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Work Designs for the Hilton Group of Hotels & the Lalit Group of Hotels

Work Designs for The HILTON Group of Hotels & the LALIT Group of Hotels. INTRODUCTION The base of the analysis was to compare and contrast the traditional and modern work approach of organisations. After hours of brainstorming sessions, the group decided to compare the universally acclaimed Hilton group of hotels to one of the India’s best , Lalit group of hotels. The task was to relate which group of hotels adheres to which of the above mentioned work designs and to conclude with a principle that is more likely to be durable in the current scenario. The factors considered for analysis are, . The Organisational Structure 2. The Management Strategy 3. Cost of facilities 4. Multi Culturism LALIT GROUP: Bharat Hotels Limited (Lalit group now since 2008) is known as India’s largest privately owned hotel company and also the fastest growing hospitality group. Headquartered in New Delhi, the company started its first hotel in 1988 under the dynamic leadership of Founder Chairman Mr Lalit Suri. The Group which has 17 luxurious hotels, 3600 rooms in the five-star deluxe segment – Eight Operating hotels and nine under development. [1] Associations with,

Holiday Inn Hotels (opening Asia-Pacific’s first Crowne Plaza Hotel), InterContinental Hotels Group – IHG. Vision – 1. To be the preferred choice of Indian and International customers. 2. To be rated as number one for products, people and profits. 3. To be acknowledged as caring, creative and courageous organisation Core Values – Integrity and Honesty, Respect for individual, Devotion to duty, minimised wastage and interactive yet responsible communication [2]. HILTON GROUP Hilton Hotels Corporation is a global hospitality company which is owned by the Blackstone Group, a private equity firm.

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As of July 2011 Hilton brands encompass 3,750 hotels with over 600,000 rooms in 84 countries. Hilton is ranked as the 36th largest private company in the United States by Forbes. The company owns, manages, and franchises a portfolio of brands like, Waldorf Astoria Hotels and Resorts, Conrad Hotels & Resorts, Hilton Hotels & Resorts, Doubletree, Embassy Suites Hotels, Hilton Garden Inn, Hampton Inn and Hampton Inn & Suites, Homewood Suites by Hilton, Home2 Suites by Hilton and Hilton Grand Vacations. [3] Mission – To be the preeminent global hospitality company the first choice of guests, team members, and owners’ alike.

Vision – To fill the earth with the light and warmth of hospitality. Core value – Hospitality, integrity, leadership, Team-work, and ownership. [4] ORGANISATIONAL STRUCTURE The Organisational structure of the Lalit group follows a fixed mechanistic structure starting from the Chairperson(managing director) to the board of executive directors, senior vice president, Vice president and the company secretary[5]. [pic] Note: The Lalit group of hotels is a family run organisation hence all the top level management executives are members of the Suri family .

The Organisational Structure of Hilton Group follows a matrix structure starting from chief executive officer to the strategy and treasurer, band and commercial service, architecture design and construction, CFO, legal, HR, operation and development, Hilton grand vacation, and communication. [2] [pic] Note: Many of Hilton’s properties are franchised to independent operators and companies. The Hampton Inn brand is virtually 100% franchised with the minor exception of a few properties that are corporate managed for various reasons.

Thus, it is clear the Hilton group follows a modern work model because they franchise their properties to external organisations which is not done by the Lalit group. BUSINESS MODEL – HILTON GROUP [6] [pic] MULTI-CULTURISM No evidence of multiculturism found in the top level management levels in case of the Lalit group of hotels which forbid a broader perspective towards building a global organisation again a sign of traditional work design whereas the staff composition of Hilton group is multicultural. FACILITIES OFFERED

The Lalit group of hotels offer a range of facilities like, Business Centre, Concierge Services, Outdoor Pool and Shopping Facility. Proving to be one of the market leaders, Lalit Hotels has added another feather to its cap by pioneering the concept of Private Luxury Air Services [7] which is specially designed to eliminate the lengthy check-in queues and rigid schedules of commercial flights for the guests. Another main attraction is the flexible buffet service provided by the Lalit hotels. They are customized to fit the customer’s budget. [8]

The Hilton group regards the needs for customers; therefore, they offer different demands and level to customers. Hilton group offers advantage services: Hilton Worldwide Sales – To help you build influential customer relationships. Hilton Reservations & Customer Care – Experienced team members provide 24-hour, multi-language global coverage Online Services – Accommodate travelers with the latest mobile, search, and online channels. Revenue Management – To analyze market conditions, develop pricing structures, and implement innovative strategies.

