chapter 1: managing service enterprises

7/31/2019 Chapter 1: Managing Service Enterprises

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Managing Service EnterprisesChapter 1

Pio G. Castillo/BA100: Dana Tesone


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Service Jobs and Managers

Service jobs require technical skills to performjob functions.

Managers are responsible for other people whoperform these functions.


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Service

Service consists of interactions and transactionsthat result in relationships among customersand staff members, which is called customer

relationships.

Hospitality service enterprises are organizationsthat regularly engage in customer relationships.


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Customer Relationships

Customer relationships may be measured bytwo factors.

Intimacy the intensity of the

interactions Duration time spent with the customers


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Customer Service Relationship Model

High

Low HighDuration

Intimacy

QSRs Airline Limited Service Lodging

Event Planner

Full Service Restaurant

Physician

Retail

Full Service Hotel

Cruise Luxury Hotel


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The Hospitality Industry

It includes services in the areas of lodging,food service, travel, tourism, recreation,entertainment, personal health and fitness,

attractions, social events, meetings andconventions to which the complexity of bothintimacy and duration are very high.

*Internal vs. External Customers


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Service vs. Servitude

Stewardship describes the intrinsic duty ofleaders to provide services to their followerseveryday without being asked for assistance.

They do this because they are concerned withthe welfare of those individuals with whomthey interact.

A path of service is a choice we make, whileone of servitude is forced upon us.


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Management

Management is the accomplishment of anorganizations objectives through the activitiesof others.

An organization is a collection of individualsbrought together to achieve a common set ofgoals/objectives. It is made up of people whoprovide goods and services to customers.


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Organizational Culture and Climate

The organizational culture consists of theshared values, attitudes and beliefs of workerswithin a specific organization. These would

cause workers to engage in behaviors that areconsistent with the expectations or norms ofthat organization.

The organizational climate is composed ofopinions of individuals concerning theorganizational culture.


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We are ladies and gentlemen

serving ladies and gentlemen.- Ritz-Carlton


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2 Broad Categories of Employees

Line workers produce products and/orservices and/or directly generate revenues forthe organization.

Staff workers perform tasks, duties andresponsibilities intended to support the lineworkers.


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Mismanagement

Mismanagement occurs when managers proveto be negligent in managing the enterprise to areasonable standard.

*Autocratic Management

^Employee Turnover vs. Employee Retentionand Sound Leadership


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Management Functions

Planning Organizing Influencing (Leading)

Controlling


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3 Basic Levels of Management

Supervisory Level Middle Level Management Senior Level Management


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Management Hierarchy

Senior

Middle

Supervisory

Management Skills Management Functions

Conceptual

Influencing

Technical

Planning

Organizing

Controlling


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Management Responsibility and Risk

Management responsibility involves assumingresponsibility for an area of authority.

Management risk occurs when managersengage in behaviors (ex. decision-making) that maybe detrimental to a managers standing in theorganization.


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Becoming a Manager

Management TrainingProblem solving activitiesIntervention planning

Solution optimization

Trial-and-error practiceModelingMentoring

*Training Reinforcement


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Role of Supervisors

Supervision is the first level of managementthat oversees the work being performed by lineand staff workers. As a person moves up the

ladder, he spends less time supervising theperformance of others and more time engagedin planning and organizing activities.


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Achieving Objectives

Managers and supervisors are responsible forachieving objectives through the activities ofothers.

Objectives

Strategies

PoliciesStandards

Procedures

chapter 1: managing service enterprises

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