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Management by objectives with a strategic focus for the Cuban hotel industry

Anonim

Improving leadership and management in the tourism sector is a first-rate task. How perfect the system of management in hotel companies in the territory with a contemporary approach, adapted to the conditions of the current Cuban economy is a problem to be solved by its workers and cadres, and in this sense the present work of ¿ How to design a procedure for the implementation of Management by Objective with a strategic and value-oriented approach in the Cuban hotel company? Therefore, it is proposed to design a procedure with possibilities of being generalized that allows the implementation of Management by Objectives, Strategic Planning and Management by Values ​​in the Cuban hotel company.

Introduction

With the application of the DpO, the need to insert the Cuban hotel company in the environment where it is developed, open up to the surrounding world by drawing a coherent strategy that allows it to survive and grow taking into account internal and external forces, was emphasized. The Ministry of Tourism works in the search for efficiency and effectiveness and has as one of its programs The Improvement of Management through the integration of Strategic Planning and Management by Objectives aimed at training and strengthening Values. However, this objective has not been without difficulties and setbacks, the competitiveness of the Cuban tourist company is going through a process of change, financial limitations, the maintenance of old markets and the opening towards markets not yet explored,the redesign of its processes and services and the appropriate use of new methods and styles of management that signify a qualitative leap in managerial thought, limit it and force it to direct its goals towards more contemporary forms adapted to more specific contexts for what it requires of flexible procedures and tempered to their particularities. Analyze how to improve Management through the application ofAnalyze how to improve Management through the application ofAnalyze how to improve Management through the application ofManagement by Objectives with a strategic focus, strengthening the shared values ​​of the organization and increasing the leadership of the cadres and the participation of the workers in the Management is therefore an objective of the MINTUR in Cuba and very specifically in the tourist region of Ciego de Ávila, located in the north center of Cuba and with attributes that distinguish it such as an extensive strip of beach, native flora and fauna, coral reefs of great beauty and a hotel infrastructure made up of 12 category 4 and 5 star hotels operated by chains of international prestige such as Meliá, Iberostar and NH, among others.

Hospitality in Destination does not escape this problem, its internal dynamics generated by men, resources and processes require a constant balance. Guaranteeing its improvement will constitute a step forward in managerial development.

From the integration of Management by Objective, Strategic Management and Management by Values.

Development

Management by objective and its implementation process in Cuba.

In less than a decade, the international scene changed and Cuba faced an insecure and turbulent environment, where styles, processes, efficiency and economic effectiveness are essential to survive. In 1995, the decision was made to start with the training of the main leaders to implement the DpO in all the Organisms of the Central State Administration and in the Administrative Councils of the provinces, with the determination of the objectives for the years 1996 and 1997, evaluated and advised by a group of specialists from the country's universities. The DpO in all the organizations of these same instances is currently working from the analysis and adaptation of these elements taking into account the strategic analysis until 2015. Among the particularities in its implementation, the following stand out:its degree of generalization, it is a negotiating process at all levels promoting the participation of cadres and workers, the results are linked to evaluation and it is based on the development and strengthening of socialist values ​​and it should be noted that it is unique in the world, which has among its particularities its generalization at the country level and also constitutes a process oriented and directed by the state, (Díaz, 2006). The conditions created, both cultural and political, have made it possible to achieve a higher development of tools for the improvement of Business Management.the results are linked to evaluation and are based on the development and strengthening of socialist values ​​and it should be noted that it is unique in the world, which has among its particularities its generalization at the country level and also constitutes a process oriented and directed by the state, (Díaz, 2006). The conditions created, both cultural and political, have made it possible to achieve a higher development of tools for the improvement of Business Management.the results are linked to evaluation and are based on the development and strengthening of socialist values ​​and it should be noted that it is unique in the world, which has among its particularities its generalization at the country level and also constitutes a process oriented and directed by the state, (Díaz, 2006). The conditions created, both cultural and political, have made it possible to achieve a higher development of tools for the improvement of Business Management.They have made it possible to achieve a higher development of tools for the improvement of Business Management.They have made it possible to achieve a higher development of tools for the improvement of Business Management.