Hilton HHonors – An award-winning guest-loyalty program for Hilton Worldwide’s ten distinct hotel brands, honoring its 29 million members. Information Technology – Offering guests access to technology solutions like reservations, Internet access, and entertainment. Hilton Supply Management – It secures competitive pricing, high quality and efficient delivery of the products and services . [4] OUTSOURCING The Lalit Group has no evidence of any outsourcing of their core attributes within the organisation.

The Hilton Supply Management develops agreements with suppliers of hospitality products and services with both manufacturers and distributors at the national, regional, and local levels. Their supply management professionals in our corporate offices in Beverly Hills, California and our six regional offices in New York, Atlanta, Chicago, Phoenix, Beverly Hills, and Honolulu negotiate and implement contracts and agreements with suppliers of products and services in three key areas – Food & Beverage (F), Guest Rooms and Public Space, and Property Operations. [9] CONCLUSION:

The Hilton Group is considered as Modern, because of the following reasons, ? They have a Matrix work-design of their organisation [10] ? Outsourcing their core attributes of Food & Beverage (F),Guest Rooms and Public Space Property Operations ? Franchising business model. The Lalit Group is considered as Traditional, because ? They have a Mechanistic work design of organisation [10] ? They have no outsourcing of their core attributes ? Centrally controlled organisation, (all the decisions rest only with the family members involved in the top-level management).

SWOT ANALYSIS SWOT analysis (alternately SLOT analysis) is a strategic planning method used to evaluate the Strengths, Weaknesses/Limitations, Opportunities, and Threats involved in a project or in a business venture. As, the Lalit group can grow globally, we as a group decided to do a SWOT analysis on it so that we can identify the various attributes which can identify its Strengths, Weaknesses, Opportunities and its Threats. [11] Strengths – It is very cost-effective as compared to the other 5-star hotels in the industry.

It also has special facilities for the guests of providing a private jet or a chopper so that they can avoid the domestic air travel troubles Weaknesses – The current staffing is directly proportional to the levels of customer satisfaction as the expertise and competence levels amongst their staffing needs a step-up. Opportunities – The Lalit group can explore the concept of Outsourcing its core attributes, so that they can focus on key specific areas of concern and improve their quality if service. Also, it needs to standardise their recruitment strategy as it is very weak as compared to the Hilton group.

They need to try and expand in the Global Market too. Threats – The absence of multicultursim in the top management can be a long time threat as they have to target the International group of guests too. The dark cloud of global competition in the hotel industry seems to loom bigger over the Lalit group due to its traditional work-design. REFERENCES 1. THE LALIT (n. d. ) Group Profile [WWW] The Lalit. Available from: http://www. thelalit. com/group-profile [Accessed 20/10/11]. 2. THE LALIT (n. d. ) Our People [WWW] The Lalit. Available from: http://www. thelalit. com/our-people [Accessed 20/10/11]. . The Official Board (n. d) Hilton-worldwide(www). The Official Board Available from www. the officialboard. com/org-chart/Hilton-worldwide 4. Hilton Worldwide [n. d]. Available from http://www. hiltonworldwide. com/[Accessed 20/10/2011] 5. THE LALIT (n. d. ) Our People [WWW] The Lalit. Available from: http://www. thelalit. com/our-people [Accessed 20/10/11] 6. Scribd (n. d) Hilton Franchising (www) Scribd. Available from http://www. scribd. com/doc/22653902/HILTON-Franchising [Accessed 20/10/11] 7. THE LALIT (n. d. ) Private Air Service [WWW] The Lalit. Available from: http://www. helalit. com/ private-air-service [Accessed 20/10/11]. 8. THE LALIT (n. d. ) Dining [WWW] The Lalit. Available from: http://www. thelalit. com/dining [Accessed 20/10/11]. 9. HILTON Supply (n. d) Index (www) Hilton Supply. Available from http://hiltonsupply. com/whatwebuy. asp [Accessed 21/10/11]. 10. Organizational Behaviour, David Buchanan and Andrez A. Huczynski, 1985, Prentice Hall 2010, Essex, pg 522, pg 508 [Accessed 21/10/11]. 11. Wikipedia, (n. d) SWOT analysis, (www) Wikipedia. Available from http://en. wikipedia. org/wiki/SWOT_analysis [Accessed 20/10/11].


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