ni kadek mila iswari

Industrial Orientation Report

Module:

Resources

Written by:

Ni Kadek Mila Iswari (485969)

Stenden University Bali -‐ International Hospitality Management

Bali, Indonesia

Submitted in Partial Fulfillment

for the Requirements of the Degree Program Bachelor

of International Hotel Management

Date: Friday, 15th January 2016

Industrial Orientation Report Resources

1

Declaration Form

I hereby declare that:

1. This work is written by me

2. This work has not been used in any way before 3. The work of which this is done wholly by me

4. All verbatim extracts have been distinguished by quotation marks and the resources

of our information have been specifically acknowledge

Bali, 15th of January 2016


2

Executive Summary

Hospitality Industry is one of the industries that related to the tourism area. There are many

aspects, which need to be known by people before entering this industry.

Regarding the last point, the purposes of this Industrial Orientation report are to

analyze and evaluate three aspects in the hospitality industry such as law, human resources

and the intercultural management of the company. In addition, all of the information of the

report are based on the combination of the knowledge that has already given by the

company and based on the book and the lectures of Stenden University Bali.

As a result, it can be concluded that there are so many aspects involve in the

hospitality industry. Therefore, it is very important for knowing those aspects before want to

enter this industry. Together, all of the aspects need to collaborate in a good proportion in

order to offer a good product and an excellent service to the customers.

Keywords: Law, human resources management, multicultural teams, sustainability, diversity, emotional intelligence, culture intelligence, marketing mix.


3

Preface

I would like to extend my gratitude to Mr. Barry and Ms. Erna for their support and guidance

in the writing process of this report in order to finish it on time.

There are 4 main parts that are going to be explained, which are the company

analysis, the human resources management, the management of the company and the

personal management.

The making process of Industrial Orientation report was starting from the students

who need to work minimum 40 hours in one of the hospitality industry in Bali. The objective

of these 40 hours and the report is student can demonstrate and analyze some aspects in

the company such as human resources management, law and intercultural management.

Those three aspects will be discussed theoretically based on the knowledge that the

students already have from the lectures.

Denpasar, Bali

January, 2016


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Table of Contents

Executive Summary ........................................................................................................... 2

Introduction ...................................................................................................................... 5

Company Analysis .............................................................................................................. 6

Vision and mission .................................................................................................................... 6 Concept ..................................................................................................................................... 6 Organizational structure ........................................................................................................... 7 Legal form ................................................................................................................................. 8 Written/unwritten rules ............................................................................................................ 8 Diversity description ................................................................................................................. 9 Company culture ....................................................................................................................... 9 Technological audit ................................................................................................................. 10 Environment/ sustainability .................................................................................................... 10

Human Resource Management (HRM) ............................................................................. 12

Workforce planning ................................................................................................................ 12 Recruitment and selection ...................................................................................................... 12 Pay and benefits ...................................................................................................................... 12 Performance appraisal ............................................................................................................ 13 Collective Labour Agreement (CLA) ........................................................................................ 13 Occupational Safety and Health Administration (OSHA) ........................................................ 13

Management .......................................................................... Error! Bookmark not defined.

My Supervisor ............................................................................ Error! Bookmark not defined. Managing Diversity .................................................................... Error! Bookmark not defined.

Personal Management ..................................................................................................... 15

Motivation ............................................................................................................................... 15 Performance appraisal ............................................................................................................ 15 Personal note .......................................................................................................................... 17

Conclusion .............................................................................. Error! Bookmark not defined.

References ....................................................................................................................... 19

Appendices ...................................................................................................................... 20

Assessment Form .................................................................................................................... 20 Form 1 ..................................................................................................................................... 22 Form 2 ..................................................................................................................................... 23 Form 3 ..................................................................................................................................... 25 Additional Picture .................................................................................................................... 27


5

Introduction

Collecting the Industrial Orientation Report is mandatory for the first year students of

Stenden University Bali who are required to work in one of the companies within the

hospitality industry for a minimum of 40 hours. The purpose of this report is to enable the

students to analyze and evaluate three aspects that are related to the hospitality industry

such as law, human resource and the intercultural management of the company.

Additionally, the motivation of each employee and manager would be analyzed based on the

motivational theories.

