rose valley hotel

8/6/2019 Rose Valley Hotel

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A

PROJECT REPORT

ON

HUMAN RESOURE MANAGEMENT-EMPLOYEE RELATION

Submitted in partial fulfillment for the award of

Master of Business Administration

(Punjab Technical University, Jalandhar)

2009-2011

InternalGuide:

MR. SIDDHARTA RANJAN BASAK

(H.O.D.)

Submitted By

SANTOSH KUMAR RAY

ROLL # 9213900026


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NSHM BUSINESS SCHOOL

DURGAPUR

(Affiliated To PUNJAB Technical University, JALANDHAR)

Formatted: No Spacing


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Acknowledgment

I would like to acknowledge the contributions of Mrs. Malini sen

gupta(Manager-Human Resource) Rose valley hotel,durgapur Mr.

Smeer ghosh (Personnel relation officer) Rose valley for their support,

ideas and suggestions in completing this project successfully.

I would also like to acknowledge Mr. Siddharta ranjan basak for giving

me a proper start and guidance in my project.


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DECLARATION

I hereby declare that this project report entitled as Employee relation in Rose valley hotel submitted

to, NSHM, Durgapur in partial fulfillment of the requirement ofMBA is a bonafide work done by me and

it was not submitted to any other university or institution previously.


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Introduction

The objective of this study was to have an overview of HRM and Employee relations

in hotel industries in rose valley hotel. The objective was to study the employee relations in hotelindustries.

The Human Resources Management (HRM) Function Includes A Variety Of Activities,

And Key Among Them Is Maintaining Amicable Relations With The Workforce. The hotel

industries Are Such Where Employees Become The Crux Of All Operations. For The Rose

valley hotel, It Is The Employee Who Works in rose valley hotel. Even At Rose valley hotel,

Where Most Of The Operations Are Automated, Workers Need To give service.

The goal of Employee Relations is to end up with a productive and motivated

employee that will help effectiveness.According to me, HR department gets concerned in 3

types of relations. First the employer to the employee, second employees to employer and third is

amongst the employees. There is comprehensive information on all 3 and how it benefits the

company.


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Human Resource Management

Human Resource Management is an integral part of management. It helps the management in

taking a strategic view of a very important resource i.e. Human Resource. It helps management

in identifying key skill sets, knowledge, values required in the employee and the rewards that areneeded to be given to the employees so that the organisation goals are fulfilled. Also like other

management functions, it has to ensure that these resources are available at an optimal cost. It

has to look into various training and development activities to ensure this. This is a key area for

Human Resource Management as it shows their contribution in terms of money. The money here

would be the opportunity cost incurred due to appointing of new employees instead of

developing current employees for the task in hand.

Functions

From recruiting to orienting new employees, from writing job descriptions to tracking vacation

and sick leave, and from instituting and monitoring policies to monitoring benefits, there hasbeen a need for an HR generalist to assist senior management in both establishing a "structure" to

holding down costs of administration.

HRM is a function that helps managers recruit, select, train, and develop employees for an

organization.

1. Human Resource Planning: is understood as the process of forecasting an organizations

future demand for, and supply of, the right type of people in the right number.

2.J

ob Analysis:

is the process of studying and collecting information relating to theoperations and responsibilities of a specific job. The immediate products of this analysis

are job descriptions and job specification.


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3. Recruitment: is the process of finding and attracting capable applicants for employment.

The process begins when new recruits are sought and ends when their applications are

submitted. The result is a pool of applicants from which new employees are selected.

4. Selection: is the process of differentiating between applicants in order to identify (and

hire) those with greater likelihood of success in a job.

5. Placement: is understood as the allocation of people to jobs. It is the assignment or

re-assignment of an employee to a new or different job.

6. Training and development: It is an attempt to improve current or future employee

performance by increasing an employees ability to perform through learning, usually

by changing the employees attitude or increasing his or her skills and knowledge.

The need for training and development is determined by employees performance

deficiency, computed as follows: Training and development need = Standard

performance Actual performance

7. Remuneration: is the compensation an employee receives in return for his or her

contribution to the organization.

8. Motivation: is a process that starts with a psychological or physiological deficiency

or need that activates behavior or a drive that is aimed at a goal or an incentive.

9. Participative management: Workers participation may broadly be taken to cover all terms

of association of workers and their representatives with the decision making process, ranging

from exchange of information, consultations, decisions and negotiations to more

institutionalized forms such as the presence of workers members on management or

supervisory boards or even management by workers themselves as practiced in Yugoslavia.

((ILO)


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10.Communication: may be understood as the process of exchanging information, andunderstanding among people.

11.Safety and health: Safety means freedom from the occurrence or risk of injury or loss. In

order to ensure the continuing good health of their employees, the HRM focuses on the need

for healthy workers and health services.

12.Welfare: as defined by ILO at its Asian Regional Conference, defined labour welfare as a

term which is understood to include such services, facilities, and amenities as may be

established in or in the vicinity of undertakings to enable the person employed in them to

perform their work in healthy, congenial surroundings and to provide them with amenities

conducive to good health and high morale.

13.Transfer: involves a change in the job (accompanied by a change in the place of the job) of

an employee without a change in the responsibilities or remuneration.

14.Separations: Lay-offs, resignations and dismissals separate employees from the employers.

15.Employee Relations: is concerned with the systems, rules and procedures used by unions

and employers to determine the reward for effort and other conditions of employment, to

protect the interests of the employed and their employers, and to regulate the ways in which

employers treat their employees.

16.Disputes and their settlement: Industrial disputes mean any dispute or difference between

employers and employers, or between employers and workmen, or between workmen and

workmen, which is connected with the employment or non-employment or terms of

employment or with the conditions of labour of any person.


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EMPLOYEE RELATION

Introduction

People in organisations interact with each other during work, formally and officially as well as

socially and informally. During the course of interaction, relationships develop, which are

invisible connecting links, coloured by emotions of love, hate, repulsion, respect, fear, anxiety

and so on. These are usually mutual but not necessarily reciprocal. If A hates B, it does not

follow that B hates A. It is possible that B loves A and even sympathizes with his thoughts.

