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Case Review: Shangri-la Hotels and Resorts – Achieving Service Leadership


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Case Review: Shangri-la Hotels and Resorts – Achieving Service Leadership

  1. 1. Shangri-La Hotels and Resorts – Achieving Service Leadership Case Presentation
  2. 2. Case Facts • Shangri-La 2000 Strategic Plan (Phase I)
  3. 3. Case Facts • Shangri-La 2000 Strategic Plan (Phase 2)
  4. 4. Processes • Shangri-La 2000 Development – Identifying Core Values and Guiding Principles – Corporate Vision, Business Processes and Performance Measurements – Soliciting Input from GM of Hotels – Rounding off the Formulation Process
  5. 5. Processes • Shangri-La Corporate-wide Roll-Out – Communication Approach (cascading approach) – Process Improvement – Common budgeting process – Alignment Survey
  6. 6. • Lack of organizational temp. check – There’s a doubt on the commitment of the management due to different reasons – “If it ain’t broke, don’t fix it” mentality of the tenured employees – Low sense of urgency due to high growth during the time of implementation and SLA-Kowloon has been on a growth mode since its founding Analysis (SL-Kowloon)
  7. 7. • The process starts with values/guideline instead of the vision • Weak or lack of enablement training – For managers, from ops-centric to strategic focus – Delegating a particular task may need some prior preparation (objectives, skills, tools, buy-in, etc.) – Decision-making is not easy to develop and may need some experiences before the person is ready Analysis (SL-Kowloon)
  8. 8. • Did they implement customer, people and process & technology formula? – “Do more, with Less” – Challenges in maintaining the momentum – budget constraints versus the no. of activities to be executed Analysis (SL-Kowloon)
  9. 9. Lessons Learned • Development to Implementation was too long (’94-’96) – Momentum can be lost – did they review it adjusting to the change of times? – Implementation took longer – The formula they developed wasn’t obvious on the case if they implemented it or not
  10. 10. Lessons Learned • “Do more, with Less” – needs a balancing act • Didn’t consider the feedback of the tenured employees – normally this particular employee segment is resistant to changes
  11. 11. Lessons Learned • Maintaining the momentum – Champion the short wins of the initiative – Always communicate the objectives until the employees fully understand it – 360-feedback to get a temperature check
  12. 12. Change Management Frameworks
  13. 13. Sources • McKinsey’s 7s • Managing organizational changes • Shangri-La Abu Dhabi • Shangri-La Logo • AIM Logo