Implementation procedure

The Improvement of Management in the tourism sector is a first-rate task that can be achieved with a well-defined strategy from the application of Management by Objectives, the strengthening of the shared values ​​of the organizations, the leadership of the cadres and worker participation in management. With this objective, MINTUR approves an improvement program to implement it and achieve the unification, without putting on a straitjacket, of the different methodologies that have been used in the organization, using a common language between the different management levels in which they are proposed., among others the following elements:

The application of The DpO in the different organizational units of the ministry that allows it, not only to have objectives, but also changes in the different elements that intervene in the management, in addition to considering Results-oriented Management and human behavior taking into account the commitment and motivation as driving forces.

Taking all this into account and as part of the intention of the territory, a procedure is proposed (Fig. 1), which can constitute a referential methodological framework to adapt state indications to the characteristics of hotel entities, achieving the coherence and comprehensiveness that they need for their improvement, emphasizing three stages defined as: Premises, Process and Implementation.

Process

1. Premises

- Diagnosis.

• Organization characterization

- Training.

• Determination of learning needs

• Preparation of Training Program

2. Process

- Definition of Values.

• Determination and Definition of Values

- Elaboration of Strategic Planning (Identity, Vision, Mission, Strategic Analysis, Scenarios, FCE, ARC, Barriers)

- Determination of Objectives.

• Elaboration of Strategic Objectives.

3. Implementation

- Elaboration of Action Strategy.

- Strategy implementation.

- Adjustment and Control.

Fig. 1. Procedure for the implementation of the DpO, DE and DpV. Source: the author.

1. Premises

Diagnosis

The organizational diagnosis allows companies to evaluate their management, seek efficiency in their resources and measure the result of the improvements implemented as part of business development (González, 2002 and the efficiency of companies comes, in large part, from the systematic analysis of the organization where diagnosis through observation, evaluation and constant measurement of business management provide the necessary information and enable adjustment and control (Díaz, 2001). Therefore, change management requires relying on a practice of analysis, diagnosis and permanent improvement, continually increasing the performance standard, trying to identify possibilities for improvement (Codina, 2002). The diagnosis must be used to act in advance on the processes, before deviations occur,indicating the possible obstacles that will oppose the set strategic direction, creating the conditions so that the results coincide with the objectives, in accordance with the characteristic of modern management control, referring to the fact that it must be more oriented towards the future as prospective management control, (Ronda, 2004).

The qualitative and quantitative evaluations related to aspects such as Motivation, Communication, Leadership and Teamwork, among others, contribute to the fulfillment of the departmental and general objectives of the company, helping to achieve the necessary synergy for the effectiveness of the process.

Organization characterization

The characterization of the organization is a key element in the conception and success of the effectiveness of this process. In this stage its reason for being is reflected, the main processes, the products and services offered, the state of demand, its main suppliers, the resources available, the current structure, the formation of HR and the identification of elements such as Motivation, Leadership, Communication and Teamwork both within the managerial apex and the workers.

Characterization of the elements

Corporate Purpose: Activity legally registered and which constitutes the raison d'être of the organization.

Main processes: Those that constitute key elements for the provision of the service. In the hotel industry the Lodging, the Restoration and the Recreation.

Products and Services: The products and services offered at the facility that meet customer expectations and whose processes have been identified.

Demand: Customers, market segments. Those who receive the benefit of the products and services we offer at the facility.

Suppliers: People, organizations, entities that provide the organization with the raw materials, technology and the market that it needs for its performance.

Resources: The financial, human and technological resources that the organization has.

Structure: The organization chart, the areas and department that compose it and its command steps.

Human Resources: The formation and development of HR, career plans, performance evaluation and their ability to identify, evaluate and develop elements such as Leadership, Motivation, Communication and Teamwork.

