OM in the News: Service Quality and The Four Seasons

When we talk about service quality at hotels, the first brand that usually comes to mind is the Ritz Carlton. As a matter of fact, we have a video case study in Ch.6 that highlights how the Ritz earned its Baldrige Award. But every bit as superb in quality standards is the Four Seasons, which just this week opened its latest hotel, the London Park Lane. And by coincidence, Fortune magazine this week ranked the Four Seasons #53 in its “Best 100 Companies to Work For” (Feb.7, 2011), making it the top hotel chain on the list. ( Marriott was the only other to made the grade).

An article in today’s issue of Four Seasons Magazine  provides several insights. “We’ve identified that our key competitive difference is our people”‘ says the London manager. “We spend a great deal of time finding the right people”. First, most management positions were filled by Four Seasons managers from existing hotels—a tactic to infuse the company’s culture.

Then a “mass hire” day was held in London 3 months before opening. A lucky 1,000 people were interviewed, each by up to four company execs, including the London GM. Questions focused on essential Golden Rule character attributes, seeking individuals who are warm, caring, ethical, and well-intended. Existing staff from other locations moved to London for several weeks to train and assist in opening.

Like the Ritz, the stories of the Four Seasons staff are legendary:  loaning  a guest a pair of  jeans, flying to another city to deliver forgotten documents, bringing chicken soup at the mere mention of a cold, sewing on a missing button, bringing a child a teddy bear, and always memorizing guest names. The goal of staff is to also anticipate any possible requests.

Discussion questions:

1. Why would staff rate the Four Seasons so highly as a place to work?

2. What are the major components of service quality and how does this chain address them?

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