.2 General Managerial Work Roles

Work Role Description

Interpersonal Symbolic head of the organization. Required to perform certain legal activities
Figurehead and attend to social activities.
Responsible for staffing, training, direction, and motivation of subordinates.
Leader Develops a network outside the organization to gather information.
Liaison
Informational Seeks and analyzes a wide variety of outside information (from liaison role)
Monitor and inside information (from leader role).
Transmits information received both from outside and inside the organization
Disseminator to other members of the organization.
Transmits information about the organization to outsiders.
Spokesperson
Decisional Takes corrective action whenever organization faces unexpected, nonroutine
Disturbance Handler disturbances.
Looks for ways to change the organization for the better. Seeks information
Entrepreneur externally and internally for improvement ideas. Initiates and supervises
improvement projects.
Resource Allocator Responsible for allocating all important resources of the organization, both
financial and human, including how the manager schedules own time,
Negotiator programs work, and authorizes actions.
Responsible for the organization’s major outside negotiations.

97Section 3.2 ᭿ A Conceptual Framework of the Hotel General Manager’s Job

Table 3.3 Combining Managerial Work Roles and Job Functions in Defining the
GM’s Job

Time Horizon GM Job Function GM Managerial Roles

Short Run Operational Controller • Monitor and Disseminator (of internal information)
Intermediate Run Organizational Developer • Disturbance Handler
• Resource Allocator (of own time)
Long Run Business Maintainer • Leader
• Liaison
• Monitor and Disseminator (of both external and internal
• information)
• Entrepreneur
• Resource Allocator (of own time, programs, and funds)
• Leader
• Liaison
• Monitor and Disseminator (of external and internal
• information)
• Resource Allocator (of programs and funds)
• Entrepreneur
• Leader

ous managerial work roles in order to be suc- ᭤ MANAGERIAL WORK
cessful. Combining the various managerial ROLES AS OPERATIONAL
work roles with the specific job functions CONTROLLER
helps provide a clearer understanding of the
GM’s job. These relationships are shown in The GM’s work as operational controller is
Table 3.3.
characterized by a high degree of involve-
Although the GMs studied were ob- ment in the daily operations of the hotel. Be-
served performing each of Mintzberg’s ten cause the activities of a hotel are both
managerial work roles, the interpersonal roles numerous and diverse, GMs must be con-
of leader and liaison, the informational roles stantly monitoring and disseminating detailed
of monitor and disseminator, and the deci- information pertaining to daily operational
sional roles of disturbance handler, entrepre- matters. Time and again throughout the
neur, and resource allocator were found to be course of the working day, GMs interact with
of particular significance. These roles were subordinates to stay on top of the numerous
performed regularly as GMs carried out their operational problems that occur. GMs must
various job functions. We now proceed to de- also be available to effectively and quickly
scribe the managerial work roles most often handle disturbances that are not covered by
performed by GMs while discharging their a hotel’s routine procedures or those that
three primary job functions.

98 Chapter 3 ᭿ General Managers: A View at the Top

subordinates perceive as being beyond their diate confines of the hotel. GMs must moni-
scope of authority or experience. In order to tor information about both the community
effectively play this managerial work role of and the competitive environment, and this
disturbance handler, GMs must have rapid requires them to become a liaison between
access to reliable internal information and, in the hotel and the outside world. Further, the
turn, be able to quickly process and dissemi- information GMs gather from the external
nate this information downward in the organ- environment must be analyzed and dissemi-
ization. While functioning as operational nated to subordinates within the hotel. GMs
controller, the GM’s work role as resource al- must process both externally and internally
locator revolves mostly around the allocation obtained information in order to effectively
of his or her own time to the numerous short- play the work role of entrepreneur, the im-
run demands of the job. GMs can, of course, portance of which has been stressed by Ley
allocate a proportion of their hotel’s financial (1978). As entrepreneurs, GMs are the devel-
and human resources to help solve short-run opers of specific plans and programs geared
operational problems, but it is the manner in to improving the operating efficiency and
which they allocate their own scarce time that service strategy of the hotel. Any new plan or
is of paramount importance when referring to program imposes additional time obligations
the short-run operational problems of the job. on both the GM and on subordinates. New
plans and programs often involve the alloca-
GMs perform the leader role in every con- tion of financial and human resources as well.
tact with subordinates. Every action of a GM Therefore, in the course of developing and
is analyzed and interpreted by subordinates; implementing these specific plans and pro-
thus, every interaction with subordinates pro- grams for the hotel, GMs play the decisional
vides GMs with an opportunity to exercise work role of resource allocator.
leadership (Hales and Nightingale, 1986). That
is why outstanding GMs realize they are con- Finally, GMs continue in the leader work
stantly in the limelight throughout the work- role by virtue of, first, continuing relation-
ing day. GMs also exercise leadership by ships with subordinates as an integral compo-
deciding the operational issues on which to nent of the job, and, second, by choosing
concentrate. Subordinates automatically look specific plans and programs to implement. As
for clues regarding what GMs deem impor- leaders, GMs must contend with the challenge
tant; thus, by deciding which operational issues of ensuring that subordinates fully accept the
to focus on, GMs send an unequivocal mes- plans and programs outlined for the hotel and
sage downward in the organization regarding are committed to working toward their suc-
what they consider important. cessful implementation. This requires that
GMs pay careful attention to their work roles
᭤ MANAGERIAL WORK of monitor and disseminator of information.
ROLES AS
ORGANIZATIONAL ᭤ MANAGERIAL WORK
DEVELOPER ROLES AS BUSINESS
MAINTAINER
The managerial work roles of GMs as organi-
The final job function of business maintainer
zational developers extend beyond the imme-
requires the GM to see to the long-run capital

99Section 3.2 ᭿ A Conceptual Framework of the Hotel General Manager’s Job

requirements and organizational stability and monitoring and evaluating the effectiveness
vitality of the hotel. In seeking capital and of a front-desk clerk training program—that
planning a strategy for organizational stabil- is, functioning as organizational developer.
ity and vitality, the GM’s work roles of liaison, The GM may also be formulating a long-run
monitor, and disseminator of external and in- plan to purchase an advanced front-office
ternal information upward to corporate exec- computer system—that is, functioning as busi-
utives or owners are critical, as is the work ness maintainer. The actual manner in which
role of allocator of scarce financial resources. effective GMs perform this delicate balancing
The resource allocator role, more often than act is covered later in the text.
not, requires detailed presentation of formal
budget proposals that include careful finan- ᭤ CONCLUSION
cial justification. This is especially true if the
GM is proposing a major directional shift in A hotel GM’s job can be better understood
the service strategy of the hotel. As main-
tainer of organizational stability, the GM also by examining the contextual variables that in-
plays the work role of disseminator of impor- fluence and help shape it. A hotel’s context
tant information downward to subordinates. presents GMs with a series of job demands
The GM must act as entrepreneur with re- and relationship issues with which they must
spect to important human resource develop- deal effectively in order to be successful. As
ment plans and programs, and, as with all seen, these job demands and relationship is-
activities, continue as leader in the ongoing sues differ depending on the time frame un-
role of nurturing and developing managerial der consideration. These considerations give
talent. rise to specific job functions that GMs per-
form through a variety of work roles.
While GMs perform three job functions
with different time horizons, it is not neces- In the short run, the GM job function was
sarily the case that these job functions are described as that of operational controller.
performed independently of each other. That Here, GMs are involved with the day-to-day
is to say, it is altogether possible for GMs to internal operational control of their business,
perform two or even all three job functions si- requiring intense and frequent downward
multaneously. It is clear from Table 3.3 that verbal communication within the hotel. They
many of the Mintzbergian managerial work must be adept at the managerial work roles of
roles are common to more than one job func- monitoring and disseminating a wide variety
tion. In fact, the work roles of monitor, dis- of internal information, handling nonroutine
seminator, resource allocator, and leader are disturbances, and allocating their own scarce
common to all three, while those of liaison time to important operational issues.
and entrepreneur are common to two of the
job functions. Thus, when GMs are engaged In the intermediate run, the GM job func-
with short-run operational concerns, they of- tion was described as that of organizational
ten do so in the context of longer-run consid- developer. Here, GMs face the challenges of
erations. For example, while responding to a developing subordinates, formulating specific
short-run operational problem of slow guest plans and programs to improve their opera-
check-ins—that is, functioning as operational tional control of the hotel, and fine-tuning the
controller—a GM may simultaneously be hotel’s service strategy in the context of ex-
ternal environmental conditions. In addition

100 Chapter 3 ᭿ General Managers: A View at the Top

to internal downward communication, these and of entrepreneur when seeing to the orga-
challenges require intense lateral communi- nizational stability of the business. All three
cation with both the hotel industry and local job functions require GMs to be leaders, a
community sources. This helps the GM stay work role they play through every contact
abreast of market and environmental trends. with subordinates. Finally, these job functions
The GM also maintains upward communica- need not and often are not performed inde-
tion with corporate superiors and staff spe- pendently of each other.
cialists to ensure their cooperation in the
successful implementation of operational Three important conclusions about the
plans and programs. Here, GMs’ work roles GM’s job can be drawn from this analysis:
require them to monitor and disseminate ex-
ternal as well as internal information, so they 1. By their nature, major hotels of today
act as liaison between the hotel and the out- provide GMs with a variety of challenges
side world. that require careful attention be paid to
short-run, intermediate-run, and long-run
They also may initiate, as entrepreneurs time frame issues. Thus, GMs must be
would, plans and programs designed to im- able to successfully carry out three sepa-
prove the hotel’s operational and organiza- rate and different job functions. They
tional efficiency. This requires the allocation must be effective as operational con-
of their own time, as well as the financial and trollers, organizational developers, and
human resources of the hotel, to these plans business maintainers if they are to enjoy
and programs. long-term success as effective GMs.

