1. The Development of Quality Managers in the
Hospitality Industry:
Do Employee Development Programs Make Cents?
Wanda M. Costen, Misty M. Johanson &
Donetta K. Poisson (2010)
Journal oh Human Resources in
Hospitality & Tourism, 9:2, 131-141
Wiwien Meinur Edwinsari
Batch 6
NIM: 1263620059
Human Resources
Management in
Hospitality & Tourism
Prof. Syamsir Abduh
GRADE / SCORE :
87

2. Content
Introduction
Understanding the Facets of Employee Development
Recognizing the Value in Development and the Perceived
Investment
Employee Development Strategies that Work
Conclusion

3. INTRODUCTION
This reports is designed:
✪ to provide industry with information about the many facets of
employee development relevant today
✪ to reveal the value and perceived investment placed on
employee development programs and activities
✪ to discuss the successful strategies hospitality organizations
use to develop employees into quality managers

4. INTRODUCTION
One of the most critical assets of any hospitality operation is
Employee, they determine the quality of customer service delivered,
which in turn has an impact on the organization’s profitability
(Baydoun, Rose & Emperado, 2001)
The quality of the front line managers impacts the success of
organization’s service delivery, customer and employee satisfaction
and ultimately, the overall profitability of the entire organization.
Estimated turnover rates statistic between 2005 and 2007:
- In the foodservice industry at 114% (Papaleo, 2007)
- Over 65% in the lodging industry (Meyers, 2005)
Management turnover in the foodservice industry was positively
related to hourly employee turnover, indicating that as managers
leave a company, so do frontline employee (Kacmar, Andrews, Van
Rooy, Steilberg and Cerrone, 2006)

5. INTRODUCTION

6. UNDERSTANDING THE FACETS OF
EMPLOYEE DEVELOPMENT
(Tansky & Cohen, 2001)
Employee development is the long term personal and
professional growth of individuals in an organization
(Maurer, Pierce & Shore, 2002):
The organization is responsible for providing opportunities for
development
The supervisor is responsible for assessing the employee’s
development needs and progress
The employee is responsible for fully committing to
participate in the development activities and achieving the
desired outcomes

7. UNDERSTANDING THE FACETS OF
EMPLOYEE DEVELOPMENT
Tansky &
Cohen, 2001
Employee
development
programs
are intended to provide employees with
new skills, knowledge or abilities in order
to prepare them for positions with
increased duties, responsibilities, power
and authority
Maurer et al,
2002
Employee
development of
new skills
is essential in order for learning tasks to be
classified as employee development which
can also include applying old knowledge
and skills in new ways
Maurer et al,
2002; Tanksy
& Cohen, 2001
Employee
development
activities
are focused on new learning opportunities
and result in true employee growth by
helping the employee develop the
confidence and ability to engage in more
complex and challenging job tasks
Hayes &
Ninemeier,
2009
employee
development
process
involves identifying developmental goals,
determining how to best accomplish those
goals and evaluating the results

8. UNDERSTANDING THE FACETS OF
EMPLOYEE DEVELOPMENT
In many companies, employee development programs
are part of the career management process, where key
executives engage in employee succession planning for
future openings in key management positions (Noe,
1998)
By tracking employee developmental activities,
managers are better able to access an internal
candidate’s readiness for a position (Tansky & Cohen,
2001; Birdie et al, 1997)

9. RECOGNIZING THE VALUE IN DEVELOPMENT
AND THE PERCEIVED INVESTMENT
 Employee development is one of the most noteworthy practices of
human resource development (Lee and Bruvold, 2003)
 Employee development can help organizations reduce turnover and
related expenses through the increased morale that typically occurs
when employees are given opportunity to growth (Lee & Bruvold,
2003)
 Labor and other costs associated with absenteeism and turnover are
sometimes difficult to quantify, they are real and significant (Hayes
& Ninemeier, 2009)
 The mentoring, counseling and encouragement provided by upper
level management during development can significantly influence an
employee’s plans, aspirations and the energy levels required for
advancement within the organization (Tansky & Cohen, 2001)

10. RECOGNIZING THE VALUE IN DEVELOPMENT
AND THE PERCEIVED INVESTMENT
 From the employees’ perspective, this investment indicates how
much organization supports its employees (Wayne, Shore & Liden,
1997)
 Research suggests that when employees perceives that their
employer is committed to and supportive of them, they have a
greater degree of trust and commitment towards the organization
(Whitener, 2001)
 Perceived investment in employee development (PIED) is cultivated
through the employees’ assessment of the company’s commitment
to help them learn new skills and competencies that will allow the
employees to move to new positions, whether inside or outside the
company (Lee & Bruvold, 2003)

11. RECOGNIZING THE VALUE IN DEVELOPMENT
AND THE PERCEIVED INVESTMENT
 The improved employee behaviors and attitudes brought on by PIED
have been found to positively impact organizational commitment
and contribute to job satisfaction and job longevity (Lee & Bruvold,
2003)
 Satisfied employees render a higher quality of service to the guest.
Additionally the organization’s level of commitment to employee
satisfaction also reflects the firm’s commitment to continuous
improvement and development, which could increase organization
profitability (Kim, Leong and Lee, 2005)

12. EMPLOYEE DEVELOPMENT STRATEGIES
THAT WORK
By implementing new development programs,
organizations are benefiting from engaged and
emotionally-connected work teams comprised of
dedicated workers, who are advocates for their
company (Barsky & McDougal, 2007)

13. EMPLOYEE DEVELOPMENT STRATEGIES
THAT WORK
Example 1:
Bob Chinn’s Crab House in Wheeling, Ill implemented a new development
program that influenced its turnover rate.
Its cultural diversity creating challenge in delivering the high level of
customer service.
Chinn’s implemented an in-house English as a second language program for
the restaurant’s employees who half of them were immigrant from Mexico
and Central America. This program was funded by Chicago BizLink, the
member of the nationwide Welfare to Work Partnership.
Chinn’s Human Resources manager commented that the program instilled a
lot of pride in the employees while simultaneously increasing morale and
teamwork which also caused the restaurant’s employees turnover rate
dropped to 38%.

14. EMPLOYEE DEVELOPMENT STRATEGIES
THAT WORK
Example 2:
Brinker International subsidiary, the Corner Bakery Café, recently were
rewarded for their strong focus on employee development and promotion
from within strategy.
The organization allows its employees to build their own careers within the
company, and encourages employees to take advantage of targeted growth
plans, which guide workers up the corporate ladder (Barrier, 2005)
Example 2:
QHotel is a lodging organization that has demonstrated how much they value
their employees through a new HR program aimed at improving employee
development and satisfaction level (Brewer & Platt, 2005)
There is evidence to suggest that employees value the development
opportunities provided by their employers.

15. CONCLUSION
In order to be successful in today’s challenging economic
environment, hospitality organizations must demonstrate a
commitment to helping their employees learn and develop new
skills. This is essential if organizations hope to increase retention
and create career growth by promoting from within (Lee & Bruvold,
2003)
A firm’s investment in employee development affects an employee’s
commitment to the organization, which may benefit both the
company and the employee (Ichnowski, Shaw & Prennushi, 1997)
Therefore, the development programs that the organization
invested in the employees is really worth a lot for both parties.
With no doubt, the employee will be loyal to the organization
because they get the benefit from the development program
that the organization invested on them.