Club Mediterranean, a large hotel company, was facing high turnover rates of around 50% among its GOs (congenial hosts). Issues included cultural and language differences between European and North American GOs, lack of training for new GOs, insufficient entertainment and feedback. The organizational structure consisted of a Chief of Village at each resort and Chiefs of Service who managed GOs within different functions. Suggestions to address turnover included providing proper training, year-round recruitment, more recreation, changed rotation policies, positive feedback, and stability to build group cohesiveness.

1. HRM – CASE STUDY 2

2. INTRODUCTION
 The case study is focusing on the problem that a
Hotel company , Club Mediterranean is facing
regarding recruitment and turnover of GOs. It
was the 9th largest hotel company in the world in
1986. It was founded by a group of friends as a
non-profit sports association. As the size of the
association grew, running it as an informal,
loosely organised group became difficult. By
1985,it became a publicly owned company and
had more than 100 resort villages throughout the
world.

3. ISSUES
 The turnover rate became very high nearly
50% .
 Cultural and language differences .
 The number of GOs recruited from Europe
was much larger as compared to North
America.
 The company’s personnel policy is also one of
the faulty.

4. ORGANISATION STRUCTURE
The topmost position was ‘Chief ofVillage’
and was equivalent of a General Manager in
American Hotel parlance. Each village chief
has seven assistants called ‘Chief of service’
who used to manage specific functions such
as sports, entertainment etc.The chief of
service manages the GOs in their functional
areas. Each village had a team of about 80
GOs who handled all jobs other than
housekeeping and grounds keeping.

5. HIERARCHY
Chief ofVillage
Chief of Service
GO’s

6. GO’s
 The term ‘GO’ means congenial host.
 The GOs position needed young, personable,
enthusiastic and athletic persons.
 Long working hours including contact time
with the guests.
 It was not just a job, but a way of life.
 They visit different countries ,experience
different cultures and learn to adapt to many
types of people.

7.  Lack of proper training to newly recruited
GOs.
 Lack of entertainment for GOs. For some
people it was like living on an island.
 Lack of positive feedback.
 Frequency of job rotation.
RECRUITMENT ISSUES

8.  Wrong information provided in resume
 Too much application for job.
 Time delay between recruitment and
shipment.

9. SUGGESTION
 Proper training before getting into the actual
work.
 Recruiting the GOs throughout the year, not on
seasonal basis.
 Recreation facilities.
 Changes in company’s personnel policies
regarding rotation of GOs.
 Giving positive feedback.
 Giving stability so that group cohesiveness can
remain the same.

10. ThankYou