In the long run, the GM’s job function 2. To be effective at all three job functions
was described as that of business maintainer. requires that GMs perform a large variety
Here, GMs must ensure the long-term viabil- of managerial work roles. While GMs per-
ity of the hotel through capital expenditure form all ten of Mintzberg’s managerial
decisions that are consistent with the hotel’s work roles, they must be particularly ef-
strategic service vision, and by developing a fective at seven of them to be successful
degree of organizational stability that allows operational controllers, organizational
the hotel to carry out its strategic plan. In- developers, and business maintainers.
tense upward communication to corporate They must develop the wide variety of
superiors, staff specialists, and owners, as well skills necessary to play the work roles of
as lateral communication with a wide variety leader, liaison, monitor, disseminator, dis-
of industry and community contacts, highlight turbance handler, entrepreneur, and re-
the relationship issues of this job function. source allocator.
GMs are required to play the work role of li-
aison between the hotel and corporate office 3. The importance of communications in the
or owners as well as industry and community hotel GM’s job becomes apparent from
sources. This involves monitoring the widest this analysis. Every job function and every
variety of external and internal information managerial work role carries with it a
and disseminating it laterally, downward, and communications requirement. GMs must
upward. In addition, GMs play both the work be adept at gathering, analyzing, and dis-
roles of resource allocator of capital funds seminating external and internal informa-
tion, and they must be able to effectively

101Section 3.3 ᭿ Grooming Future Hospitality Leaders: A Competencies Model

communicate laterally, downward, and stand the key job demands and relationship
upward. Without good communication issues hotels thrust upon them. They must
skills, GMs cannot possibly be effective in perform three separate job functions that re-
any of their three job functions (Wors- late to different time frames. To do this, they
fold, 1989). must become adept at a number of manage-
rial work roles, depending on the job function
Today’s major hotels are complex busi- they are performing. Finally, hotel GMs must
nesses engaged in a wide variety of activities. become accomplished communicators if they
The demands of managing these businesses are to effectively meet the variety of chal-
are reflected in the complexities of the GM’s lenges they face.
job. To be effective, hotel GMs must under-

3.3 G R O O M I N G F U T U R E H O S P I TA L I T Y
LEADERS: A COMPETENCIES MODEL

Beth G. Chung-Herrera, Cathy A. Enz, and Melenie J. Lankau

The ability to identify the skills and compe- and use of competency models and then de-
tencies required for tomorrow’s industry lead- scribe our study. We examine the critical com-
ers is essential for companies that hope to petencies that we found to be important (and
remain competitive. Some firms, such as Mar- those that, surprisingly, are not as important).
riott International and Choice (Enz and Last, we consider the possible uses for the in-
Siguaw, 2000) have made identifying leader- dustry-wide model that we have developed.
ship competencies a priority. Identifying ap-
propriate competencies helps senior managers ᭤ COMPETENCY MODELS
in selecting, developing, and coaching future
leaders, as well as mapping career paths and A competency model is a descriptive tool that
planning management succession. In this arti-
cle we present a leadership-competency identifies the knowledge, skills, abilities, and
model that is industry specific and future behavior needed to perform effectively in an
based. Our goal in creating this model was to organization (Lucia and Lepsinger, 1999).
provide the hospitality industry with a func- Designed to help an organization meet its
tional-competency model that: 1) organiza- strategic objectives through building human-
tions can use to develop their own model for resources capability, competency modeling
leadership development, 2) employees can use has been in existence since the 1970s, starting
to understand the competencies they need for with the first models created by David Mc-
advancement, 3) hospitality schools can use to Clelland (Mirabile, 1997, 73–77). Such models
design curriculum, and 4) students can use to gained popularity in the late 1980s and re-
craft career paths. We first describe the nature main in use today.

102 Chapter 3 ᭿ General Managers: A View at the Top

Competency models focus on behavior practices are consistent. Specifically, compe-
rather than on personality traits, because per- tency models can be used as a foundation
sonality traits are usually hard to measure ac- from which to establish criteria for a broad
curately (Lucia and Lepsinger, 1999, and array of HR systems (McLagan, 1996, 60–65
ACA’s Competencies Research Team, 1996, and Lucia and Lepsinger, 1999). For instance,
6–21). Expressing desirable traits in behav- listed below are eight HR activities that can
ioral terms is essential for a competency be guided or enhanced with the use of a well-
model to be useful as a human-resources tool, developed competency model.
because the model must not only define the
competencies necessary for effective per- 1. Recruitment and selection. Looking be-
formance but also indicate how to tell when a yond skills to performance dimensions
particular competency is being demonstrated. such as teamwork, competency models
Most competency models express traits and can help to establish what it takes to do
characteristics in behavioral terms on the well on the job. Armed with this informa-
grounds that behavior is the observable man- tion, companies can focus recruitment
ifestation of personality traits and character- dollars on finding the greatest number of
istics. Competencies are deemed critical for prospective employees who have the
inclusion in a model when they distinguish su- right mix of competencies for the job in
perior performers from poor performers. question. The content of appropriate se-
lection instruments (e.g., structured inter-
Competency models are less specific than views, role plays) can target the key
is the job analysis typically performed for competencies—and, hence, the whole
specific positions, and models can encompass package of needed skills and abilities. Be-
a whole family of jobs. Choice Hotels Inter- yond their usefulness in improving selec-
national, for example, developed competency tion tools, competency models also
models for each of the top four levels of its or- provide candidates with a clear and real-
ganization (i.e., senior vice president, vice istic picture of expected behavior.
president, senior director, and director). In so
doing, the company found that the competen- 2. Training and development. Assessing
cies for success of a senior vice president were gaps between existing employee skills
similar to those needed for the other three and those identified by a competency
positions. model can be extremely useful in
devising a long-term strategic plan for
᭤ USING COMPETENCY leadership training and development.
MODELS Identification of the skills needed to per-
form effectively makes it easier to ensure
Competency models provide a common lan- that the design and delivery of training
are aligned with the organization’s objec-
guage for discussing capabilities and perfor- tives. When a competency model is used
mance. The development of a competency as the foundation for training objectives,
model can help provide guidance for a host of individual leadership gaps can be as-
different HR practices and ensure that those sessed and a training plan devised to ad-
dress deficiencies.

103Section 3.3 ᭿ Grooming Future Hospitality Leaders: A Competencies Model

3. Performance appraisals. Performance- 7. Succession planning. Competency models
management systems can be enhanced by can be used to identify possible successors
a competency model that provides a for critical jobs by clarifying the require-
shared set of expectations regarding what ments for the job and providing a method
is important and what will be monitored for assessing a particular candidate’s
and measured. Competency models help readiness. Without a clear understanding
managers to focus performance-appraisal of the competencies needed by future
discussions on critical aspects of behavior, leaders, it is difficult for a firm to measure
thus providing a strategic tool for consis- its “bench strength”—that is, to deter-
tent and meaningful evaluation. mine whether the organization has peo-
ple with those capabilities and, if it does,
4. Coaching, counseling, and mentoring. who they are.
Competency models are often used as the
basis for 360-degree feedback, in which a 8. Change management. Organizations can
manager receives performance informa- work toward an uncertain future by creat-
tion from all relevant sources (including ing models that are based on competen-
supervisor, subordinates, self, peers, and cies that may be necessary for future
customers, if applicable). Coaches and ad- leaders, as well as competencies needed
visers can use the information so gathered for current operations.
to guide the employee in designing a de-
velopment plan and making critical-skill Competency models confer several ad-
improvements. The clarity and specificity vantages on a company. First, a competency
of competency models enable coaches model is useful for building an integrated
and mentors to reinforce desired behav- framework for developing a company’s
ior and tie performance-management sys- human-resources system. Used consistently,
tems to necessary competencies. such a model should lead to improved and
consistent performance standards. More im-
5. Reward systems. A tremendous percent- portant, the model can be a critical guide dur-
age of a hospitality organization’s operat- ing periods of instability and change.
ing expenses is devoted to employee Moreover, making HR decisions on the basis
compensation. To attract, retain, and mo- of carefully developed competency models
tivate employees, reward systems must be reduces legal challenges to those decisions.
equitable and linked to desired behavior. (Note: Include specific competencies in the
Competency models can be extremely job description to reduce legal liability, espe-
useful for defining the behavior that will cially if the competencies will be used for per-
be rewarded. formance appraisals.) Finally, well-developed
competency models enhance a company’s
6. Career development. For employees who ability to communicate with its employees re-
aspire to reach the next level on a career garding the behavior connected with success,
path, a competency model serves as a thereby increasing the firm’s ability to
map. Competency models make employ- achieve its business objectives (ACA’s Com-
ees aware of the behavior and skills petencies Research Team, 1996).
needed to advance and achieve success,
allowing them to prepare accordingly.

104 Chapter 3 ᭿ General Managers: A View at the Top

᭤ LEADER COMPETENCIES dents and employees alike about the expec-
FOR THE LODGING tations for future leaders as identified by
INDUSTRY senior-level managers. Furthermore, an
industry-wide model helps to paint a compre-
With point number eight in mind, we sought hensive picture of the critical skills needed by
the entire industry, thereby assisting senior
to devise a future-oriented leadership-compe- managers in hotel organizations as they de-
tency model for the lodging industry. We con- vise and implement their recruitment, selec-
sider this endeavor to be important given the tion, and development systems.
absence of an industry-focused model that
works across many organizations. (Our re- Looking ahead. We focused our compe-
search found no current models for hospital- tency model on managerial behavior that in-
ity leadership.) Having an industry-wide dustry executives anticipated would be
model is important because it can inform stu- needed ten years from now. We wanted a
model that could be used as a prototype to

Table 3.4 Self-Management: Dimensions of a Competency Factor

Factor Self-Management
Dimensions
Ethics and Time Self- Flexibility and
Integrity Management Development Adaptability

Characteristics • Acts in an ethical • Effectively handles • Deals • Adapts to changing
manner. multiple demands constructively with circumstances.
and competing own failures and
• Treats people fairly. priorities. setbacks. • Works
• Treats people with constructively
• Manages time to • Seeks feedback under stress and
respect. ensure productivity. from others. pressure.
• Displays
• Spends time on the • Adjusts behavior in • Works effectively
consistency most important response to in ambiguous
between words and issues, not just the feedback and situations.
actions. most urgent ones. experience.
• Considers ethical • Views problems as
implications prior • Pursues continual opportunities and
to taking action. learning and self- mistakes as
• Protects development. progress.
confidential
information. • Demonstrates
awareness of own
strengths and
weaknesses.

105Section 3.3 ᭿ Grooming Future Hospitality Leaders: A Competencies Model

guide people’s aspirations in the coming study, we modified the competency model to
years and to create future leaders. Asking reflect hospitality-specific behavior. In this
leaders to focus on the future is a common fashion, we arrived at a final competency
approach when building competency models, model consisting of 8 overarching factors, 28
although the resulting model may not iden- dimensions, and 99 specific behavioral com-
tify all necessary competencies (given that petencies. The factors and dimensions were
one cannot see the future). (Note: Firms in- derived from the literature on competency
cluding PDI, DDI, and Hay Management models and through hospitality managers’
employ forecasting techniques. We used the feedback. The eight overarching factors are
linkage systems method, asking participants communication, critical thinking, implemen-
to forecast future important behaviors; see tation, industry knowledge, interpersonal
Linkage, 1997.) The essential limitation in skills, leadership, self-management, and
asking current leaders to project future com- strategic positioning. Each of those factors
petencies is that they may be unable or un- comprised up to six dimensions that captured
willing to define the future differently from various aspects of that factor. Leadership, for
the present. However, many thoughtful exec- example, is composed of the following six di-
utives are able to envision and plan for a fu- mensions: developing others, embracing
ture that is not simply a reflection of the change, fortitude, fostering motivation, lead-
present, highlighting behavior that they see ership versatility, and teamwork orientation.
as increasingly important. As another example, Table 3.4 shows the be-
havioral items and dimensions for the self-
Using a number of different competency management factor.
studies (Mirabile, 1985; Evarts, 1988; Zingheim,
Ledford, and Shuster, 1996; Blancero, Boroski, We listed the 99 hospitality competencies
and Dyer, 1996) as a starting point, we con- (Table 3.5) in a survey that was faxed world-
structed a provisional behavioral-competency wide to 735 senior-level industry executives at
model that captured the most important di- various hotel companies. Using a five-point
mensions of leaders’ behavior across several Likert-type scale ranging from 1 (not at all
industries. Using this preliminary model, we re- important) to 5 (extremely important), re-
fined the components through hospitality spondents were asked to rate the importance
managers’ feedback, developing the compe- of each of the 99 competencies or skills for a
tency model by means of the customized senior-level manager ten years from now (see
generic model method (Dubois, 1993). We the accompanying list). A total of 137 industry
collected managers’ comments by surveying leaders responded either online or via return
individuals from around the globe who partic- fax, yielding a response rate of 18.6 percent.
ipated in senior-level executive-education pro- Participants’ positions ranged from director
grams at Cornell University. In our pilot to CEO or chair of international hotel chains
survey, respondents could add other compe- and corporations. Response rates for execu-
tencies that they felt were becoming increas- tive-level employees are notoriously low, and
ingly important and eliminate those items that our response rate for this sample was typical
they deemed inappropriate. for this population (Agle, Mitchell, and Son-
nenfeld, 1999).
Based on the feedback from the pilot

106 Chapter 3 ᭿ General Managers: A View at the Top

Table 3.5 99 Lodging Competencies

(1) Anticipates obstacles and develops contingency (29) Examines and monitors trends in the hotel
plans. business.

