The Working Of Hyatt Hotel Corporation Essay

The range for the scrutiny of behaviour in organisations is really broad. There is a multiplicity of interconnected factors which influence the behaviour and public presentation of people as members of a work organisation. It is of import to acknowledge the function of direction as an integration activity and as the basis of organisational effectivity. Peoples and organisations need each other. The director needs to understand the chief influences on behaviour in work organisations and the nature of the people – organisation relationship. ( Laurie J Mullins, 2007 ) .

In this assignment I aim to analyze the working of Hyatt Hotel Corporation with mention to their cultural features and how the company portrays itself. I besides will analyze their accent on training their employees and the importance and effectivity of the same. I will besides discourse the tools Hyatt uses to actuate their employees and how it affects public presentation every bit good as the abrasion rate of the company.

We will write a custom essay sample on
The Working Of Hyatt Hotel Corporation Essay
or any similar topic only for you
Order now

Introduction to the company

Hyatt Hotels and Resorts

Hyatt was founded by Jay Pritzker in 1957 when he purchased the Hyatt House motel adjacent to the Los Angeles International Airport. Over the undermentioned decennary, Jay Pritzker and his brother Donald Pritzker, working together with other Pritzker household concern involvements, grew the company into a North American direction and hotel ownership company, which became a public company in 1962. In 1968, Hyatt International was formed and later became a separate public company. Hyatt Corporation and Hyatt International Corporation were taken private by the Pritzker household concern involvements in 1979 and 1982, severally. On December 31, 2004, well all of the cordial reception assets owned by Pritzker household concern involvements, including Hyatt Corporation and Hyatt International Corporation, were consolidated under a individual entity, now named Hyatt Hotels Corporation. Hyatt manages, owns, franchises and develops 434 belongingss around the universe as of March 31, 2010.

The Company ‘s concern is conducted by its employees and officers, under the way of the President and Chief Executive Officer and the inadvertence of the Board of Directors to heighten the long-run value of the Company for its shareholders. The Board of Directors is elected by the shareholders to supervise direction and to guarantee that the long-run involvements of the shareholders are being served. The Board recognizes that the long-run involvements of shareholders are advanced by taking into consideration, as appropriate, the concerns of other stakeholders, including associates, invitees, belongings proprietors, providers, the populace and members of the communities in which Hyatt Hotels Corporation operates.

Hyatt Hotels Mission, Goals, Values


We provide reliable cordial reception.

We make a difference in the lives of those we ‘touch ‘ mundane — that is our definition of cordial reception. A We do this in an environment that respects all people and all thoughts. A We do it in an efficient manner that leads to superior consequences. A


We aspire to be the preferable trade name in each of the sections we serve… most preferable among our: A



Owners ( both third party belongings proprietors every bit good as shareholders )


Common Respect

Listen good



Intellectual Honesty and Integrity

Tell and accept the truth

Honor your committednesss


Let actions talk for themselves

Acknowledge the parts of others


Do n’t take yourself excessively earnestly

Creativity and Invention

Challenge conventional wisdom

Take action/risks



As a corporate development trainee at the organisation, I was involved in Human resources and Training sections of the hotel which gave me entree to the policy manuals, Hyatt employee intranet and other resources. This has helped me garner the information mentioned below. Besides, due to changeless interaction with other employees of the organisation from each section, I am able to analyse the mentioned informations and discuss in item, how the organisation is doing and whether the scheme they have applied is good to the public presentation of the company.


Hyatt, being a big organisation maintains a basic civilization although due to the size of the company and the figure of employees globally, each division and hotel has developed a sub civilization which defines the peculiar topographic point. Hyatt believes that these sub civilizations should be encouraged every bit long as they do non conflict with the company ‘s basic civilization. In an organisation with the diverseness and planetary presence as Hyatt, one can see both, a strong overall civilization every bit good as the growing of powerful sub-cultures that reflect the big civilization but are besides different in of import ways. ( Schein, 2003 )

The word “ civilization ” in Hyatt International Operations is used to mention to the personality of the organisation and is formed by the combination of the undermentioned elements:

Shared values ( What we think is of import )

Beliefs ( How we think things should be done )

Norms ( The manner we do things around here )

Role Models ( The people who personify our corporate values )

Systems ( Our written and unwritten land regulations )

The company has strong cultural features and values that it abides by. These features are based on the planetary presence of the company. They have six chief cultural features which are elaborated below. These elements determine the ways in which the organisation and its people behave and solve concern jobs.

