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The Ritz Carlton Case Study

Essay by   •  March 27, 2019  •  Case Study  •  509 Words (3 Pages)  •  1,126 Views

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The Ritz-Carlton faces challenges of being a quality service provider within the six sigma standard. The critical facts are, continued complaints from numerous customers, the non-development of a standardized method for analyzing the DQPR, Employee’s do not report defects once customer is satisfied, J.D Power monthly reports takes too long and should accelerate the rate at which flaws are discovered and eliminated, and so forth.  Ritz-Carlton internal environment is analyzed to determine resources and capabilities that may be used to create, nature and sustain its competitive advantage. I recommend Ritz-Carlton to offer guarantees and refunds to its customers; this will resolve their critical issue.

Ritz-Carton internal environment is examined by reviewing its differentiation strategy, service excellence. The approach aimed to provide uncompromising high-quality service to its guest, hence increase productivity, they also pointed out to earn customer loyalty and seek shelter from competition through quality service. This objective was implemented through the company gold standards formulated as a guiding principle; The Credo, the three steps of service and, the 20 Ritz-Carlton Basic.

 The Ritz-Carlton has attained the dimension of service quality by maintaining quality through prevention, putting systems in place to aim zero defects and being able to conform to requirements. For example, Employee selection, training, and staffing have reduced the high variability of service and consumers’ perception of risk. Total Quality Management was embraced to ensure long-term profitability and maintaining its premier position. Ritz-Carlton created a corporate culture that recognize defect-free service and offer customer satisfaction, hence progressing towards Six Sigma. Also, Ritz-Carlton created a quality department to identify and eliminate defects through process control. Two additional systems put in place, the dynamic quality information system intended to gather, report and track defect data and the internal and third-party asses

Ritz-Carlton has excelled in the GAPS of service quality, reliability, responsiveness, assurance, empathy, and tangible, however, they still experience numerous challenges of a quality service provider within the six sigma standards. This is because Ritz focused more on detecting significant defects and putting systems in place for future prevention but fail to offer service recovery to the customers who are not happy. To retain the dissatisfied customers, I recommend Ritz to also implement guarantees and refunds in its quality service.

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