Holiday Inn London-Bloomsbury is situated off Russell Square in the stylish West End of London. It is within walking distance of a figure of universe renowned theaters, museums, nines and shopping Centres of the metropolis, every bit good as being close to offices and concerns of cardinal London. The hotel stands opposite Russell Square belowground station, which is on the Piccadilly Line and provides direct links to all Heathrow Airport Terminals ( 1-5 ) , the Emirates Stadium and is about 7 proceedingss from important travel connexions such as Euston and Kings Cross tubing Stationss and St. Pancras International Terminal for the Eurostar[ 1 ]. The hotel boasts 311 invitee suites, including concern and executive suites, the Junction Bar and Restaurant and the Callaghan ‘s saloon. It besides has extended conference and events installations with 3 feast halls which can keep up to 600 invitees at a clip, and 11 smaller sized meeting suites. The belongings is one of the official cordial reception spouses for the 2012 London Olympic Games as portion of Holiday Inn being one of the major patrons of the event.

Administration STRUCTURE

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The administration construction of Holiday Inn London-Bloomsbury shows a comprehensive program that depicts the responsibilities and duties of employees in each place within the administration, who they lead and manage and who they report to. An efficient administration normally has a straightforward administration construction where each employee is cognizant of his/her undertakings, duties, rights and determination devising abilities. Please see Exhibit A for a elaborate program of the administration construction of the hotel.


As portion of IHG, the Holiday Inn London-Bloomsbury follows Human Resource policies laid down at the IHG caput office is Denham, United Kingdom. Over the past twelvemonth IHG has introduced a figure of employee related alterations in the company. To accomplish their mission of making ‘Great Hotels, Guests Love ‘[ 2 ], IHG highlighted some cardinal factors to enable employees place with the company. The five ‘Winning Ways ‘ which require each employee to be squad focused, action oriented, passionate towards their occupations and understanding, are as follows:

Do the Right Thing

Aim Higher

Show We Care

Celebrate Difference

Work Better Together

From these policies it is apparent that IHG follows a soft attack towards people direction as opposed to handling employees like any other resource. Harmonizing to Price ( 2000 ) the Harvard Model of Human Resource Management emphasises the ‘human ‘ component whereas the Michigan Model focuses on the ‘resource ‘ component. The Harvard Model addresses issues of actuating employees, developing an administration civilization, making an effectual wages system and monitoring employee influence in determination devising, which are some of the chief motivations of IHG ‘s Human Resource policies.

IHG took an of import measure towards be aftering its growing by finding the company ‘s Human Resource demands. The company believes that effectual Human Resource patterns can supply a strategic competitory advantage for planetary growing. IHG tied up with Hewitt Associates LLC[ 3 ]to critically measure and analyze the company ‘s costs, resource allotments, engineering, and bringing channels. This analysis by Hewitt enabled IHG obtain “ a elaborate and holistic image of where HR works gets done ; how expeditiously and efficaciously it gets done ; and where HR is presently concentrating their clip and attending. ” ( Hewitt… . look into mention )

Hewitt Associates facilitated IHG prioritise undertaking issues by alining recommendations for their Human Resource scheme and organizational construction to their planetary concern ends. This resulted in “ specific alterations to the HR administration theoretical account and substructure that reduced both cost and hazard while advancing a civilization of growing and development through better endowment direction and associate battle. ” ( Hewitt… … .. look into ref )

IHG ‘s new employee enchiridions have paid particular attending to giving employees their ain infinite within the workplace. The company introduced advertizements which portray the workplace as a topographic point where employees have ‘Room to Grow ‘ within the administration through inter-departmental preparation, occupation sharing and shadowing senior members of staff. Another construct of ‘Room to Be Yourself ‘ allows employees to stand out in countries other than their daily occupations in the hotels, such as playing a musical instrument or taking the hotel ‘s football squad in the regional hotels competition.

Equal Opportunities Employer

“ Discrimination is defined as bias plus power, where bias is normally viewed as the antonym of tolerance go forthing implicit in power dealingss unaddressed. ” ( Husband, 1991 ) Harmonizing to Price ( 2000 ) favoritism creeps into an administration when employees who have “ the power to enroll, advance or honor other employees, choose to exert their powers in ways which deliberately or unconsciously show a penchant ” for a peculiar person or group against another. Holiday Inn London-Bloomsbury takes pride in being an Equal Opportunities Employer and is peculiarly rigorous in taking action against any reported incidents of favoritism within the hotel. One of IHG ‘s Winning Ways features is to Observe Difference since the company recognises the benefits of being an Equal Opportunities Employer.

