Total Quality Management in Hospitality Sector

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Total Quality Management in Hospitality Sector
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• Management at hotels had been defined as the
  planning, organizing and controlling activities,
  either individual or collective, aimed at
  achieving organisational objectives. Previously,
  there had been no incentive in the hotel sector
  to develop or use the relevant scientific
  technology concerning firm management instead,
  depending on whether the vacancy rate rose or
  dropped, the sector concentrated on keeping the
  profits steady.

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• Management was carried out mainly by these
  successful and experienced in hospitality. The
  reputation of the hotel was directly related with
  that of the owner. Among the most successful
  hotel managers can be cited Conrad Hilton, Howard
  Johnson, Ralph Hitz, Cesar Ritz. Especially
  between the years of 1920 and 1950, costs were
  sharply increased, employee unions were started
  to make pressure to the managers, vacancy rates
  were decreased, and competition gained
  importance. All these effects made the managers
  think about the problems. They realised that they
  have to change the management philosophy, which
  based on scientific techniques.

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• After Second World War tourism has developed very
  fast in all over the world. Chain hotel numbers
  have been increased. Nowadays lots of hotel
  chains are giving services to its employees in
  all over the world with standard service
  qualities. The sector is getting dynamic as time
  passes and competition gains importance. With
  globalises and technological improvement guests
  point of view has changed and their demands have
  changed too. Besides guests improving needs, also
  employees started to demand more from their
  managers. All these changes made hotel managers
  found alternative management techniques to
  satisfy both their guests and employees. Managers
  realised that they have to enlarge their market
  shares with new approaches.

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• All the researches, that were done to understand
  the guests, needs and wants states that tourists
  needs companies which take cares the nature, and
  they want to accommodate in luxury places with
  good quality of services and with experienced
  staff.During last 20 years quality gain
  importance. Managers understand that if they want
  to compete in all over the world they have to
  obtain quality standards too. In hospitality
  sector, tourists spend money mostly for fun, so
  they refuse to have unqualified goods and
  services. There are lots of options for them to
  accommodate, if they cant be satisfied they
  immediately change the hotel. During the
  improvement period companies realised the
  importance of the satisfaction of their guests
  and employees.  

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• In hospitality sector the definition of the
  quality is very clear, quality means to obtain
  goods and services which can satisfy the guests
  needs and also these services must be more than
  they deserve and at the same time these goods and
  services have to make the company profitable. So
  quality concept is essential for hospitality
  sector.

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• After some changes in the sector, Total Quality
  Management approach has started to be well known.
  Total quality management offers quality control,
  quality circles, standard quality, satisfaction
  of employees, satisfaction of guests, high profit
  margins and modernisation of the company. Concept
  means getting improved and education all the
  time.

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• Problems are occurred cause of hospitality
  sectors characteristics. Hospitality is a
  service sector. It directly serves to guests.
  Service is intangible, can not be kept in stock
  and is an activity or process. Services can not
  be controlled as effectively due to the
  difference in nature or services and physical
  goods. The delivery and consumption takes place
  at the same time. It causes more difficulties to
  companies to conceal the mistakes and
  shortcomings. The consistency of the service
  delivered is affected by existence of factors
  related to human beings involved in the process.
  Feedback of the problems is given to employees at
  the same guests takes services. Because of these
  facts, education and the training programs gain
  more importance in the hospitality sector.

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• The other difficulty meet in the hospitality
  sector is, guests needs and wants. In this sector
  there is no standards. The demands of the guests
  change people to people. An application can
  satisfy one guests needs at the same time that
  can cause problem to the other. Employee of the
  hotel must be well educated and have to answer
  all needs and wants of the guests. Total quality
  management applications have to be totally
  analyzed by all the employees to obtain maximum
  guest satisfaction.

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• In hospitality sector the high turnover rates of
  the employees reduce the cost of Total Quality
  Management approach. Most of the hotels except,
  business type city hotels hire seasonal
  employees. After peak seasons they have to lay
  off the seasonal employees. This fact increases
  the training program costs also it is somehow a
  loss for the company. They educate the employee
  then have to lay off. It is loose of time for
  managers. Also training programs cant be
  efficient for the employees. They start to apply
  the techniques of Total Quality Management, they
  start to educate themselves and feel themselves
  as a part of the team then after mostly 6 months
  they have to leave the hotel. It also decreases
  the motivation of the employees. Because they
  know they will leave the hotel, some of them
  never care about this approach.

