Change Management- Shangri-La 2000
Change Management- Shangri-La 2000
Introduction
The paper reviews the changing event of organizational culture of Shangri-La Asia Limited (hereinafter referred to as “Shangri-La”) held in the 1990s. In spite of enjoying some appreciable profits and rapid development of the scale of the company in the early 1990s, their management concerned the urgency of change in organization culture in order to enhance customer loyalty through creating a common goal and a set of common values within the organization. In this paper, Kotter’s change model is used in explaining the critical change factors in Shangri-La. The case study undertaken in Shangri-La, Kowloon (hereinafter referred to as “KSL”) is used as an example to help us to illustrate the issues that the management of Shangri-La encountered. We will also discuss the possible handling approaches of those issues.
Background
Shangri-La Hotels and Resorts have been established in Singapore by Malaysian-Chinese tycoon Robert Kuok in 1971. In the early stage of the business, the management of Shangri-La Hotels was contracted with Western International Limited including Shangri-La Kowloon, which is the second Shangri-La hotel established in 1981.
Shangri-La had foreseen the possibility of managing their own hotels and later formed its own management company in 1983, Shangri-La International Management (SLIM). The management of Shangri-La hotels subsequently transited to SLIM from Westin. In the case of Shangri-La Kowloon, SLIM took over the management from Westin and the transition was completed in 1989.
In the early 1990s, the economics of Asia was booming and Shangri-La experienced rapid expansion in Asia through raising funds from establishing publicly listed companies. Shangri-La Asia Ltd. (SLA) was formed and publicly listed in Hong Kong in 1993 and later merged with SLIM. Soon after, the new Managing Director of SLA came abroad and she observed that the management of Shangri-La was lack of common
Introduction
The paper reviews the changing event of organizational culture of Shangri-La Asia Limited (hereinafter referred to as “Shangri-La”) held in the 1990s. In spite of enjoying some appreciable profits and rapid development of the scale of the company in the early 1990s, their management concerned the urgency of change in organization culture in order to enhance customer loyalty through creating a common goal and a set of common values within the organization. In this paper, Kotter’s change model is used in explaining the critical change factors in Shangri-La. The case study undertaken in Shangri-La, Kowloon (hereinafter referred to as “KSL”) is used as an example to help us to illustrate the issues that the management of Shangri-La encountered. We will also discuss the possible handling approaches of those issues.
Background
Shangri-La Hotels and Resorts have been established in Singapore by Malaysian-Chinese tycoon Robert Kuok in 1971. In the early stage of the business, the management of Shangri-La Hotels was contracted with Western International Limited including Shangri-La Kowloon, which is the second Shangri-La hotel established in 1981.
Shangri-La had foreseen the possibility of managing their own hotels and later formed its own management company in 1983, Shangri-La International Management (SLIM). The management of Shangri-La hotels subsequently transited to SLIM from Westin. In the case of Shangri-La Kowloon, SLIM took over the management from Westin and the transition was completed in 1989.
In the early 1990s, the economics of Asia was booming and Shangri-La experienced rapid expansion in Asia through raising funds from establishing publicly listed companies. Shangri-La Asia Ltd. (SLA) was formed and publicly listed in Hong Kong in 1993 and later merged with SLIM. Soon after, the new Managing Director of SLA came abroad and she observed that the management of Shangri-La was lack of common
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