ORGANIZATIONAL BEHAVIOR OF TAJ HOTELS AND RESORTS: TERM PROJECT REPORT
Prof. Diljot Kaur
University of the Fraser Valley
Prabhleen Singh Grewal
University of the Fraser Valley
I hereby declare the Final Term Report entitled “Organizational Behavior of Taj Hotels and Resorts: Term Project”is my original and bonafide work. This report will be submitted to Prof. Diljot Kaur, University of the Fraser Valley, Chandigarh campus for the course Organizational Behavior Fall 2016.
Date: 13 NOVEMBER 2016
Prabhleen Singh Grewal BBA
University of Fraser Valley Chandigarh Campus India
This project has been a great experience and has helped me grow as a Business student. It was an experience in which I understood to an extent the actual working of a hotel as an Organization from the employee's perspective and not the customer.
I would like to thank my Professor for assigning us this project which was a wonderful opportunity. I would also thank my group mates who came together in hour of need and we as a unit conducted this research.
Finally I would like to thank Mr. Surinder Singh (G.M., Taj), Jeetika Nanra (H.R.M., Taj) for sharing the insights of their Organization with us.
Dated 24 October 2016
Prabhleen Singh Grewal
University of the Fraser Valley
List of Figures
S. No. Description Page
CHAPTER - I COMPANY HISTORY/BACKGROUND
1.1 Company background
1.2 Organizational Structure and Culture
CHAPTER-II QUALITY OF WORK LIFE
2.1 Pay and Stability of employee
2.2 Occupational Stress
CHAPTER-III JOB SATISFACTION
3.1 Job security
3.4 Job Rotation
3.5 Working Conditions
CHAPTER-IV RECRUITMENT AND SELECTION
4.1 Recruitment and Selection
4.2 General Selection Process
CHAPTER-V CROSS CULTURAL ISSUES
5.2 Potential areas of conflict
CHAPTER-VI CONCLUSION AND RECOMMENDATION
LIST OF FIGURES
CHAPTER – 1
Introduction and History
The Taj Chandigarh is owned by Indian Hotels Company Limited (IHCL) which is commonly known as Taj Hotel Resorts and Palaces. It is a chain of Hotels and Palaces widely renowned in India. IHCL is a part of the Tata Group. The first Hotel called Taj Mahal Palace was build in Mumbai (then Bombay) by the founder of the Company itself, Jamsetji N. Tata in the year in the December of 1903. It is rumored that this Hotel was built because J.N. Tata was once refused entry to Watson's Hotel in Mumbai which did not allow Indian to enter but only Europeans.
Tata wanted to attract European and American capital and technical experts to the city, but he knew he had little chance of doing so unless visitors had access to a hotel that was both clean and safe. At the time, there were no luxury hotels in India which were meant for Indians also along with Europeans. The land on which The Taj Mahal Palace was to be constructed was bought in the year 1898, and construction began in 1900.
It took approximately 3 years for the hotel to build and was officially opened on 16 December, 1903.
Tata paid 25 Lacks from his own pocket for the project because he did not intend to build the Hotel as a part of this group but wanted to be his gift to the city. He could not find the appropriate staff before he passed away the following year. Responsibility for running the hotel passed by default to Dorab Tata and his partners at Tata & Sons.
Here was a hotel to rival the best in the world, built by an Indian - designed by an Indian architect, too - and run by Indians. Today, more than a hundred years later, that sense of pride and excellence is still at the heart of the Taj brand. The Taj proclaimed that India was no longer second rate; it was as good as anything in the world.
And now, of course, in the aftermath of 26/11 the Taj has an entire new crop of stories, many of them tragic, all of them powerful. The legend lives on, and is at the heart of an expanding hotel empire which is beginning to encircle the globe. Never let it be said that myths and brands have nothing to do with each other.