Relationships imply feelings for each other. They may be positive (friendly, wanting to

be close) or negative (unfriendly, wanting to be distant). Relationships always exist between

interacting persons. There is no neutral point. Indifference is not neutral. Indifference tends to be

negative.

Relationships influence behaviours at work. Expectations of each other, perceptions of

the intentions of either, distributions of assignments, readiness to conform or to rebel, enthusiasm

to contribute, etc., are to some extent outcomes of these relationships. Attitudes and motivations

influence, and are influenced by, the nature of these relationships.

Employees are among an organization's most important audiences with the potential to be

its most effective ambassadors.

Employee Relations are practices or initiatives for ensuring that Employees are happy

and are productive. Employee Relations offers assistance in a variety of ways including

employee recognition, policy development and interpretation, and all types of problem solving

and dispute resolution.


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Once there was a time when "Employee Relations" meant labor relations everywherearound the world. Negotiate. Orchestrate. Dictate. HR professionals helped negotiate collective

bargaining agreements. The provisions of that contract defined the relationship between

management, unions, and workers.

Today, Employee Relations is a much broader concept. It involves maintaining a work

environment that satisfies the needs of individual employees and management. Improving

employee morale, building company culture, conveying expectations

An effective employee relation involves creating and cultivating a motivated and productive

workforce. People are generally motivated from within, but what can you do to help foster the

type of environment where employees thrive, enabling your company to outperform the

competition

Employee Relations starts with determining the type of workplace the company wants.

It starts by considering what the company wants its employees to say about working for the

company. In a competitive market, it is important to that employees dont feel that they might be

treated more fairly elsewhere. After all retention is one of the major functions of HRM.

By considering what the company wants employees to say about working for it gives

shape to the companys culture. The company culture conveys organization's core values to its

employees, customers, vendors, and community.

In addition to the workplace climate, the company also considers the types of processes

or systems it wants to employ within the workplace to support the company culture and enhance

the working relationship that exists between the company and its workforce. Such systems couldinclude communications, policies, training, and development.

Also, an essential step in building effective Employee Relations is to evaluate the human,

financial and other resources available that reinforce the values and guiding principles the

company wants echoed throughout the organization. For example, what type of supervisors and

managers does it believe can bring out the best in people and projects?

The company should also make certain from the start that employees are not in counter

productive work environments where work is more arduous than it needs to be. Is the workplace

compliant with employment law? A major source of frustration for employees is the feeling that

they were treated unfairly. Good liability management tools are necessary to ensure that the

company avoids unnecessary confrontations, time wasters and costly legal battles

Traditionally Employee Relations programs were centered around labor union relations.

Today, Employee Relations does not necessarily involve unions. However, it does involve


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Advantages Of Maintaining good Employee Relation

The Kishore Pump Organisation study proved that a more engaged employee is also a more

productive employee. The research also proved, that a more engaged employee is also a more

profitable employee, a more customer-focused employee, a safer employee, and an employee

who is more likely to withstand temptations to jump ship and in turn it is also true that the longer

employees stay with an organization, the less engaged they become.

Following are the advantages of maintaining good relations with the employees.

y Reduced Absenteeism

One reason, outside of illness, that employees are absent is stress, and

the number one reason employees are stressed has to do with their relationship with their

manager/supervisor. Management styles that are too authoritarian tend to promote high levels of

absenteeism among employees also increase turnover, job burnout, and employee health

problems such as backaches and headaches. Employees may also reduce turnover and absences

when they begin to feel that working conditions are satisfactory and that they are becoming more

successful in their jobs.The absenteeism rate at GREAVES COTTEN is 8 % and increases by

3 % reaching to 11 % during the summer holidays.

y Improved Morale And Motivation

The secret of creating a motivating employee review lies in the

relationship between accuracy and money. The right combination provides with a highly

motivated employee. Maintaining good Employee Relations creates an environment of trust and

increases morale. This improves the motivation of the employee. A motivated employee is

contagious and is beneficial for the growth of the company.


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y Harmony in The Organization

Increase in the level of job satisfaction has a direct relation with the

smooth workflow. There will be lesser arguments and more discussions. Employees will be

ready to share information and help each other out.

A good relation with the employee also inculcates discipline. Thus harmony is

maintained.

y Attract Good Talent

Attracting the most qualified employees and matching them to the

jobs for which they are best suited is important for the success of any organization. A good

company with good Employee Relations will be talked about. There is a brand image created inthe mind of the employees which attracts them to the company like a drop of honey.

y Lesser attrition - reduced cost on training, less cost of retention

A reduced attrition rate will reduce the cost of training and

induction. No new employees will need to start afresh. The company can save on getting to know

new employees.

Kishore Pumps spends around Rs.5 Lakhs on training every year with the attrition rate

being less than 2 %.

At Kinetic Engineering, it seems the employees are not interested in leaving at all. The

attrition rate is a minimal at 2-3% for staff, and between 1-2% for its workers .

y Responsible For Increase In ProductivityAs the saying goes, a happy worker is a productive worker.

Thus a satisfied worker will take lesser breaks, spend lesser time in the canteen gossiping and

more time working for the company. There will be Greater commitment which means quality

output.

There will be loyalty and less wastage of company resources. The employee will seek for

opportunities for intensifying the business and look out for new chances of expanding the

company. They identify themselves with the work and this leads to an improved performance.

Finally, the act of participation in itself establishes better communication, as people mutually

discuss work problems.


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y Open To Organizational Changes

The workers self-esteem, job satisfaction, and cooperative with

the management is improved. The results often are reduced conflict and stress, more

commitment to goals, and better acceptance of a change.

y Shared Learning And Continues Improvement

A satisfied employee will look for ways of continuous

improvement. They will participate in programs such as kaizen and try for the better of the

company. Employees in a good employee relation management will share their new learnings

and wisdom with his colleagues.