(2) Adapts to changing circumstances. (30) Understands the agendas and perspectives of
(3) Manages time to ensure productivity. owners, staff members, managers, and other parties.
(4) Monitors progress of others and redirects efforts
(31) Clarifies expectations to staff members about
when necessary. assignments, roles, and responsibilities.
(5) Works effectively in ambiguous situations.
(6) Prepares people to understand changes. (32) Selects leadership style most appropriate for the
(7) Seeks feedback from others. situation.
(8) Works toward win-win solutions with others
(33) Provides challenging assignments to facilitate
whenever possible. development.
(9) Steers conflicts away from personalities and toward
(34) Applies cross-functional knowledge to understand
issues. and solve problems.
(10) Provides employees access to information.
(11) Takes a stand when resolving important issues. (35) Expresses confidence in people’s competence to do
(12) Integrates planning efforts across work groups or their jobs.

functional units. (36) Addresses and works through conflict.
(13) Displays consistency between words and actions. (37) Interacts with people in a direct and open manner.
(14) Identifies measurable action steps that support the (38) Views problems as opportunities and mistakes as

hotel’s strategy and mission. progress.
(15) Works constructively under stress and pressure. (39) Works to establish strong relationships with
(16) Acts in an ethical manner.
(17) Presents ideas in a convincing manner. owners.
(18) Expresses disagreement in a tactful and sensitive (40) Understands and harnesses individual differences

manner. to create a competitive advantage.
(19) Treats people with respect. (41) Develops action plans to meet customer needs.
(20) Considers a broad range of factors (internal, (42) Reduces redundancies in processes and

external, and trends) when solving problems and procedures.
making decisions. (43) Gives specific, timely, and constructive feedback.
(21) Translates business strategies into clear objectives (44) Adjusts behavior in response to feedback and
and tactics.
(22) Brings together different perspectives and experience.
approaches and combines them in creative (45) Models the changes expected of others.
ways. (46) Considers alternatives before making decisions.
(23) Summarizes and clarifies what people say to ensure (47) Listens to people without interrupting.
understanding. (48) Protects confidential information.
(24) Coaches others in skill development. (49) Encourages employees to use their initiative to
(25) Challenges others to make tough choices.
(26) Works to understand why others resist change remedy problems when they first occur.
instead of forcing others to accept change. (50) Takes calculated risks when appropriate.
(27) Accurately identifies strengths and weaknesses in (51) Builds networks with people inside and outside the
others.
(28) Stays informed about industry practices and new hotel.
developments. (52) Spends time on the most important issues, not just

the most urgent.
(53) Commits organizational resources for community

events.
(54) Considers pros and cons of proposed solutions to

problems.

107Section 3.3 ᭿ Grooming Future Hospitality Leaders: A Competencies Model

Table 3.5 (Continued )

(55) Develops new systems or processes for increased (78) Champions new ideas and initiatives.
efficiency. (79) Focuses on important information without being

(56) Encourages others to express their views, even distracted by unnecessary details.
contrary ones. (80) Employs a team approach to solve problems when

(57) Listens carefully to input and concerns expressed appropriate.
by others. (81) Understands owners’ and stakeholders’ values and

(58) Deals constructively with own failures and how they perceive issues.
mistakes. (82) Influences and shapes owners’ and stakeholders’

(59) Handles multiple demands and competing decisions.
priorities. (83) Recognizes and seizes strategic opportunities in the

(60) Knows the strengths and weaknesses of environment.
competitors. (84) Promotes respect and appreciation for diversity

(61) Defines and sets up quality standards for and individual differences.
employees. (85) Treats people fairly.
(86) Allows others to lead under the appropriate
(62) Gives others the authority necessary to accomplish
their objectives. circumstances.
(87) Pursues continual learning and self-development.
(63) Adjusts leadership approach to fit other (88) Promotes quality initiatives.
individuals. (89) Deliberately allows direct reports to use their own

(64) Involves others in critical decisions that affect methods for completing tasks.
them. (90) Demonstrates awareness of own strengths and

(65) Understands complex concepts and relationships. weaknesses.
(66) Delegates enough of own work to others. (91) Understands organizational strengths and
(67) Identifies and defines problems.
(68) Determines which of many problems may become weaknesses.
(92) Writes in an effective manner.
crises. (93) Actively and frequently listens directly to
(69) Defines priorities for the staff.
(70) Confronts problems early before they become customers.
(94) Sees how things fit in the big picture.
unmanageable. (95) Promotes teamwork among groups; discourages us-
(71) Works as a member of a team.
(72) Considers ethical implications prior to taking versus-them thinking.
(96) Inspires and motivates others.
action. (97) Makes sound decisions under time pressure and
(73) Gets others interested and involved in the change
with limited resources.
process. (98) Speaks clearly and articulately in a variety of
(74) Creates needed systems and procedures to support
situations.
changes. (99) Builds partnerships and alliances with community
(75) Keeps others updated with information.
(76) Considers customer needs when making decisions. organizations.
(77) Considers the effects of decisions on community

well-being.

108 Chapter 3 ᭿ General Managers: A View at the Top

᭤ KEY COMPETENCIES urgent.” Overall, self-management skills en-
IDENTIFIED compass actions related to the personal char-
acteristics of the leader and how she or he
Competency in self-management is the over- handles himself or herself.

arching factor that was rated highest by our Competency in strategic positioning was
respondents, followed by knowledge of the overarching factor considered to be sec-
strategic positioning, implementation skill, ond in importance for future leaders. This
and critical thinking. (Table 3.6 summarizes factor comprises the following four dimen-
the ratings.) The self-management factor sions: (1) awareness of customer needs, (2)
achieved a mean importance score of 4.32 out commitment to quality, (3) managing stake-
of 5. This factor consists of four behavioral di- holders, and (4) concern for community. Ex-
mensions, namely: (1) ethics and integrity, amples of behaviors that fall under these
(2) time management, (3) flexibility and dimensions include “Influences and shapes
adaptability, and (4) self-development. Look- owners’ and stakeholders’ decisions,” “Pro-
ing at the behavioral dimensions within each motes quality initiatives,” and “Considers
competency factor, we found that the behav- customer needs when making decisions.” This
ior of acting ethically or with integrity was the factor clearly captures the hospitality indus-
most important to the responding senior lead- try’s service orientation. The senior managers
ers. Post-hoc Scheffe tests from an analysis of whom we surveyed suggested that future
variance revealed that this behavioral dimen- lodging-industry leaders need to be vigilant
sion of self-management was rated signifi- in their commitment to both quality and the
cantly higher than the other three dimensions. needs of a variety of different stakeholders,
The ethics-integrity dimension contains six including owners, Wall Street, employees, and
specific behavioral competencies, such as customers.
“Treats people with respect,” “Displays con-
sistency between words and actions,” and Implementation, critical thinking, and
“Considers ethical implications prior to tak- communication skills were also deemed “ex-
ing action” (see Table 3.4). The overriding im- tremely important” by senior managers.
portance of ethical behavior is consistent with Leaders of the future will need to possess
previous competency models devised by man- a strategic orientation and approach to
agers outside the lodging industry. (See com- decision-making that permits them to both
petency research reports by consulting firms plan and redesign their organizations. In addi-
such as Personnel Decisions International tion, communicating persuasively, listening,
(www.personaldecisions.com) and Center for and enabling others will be essential skills for
Creative Leadership (www.ccl.org).) The managers hoping to reach senior leadership
other specific competencies that fall under positions.
the self-management factor are “Works con-
structively under stress and pressure,” “Seeks Industry knowledge, leadership, and in-
feedback from others,” and “Spends time on terpersonal skill were factors that, while im-
the most important issues, not just the most portant, were ranked lower than the others by
our respondents. The relatively low score for
industry knowledge seems to suggest that the
importance for leaders of industry-specific

109Section 3.3 ᭿ Grooming Future Hospitality Leaders: A Competencies Model

Table 3.6 Leadership Competency Model for the Lodging Industry

Factor Mean Dimension Mean

Self-management 4.32 Ethics and integrity 4.58a
4.28
Time management 4.22
4.12
Flexibility and adaptability 4.39
4.26
Self-development 4.21
3.67b
Strategic positioning 4.17 Awareness of customer needs 4.23c
4.15
Commitment to quality 4.02
4.24d
Managing stakeholders 4.18
4.17
Concern for community 4.03
4.27
Implementation 4.16 Planning 4.14
4.06
Directing others 4.06
4.20e
Reengineering 4.07
4.01
Critical thinking 4.15 Strategic orientation 4.25f
4.19
Decision making 4.14
4.02
Analysis 3.98
3.97
Risk taking and innovation 4.09

Communication 4.12 Speaking with impact

Facilitating open communication

Active listening

Written communication

Interpersonal 4.09 Building networks

Managing conflict

Embracing diversity

Leadership 4.09 Teamwork orientation

Fostering motivation

Fortitude

Developing others

Embracing change

Leadership versatility

Industry knowledge 4.09 Business and industry expertise

a. “Ethics and integrity” scored significantly higher than the other three dimensions in this
factor ( p Ͻ .01).

b. “Concern for community” scored significantly lower than the other three dimensions in this
factor ( p Ͻ .01).

c. “Planning” scored significantly higher than “Re-engineering” ( p Ͻ .05).
d. “Strategic orientation” scored significantly higher than “Risk taking and innovation”

( p Ͻ .05).
e. “Building networks” is significantly higher than “Embracing diversity” ( p Ͻ .05).
f. “Teamwork orientation” scored significantly higher than did “Developing others” ( p Ͻ .05),

“Embracing change” ( p Ͻ .01), and “Leadership versatility” ( p Ͻ .01).

