The Importance Of Service Profit Chain In Management

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Importance of Service Profit Chain in Management
Service profit chain is the essential idea in business management that connects the employee’s fulfillment, customer loyalty, and the financial gains (James & Heskett, 1997). Some of the human resource elements in the surface profit chain are internal service quality, employee satisfaction, employee retention, and productivity. Most of the hotels use the concept of the profit chain to succeed in their management. For example, the Marriott Hotel has thrived in its business management as it uses the surface profit chain concept to run and manage its work. Since he started his business in 1927, Marriott showed interest in all his employees and involved them in the management. He has been dedicated
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Satisfying the employees’ essential requirements like providing clean uniforms and equipment in good condition will enhance staff loyalty, pleasure, and discipline (Gruca & Rego, 2005). Marriott urged other companies to treat their employees well so that the latter could serve customers effectively. If the manager has to enforce any policy in the business, he or she has to communicate the rules to the workers. For example, Marriott believes in his employees and offers them opportunities for professional advancement to enhance their retention and prevent staff turnover. Additionally, employees should remember that the picture they portray to the customers is important for the business. Workers need to be aware of the right corporate image to portray and how to communicate …show more content…
Managers should be aware of all operations taking place in their business. For the managers to succeed in the firm’s management, they should know the details of the enterprise by remaining in touch with the employees and customers (Eugene & Vikas, 2000). Managers have to monitor the employees directly and mingle with the customers to know what they require and how they are served and use the feedback for improvement. Managers’ readiness to interact with the employees and customers and to get involved in the business can increase the pace at which tasks are done and goals are accomplished. Managers should be an example to their workers. Marriott offers a good example of the conduct that he wanted his employees to emulate. He worked for six and half days and nights in a week instead of five days to inspire his workers and show them the value of diligence. When the employees notice that the manager is dedicated to the business, they emulate his example. The more the manager displays the advantage of taking their work seriously, they will be willing to work hard on their own without supervision. Marriott’s managers always focus on the outcome by frequently reassessing and challenging workers to do

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