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Worldwide Hospitality Awards 2011 · The Kempinski Training department ensures that internal Hotel Training Managers, Hotel Departmental Trainers and specialised Essential ! Master

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Kempinski is the oldest European luxury hotel management group. This uniqueselling point attracts investors and customers from around the world alike.

But what about our internal customers?

Internal training and development leaps the huge barriers that encumber external training. Internaltraining reflects a solid knowledge of the organization’s culture.

- Susan M. Heathfield -

This is why Kempinski has tapped into the years of experience, skills andknowledge of its 20.000 employees worldwide!

Kempinski believes that there is potential for success in every person – so itdesigned Kempinski Essential! programmes (“refer to as E!”) directed towardsspecific departments and positions, to unleash that potential and create trainingand career growth opportunities for its staff. Conducted by Essential! MasterTrainers, who are identified internally and trained within Kempinski, theKempinski Essential! approach is indispensable in our people’s day-to-dayoperational work environment, be it on a hotel, regional or corporate level.

The E! Training approach also ensure that Kempinski’s expansion strategy over the next five years is supported appropriately, by setting up our hotels professionally at the highest quality level, as per Kempinski standards & requirements – in a timely, accurate & cost efficient manner.

01

Hoteliers since 1897 - Kempinski Trains Kempinski

Kempinski’sParticipation Description Initiative

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ReferencesStaff

Kempinski Essential! Training is... *

People oriented: All training is conducted by the Essential! Master Trainersand designed specifically to assist our Kempinski People in daily hoteloperations.

Personalised: All training is tailor-made according to each department’sindividual needs.

Distinctive & unique: Kempinski’s trainings are unique in the hospitalityindustry. We provide support and service to existing teams and pre-openingteams onsite, in order to ensure smooth, timely and professional openings fornew properties. Trainings are designed to uphold Kempinski standards andmaintain a minimum Leading Quality Assurance score of 85% throughout ourworldwide portfolio.

Management know-how: Trainings are designed by in-house specialists inthe respective departments, to ensure they best reflect our business &strategy.

Financial Performance: Kempinski’s E! Front Office, Reservations andEvents & Groups Training Programmes include both, standards and HotelSpecific Application & System trainings. Our Kempinski Master Trainers areable to train staff directly to our standards and requirements, removing theneed for external trainers unfamiliar with Kempinski.

* inspired by Kempinski’s Vision & Mission

02Kempinski’sParticipation Description Initiative

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Management ProceduresE! Training programmes are used for pre-openings, Hotel Specific Applications & Systems & general training sessionsE! Master Trainers deliver these training sessionsE! Training programmes are based on departmental policies & procedures

Recruitment & staff motivation Employees can travel to other countriesEmployees can learn about other culturesStep in their Kempinski career pathE! Trainers are officially certified by Kempinski

Internal Organisation Policies & Procedures for E! Training programmesWe develop internal specialised E! Master TrainersIndividual Master Trainer AgreementFully trained employees (From Management to Line Staff)Organisation of all E! Trainings worldwide is done by Head of E! Training

Professional training Best knowledge about job & Kempinski as a company and its brand promiseHotel Specific Applications & Systems (if systems applicable)

Delivered as per Kempinski Standards

03

Affected Areas

Kempinski’sParticipation Description Initiative

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What are the main innovative aspects and the main advantages?

Full E! programme list (catalogue) (Appendix 3a)

Internal training programmes Our knowledge, know-how

Kempinski Master Trainers Professional & internal knowledge

Successful openings & trainings of our newly opened hotels

ROI (no external trainer cost & external programme/developement costs!)

Quality strong measurement of success of Master Trainers & Essential! Training Programme implementation

Multilingual E! Master Trainers (throughout ALL regions!)