110 Chapter 3 ᭿ General Managers: A View at the Top

expertise is decreasing as time goes on. One ᭤ USING INDUSTRY-WIDE
reason for this is that industry expertise can COMPETENCY MODELS
be acquired by an adept leader, while the ca-
pacity for flexibility in a changing business en- We believe that competency models can be
vironment can be hard to learn and often is
inherent in an individual’s personality and important in building an effective human-
skill set. Interpersonal and leadership skills resources system. They can also help in edu-
also scored lower than did other factors. We cating future generations of leaders by guiding
found it particularly interesting that the di- university faculties in designing curricula to
mensions of developing others, embracing di- meet the industry’s future needs. An increas-
versity and change, and leadership versatility ing number of university programs are focus-
were viewed as some of the least essential ing on competency building in an effort to
skills for the future. prepare students for a specific industry (see
Journal of Management Education 25(2)). For
Concern for community was a particu- example, the master of management in hospi-
larly low-rated dimension of strategic posi- tality (MMH) program at Cornell University
tioning. Scheffe post-hoc tests revealed that assesses entering students against three core
this dimension was rated significantly lower competencies that are deemed necessary for
than the other three strategic-positioning di- graduation. These competencies are leader-
mensions. Although this dimension is not typ- ship skills, teamwork and group-process skills,
ically included in competency-modeling and written and oral communication skills.
research, we (incorrectly) thought that it Students are evaluated through an assessment
might be important to hospitality leaders be- center as they enter the MMH program and
cause of their extensive connections with lo- are given feedback at the end of the assess-
cal community events and activities. This ment center, as well as after each subsequent
dimension consisted of three items: “Commits semester. If they have weaknesses in any of the
organizational resources for community three competencies, the students must make
events,” “Considers the impact of decisions on plans to improve their skills. Students’ compe-
community well-being,” and “Builds partner- tency development is further supported by
ships and alliances with community organiza- special modules offered by faculty members to
tions.” Contrary to our thinking, the results enhance key skill areas.These modules contain
revealed that those three were among the both lecture and experiential components.
lowest-rated of all 99 items presented on the
survey. When compared to other activities, a Industry-specific competency models can
concern for and relationship with the local also help students seek out employment and
community in which the company operates career tracks that will give them ample op-
does not seem to be a core competency portunity to develop needed skills. The model
needed for future hospitality leaders. On the presented here provides a comprehensive
other hand, competencies that appear to be framework to inform future managers about
the likely core attributes of future leaders are what will be needed or expected to lead fu-
ethics, awareness of customer needs, time ture lodging firms. A good competency model
management, speaking with impact, commit- serves as both a roadmap and a prototype for
ment to quality, and team orientation. achieving success.

111Section 3.4 ᭿ As I See It: What I Do

Employees in lodging organizations may planning. Marriott employs a system-wide
find this model useful as a general guide for leadership-development initiative, called the
self-development. In the absence of an insti- Benchstrength Management System, which is
tutional program to help develop a promising used by current senior managers to build lead-
manager, a competency model can be used by ership capacity. Using the tools and measure-
an individual to design and plan her or his ments from this system, Marriott’s senior
own career choices. managers are responsible for identifying po-
tential leaders and ensuring that those individ-
Last, individual lodging organizations can uals develop the skills and competencies
use this industry-wide model to build their needed to carry the company forward. Tar-
own specific model. Once an organization has geted development plans are created to assist
tailored the model to its specific needs, that senior managers in filling critical positions that
firm can use the model in a variety of ways. For are “stretch” assignments for high-potential
example, Choice Hotels International now managers. The Benchstrength Management
uses its competency database to perform an- System provides Marriott with a consistent ap-
nual readiness assessments to determine man- proach to evaluating its leadership potential
agers’ leadership capability. The competencies and ensures that the company focuses on core
in Choice’s model are the basis for the com- capabilities that are key to future success.
pany’s selection, promotion, and succession

3.4 A S I S E E I T : W H AT I D O

Emilio Fabico

In reflecting upon what it is I do as a manager ᭤ THE OTHER STUFF
in the hospitality industry, it’s clear that there
are the tasks that I must complete, and then The swirled, chocolaty surface of a 3 Muske-
there is all the other stuff. Throughout our ca-
reers, there are always plenty of duties that teers bar is not unlike that of any other candy
we’re responsible for completing and that are bar; it’s the fluffy stuff inside that makes it
important to our business. These processes unique. We’re not sure exactly what it is, but it
are typically mandated by operational need, sure is good and differentiates it from the oth-
fiduciary responsibility, or regulatory require- ers. That’s the other stuff. That’s what I spend
ment. The manner in which virtually all of most of my time focusing on and constantly
these tasks are completed is typically inflexi- working to improve. That other stuff is leader-
ble and requires little or no creativity. It’s un- ship.There’s a world of people smarter than me
likely that one’s professional success will who have written books on this subject, so I
come from one’s ability to perform these du- certainly don’t profess to have any of the an-
ties successfully. swers. What I can share with you is what the
zigs and zags of my career path have taught me.

112 Chapter 3 ᭿ General Managers: A View at the Top

᭤ IF IT WEREN’T HARD, pletely disappear. Here’s the part where I
EVERYONE WOULD make a pitch for balance. That, too, is a valu-
DO IT able leadership skill. Without question, it’s
possible to be a great leader and still have bal-
It’s called leadership, not maintainership. ance. This is important not only to the leader,
but also to those he or she leads, as they often
Leadership is about leading. It’s being proac- feel compelled to follow the leader’s example.
tive rather than reactive. It’s being out ahead This should remain a priority throughout
of challenges, as opposed to chasing them. It’s one’s career.
about truly being engaged in and passionate
about your work. It’s about wanting to be and ᭤ SIX DEGREES OF
working toward being the best. As I walk the SEPARATION
resort and interact with our employees and
guests, I attempt to be aware of the challenges I have found that many of the successes or
that each of the operations is facing. What are
they proud of that they should be recognized failures I face every day can be traced to one
for? What barriers are preventing them from source: respect. I must respect the fact that I
continuing to improvement? What might be work for a public company and must ensure
around the corner that we’re not aware of that growth and the success of the business re-
yet? What’s important to our guests? What main at the forefront of the decisions I make
can we do, for our guests and employees, to and the actions I take. I must respect the tal-
make us better than our competition? How ents of my direct reports. I must work to in-
can we meet our employees’ developmental spire, influence, and support them toward
needs? Woven into all of these questions and their goals. I must not micromanage them. I
what should always be factored into the an- must also strive to identify their accomplish-
swers are people—individuals with diverse ments and celebrate their successes. I must re-
backgrounds, varying opinions, and different spect that people enjoyed feeling fulfilled, so
needs. As a leader, I must be able to recognize I must work to provide the tools and environ-
those differences and respond appropriately ment that will allow them to be successful. I
to each of them. Being skilled at listening is must respect that our guests have choices
just as important as leading. How can one an- when selecting their hotel. They have decided
swer without knowing the questions? In a to entrust us with their money, time, and
24/7 industry like ours, this interaction and away-from-home experience. We have an ob-
these questions never stop. ligation to provide them with an experience
that will leave them with a lasting positive
Early in my career, when I was a shift memory and influence them to return time af-
manager, a clear line divided work time and ter time. I must lead knowing that all of us
off time. After my ten-hour day, the hotel and want to be treated fairly and respectfully.
I went our separate ways until I was back for When employees are asked why they leave
my next shift. In more senior leadership roles, their employment, the answer generally cen-
this line is no longer as clear. Especially in the ters on lack of respect or being valued.
age of the Blackberry, that line can com-

113Section 3.5 ᭿ A Day in the Life of a Hilton Hotel General Manager

᭤ “WHAT MAKES THE my professional values were and never doubt-
MUSKRAT GUARD HIS ing that I would always remain true to them.
MUSK? COURAGE!” As the years passed, the titles got fancier and
the paychecks got bigger. I found myself sep-
Well said by the Wizard of Oz’s Cowardly arating from my beliefs. After losing a job a
few years ago (I didn’t truly lose it; I know
Lion. Although courage is not always easy to where it is, but someone else now has it), I
find, my role requires me to have it. I must came to the realization that my paycheck was
have the courage to give honest, timely, and like a drug. I was thinking in terms of what I
constructive feedback to my direct reports could do to get more of it. I had lost sight of
and my peers. I must have the courage to how fun and exciting our industry is. Don’t be
speak up when what I have to say may not be afraid of the zigzagging career path. I found
popular or may cause others pain. I must have that it often leads where you never planned to
the courage to take risks, if the calculated out- go and teaches you what you could have
come will benefit our operation. never planned to learn.

And that’s as I see it: what I do.

᭤ JUST SAY NO

On a personal level, I must be true to myself.

I can recall in school knowing exactly what

3.5 A D AY I N T H E L I F E O F A H I LT O N
HOTEL GENERAL MANAGER

Robert O. Balmer, CHA

I often have heard that professionals in the Every morning at 8:30 we have our daily
hotel business enjoy it because every day is operations meeting. This meeting is attended
different. While I find this to be a huge un- by our top lieutenants who run the day-to-day
derstatement, I, too, enjoy this business for operations. The directors of sales, front office,
the same reason. housekeeping, and property operations are
there, along with my executive assistant. At
My day begins with a large cup of coffee. this meeting, we cover in detail our daily ar-
I like to arrive at work early so I can walk the rivals. With Hilton Hotel Corporation’s ad-
property and greet the early-morning team vanced technology, we have the capability of
members and check on the daily banquet ascertaining which guests are new to the
functions.