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New England Hotel Magazine

Acritical and close evaluation of a

hotels employee handbook andpoliciesas painful as that might

soundmay reveal whether or not youare actually putting your best foot forward.Many human resource vice presidentsand managers view handbooks andpolicies as a drab, technical and mundane

necessity of their job. But in reality,they are an overlooked and critical

component in developing positiveemployee relations. Obviously, handbooksand policies give an employer theopportunity to enforce certain rules,regulations and laws that are required,but they also provide an opportunity tolet employees know how valuable theyare to the success of a hotel property.One area of confusion that often arises

with human resources professionals iswhether or not an employee handbookshould be an all-encompassingemployment manual. In other words,should the employee handbook contain

all of the policies that are required bylaw, and those that are added by theemployer? The simple answer is no.The employee handbook is really thecornerstone from which an employermay build upon to establish other policiesthat are particular to that hospitalitybusiness. And those other policies

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can exist outside of the employee handbook.In fact, because they may bereadily obtainable, quickly reviewed and

occasionally amended as businessdemands require, it can be advantageousto keep them separated. Theeasiest way to do this is to reference thenamed policies in the employee manual,and suggest that the employeereview the separate policies on a regular

basis. The policies can be kept in a separatethree-ring notebook next to theemployee manual, although both manualsshould be kept in a conspicuousplace accessible by all employees.Every employee should receive a completeemployee handbook and a completeset of policies along with anacknowledgement form that theyreceived them, read them and understandthem. A copy of that acknowledgement

form should always beplaced in the employees personnel file.As the policies are updated and amended,

a redistribution of those policiesshould be made with another acknowledgementform.Specific Language

Oftentimes, depending on the size ofthe hotel, the employer may wish tohave two separate employee handbooksone for non-supervisory personnel,

and another for supervisors.Generally speaking, some of theimportant topics that should be includ-


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The Cornerstone ofEmployee RelationsA guide to effective handbooks and policies

By Brian L. ChampionNew England Hotel MAGAZINE

A PublicationFor HospitalityExecutivesJuly/August 2007

employee relations 8/15/07 10:12 PM Page 1New England Hotel Magazine

ed in a non-supervisory employee handbookare: A description of the employment-atwillrelationship; A statement that this handbookreplaces all previous versions;

An affirmative statement that thehotel is an equal employmentopportunity employer. It should setforth the companys commitment to

equal employment opportunities,including affirmative action if applicable,and that the company has a

zero tolerance for discriminationand harassment of any kind; A description of work schedules,breaks, meal periods, what constitutesa work week, how overtimepay will be calculated, etc. It isalways a good idea to state that anyovertime must be approved in

advance; A benefits section highlighting:vacation and holiday policies, sick



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leave, leaves of absence, insurancecoverage, pension plans, and otherbenefits that are available to

employees, such as food or lodgingdiscounts; A section regarding work safety andrules of conduct that clearly set forththe expectations of behavior in theworkplace.If it is desirable for supervisors to have

a separate handbook, topics shouldinclude: A description of employee evaluationand reporting procedures,because managers often need to bereminded, in a positive fashion, ofthe importance of timely and accurateemployee evaluations; A section regarding wage and hourissues, because it must be madevery clear that supervisors are not

authorized to allow employees towork off-the-clock in violation ofwage and hour laws. There have

been many newsworthy cases of late,resulting in millions of dollars of damages,because supervisors allowedemployees to work off-the-clock; Advice regarding the importance ofcorrective discipline and the recordingof those events by the supervisor.Supervisors must be well versed in

handling complaints, not only thoseemanating from employees, but alsothose coming from guests and customers.



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And they must have clearguidance on how to properly investigatethose claims so that they are

efficiently and effectively resolved; A description of the hiring and firingprocess, because there should beclear direction in the supervisorsmanual as to the dos and donts forboth the hiring and firing ofemployees.

While there is no legal requirement foran employer to actually have a handbook,there are legal requirementsregarding the posting of policies thatare a matter of law. Some of those policieswith which you may be familiarinclude: the Occupational Safety andHealth Act; Title VII of the Civil RightsAct; various discrimination laws, suchas the Age and Discrimination inEmployment Act; the Fair Labor

Standards Act; and the Uniform ServicesEmployment and Reemployment Act.Effectively written employee handbooks

and policies not only provide theemployee with positive reinforcementby describing their benefits, they alsoprovide the employer with protectionagainst governmental agency audits.They can be used to demonstrate thatthe employer is in compliance with allnecessary laws, rules and regulations.

Furthermore, if the unfortunate situationarises whereby an employee or formeremployee initiates litigation against


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the company, the employee handbookand written policies can be used todefend the company.

In developing an employee handbook,there are many elements thatshould be included, but there is also anecessary omission, specifically theappearance of creating an enforceableemployment contract. There must beeffective disclaimers in critical areas of

the handbook, as well as on the initialapplication. The disclaimers must clearlystate that the offer of employmentdoes not create a binding employmentcontract with the employee. These disclaimersmust be set forth in effective,clear language, and include a directstatement that an employee is, and willremain, an employee-at-will.Implementing, or the rollout, of anemployee handbook or newly developed

policies should be a top-downmanagerial process. By having uppermanagement support the positive

aspects in the manual and policies,employees will view any change as apositive experience, rather than a negativeone. And the manual and policiesshould be distributed in advance of theireffective dates. By doing so, you willconvey a sense of professionalism andcourtesy. Employees should also have

advance notice to review the materials,write comments and ask questionsregarding the materials before they feel


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that they are being held to the underlyingprecepts of the policies.There are many technical aspects of

employee manuals and policies thatmust be correctly prepared, and arebest done so in conjunction with youremployment counsel. _Brian L. Champion is a partner at the lawfirm of Verrill Dana LLP in Portland, Maineand Boston, where his practice focuses on

labor and employment law, and civil litigation.His experience extends to include mattersrelating specifically to the hospitalityand tourism industry, including wage andhour class-action cases. Contact the firm at:www.verrilldana.com.The rollout shouldbe a top downmanagerial process.

employee relations 8/15/07 10:12 PM Page 2


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Comparative Study

Parameters/co

mpany

Kishore Pumps Greaves Cotton Kinetic

Engineering

ORGANISATIO

N STRUCTURE

Flat Flat Flat

NO. OF

WORKERS

289 workers

69 staff

47 managers

742 workers

30 staff

150 managers

589 Workers

42 Staff

52 Managers





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INDUCTION 7 days &

compulsory for

all

15 days only for

managers and

staff.