The six cardinal features that describe the Hyatt civilization are highlighted as follows:

We areA advanced. – Hyatt was the first hotel concatenation to get down the atrium anteroom construct in the universe. They have ever found surrogate and smarter solutions to issues in the cordial reception industry. They pride in the construct of being pioneers of new tendencies in the industry.

We work throughA squads. – Hyatt encourages an environment in which employees are made to work in squads to heighten public presentation. This besides helps in increased motive and employee satisfaction due to changeless feedback from the squad.

WeA careA for each other. – Hyatt ensures that the employees are empathic towards each other ‘s demands. They portray a image of a household when talking with their employees to foster a caring attitude.

We encourageA personal growing. – Hyatt has legion plans and developing faculties that allow fast track growing of employees. They have acknowledgment plans for their employees and they guarantee that the public presentation of each employee is tracked and monitored to maintain employees motivated

We areA multicultural. – Hyatt has a presence across the Earth which makes it of import for the company to accommodate and alter harmonizing to different civilizations. They guarantee that there is no favoritism in footings of coloring material, ethnicity, faith or race.

We areA client focused. – Hyatt ensures that they are focussed towards the satisfaction of their external every bit good as internal clients. The policies of the organisation maintain the employees, invitees every bit good as proprietor ‘s benefits in head.

These six features are encouraged and rewarded throughout all facets of Hyatt ‘s operations. They are introduced to new employees through an updated History of Hyatt presentation during the hotel ‘s Orientation Program. These cultural features are communicated to all the employees of the organisation so that they can honor behaviours which demonstrate them ; and, hire people who will boom in them.

Continuing and pass oning their civilization in International Operations is critical to their continued growing and success. They can heighten the civilization by honoring the behaviours that support it, by enrolling new employees who can easy absorb into their civilization, and by showing the features in the daily operations.

From a more tactical position – , Hyatt makes it a point to honor behaviours that exemplify their civilization – such as teamwork, lovingness, and innovation.A This can be done through acknowledgment plans such as HYachiever Awards, HYstar Awards, and others. They besides incorporate it into their hiring processes to guarantee that they are engaging people who will suit into the civilization – and who already portion many of these features.

In their civilization of inclusion, employees feel accepted for the persons they are, irrespective of their background, manner, thoughts, or beliefs. Hyatt continues to have acknowledgment as one of America ‘s best companies for our diverse population. An illustration of this civilization is given below:

For one hebdomad, every twelvemonth, Hyatt comes together globally to ‘Celebrate Our Peoples ‘ by acknowledging and admiting the most of import plus to the company, their associates. This is besides the perfect clip to understand the differences of associates and understand the huge civilizations represented in the company by partner offing and observing with a sister hotel in another state.

The civilization of the organisation if put in a theoretical account would be best described by Role Culture mentioned by Charles Handy in his book – Understanding organisations.

Role civilization is successful in this organisation as it is a really big company with many subordinates and units. All the hotels in the company are to be managed and operated harmonizing to one peculiar civilization which makes it easy to hold a level, predictable system such as the Role civilization. The hotel industry is based on anticipations and be aftering which makes it a reasonable determination to accommodate to the function civilization. Even though every bit mentioned by Mr. Handy, function civilizations are slow when it comes to alter, Hyatt manages alteration rather good as the communicating, preparation and development is really expeditiously handled.