114 Chapter 3 ᭿ General Managers: A View at the Top

hotel, which are returning guests and how emails and to catch up on daily correspon-
many times they have been here, which are dence. Typically, I’ve got a corporate report
new to any Hilton brand, and which have ex- due and phone calls to make and return. I
perienced problems in the past. We also know spend a great deal of the afternoon reviewing
if guests have special preferences or requests. forecasts and working on and updating action
Our focus is to exceed guest expectations and plans.
increase customer loyalty.
Running a large hotel is essentially the
During this morning briefing, we also dis- same as being the CEO of a small company. It
cuss our banquet events, arriving VIPs, and is essential to have a strong executive com-
any and all comment cards from the night mittee so each department can run indepen-
prior. It is a great way to jump-start the morn- dently. This is the key to success. Success
ing. The team members briefly describe their breeds success.
day and are sent off with their marching or-
ders. I do enjoy helping every team member Funny things happen every day. One day
be their best. during a staff meeting attended by corporate
vice presidents, I was interrupted by our di-
By this time, my email box is reaching ca- rector of safety and security. The safety of our
pacity. What did we ever do before email, I team members and guests was in jeopardy.
wonder? I attempt to sift through and priori- The authorities had arrived at the hotel re-
tize the messages. garding a guest involved with drug trafficking.
When the authorities attempted to apprehend
The majority of my day is spent at various the guest, he ran through the hotel waving a
times strategizing and communicating with weapon. I arrived at the front entrance of the
our director of sales and marketing and direc- hotel to witness the guest face down on the
tor of revenue management. Revenue is our ground being handcuffed while the authori-
lifeblood and of course cures most woes! ties surrounded him with their guns drawn. I
didn’t want the VPs to be alarmed and leave
Between meetings with department or di- the meeting room. Before I knew it, the guest
vision heads, I can expect numerous interrup- had been arrested and business was back to
tions coming from any direction. The director usual. As I was returning to my meeting, a
of finance requests assistance in reviewing a guest approached me and asked if someone
report that must be submitted quickly to our was filming a movie. I responded, “Welcome
ownership group. The director of human re- to the media capital of the world! I’m glad
sources needs to brief me on a new hire or re- you enjoyed the show.” There are days I feel
calcitrant team member. The executive chef like the ringmaster of a three-ring circus. I
and director of catering would like to review think this is what keeps each day fresh and
the banquet event order for the upcoming exciting.
Mayor’s State of the City luncheon.
I often giggle at the old hotel industry
I usually have lunch with clients, local dig- phrase, “If it weren’t for those darn guests
nitaries, guests, or of course team members in and team members, my day would be much
our four-star team dining room! Increasingly, more productive!” However, if it weren’t for
the job of general manager has an outward fo- them, this job would not be different every
cus, projecting the image of the hotel to the day.
surrounding community.

After lunch, it is time to check more

115Section 3.6 ᭿ A Day in the General Manager’s Life

3.6 A D AY I N T H E G E N E R A L
MANAGER’S LIFE

Bob Peckenpaugh

You’ve made it! It is officially your turn. This were your peers yesterday. How are you
is what you have worked for your entire ca- going to set the tone for your team and
reer, the golden carrot, the title of general create an atmosphere that will support your
manager. So what is so different? expectations?

No matter what position(s) prepared you Create the image. A mission statement is
for this goal, it is all yours now. Total respon- a good starting point. What were the expecta-
sibility for the profit and loss statement and tions given to you? How do you want the
the success of the entire operation is in your team to function? At the Rancho Bernardo
hands. This is your opportunity to lead the Inn, we developed the following mission
senior management team in achieving the de- statement: “To be the finest family-owned
sires of the ownership, the management com- destination resort, exemplifying comfortable
pany, or both. You are now setting the tone elegance and service of unmatched warmth
for the operation and providing the results to and sincerity. We will treat all of our guests
the next level up. and each other as lifetime friends. The way
the world is supposed to be.” The mood is set,
Results are what your game plan is built the expectation is laid out, and we are all go-
around. Whether you work for an indepen- ing to be friends in a world that’s the way we
dent or a corporation, someone is going to want it to be, the one we are creating.
want answers. What do they expect? Is it all
about bottom-line profits, five-star services, or Give direction. How are you going to sup-
a happy medium? What elements of perfor- port the mission statement? Get the team in-
mance are most important to the company? volved; you will be amazed at how easy this is.
Ask these questions and you are well on your We have developed a set of core values to
way to developing your goals, the outline for show how we want to operate and what our
your future success. roadmap looks like:

Set your goals, document them, and begin 1. Anticipate and exceed guest expectations
measuring your results. Obvious categories with genuine sincerity.
are guest and employee satisfaction, great
communications, and positive financial re- 2. Maintain a professional staff at the high-
sults. Remember, you are now the general est standards through continuous training
manager with a supporting cast of managers and development.
who each love specific talents and knowledge.
Utilize these skills by communicating your 3. Treat each guest and employee as a mem-
goals and ask your team to outline their goals ber of our family, with respect, honesty,
to support what you have set forth. appreciation, and concern.

Sounds simple right? Here is where your 4. Protect and further our financial well-
day begins. You are now leading those who being.

116 Chapter 3 ᭿ General Managers: A View at the Top

5. Perform all duties safely, legally, and ethi- name].” Ask permission before putting
cally. the caller on hold and announce transfer
calls. Always offer voicemail as an option.
6. Continuously strive for product improve-
ment. 8. Ensure that uniforms and personal ap-
pearance are immaculate. Nametags are
7. Respect and care for the property and its part of the uniform.
aesthetic image.
9. Take responsibility for order and cleanli-
8. Communicate positively about the resort, ness of the facility. Pick up litter, reposi-
on and off property. tion furniture, and prevent damage.

Set the stage. Now focus on the experi- 10. Always use appropriate professional lan-
ence. How will you conduct yourself with guage. Avoid using slang and hotel jargon.
your staff, and how do you expect your staff
to treat the guests? Each time you come on Remember, the team needs direction, and
duty, you are stepping on stage. Describe the they need it daily; you set the tone, and they
performance everyone is expected to give. We create the atmosphere you want by following
do this through a set of service expectations: your example. Don’t underestimate the value
of each team member watching your actions.
1. Anyone who receives a guest request Treat others as you want to be treated!
owns it. Accommodate all special needs in
a positive and timely fashion, and follow Now take your creation on the road. Get
up with the guest. the word out. It is like a campaign; infuse it
into every communication: general meetings
2. Anyone who receives a guest problem for all staff members, staff meetings for man-
owns it. Show genuine concern, apologize agers, departmental meetings for more inti-
graciously, resolve the issue, and follow up mate settings, and daily line-up meetings for
with the guest. repetition. Make it known what the expecta-
tion is and hold everyone equally accountable.
3. Acknowledge every guest within 10 feet
with eye contact, good posture, and a In a typical day as a general manager you
smile. Provide a positive and friendly will have contracts to sign, new managers to
greeting within 5 feet. Always be the first guide, senior managers to focus, vendors to
person to speak. negotiate with, forecasting to accomplish,
guests to intrigue, and controls to monitor. In-
4. Ensure that guests are escorted to their terruptions are commonplace. The chief engi-
destination. neer may call you to discuss the effects on
your guests of the chiller going down. The di-
5. Always acknowledge guest needs first by rector of human resources is on the line be-
opening doors, offering the right of way, cause a manager just overstepped his bounds
and ceasing personal conversations when with an employee. As you are comparing
a guest approaches. notes from the individuals involved, your cell
phone rings; it’s the golf course superinten-
6. Seek to identify the guest’s name and use dent, who is on the twelfth hole in the rain
it at every opportunity, whether in person watching the river that runs through your
or on the phone. property flood the course and the neighbors’

7. Answer phones within three rings, saying
“[Department name], this is [employee

117Section 3.6 ᭿ A Day in the General Manager’s Life

houses. Now you have to find time to coordi- gized to sell. They need to believe in your di-
nate the insurance adjusters, geologists, and rection and vision as much as you do.
canal clearing teams to determine liabilities,
flow patterns, and potential problem solving Special assignments can be rewarding.
for the future. Now it is lunchtime. Have you You may be called on to determine the direc-
kept your head about you? Are you following tion of the development of the property. Your
the philosophies noted above? analytical skills may be tested in explaining to
the ownership how a new ballroom will make
General management is about using your them more money. You may be called on to
brain, not your brawn. As you can see, your sell the idea to community planning leaders to
day can consume you. Don’t let it. Surround ensure the permitting process is successful.
yourself with the best talent possible and set Your speaking skills may be further chal-
the level of expectation high. You can spend lenged in a town hall forum, with tough ques-
the day involving yourself with every detail tions coming directly at you with no time to
you can dig up, or you can find and nurture prepare an answer. You can do it; just trans-
talent that can help free your time. Take pride late the skills you learned from guest interac-
in helping others learn to handle situations so tions. Remember your vision.
you have time to focus the direction you have
set. Community involvement can be vital.
Keep up with the economic indicators in your
Educate yourself. Read trade journals region. Serve on a board for the Hotel and
and newspapers. Keep up with community is- Lodging Association or the Convention and
sues. Seek the latest trends in food and drink. Visitor Bureau. You must be involved with
Is your room product better than the compe- politicians when transient occupancy taxes
tition? Being on the front end of a trend could are a topic of city fund-raising. Will commu-
mean free press for your hotel. Let your pas- nity involvement benefit your hotel or com-
sion show through. pany? The current mayoral race may set the
tone for many decisions that will affect the
Get the word out. Employ a public rela- hospitality business in the next four years;
tions company to ensure you get your fair your influence and support for right candi-
share of accolades in the places your target date may be needed. The property you run
guests will see them. Use your marketing will develop a reputation that will be your
team to research advertising opportunities, di- signature. You will be setting a tone through-
rect mail, and Internet options. Make yourself out the community in everything you do at
available to the sales team. The general man- your hotel.
ager’s influence during a decision-maker’s
site inspection can make a profound differ- Remember that you represent your hotel.
ence. Be available, active, and involved. The Its ultimate success will be your success, so
phrase “Build it and they will come” only don’t get too distracted. Keep focused and
works in the movies. The team must be ener- have fun. You have earned it!

118 Chapter 3 ᭿ General Managers: A View at the Top

3.7 M I N I C A S E : S U N S E T H O T E L S
AND SUITES

Shortly before the end of 2001, Mr. Andre talked with their GMs and human resource
Johnson, President of Sunset Hotels and officers about their frustrations. These
Suites, Inc., heard through the company included:
grapevine that several department and opera-
tional managers at the company’s hotels in • Many of the GMs were young, in their
northern California were unhappy with their thirties and forties, successful, and tend-
promotion prospects. Unwilling to risk losing ing to not move.
these young managers, Johnson was contem-
plating how to help these men and women • There are no regional managers, as John-
manage their careers, at the same time mak- son prefers to run a fairly flat corporate
ing staying with Sunset attractive and organization.
challenging.
• Several felt locked into narrow specialties
Sunset Hotels and Suites is a growing (convention services, catering sales,
West Coast chain with nine properties in housekeeping management, and front of-
southern California, six in the San Francisco fice) without clear prospects for cross-
Bay area (northern California), and five in training to add breadth to their career.
the Seattle-Portland region. The hotels in the
Bay area were the most recent acquisitions, • They were not particularly unhappy with
and although fewer in number than the south- salaries and the usual benefits, but some
ern California region, boasted 20 percent grumbled about the valuable stock op-
more rooms and were more recently built. tions the GMs get, largely based on the
They also included the youngest management performance of the operating managers’
staff, many of who were retained from the departments.
staffs of the acquired hotels. Sunset is a
privately owned company, operated as an Johnson called a meeting of the Bay area
S-corporation, with all of the corporate offi- managers at the Mark Hopkins Hotel in San
cers and hotel GMs holding shares of the Francisco (not a Sunset property) and invited
company’s stock. all department managers from Sunset to be
his guests for a two-day conference. Similar
Several of the unhappy managers had meetings were announced and planned in the
Pacific Northwest and southern California.