Firstly, working at BOW restaurant within its Marketing and Food and Beverage

(F&B) departments were chosen to fulfill the 40 hours requirement. The main reasons for

choosing the Marketing department were to learn more about marketing strategies such as

increasing brand awareness. Moreover, the knowledge that can be gained from the

waitressing was to be able to handle anything that is related with the customers in a direct

way such as handling complaints.

After knowing the departments, the schedule was arranged by Mr. Jan, the owner of

BOW restaurant, who is responsible for the marketing and human resource departments of

the restaurant. The supervision and feedback on the student’s performance were also

provided by him.


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Company Analysis

Vision and mission

Based on the observation, it can be said that BOW restaurant does not have an official vision

and mission that are established well, which might be caused by a view that these are not

necessary for a small business. It could be seen by the owner’s spontaneous reaction to

create a vision on the spot when he was asked about this topic.

The vision of BOW restaurant is “ Becoming a company that serves a good quality of

food and give an excellent service in order to make the customers happy”. It can be seen

that BOW restaurant puts customer satisfaction at the main goals of the business. This vision

is implemented in every part of the business, which can be seen in a good quality products

they offer as well as the excellent services provided by the employees. Additionally, BOW’s

vision is also implemented through the marketing mix of the company, such as product,

promotion, places, price, people, and processes

Unfortunately, BOW restaurant does not have a concrete mission to realize its vision.

Concept

BOW is located on Batubelig Street number 11, North Kuta and it is categorized as a small

business since it only has 20 employees. Next, BOW’s word refers to Best of World,

RainBOW and BOWtiful. Firstly, BOW wants to provide and serve the customer with the best

quality of the product and the services. Secondly, they want to make customers’ day colorful

like rainBOW by ensuring a good experience at the restaurant. Lastly, they are wishing the

customers to have a BOWtiful time at the restaurant.

The marketing mix that can be analyzed in BOW was the product, prices, place, promotion,

and people. First for the product, BOW is offering a unique food with a theme of Asian food.

Additionally, BOW’s bar provides alcoholic and non-‐alcoholic beverages. Moreover, every

Thursday night, BOW hosts a movie night and every Sunday night it hosts a music night.

Next, the price of food in BOW is categorized as middle level since it ranges from 55k-‐110k

for the main course and 35k-‐45k for the desserts. Unfortunately, this restaurant is not

strategically located since Batubelig Street is not a touristic area, low foot traffic and not

crowded. Next, the promotion tools that are used by BOW to promote the restaurant is

offline and online media. A website, social media such as Instagram and Facebook, a

partnership with Foodpanda’s order are the online tools that used by BOW. Furthermore,

for the offline media, BOW makes a banner, brochure and word of mouth. Last but not least


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is the people refers to BOW’s employees and target market. BOW’s employees are friendly

and hospitable which reflects that they are happy working at the restaurants. This is the

result of the management believes in ensuring their employees happy in order to make their

customers happy. In terms of target market, BOW is targeting everyone.

Organizational structure

BOW’s organizational structure has only 20 employees. Figure.1 shows that the owner of the

restaurant takes the responsibility of being the manager of marketing and human resource.

If there is some issues or information, which related to the restaurant, all of the employees

are reporting to the accounting manager or to the kitchen and operational supervisors.

Afterward, the accounting manager and all of the supervisors are reporting directly to Mr.

Jan. Moreover, he stated that he does not need many managers as long as he can do it by

himself because BOW is a small business.

As the manager of the marketing department, Mr. Jan needs to be able to promote

and increasing brand awareness of BOW restaurant. Furthermore, becoming a human

resource management is requiring a deep understanding about how to manage the staff in

order to make them feel happy to do something in a workplace. Additionally, controlling the

staff directly and passing the information from the manager are two examples of the job

description of the supervisor in this restaurant.

Figure 1. Chain of Command


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Legal form

BOW restaurant Bali has possessed Firma (FA) form as the legal form of the company. In this

case, BOW is owned by two people, who are Mr. Jan and Mr. Sagon. Two of them are having

the same opportunity and responsibility to the restaurant. Based on the interview with Mr.

Jan, the advantages of Firma form are having a large capital, equitable profit sharing and

two of the owners have the same opportunity to manage the company. On the other hand,

the main disadvantage is both partners are personally liable. Unfortunately, due to

confidentially, Mr. Jan could not state more information about the legal form of BOW

restaurant Bali.

