Ritz Carlton Management Objectives & Goals
American Military University
Ritz Carlton hotels are considered to be the leader in the luxury line of fine hotel accommodations. We will use online and offline references to explore and research how this came to be. We will consider the history, leadership, and management of the hotel brand in order to better understand their current position in the industry. In addition, we will focus on the employee recruitment process and the extensive training required to sustain the Gold Standard in this very competitive and sophisticated market. The Ritz Carlton’s Credo, Motto, and Three Basic Steps are the highlight of ...view middle of the document...
However, due to the stock market crash in 1929 and the Great Depression that followed many of the luxury hotels began to suffer financially.
By 1952 the only hotel left standing in the United States under the Ritz brand was the hotel in Boston. The Philadelphia location was converted into an office building, the Atlantic City location was eventually sold to Shine Hotels in the 1940’s, and the Manhattan New York location was demolished in 1951. It wasn’t long before Gerald F. Blakely Jr. showed interest in the brand and cleared some legal hurdles and finally purchased the conglomerate in 1964 for 3.8 million dollars. In the later parts of the 1960’s Blakely gained the rights to the Ritz Carlton name, legal trademark, and US registration. He owned the luxury brand between 1964 and 1983. Blakely said, “Out of the 20 years I owned it, it made money three years. The other years it broke even, but from a public relations standpoint for CC&F, it was a tremendous asset”.
In 1983 Blakely sold the rights and US trademark to a developer William B. Johnson for 75.5 million dollars. By 1988 Johnson had obtained exclusive rights to the Ritz brand throughout the world. Since then there have been many investors and developers who contributed to the growth of the luxury brand hotels in the United States and around the world. However, under the leadership and vision of President and COO Horst Schulze the company grew to become recognized as the industry leader in hospitality and service. He coined the companies Motto "We are Ladies and Gentlemen Serving Ladies and Gentlemen". Since then the Ritz Carlton has grown to over 40 locations in the United States and several others around the world. They employ over 30,000 employees who continue to share the vision and goal to be the Gold Standard in luxury hotel accommodations.
Today the Ritz Carlton is lead by President and Chief Operations Officer is Herve Humler who along with 13 executives make up the corporate steering committee and Senior Quality-Management Team. However, the Ritz Carlton difference starts with the way employees are recruited and subsequently hired. They go through a long and careful interview process known as the Quality Selection Process (QSP). This process establishes a behavioral profile. Profiles that highlight applicants who are more inclined to be empathic, are intuitive, and are customer service oriented. After which, they go through a two day orientation focusing on the corporate culture. Followed by extensive on the job training and certification. The 250 hours of training is a collaborative effort across the spectrum of leadership. Managers and senior level executives are involved in every aspect of an employees training and mentorship. Ritz Carlton’s Credo, Motto, and Three Service Steps...