14 days &

compulsory for

all

TRAINING ySystematic

and annual.

yFor mangers,

staff &

workers.

yTechnical and

behavioural

yInternal and

external

y Annual

y Managers

and workers

y

Technicalfor workers,

behavioural for

managers

y External for

managers and

internal for

workers.

Done as need

occurs.

Managers only

Behavioural

Cross

department trg.

Internal and

external.

BENEFITS

Canteen

Uniform

Housing

Yes, with

subsidized

food.

Selected

employees,

also monsoon

& winter wear

For Security

Yes, with

subsidized food.

Selected

employees, also

monsoon &

winter wear

For engineers

Yes, with

subsidized

food.

For Workers.



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Bold, Font color: Auto












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Other

guards at

subsidized

rates

Holiday hone

scheme and

Marriage gift

scheme.

and Technicians

in the

compound.

Production

incentive and

festival

allowance.

For selected

employees like

Front office

manager.

Transport for

employees

and Workers

MONETARY

BENEFITS

Retirement

services and

benefits

Credit society.

ECS employee

credit society

Credit group in

Harmony group.

MEDICAL

FACILITIES

y2 in house

doctors and 1

nurse.

yMedicalcheck-ups once

in 3 yrs.

yReimburseme

nt

of medical

expenses

3 in-house

doctors and 3

nurses.

Medical check-ups every 6

months.

Reimbursemen

t.

1 in-house

doctor.

Medical

reimbursements and are

planning for

insurance.

SAFETY yAmbulance

room.y50 first aid

trainers.And

Regular

trainingGuard for all

Regular

training.Smoke














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regular training

yERP & safety

squad.

yFirst aid box

in all

departments.

ySafety day

and drills.

machines.

First aid box in

prime locations

Safety day and

drills

detectors

First aid box &

fire

extinguishers in

all

departments.

CAREERGROWTH AND

DEVELOPMEN

T

Job bands.

Job rotation

and job

enrichment.

Job enrichment -

STRESS

MANAGEMEN

T

Leaves

Sports

Picnics

Others

21 AL + 14

CL + 21 SL

Inter-

departme

nt

matches

2-3 times

a year

Annual

picnics.

16 AL + 7

CL + 10 SL

Inter-

departme

nt

matches

4-5 times

a year

Annual

picnics.

30 in all

Inter-departme

nt

matches

monthly

Annual

picnics

Departme

nt parties














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Stress

managem

ent

Training.

Regular

tourname

nts on the

play-

ground.

every 6 -7

months.

COLLECTIVE

BARGAINING

Trade

union

Strikes

Suggestions

Kaamgaar

utkarshsabha

No.

Suggestio

n Box

Kaamgaar

utkarshsabha

No

Suggestio

n box at

prime

locations

No.

No.

Quarterly

Town hall

meetings

and

Suggestion

box.

FEEDBACK Employee

Satisfaction

Survey.

None HR balanced

scorecard and

satisfaction

survey.

PERFORMANC

E

Online for

managers and

informal for

For management

and staff

For

management























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APPRAISAL staff (90degree) and staff

ANNUAL

EVENTS

Picnics

Puja

Annual picnics

Annual dassrra

puja

House

magazine called

Samvaad.

Annual picnics Annual picnics

and department

picnics.

House

magazine

WELFARE Annualprize

distribution

Note book

distribution

Counseling

quarterly

competitions

birthdaycelebrations

crche

jagruti group.

HARMONY

Other offers

with Airtel.




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THE IMPACT OF MANAGER-EMPLOYEE RELATIONSHIP ON

IMPROVING PERFORMANCES IN HOTEL INDUSTRY

The specific Hotel activity, its complexity given by the variety of its

components, is important for

recruiting and selecting the necessary personnel, its structure, and

training in order to maximize the

efficiency of work force. Employees motivation refers to a right

correlation between their personal needs

and the objectives of the organization. The role of the manager is to

identify and decide to what extent the

organizational objectives are similar to employees personal needs. The

motivatingcoaching function

covers up the set of work processes that determine the staff of a company

to set up and achieve the planned

organizational objectives. There is no standard pattern of motivating the

staff, employees motivation is

based both on personal and external factors.

Key words: human resource management, motivation, reward, satisfaction,

manager-employee

relationship

1. Human Resource Management

1.1 Hotel industries Human Resource Management

Human resource management is the entire set of activities focused onproviding, developing, motivating


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and retaining the human resources within the organization so that the main

objectives should be reached

efficiently and the employees needs satisfied.

The extent and quality of tourism activity is mainly determined by the

number of employees and the level

of their qualification, the correlation between their professional

training and the position hold, their

professionalism and promptness in reaching the objectives. Thus, tourism

evolution is directly related to

the human resources structure and dynamic, underlining the great

importance of human capital.

The specific tourism activity, its complexity given by the variety of its

components, is important for

recruiting and selecting the necessary personnel, its structure, and

training in order to maximize the

efficiency of work force.

1.2 The specific features of tourism labourThe relationship between tourism and human capital is a complex one, of

inter-conditioning, each of the

two elements having the cause-effect role. Tourism is covered up by

numerous and various activities and

the work in this domain is characterized by a series of features mainly

reflected by the need of work force


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and the results of utilizing it. Among the most important features we can

mention a great consumption of

workforce, superior moral and material liability, direct customer-employee

relationship, seasonal period,

using the work pattern partially. The specific features of working in

tourism influence the number and the

qualification of employees, the structure of human resource, work

productivity level, mutual motivation,

recruitment and selection policies, as well as professional training.