Leadership

It is recommended to evaluate this phenomenon from two angles, that of the manager, which allows him to recognize his own knowledge and attitudes (Drucker, 1999) and that of the worker that allows him to identify leaders and their performance within the organization (Díaz, 2006). When a process is implemented that transforms the life of the organization, leaders are needed to manage the necessary change that guarantees the success of the project (Codina, 1999), or below, some of the characteristics that these leaders must have:

Have a long-term strategic vision.

Develop the necessary strategies to achieve it.

Align the team with the strategy.

Being able to balance the strategic aspects with the day to day of the organization.

But, once the leader has a clear idea about what he wants to do (VISION) and how to achieve it (STRATEGIES), he must share them with the rest of the organization or his team of collaborators, inspire enthusiasm and encourage commitment to achieve the objectives set. And this is where many of the leaders fail. (Díaz, 2001)

Motivation

Motivating are all those internal conditions described as desires, desires, impulses (Donnelly, 1978) and it is, among other things, promoting collaboration, satisfaction and the possibility of choice among our collaborators (Díaz, 2006), so it is necessary that The members of the organization make change important, that they recognize their leading role in it and that they identify both personal and organizational advantages in this process (Chiavenato, 1998). Identifying the actual state of this item is also an important step.

Communication

Transmission process of a common meaning that requires a sender, receiver, message and a common objective (Stoner, 1998), (Donnelly, 1977), so if we want to achieve effectiveness in the process, we are obliged to master communication, its methods and techniques. But this is not enough, it also has to develop the behaviors and habits that work with people requires, and guarantee a performance based on respect and consideration for others (Díaz, 2006, Codina, 2002).

Three elements are fundamental in communication; the perception, the interpretation that people have of the phenomena that surround them; personality, both hereditary factors and those given by the intelligence, education, experiences and motivations of each and that of knowing how to listen, which gives us the possibility of feedback, alternatively offering the role of sender and receiver (Codina, 1999). Characterizing this phenomenon, its parts and the support that the organization has, both human and technological, to face it is essential.

Teamwork

High levels of competitiveness require new ways of committing, seeing the facts, deciding and directing, thinking about a more effective way of managing human relations in organizations (Díaz, 2006). Many companies have tried to achieve changes in their processes, concentrating only on the technical aspects and leaving aside the cultural and psychological ones (), but this is not only in new software, nor in new machines, nor in new process designs, but also through participatory teamwork and fully committed to the strategic objectives ().The work team should not be created as a panacea for all the company's problems, but rather as a specialized and rich source of experience that will improve performance through the identification of problems that generally could not be discovered without the interaction of the heads of each area or department. (Díaz, 2006).

To carry out the characterization of the referred aspects, it is recommended to use instruments and techniques that allow a better understanding of the aspects to be evaluated and design their future projection in each aspect. The instruments will be applied based on the elements that we want to characterize. It is convenient to design and apply the instruments with clearly defined what, who, how, when and what for.

Training

Internal Advisory Team (EAI)

Any process that involves the organization in general and its members in particular must have the organization as its main protagonist, requires the strong support of a previously trained and prepared staff. The do-it-yourself approach is not advisable, as this requires coordination and integration of efforts. (Díaz, 2001). The creation of an Internal Advisory team is vital for the performance of this task, the selection of its members must be made taking into account their location in the organization; some of its members with direct access to senior management and also achieving greater heterogeneity, their attitude towards work; their personal characteristics must be recognized as outstanding within the area in which they work; communicative, enthusiastic, responsible and enterprising.The EAI will be the coordinating element of this process.

DNC

Taking actions in organizations that presuppose both conceptual and attitude changes implies constant learning, not only from management but also from workers. It is very difficult to project an organizational development without the preparation of its members.Just as the technique of production or service processes is mastered, the market is identified and competition is monitored, the elements that produce the internal energy of the organization must be mastered; identifying, projecting and executing them is essential for the implementation of the DpO, the Strategy and the values ​​(Díaz, 2001). A good evaluation of the organizational diagnosis leads us to the determination of training objectives in this regard. For the efficient projection of the training we propose to take into account the elements collected in the Diagnosis (current situation) and determine the learning needs in correspondence to the role that each one plays in the process.

