Operation Managament

In: Business and Management

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PARIS GRADUATE SCHOOL OF MANAGEMENT

MBA Case Study – Assignment 1

Operations objectives at the Penang Mutiara

There are many luxurious hotels in the South-East Asia region but few can compare with the Penang Mutiara, a 440 room top-of-the-market hotel which nestles in the lush greenery of Malaysia’s Indian Ocean Coast. Owned by Pernas-OUE of Malaysia and managed by Singapore Mandarin International Hotels, the hotel’s General Manager is Wernie Eisen, a Swiss hotelier who has managed luxury hotels all over the world. He is under not illusion about the importance of running an effective operation.

‘Managing a hotel of this size is an immensely complicated task,’ he says. ‘Our customers have every right to be demanding. They expect first-class service and that’s what we have to give them. If we have any problems with managing this operation, the customer sees them immediately and that’s the biggest incentive for us to take operations performance seriously.’

‘Our quality of service just has to be impeccable. First of all this means dealing with the basics. For example, our staff must be courteous at all times and yet also friendly towards our guest. And of course they must have the knowledge to be able to answer guests’ questions. The building and equipment, in fact all the hardware of the operation, must support the luxury atmosphere which we have created in the hotel. Stylish design and top-class materials not only create the right impression but, if we choose them carefully, they are also durable so the hotel still looks good over the years. Most of all though, quality is about anticipating our guests’ needs, thinking ahead so you can identify what will delight or irritate a guest.’

The hotel tries to anticipate guests’ needs in a number of ways. For example, if guests have been to the hotel before, staff avoid their having to repeat the…...

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