54

2. Labour satisfaction, motivation and reward

2.1. Satisfaction

According to its definition, satisfaction is a subjective state as a

result of needs fulfillment, lack of tension

and anxiety. Depending on the purpose, an action should be finalized with

a moral or material satisfaction.

If the efficiency of individual involvement in team activity is low, with

no satisfaction, then, one can speak

about a state of dissatisfaction, a state of mind that can cover the wholegroup, the organization, leading to

frustration.


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The main factors influencing work satisfaction are: pride, careeradvancement, professional challenge,

organization prestige, work benefits, job security, etc.

2.2 Motivation

Motivation is defined as a sum of internal and external energies that

initiate, conduct and maintain an effort

targeted to organization objectives, fulfilling also the personal needs.

The effort made by the employee will contribute to a greater extent to the

outcome expected by the

organization, as long as the personal goals are similar to those of the

organizational ones. For an individual

to be motivated at the workplace, he must be sure that performing a

certain job will help him fulfill his own

needs.

Employees motivation refers to a right correlation between their personal

needs and the objectives of the

organization. The role of the manager is to identify and decide to what

extent the organizational objectives

are similar to employees personal needs.

Motivation is one of the managers most important responsibilities; they

must find the best way of


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questionnaire has been distributed to the employees in order to collectthe necessary data. An important

segment of employees of both hotels was subject to this research.

3.1 The importance of this case study

This case study is useful to all managers working in hotel industry. It is

very important for them to be

aware of the impact manager-employee relationship is having on customer

satisfaction. The case study

comprises not only the findings obtained by data analysis, but also

recommendations that may help the

hotel managers to design new strategies in order to improve their business

performances.

3.2 A presentation of two analyzed hotels.

No.1 Hotel: It is situated in a peaceful, less centered area of the town,

it has a restaurant, a bar, 10 single

rooms, double rooms, and apartments equipped with TV sets, air-conditioning, mini-bar and telephone.

The customers can enjoy the following services: parking, card payment,

gym, sauna, barbershop, and

internet access.


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There are ten employees working in the hotel, a segment of 100% of theemployees has been questioned.

Hotel no. 2: It is situated in the very cultural and historical centre of

Timisoara; the atmosphere is very

elegant and comfortable. The hotel has 150 single, double rooms and

apartments, differently decorated

with an excellent view over the town during the day and night.

To meet the demands of its customers the hotel has a restaurant, a bar and

a conference room where

conferences, cocktails, banquettes, parties or festive dinners may be

organized. This hotel has an excellent

reputation for the services provided such as: parking, washing-cleaning

services, gym, sauna, massage,

hairdressing saloon, internet access, secretarial services. They also

provide additional services such as:

transport from the airport to the hotel and sight seeing.

This hotel has 160 employees; an important segment of 60% has been

questioned.

3.3 The analysis of the questionnaires distributed to the employees of

No.1 Hotel and No.2

Hotel

a) A description of the targeted segment


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By analyzing the employees distribution according to their age one cannotice the following: Hotel no. 1

has employees of 31-40years old (70%), whereas the age of the employees

working for No.2 Hotel is

between 20-30 years old (52%). Hotel no. 2 has also employed people

between 41-50years old (11%) and

people over 50 years old (4%).

By analyzing the employees distribution according to their gender one can

notice that both hotels have a

predominant number of women, but in a different percentage: 86% No.1

Hotel, 52% No.2 Hotel.

By analyzing the employees distribution according to their education one

can notice the following: a 57%

of the employees working for Hotel no. 1 have been employed for a period

of time between 3-5 years, 29%

have 1-2 years of work experience. This might be explained by the factthat it is a new hotel in contrast

with Hotel no. 2 where the most employees have between 5-10 years of

service(30%), followed closely by

those with 3-5 years of work experience (29%). One can also notice the

presence of employees a work

experience of over 11years (11%).

b) The inner mo


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With regard to their professional development the employees of both placesare not satisfied, most of them

stagnating. They are not very optimistic about their professional

advancement within the company, because

the company ladder has only few levels and career advancement is a slow

process.

c) Employer-employee relationship

One can notice that at both hotels the employees have a positive reaction

towards management: No.1 Hotel

(57%) and No.2 Hotel (52%), with a small exception of 4% of the second

hotels employees, who have a

different opinion.

With reference to managers flexibility and new ideas one can notice thatmost of the employees agree with

this statement; No.1 Hotel (42%) and No.2 Hotel (59%).

The performance appraisal questions has underlined the following: the

employees of the no.1 Hotel stated

the staff appraisal in their hotel is a honest and objective process(57%),

but there is a percentage of 29%


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employees who are not quite sure about this and 14% who have doubtsconcerning the managers

56

objectivity. The employees of no.2 Hotel appreciated the managers

objectivity and honesty (42%), 50%

are not sure and 4% think the manager is not objective.

One can easily notice that the management the first hotel is much more

flexible in the process of decision

making 57% of the employees can make their own decisions compared to a 26%

of the second hotel.

d) Remuneration and reward

In both cases employees think that they should get more money for their

work: 57% no. 1 Hotel and 93%

no.2 Hotel. Only 7% from the second hotel think they are paid according to

their work, and 42% from the

first hotel think they are paid according to their work. None of the

employees think they are well-paid.

e) Work conditions


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Regarding the salary one can notice that at the first hotel 43% of theemployees have answered that the

salary was not the reason that made them get that job, 43% stated that the

salary was the main the reason

for their employment, and 14% said the salary motivated them to get the

job to a less extent. At the second

hotel we have the following situation: 52% of the employees have answered

that the salary was not the

reason that made them accept that job, 4% said that the salary was

important, but not to a great extent, and

44%answered the salary was an insignificant reason.

