SEMESTER 1, 2014. ASSESSMENT TASK 1: CASE STUDY
'ELITE HOTEL'
Student Name: Baihan CHEN
Student ID: UB30081390
Word Count:1304
Due Date: 24/8/2014
Q1. TAKING ACCOUNT OF THE ORGANIZATIONAL CONTEXT, WHAT ARE THE PARTICULAR HUMAN RESOURCING CHALLENGES OR ISSUES THAT WILL NEED TO BE ADDRESSED IN SETTING UP A NEW HOTEL OF INTERNATIONAL FIVE-STAR QUALITY?
INTRODUCTION:
In this case, the operating environment for Elite Hotel run in Azerbaijan is like that it is a newly independent republic country which formerly part of the Soviet Union and situated between Iran and Turkey. It is a lowly economic developed country but recently Western oil companies are looking for inward investment in the development of its oil and gas industry in this country. Therefore, there are plenty number of clients for the hotel and the local hotel can't service these high level clientele. Thus it is worth to open an Elite Hotel in Azerbaijan. The hotel industry heavily utilizes labor for its daily operations. It is people-centric and thus HR practices are crucial to organizational success. Coupled with new regulations on labor, the hotel industry is a useful example to learn from, due to its high dependency on manpower. This answer aims to solve some of the key issues faced by the industry and specifically Elite Hotel, through which insights are derived from Elite Hotel's HRM strategies.
THE MACRO OPERATING ENVIRONMENT:
LOCATION:
The hotel will locate at the capital city Baku in Azerbaijan. This city has a cosmopolitan reputation in an overtly Muslim country which can be defined as a traditional male dominance society. Therefore, the hotel needs to take care and show the respect to the local culture. Moreover, this city often loss its power such as gas, water, electricity during daily living. In order to maintain the high quality service and seeking to expand, the hotel need to solve this power issue at first.
2. DOMESTIC LABOR MARKET