Sei sulla pagina 1di 30

WELCOME TO THE PRESENTATION

A CASE STUDY ON

WEST INDIES YACHT CLUB RESORT:

WHEN CULTURES COLLIDE

PRESENTED BY MD. RAJIB HOSSAIN (MBA-090302) HOSSAIN AHMAD (MBA-090310) MD. SAIFUL ISLAM (MBA-090311)

SITUATIONAL OVERVIEW

Head office located in chicago Competitive advantage largest boat fleet The resort is in highly competitive virgin island Staff comprised of expatriate management and local employees Difficulties in cross cutural communications has caused strained performance

Problems

  • High expatriate turnover

  • Rising tension between expatriate and local staff

making the organization experience cultural

myopia

  • Rising number of guest complaints and Low

employee motivation

BRITISH VIRGIN ISLAND’S TOURISM MARKET

  • 36 islands- 16 inhabited

  • Area 59 sq mile

  • Planned and restricted growth ensured by

government

  • Bareboat chartering introduced in 1970

  • Main attractions - rich natural beauty and intrigueing history

UPSCALE HOTELS IN BRITISH VIRGIN ISLANDS

Exhibit 1

Map of the British Virgin Islands

and location of luxury hotels and resorts

Necker Island

Mosquito
Mosquito
Salt Island
Salt Island

Peter Island

UPSCALE HOTELS IN BRITISH VIRGIN ISLANDS Exhibit 1 Map of the British Virgin Islands and location

Norman Island

Island 3 Great Camanoe 5 Island Guana Island The Dogs 4 Little Camanoe Little Jost Virgin
Island
3
Great Camanoe
5
Island
Guana Island
The Dogs
4
Little Camanoe
Little Jost
Virgin
Van Dyke Island
2
Gorda
Tortola
Beef Island
Piter Island Yacht Club
Fallen Jerusalem
50 rooms.
Great Thatch
$395-$525
Cooper Island
Ginger Island
North Sound Express Ferry route
S i
r
F r
a
n
c
i
s
D r
a
k e
C h
a
n
n
e
l
1
1

Key:

  • Peter Island Yacht Club

  • Little Dix Bay Resort

  • Drakes Anchorage Resort

  • Biras Creek Resort

  • West Indies Yacht Club Resort

Jost Van Dyke

St. John (USVI)
St. John
(USVI)
95 rooms. Exhibit 2 $390-$595 Drake’s Anchorage 12 rooms A beachfront restaurant A protected anchorage for
95 rooms.
Exhibit 2
$390-$595
Drake’s
Anchorage
12 rooms
A beachfront restaurant
A protected anchorage
for charter boat.
Sandy beach.
(with meal & access
to all water sports
equipment)
Resort
$400-$600
Prickly Pear
West Indies
Island
Yacht Club
North
Resort
Sound

Virgin Gorda and its luxury hotels

98 rooms. $480-$1000 A fine-dining restaurant. Small boats(Sunfish,Lasers) Waretskiing ,day excursions Diving sites for guests. Bay
98 rooms.
$480-$1000
A fine-dining restaurant.
Small boats(Sunfish,Lasers)
Waretskiing ,day excursions
Diving sites for guests.
Bay Resort

Mosquito

Island
Island
Gorda Peak National Park Biras Creek South Resort Savannah Sound Bay 34 rooms Little Dix $395-$695
Gorda Peak
National Park
Biras
Creek
South
Resort
Savannah
Sound
Bay
34 rooms
Little Dix
$395-$695
One nautical Mile
One restaurant.
3 tennis court
A private beach with a bar.
A small marina.
Several miles of natural
trails.

Spanish Town

The Baths

Page 7

Exhibit 4

West Indies Yacht Club Resort Organizational Chart

and accounting

in reservations, marketing,

and approximately 7 people

Chicago Office

Chief Financial Officer

Marketing and Special

Promotions Director

Tom Fitch

Expatriate U.S.

Greenwich, CT

President Joe Kimball Chicago, IL
President
Joe Kimball
Chicago, IL

Virgin Gorda, BVI/Miami, FL

Jim Johnson

General Manager

Expatriate U.S.

Exhibit 4 West Indies Yacht Club Resort Organizational Chart and accounting in reservations, marketing, and approximately

Property Manager

Kent Mawhinney

Expatriate U.S.

Virgin Gorda, BVI

Operations level

Accounting & Finance

Virgin Gorda, BVI

Approx. 7 employees

Waterfront Director Engineering Position vacant Department Virgin Gorda, BVI Approx. 25 employees
Waterfront Director
Engineering
Position vacant
Department
Virgin Gorda, BVI
Approx. 25
employees
Food & Beverage Director Steve Lucas Expatriate – U.S. Virgin Gorda, BVI
Food & Beverage
Director
Steve Lucas
Expatriate – U.S.
Virgin Gorda, BVI

Commissary

Approx. 90 employees

Two restaurants and

Watersports Director

Expatriate - Dominican

Virgin Gorda, BVI

Approx. 15 employees

Enrik Harrigan

Expatriate U.S.