With reference to work experience issue, one can notice that it is the

main motivation for employment at

both hotels. At no.1 Hotel 43% of the employees have answered that they

have got the job for the career

opportunity offered, also 43% think their career is not so important, 14%

did not take this issue intoconsideration. At no.2 Hotel most of the employees got the job for career

advancement, 19% think their

career is not so important and only 7% did not take this issue into

consideration.

Regarding the issue of working conditions and environment we have the

following data: at no.1 Hotel most


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of the employees are satisfied with their working conditions (57%), 29%ofthem are not so satisfied with it

and 14% of them are not satisfied at all. At no.2 Hotel most of the

employees are not satisfied with their

working conditions and environment (56%), but there are a percentage of

26% employees who are very

satisfied with their working conditions.

There is an obvious difference between the two hotels: no. 1 hotel has

managed to attract a large staff to

work for them 72%, even if they used to work for other organizations,

whereas most of the people of the

second hotel were unemployed when they applied for this job (74%).

f) The analysis of open questions

By analyzing the answers of the open questions, one can notice the main

reasons of employees

dissatisfaction and the suggestions they make.

The answers provided for this open question: What would you do if you were

the manager of your hotel?

(Chart no.1)

1. I would promote employees according to their performance


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2. I would offer financial rewards to hard working employees3. I would provide trainings

4. I would encourage competition among employees

5. I would implement a modern management, a more effective one

6. I would grant employees moral and material incentives

57

Hotel

1

4;

30%

2;

15%

1;

8%

1;

8%

1;

8%promote employees according to their

performance

financial

provide

encourage competition among

implement a modern

grant employees moral and material

Hotel

2

12;

37%

11;

33%


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5;15%

1;

2;

2;

promote employees according to their

financial

provide trainings

encourage competition among

implement a modern

grant employees moral and material

Chart 1.Staff motivation within the hotels

What do you need to become a motivate worker? What makes you an

unmotivated worker? (Chart no.2)

Answers:

1.

Low salary

2.

Reduced opportunities for career advancement

3.

No professional training

4.

Companys lack of development/opportunities

What makes you an unmotivated worker?

Hotel 1

5;36%

4;

3;


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21%2;

14%

Low

Reduced opportunities for career

No professional

Companys lack of

What makes you an unmotivated worker?

Hotel 2

20;

41%

10;

21%

10;

21%

8;

17%

LowReduced opportunities for career

No professional

Companys lack of

Chart 2. Analysis of employees dissatisfaction

4. Conclusions and Suggestions

Conclusions: the findings of research have underlined the fact that most

employees are not satisfied with

their salaries and their professional training. Their personal initiatives

are not taken into consideration

because there is no efficient system of collecting and using data.


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Mainly, the managers used to focus on getting a rapid profit, butcurrently more and more managers have

realized the importance of having well-prepared, well-trained employees

within the company. Thus, they

must focus on motivating their staff to increase their productivity level

and job satisfaction.

To improve the system of management and the services provided to

prospective clients, we underline the

following suggestions:

Professional development

To increase employees satisfaction towards their professional

development, the organizations should focus

on the following areas:

To elaborate and implement a system of drawing up and revise the job

description

To outline the role of each employee within the company

To design training programs according to each professional group


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To set objectives within a certain period of time (3 months-1 year) and tomonitor the

progress constantly(involving the employees in this process)

To delegate responsibilities

To increase the number of jobs

To involve the employees in the decision-making process

58

Performance appraisal

Performance appraisal system may take various forms within organizations:

To develop a system of competition among all levels

To appraise employees good results in public providing concrete examples

To be granted individual rewards (financial rewards) periodically

Liability

Regarding employees work liability, one can state that only few

organizations grant their employees


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freedom to express their own ideas and opinions. Thus, few organizationstake fully advantage of their

employees potential. Thus, it is recommended for them to:

Delegate responsibility

Develop training for managers concerning the process of delegating

responsibilities

Design and implement systems of collecting employees suggestions and

recommendations

so that all of them should be involved in the process of improving their

work.

Advancement

Among all analyzed parameters, this one has registered the lowest figures

compared to the ideal level.Thus, it is recommended for them to:

Draw up job description, to have a clear job specification so that each

employee should know

exactly their responsibilities

Design and implement a career planning policy

To increase the employees liability progressively so that they should be

prepared to climb

the company ladder

Working environment


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This is an area where the most spectacular progresses are made withinRomanian companies. It seems like

Romanian managers are willing to create a pleasant and efficient work

environment in spite of low

budgets.

More and more companies implement quality systems to be successful and

when they are seconded by a

performing human resource management, one can speak about successful

companies.

Payment

By analyzing the questionnaire one can easily notice that more than half

of interviewed people were not

satisfied with their payment, and their suggestions and recommendations

were focused on this topic. The

employees are also dissatisfied with the level of their salaries incomparison with the other peers salaries

or the salaries on labour market. This internal or external inequality may

appear because most of the

employees are not aware of the payment system criteria.

To improve the level of salaries, managers should take into consideration

the following:

Developing and implementing evaluation policies and strategies


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Investigating the level of salaries on the market

It not only the salary that is taken into consideration, but also the

fringe benefits such as: medical

insurance, life insurance, company car, discounts or free products,

subscriptions to gyms, a day off, nursery

school for employees children, rewards granted for good suggestions, or

meeting the deadlines, surprises,

gifts on somebodys birthday, trainings, and seminars etc. thus, it is

important for managers to:

Develop payment policies and strategies

Develop and implement appraisal performance policies

Develop payment systems base on achieved performances

5


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appropriate time. They are similarly protected if they choose not to belong to a union or refuse tojoin one.

Dismissals which infringe these rights may be taken to an employment tribunal regardless

of the employee's length of service. Employees who claim to have been unfairly dismissed in this

way (except those complaining of unfair selection for redundancy) can also apply to the tribunal

for an order of interim relief (which requires the employer to continue their contract of

employment or to re-employ them pending the final outcome of the case).