1.2 ORGANISATIONAL STRUCTURE AND CULTURE
The employees of Taj Chandigarh are considered as an integral and an important part of the organization. In Taj, a group of people work as an authority towards a common aim. The Taj has always had a system of well defined jobs, which clearly define their respective authority and with every authority, a responsibility. Taj as a separate entity believes in traditional methods of working. They have tried and succeeded in preserving its legacy and beliefs from its very inception in Mumbai. This does not mean that they have not changed at all. Taj Chandigarh also has evolved in its social, economic and technological aspects. They try to bring about new ways to get work done through the employees e.g. employee participation in making and being more customer oriented.
Taj as an Organization is dependent on the top management. The actions and philosophy of the top management is reflected in their Organizational Culture. The Organizational culture is a very flexible one and it accepts and respects people with any caste, creed, religion, etc. The actual culture being followed in Taj is Role Culture. Role Culture according to wikipedia is, “a business and management structural concept in which all individuals are assigned a specific role or roles. This applies primarily to organizations and departments that operate within the same business, company or workplace.” The appointment for specific tasks is done on the basis of ability the person and his skills to carry out the task successfully. Proper hierarchy is maintained throughout the Organization but the employers are open to suggestions from the employees. The employees are assigned the role and work by the authority which is carried out through a specific procedure or set of procedures. There is a possibility that each department has a different working as they do not follow the same mechanism but the dominant culture is Role Culture.
The Organizational Structure of Indian Hotels Company Limited (IHCL) is as shown in the diagram below:
Figure 1: Organization Structure chart of Taj Group of Hotels
Note: Our queries regarding the Organizational Culture of the Taj were answered by Jeetika Nanra (H.R. M.) and Mr. Surinder Singh (G.M.) of the Taj Chandigarh. Most of our information is based on the interview and the questionnaires we handed out which were to be filled randomly by random employees of different hierarchy and levels.
Taj is a very large Organization functioning at different levels of management ( top, middle and lower levels) namely, General Manager, Managing Director, Manager, Supervisor, Worker, etc. This structure has proven to be a great boost in providing opportunities which eventually lead to success. There is an indirect relationship between all the levels of management and that is believed to be the best thing about their culture and structure.
The departments of the Organization are similar to any other Luxury Hotel or any other Organization, viz. production, marketing, finance, human resource and development and sales. Each department is headed by a Senior Manager/ Vice President and every department has its own subordinates. Taj follows a strictly formal relationship with its subordinates. There are certain rules and norms which are strictly followed. To put it in four words, the relationship is ‘impersonal, non-inmate, non-partial and contractual.'
QUALITY OF WORK LIFE
Quality of work life (QWL) refers to the favorableness or
unfavorableness of a job environment for the people working in an
“The overriding purpose of QWL is to change the climate at work so
that the human - technological - organizational interface leads to a
better quality of work life.”(Luthans)
1- To create a positive attitude
2-To increase productivity
3-To improve standard of living of the people
2.1 PAY AND STABILITY OF EMPLOYEE
Employee will demand more in the form of social security and welfare
benefits. Not given proper payments will affect the quality of
According to Taj, employees are paid according to their rank or
position in the management. It not only gives them a good pay but also
provides them with accommodation because most of the employees in Taj
come from different parts of India.
An employee's job is not assured for the first year. Employee
engagement and good performance can improve the stability.
2.2 OCCUPATIONAL STRESS
Occupational stress is a major hazard for many workers. Increased
workloads, downsizing, overtime, hostile work environments, and
shift work are just a few of the many causes of stressful working
In case of Hotel Taj, due to working conditions, working schedule,
hypertension and irritability can adversely affect employee
productivity but Employees at Taj are very satisfied with the
environment they work in.
Management ensures that the employees feel that they are being recognised.
In case their performance was exceptionally good in the past year,
Employees are awarded certificate along with some cash incentives. For
the employees those who have served in The Taj for quite a while, they
are given a momentum from Taj.