REFERENCES

ACA’s Competencies Research Team. 1996. “The Agle, B.R., R.K. Mitchell, and J.A. Sonnenfeld.
Role of Competencies in an Integrated HR 1999. “Who Matters to CEOs? An Investiga-
Strategy.” ACA Journal Summer:6–21. tion of Stakeholder Attributes and Salience,

119Section 3.7 ᭿ Mini Case: Sunset Hotels and Suites

Corporate Performance, and CEO Values. Koepper, K. 1988. “Management Effectiveness:
Academy of Management Journal 42:507–525. A Hotel Industry Appraisal.” Lodging
Arnaldo, M.J. 1981. “Hotel General Managers: A 14(4):53–57.
Profile.” Cornell Hotel and Restaurant Admin-
istration Quarterly 22(3):53–56. Kotter, J.P. 1982. The General Managers. New
Blancero, D., J. Boroski, and L. Dyer. 1996. “Key York: Free Press.
Competencies for a Transformed Human Re-
sources Organization: Results of a Field Ley, D.A. 1978. “An Empirical Examination of Se-
Study.” Human Resource Management 35(3): lected Work Activity Correlates of Managerial
383–403. Effectiveness in the Hotel Industry Using a
Dann, D. 1990. “The Nature of Managerial Work in Structured Observation Approach.” Unpub-
the Hospitality Industry.” International Jour- lished Ph.D. dissertation, Michigan State Uni-
nal of Hospitality Management 9(4):319–334. versity, East Lansing, Michigan.
Dubois, D. 1993. Competency-based Performance
Improvement: A Strategy for Organizational Linkage, Inc. 1997. Introduction to Competency
Change. Amherst, MA: HRD. Modeling. Lexington, MA: Linkage.
Eder, R.W., and W.T. Umbreit. 1989. “Measures of
Managerial Effectiveness in the Hotel Indus- Lucia, A.D., and R. Lepsinger. 1999. The Art and
try.” Hospitality Research and Education Jour- Science of Competency Models. San Francisco:
nal 13(3):333–341. Jossey-Bass.
Enz, Cathy A., and Judy Siguaw. 2000. “Best Prac-
tices in Human Resources.” Cornell Hotel McLagan, P. 1996. “Great Ideas Revisited: Compe-
and Restaurant Administration Quarterly tency Models.” Training and Development
41(1):48–61. 50(1):60–65.
Evarts, H.F. 1988. “The Competency Programme
of the American Management Association. Mintzberg, H. 1973. The Nature of Managerial
Journal of Management Development Work. New York: Harper and Row.
7(6):48–56.
Ferguson, D.H., and F. Berger. 1984. “Restaurant Mirabile, R.J. 1985. “A Model for Competency-
Managers: What Do They Actually Do?” Cor- based Career Development.” Personnel
nell Hotel and Restaurant Administration April:30–38.
Quarterly 25(1):27–37.
Guerrier, Y. 1987. “Hotel Managers’ Careers and ———. 1997. “Everything You Wanted to Know
Their Impact on Hotels in Britain.” Interna- about Competency Modeling.” Training and
tional Journal of Hospitality Management Development 51(8):73–77.
6(3):121–130.
Guerrier, Y., and A. Lockwood. 1991. “Managers in Nebel, E.C., III. 1991. Managing Hotels Effectively:
Hospitality: A Review of Current Research.” Lessons from Outstanding Hotel Managers.
In Progress in Tourism, Recreation, and Hospi- New York: Van Nostrand Reinhold.
tality Management, C.P. Cooper (ed.),
2:151–167. London: Bellhaven. Shortt, G. 1989. “Work Activities of Hotel Man-
Hales, C., and M. Nightingale. 1986. “What Are agers in Northern Ireland: A Mintzbergian
Unit Managers Supposed to Do? A Contin- Analysis.” International Journal of Hospitality
gent Methodology for Investigating Manage- Management 8(2):121–130.
rial Role Requirements.” International
Journal of Hospitality Management 5(1):3–11. Umbreit, W.T. 1986. “Developing Behaviorally-
anchored Scales for Evaluating Job Perfor-
mance of Hotel Managers.” International
Journal of Hospitality Management 5(2):55–61.

Worsfold, P. 1989. “A Personality Profile of the Ho-
tel Manager.” International Journal of Hospi-
tality Management 8(1):51–62.

Zingheim, P.K., G.E. Ledford, and J.R. Shuster.
1996. “Competencies and Competency Mod-
els: Does One Size Fit All?” ACA Journal
Spring:56–65.

120 Chapter 3 ᭿ General Managers: A View at the Top

SUGGESTED READINGS

Books and Restaurant Administration Quarterly
36(3):30–35.
Nebel, E.C., III. 1991. Managing Hotels Effectively: Nebel, Eddystone C., Ju-Soon Lee, and B. Vuda-
Lessons from Outstanding Hotel Managers. jivuc. 1995. “Hotel General Manager Career
New York: Van Nostrand Reinhold. Paths in the United States.” International
Journal of Hospitality Management 14(34):
Powers, Tom. 1999. Introduction to Management in 252–256.
the Hospitality Industry, 6th ed. New York: Pavesic, David V., and Robert A. Brymer. 1990.
John Wiley and Sons. “Why Young Managers Are Quitting.” Cornell
Hotel and Restaurant Administration Quar-
Woods, Robert H., and Judy Z. King. 1996. Quality terly 30(4):90–96.
Leadership and Management in the Hospital- Rutherford, Denney G., and Jane Wiegenstein.
ity Industry. East Lansing, MI: Educational In- 1985. “The Mentoring Process in Hotel Gen-
stitute of the American Hotel and Motel eral Managers’ Careers.” Cornell Hotel and
Association. Restaurant Administration Quarterly 25(4):
16–23.
Articles Sparrowe, Raymond T., and Pamela A. Popielarz.
1995. “Getting Ahead in the Hospitality In-
Ley, D.A. 1978. “An Empirical Examination of Se- dustry: An Event Analysis of Promotions
lected Work Activity Correlates of Managerial Among Hotel and Restaurant Employees.”
Effectiveness in the Hotel Industry Using a Hospitality Research Journal 19(3):99–117.
Structured Observation Approach.” Unpub- Woods, Robert H., Denney G. Rutherford, Ray-
lished Ph.D. dissertation, Michigan State Uni- mond A. Schmidgall, and Michael Sciarini.
versity, East Lansing, Michigan. 1998. “Hotel General Managers: Focused on
the Core Business.” Cornell Hotel and Restau-
Ley, David. 1980. “The Effective GM: Leader or rant Administration Quarterly 39(6).
Entrepreneur?” Cornell Hotel and Restaurant
Administration Quarterly 22(3):53–56.

Morey, Richard C., and David A. Dittman. 1995.
“Evaluating a Hotel GM’s Performance: A
Case Study in Benchmarking.” Cornell Hotel

SOURCE NOTES

Chapter 3.2, “A Conceptual Framework of the Ho- Chapter 3.4, “As I See It: What I Do,” by Emilio
tel General Manager’s Job,” by Eddystone C. Fabico.
Nebel III and Ajay Ghei.
Chapter 3.5, “A Day in the Life of a Hilton Hotel
Chapter 3.3, “Grooming Future Hospitality Lead- General Manager,” by Robert O. Balmer,
ers: A Competencies Model,” by Beth G. CHA.
Chung-Herrera, Cathy A. Enz, and Melenie J.
Lankau, is reprinted from the June 2003 issue Chapter 3.6, “A Day in the General Manager’s
of Cornell Hotel and Restaurant Administra- Life,” by Bob Peckenpaugh.
tion Quarterly. © Cornell University. Used by
permission. All rights reserved.

chapter four

OPERATIONS: ROOMS

4.1 I N T R O D U C T I O N

The student of hospitality management will us the Internet, cellular phones, electronic
find the hotel’s front office referred to as the mail (e-mail), telephone- and computer-
hub, the nerve center, the brain, or some other transmitted facsimiles (faxes), overnight de-
name suggesting centrality. As H. E. Helden- livery of letters and packages, and personal
brand stated in his classic 1944 book Front data assistants (PDAs). These all combine to
Office Psychology, “To the guest, the manager generate an expectation of clear and nearly
is largely represented by the front office, and instantaneous communication and, by logical
the unseen head will be judged favorably or extension, fast and efficient services based on
otherwise by the guest treatment there” (In- communications. This, in turn, has increased
troduction). The observations, opinions, and the complexity of the hotel’s front office and
research presented in this section are chosen at the same time delivered increased opportu-
to illustrate the centrality of the front office in nities to serve the hotel’s guests. It has, there-
the modern hotel. fore, significantly changed the role of the
front office and the front office manager from
A theme that recurs throughout many of that described by Heldenbrand.
the readings in this section is that of commu-
nications. In an increasingly communications- In 1985, Rutherford studied a national
oriented society and world, information—its sample of front office managers (FOMs)
storage, retrieval, dissemination, and evalua- and concluded that communication had
tion—can mean a competitive edge and, to a emerged as a central issue. FOMs had added to
certain extent, power. Technology has given the predictable role of department manager

121

122 Chapter 4 ᭿ Operations: Rooms

responsibilities as facilitator and broker of the job relative not only to communication
communication in its various forms among the but also to elements of an FOM job analysis,
other hotel departments, the front office, and intrahotel relations, and the emerging and
the hotel guests. The model that emerged from popular concept of employee empowerment.
this analysis carries with it the powerful mes-
sage that the FOM’s job clearly revolves To see how this all fits together, walk a
around communications. A major conclusion few miles in the shoes of FOM Garry Dick-
of this study was that hotel firms should con- over. At the time this was written, Dickover
sider communication skills an important crite- was the FOM of two hotels: Marriott’s River
rion in considering candidates for the position Center and Riverwalk Hotels in San Antonio,
of FOM. Texas. Currently general manager of the
Courtyard Convention Center in Las Vegas,
When communication is coupled with the Dickover invites you to see the inside of the
aforementioned complexity and guest expec- FOM’s job and how he practices the theory of
tations of instant availability of information managing the front office.
and data, it is easy to see why the front office
and its staff operate under considerable In 1993, Glenn Withiam researched and
stress. Being the hub or nerve center of a wrote “American Concierges Set Service
modern hotel has as one of its positive aspects Standards,” an essay used in the second and
the fact that front office staff can be keenly third editions of Hotel Management and Op-
aware of what is happening at virtually every erations. Withiam also wrote an earlier piece,
level of the hotel’s organizational structure. “Keepers of the Keys: Concierges in Ameri-
One of the negative aspects is that the front can Hotels” (1983). The “keys” references the
office serves as a lightning rod for guest com- practice in European hotels of hotel guests
plaints. Dealing with complaints can be one of leaving their room keys with the concierge
the most difficult tasks for the front office upon leaving the floor of their room. The
staff to learn, especially given the frequency concierge therefore “kept the keys” for the
and sometimes the intensity of guest com- guest. The job today has evolved to use keys
plaints and expectations. as a metaphor for the processes of gatekeep-
ing access to hotel and community services on
Successful FOMs ideally possess demon- behalf of the guest. Concierges have a profes-
strated competencies in both oral and written sional society, Les Clefs d’Or, which uses
communications to deal with these complexi- crossed keys as an identifying device. The
ties and challenges. The FOM, therefore, is concierges who are members and so certified
not only a manager and a communicator are said to be keyed.
among the front office staff, the hotel depart-
ments, and the guests but also a communica- For this fourth-edition article on
tor in yet another way—that of teacher and concierges, Dr. Mario Arnaldo of Hawaii Pa-
trainer. cific University acknowledges Withiam’s
work as the heritage and underpinning of his
This contextual theme of communications current research, which led to this chapter.
is carried forward in the essay contributed by Herein, Arnaldo presents an overview of re-
James Bardi. Bardi discusses the job of FOM, search he did on the post–9/11 American ho-
providing insights about the complexities of tel concierge and guest service staff. The strict

