Ritz-Carlton Hotel Case Study Example: Sustomer Satisfaction Management

In what ways could the Ritz-Carlton chain monitor its success in improving quality in customer service?

Taking surveys could be the best way to monitor success. The data from the customer satisfaction survey could be used to determine the customers experience and therefore make the necessary improvements.

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By monitoring the trends regarding customers served at the hotel, Ritz-Carlton management can easily see the hotel's popularity. An increase would show that customers are satisfied.

Why might it cost the Ritz-Carlton less to do things right the first time?

Doing right the first time could reduce cost since prevention focuses on proactive solutions such as researching new Ritz-Carlton training programs and methods, improving customer service skills. Such actions would reduce the expenses incurred in instances like higher maintenance costs, and the customer services costs.

Since the company's image revolves around its brand image, customer satisfaction rating is of paramount importance. Therefore, the company should ensure that the first impression meets the client's expectation.

What are some non-financial measures of customer satisfaction and retention that might be used by the Ritz-Carlton Hotel company?

Customer satisfaction measurement can be done using the number of returned customers, the feedback on customer satisfaction questionnaire, and the number of referrals.

How could control charts, Pareto diagrams, and cause-and-effect diagrams be used to identify quality problems at the hotel?

- Control charts

This tool graphically depicts the average value and the upper and lower limits of a process. The control chart will help distinguish the variations in a process and compare it with the standard that is being benchmarked.

- Pareto diagrams

The diagram gives a graphical overview of the process problems ranking them in descending order. The data will tell how the hotel is doing regarding the quality of services offered. It also identifies and targets the most significant problem.

- Cause-and-effect diagrams

The hotel will find ways of identifying quality problems in combining brainstorms with typical thinking by using this tool. This will push it into considering the possible causes, therefore, expanding the horizon into exploring more causes affecting the hotel.

Many companies say that their goal is to provide quality products and services. What actions might you expect from a company that intends quality to be more than a slogan or buzzword?

Setting the company's operational strategy around the company slogan is the way to achieve such expectations and customer satisfaction goals. By doing so, every unit of the company will work towards fulfilling the slogan promise.

When it comes to the Ritz Carlton Hotel group, it is clear that it has put more determination into its quality efforts in organizing its staff into self-directed teams. The employees determine the work schedules and monitor what areas need to be addressed in the issues of quality.

References

Berry, L. L., Parasuraman, A., & Zeithaml, V. A. (1994). Improving service quality in America: lessons learned. The Academy of Management Executive, 8(2), 32-45.

Partlow, C. G. (1993). How Ritz-Carlton Applies TQM. The Cornell Hotel and Restaurant Administration Quarterly, 34(4), 16-24.

Video 6.2 - TQM at Ritz-Carlton Hotels https://media.pearsoncmg.com/pls/il/devry/1269898760/page_14.html