Job satisfaction maybe defined as, an employee's judgment of how well his job on a whole is satisfying his various needs. (smith,2014)
Also it can be expressed as a pleasurable, emotional, state resulting from appraisal of one's job. (Weiss, 2014)
a. Job security
c. Wages & Incentives
d. Job Rotation
e. Working Conditions
3.1Job Security:- It is defined to include that feature of job situation, which leads
(a) Job Security
Assurance for continued employment, either within the same company or within the same type of work profession.
Taking hotel Taj into consideration, an employee's job is not secured for the first year they are employed but after repeated good performance by them they are given job security, some even get before 12 months.
In case of physical security, they are given benefits like medical & life insurance but it is at the discretion of the employees to avail it or not. This is because a minimum pay is deducted from their salary.
Management makes sure that the employees feel that they are being recognized and to do that they do the following:
· Employees are awarded certificate along with some cash incentives in case their performance was exceptionally good in the past year.
· For the employees those who have served in The Taj for a long time, they are given a momentum from Taj.
3.3 Wages / Incentives
Taj has provided employment to more than 1500 people (including people employed on temporary basis as well as permanent basis) and gives them a good amount of wages/salary depending upon their post.
It not only gives them a good pay but also provides them with accommodation because most of the employees in Taj come from different parts of India. They do this by deducting a small amount from their salary. They also provide them with uniform (blazers). They are given a new set of uniform, every six months. They also provide them with meals depending upon their shifts. They quality of food is also equivalent to the quality which is provided to the guests.
3.4 Job Rotation
In Taj, job rotation is followed on a large scale. This is done so that an employee can excel in each and every department. An employee's job is not rotated unless he has proven himself in a particular department. Therefore, when an employee is rotated from one department to another there is an ego boost as he feels that the management has appreciated his work and feel that he is capable of doing something more.
Employees at Taj are very satisfied with the environment they work in. Since Taj needs to maintain high standards of cleanliness therefore the environment is always neat and even the employees are given high class kitchens and equipment to work with which are both, clean and safe.
RECURITMENT AND SELECTION
Taj hotel has prepared a list of jobs that are filled in accordance with international standards. However these lists are not permanent and new jobs are added to it keeping in view the changing needs of the workforce.
A new vacancy in Taj hotel may arise because of the need to replace the retiring staff, dismissed staff, promoted staff or replacing an employee on job rotation.
Then according to the requirement, job specification and job description is prepared by the HR manager. The immediate supervisor has to actually tell about the place to be fulfilled. HR manager then has to consult with GM of the particular unit. After the proposal has been discussed the approval is given.
Taj hotel does not re-hire employees who have left their job. They prefer fresh graduates as employees.
Job posting is maximum of nine months and minimum of three months.
During this period if the hired employees is found to be unsuitable, the next most suitable is called from their waiting list to replace him.
They hire on permanent and monthly basis.
For labour work Taj hotel uses contractors to provide them with the specified number of employees as required. These employees are hired by contractors on daily wages.
The organization does not go for child labour as it is unethical and against the policies of our organization.
They provide 100% diversity which is equal opportunities for both genders.
Applications form candidates are kept in separate files according to the job titles and whenever there is a vacancy available, they are called up by the organization.
General Selection Process:
Selection varies according to the job post. At Taj hotel some jobs (i.e. chefs) they use work sample testing technique, whereas the basic criteria for testing and selection are:
• Appearance and Grooming
• Professional Qualification
• Experience and Knowledge of Job applied for
• Communication skills
• Balance Poise and Maturity
• Potential for growth
• Reasoning and judgement
• Computer Skills
Firstly shortlisting of the CV's is done. Then only the ones who have been selected on the basis of their resumes are called for the interview.
Selection is based on the eligibility of qualification and experience. If the candidate has the qualification and experience according to the job specification, then he is called for the interview.