Goss ( 1994 ) says that in the existent universe, administrations have a complex issue in their custodies while covering with attitudes towards equality of chance. Goss besides states that another job is typified by tokenism in certain administrations and Price ( 2000 ) suggests an illustration that is all excessively common in the existent universe where an administration, in its attempts to show committedness towards advancing Equal Opportunities, appoints a adult female in an all-male determination devising organic structure.

Harmonizing to Molander and Winterton ( 1994 ) every administration committed towards an effectual Equal Opportunities environment, including IHG, should include some of the undermentioned policies: –

Allocate overall duty for policy to a specified senior executive

Agree with employee representatives

Communicate efficaciously with all employees

Base policies and determinations on a current and accurate employee study

Audit Human Resource patterns for equal chances deductions

Set Equal Opportunities objectives within the Human Resource scheme

Allocate preparation and development resources to carry through aims

Human Resource Development

Harmonizing to Price ( 2000 ) , several administrations on a regular basis focus on employee development programmes in an attempt to turn up star performing artists who are so groomed and developed for senior places. Sadler and Milner ( 1993 ) declare that development programmes should include four distinguishable characteristics for their most promising employees: –

A sense of mission within the administration, which could actuate them more than pecuniary imbursements and occupation security

An administration construction that encourages and embraces creativeness

A public presentation direction system that recognises and wagess single and squad attempts

A clear statement of intent that links strategic aims of the administration with the desire to stand out.

IHG focuses on making a balance in employee development through the above mentioned leading performing artist method and the more traditional enlisting of directors in other administrations or through their ain direction preparation programmes. An illustration of the application of the star performing artist development programme is apparent in the Holiday Inn London-Bloomsbury where the Employee of the Year victor is slated for publicity each twelvemonth, irrespective of the fact that they may be comparatively inexperienced in direction compared to direction trainees in the hotel.

Performance Management

Harmonizing to Armstrong and Baron ( 1998 ) there are two indispensable factors that justify public presentation direction. First, employees will seek and execute better when they are cognizant of outlooks and have been involved in stipulating the same. Second, employees ‘ abilities to run into public presentation outlooks are based on their capablenesss, accomplishments, support provided by the direction and organizational procedures, systems and resources available to them.

The writers Armstrong and Baron ( 1998 ) further province that public presentation direction is critical to organizational effectivity but is besides a important portion of an employee ‘s calling when there is a direct nexus between good public presentation and addition in payment, inducement and chances for calling patterned advance.

IHG has an extended public presentation direction procedure where employees are assessed and appraised twice a twelvemonth and are required to put their ain Development Plan for the subsequent 6 month assessment period. Apart from each person ‘s Personal Development Plan, there are team ends and aims set by Heads of Departments for their full squad to accomplish. Such marks could affect upselling executive suites, breakfast and room bundles, secondary school and cyberspace use offers and increasing Priority Club registrations for the Front Office squad, to selling expensive vinos and cocktails, nutrient and drink bundles and Christmas specials for the Restaurant, Bars and Conference Gross saless squad.


In malice of the company ‘s best attempts, Holiday Inn London-Bloomsbury has a figure of Human Resource issues which have still non been addressed or resolved efficaciously. Some of the cardinal issues of staff direction, alteration direction and redundancy have been discussed below.

Restructuring and Redundancy

Harmonizing to Price ( 2000 ) , since the 1980s companies have been reconstituting their administration hierarchy in order to cut costs and increase efficiency. However, the most recent economic downswing has led to an unprecedented rise in downsizing work force and delayering organizational construction. After all its attempts to follow a Harvard modelled soft manner of Human Resource direction, Holiday Inn London-Bloomsbury has had to fall back to the Michigan modelled difficult direction manner by doing redundancies, cutting staff costs and cut downing direction degrees in its hotels to remain in concern. This attack contradicts its policies of caring for employees and preparing and developing them for publicity within the administration.

Kettley, ( 1995 ) in his book titled ‘Is Flatter Better? Delayering the Management Hierarchy ‘ argues that restructuring and delayering in administrations disturbances non merely the employees who fall victim to be film editing but besides “ unsettles accomplishments, functions and relationships of employees ” who remain with the company.

