MELIA WHITE HOUSE (MWH)
a) MANPOWER PLANNING
RIGHT PERSON ---AT RIGHT PLACE----AT RIGHT TIME
Manpower planning is the important activity of Human Resource management. Understanding the needs of the organisation and understanding the future task of organisations. To meet that expectations and the means by which these expectations are been met. This is called manpower planning.
There are many definitions by different people around the world but what they are trying to say in a nutshell or the message behind this definition and what I understood is it's a kind of process which changes within the organisational operations and practices to meet the organisation goals or meet the final desired outcome. It is matching process between demand and supply and secondly it's an evolving process
online (Prof. K.B Akhilesh, Dept. of Management studies, IISc. Bangalore)
Online (www.slideshare.net) human resource planning, accessed on 7th February 2010
NEED OF MANPOWER PLANNING IN MELIA WHITE HOUSE
We need to maximize profit for the organisation. After proper manpower planning then only we can start the recruitment and selection process.
Our organisation has shortage of certain categories of employee and varieties of certain skilled labours. We have large number of people in our organisation, but it's difficult to find the right person for specific job like technical job. The rapid change of technology, marketing, management and different styles of completing job affects the constant need of different skilled labour. People acquire more education that's why they leave organisation because of that again we have vacancies to fill. To cover these vacancies we need proper manpower planning.
In my opinion if we educate the employees or re-educate those to fill them with new skills required in the market there are fewer chances for them to leave the organisation. To meet the needs of future expansions or diversification.
(Interviewed HR manager regarding manpower planning)
WE SHOULD HAVE PROPER LABOUR MARKET STRATEGY
First of all we should understand what Labour Market Strategy is.
It guides the thoughts about general labour market dynamics, what importance the department will require to give to stakeholders more than 5-10 year period, and what course require to be developed to bring worth sustainably.
labour market strategy online (http://www.dol.govt.nz/initiatives/strategy/index.asp)
LABOUR MARKET STRATEGY FOR MELIA WHITE HOUSE
The strategy of Melia white house hotel is based on various factors:
* Rooms to staff ratio – The strategy are to have the staff levels based on the size of the hotel. At Melia white house we have 1:1 ratio i.e. for 581 rooms we have approximately 500 staff. The factors determining the staffing levels are as follows :
The level of business / Occupancy
Season – the 1st quarter of the year is not busy hence the recruitment is not very active.
Events – If there are any events in the hotel out sourced staff is requested. From various agencies.
* Customer ratio - depending on the level of the business.
* Profile of the staff – London is a market where a lot of students are working in hospitality industry. 40% of our staff is students; hence the strategy is to liaise with the university to market the hotel as a potential employer.
* Out sourcing the staff – The business levels in the London market are very unpredictable and to prevent us to over staff we always have recruitment agencies that provide us the staff if the business levels go up.
Source (discuss with F&B Assist. Manager Mr. Saurabh Tiwari)
b) FOUR EXTERNAL FACTORS THAT INFLUENCE THE RANGE OF THE SUPPLY AND QUALITY OF LABOUR FOR MELIA WHITE HOUSE HOTEL –
There are many that affect the supplies in Melia White House Hotel the main which affects are:-
· POLITICAL ISSUES
· SOCIAL FACTORS
· CHANGES IN TECHNOLOGY
POLITICAL ISSUES –
change in rules and law affect the company on wider range, it can increase or decrease the supplies and quality of labour required. The biggest issue what hotel is facing as told by the HR Manager is immigration. To employ Asian staff is not a straight forward process anymore after the change in immigration laws and visa restrictions Visas states the students are allowed to work only 20 hours per week, this can also causes higher turnover and less retention of educated staff. The MWH follows all the legal aspects of recruitment while recruiting. We are an equal opportunity hotel i.e. all potential candidates are given equal opportunity to apply for a job and get selected based on their credentials regardless of sex, race or back ground.
SOCIAL FACTORS -
It may consist of expectations of the people and ambition of the people. Opportunities that the organization provides for personnel development plays a significant role in attracting the staff towards the company so that Melia is established as a potential employer in the market. Melia White House being a part of Solmelia hotel and resorts is a Spanish group and the only hotel of the group in London. A major chunk of employees come from |Spanish speaking countries be it Latin (South) America or Spain. Spanish clientele being the market Melia is targeting the Staff gels well and suits the environment hence making Melia a renowned brand to Spanish speaking job seekers. The quality of service provided is perfect due to above reason as the customer feels at home and that is what the company / brand is trying to achieve to create a home away from home, not only for our customers but for our team members.
TECHNOLOGY FACTORS –
Changes in technology, the communication and work by new techniques all are productive development. They try and reduce the human effort but also demand new skills set of workers, then they need to find how to meet those expectations created by the technology. Like in Melia White House Hotel when they upgraded the Property management system from Sihot (Spanish version) to Opera more internationally renowned brand and a much superior PMS. Opera comes interfaced with Micros software used for the restaurant and bars in the hotel. Training of employees, match the expectation of the customers and employees (so they adapt to change), Opera and Micros knowledge became the most imperative criteria for recruitment and selection of the staff at the MWH.
If the employee gets better pay or better environment in other organisation they are likely to leave this organisation and go somewhere else by this the organisation is more likely to lose skilled labour as demand of skilled labour is increasing everywhere in world. Melia hotel does appraisals and required training for the employees and promote the employees from with- in encouraging staff retention.
c) MELIA WHITE HOUSE MANPOWER FORCASTING FOR FIVE YEARS
First of all manpower forecasting means the procedure of approximating the upcoming capacity and quality of people necessary. It starts with or depend on organisations long term and short term plans. So before forecasting, organisation short term and long term plans is important to be considered. These plans should be given or shown to every functional areas of the organisation and every department should check either their goals would be achieved or in other words we can say their increased responsibility can be met by number of current staff. To asses appropriate staffing level in different operational areas of the organisation to avoid unnecessary costs of the wages.
