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09278237 Pratik Sangoi

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Introduction:
According to Zairi, 2003 in a particular organisation application of TQM is
executed in order to achieve the service excellence for the business. TQM plays a
major role in maintaining the quality of the organisation and at the same point
of time leads to efficiency in the working matters of the organisation. The
concept and the vocabulary of TQM have been very simple and elusive as it is
customer based and value based, meeting the expectations of the customers.


The Ritz Carlton Group of Hotels
History:
The king of hoteliers and hoteliers to king running with this phrase Cesar Ritz
has built one of the most beautiful and elegant hotels in the world with the name
Ritz Carlton. The expansion of the Ritz was even being continued by his wife
Marie after his death in 1918 and went on to be one of the elegant hotels in
world. (http://corporate.ritzcarlton.com/en/About/OurHistory.htm)
Ritz Carlton group of hotels is known for providing excellent service in the terms
of the quality, luxury and the kind of efficiency all over the world. The level of
service and quality provided by this hotel industry has made this hotel industry
win many awards in terms of excellence, etc. the main and the primary aim for
this hotel is to provide value and quality to its customers and also provide better
efficiency in the working matters of the organisation. Ritz Carlton providing the
combination of atmosphere and the cuisine it has provided assurance to the
customers that this is the place for them to swing and take the real essence of
the nature and the environment. (http://elitechoice.org/2009/08/27/ritz-carlton-
looks-back-to-a-history-of-100-luxurious-years/)
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Ritz Carlton Mission Statement:
We are Ladies and Gentlemen serving Ladies and Gentlemen with this kind of
mission Ritz Carlton has been successfully serving its customers and has proved
its efficiency in the working affairs of the hotel industry. This hotel industry has
always been goal oriented. Setting up our Ladies and Gentlemen for Success
with this kind of primary objective Ritz Carlton has always been accomplished
with its mission towards its employees and the members of the staff of the
organisation (http://www.ritzcarlton.com/en/Default.htm). Genuine care and
comfort for customers has been the highest mission for Ritz Carlton.
Products and Services:
The product and services provided by Ritz Carlton is in the form of Gold
Standards which has led to the foundation of this hotel industry. The kind of
service provided by this hotel industry is exemplary. Customers at this industry
are treated with a very warm and sincere greeting by using their names and also
the kind of the service a particular guests needs is anticipated properly with a
very warm good bye and also with elegant farewell. Employee promise has also
been one of the efficient services provided by this hotel industry.
Ritz Carlton being the brand name, the kind of services and products provided
by this industry is luxurious and elegant, which has led to serve in the best
manner to its business and leisure travellers worldwide and that too in an
efficient way (http://www.ritzcarlton.com/en/Default.htm).







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Operational and Market Challenges:
Before the success of the particular organisation, the industry itself has to face
many challenges and prove itself about the ability and the capability it has to
serve its customers. There have many operational as well marketing challenges
Ritz Carlton have faced to make it a successful industry.
Increase in Competition:
There have been many new hotel industries coming into market sector and have
tried to serve best to their customers. International competition has been on rise
due to the well known brands and many international hotels expanding their own
businesses in the foreign markets. The local competitors include Four seasons;
Hyatt hotels; etc. whereas the foreign competitors include The Taj; The Oberoi;
etc.
Profit Maximisation:
The main and the primary challenge for any industry in the particular
organisation is the maximisation of the profit. Having not earned profit in the
particular year or so the industry cannot serve its customers in the best way
they want to. Serving Ladies and Gentlemen being the main motive, the
primary challenge for Ritz Carlton is to maximise its profits in all sectors of the
organisation.
Retainment of the Trained Staff:
For a particular industry in the sector of hotels, to train the particular staff lots of
the efforts are required so that the best of the service can be provided to its
guests. Being highly valued in their education background, to retain the trained
staff is very difficult which might lead to operational difficulties in the particular
organisations and also the name and the fame of that industry in the market
economy slides down.
There are many other operational and marketing challenges regarding cost and
the availability of the raw material; demands from the customers and the guests
in the particular industry; change in the technology; etc. which also affect the
working matters of the organisation and might also put the break in the
efficiency and the elegancy of the work.
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Total Quality Management:
Total Quality Management is defined as, A set of management practices
throughout the organisation, geared to ensure the organisation consistently to
meet the needs and exceed customer requirements. TQM puts its primary
attention on the process measurement and acts as a tool for continuous
improvement in the working affairs and the matters of the organisation.
(http://managementhelp.org/quality/tqm/tqm.htm). According to Armand
Feigenbaum TQM is defined as, An effective system for integrating the quality
development; quantity maintenance and quality improvement efforts of the
various groups in an organisation so as to enable product and service at the
most economical levels which allows for full customer satisfaction.
Naylor, J. (2002) defined Quality as, A degree to which a set of inherent
characteristics fulfils requirements. In terms of Mathematics Quality is
invariably related to the satisfaction of the customers. In the economy of the
market where products are being sold from the point of view of the customers
the primary preference is being given to the quality and on that basis the
product is being purchased from the market. According to Bank, J. (1992),
Quality and productivity are inversely proportional to variety. Generally being
an approach towards the management art TQM found its origin in Japan in
1950s and then moved towards West in the late 1980s.
Dr. W. Edward Deming, 1982 defined TQM as, Management methods used to
enhance quality and productivity in organisations particularly business. At each
and every point of operation in the economy of the market TQM emphasis on the
quality of the particular product. Quality of a particular product results in the
maximisation of the profit; reduction in the costs and also improves the
satisfaction for the customers. Kotler, P. and Armstrong, G. (1997) has
defined Total Quality Management and Quality in combination as, The totality of
the features and characteristics of the product or service that bear on its ability
to satisfy the needs.