Multilingual programmes (available in different languages, such as English, Mandarin, Arabic, French & German)

04

Innovative Aspects

Kempinski’sParticipation Description Initiative

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Who introduced the initiative?Corporate Training Team with pilot of Corporate Reservations & Revenue Management Team

When was it developed and implemented?1st E! Training Programme was developed and piloted in 20081st E! Training Programme was launched in 2009 (E! Reservations)1st E! Master Trainers developed in 2009

What are the main advantages of this initiative?Professionally internally trained staff, as per Kempinski StandardsQuality increase = revenue increase (where applicable)ROI (No Costs for Kempinski Hotels S.A.) - limited costs for Hotels

Which staff categories are concerned?ALL! – including Board Members (E! Pathfinder – People Management Software)

Did you use external partners to develop the programme?All content & formats provided and developed by Kempinski Hotels S.A.

How many structures are concerned?All levels of employees are involved

05

Objectives & Scope

Kempinski’sParticipation Description Initiative

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…and what is included?

Training takes place from 3 to 6 days depending on the programmePowerpoint presentations during the trainingTraining DEMO Test Hotel on Hotel Specific Applications & Systems during training (where applicable)Participants receive their own workbook for notesManuals + Policies & Procedures + Trainers session plan / notesStep by Step guides for Hotel Specific Applications & Systems usage Practice exercises E! are based on the KEMPINSKI STANDARDS and as per our usage!All E! Programmes are developed in modules – which allows the team to practice specific modules – whenever there is a need for them

Specific programmes are at a ONE-TIME License fee which the Hotels need to pay to Kempinski Hotels S.A.

(between EUR 500 – 3,000 depending on the programme)Hotels with an internal Master Trainer are exempt

E! Trainings can only be delivered by E! Master Trainers (experts in our Hotels –who have received special training) or by the Head of E! Training

06

What does an Essential! Programme look like?

Kempinski’sParticipation Description Initiative

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What does an Essential! Programme look like?

Powerpoint presentations

Developed in individual modules+

Hotel Specific Applications & System Training (if applicable)

Programmes are available in different languages!

Kempinski’sParticipation Description Initiative

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08

What does an Essential! Programme look like?

Workbooks for participants

Kempinski’sParticipation Description Initiative

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09

What does an Essential! Programme look like?

Training Session Plan is available for the Trainer as a training reference guide

Kempinski’sParticipation Description Initiative

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…and many more documents, such as „Games, Step by Step Guides“ etc…

Every employee in Kempinski is entitled to participate.

From Line Staff to Kempinski Board Members

Examples:

Agents Front Office E! Front OfficeRoom/Public Area Attendant E! HousekeepingSteward E! F&B – ServicePeople Services Director E! People ManagementGeneral Manager E! ManagementBoard Members E! Pathfinder

(People Management Software)

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Who can take part in an Essential!Training?

Kempinski’sParticipation Description Initiative

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Which implementation procedure should be used when developing the concept for the hotels?

The Kempinski Training department ensures that internal Hotel Training Managers, Hotel Departmental Trainers and specialised Essential! Master Trainers are trained and supported during our specialised training workshops:

All Hotel Training Managers are trained on Fundamental! programmes and receive refresher training on Essential!programmes

All Essential! Master Trainers and Hotel Departmental Trainers are trained on how to train!

Essential! Master Trainers are trained on the specific E!programme! (after having been trained on “Train The Trainer”)

What are the scope and deadline of the sessions and programmes of necessary training?

Ongoing – otherwise reduced quality, standards and motivation

11

The Kempinski Training approach

Kempinski’sParticipation Description Initiative

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KempinskiFundamentals!

Minimum required training sessions

per employee - General Trainings

(Orientation, Grooming, Telephone,

DNA, etc…)

Training Manager

KempinskiEssentials!

Minimum requiredtraining sessions

per position / dept.- Job / Dept. specific!

(Essential! Resv.,Front Office, Hskp,

Sales, F&B, etc)

Master Trainer

KempinskiWorks!

