The document discusses the toxic work culture issues plaguing OYO Rooms, an Indian hotel chain founded in 2013. Signs of problems included inflated lists of unavailable hotels, illegal rooms, bribery, and high employee turnover. A former manager said the culture was a "bubble that would burst." Company leaders acknowledged issues like hotels lacking licenses and difficulties training employees quickly during rapid growth. To address problems, the founder needs to reform employee policies, payment practices, rules for hotels, and fake listings to revamp the culture long-term through improved motivation, communication, accountability and ethics.
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Toxic culture at OYO Rooms
1.
2. “A toxic work culture is one where the workplace is plagued by
fighting, drama and unhappy employees to the point where
productivity of the company is affected.”
Signs of such workplace-
1. Poor communication
2. Tyrannical boss
3. Fraudulent activities by the business
4. High turnover of employees
5. Failure to meet deadlines and goals
3. OYO Rooms- Indian hotel chain
Founder- Ritesh agarwal
Founded- 2013
Current valuation- $10 billion dollars (backed by Softbank)
The company aims to be the worlds largest biggest hotel
chain
Services-
Provide safe and secure hotels to both unmarried and
married couples.
Mission- to create and offer good quality living spaces at the
price and location.
Vision- to change the way people stay away from home
4.
5. Culture and Issues –
Issues highlighted at OYO,
Offering services from unavailable hotels
Inflated list of hotels
Illegal rooms
Bribe to officials
Imposing extra fee on hotels
Employee turnover within one year
No growth and progress opportunities for mid and senior
level’
Lies and frauds
“It’s a bubble that will burst” said saurabh mukhopadhyay a
former oyo operations manager in northern India who left the
company in September 2019.
6.
7. Ritesh agarwal- “OYO left knowingly the listing of
those hotels it no longer worked with as it tried to
woo them back”
Aditya Ghosh (HEAD OF INDIA SERVICES)-
“Many hotels lacked required licenses leaving them
vulnerable to the occasional government raid”
“The disagreement is about the penalties we charge on
customer service failure”
(On employee issues) “it’s quite difficult to train
employees as they are growing very very very fast”
8. Founder Ritesh Agarwal needs to take measures to control
the culture of fast growing startup soon
Renovation of employee policies
Timely payment of hotel fees
strict rules for hotels
removal of fake listings from the site
Above mentioned are only some of the temporary solutions
which can be used to revamp the culture for certain period of
time
Permanent and reliable measures are needed to be
implemented soon for the startup to build its image back
9. Focus on areas of motivation- Money, Appreciation,
Credit
Team spirit- Create a sense of belonging
An open Communication space
Encourage respect and accountability
Change and revamp work ethics