Staff Turnover and Alternative Staffing

The cordial reception industry is perpetually plighted by a comparatively high turnover of staff compared to other industries using people. However there have been some companies ( for illustration, Four Seasons Hotels and Resorts ) that have on a regular basis resisted the tendency and continued to keep on to their employees for a batch longer than the industry norm. Holiday Inn London-Bloomsbury on the other manus has been forced to put to a great extent on enlisting and preparation due to high staff turnover. In the past 12 months at that place have been a sum of 34 alterations in top and in-between direction in hotel operations sections itself, including a new General Manager, Operations Manager, Front Office Manager and two Gross Managers. Apart from being expensive, every alteration in direction besides disrupts workflow as freshly recruited directors try to implement their ain alone manner in each occupation and anticipate employees to alter their manners to accommodate new thoughts. Bing a planetary company, IHG besides has a high per centum of employees being transferred internally between belongingss worldwide which make the Bloomsbury hotel a mark for a figure of work arrangements, direction traineeships and internships, taking to a high flow of employees fall ining and go forthing the hotel.

In an effort to smother the high staff turnover and in order to get by with busy periods of the twelvemonth, the direction at Holiday Inn London-Bloomsbury frequently try to equilibrate the conventional staffing methods with alternate staffing such as auxiliary workers, bureau workers, part-timers and zero-hour contract staff. Part clip work tends to accommodate a batch of adult females with kids and now is progressively going more outstanding amongst male employees who want to supplement their full clip income elsewhere. Some auxiliary workers are employed at the Holiday Inn to ease the burden of full clip workers alternatively of offering them overtime work. Another method of staffing the hotel uses is occupation sharing where parttime workers are hired to replace a full clip occupation vacancy. Holiday Inn besides uses assorted bureaus supplying trained, impermanent forces solutions for their conference and events installations, eating house and bars and housekeeping sections.

Change Management

IHG has initiated a planetary rebranding procedure for the Holiday Inn trade name and intends to rebrand all bing Holiday Inns with new Sons, trade name signage, modern designs in hotel suites, anterooms and eating houses and besides supply new preparation programmes for all employees. The ‘Stay Real ‘ programme has been developed particularly to help staff preparation, step public presentation and educate them about the hotels they work in, inform them about environing countries and better invitee handling accomplishments. The Stay Real programme being a new IHG trade name criterion has to be wholly implemented at Holiday Inn London-Bloomsbury by May 2010 doing all employees and the hotel ready for the rebrand. Quality reviews, topographic point cheques and online trials for employees are presently being carried out indiscriminately by executives from IHG central offices and external agents working for IHG to measure whether the hotel is ready for the alteration.

Overload of Brand Standards

Holiday Inn London-Bloomsbury is the flagship belongings for IHG in the metropolis of London, and hence is ever under the oculus of the parent company in footings of adhering to trade name criterions, following criterion runing processs and run intoing marks. Quality reviews, Mystery Guest tonss, Guest Satisfaction Tracking System ( GSTS ) scores, Priority Club[ 4 ]rank enrolment marks are merely a few measuring indices that are continuously being monitored and every action of employees is scrutinised through studies, tonss and online trials. In April 2010 IHG presented the ‘Hotel of the Year 2009 ‘ award for all IHG hotels in United Kingdom and Ireland to the Bloomsbury hotel, therefore giving inspectors more ground to look into for mistakes in the hotel and its employees.

Poor Employee Satisfaction Survey Scores

TNS-Sofres Mode[ 5 ]conducted an Employee Satisfaction Survey to estimate satisfaction in their occupations and their hereafter programs within the administration. Having received a really high mark for a similar Guest Satisfaction Survey, it was a surprise to happen a comparatively low Employee Satisfaction Survey score compared to other Holiday Inns in the metropolis and besides lower than its ain tonss in the old two old ages. Such a state of affairs could be attributed to a figure of factors: –

The impact of the economic downswing which led to redundancies and accordingly increased work load of employees who were retained in the hotel. There were besides no wage rises as promised at the beginning of the old fiscal twelvemonth.

Bing on path for IHG acknowledgment awards in the regional degree on the footing of Guest Satisfaction Scores, the direction pressured employees to execute at their extremum at all times, and any errors or misjudgements were dealt with strictly.


Holiday Inn London-Bloomsbury has an impressive working environment, where employees are encouraged to take determinations and ownership of state of affairss and work out them independently. Employees are extremely trained and skilled to be able to manage guest jobs and other operational barriers. Directors are in sync with their staff and in most instances their relationships are amicable and trusted. Employees follow IHG policies of the Winning Ways doctrine by working together, assisting and caring for each other, observing and encompassing diverseness, taking higher at making better corsets for invitees and a better working environment for co-workers and most significantly, ever endeavoring to make the right thing.

In malice of the best attempts of the planetary administration, the hotel ‘s Human Resource section and senior direction, there are assorted HR issues that still need to be addressed and have been discussed antecedently. This subdivision highlights some recommendations to the jobs that have been analysed.