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Components of TQM:
TQM being an approach towards competitive nature and effectivity for an
organisation in the economy of market, there are various components of TQM in
the industry sector which leads to the efficiency of the organisation. The various
components are:
1. Customer focus and Customer centric
The needs and the expectations of the customers are satisfied by the quality of
the product. In the industry of hotels it is always said that what customers say is
always right and on that basis the primary component for TQM is that industry
should always be customer focused ensuring that all the standards of service are
met by the customers from that particular industry.
2. Continuous Improvement
Now a days the nature of competition in the market is on rise. To reach the level
of competition continuous improvement is necessary to meet the needs of the
customers. Quality standards for each and every product should improve to
strive in the market economy. Continuous Improvement means improvising
product standards according to the requirements of the markets.
3. Aim for Zero defects
The main and the secondary component for TQM is aim to vanish all the defects
in particular product, as defect in the product will degrade the customer
satisfaction. Assurance and Control for quality have been the main pillars for the
industry to aim for Zero defects.
4. Training and Development
To understand and regulate the principles of TQM it is necessary for each and
every organisation to train its employees and the employee needs to himself
understand how the TQM for the particular organisation is to be achieved and
basis of its understanding the working affairs of the organisation can be carried
out effectively and efficiently. (http://www.learnmanagement2.com/TQM.htm).

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TQM Practice in Taj Group of Hotels:
Taj Group of Hotels has been one of the well known hotels in the hotel industries
and in true picture has been the trendsetter for other hotel industries. TQM in
relation to Taj hotels relates a Strong relationship with customers and has
been very successful in serving its customers and also satisfying their own
needs. To meet the needs and the services of the customers the team of
Guests Relationship has been set up separately. The application of TQM has
been very elegant and efficient and on the basis of this elegancy in TQM it has
proved to be one of the best hotels in the world.
Quality relates to service in terms of TQM and Taj has been one of the best
service providers to its customers. Based on the effectivity in the working
matters the Communication system between the staff and employer has been
terrific and this has lead to good working environment. To co-ordinate with
various customers and guests from different countries, staffs at Taj are provided
with Language Training which helps in good co-ordination with customers.
TQM in relation to Taj hotels, staffs are trained at all levels of standards of
quality relating to Teamwork among the staffs of the organisation and on the
basis of such work quality results are been inculcated by this Hotel industry.
(http://managementfunda.com/sony-taj-hotel-kaizen-in-japan/)

TQM Development in coming Five years:
There have been many new ideas in the economy of the market for the
development of TQM and on the basis of which the working affairs of each and
every organisation can be carried out effectively and efficiently. The basic and
the prime factors for the development of the TQM in coming five years are as
follows:
1. Satisfaction to customers
To develop TQM in coming years the first and the foremost factor is to satisfy
the customers. Customers needs and services should be provided by the
organisation to attain improved results. To improve the quality of the particular
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product feedback from the customers is important. Thus customer satisfaction
should be given prime importance for the development of TQM.
2. Empowerment of Staff
In particular organisations staff and the employees should be empowered and
they should be involved in improving the quality of the product. They should be
empowered to take their own decisions which might lead to better efficiency of
the organisation.
3. Teamwork and Benchmarking
To carry out the development of TQM in an effective way all the members of the
staff should work in team and also benchmark their own product in the economy
of the market which leads to efficiency in the working affairs. The need for
going, Best Practices to Next Practices (Prahlad, C. et. al. 1986) there is no
need to benchmark the products in such a way that it defies the working affairs
of organisation.
4. Focusing on process
The organisation should always be focused on the process of the working
matters to develop its TQM so as to analyse the external and internal procedures
of the organisations. The crucial factors of the organisation can be understood
only by focusing on the process of organisation.
Thus looking at all the factors above TQM can be developed in way of sensitivity
and also on the basis of the productivity in the coming five years, thus making
the affairs and the matters of the organisation work effectively and elegantly.
(http://www.emeraldinsight.com/Insight/viewPDF.jsp?contentType=Article&Filen
ame=html/Output/Published/EmeraldFullTextArticle/Pdf/0400210103.pdf)