123Section 4.1 ᭿ Introduction

application of the title concierge indicates Their article helps the reader, in an interest-
a hotel employee working at a concierge- ing and entertaining way, learn to make these
designated desk in a hotel property. To accu- management decisions.
rately assess the contributions of these hotel
professionals, Arnaldo contacted dozens of Yield and revenue management are also
contemporary concierges and guest service treated in the marketing section of this book
staff members, who generously provided ex- with other, in some ways contrasting, views by
amples of their concierge experiences. The au- Chappelle. The reader who wants additional
thor reviews in an accessible, conversational insights into these concepts is directed to the
manner the following questions: What’s up contributions by that author.
with concierges these days? Who does the of-
fice work? What are the organizational de- The articles and essays presented here for
partments they work in? What kind of your consideration represent only a fraction
interactions do they have with other hotel de- of the potential range of issues attendant on
partments? What is their greatest wish? any modern hotel front office. The duties, ob-
ligations, and responsibilities of front office
The theme of active communications is personnel change from hotel company to ho-
carried through the piece contributed by Bill tel company based on such variables as mar-
Quain and Steve LeBruto. If hotels are going ket segmentation, organizational structure,
to actively find the best pieces of business, corporate philosophy, and individual leader-
then there must be good communications ship. A large amount of management litera-
channels among all the organizational com- ture exists that is not specific to the front
ponents that guide the guest to a purchase de- office but nonetheless pertains to the various
cision. Whether this is at the front desk, issues and challenges that face FOMs. The ar-
through the reservations system, or through a ticles chosen for inclusion in this section are
travel agent, it is important to recognize the as specific as possible to functional aspects of
most attractive pieces of business and what front office management. Other pertinent
potential bookings may be logically refused. managerial insights may be applied from
Yes, refusing business is a central component other contexts once the reader has a good
of successful yield management, but not al- functional grasp of front office activities. In-
ways. In their words: “Yield management is cluded in the suggested readings are text-
usually thought of in the context of turning books that treat in great depth the functional
away undesirable business during excess de- and technical aspects of front office opera-
mand periods. However, the real art of yield tions. What has been attempted here is an
management is in learning how to turn unde- overview of pervasive managerial issues typi-
sirable booking requests into desirable ones.” cal of those currently facing FOMs.

124 Chapter 4 ᭿ Operations: Rooms

4.2 T H E E L E C T R I F Y I N G J O B O F T H E
FRONT OFFICE MANAGER

James A. Bardi

The exciting atmosphere of a hotel lobby of- corporate management concepts, to empower
ten intrigues students of hotel management. employees, and to refine exemplary commu-
People from all walks of life and corners of the nication techniques.
world cross paths to discuss and share ideas,
greet family and friends on special occasions, Bardi (1990, 345–349) stated, “[T]he front
attend conferences to debate issues, or discuss office manager must take an active role in
business deals. Questions concerning arrivals, gathering information of interest to guests
meeting times, rates, food and beverage ser- and in developing procedures for the front of-
vices, directions, transportation services, or fice to use in disbursing this information.”
whereabouts of the management staff and This information is also needed by various de-
guests create a commotion that seems over- partments to assist in delivering and organiz-
whelming at times. Is someone in charge here? ing hospitality. This is a tall order for the FOM
The preprofessional who sets as his or her ca- to fulfill, especially considering the total
reer objective being the general manager of a realm of potential information guests may re-
hotel and hopes the required tenure as a front quire and from what departments. Those ho-
office manager (FOM) proceeds with haste tel departmental areas and their sources of
will find the role challenging. If you begin your guest information are included below:
career in hotel management as a front desk
clerk, bellperson, or cashier, you have a vast Interdepartmental Communication
opportunity to explore just who is in charge.
Department Information Needed from
In a 1985 study, Rutherford discussed the Marketing and Front Office
important dimensions of the FOM’s job, in- Sales
cluding communications, facilitation, and or- Guest history, reservations,
ganizational interface and technical minutia. Housekeeping first impressions, relay
Selected job functions reported in the re- messages, and guest
search findings included communications Food and function information
with guests and employees; facilitating med- Beverage
ical emergencies, selling up, power failure Room status, potential
procedures, walking guests due to overbook- house count, security
ing, and design of computer systems for the concerns, and requests
front office; and organizational interface with for amenities and
the director of marketing, controller, food and supplies
beverage manager, and catering manager.
These job skills and interactions require a Relaying messages, accu-
person to prioritize and to resolve many is- rate voucher informa-
sues, to make quick decisions based on sound tion, posting of charges
to guest accounts, pre-
dicted house counts,
and paid-outs

125Section 4.2 ᭿ The Electrifying Job of the Front Office Manager

Banquet Information on scheduled • Communicates information to other de-
events, process of pay- partments—housekeeping, marketing and
Controller ment of guest charges sales, banquets, food and beverage, plant
Maintenance for scheduled events, engineering, and security.
Security preparation of daily
function board and • Resolves guest billing discrepancies and
Human marquee, and a public other complaints.
Resources communication post
• Prepares budget with general manager
Daily summary of financial and controller.
transactions, financial
data for billing, and • Prepares forecasting sheet.
credit card ledgers
• Conducts business meetings to promote
Room status and guest room sales.
requests for mainte-
nance service • Assists in check-in, check-out, reservation
confirmations, updating reservation sys-
Fire safety, emergency com- tem.
munication informa-
tion, and investigation • Interviews potential front office employ-
of guest security ees.
concerns
• Communicates with night auditor.
Initial point of contact and
screening for potential • Maintains front office equipment.
employees
Although this list shows only a few of the
Thus the FOM must embrace the charge many duties performed in any one day in the
of becoming a proactive communicator and life of an FOM, it provides the aspiring hospi-
facilitator. This hotel executive must analyze tality professional with an idea of the range of
and seek the pieces of information guests will managerial activities. The FOM must stay in
probably need and figure out which depart- control of all activities that affect the delivery
ments must interact to fulfill these needs. of hospitality to the guest—a major function
of a hotel’s financial success.
Further inquiry into the role of the FOM
can be accomplished by reviewing the ele- If delivering hospitality to the guest is a
ments of a job analysis of this position. Bardi major responsibility of the FOM, what are the
(1990, 49–50) presents a job analysis of an components of this subsystem of the hotel op-
FOM’s duties on a typical day. eration? How does the front office and, sub-
sequently, the FOM fit in? An answer to this
• Reviews night audit report. question can be derived from reviewing the
guest service cycle in a hotel (adapted from
• Reviews incoming reservations for the Albrecht and Zemke, 1985). If the FOM ana-
day. lyzes the various guest-departmental contacts,
he or she can move toward understanding
• Communicates information to employees how the front office fits into the efficient de-
on all shifts concerning reservations, livery of the hotel’s hospitality services. The
room assignments, and room inventory. potential departmental contacts in the cycle
are:

126 Chapter 4 ᭿ Operations: Rooms

• Marketing—Preparing and administering encounters in managing the delivery of hospi-
customer surveys with concern for guest tality services. However, one piece of “electri-
satisfaction, advertising methods, and in- fying magic” is still required to make front
centive promotions. office hospitality relevant to modern service
delivery realities: employee empowerment.
• Reservations—Developing and monitor-
ing a reservation system with respect to Sternberg (1992) discusses the concept of
ease of access to toll-free numbers, fax, empowerment as a granting of authority to
national reservation system, and tele- employees to make everyday decisions within
phone manner of personnel handling guidelines. For example, many guests of a ho-
reservations, cancellations, accommoda- tel feel they are in the middle of a bureaucracy
tion availability, complimentary services when they want to have a charge adjusted on
and products, and general information. their account folio. “Step aside and I’ll call my
supervisor” is too often the response to a
• Registration—Developing and monitor- guest’s inquiry about a charge adjustment. The
ing a registration system with respect to cashier is only doing what he or she was
concern for managing a guest transpor- trained to do. However, the guest doesn’t care
tation shuttle system, ensuring a first- what the training was; he just knows the
contact greeting; providing assistance system isn’t user-friendly. As Sternberg em-
with luggage; organizing an efficient phasizes, if guidelines are established and
check-in procedure; maintaining a room communicated, the cashier should know what
status system; processing credit cards; op- to do. Here is the manager’s chance to provide
erating a guest information system that that first electrifying jolt of empowerment.
centralizes all communication between
the guest and the hotel about housekeep- Charges within a specified dollar amount
ing, food and beverage, maintenance, and that are debated can be credited or adjusted
other hotel departments. without the supervisor’s approval. A corre-
sponding control system can be implemented
• Guest stay—Coordinating guest commu- that will reveal the extent of the credit
nications with all departments in the granted per cashier.
hotel to ensure guest satisfaction in
restaurants, lounges, room service, gift Another example of providing empower-
shops, housekeeping services, security, ment opportunities for front office staff is
wake-up calls, telephone system, and provided by Allin and Halpine (1988) in de-
guest folio availability. scribing quality assurance training at the
Waldorf-Astoria:
• Check-out—Developing and providing
an efficient check-out system with respect While there can be many reasons to combine
to coordinating flexible check-out times,
providing assistance with luggage, main- the positions of registration clerk and cashier,
taining in-room video check-out option,
monitoring guest wait-time in line, and and many aspects were considered at the
providing folio accuracy and printout.
Waldorf-Astoria, the decision was driven by a
This list of components in a guest service
cycle suggests the vast array of duties the FOM desire to improve guest service where its impact

is most obvious—at the front desk. Cross-

trained employees speed the check-in and

checkout process by performing both functions,

as the traffic at the desk dictates. Registration

127Section 4.3 ᭿ A Day in the Life of the Front Office Manager

clerks can cash checks and cashiers can issue office clerks, and others—that’s 144 million
duplicate room keys, in many cases eliminating chances for the chain to give a good or bad
the necessity of having the guest wait in two impression (Bardi, 1990, 233). As the gate-
lines. keeper of many, if not most, of these potential
contacts, the FOM is in a unique position to
Other opportunities to provide employee help his or her staff enhance the guest experi-
empowerment can be identified through care- ence. Empowerment is another powerful tool
ful analysis by the FOM of the progress of the in the FOM’s managerial arsenal.
guest through the guest service cycle.
The role of the FOM demands a mastery
The potential opportunities to serve or of communication, operational details, and,
mis-serve the guest can be appreciated when increasingly, empowerment. The challenging
viewed in the context of guests times service and attractive nature of this role allows the
contacts. If 12 million guests pass through a new hospitality professional to try various
hotel company’s entire system in a year and ways to apply interpersonal skills that will
each has an average of 12 contacts with hotel yield a profit for the hotel. It is a challenge
staff—guest service staff, housekeepers, front that will last a lifetime.