Operational ongoing & on the job training

and follow-up

(Policies & Procedures, Quality Mngmt tools,

LQA)

Dept. Trainer & Corp. & Reg. Trainer

People TrainingVision & Mission

3 Pillar Approach (Appendix 2)

Kempinski’sParticipation Description Initiative

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Development of internal Trainers at the“Trainers’ Academy“

Development of allTraining Programmes & Tools

Training our People Worldwide

Departmental Trainers are training their own teams

Corporate Office

Regional Trainers

Essential!Master Trainers

HotelTraining Mgr

HotelTraining Mgr

HotelTraining Mgr

Essential!Master Trainers

HotelDept. Trainer

HotelDept. Trainer

HotelDept. Trainer

13

Internal Training Organization

14

The Essential! Training approach

Development of allTraining Programmes & Tools

Essential! Master Trainers train the “Hotel people”

Corporate Office

Regional Trainers

Essential!Master Trainers

HotelTraining Mgr

HotelTraining Mgr

HotelTraining Mgr

Essential!Master Trainers

HotelDept. Trainer

HotelDept. Trainer

HotelDept. Trainer

Essential! Master Trainers are developed and trained by

Head of Essential!

Team TeamTeam

What is the total cost of the implementation?

E! Training programmes have limited implementation costs (only in-house salaries) as they are built in-house, by the Head of E! Training programmes in combination with the respective Corporate Heads of Department.

What procedures are used to control and evaluate the project?

Within the “WORKS!” programmes, the Kempinski Training Department evaluates the “ESSENTIAL!” trainings by undertaking and ensuring regular:

15

Costs & Control

AuditsMystery Call ProgrammesQuality Assurance Programme (LQA)Policies & Procedures are in placeCustomer Satisfaction SurveyEmployee Satisfaction Survey

16

External vs. Internal training (example of training in Europe) What does the training include and what are the costs?

E! License Fee (Full Training Material, refresher trainings – anytime and at no additional costs) 1,500 EUR

Kempinski Policies

Kempinski Procedures

Kempinski Standards

Hotel Specific Applications & Systems

How long does the training take? 4 – 6 days 2 - 3 days

Trainers Costs 1,000 EUR 3,000 EUR

Travel Costs (including arriv. and dep. day) 400 EUR 2,400 EUR

Languages (training and material in all KI spoken languages)

TOTAL 2,900 EUR 5,400 EUR

More detailed statistics are available upon request!

Costs / Advantages / ROI

Topic KI Master Trainer External Trainer

How do we inform staff about this initiative?

Strong internal E! Marketing (Logo – Folders – Pins – Posters, etc) in order to create visibility

Sharing Quality Management results in order to motivate the teams & hotels (benchmark works everyone wants to be the best)

Participants receive E! Pins and Certificates signed by our President & CEO

Quarterly articles about newest E! Trainings in our Worldwide Kempinski Staff News – including articles by staff and trainers and training session photos

Our President & CEO Mr. Reto Wittwer and our Chief Operating Officer Mr. Duncan O‘Rourke personally call the teams and people who reached the quality goal (>= 85%) to congratulate them

Sharing E! Training Information during our monthly Worldwide General Managers Conference Calls

Kempinski’s Training Catalogue (Appendix 3a)

What is the staff response?

see additional Essential! Evaluation Forms (Appendices 5a – 5b – 5c – 5d)

17

Internal Essential! Marketing

examples

18

Internal Essential! Marketing (Appendix 3a / 3b)

Catalogue

Pin‘s

Hotel Posters

Worldwide Staff News (People Training Strategy) (Appendix 3c)

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Internal Essential! Marketing

Worldwide Staff News (People Training programmes)

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Internal Essential! Marketing

Logos

21

Internal Essential! Marketing

Staff loyaltyWe support our staff through our corporate culture of by ensuring they receive necessary, frequent and ongoing training, so that they can find their own career path within Kempinski

Staff motivationEssential! has become a part of our training cultureVisibility within the companyTravelling possibilities Being part of a new openingRecognition of their work

Good social spiritNetworking Sharing best practices Helping each other (and other cultures & people)

Brand awarenessInternal Corporate Department: “Essential!”Our Kempinski values & brand promise are embedded in all our training programmesProduct & brand knowledge through travel & regional training sessions

Quality improvement & business performanceDetailed statistics are available upon requestPlease see next slide for an extract

22

Results & Impact

Kempinski measures all hotels individually, per department and its sub-departments.