CROSS CULTURAL ISSUES
5.1 meaning and importance of Diversity of culture
Culture Refers To The Complex Whole Which Includes Knowledge, Belief, Art, Morals, Laws, Customs And Other Capabilities And Habits Acquired By An Individual As A Member Of A Society. Firstly, Culture Creates The Type Of People Who Become Members Of An Organization. Culture Trains People Along Particular Lines, Tending To Put A Personality Stamp On Them. It Is Also Not Necessary That All People Are Alike In A Particular Culture. There Are Sub-Cultures Within A Culture. For, People Have Their Own Idiosyncracies And Are Influenced By Heredity, Cultural Experiences, Sub-Cultural Experiences, Family Experiences And Unique Personal Experiences. When People With Different Cultural Backgrounds Promote, Own And Manage Organizations, They Themselves Tend To Acquire Distinct Cultures. Thus, The Culture Of The Tata Group Of Companies Is Different From That Of The Enterprises Owned And Managed By The Birlas. Secondly, The Attitude Of Workers Towards Work Is The Result Of Their Cultural Background. Our Workers Are Known To Have A Deep-Seated Apathy Towards Work. Work Is Dissociated From Results In The Belief That Results Are Pre-Ordained. Tasks Are Performed Without Any Interest, Dedication Or Pride. Worse, There Is Indiscipline, Nagging Suspicion Of Fellow Workers, Basic Mistrust Of Authority, And Poor Man-Management Relationships. Thirdly, Time Dimension, Which Influences HRM, Has Its Roots In Culture. Time Orientation Refers To People's Orientation – Past, Present Or Future. In Some Societies, People Are Oriented Towards The Past. In Others, They Tend To Be More Focussed On The Present. HRM People In Societies That Focus On The Present, Care More For Employees On Their Rolls. Employees Are Hired And Maintained As Long As They Are Useful To The Organization And Dispensed With Once They Cease To Be So. Japan Is An Example Of A Futuristic Society. When Japanese Firms Hire Employees, They Are Retained For A Long Time, Even For Life. The Firm Will Spend A Great Deal Of Money To Train Them, And There Is A Strong, Mutual Commitment On Both Sides. Societies Oriented Towards The Past Tend To Preserve The Acquired Heritage. Concepts And Actions Of The Past Continue To Guide Current Plans & Strategies. Finally, Work Ethics, Achievement Needs And Effort-Reward Expectations, Which Are Significant Inputs Determining Individual Behaviour, Are The Results Of Culture. The Word Ethics Is Associated With Moral Principles. In The Context Of An Organization, Ethics Implies Hard Work And Commitment To Work. A Strong Work Ethics Ensures Motivated Employees Whereas The Opposite Is True When Work Ethics Is Weak. Achievement Needs, Too, Have A Behavioural Implication. A Person With A High Need To Achieve Tends To Seek A High Degree Of Personal Responsibility, Sets Realistic Goals, Takes Moderate Risks And Uses Personal Performance Feedback In Satisfying His Or Her Need To Achieve.
5.2 potential areas of conflicts under diverse cultures In HRD, Conflict Arises Because Of The Following Dualities: · Personal Goals Vs Organizational Goals · Personal Ethics Vs Organizational Ethics · Rights Vs Duties · Obedience Vs Self-Respect · Discipline Vs Autonomy · Self-Confidence Vs Arrogance · Authority Vs Accountability · Leadership Vs Followership · Delegation Vs Abdication · Participation Vs Anarchy · Feedback Vs Abuse · Grooming Vs Pampering · Change Vs Stability · Short-Term Vs Long-Term These Conflicts Occur Daily In Organizations, HR Departments Are Expected To Develop And Enforce Policies In These Areas. COMMUNICATION
Miscommunication Across Cultural Lines Is Usually The Most Important Cause Of Cross-Cultural Problems In Multinational Companies. Miscommunication Can Have Several Sources, Including: Differences In Body Language Or Gestures. The Same Gesture Can Have Different Meanings In Different Parts Of The World. For Example, Bulgarians Shake Their Heads Up And Down To Mean No. In Addition, The Way People Count On Their Fingers Is Not Universal: The Chinese Count From One To Ten On One Hand, And Eight Is Displayed By Extending The Thumb And The Finger Next To It. The Same Gesture Is Interpreted As Meaning Two In France And As Pointing A Gun In North America.