4.3 A D AY I N T H E L I F E O F T H E F R O N T
OFFICE MANAGER

Garry Dickover

It’s 6:00 on a Saturday morning. The alarm people smile and greet the guest, use a guest’s
clock is blaring its normal “beep, beep, beep, name, add a value statement about the hotel
beep.” The sun is peering through the window. or city, and thank the guest for his or her busi-
Time to start another day as front office man- ness. I don’t ask for much, but to train people
ager. It is going to be a busy day featuring 800 to do those four things can be a challenge.
arrivals and 750 departures. Plus, the hotel is
50 rooms oversold. It is going to be a fun one. Pre-shift meetings are an important start
to the day, but it can be a hassle getting every-
It’s 7:00 A.M. The drive to work is an easy one together. There are a lot of reasons why
one this Saturday morning. It gives me a an associate can’t make a pre-shift meeting,
chance to think about one thing in particular but attendance is important to the success of
that is on tap for today. There is a 9:00 A.M. my department. It is the time I have everyone
pre-convention meeting for the group that is together, let them know what is going on for
arriving today. There is the regular morning the day, and get a chance to share with them
pre-shift meeting. Today I also have to review the standards we have set and how they can
hospitality standards with the front desk staff. apply them to the customer. At 1:00 P.M. today
You would think that it would be easy to have I have a Safety Committee meeting, and at

128 Chapter 4 ᭿ Operations: Rooms

4:00 I have my weekly rap session with the sion on the staff’s faces. They know they are in
telephone department. Yeah, I think to my- for a tough day—remember, 50 rooms over-
self, it is going to be a full day. sold. It is important that I don’t let the team
see any stress I may feel on my face. The team
As I arrive to work, I can see that the knows how important it is to sell out the ho-
check-outs have already started. It is nice to tel. They know that once a room is empty
see the bellmen taking care of our guests. As I overnight, you never get a chance to sell that
scan the grounds, I make sure there is no trash room again. They also know you have to over-
on the ground, the bell carts are clean, and the sell the hotel. This is the time I can reassure
valet parking staff is hustling to retrieve guest them that the revenue department has calcu-
cars. I look at the windows of the entryway to lated all of the slip percentages for the big
the hotel to check for cleanliness. The front group checking in. A slip percentage is the ex-
drive is the first and last thing a guest sees, so pected variation from stated arrival and
it has to be looking good. Today, all looks rooms pick-up percentages the group’s meet-
good. ing planner promised. It is important for me
to develop a good relationship with the rev-
It is better for me to spot-check the area enue department. The FOM must be active in
before the general manager comes by and the forecast meetings to ensure the hotel is
sees any problems. As the FOM, I learned the not “sold up the river,” meaning overcommit-
GM’s route when he arrives at work, so I ted by the sales staff.
make sure the area is clean. (This is some-
thing they did not teach me in college, along Relationship building is an important job
with how to repair printers and copy ma- for the FOM. It is where trust is established—
chines—some things you gotta learn by do- trust between you and the other departments.
ing.) This morning, things look good. It is not me versus them; it’s us trying to max-
imize revenue and occupancy and to continue
It’s 7:50 A.M. I make my way to the back to build loyalty. This is the time to reassure
of the front office. My desk managers are the team that if we do our jobs as we have
busy getting information ready for the pre- been trained, all will be fine. We do a little
shift meeting. As I walk through the area, I al- cheer, and out to the desk they go! Now for a
ways make it a point to greet people as I pass cup of coffee.
and wish them a good morning. I know how
important it is to give each and every associ- I review the plans with the desk managers
ate a cheerful good morning. It sets the stage for the sold-out night. This is also the time I
for the day. And you know, it really does make check availability at other hotels, check the
people feel good. A good department head stayover requests and no-show percentages,
recognizes his or her associates. The first and check for duplicated reservations. It looks
words that come out of your mouth should be like they have it under control. I double-
pleasant. The front office team takes the check the staffing during the peak periods
brunt of all the complaints. They don’t need and remind the managers to get everyone to
me to harp on them. lunch. (As simple as this sounds, sometimes
we forget.) I check my watch; 30 minutes to
The pre-shift meeting goes smoothly. The the pre-con. Better pull out the group resume,
desk managers prep the team for the day, I re- which is our profile of the group that includes,
view the hospitality standards, and we are set.
As we are about to finish, I notice some ten-

129Section 4.3 ᭿ A Day in the Life of the Front Office Manager

among many other things, a historical profile team, but you also have to respect why your
of the group’s room pick-ups, occupancies, managers did what they did. The best thing to
and food and beverage revenues. do is to listen to what your associates say and
then review the situation. I have found that 80
At 8:45 A.M., I’m off to the pre-con. I head percent of the time there is an alternative.
by the desk to wave to the staff, and I stop by You want to create win-win solutions. By
the telephone system, bellstand, and the spending time with your associates, you
concierge desk. All seems to be going demonstrate to them you care about their sit-
smoothly. At the pre-con, we all do our formal uation; this helps build loyalty. Remember that
introductions and meet the group’s represen- they don’t care how much you know until they
tatives, usually the meeting planner and mem- know how much you care. Another situation
bers of the group’s leadership. We each solved.
discuss our individual departments and the
relationship we will have with the group. This The next couple of hours I spend review-
is our time to sell them on how well we will do ing the previous day’s information and getting
for their group. It is a successful pre-con; all caught up on email, memos, and other com-
the parties seem happy. I spend just a couple munications. Generally, this is the time I get a
of minutes with the group convention man- couple of phone calls from upset guests. This
ager, giving an update on the oversold situa- could be for a variety of reasons. Before
tion. If we have to walk guests, it is important check-out, some people always want to let the
to let the group convention manager know manager know how things went. It is impor-
about the situation. Today I said we might, but tant to listen to customers when they com-
we should be in good shape. She thanks me plain. It is a great way to find out what
for the update. deficiencies you may have in the hotel’s ser-
vice processes. Most complaints are caused by
As I make my way back to the front of- a breakdown in the process. Sometimes peo-
fice, I end up walking with the resident man- ple get upset over the smallest things. Some-
ager (RM). He asks me how things went last times they have a right to be upset. One
night and how our hotel is for tonight. As an example from past experience was the room
FOM, it is important to know what your boss being so cold that when the guest lifted the
is going to ask you. Bosses are all different, toilet seat, the water had a small sheet of ice
but they always seem to ask the same ques- on it. Ensuring customer satisfaction is a large
tions. It is important to review the daily sales part of the FOM’s job. You have to own hos-
and occupancy report from the previous day pitality. Your team sets the stage for a guest’s
so you know what is going on and can share entire stay. It better be good!
this information with the RM. I gave the RM
the information he wants, always emphasizing By now it is 12:15 P.M. and time for lunch.
the positives. I grab the information I need for the 1:00 P.M.
safety meeting. I will go directly to that meet-
When I get back to my office, I have a ing after lunch. As I make my way, I check on
couple of associates wanting to talk to me. the desk and the house count. We are now
They are bothered by the new schedule. They only 29 oversold. We have had some canceled
wanted some specific days off and, because of reservations, and we also had 18 early depar-
the business, they did not get them. This is a tures. Things are looking good.
delicate situation. You want to be fair to the

130 Chapter 4 ᭿ Operations: Rooms

At 1:00 P.M. I walk into the safety meet- become a bitch session; this helps me control
ing. This is never an exciting meeting, but it is the meeting. During this meeting, I discover
always important. Accidents are costly to the some equipment that is needed and that we
hotel. It is important to keep accident preven- need more uniforms for the team. It would be
tion a priority for all associates. Today we talk great to buy them all new uniforms, but I have
about the most current accidents, how they to stay within my budget. Sometimes that is
could have been prevented, and the next hard to do. I take notes on their comments
steps. We also discuss the implications of and will pass them on to the other managers.
safety and security interests for our guests. It is important for all of the managers to be in
This is important to avoid lawsuits and pro- the loop. I always keep the raps to about an
vide guests with a safe and secure environ- hour.
ment. The meeting wraps up at 2:30 P.M.
By now it is 5:00 P.M., our peak check-in
As I come down the escalator, I see the time. I go back out to the lobby to see how
check-ins are starting to arrive. I head to the things are going. On a busy day like today, I
bellstand to see if the bell captain is caught typically spend the next couple of hours help-
up. All is well. Because lines are forming, I go ing out in the lobby. At 5:30 P.M., the night
behind the front desk to handle a few check- manager on duty (MOD) comes out to meet
ins. I always like this part of the job. It also with me. We usually work the lobby together
gets a smile from the desk clerks. Before you while I tell him about the day. He tells me
know it, you have helped move the line. Be- about the previous night. Of course, the first
cause the desk is staying busy, it is time for me thing he shows me is the house count: 24
to move out and manage from the lobby. This rooms oversold and 352 arrivals expected. We
is a great way to watch what is happening. are in good shape. It is important to track the
You can view your whole front office team by number of no-shows. This helps you make
being in the lobby. (You can also ensure the better decisions to maximize your revenue.
cleanliness of the area. This helps our friends The MOD is a little nervous. I tell him not to
in housekeeping.) A big part of the job in the worry, we will be fine. We review the sold-out
lobby is just answering questions and giving night so we don’t miss anything. He tells me
directions. Every guest I help means one he already has the walk letters (expressing
guest who did not have to go to the front desk our regret and outlining our promises to a
and one more guest who did not have to stand guest who is walked to another hotel) out on
in line. This is the fun part of the job! the desk. This brings a good laugh. We have
done this plenty of times, so I trust that the
At 3:50 P.M., my pager goes off. It is a re- hotel is in good hands.
minder about my 4:00 P.M. rap sessions. I can’t
believe 90 minutes passed while I was in the It’s 7:00 P.M., and things seem to be in
lobby. It is a good day. good shape. Time to go home. I make one
more trip around to the departments in the
Meeting with associates allows me to take front office to see how they are doing and
the pulse of their work situation. I do it in wish them a good evening. Another good day!
small groups or as a one-on-one rap. It helps
build a relationship within the team and also The day described above is a typical day
helps identify challenges I was unaware of. I as a front office manager. Some days have dif-
ask leading questions so the session does not ferent meetings, some days have more upset