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The Hotel Malaysia's competitive strategy js "To use superior guest service to differentiate the Hotel Malaysia properties, and to thereby increase the length of stay and return rate of guests, and thus boost revenues and profitability. " HR manager Lisa Wong must now formulate functional policies and activities support this competitive strategy by eliciting the required employee behaviours and competencies.

Lisa Wong's parents were both union members, and she had no strong philosophical objections to unions. However, as the head of human resources for the Hotel Malaysia, she did feel very strongly that her employer should do everything legally possible to remain union-free. She knew that this is what the hotel chain's owners and top executives wanted. Furthermore, the evidence seemed to support their position. At least one study that she'd seen concluded that firms with 30% or more of their eligible workers in unions were in the bottom 10% in terms of performance, while those with 8% to 9% of eligible workers in unions scored in the top 10%. The problem was that the Hotel Malaysia really had no specific policies and procedures in place to help its managers and supervisors deal with union activities. With all the laws regarding what employers and their managers could and could not do to respond to a union's efforts, Lisa knew her company was "a problem waiting to happen." She turned her attention to deciding what steps she and her team should take with regard to labour relations and coffective bargaining in the Malaysia.

Lisa and the CFO knew that unionisation was a reality for the Hotel Malaysia. About 5% of the hotel chain's employees were already unionised, and unions in this area were quite active. For example, as they were surfing the Internet to better gauge the situation, Lisa and the CFO came across an interesting Web site from the Malaysian Association of Hotels (MAH) and Asean Hotel and Restaurant Association (AHRA). It describes their success in negotiating contracts and their accomplishments at several hotels including ones managed by the Westin and Sheraton chains. The CFO and Lisa agreed that it was important that she and her team develop and institute a new set of policies and practices that would enable the Hotel Malaysia to reduce the likelihood of further unionisation and deal more effectively with their current unions. They set about that task with the aid of a labour-management lawyer.

(Adapted source from Dessler, G. (2011) "Human Resource Management" 121h ed. Pp. 602 - 603, Pearson Prentice Hall, New Jersey).

How did Hotel Malaysia's strategy influence the new union-related HR practices (such as grievance procedures)?

1 Answer

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Final answer:

The competitive strategy of Hotel Malaysia is to use superior guest service to differentiate their properties and increase guest length of stay and return rate. This strategy influenced their new union-related HR practices, such as grievance procedures, to reduce unionization and effectively deal with existing unions.

Step-by-step explanation:

The competitive strategy of Hotel Malaysia is to use superior guest service to differentiate their properties and increase guest length of stay and return rate, ultimately boosting revenues and profitability.

This strategy influenced their new union-related HR practices, such as grievance procedures, by aiming to create a work environment that reduces the likelihood of further unionization and effectively deals with existing unions.

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