1. Organizational and Operational Concepts
Chapter 17
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

2. HMS – 0 + 0 Concepts Change Structure Six Sigma
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

3. HMS - Change Strategies
Dynamic environment
Competitive situation
Market behavior
Human behavior
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

4. Managing Change Do things differently. Learn new ideas.
Master new devices.
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

5. HMS - Types of Change Unplanned Planned
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

6. HMS - Change - External Forces
Technological
Market
Competitive
Workforce
Crisis
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

7. HMS - Change - Internal Forces
Reinvention
Re-engineering
CQI
Crisis
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

8. HMS - Change - Management’s Role
Change sponsors (power/influence)
Change agents (responsible)
Change targets (must change)
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

9. Implementing the Change Continuous Improvement
“PDCA”
PLAN
Planning for Change DO
ACT
Implementing the Change
Continuous Improvement
CHECK
Monitoring the Change
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

10. Phase 1 of the Change Model
PLAN
Planning For change
Recognize the need for change
Establish a vision for change
Assess the current status
Develop a plan for change
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

11. Phase 2 of the Change ModelDO
Implementing for change
Communicate the vision
Foster change through power
Measure progress
Celebrate successes
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

12. Phase 3 of the Change Model
CHECK
Monitoring the change
Re-evaluate the vision
Assess the plan for change
Evaluate the plan for change
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

13. Phase 4 of the Change Model
ACT
Continuous improvement
Look for additional opportunities to improve
Repeat the PDCA cycle
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

14. HMS - Change - Environment
Remote/General
Economics
Technology
Task
Customer
Supplier
– Socio-cultural
– Political
– Regulation
– Competitor
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

15. HMS - Change - Complexity
“Range of activities occurring.”
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

16. HMS - Change - Dimensions
Complexity
Uncertainty
Illiberality
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

17. HMS - Change - Uncertainty
“Dynamics and variability of change.”
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

18. HMS - Change - Illiberality
“Threat from external forces.”
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

19. HMS - Change - Environment
“Perceptual in nature.”
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

20. HMS - Structure Formalization - rules, policies, etc.
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

21. HMS - Structure Complexity - Number of different specializations
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

22. HMS - Structure and Phases
Creation
Transformation
Decline
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

23. HMS - Management Evolution/ Maturation
Technical skills (basic activities)
Conceptual skills (focus on broader perspectives)
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

24. HMS - Structure Centralization - Hierarchy of authority (upward focus)
Decentralization - The delegates of authority (downward focus)
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

25. HMS – Structure Team concept Clusters Areas Types/units
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

26. HMS - Change Strategy “As a firm grows, the emphasis
goes from technical to conceptual.”
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

27. HMS - Change
“It is not the strongest of the species that survives, nor the most intelligent, but rather the most responsive to change.”
Charles Darwin
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

28. DEMAGIC DEFINE the problem/goal MEASURE what you care about
ANALYZE to find root causes (statistically)
GROWTH in customers and earnings
IMPROVE through mobilizing change initiatives
CONTROL costs and sustain improvements
*modified GE SIX SIGMA
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

29. DEMAGIC Master Black Belts Teach Mentor Develop tools
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J

30. DEMAGIC Champions Promote initiatives
Incorporate into daily operations
Reinforce culture
Hospitality Management Strategies ©2005 Pearson Education, Inc.
By R.A. Nykiel Upper Saddle River, N.J