Case Study of Ritz Carlton

1. Ritz Carlton’s HRM
Practices and Work
Culture
Femisa
Farahnaaz

2. Summary
O The first Ritz-Carlton opened in 1898 in Paris
and since then a lot of changes took place which
led the company to the nowadays success.
O By 1998 Marriott owned 99% of Ritz-Carlton
O Training methods and the introduction of globally
accepted standards are important to ensure
quality
O Advantages are high customer and employee
satisfaction
O Disadvantages are the lack of individuality and
high costs

3. Recruitment Methods
O The company did not ‘Hire’ its employees it
‘Selected’ them
O Initial screening, several round of interviews
& personality to adjust in the hospitality
business
O E.g. : Housekeeping : Meticulous work
Front desk : People Oriented
O Reveals a good recruitment technique

4. Ritz-Carlton’s Training
Methods
O Being the first in the “Training Top 125
Winners” ranking - Ritz-Carlton achieved
2007
O Team Building, reinforced by a wallet sized
card with ‘ Gold Standards’ printed on it.
O Reflects a really good training and
recruitment way

5. O Newcomers – Start with two-day training get
to know the Gold Standards
O The On-the-job training and the “Day 21”
O After a year, there is a second written test to
certify “loyal service” and ongoing training-
sessions of 100 hours per employee per
year
O They train their staff on a daily basis for 15
minutes before every shift change

6. Analysis of the Training
Methods
Advantages Disadvantages
O Standardization in training
process
O Employees’ communication
improves with the on-going
training sessions & the daily line-
ups perfecting the team unity
O motto “Ladies and Gentlemen
serving Ladies and Gentlemen”,
because employees feel important
and well treated which motivates
them and as a result the service
will improve.
O Standard service procedure
leaves very little space for
spontaneity and puts pressure on
the employees
O Repetitive rituals such as the daily
line-up or the emphasis on the
rules induce monotony and might
even give an impression of a
brainwash ritual.
O Extreme standards results in an
inelasticity and loss of employees’
personality

7. Other Practices
O Employee Empowerment : Motivated to take
personal responsibility
O Cultural Impact: the way the company
treated the employees increased the
employees satisfaction
O Cultural Shift : The customer transformation
there was a modification of training
programs “more casual, informal and
younger”

8. 12 Service Values
O The introduction of the, compared to 20
basics, and more personalized and tailored
service emphasized on emotions, instead of
standardization, were the result.
O To use the opportunities Ritz-Carlton should
retain their training programs but retain
them a bit to keep the employees
individuality, spontaneity and naturalness
which would help to adapt to the changing
customer profile.