Regrettably, there is no online database of business in Indonesia. Therefore, this

report could not attach the official company registration data of BOW restaurant.

Written/unwritten rules

Based on what has already mentioned by Mr. Nick in Law’s class, a rule is one of the

policies that needs to be owned by the company before starting up a business. The purpose

of the rules is to keep the staff and all of the elements in the business run on the right track

that has been decided by the company in order to achieve the goals. There are two types of

rules, which are written and unwritten rules.

First, after being hired by BOW restaurant, all of the employees have to read the

written rules, which stated in the employment contract. Some of the examples of written

rules are as follows:

1. All employees are not allowed to take away the dirty dishes before the customers

completely finished their meals.

2. Need to stand by 30 minutes before working hours.

3. Clean up all of the area in the restaurant (down and upstairs + toilet).

4. Be friendly to the customers and colleagues.

5. Wearing a uniform is mandatory for all of the staff (including shoes and shocks).

Unfortunately, BOW restaurant could not give the list of all written rules of the company

since it is private and only the staff can see it.

Moreover, there are two major unwritten rules that are discovered through asking

questions to the employees, which are a mobile phone is prohibited during the working

hours and respect to each others.


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Diversity description

Nowadays, diversity is a part of the crucial thing in the business environment since it could

link more and more people (Algahtani, 2013). This explanation is applied in BOW restaurant

where all of the staff are Indonesian but came from different regions such as Bali, East Java,

Central Java, Sulawesi, Manado and West Nusa Tenggara except the owner which came

from French and Japan. In term of the age, most of the staff is around 19 – 32 years old. For

the education, some of BOW’s staff is already graduated from senior high school while the

other is still studying in a college. The type of diversity in the team of BOW restaurant is

explained.

Homogeneous, token, bicultural and multicultural are the types of diversity in a

teams (Adler & Samovlar, 2016). Based on the definition of the multicultural teams, it is

stated that the members of the team have come from three or more cultural background.

All of the staff in BOW represents eight different ethnic backgrounds as stated in the first

paragraph. Additionally, impacts of such diversity on the team are described.

There are two effects as a result of the diversity on the team, which are the

creativity of the staff and how the staff can understand to each other. Some of the staff said

that working with people who have different culture make them learn and understand

something new. For example, Bruno is one of the staff in BOW who comes from West Nusa

Tenggara. Before working in BOW, he has not known about the culture of Manado’s people

who always direct when they want to say something. Additionally, the example of the

creativity is when the restaurant wants to make an event, which required the creativity from

the staff. In this case, Balinese is really expert and they can influence and teach the others

staff who come from outside Bali. In conclusion, all of the staff said that have a group’s

members who are coming from a different culture could bring a positive impact to the

workplace.

Company culture

Competing Values Framework (CVF) is one of the theories used to identify the type of the

culture, which exist in a company. This theory has four different organizational cultural types,

which are the clan culture, adhocracy, market and the hierarchy culture (Yu, 2009). The

company culture of BOW restaurant is explained.

The company culture of BOW restaurant is classified as hierarchy culture. The

orientation of the hierarchy culture is when the manager of the company is always

controlling the staff (Yu, 2009). In addition, the type of the leader in this culture is act as the


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coordinator, monitoring and organizing everything. Sometimes, everything needs to be done

based on what the leader has said. This assumption is supported by the fact that the owner

of BOW restaurant is always come to the restaurant to control and monitor all of his staff.

He always makes sure that all of his employees do their job in a right way. As a result of this

culture, it can be concluded that Mr. Jan is a lack of trust to all of his employees.

Technological audit

Based on the book of Management Information System (MIS) wrote by Effy Oz (2009), the

definition of MIS is “A computer-‐based information system used for planning, control,

decision making or problem solving” (p. 523). MIS in BOW restaurant is examined.

BOW restaurant is one of the small restaurants; therefore, this restaurant is not

using MIS since all of the staff does the operational things manually. Moreover, it is an

exception for the accounting manager who is using Microsoft Excel to organize the financial

issues of the restaurant. Mr. Jan also added that he is going to improve the MIS in BOW

restaurant in the future, but for now, the restaurant still survives with a manual way.

