Participative Decision Making in the Hospitality Industry

Participative Decision Making

What Situations do you see in the Hospitality Industry where participative decision making Would Be Useful? 

Participative decision making means involving different stakeholders in the process and not just making it a few personal tasks to decide for all. These stakeholders can be employees, customers, management, shareholders, etc. It can be all of them or a few of them. Often seen as a democratized decision, it is most of the time good. Also, avoid one person being accountable for the decision.

A few situations can be the launch of a new product or service from the hospitality industry. For example, the plan of an economic airline to start meal service and other frills at a premium cost. Here it would be useful as understanding customers are important, plus employees like cabin crew who deals with them would also be knowing it better.

Another situation can be cutting costs. A lot of times, in dire situation companies, have to cut costs. At those times a survey or feedback can be taken from the employees as to what can be the possible way. Can it be a layoff, or reduced salary, or cutting some of the benefits? It would allow all people to take responsibility for the decision, collectively they are taking

In some situations, it can be impossible. Especially the ones that involve confidential information like a plan to acquire a neighboring hotel or decision which may put employees at disadvantage like salary cut, or something that may demotivate them, like the decision of selling a casino due to revenue problem. Here it can be different views which may not be important.

In contingency situations, participative decision making seems to be the only way. One instance can be a decision to have a new Business consultancy club to discuss case studies as this would have required investment from all, not just time but money as well. Thus, at these times all team members' participation is essential to plan it better, get proper resources and commitment early on, etc.

This decision making was there from starting that is whether to initiate the club or not, to other plans like what case studies need to be there, or how to promote the club to bring in more participants or members. It also involved the process on how to get the required permission from the college.

Any project in the initial stage requires a lot of team participation, as nobody is an expert and does not have a hierarchy. Thus, it builds upon discussion, arguments but the decision of often collective.

The outcome was good, the club got started. With the decisions made Harvard Case Studies were selected for the initial few sessions. Marketing was focused on the online medium. Thus, it was successful because of collective decision making

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