Introduction to Hospitality Chapter 1
Terms in this set (60)
The reception and entertainment of guests, visitors or strangers with generosity and goodwill.
Define Hospitality Industry
All institutions that provide services to people away from home and the organizations that service or support those institutions.
Hotel and Lodging Industry
Restaurant Industry (Foodservice)
Airline Industry (Transportation)
Theme Park Industry(Amusement Park)
Casinos/Gaming Entertainment Industry
Corporate Event Industry
Special Event Industry
Experimental Prototype Community of Tomorrow
Name the 6 roles of managers in the Business
Facilitate success for their subordinates
Direction, knowledge and support
Ensure that they have everything they need
Make the Guest Feel Welcome
Atmosphere of generosity and goodwill
Make things work for the guest
Provide service while making a PROFIT
Facilitate service excellence and ensure expertise
Balancing the needs of all stakeholders
all ACTIONS and REACTIONS that guests perceive they are purchasing
1) On Time 2) Defect Free 3)by a Courteous and Welcoming individual
1) Moments of Truth
2) Personalized service that guests feel valued
3) The WOW factor...Anticipatory Service
Have high value perceptions
Have high expectations
Always have other choices
What does customer satisfaction measure?
Measures how guest expectations were met.
What is the ultimate goal?
What is not the ultimate goal?
What are the behaviors of loyal customers
1.) Repeat business
2.) Word of mouth
3.) Willingness to buy more and more often
4.) Relatively insensitive to reasonable price increases
True or False
A loyal customer can still be lured away by a competitor
False - Loyal customers cannot be lured away by a competitor
What are the 7 critical concepts?
1) Service Quality/Differentiating Factor
2) Employee Turnover
3) Customer satisfaction-meeting expectations
4) Customer Loyalty
5) Creating experiences
6) Knowledge Workers
The ONLY hospitality company to win the Malcolm Baldridge National Quality Award (1993 & 1999).
What six things makes the Hospitality Industry Unique
5.) High Fixed Cost
6.) Labor Intensive
True or False
Leadership is inspiring, not demanding
#1 Service Goal
#1 Problem in the Hospitality and Tourism Industry
We are creating ____________
High dependency on people
services may not be often seen, felt, tasted and smelled before they are purchased.
Both the service provider and the customer must be present for the transaction to occur.
Service quality depends on who provides the services and when and where they are provided.
Services cannot be stored. Once a plane leaves or a day ends, they can never again be sold.
High Fixed Cost
High construction and maintenance cost
Front of House; directly serves guests
Back of House; serves front of house, who serve guests
What are the success factors for service
1.) Desire to delight
2.) Focus on guests satisfaction and consistency
3.) Emphasis on constant improvement of the guest experience
4.) Creating a service culture
5.) Emphasize high touch instead of high tech
6.) Promptly and empathetically address service failure
7.) Empowerment and satisfaction of internal customers
What must Leadership do to ensure top quality service
1.) Leadership must develop individual team members knowledge, skills, attitude
2.) Leadership must manage change effectively by involving staff
3.) Engage in total quality management and continuous improvement
How can leadership manage change effectively by involving staff?
1.) State the purpose of the change
2.) Involve all employees in the process
3.) Monitor, update, and follow up
How can leadership engage in Total Quality Management and continuous improvement
Have employees define
What the expectations are
How they can best be achieved
What are the 3 Aspects of Service
1) service should be defect free
2) service should be timely
3) people should care.
What are the 3 Steps of Service
1.) A warm and sincere greeting, use the guest name 2.) Anticipation and compliance with guests needs; 3.) Fond farewell, a warm goodbye, use their names
What are the 4 things hospitality businesses should be doing?
1.) Keeping current guests
2.) Win-win situation
3.) creating efficiency with input from those performing the job
4.) Prioritizing positive moments of truth
What is the Disney Service Model
1.) It begins with a smile
2.) make eye contact and use body language;
3.) respect and welcome all guests;
4.) value the magic;
5.) initiate guest contact;
6.) create service solutions;
7.) end with a thank you.
7 Deadly Sins of Service
6) Rule Book;
What is the Service-profit chain
Employees treat guests the way employers treat them
The Service Failure Paradox
When an error is made you have a limited opportunity to not only fix an error but also create higher customer satisfaction.
What is the LEAVE strategy for handling guest complaints
1.) Listen until customer is finished speaking
2.) Empathize to understand the customers emotion
3.) Apologize more than once
4.) Verify the complaint
5.) Explore possible solutions
Giving employees authority to be responsible for their jobs and have a stake in the organizations success
Empowered Employees have the authority
to make their own decisions when serving guests
What are the four steps empowered employees use
1.) Speak out about their problems and concerns
2.) Take responsibility for their actions
3.) Consider themselves a network of professionals
4.) hey are more committed and engaged
What is the Manager's role in encouraging employee empowerment?
1.) Train employees
2.) Allow them to take risks
3.) Delegate more power and responsibilities
4.) Foster a learning environment
5.) Share information and encourage self expression
6.) Acknowledge and reward their contributions and achievments.
How do the empowered employees of Ritz Carlton handle guest complaint?
1.) Handle guests complaint within 10 min
2.) Immediate contact to explain a solution that is in place
3.) Front-line employees have up to $2000 per incident for a problem resolution
4.) Whoever receives a complaint owns it
5.) Each individual must support each other if resolving a problem or meeting guests needs.
True or False
Ritz Carlton's number one goal is customer loyalty
False- Customer Satisfaction
What are the 6 steps of Disney's Service
1.) Hire, develop, and retain the right people
2.) Understand the product and the brands meaning
3.) Communicate the traditions and standards to all cast members
4.) Train leaders to be service coaches
5.) Measure guest satisfaction
6.) Acknowledge and reward employee contribution and achievements
5 Steps to Leadership
1.) Provide clear expectations and standards;
2.) Communicate these expectations through demonstration, information, and examples;
3.) Hold cast members accountable for their feedback;
4.) Coach through honest and direct feedback;
5.) Recognize, reward, and celebrate success.
What is an essential difference between the hospitality business and other businesses?
Hospitality sells intangible and perishable products.
Hospitality and tourism is the ___________ growing industry.
The difference between TQM and QC is?
QC is focused on error detection, while TQM is focused on error prevention.
What is total quality management (TQM)?
Managerial approach that integrates all of the functions and related processes of a business.
(Example: They are all aimed at maximizing guest satisfaction through ongoing improvement.
True or False
Total Quality Management involves a reactive approach to meeting guests needs.
False- Total Quality Management involves an proactive approach to meeting guests needs so that high levels of customer satisfaction are achieved.
What is quality control (QC)?
Error detection and prevention, based on TQM or continuous quality improvement, an important part of delivering exceptional service to guests.
When does the moment of truth start?
When the very first guest interaction begins.
What are the 7 deadly sins?
Moral principles and values that people use to answer questions about right and wrong.
Is this Ethical? Questions to ask
1.) Is this legal?
2.) Is this against company policy?
3.) Will this decision promote a win-win relationship?
4.) How will I feel about myself after making this decision?