Environment/ sustainability

Sustainability is all of the activities that people do in present but those activities would not

give a bad impact to the next generation in the future (Asheim, 1994). In addition, Elena

Cavagnaro and George Curiel have identified three levels of sustainability framework, which

consist of the sustainable society, the sustainable organization and a leadership for

sustainability (2012). Moreover, in this section of the Industrial Orientation report is more

focus on the part of the sustainable organization, which is people, planet and profit. An

activity that related to the planet, which is conducted by BOW is described.

Firstly, every once a month BOW restaurant does an activity that they call as “Keep

Batubelig clean”. All of the staff comes earlier in the morning and go around together to

Batubelig Street to do a cleaning. Moreover, not only BOW restaurant who is doing the

cleaning activity but also all of the people who own a business and build their shop along the

Batubelig’s street. The sense of belonging and want to keep the earth are the motivation of

this activity. Those people come together and take all of the rubbish and plastics.

Furthermore, the plastics that have already collected are processed again in order to get

something that can be reused. Other activities for people are explained.

Becoming a partner with one of the organizations in Bali called as EcoBrick “Save the

plastic” is another activity that proceed by BOW. All of the plastics that already gathered are


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placed inside the bottle. BOW sends all of those bottles to the organization and at the end, it

is going to be used as the furniture, such as a table, chair and many others. BOW believes

that this activity is not only can protect the earth but more than that EcoBrick can give

employment responsibility to the local people. Additionally, the picture of the EcoBrick’s

product is provided in the appendix section of this report. The profit is examined in the next

section.

Profit is one of the purposes in constructing a business. Making a profit is not only

from a luxury property to attract the customers, more than that a business can get a profit

from a simple thing such as an organic straw from papaya trunk. This is one of the strategies

used by BOW to decrease their expenses of buying an expensive straw that has made by

plastic. The purpose of changing the plastic into an organic material is BOW wants to

decrease their plastics waste that can damage the environment. Surprisingly, BOW’s

customers are really like this idea. Moreover, the picture of the straw is provided in the

appendix section.


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Human Resource Management (HRM)

Workforce planning

The workforce planning is also known as the employment or personal planning. The meaning

of this term in Human Resource Management (HRM) model is the procedure where the

owner or the manager determines what kind of position that needed to run a business

(Dessler, 2013).

In BOW restaurant, this model also exists but only in a simple way. As the Human

Resource (HR) manager, Mr. Jan is a person who decides this plan. Constructing job

description and job specification are two of the plans that made by Mr. Jan. Moreover, every

position always checked once a year to determine whether there are lacks of an employee

or not. If yes, BOW restaurant will recruit the new employees whether it comes from

internal or external candidates. The explanation of recruiting internal and external

candidates will be explained in the next section of recruiting and selecting process.

Recruitment and selection

In term of recruiting process of a new employee in BOW restaurant, usually, Mr. Jan opens

the recruitment for the internal and the external candidates. Based on the HRM class with

Ms. Ann, internal candidate is a person who comes from inside the company, for instance,

one of the supervisor in BOW had been resigned and Henni is one of the employee who can

apply to that position. Like wise, the external candidate is a person who comes from outside

the company. Talking about the recruitment, BOW’s recruiting and selecting the new

employee are described.

The first task that the candidates need to do it is filling some of the documents. The

documents are going to be selected by Mr. Jan and as the result, the interview is conducted

afterward. After the interview, he will select the new employee that he thinks she/he will

appropriate to the position. Moreover, CV and the experience that already had by those

candidates also used as the consideration before accepting a new employee.

Pay and benefits

A payment to the employee is related with the money. The author of Human Resource

Management book, Gary Dessler (2013) brought a fact, which stated that money can

motivate some employees to increase their productivity in a working area.

In BOW restaurant, there is no bonus for the employees. Furthermore, all of the

staff in the restaurant only gets a salary for each month. There are two shifts in BOW, which


13

have a different salary. The first shift required the staff to work for eight hours with Rp

1.600.000 salary. For the employees who are taking the second shift will get Rp 2.000.000

salary for 12 hours of working.

Talking about the benefit, in BOW restaurant there is no allowance or insurance due

to it is only a small restaurant. Therefore, the information about the absentees of the

allowance from the company is always stated before the new employee signed up the

contract.