EAI: Preparation of contents on Management by Values, Strategic Planning and Management by Objectives, group techniques, elaboration of instruments, Evaluation of instruments.

Executives: Preparation in contents of Management by Values, Strategic Planning and Management by Objectives. Preparation in the elements that enhance managerial skills (Leadership, Motivation, Communication and Teamwork).

Workers: Interactive workshops on Motivation, communication and teamwork. DpV and DpO Conference. Preparation of Program:

It is important to bear in mind that just as we have defined the participation of all the members of the organization in the process, we must define their preparation, identify the topics necessary for each role and apply the proposed techniques accordingly.

We suggest, due to its importance, some actions that would facilitate said process

1. Analysis of the main elements of the organizational strategy.

Interactive workshop on strategic planning and APO at MINTUR

Conference on DpO in the tourism system: Orientations of the Ministry at the central level.

DpV Conference by areas and department.

Conferences on Motivation, Leadership, Teamwork and Communication.

Foldable with information on elements of the DpO, DpV and Strategic Planning.

2. Introduction and development of skills in the use of techniques, instruments and means for the successful performance of the task (Surveys, Brainstorming, SWOT matrix analysis), ETC.

2. Process

The Process consists of three stages: it begins with the values, their determination and definition, it continues with the strategy and it culminates with the elaboration of the objectives. It is necessary to highlight that although we can design the process separately to somehow illustrate the actions with coherence, these, in practice, are not delimited as clearly, their parts are intertwined, overlap, precede and happen according to the development of the process itself and of the organization (Díaz, 2001). However, we must start from something very important: the identification of the values ​​and their definition in the organization at this stage of the process will allow the achievement of the proposed objectives.

2.1 Definition of values

The DvV is nothing new, it is not even an independently consolidated theory, however its effectiveness is measured by the performance of the organizational processes where the man, whose values, behaviors and beliefs decide the success of the organization. (Díaz, 2006).

For the determination and definition of values ​​in the organization we propose to use the strategy proposed by Professor Carlos Díaz Llorca of the UH.

Groups will be formed where managers and workers are represented, each of them, using the Brainstorming technique, will list those values ​​that are evident in the organization. Subsequently, the lists prepared by the different groups will be joined and the total values ​​collected by all the sessions carried out will be listed. A listing reduction will be carried out. In charge of the EAI.

In a plenary session, a team made up of managers, specialists and prestigious workers in the organization (no less than 7 and in odd numbers) will meet, (they will evaluate the value according to importance for the organization using the scale from 1 to 10). The proposed results will be analyzed. Those shared values ​​necessary to achieve success in the organization are obtained.

2.2 Elaboration of the strategy

The elaboration of the strategy is one of the main activities of the organization since it allows it to carry out an internal analysis that strengthens and strengthens it, as well as an external analysis that places it in a position to know the environment in which it develops. It is considered that the way to develop the strategy in a hotel facility should be simple and practical, allowing it to project itself within the limits in which it develops, to grow both externally and internally. The indications of the MINTUR will be taken into account and the most effective group techniques in the organization will be used.

Proposal for the elaboration of the Strategy.

• Identity

• Vision

• Mission

• Strategic Analysis

• Scenarios

• FCE

• Barriers

Identity

The identity includes the main events in history and the trajectory of the most relevant aspects of the organization, although its wording must be literal, it is necessary to capture the information of the management team through group activities. To do this, a questionnaire of 12 key questions proposed by Professor Díaz Llorca of the UH is proposed.

Who are our clients?

Where are our clients?

What do we offer our clients?

What is valuable for our clients? What wishes do they satisfy?

What consumer wishes are we still not meeting today?

What does our organization offer its clients differently than its competitors?

What is genuine in our organization?

Why is our organization necessary?

What advantage does the way we do our work offer us?

What do we offer our workers?

What are our shared values?

What should our organization be?

What have been the main historical events of the organization?

For the development of this activity, the creation of subgroups is proposed, which will answer part of the questions and which will subsequently be recycled until the final answers are improved and mastery of all those made by the different subgroups.

