Ritz-Carlton's Human Resource Management Practices and Work Culture: The Foundation of an Exceptional Service Organization
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Case Details:
Case Code : HROB100
Case Length : 23 Pages
Period : 1983-2007
Pub Date : 2007
Teaching Note :Not Available Organization : The Ritz-Carlton Hotel Company LLC
Industry : Hotels and Hospitality
Countries : US
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Culture: The Foundation of an Exceptional Service Organization case study
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Ritz-Carlton Tops in Training Contd...
Although many of Ritz Carlton's competitors, like the Four Seasons Hotels6 and
the Mandarin Oriental,7 also provided great service, analysts generally agreed
that there were few hotels that could match the Ritz Carlton's level of service.
This is borne out by the fact that, as of 2007, Ritz-Carlton was the only hotel
company to have ever won the prestigious Malcolm Baldrige National Quality
Award,8 as well as the only service company to have won it twice (in 1992 and
1999).9
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Background
Ritz-Carlton traces its history back to 1898, when Cesar Ritz, a Swiss
hotelier, opened the first Ritz hotel in Paris. During the course of his
career, Cesar Ritz had worked in different positions at several well-known
hotels, and had definite ideas about what made a good hotel. In line with
his ideas, he designed the Ritz hotel in Paris to be one of the most elegant
hotels of the time. The hotel's design, furnishings and meticulous service
made it a great favorite with the wealthy and aristocratic members of
society at that time.
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In the early 1900s, Cesar Ritz opened the Carlton Hotel in London,
in addition to other hotels under the Ritz name across Europe. He
also set up the Ritz-Carlton Management Corporation (RCMC) to
franchise the Ritz-Carlton name and logo to interested parties who
wished to establish hotels of their own. The franchisees were
required to adhere strictly to the service and culinary standards
set by the RCMC. Under the direction of the RCMC, a Ritz-Carlton
hotel was established in New York in 1910. This was followed by
several other hotels across the US and Europe.
After Cesar Ritz died in 1918, his wife continued to franchise the
Ritz-Carlton name and several new hotels were set up. |
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