Reward Management

Armstrong ( 1996 ) says that public presentation in the workplace and its relation to wagess is a complex, sensitive and controversial country of direction which has been argued for and against “ at both practical and theoretical degrees. ” He continues to province that reward direction does non merely affect counterbalancing employees for their difficult work, but is besides indispensable to “ pull, motivate and retain gifted people. ”

Harmonizing to Torrington and Hall ( 1995 ) administrations require reward direction for a figure of aims including: –

Prestige to be gained from being a star performing artist

To be competitory to guarantee a sufficient supply of employees

For control over workers

To actuate and better public presentation of employees continuously

To command costs.

The direction at Holiday Inn London-Bloomsbury should look into making an efficient and effectual wages direction system based on public presentation in an attempt to retain the company ‘s best employees, motivate all staff to accomplish set marks and make a competitory and high public presentation working environment. However, the direction should besides pay attending to employees who are underachieving or non executing at a consistent degree, and supply excess preparation Sessionss, smaller, more accomplishable marks and more frequent assessments, alternatively of merely conforming to IHG ‘s set criterion processs.

Appraisal and Feedback

Feedback is basically a study an employee receives at the terminal of a public presentation appraisal period. Administrations have assorted methods of garnering information to organize an sentiment on an person ‘s public presentation. However, Murphy and Cleveland ( 1995 ) have identified some drawbacks with the traditional feedback procedure where directors discuss their positions of public presentation with junior employees. In a traditional feedback system, appraisees by and large tend to disregard negative feedback and do non desire to be “ lectured on their ain public presentation. ” In some instances the valuator could besides hold an uncomfortable undertaking of moving as justice and counselor at the same time. Harmonizing to Kettley ( 1996 ) feedback is more readily accepted by appraisees when it is focal points on development and is more effectual when wide competences are rated instead than single occupation related abilities.

IHG could present the construct of a 360 grade feedback and public presentation appraisal process which would assist employees to have a more wholesome study on their public presentation. Feedback from more than merely the direction ‘s position makes it more honorable, echt and is besides taken more earnestly by the appraisee. Apart from being more effectual with junior employees, another of import characteristic of the 360 degree feedback is that front line employees are able to show their positions on direction, which would assist in overall development of the administration. Kettley ( 1996 ) observes that with an enterprise such as the 360 degree feedback, there may be jobs of senior flat direction bureaucratism and other disadvantages of namelessness during the feedback roll uping procedure with agitated employees being tempted to include intemperate remarks.

Employee Retention

Monetary value ( 2000 ) states that the two premier concerns for an administration associating to high employee turnover are: –

The high cost of enrolling and developing employees

The loss of cardinal skilled, trained and talented forces which could be extremely riotous to the administrations long term ends

Hill and Trist ( 1955 ) identified that employees tend to go forth an administration in the first twelvemonth of employment instead than when they have completed a sensible period of service. This form could be attributed to a few organizational processs: –

Initiation crisis – The first feeling of the administration upon a freshly employed person may be a determinant factor in whether he/she chooses to stay with the peculiar company for a long period of clip

Differential theodolite – In the first twelvemonth to 18 months, employees are normally on probation, assessed often and besides estimating their ain calling chances. At the terminal of this period, a 2nd initiation crisis could take to farther abrasion.

Settled connexion – Abrasion rates after the 2nd initiation crises are much lower since employees are able to settle in their functions within the administration.

The direction at Holiday Inn London-Bloomsbury should concentrate on set uping a enlisting and choice procedure which targets persons for long term employment, with a comprehensive growing and development program, that would appeal largely to employees who are looking to construct a calling in the cordial reception industry, alternatively of engaging a bulk of people who look at employment in the administration as a impermanent pecuniary solution.

From the assorted theories of Human Resource direction manners and procedures it is apparent that IHG and Holiday Inn London-Bloomsbury have been able to successfully implement a figure of best patterns within the full administration and within the single hotel itself. Bing awarded the ‘Hotel of the Year 2009 ‘ award by IHG in United Kingdom and Ireland, it is just to state that the hotel has been bettering invariably in its operational sections and back uping maps. Following the company ‘s Winning Ways policies and endeavoring to make ‘Great Hotels Guests Love ‘ the Holiday Inn has identified its employees as the most of import resource and the most powerful arm in its success. Keeping employees satisfied, honoring their attempts and doing every attempt to cut down abrasion rate of the administration ‘s most valuable and adept staff members has become their end as the hotel goes into another twelvemonth trying to retain its position as one of the best in the metropolis.

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