View

The Vision is an important element in the elaboration of the strategy, it is interesting, in this case to recognize that the main differences regarding this element are not in its conception itself, but in its location within the process (Ronda, 2004). Revisions made to different models demonstrate this statement and for its elaboration the proposal of the Portuondo Vélez of the ISPJAE can constitute a very useful guide.

"What is unique, what distinguishes our organization from others? What values ​​are true priorities in the next age?

What can I do that I commit myself conscientiously and heart to that vision? What does the country, organization, company, territory, etc. (at its level) really need, that our organization, company, territory, etc., can contribute? What do I want our organization, factory, workshop to achieve?, etc. So that I am committed, involved, aligned and proud of my association with her or him? ”

To define the vision, it is recommended to perform the brainstorming technique, through which the expression of the vision will be defined, validating itself through techniques to achieve consensus.

Mission

One of the key categories of an organization, which is part of the final values ​​classification, is the mission as it is the goal that mobilizes the energies and capabilities of an organization "and its objectives"… anticipating the changes that will have a profound influence on the organization and provide workers, customers and others with an identity and an understanding of growth directions. ” (Díaz, 2001). For its definition, the questionnaire proposed by Professor Díaz Llorca of the UH is proposed.

About us?

What gives us prestige or makes us feel proud?

What is the most genuine, singular, or authentic that identifies us?

What do we do or what do we offer our customers in terms of products?

Where are we physically?

What do we exist for or what is valuable to our customers? What wishes do we satisfy?

Who do we serve or who are our clients?

What particularities characterize the way we carry out our work or how we provide our services?

And later on, for this exercise, he recommends the formation of a representative team from all areas of the organization and that it is possible to capture the ideas of senior management, in addition to taking into account the following characteristics: It

expresses the service it provides, not the product that sells. In other words, it does not describe what we do, but rather the benefit that the client receives.

It must be oriented to the outside. Likewise, it must have a future orientation. It does not respond to changes, but promotes them.

It must have credibility and, therefore, it must be known to all.

It is motivating, simple, clear and direct.

It must be original, have some intangible, utopian, ambitious and idealistic content.

Finally, it has to be constantly revised.

Scenarios

The scenarios express the dynamics of both internal and external variables. In their definition, it is important to keep in mind that they constitute a tool for projection, forecasting and prospecting in the face of possible changes in the environment (Ronda, 2004).

In this case, if we take into account the size of the organization and its incidence, we recommend the development of a medium scenario that allows it to carry out a real analysis and identify those variables that allow it to achieve its Mission and Vision. Small group work is recommended following the steps proposed above and in plenary finally defining them.

Strategic analysis

“Strategies are the ways to move from Reality to Vision. It's the road maps, the directions instead of the sites, the recipes instead of the food. They are a guide to the location of resources. The strategies are long-term from perspective views. The strategies must define the ways to overcome, avoid, jump or go below the Barriers ”. (Portuondo, 2000).

For the strategic analysis of the organization we must basically take into account two fundamental approaches:

• External

Analysis • Internal Analysis

External analysis. As its name indicates, it analyzes the relationship of the organization with its environment, identifying the opportunities that it must take advantage of and the threats that it must defend against. For this analysis we propose the identification of the following elements: business, competitors, customers, suppliers, among others.

Internal analisis. The internal analysis aims to identify and evaluate the strengths and weaknesses of the organization: Resources, processes, technology, among others.

It is proposed to apply the SWOT Matrix and obtain the General Strategic Problem and its General Strategic Solution.

Key success factors

To identify the key factors of success, you must look into the business, know what are the processes or characteristics that distinguish your product or service and what are the ones that you must fully master to create competitive advantage. This identification is usually easy in most cases where the product or service is innovative, but it is not so easy when entering a highly competitive market in which the similarity of processes, products and services is high. (Carballal, 2001).

The results obtained in the SWOT matrix analysis facilitate the process of determining the FCE. It is also necessary to focus on the determining aspects of the business. It is recommended that this activity be carried out with senior management and the Pareto technique be used.

