Introduction
Radisson is one of the well known hotel chains owned by the Carlson Company. Acquired in 1962, the company grew at a rapid pace, and by 1997 Radisson was in 360 locations in 47 countries. However, this huge growth has come at a cost to its customer service. Realizing that changes were needed, Brian Stage (president of Radisson) and Maureen O’Hanlon (executive vice president of Radisson) have actively worked to refocus the strategy of “growth at any cost” to “customer-focused brand.” This case study examines not only the steps that have since been taken, but ideas for how the hotel chain can better improve their service. Specifically, Radisson’s service guarantee, the role of information technology, employee/ customer satisfaction, commitment to service quality, and goal alignment is further explored.
Service Guarantee
The first area of the customer driven strategy to address is the function of the service guarantee. Radisson Hotels Worldwide is in the process of defining and implementing a new guarantee which is something their competitors are currently doing as well. In order to do this as successfully as possible, it is important for Radisson to identify what exactly their service guarantee includes by looking at the slogan and the training, marketing, and feedback it requires.
Sue Geurs, the Director of the 100% Guest Satisfaction Guarantee Program, made two very important decisions that one can support wholeheartedly given the specific situation. She first decided upon the slogan, “If you have a problem, let us know and we will make it right or you won’t pay.” The importance of this slogan cannot be taken lightly. By stating that the customer needs to allow Radisson to correct the problem, she has made her secon ...