TQM Practice in Ritz Carlton:
In the market economy of todays world the demands from the guests and the
customers are increasing and to survive in the market Ritz Carlton need to
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improve on demands from customers and guests. Following are the components
followed by Ritz in relation to TQM:
1. Satisfaction to Guests
In the hospitality industry it is always said that Guests are always right and on
the basis of this scenario the prime focus for Ritz Carlton is to satisfy its guests
and meet their needs and their services. In Ritz the requests from the guests are
solved easily and each and every member of the staff just aims that guests at
their place feel comfort and they have best of their experience.
2. Continuous progress
Ritz Carlton has made continuous progress on the demand from customers
especially in the key areas which they need to improve. Ritz Carlton imposing on
continuous progress helds training programmes and co-ordinates all its
employees at all the levels. All the comments from the guests are analysed by
the top management and on the basis of it the areas of improvement is decided.
3. Assurance of quality
In terms of TQM Ritz Carlton has always assured quality to its customers and on
the basis of quality it has been one of the top most hotel industries in the world.
At all the levels of quality standards employees and the staff are being trained at
Ritz and seminars are being held for them to improve the quality of the hotel
industry. Ritz Carlton should follow Measuring method which is to result
improved TQM in future.
4. Tools of Communication
Communication has been the backbone for Ritz Carlton to keep all the
departments co-ordinate with each other. Communication with the guests and
the employee is also very important as the employee represents the organisation
and also looks after the working affairs and the matters of the organisation.
(http://www.accessmylibrary.com/article-1G1-14444791/ritz-carlton-applies-
tqm.html)

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Key Areas of Improvement for Ritz:
Increasing the demands from the guests day by day the management of Ritz
Carlton should manage to get the New technology and should start workshops
for the employees to improve the quality standards of the organisation.
Investment of money is huge for employees in Ritz but it has been very difficult
for them to Retain their own staff and on the basis of this Ritz needs to
compensate for its trained staff. The Audits carried out by the company should
detect the flaws and should improve the process.
Staff Care should be the prime motive for Ritz Carlton and instead of spending
more on training they should retain them. To improve its TQM in the economy of
the market Ritz Carlton should start Innovative strategies in the market to
satisfy its customers.

Action plans for Ritz Carlton:
In order to achieve all the above factors in the organisation for Ritz Carlton the
organisation has to train its staff in such a way that they can retain them and
also can improve the quality standards of the organisations. Ritz Carlton should
always think of ideas which are innovative in nature and are advantageous to
the working affairs of the organisations. The very most important and the prime
objective for the Ritz is to keep checking the reports of progress among its own
competitors and accordingly carry out the working of the organisation.
Ritz Carlton should promote more and more employees and on the basis of this
promotion should involve them in the improvement of the quality standards.
Thus taking all these action plans into the consideration to improve the TQM of
its own organisation Ritz Carlton should follow the action plan on an effective
and efficient basis.



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Conclusion:
In the world of competitive market customers and the guests in the particular
hotel industry are more quality concise and the only way to stick in the market is
to provide quality services to the customers. Looking at the current trends the
organisation needs to be efficient and elegant in the working matters of the
organisation and TQM is the only tool to deal all the problems of the
organisation. Thus looking at each and every factor above there are some areas
where Ritz Carlton still needs to put its attention into where they can keep
themselves ahead in the competition.

















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References:
Books
Bank, J. (1992) The essence of total quality management. Hertfordshire:
prentice hall.
Bell D, et al. (1994) Managing Quality. Oxford: Butterworth-Heinemann.
Chase R. B. Et al (2004) operations management for competitive
advantage. 10
th
ed. Usa: McGraw-hill.
Crosby, P. (1984) Quality without tears-The art of hassel-free
management. 2
nd
ed. USA: McGraw-hill.
Kotler, P. & Armstrong, G. (1997) Marketing An Introduction 4
th
ed:
Prentice
Meredith J. R. (1992) The management of operations: A conceptual
emphasis. 4
th
ed. Usa
Naylor J. (2002) Introduction to operations management. Harlow: Prentice
Hall.
Oakland J. (1993) Total quality management. 2
nd
edition. Oxford:
Butterworth-Heinemann.
Slack, N. Et al. (2004) Operations management. 4
th
edition. Harlow:
Prentice Hall.
Waters, C.D.J. (1991) An introduction to operations management. Oxford:
Avon.