Performance appraisal

According to Leena Toppo and Twinkle Prusty (2012), the definition of performance

appraisal is a process of evaluating the performance of the employees in the business during

a certain period of time. There are some ways to do the appraisal, such as peer appraisals,

rating committees, self-‐ratings and 360-‐degre feedbacks. Performance appraisal in BOW

restaurant is described.

In BOW, Mr. Jan is using peers appraisal. Mr. Jan said that peer appraisal could make

the employees feel comfortable since the one who gives the feedback is their own friend.

This assumption is also supported by Gary Dessler (2013), which stated that this method

could be effective and easy for the employees to talk because they have already known each

other.

Collective Labour Agreement (CLA)

Collective Labour Agreement is about some agreements, which regulate the relationship of

the employment (Sewerynski, 2003). Besides, based on the knowledge that has already

gained from Mr. Nick as the lectures of Law, the goals of the CLA are to protect the trade,

improving the payment of the employees, the condition of the working hours, hiring and

firing the procedures.

As what stated in the presentation of the lectures, most of the country are providing

this legal framework for a union, such as in United States it has National Labour relations Act

1935 and United Kingdom has Traded Disputes Act 1906. Furthermore, in Indonesia itself,

the government is not providing this CLA unless the business has the main company outside

Indonesia. Therefore, the detail of CLA of BOW restaurant could not be explained.

Occupational Safety and Health Administration (OSHA)

Safety is really important in every activity, including in hospitality industry. As Gary Dessler

(2013) pointed out, the purpose of this Occupational Safety and Health Administration


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(OSHA) is “To make sure that the working condition of the business is safe and healthful for

the employees” (p. 138). There are some specific conditions that stand behind the OSHA,

which need to be reported to the manager or the supervisor such as the condition that

caused a death, an illness or an injury to an employee.

Unfortunately, in BOW, there is no regulation that related to the OSHA. It is due to

the restaurant only run a small business and the owner said that there is nothing to do with

the OSHA.


15

Personal Management

Motivation

In my point of view, a hospitality industry is one of the interesting works in this world.

Becoming a good person at work, firstly, people need to love their job. Talking about loving

the job, there are some aspects that could influence the internal or external motivations of

the person. Internal motivation is coming from inside the person itself without influenced by

the outsider (Deci, 1985). In contrast, external motivation means that the motive of the

person for doing something is affected by the environment where she/he live in, such as

friends, people, parents and social life (Harackiewicz, 1985). One of the theories about

motivation is defined.

Herzberg theory is a part of the motivation theory that consists of two main parts,

which are hygiene factor and motivator factor (Baah, 2011). Firstly, one of the examples of

the hygiene factor, which motivate me to finish my 40 hours, is the working condition and

the supervisor in BOW restaurant. The working condition really supported me to learn and

gain a new knowledge about how to become a good staff and handle the customer directly.

Most of the staff was friendly and helpful in term of the learning process in theoretically and

practically. Furthermore, Mr. Jan as the supervisor is always giving a good motivation and

useful feedback that can be used in the hospitality industry and in the practical process of

serving the customer.

Additionally, motivator factor is consists of achievement, recognition, advancement,

the possibility of personal growth and responsibility (Baah, 2011). After knowing the

Herzberg’s theory, responsibility and achievement are two of the motivation that influenced

me to work in BOW restaurant. Want to know and get more opportunities to do something

new are categorized as the responsibility since the restaurant gives their trust to the

students to work at the company and interact directly with the customer. Taking a new

responsibility was really motivate me in term of challenged myself to do something that can

useful for myself in the future and for the company.

Performance appraisal

After finishing the 40 hours of working, the supervisor gave the feedback about some points

that related to the performance of the student. Basically, there were seven points assessed,

which were about, attitude, dress, communication skill, sense of independence, sense of

initiative, quality of work and guest contact. Hereafter, the feedback from the supervisor is

reflected.


16

Firstly, the supervisor gave a comment for point number one, which was about

attitude. He was saying that my attitude was always nice and I was always polite to everyone.

From that feedback, I could say that attitude is really important in the hospitality industry

since we really need to interact with many people that have a different background.

Moreover, being polite to others is also important since it affects customer perception about

the company itself. In addition, regarding the way I dressed up, Mr. Jan was giving me a

highest score, even though the company could not give me the uniform because it was only

for the staff.