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Historical Development of Total Quality
Management in Turkey

• In Turkey the quality control applications
  started to apply by Istanbul Technical
  University, Industrial Engineering Institution at
  the end of 1950s. Prof. Dr. Faruk Akgun gave
  lectures about quality control in 1962. Dr. Ismet
  Ayiter gave symposiums to the company of
  Unilever by this symposium first statistical
  data application in quality control is done.

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• During 1960s, in Turkey different industrial
  sectors started to improve. Engineers worked on
  this field. They aim to reach the world standards
  and try to increase the production.

Total Quality Management applications were
started to be well known in the world first in
Japan in 1960-1970s. Besides this fact Turkey
met this approach in last 30 years. Although
still there are lack of knowledge of applying of
this approach, some sectors have improved
themselves perfectly in last 5 years. Like
automotive, press and banking sectors.
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• In 1990s only big Turkish companies had ISO 9000
  rules. As time passes ISO 9000 has taken by small
  companies too. Nowadays most companies can
  compete in world standards. In 1990s
  counselling firms have started to be active and
  they start to give services to companies. They
  give professional training to managers and try to
  educate them about Total Quality Management
  approach. These firms aim is to improve the
  quality, employee satisfaction and profit margin
  in the firm.

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Total Quality Management In Hospitality Sector In
Turkey

• Istanbul Technical University, Total Quality
  Management Research Committee, made a research
  between the years of 1993-1994. They made
  interviews with the upper level managers,
  instructors about Total Quality Management
  applications and according to this research some
  problems stated as

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• v     Managers do not give enough importance to
  the organizational culture of the firm and human
  resource management applications.
• v     Setting TQM approach is a long process for
  companies, during this period managers have to
  motivate the employees but mostly they can not
  motivate them properly.
• v     Managers do not plan leadership and
  motivation factors in an appropriate way.
• v     TQM comes from Japan. Turkish companies
  try to copy this approach without adapting to
  Turkish culture.

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• v     Most managers could not analyze TQM and
  analyze this approach as if it is only fashion.
• v     Still classical approach is common thats
  why managers can not apply some characteristics
  of TQM. For example, departments can not see each
  other as an independent entity. They can not act
  as a team for improving the companys quality
  bases.
• v     Lack of Leadership skills of the top
  managers.
• v     Strict hierarchy

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• v     Carrier worries of middle management
• v     During economical crisis managers directly
  start using classical approach.
• v     Lack of education about TQM
• v     Not using standards
• v     Inadequacy of carrier planning, technical
  knowledge and education.

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KALDER

• Founded in 1991 by representatives of prominent
  Turkish Industrialists Groups, KalDer is an
  independent, non-profit organization, aiming to
  expand the awareness of total quality in
  industry, service and public sectors. To realise
  this aim, KalDer promotes the effective use of
  Business Excellence Model as the framework for
  Business Excellence in organizations.

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• VisionTo become an exemplary organization in the
  world by the efficient deployment and efficient
  use of the Business Excellence Model throughout
  Turkey.
• MissionTo motivate and prepare an appropriate
  environment for all organizations public, private
  or non-profit, in which these organizations can
  reach world-class quality level and increase
  their competitiveness.

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• Main activities of KalDer, aside from general
  promotion of TQM throughout Turkey, are
  organisation of working-groups, quality related
  training, the National Quality Congress, Quality
  Award, Quality and Management Systems Fair,
  Seminars, Panels, Branch offices, Publications
  and Library Services

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• KalDer has started the National Total Quality
  Movement with the cooperation and support of
  local leaders such as role model companies, Total
  Quality Management believers throughout the
  country. KalDer will improve strategic relations
  with international bodies such as national
  quality organizations to promote and benchmark
  its activities and share Total Quality Management
  culture worldwide.