The Development of Quality Managers in theHospitality Industry:Do Employee Development Programs Make Cents?Wanda M. Costen, Misty M. Johanson &Donetta K. Poisson (2010)Journal oh Human Resources inHospitality & Tourism, 9:2, 131-141Wiwien Meinur EdwinsariBatch 6NIM: 1263620059Human ResourcesManagement inHospitality & TourismProf. Syamsir AbduhGRADE / SCORE :87
ContentIntroductionUnderstanding the Facets of Employee DevelopmentRecognizing the Value in Development and the PerceivedInvestmentEmployee Development Strategies that WorkConclusion
INTRODUCTIONThis reports is designed:✪ to provide industry with information about the many facets ofemployee development relevant today✪ to reveal the value and perceived investment placed onemployee development programs and activities✪ to discuss the successful strategies hospitality organizationsuse to develop employees into quality managers
INTRODUCTIONOne of the most critical assets of any hospitality operation isEmployee, they determine the quality of customer service delivered,which in turn has an impact on the organization’s profitability(Baydoun, Rose & Emperado, 2001)The quality of the front line managers impacts the success oforganization’s service delivery, customer and employee satisfactionand ultimately, the overall profitability of the entire organization.Estimated turnover rates statistic between 2005 and 2007:- In the foodservice industry at 114% (Papaleo, 2007)- Over 65% in the lodging industry (Meyers, 2005)Management turnover in the foodservice industry was positivelyrelated to hourly employee turnover, indicating that as managersleave a company, so do frontline employee (Kacmar, Andrews, VanRooy, Steilberg and Cerrone, 2006)
UNDERSTANDING THE FACETS OFEMPLOYEE DEVELOPMENT(Tansky & Cohen, 2001)Employee development is the long term personal andprofessional growth of individuals in an organization(Maurer, Pierce & Shore, 2002):The organization is responsible for providing opportunities fordevelopmentThe supervisor is responsible for assessing the employee’sdevelopment needs and progressThe employee is responsible for fully committing toparticipate in the development activities and achieving thedesired outcomes
UNDERSTANDING THE FACETS OFEMPLOYEE DEVELOPMENTTansky &Cohen, 2001Employeedevelopmentprogramsare intended to provide employees withnew skills, knowledge or abilities in orderto prepare them for positions withincreased duties, responsibilities, powerand authorityMaurer et al,2002Employeedevelopment ofnew skillsis essential in order for learning tasks to beclassified as employee development whichcan also include applying old knowledgeand skills in new waysMaurer et al,2002; Tanksy& Cohen, 2001Employeedevelopmentactivitiesare focused on new learning opportunitiesand result in true employee growth byhelping the employee develop theconfidence and ability to engage in morecomplex and challenging job tasksHayes &Ninemeier,2009employeedevelopmentprocessinvolves identifying developmental goals,determining how to best accomplish thosegoals and evaluating the results
UNDERSTANDING THE FACETS OFEMPLOYEE DEVELOPMENTIn many companies, employee development programsare part of the career management process, where keyexecutives engage in employee succession planning forfuture openings in key management positions (Noe,1998)By tracking employee developmental activities,managers are better able to access an internalcandidate’s readiness for a position (Tansky & Cohen,2001; Birdie et al, 1997)
RECOGNIZING THE VALUE IN DEVELOPMENTAND THE PERCEIVED INVESTMENT Employee development is one of the most noteworthy practices ofhuman resource development (Lee and Bruvold, 2003) Employee development can help organizations reduce turnover andrelated expenses through the increased morale that typically occurswhen employees are given opportunity to growth (Lee & Bruvold,2003) Labor and other costs associated with absenteeism and turnover aresometimes difficult to quantify, they are real and significant (Hayes& Ninemeier, 2009) The mentoring, counseling and encouragement provided by upperlevel management during development can significantly influence anemployee’s plans, aspirations and the energy levels required foradvancement within the organization (Tansky & Cohen, 2001)
RECOGNIZING THE VALUE IN DEVELOPMENTAND THE PERCEIVED INVESTMENT From the employees’ perspective, this investment indicates howmuch organization supports its employees (Wayne, Shore & Liden,1997) Research suggests that when employees perceives that theiremployer is committed to and supportive of them, they have agreater degree of trust and commitment towards the organization(Whitener, 2001) Perceived investment in employee development (PIED) is cultivatedthrough the employees’ assessment of the company’s commitmentto help them learn new skills and competencies that will allow theemployees to move to new positions, whether inside or outside thecompany (Lee & Bruvold, 2003)
RECOGNIZING THE VALUE IN DEVELOPMENTAND THE PERCEIVED INVESTMENT The improved employee behaviors and attitudes brought on by PIEDhave been found to positively impact organizational commitmentand contribute to job satisfaction and job longevity (Lee & Bruvold,2003) Satisfied employees render a higher quality of service to the guest.Additionally the organization’s level of commitment to employeesatisfaction also reflects the firm’s commitment to continuousimprovement and development, which could increase organizationprofitability (Kim, Leong and Lee, 2005)
EMPLOYEE DEVELOPMENT STRATEGIESTHAT WORKBy implementing new development programs,organizations are benefiting from engaged andemotionally-connected work teams comprised ofdedicated workers, who are advocates for theircompany (Barsky & McDougal, 2007)
EMPLOYEE DEVELOPMENT STRATEGIESTHAT WORKExample 1:Bob Chinn’s Crab House in Wheeling, Ill implemented a new developmentprogram that influenced its turnover rate.Its cultural diversity creating challenge in delivering the high level ofcustomer service.Chinn’s implemented an in-house English as a second language program forthe restaurant’s employees who half of them were immigrant from Mexicoand Central America. This program was funded by Chicago BizLink, themember of the nationwide Welfare to Work Partnership.Chinn’s Human Resources manager commented that the program instilled alot of pride in the employees while simultaneously increasing morale andteamwork which also caused the restaurant’s employees turnover ratedropped to 38%.
EMPLOYEE DEVELOPMENT STRATEGIESTHAT WORKExample 2:Brinker International subsidiary, the Corner Bakery Café, recently wererewarded for their strong focus on employee development and promotionfrom within strategy.The organization allows its employees to build their own careers within thecompany, and encourages employees to take advantage of targeted growthplans, which guide workers up the corporate ladder (Barrier, 2005)Example 2:QHotel is a lodging organization that has demonstrated how much they valuetheir employees through a new HR program aimed at improving employeedevelopment and satisfaction level (Brewer & Platt, 2005) There is evidence to suggest that employees value the developmentopportunities provided by their employers.
CONCLUSIONIn order to be successful in today’s challenging economicenvironment, hospitality organizations must demonstrate acommitment to helping their employees learn and develop newskills. This is essential if organizations hope to increase retentionand create career growth by promoting from within (Lee & Bruvold,2003)A firm’s investment in employee development affects an employee’scommitment to the organization, which may benefit both thecompany and the employee (Ichnowski, Shaw & Prennushi, 1997)Therefore, the development programs that the organizationinvested in the employees is really worth a lot for both parties.With no doubt, the employee will be loyal to the organizationbecause they get the benefit from the development programthat the organization invested on them.