Example: Front Office is measured overall, additionally measuring Check-In, Check-Out, Porter-In, Porter-Out, Rooming, Switchboard, Concierge, etc…

Kempinski measures not only the hotels’ results, but the Essential! Master Trainers’ results. After each training, the trained hotel teams need to deliver >= 85% in quality during the next Mystery Shopper.

Essential! Master Trainers have to be the “leaders” within our company and their performance is deeply analysed.

Our different Mystery Shoppers ensure that our hotels are tested several times a month, in order to increase quality – which leads to higher satisfaction and more revenue income and opportunity (i.e. Reservations Mystery Call Programme).

Some results are shared on the next slides, feel free to contact us anytime for further information!

23

Measurement

24

2009 72.2 %

2010 76.8 % + 4.6%

Until July 2011 87.3% + 10.5%

Kempinski LQA results – E! Trainings

2009 74.9 %

2010 79.0 % + 4.1%

Until July 2011 85.4% + 6.4%

2009 71.2 %

2010 79.6 % + 8.4%

Until July 2011 85.1% + 5.5%

Front Office Overall – All Kempinski Hotels Worldwide

Reservations Overall – All Kempinski Hotels Worldwide

Housekeeping Overall – All Kempinski Hotels Worldwide

Improvement of quality - (few examples)

25

LQA Reservations - THE STAFFORD London, by Kempinski

94

79

70

75

80

85

90

95

100

16/03/2010 22/10/2010

% L

QA

Res

ults

LQA Reservations - Le Mirador Kempinski Lake Geneva

7979

86

100

70

75

80

85

90

95

100

22/11/2009 01/03/2010 10/10/2010 18/04/2011

% L

QA

Res

ults

-Take over of Hotel on February 2010-E! Training done on July 2010

-1st Training ever at Le Miradoron E! Reservations, February 2011

Benchmark – 85%

Benchmark – 85%

26

Measurement of our E! Master Trainers

(a few examples showing some of the hotels’ results BEFORE (2010) and AFTER (2011) the E! Training was delivered by E! Master Trainers)

Marc Feller

Reservations – Le Mirador Kempinski Lake Geneva

79.4%After training

100%

Sascha Seefried

Reservations – Kempinski Hotel Mall of the Emirates Dubai

74.7%After training

90.4%

Laura Clavero

Front Office – Falkenstein Grand Kempinski Königstein Frankfurt

76.5%After training

93.1%

PeggyLiu

Front Office– Kempinski Hotel Beijing Lufthansa Center

66.7%After training

90.5%

Stanislava Krasteva

Housekeeping– Hotel Baltschug Kempinski Moscow

60.8%After training

92.2%

ThaferAlhashlamoun

Housekeeping– Kempinski Hotel Ishtar Dead Sea

78.6%After training

97.7%

More detailed statistics are available upon request!

Trainer Department – Training Hotel 2010 2011

Business Performance – Year 2011

How long does the initiative last?

Training is ongoing!Existing E! programmes are updated on a regular basisCreating new required E! programmes Regularly training and developing new E! Master TrainersSince 2011, this training is mandatory for all new Kempinski openings, as per hotel’s Management contract

Are you planning to go further with an additional or complementary stage?

Started to undertake training for Shaza HotelsStarted to undertake training for the Global Hotel Alliance (GHA)Request from BMW to help develop a programme and train their people

To which extent is this initiative a part of your communication strategy?

Worldwide GM & President callsFixed chapter within our staff communication Operations mission is to go from “Good to Best”Training benefits & programmes are pro-actively introduced during

the recruitment processnew hotel acquisitions

27

Persistence

Have you reached all the goals that were set?

Training is a culture and not a one stop shop!

