6. Three levels of Culture
Social
Norms
Shared
Values
Common
Beliefs
Collective
Goals
Common
Symbols
Communal
Ideas
7. Level One- Artifacts
Social
Norms
Shared Artifacts are those objects that exist as a
Values physical representation of cultural.
Common
Beliefs The are the easiest to understand
Collective because they can be felt, heard and seen.
Goals
Common
Symbols
Communal
Ideas
8. Level Two- Espoused Values
Social
Norms
Shared Espoused values are the most commonly
Values recognized form of culture.
Common
Beliefs Values like loyalty, accountability, and
Collective appreciation are prevalent in many
Goals organizations.
Common
Symbols
Communal
Ideas
12. Revenue Management
Inconsistencies
Social
Norms
Shared
Values
Common
Beliefs
Collective
Goals
Common
Symbols
Communal
Ideas
13. The formation of culture
Social
Norms
Shared
Values
Common
Beliefs
Collective
Goals
Common
Symbols
Communal
Ideas
14. Level Three- Tacit
Assumptions
Social
Norms
Shared
Values
Common
Beliefs
Collective
Goals
Common
Symbols
Communal
Ideas
15.
16. Leadership
Autocratic
Leadership
Leadership directly influences the creation
Democratic and sustainment of Corporate Culture.
Leadership
What is perceived as successful
Situational
leadership conducted by a member of
Leadership
senior management, or the organizations
founder, will become the definition of
Servant leadership in the organization.
Leadership
Charismatic
Leadership
17.
18.
19.
20. Leadership and the
Conceptual Model
Social
Norms
Shared
Values
Common
Beliefs
Collective
Goals
Common
Symbols
Communal
Ideas
Group Exercise on perception: take 10 minutes to conduct this exercise and review the results which will then be referenced several times throughout the workshop
Several models of culture exist and there are abundant examples of more detailed theories; however, Schein’s conceptual model is well adept at one aspect of change which interests everyone in this room. . . How to change it.
Take caution when first interpreting artifacts. One can easily see these physical representations of culture: how people interact, the norms adopted by members and the manner in which people present themselves. However, at this level it is not possible to determine why these artifacts exist. Lets look at a classic example, the lunch break. One can enter an office building from L.A. to NY around noon and observe the same practice regardless of the industry or location: employees taking lunch. However, the reasons behind this break, aside from acquisition of sustenance, will all be completely different. Some will use this time to get away from the office, while others will use this time to actually get closer to those they work with by exchanging stories and personal commentary. One organization might encourage eating through lunch while another division in the same office could be intent upon lengthy breaks from the office. Cite personal examples.
Employee handbooks, pamphlets, office mottos and collateral frequently espouse values ranging from teamwork to accountability. Espoused values are also some of the first, and sometimes only, targets of change. New leadership frequently modifies espoused values, mainly by targeting the artifacts which embody them, stopping well short of the actual origins of cultural beliefs.
Inconsistency between artifacts and espoused values are prevalent in many organizations. This is because espoused values in many cases are made up of what leaders would like the organization to embody, not what is representative of the actual culture.
We see inconsistencies in RM everyday because most organizations have yet to achieve implementation of a revenue management culture past the levels of artifacts and espoused values. During the recession hotel owners and investors, influenced by panic, chose to push cash flow in the form of higher revenue from low rates and higher occupancy. This was despite an abundance of readily available evidence that such actions erode profitability. **Most organizations espouse the values of teamwork and communication, yet it is commonplace in many hotels for sales associates to either leave out information they feel would adversely impact potential groups. Why, they do this because personal achievement in most western cultures trumps teamwork. In each of these instances a greater force is at play, the third element of culture.
This explanation of the origin of culture enables leaders to more easily understand what it takes to modify, manage and manipulate culture in order to achieve a sustained competitive advantage.
This is the level that organizational leaders rarely impact. Tacit assumptions are difficult to identify and even more challenging to alter.
