HRM – CASE STUDY 2

INTRODUCTION

The case study is focusing on the problem that a Hotel company , Club Mediterranean is facing regarding recruitment and turnover of GOs. It was the 9th largest hotel company in the world in 1986. It was founded by a group of friends as a non-profit sports association. As the size of the association grew, running it as an informal, loosely organised group became difficult. By 1985,it became a publicly owned company and had more than 100 resort villages throughout the world.

ISSUES

The turnover rate became very high nearly 50% .

Cultural and language differences . The number of GOs recruited from

Europe was much larger as compared to North America.

The company’s personnel policy is also one of the faulty.

ORGANISATION STRUCTURE

The topmost position was ‘Chief of Village’ and was equivalent of a General Manager in American Hotel parlance. Each village chief has seven assistants called ‘Chief of service’ who used to manage specific functions such as sports, entertainment etc. The chief of service manages the GOs in their functional areas. Each village had a team of about 80 GOs who handled all jobs other than housekeeping and grounds keeping.

HIERARCHY

Chief of Village

Chief of Service

GO’s

GO’s

The term ‘GO’ means congenial host. The GOs position needed young,

personable, enthusiastic and athletic persons.

Long working hours including contact time with the guests.

It was not just a job, but a way of life. They visit different countries ,experience

different cultures and learn to adapt to many types of people.

Lack of proper training to newly recruited GOs.

Lack of entertainment for GOs. For some people it was like living on an island.

Lack of positive feedback. Frequency of job rotation.

RECRUITMENT ISSUES

Wrong information provided in resume

Too much application for job. Time delay between recruitment and

shipment.

SUGGESTION

Proper training before getting into the actual work.

Recruiting the GOs throughout the year, not on seasonal basis.

Recreation facilities. Changes in company’s personnel

policies regarding rotation of GOs. Giving positive feedback. Giving stability so that group

cohesiveness can remain the same.

Thank You