Different Meanings For The Same Word. Like Gestures, Words Can Have Different Meanings Or Connotations In Different Parts Of The World. The French Word “Char” Means Army Tank In France And Car In Quebec. The Word “Exciting” Has Different Connotations In British English And In North American English. While North American Executives Talk About “Exciting Challenges” Repeatedly, British Executives Use This Word To Describe Only Children's Activities (Children Do Exciting Things In England, Not Executives). Different Assumptions Made In The Same Situation. The Same Event Can Be Interpreted Many Different Ways Depending On Where One Comes From. For Example, Although The Sight Of A Black Cat Is Considered A Lucky Event In Britain, It Is Considered Unlucky In Many Other Countries. Dragons Are Viewed Positively In China, But Negatively In Europe And North America. These Examples Illustrate Dissimilarities Between Cultures That Are Both Large And Simple In The Sense That They Focus On A Single Cultural Aspect That Keeps The Same Meaning Regardless Of Context. As A Result, Such Variations In Communication Will Often Be Identified On The Spot. By Contrast, Subtle Or Complex Differences Are Often Identified Much Later In The Communication Process, When Corrective Action Requires Considerable Effort And Money. Sometimes, This Realization Takes Place So Late That There Is Not Enough Time To Address It, Resulting In A Missed Deadline. MANAGING CROSS CULTURAL ISSUES 1. Clarify:
When In Doubt, Ask; If Not, Ask Anyway. It's Important To Ensure That Your Foreign Colleagues Have Understood Everything You Meant To Say And Nothing Else. Ask Them To Feed You Back What You Have Told Them In Their Own Words. This Will Help You Discover And Address Any Major Misunderstandings. 2 Get Into The Details:
Although It's Often Tempting To Agree On General Principles And Leave Details To Further Discussions For Brevity's Sake, This Can Create Major Problems At Later Stages. Indeed, An Agreement On General Principles May Turn Out To Be Empty, If It Is Not Tested Through Negotiation On The Finer Details. 3 Summarize:
The Time Taken To Summarize The Decisions Made During A Meeting And To Issue Minutes To All Participants Is Often A Good Investment. It Helps To Prevent Future Challenges Of Decisions Reached At Meetings And To Ensure That Action Items Agreed To At Meetings Are Actually Implemented. 4 Simplify:
Use Simple Words That Are Easily Understood And Be Consistent. Using Synonyms Can Confuse Your Non-Canadian Counterparts Unnecessarily, Particularly If They Are Not Native English Speakers. For Similar Reasons, Technical Jargon Should Be Avoided Where Possible And Explained Clearly When It Must Be Used. 5 Cross-Cultural Training
Organizations Can Also Shorten The Learning Curve By Delivering Training To Companies In A Timely And Targeted Fashion. The Necessary Cross-Cultural Information Should Be Shared With All Employees Involved In International Ventures, Rather Than Being Limited To Those Who Have Already Had Experience With Them. Cross-Cultural Training Organizations Are Experts In The Area Of Cross-Cultural Relationships And Can Provide Training On Many Topics. 6 Other Techniques · Building A Shared Culture · Consensus Agreement On Important Matters · Building An Understanding Climate · Identify / Use The Rich Points Of Each Culture · Concentrate On The Things You Know · Understanding Various Religious Practices · Understanding Various Food Practices · Understanding Various Dress Practices · Showing Patience Always · Showing Good Manners Always · Showing A Sense Of Humor Always · Showing Tolerance Always · Showing Respect Always
CONCLUSION AND RECOMMENDATION
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