An employee may not be dismissed, selected for redundancy (when others in similar

circumstances are not selected) or subjected to any detrimental action for taking certain types of

action on health and safety grounds. These rights apply to all employees, regardless of their

length of service

Workers are entitled to be accompanied at certain disciplinary and grievance hearings bya fellow worker or a trade union official of their choice, provided they make a reasonable request

to be accompanied. They also have the right to a reasonable postponement of the hearing, within

specified limits, if their chosen companion is unavailable at the time the employer proposes.

Workers have the right to take paid time off during working hours to accompany fellow

workers employed by the same employer.

These rights apply to workers including agency workers and home workers, though not to

those who are in business solely on their own account.

Complaints to an employment tribunal must normally be made within 3 months of the

date of the infringement of the right. Exceptions to this general rule are detailed in the documents

about the particular individual rights.

2 JAPAN

Japanese Employee Relations methods have relevance in two contexts : Japan itself and

transplant factories in the Pacific area, North America and Europe. Nissan, for example, has been

particularly active in overseas expansion and - in common with many other Japanese

corporations - has a specific attitude towards trade unions. Effectively, independent unions and

multiple union representations are resisted in favour of 'staff association' and tame single -union

representation

More intensive efforts are being made to unify and realign industrial labor unions at

Japan. The nation's labor union organizations are three-layered - consisting of the independent

unions at the lowest level (enterprise unions are the mainstream), industry-level organizations

and national centers. The enterprise union remains the basic unit for organization. There are

more than 100 industry-level labor organizations, five have over 500,000 members. Many of

these organizations do not satisfactorily function as industry-level bodies. They are unable to


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adequately survey their members, to formulate industrial policy or to unionize the labor force.Many are understaffed and inadequately financed.

Following the end of World War II there was a long period when four national centers

competed. They were particularly divided ideologically and in terms of their support for political

parties. One result was the creation of competing organizations within the same industry.

However, with the formation of Rengo (Japanese Trade Union Confederation) in 1989, a move

was made to unify and to realign union organizations at the industry level under the umbrella of

one national center.

In 1993, the Japan Institute of Labour (JIL) began a research project on industrial

relations and decisions on working conditions at companies without labor unions (Head : Prof.

Tsuyoshi Tsuru of Hitotsubashi University).

According to the report, More than 60 percent of companies without unions have an in-house employee organization, of which 80 percent have a "fraternity-type" organization, and

fewer than 20 percent have an organization in which "employees have a say." The organization

in which "employees have a say" means those who replied that they have "labor talks with

management on revision of wages and matters pertaining to such working conditions as working

hours, holidays and vacation and welfare provisions" or "labor discusses production plans and

management policy."

As for an individual voicing body, a high of 47 percent of companies without unions

adopt a self-appraisal system, followed by the proposal system (34.2%) and a round table

discussion by those responsible for personnel management (26.1%). Even among companies

without unions, 42.2 percent stress employees' participation in decisions on working conditions,

and 44.7 percent stress their participation in formulation of strategies, thus showing an emphasis

on employees' overall participation in both areas. This, it seems, is the background forintroducing a variety of in-house organizations where employees can have a say, the report

analyzes.

The Japanese employment system has often been referred to as a "lifetime employment"

system. Firms compete with each other every spring to recruit the best of the new university and

high school graduates as regular employees normally determined as much by the prestige

attached to their university or school as by academic record. Regular employees enter the firm

with the expectation that they will be kept on until they reach the mandatory retirement age of

60.

The traditional Japanese wage system was based on seniority. However, in recent years,

Japanese companies increasingly have shifted towards a wage system that is linked to

performance because of increasing global competition and need to further motivate their

workers.

Participation in the Worker's Compensation Insurance System is mandatory for all firms

in industry and commerce. All medical expenses are paid for injured workers. Japan has a


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universal health insurance system, under which all citizens can receive medical attention if they become ill or injured. Businesses with at least five workers must provide their employees and

their families with government-managed health insurance or comprehensive insurance obtained

from a health insurance association. As of March 1999, 37.6 million workers participated in

government-managed plans, while 32.6 million had comprehensive insurance.

Collective bargaining is practiced widely in Japan. In the private sector, most aspects of

labor management relations are determined through collective bargaining. However, issues

affecting management and production, such as new plant and equipment and subcontracting

usually are resolved through regular consultations between the unions and management.

Government workers have limited collective bargaining rights. The Government determines the

pay of public sector employees based on a recommendation by the independent National

Personnel Authority (NPA). The NPA recommendation is based on wage surveys.

Standards are set by the MHLW and issued after consultation with the Standing

Committee on Safety and Health of the Central Labor Standards Council. Japan has a total of

343 Labor Standards Inspection Offices, whose staff carry out safety inspections and accident

investigations and provide judicial punishment for serious violations of the law.

As for recreation is concerned, Overtime accounted for 9.8 working hours per month in

the year 2000. In addition, Japanese workers utilized roughly half of the paid holidays and

vacation days to which they were entitled. The Government of Japan has set a goal to shorten the

number of working hours to 1,800 per annum by 2009. To attain its target, the Government is

attempting to make Japanese businesses adhere to the 40-hour workweek, is encouraging

workers to use their vacation days, and is trying to reduce the number of overtime hours.

3 USA

Labour unions date back to the late 18th century in the USA, although it was not until the

late 19th century that the 'modern' labour movement was born.

Unions were organised primarily at the level of the workplace, and it was at this level or

the employer level that their main activities took place, with unions seeking to 'take wages out of

competition' and hence maximize membership gains by co-coordinating settlements across

workplaces and employers.

Despite these relatively conservative goals, unions were initially able to gain employer

recognition and engage in meaningful collective bargaining only where their members had skill

levels sufficient to effectively shut-down an employer without fear of being replaced.

The abundant supply of qualified college graduates and experienced workers should

create keen competition for jobs. Overall employment of human resources, training, and labor

relations managers and specialists is expected to grow faster than the average for all occupations


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through 2012. In addition to openings due to growth, many job openings will arise from the needto replace workers who transfer to other occupations or leave the labor force.