Role civilizations offer security and predictability to the person. They offer a predictable rate of ascent up the pillar. They offer the opportunity to get specialist expertness without hazard. They tend to honor the satisfier, the individual concerned with making his occupation up to the criterion. The function civilization is thwarting for an person who is power oriented, or wants control over his or her work ; who is thirstily ambitious or more interested in consequences than method. ( Charles Handy, 1993 )

To get the better of the predictability and non invention that function civilization brings about in the organisation, Hyatt has a figure of fast path development plans for employees that enable them to place possible leaders and inscribe them in these plans. The productiveness of each employee is monitored carefully and on a regular basis through public presentation development plans run by the single section monitored by Human resources.

The most of import decision is that civilization is a many-sided, multidimensional phenomenon which is non easy reduced to a few major dimensions. Culture reflects the attempt put in by the group to get by and larn, and is the residue of this learning procedure. Culture provides significance, predictability and stableness in the present and is besides the consequence of effectual determinations from the group ‘s yesteryear. ( Schein, 2003 )


The hotel industry is a important portion of the touristry industry worldwide and its employees play a cardinal function in presenting the service merchandise to its clients. Excellent service provided by employees can make permanent positive experiences for clients. The single motivational concepts of the cordial reception employee play an of import and perceivably a important function in accomplishing high satisfaction among hotel clients.

The motive of employees, whether professional, skilled or unskilled, is a major issue in all service organisations. For the hotel industry, employee motive is a major issue. It is a challenge for the direction of the hotel industry to actuate employees to work with energy and efficiency due to uneven hours and high emphasis state of affairss

One of the company ‘s duties is related to guaranting employees ‘ workplace motive. Human resource direction ‘s map is to help the company in maintaining the employees satisfied with their occupations. If employees are non satisfied, they will non execute to expected norms. Workplace dissatisfaction and hapless public presentation normally lead to high employee turnover in the cordial reception industry, peculiarly in developed states. Harmonizing to a Hotel and Catering Training Company in the United Kingdom, turnover is the United Kingdom was estimated to hold cost the hotel and catering industry 430 million lbs a twelvemonth, and turnover was higher among work forces than adult females ( Lucas, 1995 ) .

It was besides reported that in order to cut down labour turnover and retain productive employees, direction has to better working conditions and maintain the employees decently motivated. Human resource directors need to understand the motivational procedures and human demands in different civilizations.

To understand employees ‘ demands, directors should understand cardinal theories that help them larn the basic demands of people. Maslow ‘s theory is one of many theories that pointed out the basic kinds of demands. They are Physiological demands, Security needs, Belongingness needs, Esteem needs, and Self-actualization demands. The lower degree demands must be satisfied before the following higher degree. Another theory, Hertzberg ‘s is based on two distinguishable sets of factors: hygiene factors such as wage, organisations, policies, working environment and actuating factors such as acknowledgment, publicity, accomplishment and the intrinsic nature of the work.

Hyatt has a figure of assorted ways to maintain their employees motivated. They follow the Herzberg ‘s motivational theory with an version of Maslow ‘s hierarchy of demands.

Hyatt fulfills the Hygiene factors mentioned in the Hertzberg theory by supplying the basic demands of efficient supervisory hierarchy, good working conditions, a crystalline system of communicating and interpersonal dealingss, a competitory wage along with benefits such a wellness insurance, provident fund and pension strategies. The company ‘s Human Resource policies and administrative policies are besides in topographic point to guarantee satisfied employees.

Hyatt ‘s motivational factors in footings of the theory are besides carry throughing. Their acknowledgment plans are mentioned below in item. In footings of the work itself, it is a challenging industry which involves a high sum of dedication and self motive. The timings and high emphasis state of affairss during peak seasons require on the topographic point determination doing accomplishments while being unagitated and composed for the client. The abrasion rate in the industry is high due to these disputing factors. Hyatt tries to guarantee that all their employees are motivated at all times although a weaker personality may non be able to manage the force per unit area which creates a state of affairs where they do non last increasing the abrasion rate of the industry itself.

Recognition Plans

the HYachievers, HYinnovators and HYstar Programs every bit good as the Service Awards are the minimal demands that are implemented in every hotel. The Director of Human Resources is responsible for organizing these plans and plays a pro-active function in back uping and developing new plans as appropriate for the hotel. All employee acknowledgment plans are budgeted yearly during the Business Plan procedure.

