HERIOT-WATT UNIVERSITY

ORGANISATIONAL BEHAVIOUR – DECEMBER 2014

Section I

Case Study

Marriott Hotels International Ltd

Annual Sales: £536,600,000

Average Age: 32
Earning £35,000+: 5%
Male : Female: 50% / 50%
Number of Staff: 9,036
Typical Job: Food and beverage team member
Staff Turnover: 23%

A Great Place to Work

A total of 117 employees from Marriott’s eight hotels in Scotland and the north-east of
England were invited to lunch recently at the Dalmahoy Hotel and Country Club, near
Edinburgh, to celebrate their long service with the company.

Four of them were commemorating 30 years with the hotel group, including Alistair
Kinchin, the Dalmahoy’s general manager. They each left with a gift as well as a bottle of
champagne. In May, managers at the company’s hotels across the UK will show their
appreciation for their staff’s efforts with a week of events, ranging from serving them
lunch to treating them to ice creams and delivering chocolate bars and juice to their
desks. ‘It typifies what we do all the time,’ says Kinchin. ‘You can’t put a price on a thank
you. It is part of our culture.’

Marriott Hotels International offers four- and five-star quality to guests and a first-class
place to work for its 9,036 staff, who showed their appreciation with their responses to
our employee questionnaire, which moves the company five places up the list this year.

Employees think Marriott provides a great service to customers, returning an 83%

positive score, and they love working for the hotel group (72%, just five companies
scored higher). People have fun with colleagues (81%), think the business is run on
strong values (76%) and are proud to work for the organisation (78%).

Megumi Fons got a job at the Dalmahoy on the recommendation of friends. ‘Marriott
has a reputation for looking after their employees,’ says the 27-year-old food and
beverages associate, who studied hospitality management at university. She hasn’t been
disappointed. As well as free meals, a smart uniform and somewhere comfortable to
relax, staff get free use of the swimming pool, sauna and gym. Fons, who recently
enjoyed a night out with her department, likes the team spirit and lack of stress.
Employees say they have not had stress-related symptoms arising from their job in the
past 12 months (78%) and they feel a strong sense of family in their team (71%).

Representatives from every department meet daily to discuss arrivals and departures and
other developments, while monthly meetings mean employees know what is expected of
them (77%). They believe they can make a valuable contribution to Marriott’s success
(76%) and a difference within the organisation (74%).

Each employee has a personal development plan which is reviewed throughout the year,
and staff of all levels take part in discipline-specific training programmes following on
from their starter orientation. With two hotel golf courses to choose from, Richard Holt,
26, a trainee golf professional, is able to improve his game and practise on the
championship course, one of the most demanding in Scotland.

Patricia Rainey, cluster director of human resources for Marriott Hotels in Scotland and
the north-east of England, says joined-up policies mean staff don’t get left out of the
loop. ‘We have training that moves them along,’ she says.

People feel they can make a difference (74%) and have a positive future in the
organisation, while managers help them fulfil their potential (both 68%). Even executives,
who complete a minimum of 40 hours of core training a year, find it beneficial (68%). ‘I
have been a general manager for 20 years and it makes you realise there is so much more
to learn and there are so many different ways of doing it,’ says Kinchin.

Marriott believes corporate social responsibility and serving the community are an
important part of doing business. Hotels get involved in local projects, from giving
school playgrounds makeovers to clearing litter from beauty spots and raising funds for
charities. Staff also get involved with good causes and in one year 2,684 employees took
part in voluntary activities.

Looking after the planet is on the hotel group’s checklist and hotels have environmental
committees with representatives from all departments looking at ways to reduce energy,
waste and water use. Staff think Marriott makes a difference to the world (64%) and is
very green (72%, a result bettered by just two other firms).

Benefits include a contributory pension, free and subsidised sports facilities, extra
holidays, a wellness programme, an employee assistance programme and discounts at the
firm’s hotels around the world. Members of the quarter-century club — those with 25
years or more of service — get two nights free each year at any Marriott hotel.
Required:

Analyse the above case study.

i) Identify the key OB theories that are addressed.

(20 marks)

ii) Discuss their application within the case study.

(20 marks)

iii) Reinforce your analysis with examples from your own experience.
(10 marks)

(Total 50 marks)
 Section II

Essay Questions

Question 1

You have just taken over leadership of an existing high-performing team, and in talking
to your people you find that they are not satisfied with the level of decision making that
they can use. What are the things that you can do with the team to address this problem
while encouraging team members to continue to deliver high performance?

(Total 25 marks)

Question 2

Your organisation is a long-established firm which has developed into one with a large
number of management layers, little delegation of decision making, small numbers of
employees reporting to first line managers, and employees being employed in very
specialised jobs. In addition, senior management are involved in making very detailed
decisions that could be taken at much lower levels. This way of organising is now seen as
adversely affecting profitability. From your knowledge of OB, how should your
organisation now be redesigned?
(Total 25 marks)

(TOTAL 50 MARKS)

END OF PAPER