Virgin Gorda, BVI

Approx. 7 employees

Nick Smith

Marina Director

Rooms Division Manager Kristin Singiser Expatriate – U.S. Location: Virgin Gorda, BVI
Rooms Division
Manager
Kristin Singiser
Expatriate – U.S.
Location: Virgin Gorda, BVI
Exhibit 4 West Indies Yacht Club Resort Organizational Chart and accounting in reservations, marketing, and approximately

Front Desk

Approx. 10 employees

Housekeeping

Approx. 80 employees

BVI Labor Market Laws and Regulation and its Impact on Success of WIYCR

First, expatriate work permits are granted only on the basis of the total number of employees working at a resort and the availability of locals who possessed

these skills requisite for the position

Second, organizations are not permitted to lay off staff during slow seasons.

BVI Labor Market Laws and Regulation and its Impact on Success of WIYCR

Third, policies restricting the conditions under which

an employee could be fired severely limited an

organization’s ability to retain only the best workers

and

Finally, organizations were under extreme pressure to promote BVI locals into management positions

whenever possible

The organization in the eye of different employees

Dave Pickering

  • Fake Compensation System

  • Not interested in tips

  • Difficult to convey message to top management

  • Hard to make relationship with locals

The organization in the eye of different employees

Kent Mawhinney

  • Worst problem: Getting plans to be executed

  • Employees not motivated by advancement

  • They know- local employment law guaranteed jobs

  • They don’t prefer added responsibility

The organization in the eye of different employees

  • No planning

  • No commitment

  • No enthusiasm

Steve Lucas

The organization in the eye of different employees

Kristin Singiser

Mismanagement

  • Overbooking by Chicago Office

  • Declaration of telling guest to stay on board

  • Children and parents in opposite extreme

  • Continuous mismanagement

Staffs

  • Local staffs are not motivated by money or advancement

Dowd’s Observation

  • Locals are motivated by personal relationship

  • Some employees hide from work for lack of proper guideline

  • Staffs are not courteous

  • Mumbles to answer queries of the guests

  • High turnover made locals reluctant to make

friendship with expatriates

High Expatriate Turnover

Low Task not Unable to Motivation of completed meet Employees well expectations Quit Job
Low
Task not
Unable to
Motivation of
completed
meet
Employees
well
expectations
Quit Job
  • Expatriates find it difficult to adopt to local culture

  • Increased stress and tension

Rising tension between Expatriate and Local Staff

Growing gap between Local and Expatriate Staff

Causes:

  • Lacking direct management

  • Management style does not suit local

  • Communication problem

Low employee motivation

  • Senior staff are as lazy as the junior staff

  • Tips are not attractive

  • Only serve close customers sincerely

Cultural difference:

Foreign staff:

Achievement

Local staff:

Nurturing

Rising Number of Guest Complaints

There is a decline in the service provided to guests by

the West Indies Yacht Club Resort

Causes:

  • Lack of training

  • Lack of communication

  • Lack of motivation

  • Local culture

Analyzing Opportunities and Threats

 

Opportunities

Threats

Political

Strict Government regulation

Strict Government

ensure local jobs

regulation dissuaded developers

Economical

Established Industry provides job security

Lack of proper transportation hinders

growth

Social

Cultural diversity promoted

Cultural difference may

tap vast to cope with

Competition/

Targeting families and

Declining customer

Consumer

catering to their needs

service may decline

Extensive water-sport facilities

standard of service

Analyzing Opportunities and Threats

 

Opportunities

Threats

Marketing

Strong marketing director, successful recent campaign

Demographics are changing

Management

Seeks professional help

Division between HO and resort management

Accounting

Lower wages for local employees

Hourly salary-costs are variable

Solutions

Short Term

  • Organize a holiday party prior to the peak week

  • Partner with Commisionary, the local bar

  • Encourage staff to become friends and to respect each other as people and to look outside titles

  • Create a slogan or pamphlet to hand out to guests upon arrival, in which local culture is explained as well as embraced

Solutions

Long Term

  • Establish a WIYCR management training program

  • encourage employees and managers to have an open dialogue

  • In the off season, establish a social interaction

committee

  • Implement a self service food and beverage sector

  • Develop evaluations based on a cross cultural training program

Building Strong Leadership

  • It should be controlled and employees should be motivated by a authority figure present in the resort

  • Managers should delegate authority to subordinates

Increased Communication- Building Brust

Managers and employees

  • Managers should have cultural training

  • Mix private and business life

Increased Communication- Building Brust  Managers and employees Managers should have cultural training Mix private and

Formal meeting and informal gathering

Resort and headquarters

  • Regular meeting to discuss progress, concerns and promotions

Improving the team

  • Retain employees in groups

  • Motivation

    • Direction

    • Intensity

    • Persistence

  • Implementing job rotation

    • Increase job satisfaction

  • Effective performance measures

    • Motivation-Pay for performance and collective

    achievement

    • Have informal reviews-Group meeting

    • Emphasize on win-win relationship

    Wrap Up

    By improving the organizational culture WIYCR can

    concentrate on its core competencies and work to regain industry leadership status

    Alternative Solution

    • Replace existing team and management with locals

    • Replace existing team and management with expatriates

    • Change the mindset- create new organizational culture

    Thanks………