There are numerous definitions of Leadership, but the most concise one revolves around a process: Leadership is a process by which a leader and one or more members of a group interact in order to accomplish a specific objective. Talk about what this processes includes and it will become evident that corporate culture and leadership are one in the same.
Enron and the slew of executives condemned for a plethora of unethical corporate conduct, including fraud, are one of the most often cited cases of how leadership directly influences corporate culture.
Steve Jobs and the Apple organization show how leadership can positively influence corporate culture.
Regardless of the controversy revolved around his departure, Robert Nardelli and Home Depot make an excellent case study for the importance of culture in executing organizational change.
The situational model of leadership, one of many leadership theories, has multiple applications in the revenue management universe. RM professionals should use it to guide interaction with other departments and improve upon perception of the discipline by decreasing directing styles and increasing supporting and coaching behaviors.
These are but two important aspects of human nature to consider when creating a culture of revenue management. In many instances, as we will see shortly, these elements are in direct conflict with RM practices.
These are the top five aspects of RM which pose the greatest challenge to cultural integration.
At its core, RM is about analyzing past performance and future strategies to determine where adjustments can be made to optimize revenue streams. In short, we are critical of our past decisions in an effort to improve upon the results, but be careful. This critical nature is in direct conflict with our need to feel important. If a person who encounters RM constantly perceives the discipline as being overly critical, then they are extremely likely to either consciously or subconsciously feel that RM hinders their personal success.
The troll character is at the heart of departmental conflict, insinuation of lack of importance, dissociation of RM from personal success and a overabundance of other undesirable elements. Either coach trolls through a transformative process, or remove them from the organization, even if their RM skills are superior. Doing so will send the message that this behavior is in consistent with success in your organization and with the characteristics of someone who is successful in RM. Failure to do so will render all efforts to the contrary useless.
We should refrain from making RM seem like an elusive discipline whose knowledge is only bestowed upon a chosen few. In fact, we should make an effort to involve associates in the process of analysis whenever the situation will allow. This is when the situational leadership model becomes important. When a situation is not time sensitive and coaching can be implemented, attempt to involve associates in the process, even if it is only a small portion. Targetsdo not need to understand the entire analysis procedure, but a nugget or two of useful information will go a long way.
When leaders use these terms, they usually intend for people to relax and understand the levity of the situation. However, the message that recipients receive is “While brain surgery/rocket science is important, this is not.” Even worse, when speaking to people who may not understand revenue management, the message received is “While brain surgery/rocket science is hard to understand, this is quite simple so why aren't you comprehending?”
While revenue managers usually have a multitude of objective information available to them, the presentation of these facts often leaves a bit to be desired. By avoiding the wizard and troll approaches to associate interaction, we take the first step. The next requirement is one where we employ the situational leadership model to the delivery of information: explain in a benevolent tone whenever possible, but act quickly and explain concisely when time is important to the receiving party.
There are numerous definitions of Leadership, but the most concise one revolves around a process: Leadership is a process by which a leader and one or more members of a group interact in order to accomplish a specific objective. Talk about what this processes includes and it will become evident that corporate culture and leadership are one in the same.
This simple sounding step is often one of the most overlooked. Cultural change is one of the most challenging change initiatives possible, a detailed plan of action must accompany the desire to integrate RM concepts with organizational values. Then, once the plan is created, stick to it!!
Instead of acting as a gatekeeper to hotel sales functions, verifying quoted rates and availability, revenue mangers should make a concentrated effort to also work with sales staff on ways to be proactive. Meet with them regularly and use analytical RM skills to identify market intelligence, otherwise unattainable by sales, to create an action plan and increase business. The more sales sees revenue management as a component of our business strategy which increases their ability to succeed, the less friction will exist between the two disciplines. Most importantly, when sales staff begin to understand how RM can help them personally, the more likely they will be to inject RM principles into their culture.
