HOSP 220-Principles of Hospitality Management

our group this week has two different parts to complete- the first is watching the linked video and answering the 3 listed questions and the second part is reading the Rent-A-Car case study and answering the 3 listed questions. When completed- be sure to upload your group assignment into the Assessment drop-box by December 7, 2020 by 11:59pm.

PART #1: VIDEO CASE-

Daniel Pink: What Really Motivates Workers

Author Daniel Pink draws on decades of scientific research to identify what makes us truly happy at work 

1. What are the three drivers of behaviour?

2. What is the biggest motivator at work?

3. How do you motivate dissatisfied workers?

PART #2: Motivation at Enterprise Rent-A-Car Case Study- 

How Can Managers Motivate Employees at All Levels to Provide Excellent Customer Service?

Enterprise Rent-A-Car is an internationally recognized brand with more than 6,000 neighborhood and airport locations in the United States, Canada, the U.K., Ireland, and Germany. With over $12.6 billion in revenue and more than 68,000 employees, Enterprise and its subsidiaries, Alamo and National, operate with more than 1 million cars and trucks, making them the largest car rental service provider in the world measured by revenue, employees and fleet.

Case Study

Motivation at Enterprise Rent-A-Car

Enterprise Rent-A-Car was founded by Jack Taylor in 1957 in St. Louis, Missouri as a very small auto leasing business with a fleet of seven cars. Today, it is an internationally recognized brand with more than 8600 neighbourhood and airport locations in more than 70 countries and territories. With over $17.8 billion in revenue in 2014 and more than 83 000 employees, Enterprise and its subsidiaries, Alamo and National, operate with more than 1 million cars and trucks, making them the largest car rental service provider in the world measured by revenue, employees, and fleet. One of the biggest employers of new college graduates, Enterprise typically hires over 8000 entry-level employees each year and was ranked the number one Top Entry Level Employer in 2015.

A privately held company, Enterprise is very much a family business. In its entire history, Enterprise has had only two CEOs, founder Jack Taylor, who is now retired but still quite involved in the company, and his son Andrew Taylor, who became president in 1980 and CEO in 1994. Nonetheless, Enterprise's policy of promoting from within ensures that all employees who perform well have the opportunity to advance in the company.

One of the keys to Enterprise's success is the way it motivates its employees to provide excellent customer service. Practically all entry-level hires participate in Enterprise's management training program. As part of the program, new hires learn all aspects of the company's business and how to provide excellent customer service. Management trainees first have a four-day training session focused primarily on Enterprise's culture. They are then assigned to a branch office for around 8 to 12 months where they learn all aspects of the business, from negotiating with body shops to helping customers to washing cars. As part of this training, they learn how important high-quality customer service is to Enterprise and how they can personally provide great service, increasing their confidence levels.

Two agents at an Enterprise rental car counter working with a customer.

All those who do well in the program are promoted after about a year to the position of management assistant. Management assistants who do well are promoted to become assistant branch managers with responsibility for mentoring and supervising employees. Assistant managers who do well can be promoted to become branch managers who are responsible for managing a branch's employees and provision of customer service, rental car fleet, and financial performance. Branch managers with about five years of experience in the position often move on to take up management positions at headquarters or assume the position of area manager overseeing all the branches in a certain geographic region. By training all new hires in all aspects of the business including the provision of excellent customer service, by providing them with valuable experience with increasing levels of responsibility and empowerment, and by providing all new hires who perform well with the opportunity to advance in the company, Enterprise has a highly motivated workforce. As Patrick Farrell, vice president of corporate communications, indicated, “What's unique about our company is that everyone came up through the same system, from the CEOs on down … 100% of our operations personnel started as management trainees.”

In addition to motivating high performance and excellent customer service through training and promotional opportunities, Enterprise also uses financial incentives to motivate employees. Essentially, each branch is considered a profit centre and the managers overseeing the branch and in charge of all aspects of its functioning have autonomy and responsibility for the branch's profitability almost as if the branch were their own small business or franchise. All branch employees at the rank of assistant manager and higher earn incentive compensation whereby their monthly pay depends upon the profitability of their branch. Managers at higher levels, such as area managers, have their monthly pay linked to the profitability of the region they oversee. Thus, managers at all levels know that their pay is linked to the profitability of the parts of Enterprise for which they are responsible. And they have the autonomy to make decisions ranging from buying and selling cars to even opening new branches.

Another way in which Enterprise motivates its employees is through its philanthropic activities and initiatives to protect the natural environment. For example, the Enterprise Rent-A-Car Foundation has committed $50 million to plant 50 million trees over a 50-year period in public forests. They have planted over 10 million trees in the United States, Canada, and Europe since 2006. The Foundation also focuses on supporting and giving back to the communities in which Enterprise operates. Enterprise Holdings Foundation has contributed more than $4.5 million to local non-profits throughout Canada focused on community improvement, health, education, and environmental stewardship. Of all rental car companies, Enterprise has the biggest fleet of fuel-efficient cars.17 All in all, the multiple ways in which Enterprise motivates its employees and satisfies its customers have contributed to its ongoing success story.

Answer the following Case Study questions-

1. Apply Hertzberg`s Motivator-Hygiene theory to this case.

2. Apply Vroom`s Expectancy theory to this case.

3. How does Enterprise Rent-A-Car use a Total Reward Strategy to motivate employee performance