The third and fourth points are about communication skill and sense of

independence. For the communication skill was assessed with a good grade especially for

good oral communication skills and excellent knowledge about the foreign knowledge.

Furthermore, the sense of independence was graded as being good as well in term of I could

carry out the task independently.

Overall, the high grade was given by the supervisor for each points and I accept all of

the feedback. Therefore, the feedback can be used to improve my skill in hospitality industry

and develop my skill through the smart goals, which are:

No Smart Goals Activities to do

1. I will improve my English pronunciation skill in

order to be able to speak clearly with a guest

before the working hours in module four.

− Practice with friends.

− Watching more video or

movie (British movies) and

listen carefully how they

pronounce the word.

− Practice more and make

self-‐record by phone.

2. I will improve my human resources skill

(negotiating skill, knowing how to react to

people that have different culture) in order to

be able to handle when there is a complaint

from the guests.

− Attend the class about

Human Resources

Management.

− Ask lectures or people that

already have more

knowledge and experience

in this case.

− Searching some


17

video/article that related to

handling the guest.

− Come to some restaurant

and see what are they do to

handle a complaint from

the guest.

Personal note

Writing this report is really complicated for my self since I need to combine all of the

information either from my knowledge in theoretically or based on what I already

experienced from 40 hours of working. Firstly, new knowledge and experience that I get are

explained.

At the first time of working, it was really frustrating because that was my first and I

had no idea what I need to do. Entering new company is not as easy as I thought before

because I need to socialize with new people that have different culture and perspective.

Moreover, from the new people I could learn how to act with a person that has a different

culture. For instance, the owner of the restaurant comes from Spain and I never knew that

Spanish are really directive and to the point. From that day, I just recognize that in

hospitality industry there are so many people that come from a different country. Besides

that, I also learned how to interact with the guests and how to handle their different

complaints since they have a different character as well. Generally, from this report I

assumed that practices are not easy as what the theory said. Secondly, I will explain the

difficulties in the writing process of the Industrial Orientation Report.

One of the aspects that is really difficult to analyze was the legal form of the

restaurant. At the first, the owner said that is not really necessary for me to know about it

and really wants to keep it as a secret. Moreover, the second one was about the educational

background of the supervisor. He did not tell me the name of his university. From two of

those difficulties, I would say that information that more narrowed to the personal and

more private are really sensitive to asked.

Table 1. Personal smart goals


18


19

References

Yu, T. (2009). A review of study on the ompeting values framework. International Journal of

Business and Management , 4 (7), 38-‐39.

Adler, & Samovlar. (2016). Intercultural dimensions of a hospitality business. United

Kingdom: Cengage Learning EMEA.

Asheim, G. (1994). Sustainability: Ethical foundation and economic properties. Norwegia: The

World Bank.

Baah, K. (2011). Application of Frederick Herzberg’s two-‐factor theory in assessing and

understanding employee motivation at work: A Ghanaian perspective. European

Journal of Business and Management , 3 (9), 1-‐3.

Cavagnaro, E., & Curiel, G. (2012). The three levels of sustainability. United Kingdom:

Greanleaf Publishing LImited.

Deci, E. R. (1985). Intrinsic motivation and self determination in human. New York: Plenum

Press.

Dessler, G. (2013). Human resource management (Vol. 13). Florida: Pearson.

Ioannidou, F. K. (2008). Empathy and emotional intelligence: What is it really about?

International Journal of Carinf Sciences , 1 (3), 118.

Harackiewicz, J. S. (1985). Intrinsic and extrinsic motivation. San Diego: Academic Press.

Oz, E. (2009). Management information system. United States of America: Cengage Learning.

Sewerynski, M. (2003). Collective agreements and individual contracts of employment. The

Hague: Kluwer Law International.

Toppo, L., & Prusty, T. (2012). From performance appraisal to performance management.

Journal of Business and Management , 3 (5), 1.


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Appendices

Assessment Form

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Ni Kadek Mila Iswari

BOW restaurant

Ms. Erna Wiles

Friday, 15th January 2016


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Form 1


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Form 2


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Form 3


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Additional Picture

Figure. 2: EcoBrick “Save the Plastics”


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ni kadek mila iswari

Documents