Legislation and court rulings setting standards in various areasoccupational safety and

health, equal employment opportunity, wages, health, pensions, and family leave, among

otherswill increase demand for human resources, training, and l abor relations experts. Rising

healthcare costs should continue to spur demand for specialists to develop creative compensation

and benefits packages that firms can offer prospective employees. Employment of labor relations

staff, including arbitrators and mediators, should grow as firms become more involved in labor

relations, and attempt to resolve potentially costly labor-management disputes out of court.

Additional job growth may stem from increasing demand for specialists in international human

resources management and human resources information systems.


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Personal Observation

Sponsorships of MBAs or engineering programmes are successful retention tools. There are a

couple of popular models. Managers can take short on-campus courses. Some companies pay for

courses with the rider that managers return to the company once the course is over. For instance,

Coke has started an internal cadre-building programme that promotes the executive (graduates

and technical trainees) cadre to the management cadre through a two-month course in XLRI.

It has also started the Pegasus programme where high-fliers interact with the CEO at an

off-site location. Cadbury and HLL have also ramped up the process of identifying HIPOs in

their respective companies. IT companies are re-training managers in new software, which is

working as an important retention tool.

Prominent banks, IT companies, BPOs and FMCG companies in Bangalore, Mumbai and

Delhi share the angst of their employees in a different way. They are on the donors lists of many

prestigious schools, which reserve some seats for them. Since donations are unaffordable for

most employees, this becomes a huge add-on for them. A few MNCs also provide children

scholarships to some prestigious foreign universities.

Some companies are even altering work schedules. Pepsi has told its employees in the

north to pack up at 6.30 every Wednesday. According to Sanjay Luthra, director of Mumbai-

based BPO 3 Global Services, We also try and build a very creative work environment with a

multi-cuisine canteen, which is converted into a discotheque once a week. It has an array ofrecreational facilities including a video game parlour, and library.

Gaurav Lahiri, head of Indian operations in HR consultancy Hay Group, says, The key to talent

management is to identify top executives and treat them differently. Cross functional training is a

must for such employees. Plus, the strategy is to create such a dominant work culture that

employees find it difficult to adjust in some other organisation. ICICI is one such company

which follows this strategy.

When Kumar Mangalam is concerned, any Birla story is about people. He just cant take

his mind off people issues; this is one CEO who looks at himself and his group through people-

focused glasses, there are a select few CEOs who act as enablers in the business, by identifying

the leaders in individual businesses and set goals, giving freedom through explicit decision


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making rights and a set of values and principles based on which decisions are to be made.Explains Maira (HR - Executive), Its about moving from being tacit to being explicit

My objective has been to build a meritocracy and there are lots of nuances about it,

says Birla and adds,You are not talking about an object, an organisation is about people who

make it and it would continue to be my focus in days to come. Getting the right people on board

was a priority, and Birla was willing to do everything to grab them. Internally it raised eyebrows,

not because scores of senior managers working for the group for decades had been asked to put

in their papers, but because a company which had never invested much on HR was suddenly

spending Rs 16-17 crore on management development programmes which would later be called

Gyanodaya.

For Birla, people issues continue to attract maximum attention. One of the most

important functions he has cornered for himself is a regular performance appraisal for people

who directly report to him. Senior employees confide that its something he spends hours on.

Being the employer of choice is an objective thats dear to his heart, but Birla feels that theres

still way to go on this front. On his short list of immediate priorities, the one that is most

prominent is, We need to spend much more time grooming our brightest stars.

It seems simple. However, balancing employee expectations with those of the company is

easier said than done. Employee Relations in my view is an ongoing activity. It starts from the

day the employee is recruited, with the training, induction process, and goals and norms that are

expected out of the employee. Explaining the vision and core values of the company so that the

goals for the future are set straight.

In the site greatplacetowork.com, there seems to be one common factor in all 100

companies which got them to this reputation. The universal cause was that all of them cherishedand nurtured their human resource. Wegmans Food Markets (#1 on 2005 "100 Best" list,

Supermarket Chain) Robert Wegman, says "No matter how much we invest in our employees,

they give us more in return."

As per Hertzberg theory of motivation, the first three needs are already met by our

parents and guardians. The monetary needs, social needs of communication, and are

physiological needs are fulfilled by our parents, society or friends. The fourth need to be

recognized and rewarded, this is where the employer comes in. The desire to be renowned by the

employer is the prime motivating factor. Motivation then initiates a cycle of development for the

employee. The employer achieves this by engaging the employee decision making and other

activities.


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Conclusion

Each company that I interviewed was from Same sector but had different modus operandi. In

manufacturing sector a very important tool of Employee Relations is communication. It plays a

crucial role in Employee Relations. It is important to motivate the employee and make him aware

of the policies.

Employee Relations is necessary in an organisation as salt to food. As one cant imagine eating

food without salt, a company cannot run without maintaining Employee Relations.

I noticed that internal recruitment plays a very important role in employee relations. Internal

recruitment is when the company recruits someone from within the organisation to fill the

vacancies, as opposed to external recruiting i.e. recruiting from the open market.

Internal recruitment helps with the industrial relations since external recruitment can be

seen as depriving the workforce of opportunity.

Greaves Cotton has mixed recruitment. It follows internal as well as external. It has a Database

of People who want to seek employment. It is prepared on the basis of resumes left by job-seekers.

Kinetic engineering is strong follower of Natural succession. It strongly believes in

internal recruitment. If the company is looking at improving Employee Relations, then internal

resources should be the first considerations when planning for recruitment.

This is a very effective means as many qualified people can be reached at a very low cost

to the company. The other advantages are that the employees would bring only those referrals

that they feel would be able to fit in the organization based on their own experience. The

organization can be assured of the reliability and the character of the referrals. In this way, the

organization can also fulfill social obligations and create goodwill.

rose valley hotel

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