(book. Stredwick, J. (2005) Human resource management. Pg. No.54-55)
MWH considers the following as the basis to estimate the demand of manpower for next 5 years
* Company growth.
* Area expansion.
* Recruitment and selection.
* Brand expansion.
* Growth in business.
* Socio-economic factors.
* Major events in the location where the hotel is situated or in which hotel is taking part.
1) Manpower depends on the demand factors are
* Growth of the brand, as they expand and open more hotels like recently they had open in Luxemburg they will require more manpower because they have more demand even if they expand internally like planning to open terrace bar in summer time will require more staff.
* Opportunities provided by the company for growth and development of internal and external staff. if they don't have enough opportunities to grow in organisation or if they don't get motivation they are more like to leave the organisation hence it leads to larger amount of turnover
* Recruitment and selection process, the criteria's the company has to recruit. To find proper skilled staff suitable for the job. When people require new skills for jobs to be conducted and because of Demographic change.
Requiting statics –
Apr May June (year 2009)
TOTAL APPLICANTS 167 467 286
Interviews held 65 34 67
Source (MWH Quarterly meeting of 2009)
· New Products whenever they increase new products like grill counter in the bar they have to increase their manpower.
2) LABOUR TURNOVER
Ratio of number of employees that leave a firm through attrition, dismissal, or resignation during a period to the number of employees on payroll during the same period.
MWH recruit two kinds of staffs
1. Casual staff – waiter, porter, commis
2. Permanent staff – middle management, senior management, administrators, sales
Labour turnover percentage of MWH was
Factors that are affecting Labour Turnover in MWH are
* Salary – if employee don't like the pay package been offered to him
* Benefits – if other companies are giving more benefits like providing accommodation with job
* Motivation and self-development – if there is no proper appreciation and motivation by the senior management, likely to feel demotivated and leave the job
* Transfer – if they are transferred to other hotel within the organisation
* Peer group – if the staff don't like the people they are working with
* Boss – it depends on the boss if the person is co-operative or not
* Student – they are allowed to work only 20 hrs per week plus they are on short term visas.
Source (2nd quarterly meeting of MWH)
Recommendations and ways to retain labour turnover –
* By creating a clear vision – to determining what is to be achieved by the end of the day or operation to making plans for achieving that, plus including staff opinion while making goals asking for recommendations making them feel the part of the team and to make them love the organisation.
* By holding people to commitment – to make employees psychological attachment to the organisation e.g. job satisfaction, emotional attachment, socio-economic factors
* Influencing people - giving staff more authority for making decisions and allowing them to handle challenging task.
* Recognition and praise – mainly to create positively emotions in MWH. Proper motivation whenever required
* Exit interviews – to know the reasons why staff is leaving the organisation for improvement
EXIT INTERVIEW FOR MWH
3) SUPPLY AND DEMAND
Whenever the demand is high the supply should be high.
MWH Hotel research work
Total staff – 500
Yearly successful recruitment 200
Yearly turnover – 250
This is why MWH is short staffed
Recommendations for MWH
* Yearly recruitment has to be more active and rigorous, at least 10-12 interviews per week.
* If they select 6 employees weekly yearly they will 300 employees approximately.
Business level for next five years.
Every year business is growing by 10%.
Demand is to sell 150,000 room nights and the staff we have is 500 in 2010 approx.
So by 2013 the business will be 225,000 room nights hence the staffing/ manpower required will be 750 staff in MWH.
This is explained in the chart as follows- in 2012 because of Olympics it can increase to 15% and so on pending on the events it can vary.
2010 (increase of 10%)
2011 (increase of 10%)
2012 (increase of 15%)
2013 (increase of 5%)
Room nights per Year
Total revenue per year
Estimated manpower demand
450 staff currently working in MWH
600 (Maximum Staffing levels)
THIS SHOWS IF DEMAND IS GOING UP THE SUPPLY HAS TO MAKE UP WITH DEMAND
4) DIFFERENT TYPES OF WORKING ARRANGEMENTS
* More full timers to meet the heavy demand of business on week days
* Part timers on week ends
* Agency staff on special occasions when MWH will be busy.
* Flexible hours required for all staff
* Inter department transfers
* Cross – training using the staff within department like restaurants, when not busy transfer to other outlet.
* Stredwick, J. (2005) Human resource management. Second edition, UK, Elsevier Buttersworth-Heinemann 43-45, 54-55, 58-59
* Manning, P. And Brugh, J. (2001) Recruiting and Retaining Employees for Dummies. United States of America, Hungry Minds, 263-280
* Ambekar, Y. (2004) Manpower planning http://www.buzzle.com/editorials/9-12-2004-59200.asp (accessed 5th February 2010)
* Unknown (2009) Human Resource Planning http://www.slideshare.net/ankushgakhar/human-resource-planning-concept-and-need-factors-affecting-hrp-hrp-process-l-3-presentation (accessed 7th February 2010)
* Unknown (2009) labour market strategy overview (online). Available from http://www.dol.govt.nz/initiatives/index.asp (accessed 6th February 2010).
* Source Prof. K.B Akhilesh, Dept. of Management studies, IISc. Available from http://www.youtube.com/watch?v=zv2jKnaY2YU (accessed 2nd January 2010)
* Unknown (2010) labour turnover
http://www.businessdictionary.com/definition/labor-turnover.html (accessed 7th February 2010)
Employee Hand Book
Hotel quarterly report files
Human Resource Manager Ms. Stania Slava
F&B Assistant Manager Mr. Saraubh Tiwari