Journals
Bacon, T.R., Pugh, D.G. (2004), "Ritz-Carlton and EMC: The Gold
Standards in operational behavioural differentiation", Journal of
Organizational Excellence, Vol. 23 No.2, pp.61-75
Brown, M., Hitchcock, D., Willard, M. (1994), Why TQM Fails and What to
Do About It, Irwin, Burr Ridge, IL.,
Chase, R.B. (2004), "Its time to get to first principles of service design,
Managing Service Quality, Vol. 14 No.2, pp.126-8.
Dale, B., van der Wiele, T., Williams, R., Greatbanks, R. (1998), "TQM
the challenges for European business", Quality World, pp.46-9.
Deming, W. (1982), Quality, Productivity and Competitive Position, MIT,
Center for Advanced Engineering Study, Cambridge, MA, .
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Feigenbaum, A. (1956), Total Quality Control, McGraw-Hill, New York., .
Garvin, D. (1988), Managing Quality, The Strategic and Competitive Edge,
The Free Press, New York, NY.,
Ishikawa, K. (1985), What Is Total Quality Control? - the Japanese Way,
Prentice-Hall, Englewood Cliffs, NJ., .
Johnston, R. (2004), "Towards a better understanding of service
excellence", Managing Service Quality, Vol. 14 No.2, pp.129-33.
Madu, C.N., Kuei, C. (1994), "Strategic total quality management
transformation process overview", Total Quality Management, Vol. 5 No.5,
pp.255-66.

Websites
History of Ritz Carlton, [online] Available from:
http://corporate.ritzcarlton.com/en/About/OurHistory.htm
[Accessed on 2
nd
April, 2010]
http://elitechoice.org/2009/08/27/ritz-carlton-looks-back-to-a-history-of-
100-luxurious-years/
[Accessed on 2
nd
April, 2010]
Ritz Carlton Mission Statement, [online] Available from:
http://www.ritzcarlton.com/en/Default.htm
[Accessed on 3
rd
April, 2010]
Ritz Carlton Products and Services, [online] Available from:
http://www.ritzcarlton.com/en/Default.htm
[Accessed on 3
rd
April, 2010]
Introduction to TQM, [online] Available from:
http://managementhelp.org/quality/tqm/tqm.htm
[Accessed on 5
th
April, 2010]
Components of TQM, [online] Available from:
http://www.learnmanagement2.com/TQM.htm
[Accessed on 5
th
April, 2010]
TQM development, [online] Available from:
http://www.emeraldinsight.com/Insight/viewPDF.jsp?contentType=Article
&Filename=html/Output/Published/EmeraldFullTextArticle/Pdf/040021010
3.pdf
[Accessed on 6
th
April, 2010]
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TQM in relation to Taj Hotels, [online] Available from:
http://managementfunda.com/sony-taj-hotel-kaizen-in-japan/
[Accessed on 6
th
April, 2010]
TQM in relation to Ritz Carlton, [online] Available from:
http://www.accessmylibrary.com/article-1G1-14444791/ritz-carlton-
applies-tqm.html
[Accessed on 7
th
April, 2010]




























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Appendix:
Taj Group of Hotels has a quality analysis tool framed by the TATA
Enterprise called as Tata Business Excellence Model (TBEM). TBEM
is based on TQM approach of Quality.
The Business Excellence department looks after quality control &
process improvements. This department has leadership across all
Strategic Business Units & also at the corporate level.
TBEM assessment is mandatory for all hotels of the company & takes
place before the end of financial year.
Ms Vida DSouza is the Vice President for Business Excellence of the
company.
Awards & Accolades :
PATA Gold Award 2008 for Marketing (hospitality category)
Dun & Bradstreet - American Express Corporate Award 2006 for
being the top company in the Hotels sector
The Best Business Hotel Chain in India by the readers in UK at the
2008 Business Traveler Awards.
Raymond N. Bickson, MD and CEO, Taj Hotels Resorts and Palaces,
has been named 2007 Corporate Hotelier of the World by HOTELS
magazine.
Avaya Global Connect Customer Responsiveness Awards 2007-
Indias Most Customer Responsive Hotel Category Hotels.
Dun & Bradstreet - American Express Corporate Awards 2007 -
India's Top 500 Companies 2007 - in the "Hotels" category.
Taj Mahal Palace & Tower, Mumbai voted as the best Hotel overseas
in business category by Conde Naste Magazine for 2008.






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