Labor Management in the Hospitality Industry continued

Any LMS implementation requires a well thought out development plan that should start with education. Make sure the managers understand the basics of staff planning and labor management and that they understand the objectives of the initiative. The plan should allow you to move from department to department rather than trying to get all departments changing at once. Whenever change is coming, a small select few will be open to it, a small group will fight to the death (or at least until their jobs are at stake), and the majority will wait to see if it works. Find the small group that’s open to change and start there.

Make sure that the labor standards are well developed. It’s helpful to look at historical productivity to gain a perspective on previous performance. Having historical data also helps ensure that standards are consistent with department capabilities. You don’t want to set a standard of 40 covers an hour if the best previous performance is 25 covers an hour.

Realize that the change is going to take a few months. It’s not feasible to implement an LMS program in two weeks. You might be able to set up the software, but that’s not the same as getting everyone to use it and it’s certainly not the same as having the new technology become a part of the fundamental means of managing.

Conclusion

For some, labor management is what managers get paid to do, and there is no need for technology. But as the technology has caught up with the concepts, more and more organizations are looking to automate this process. LMS programs are certainly not as widely used as other technology solutions. But we believe that they are increasingly desired, will become increasingly common, and that the first step in acquiring an LMS system is understanding what it is (and is not) and what it should do for your organization.

About the Authors

Ron Strecker is Chief Financial Officer for The Al J. Schneider Company. Previously he was with the Colonial Williamsburg Foundation. Ron first began his professional career 26 years ago at the downtown Hyatt in Louisville, Kentucky. He spent 11 years with Hyatt, also working in Dallas, Austin and Kansas City. In addition, Ron has held positions at Crowne Plaza in Rockville, Maryland and Grenelefe Golf and Tennis Resort in Haines City, Florida. Strecker is a graduate of James Madison University and an active member in Hospitality Financial and Technology Professionals. His professional certifications include CHAE (Certified Hospitality Accounting Executive) and CHTP (Certified Hospitality Technology Professional).

Len Wolin is the Senior Corporate Director, Program Management for The Ritz- Carlton Hotel Company. During his 20 year hospitality career with Marriott International, Len has worked for multiple brands on both the property and corporate levels. His interest in labor management began as an operational manager for Marriott Hotels and Resorts and then expanded as his career progressed while working at five hotels. From a corporate perspective, Len spent six years developing and leading the labor management systems (LMS) initiatives for both Marriott and The Ritz-Carlton. He has experience implementing and developing labor management systems and processes both domestically and internationally.

Ken Heymann is Chief Operating Officer for UniFocus. With over 20 years of experience in the hospitality industry, he is an expert on organizational development, change and quality management. During his career, Ken has supervised major consulting projects in the areas of budgeting, forecasting, staff planning, quality management and information systems for numerous organizations such as Harrah’s Casinos, Ritz Carlton Hotels, KSL Resorts and Fairmont Hotels and Resorts. Ken has also contributed to such industry publications as The Cornell Quarterly, The Bottomline, Lodging Hospitality and Hospitality Technology. He is a member of the Board of Governors of the School of Merchandising and Hospitality Management at the University of North Texas.