Key result areas. (ARC)

Objectives are needed in all areas on which the survival of the company depends (Drucker, 1996), so the determination of the ARCs is an important aspect, they do not cover everything the organization will achieve, but they identify the significant aspects, on which its performance depends. The ARCs must be identified as a previous step to the determination of the objectives. This, while allowing us to target important organizational issues, facilitates the participation of the managers and workers involved in the results that depend on each key result area, since they are the ones who know what is relevant to do in their area and how to achieve it (Guerrero, 2000).To determine the ARC, it is important to take into account those that make it possible to achieve the objectives set by the upper level and that also allow the development of the FCE, determining it should be a task for the management. It will be carried out in work meetings using horizontal (between the same level) and vertical (from collaborators to managers).

Barriers

In organizations, barriers may appear corresponding to people, processes, styles, methods. Etc. All this is part of the weaknesses identified within the organization and not taking them into account would seriously hinder its performance. Another identification of the barriers and no less important are those that come from the environment in which the organization moves and that are part of the threats and that, like the internal ones, can be generated by people, styles, methods and regulations, among others. (Guerrero, 2000). To determine the barriers in the organization, it is necessary to take into account the ARCs and have defined the Objectives.

2.3 Determination of objectives

To determine the Objectives in the Organization, the ARCs must be taken into account and, within their characteristics, those of being known, verifiable, challenging, shared and controlled.

For the determination of the objectives in the organization three important moments are established:

Derivation of objectives. The objectives of the parent company and the territorial objectives must be taken into account.

Concertation of objectives. Prepare the Objectives for ARC AND workers. Prepare an Action Plan.

Objectives evaluation. Design a review and control process. Performance evaluation based on results.

In order to determine the objectives, workshops, brainstorming and other related techniques will be held to provide adequate synergy.

3. Implementation

3.1.1 Development of action strategy

In order to achieve the effectiveness of the proposed procedure, it is very important to prepare an action strategy that enables the proposed objectives to be achieved and which will include specific Objectives, Stages, Participants and Actions.

3.1.2 Implementation of the Strategy

For implementation, it is important to coordinate tasks at the area and department levels with senior management. The establishment of an Action Strategy will allow objectively to declare the proposed actions, so it is important to make the strategic plan compatible with the structure… and the organizational culture to determine the inconsistencies that are incompatible with the strategy and therefore make the necessary modifications. It is recognized that any strategic plan that is not compatible with the structure and culture tends to fail and that is one of the great problems that exist (Díaz).

For implementation, it is important to coordinate tasks at the area and department levels with senior management. The establishment of an Action Strategy will allow to objectively declare the proposed actions. It is important that one of the alternative solutions to the rigidity of the structure is the use of interdisciplinary groups and teams. The organizational culture has a wide space in the determination, definition and empowerment of the values ​​in the organization, which although located at one point in the process is of constant recurrence at this stage.

3.1.3 Adjustment and Control

The Adjustment and Control stage is located at the end of the designed Strategy, although it allows evaluating the development of the same, it also makes possible the necessary feedback for the pertinent adjustments, without making this a changing and thoughtless process. Through systematic analysis, the fulfillment of the results, the institutional and individual evaluations and the relevant adjustments are specified. The results evaluated at this stage constitute, in many cases, the beginning of higher stages of development of the organization.

Conclusions

The analysis of the theoretical and methodological aspects of the historical evolution of the topic addressed allows the adaptation of contemporary business management practices to the Cuban reality, taking into account those aspects that define it.

The proposed Procedure Design enables the integration of Management by Objectives, Strategic Planning and Management by Values ​​from three fundamental stages: premise, process and implementation, the implementation of which can constitute a working tool in the improvement of business management in tourist facilities.

Continuing to refine the proposed procedure based on the most advanced methods and techniques in contemporary practices in the management area can be a success factor for the competitiveness of tourism companies.

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Management by objectives with a strategic focus for the Cuban hotel industry