The Importance Of Service Profit Chain In Management

Superior Essays
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
…show more content…
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

Related Documents

  • Improved Essays

    Some company’s may ask for mandatory overtime when needed and others may say that a person should not be forced to work. After knowing what the employees are obligated to some employees may want revisions such as vacations and etc. This helps because it gives the chance for the employees to understand the companies wish and for the companies to understand the employees. Also training is included in Code of Ethics because they want all employees to have the correct training. This is much benefited because it helps the company run smoothly and helps with it be successful.…

    • 984 Words
    • 4 Pages
    Improved Essays
  • Superior Essays

    Schuler (1980) revealed that involvement in the strategy process will help with job satisfaction, and putting workers in the right position to be successful will reduce conflicts among workers. According to Mclaughlin (2015), business structure outlines that jobs are split up, arranged, and managed in a businesses. The leader writes out a plan and divides task accordingly to talents for the success of each person. The leaders influence the environment with the implementation of strategic structure that motivates all to be successful. Bradely (2015) mentioned that setting standards or showing the best way to do things proficiently are called best practices business.…

    • 1028 Words
    • 4 Pages
    Superior Essays
  • Improved Essays

    Enjoyed all the time he can in business. Training and experiencing he mentored and also coached many other sales professionals. He had trained clients from State Farm, Cisco Citibank and Cablevision. Continuously monitoring your sales team insuring them with great responsibility. Meeting the qualification of becoming successful business person.…

    • 1020 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Enterprise has been extremely influential on my career goals following graduation. The internship as a management trainee has given me knowledge and insight into the business world. I have had the privileged in working with talented, skillful people as well as building relationships with coworkers, customers, and mentors. While being an intern at Enterprise I have been able to obtain experience in value, customer service, and sales. Each experience has helped me in my career decision and on the path of becoming a successful sales leader and manager.…

    • 817 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    This company believes in maintaining a professional business attitude and fair pricing tactic to maintain long term relationships with customers. Employees are equally important as representatives of this company and that is why Riordan trains each employee to work as a team to maintain a cohesive alliance of associates focused on the customer’s needs and the substantial growth of the company itself. Riordan must maintain the standards originally set by this company when implementing the customer management changes to employees. Potential influences of corporate culture on employee behavior are training, leading by example and lastly incentives for employees to reach…

    • 1772 Words
    • 8 Pages
    Improved Essays
  • Superior Essays

    The importance of employees to corporate branding and the need to better understand the company’s behavior and organization culture is fundamental for the success of the organization. Employees are key to building relationships with all of the stakeholders, thus contributing to the overall meaning of the brand. For example, an employee who knows the company brand image well will then accurately express to consumers what the company stands for by their actions and improve brand-consumer relationship. Defining the difference between corporate branding and product branding helps portray the organization’s values and priority. The focus of the branding effort shifts from the product to the corporation as the organization’s activities are in line…

    • 1394 Words
    • 6 Pages
    Superior Essays
  • Superior Essays

    I believe encouragement is the most important ways to motivate employees. As a manager for a retail store, there will be days where sales are low, issues with customers or other issues that involves internally within the organization. A manager is responsible to assuring the employees have the skills and knowledge that will help them succeed, while making sure to praising them their hard work and dedication to the company. While assuring the employees for their skills and knowledge will help them succeed and praising them for their commitment, it is also important to share this information with other employees. One best way to encourage an employee is to tell others his or her work ethics because it will create a culture of encouragement (McWilliams, 2015) In order to influence other members of the team, it is important to praise them for their work, while helping other members succeed.…

    • 2132 Words
    • 9 Pages
    Superior Essays
  • Improved Essays

    To Thine Own Self Be True

    • 907 Words
    • 4 Pages

    The feedback will make all the employee in the company happy and will solve many ethical issues in the workspace. The employees of a company have to follow the rules and regulations given to them. The employee will also see how the program helps with his/her relationship with the company. There is a saying, “the notion of being true to oneself” (McShane and Cunningham 82).McShane and Cunningham found a few ways to describe CSR: “a moral character, individual search for what is real, truthfulness, accuracy reliability and genuineness” (McShane and Cunningham 83). For a company to become self-authentic, they can give their employees time to give feedback and ideas on what they can do better to make it a fun place to work.…

    • 907 Words
    • 4 Pages
    Improved Essays
  • Improved Essays

    Building a healthy trusted environment can be another solution. Organizations ensure its employees are motivated, build trust and inspired to work hard by implementing appreciation. Leaders cannot show the same type of appreciation to all staff. Some employees like gifts, and some just like to be acknowledge. Creating a strong culture throughout the organization will help to attract and retain the best employees.…

    • 1329 Words
    • 5 Pages
    Improved Essays
  • Improved Essays

    Theory Y is more growth developing for the employees and the employees does not hate coming into work. Theory Y helps the employees with self-control and self-direction as they are going through an obstacle regardless of how big or how small that obstacle is. (Moore& Miller; Chapter 4; pg.128; 2011). Sergeant George Welsh should have taken the extra steps and communicated with his employees in order to get the communication, honesty, trust, respect, and support that he needs to complete his job employment together. Hopefully, Sergeant George Welsh will come to an understanding that he needs the whole task force on his side…

    • 981 Words
    • 4 Pages
    Improved Essays