HYstar Award: “ Peoples doing a difference ”

The HYstar plan has been developed to acknowledge the employees who continuously demonstrate Hyatt International OperationsA CulturalA features.

The aims of the HYstar acknowledgment plan are to reenforce the company ‘s vision, mission and civilization mentioned above. HYstar points are awarded separately to employees by assorted beginnings such as guest regards, director ‘s log, employee suggestions and exceeding public presentations.

As an employee earns points in the plan, they are able to use their points to deliver gifts at any point in clip. Some illustrations of the types of gifts a hotel may offer are:

Vouchers ( i.e. nutrient verifiers from a local food market shops )

Telephone cards



Small gifts ( Hyatt Logo gifts )

Additional wash entitlement

Restaurant verifiers

Hotel ware

At the terminal of the calendar twelvemonth, oneA HYstar of the YearA will be awarded to the employee with the highest figure of points over a annual period.

The followers are illustrations of awards that could be presented toA HYstar of the Year:

Airline ticket to a holiday finish

Stay with full board at another Hyatt belongings

Extra paid holiday to bask the above

Some excess hard currency to bask shopping and holiday

Hyatt besides incorporates Maslow ‘s Hierarchy of demands to maintain their employees motivated. They guarantee that the Physiological and Safety demands are taken attention of by supplying a competitory wage including a repast a twenty-four hours and House rent Allowances, they have rigorous policies to guarantee occupation safety in footings of expiration policies and work environment as per local regulations and ordinances for wellness and safety. In order to carry through the societal, esteem and self realization demands of their employees, they conduct an one-year study which has been formulated by an organisation known as ‘Gallup ‘ . This study asks twelve simple inquiries and can reexamine the satisfaction degrees of the employees and sections of the hotels. This allows the company to cognize the challenges they are confronting in footings of employee satisfaction and construct schemes to get the better of them.

This study is besides used as a tool to measure single hotels, and their sections in footings of degrees of satisfaction which in bend affects the efficiency of the employees finally impacting the public presentation of the company.

The summarized consequences of the last two old ages are mentioned below as an overview of the public presentation of the company.

In 2010, engagement was strong and the 86 % of Hyatt employees around the universe filled the study. The purpose of carry oning the study is for the company to understand how to supply the best workplace in the cordial reception industry.

1 ) Hyatt increased the population of employees who feel ‘engaged ‘ by 11 % in comparing to 2008/2009.

2 ) Over 16,000 action programs were prepared and executed in 2009. The consequences show that those who worked together to develop a program and so saw it through to meaningful alteration were rewarded with the important betterment in their squad ‘s battle. Those who did non complete programs, or have meaningful treatments, saw their battle degrees remain level or diminution.

3 ) Recognition and PROGRESS in the first half of 2010 showed the most overall betterment from 2008-2009. These were besides the two points that most work groups selected in the action planning procedure.

In 2010, Hyatt found that engaged employees are 11 times more likely to cognize what Hyatt stands for and what makes it different from rivals. Engaged employees are besides 12 times more likely to be proud of Hyatt ‘s merchandises and services, and 10 times more likely to urge Hyatt to friends and household.

Importance of the study to Hyatt

There is a clear and strong relationship between positive concern results and a work force that identifies with organisational ends and demonstrates a strong, emotional committedness. Building and prolonging a positive experience at work for employees is of import. This sort of achievement does non go on overnight and, one time achieved, can disappear rapidly if the support of battle is non made a portion of mundane lives.

The feedback in 2010 will do it possible for Hyatt to concentrate on two or three countries in each section that will better the work experience for the squad members. Directors will be accountable for set uping meaningful action programs with the squad to drive alteration. Information Sessionss are being scheduled to back up action planning in single sections and hotels with the end of bettering the employee experience at Hyatt. In add-on, regular messages are posted on the employee portal that provides information on best patterns that relate to making penchant in the workplace.


The Hyatt Leadership Network ( HLN ) is an employee portal incorporating standardised preparation faculties that have been developed for the employees. Each employee is enrolled in these faculties harmonizing to their occupation description. The format of HLN is intended to supply resources that are easy accessible for scholars and to back up single and concern development needs.A A

Hyatt Leadership Network larning content is organized within four schools.A

The School of General StudiesA provides the basicss of larning for all employees.A The resources available support Hyatt ‘s mission, ends, and values by supplying resources that build on Hyatt ‘s culture.A A

The School of HospitalityA provides the operational criterions of public presentation and includes the proficient accomplishments, service outlooks, and systems cognition required in day-to-day hotel operations.A

The School of ManagementA provides resources back uping direction accomplishments development for Hyatt employees that lead to superior results.A

The Leadership InstituteA provides formal and informal development chances designed for future leaders at Hyatt.A

A A Hyatt believes that personal growing is an of import facet of an employee ‘s ‘Hyatt experience ‘ ; the Hyatt Leadership Network is of import for the company by assisting the employees meet their single development goals.A

Apart from the above, each hotel has an single preparation section that imparts regular preparation and development faculties which are good to the employees. The preparation directors are responsible for making a preparation demand analysis for the employees and inscribe them in assorted plans for their development and growing.

Training is used to better cognition and accomplishments, and to alter attitudes, it acts like an of import possible incentive. There are many benefits of preparation to the employee every bit good as the organisation:

Employee assurance, motive and committedness additions

It provides acknowledgment, enhances duty which may take to increased wage and publicity

It provides the employee with a sense of personal satisfaction and accomplishment which broadens chances for calling patterned advance

Helps to better the quality and handiness of the employees. ( Mullins, 2007 )

Below, is a tabular array provided by Mullins in his book specifying Training, and sum uping the preparation in an organisation. This chart fits in with an organisation like Hyatt due to its big size, accomplishment demands and state of affairs managing demands in its employees.

There is besides a strong mentoring system in topographic point. Each new employee is mentored by an experient employee. This helps the new employees learn and understand the procedures every bit good as provides them with a confidante who helps them suit in to the organisation and absorb the civilization.

Coaching is the procedure of assisting employees better public presentation and develop their capacity to execute good in the hereafter. It is about altering behaviour to do things better. Because the procedure of alteration is hard and can arouse anxiousness, people frequently resist it. The forces of inactiveness are strong, but effectual coaching can overcome them. ( Friedman, 2010 )

Hyatt Hotels promote training with the aid of the mentoring system, and a construct known as Hyatt on accomplishment preparation. This preparation faculty is undergone by supervisors and above. Graduating this faculty enables employees to carry on preparation Sessionss for undertakings. Training may be conducted within the section / squad. A trainer is entitled to develop three other employees at a clip. This enables individualized coaching for employees which makes it easier for them to understand and work on twenty-four hours to twenty-four hours undertakings therefore increasing the productiveness. Monitoring of employees ‘ public presentation is besides easier and more effectual doing them more confident in their occupations.

Summary and Conclusion

After the above study on Hyatt Hotels Corporation, one can deduce many decisions about the company. Hyatt is a really big organisation with a presence around the universe and has been awarded many times for being a great company to work for. Some of their most recent awards are mentioned below:

The Culture of Hyatt

Taking into consideration, Mr. Charles Handy ‘s theoretical accounts of civilization, Hyatt follows the Role civilization theoretical account. This theoretical account is acquiring progressively popular with big organisations as it works by logic and reason. The internal concern procedures are controlled by

A procedure and process for functions – fixed occupation descriptions, definition of authorization

A procedure and process for communicating – fixed channels and tools of communicating

Rules for difference colonies – a procedure of entreaty and thorough probe.

Hyatt portrays a strong corporate civilization. Corporate civilization may be defined as the sum sum of the imposts, traditions, values and significances that make the company unique. Since the corporate civilization is formulated by the senior direction and laminitiss of the organisation, it is frequently termed as the “ character of the organisation ” . ( Montana P, 2008 )



Hi there, would you like to get such a paper? How about receiving a customized one? Check it out