Training is ongoing

Training is evaluating and moving on

Revenue income of training programmes

Goal was set to 0 €uro

Achievement so far is 272,500 €uro

(Specific E! Programmes are only available at a one-time fee, to be paid by the Hotel to Kempinski Hotels S.A.)

1st E! Training programme will be available in an e-Learning format (E! PCI DSS) as of November 2011 – Future programmes will be developed in an e-Learning format

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...our Goals!

IFH – Institute for Hospitality Management

What?Mystery Call Programme for ReservationsMystery Call & Shop Programme for Events & Groups

EnsuresConsistency of Kempinski StandardsConsistency of Quality

LQA (Leading Quality Assurance)

What?Full Hotel checks on Operations & on all Kempinski & International Hospitality Standards

EnsuresConsistency of Kempinski StandardsConsistency of additional International StandardsConsistency of Quality

29

Partnerships

30

Reference – IFH (Appendix 4a)

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Reference – KILIAN & PARTNER (Appendix 4b)

32

Reference – SHAZA HOTELS (Appendix 4c)

High credibility as Kempinski trains Kempinski

Career opportunity within Kempinski (step in their career path)

Getting to know new people

Learning about other cultures & hotels (travelling)

Experience Hotel pre-openings

Networking – sharing best practices

Visibility within the company

Acquiring training skills

Becoming specialist in their respective “departmental areas”

More frequent training due to lower costs

33

Staff Benefits

Personnel turnover

Since Kempinski Hotels introduced the E! Training programmes and the related E! Master Trainers in 2009,

62 E! Master Trainers have been so far developed worldwide….and more to come!

21 have been promoted to HOD (Head of Department)

3 have been promoted to EAM (Executive Assistant Manager)

6 have been promoted to a Regional / Corporate Position

+ 143 E! Master Trainers for “PCI DSS” compliance(Payment Card Industry & Data Security Standards) (Appendix 6)

Becoming an E! Master Trainer became a step in the internal career development plan

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Staff Loyalty

Marc Feller (with Kempinski since 1998)

2008 Corporate Revenue Manager 2009 E! Reservations Master Trainer – Head of Reservations2009 Corporate Director of Revenue Management2010 Corporate Director Essential! Training Programmes

Alexander Muttscheller (with Kempinski since 2007)

2008 Revenue Manager (Dubai)2009 E! Reservations Master Trainer2009 Corporate Director of Distribution & Central Systems2010 Corporate Director of Distribution & Revenue Management

Carsten Seubert (with Kempinski since 2006)

2008 Events & Groups Manager (Munich)2009 Events & Groups Manager (Corporate)2010 E! Events & Groups Master Trainer2011 Executive Assistant Manager (London)

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Staff Loyalty – Advancement to Senior Positions(a few examples)

Peggy Liu (with Kempinski since 1995)

2009 Front Office Manager 2010 E! Front Office & Housekeeping Master Trainer2010 Regional Director of Training China

Laura Clavero (with Kempinski since 1999)

2009 Assistant Front Office Manager (Dubai)2010 E! Front Office Master Trainer2010 Front Office Manager (High Tatras)2010 Rooms Division Manager (Bratislava)

Sina Scholz (with Kempinski since 2007)

2008 Revenue Manager (Munich)2009 E! Reservations Master Trainer2009 Director of Revenue Management (Munich)2010 Director of Revenue Management (Bangkok – Preopening)2011 Regional Director Revenue Management Germany

36

Staff Loyalty – Advancement to Senior Positions(a few examples)

Matyas Bak (with Kempinski since 2008)

2009 Reservations Manager (Budapest) 2010 E! Reservations Master Trainer2010 Front Office Manager (Bansko)2011 E! Front Office Master Trainer

Chris Xue (with Kempinski since 2007)

2007 Reservations & Assistant Revenue Manager (Urumqi)2010 E! Reservations Master Trainer2010 Revenue Manager (Souzhou)2011 China Regional Revenue Manager

Pia Stassen (with Kempinski since 2008)

2009 Corporate Rooms Division Director2010 E! Front Office Master Trainer2011 Vice President Rooms

37

Staff Loyalty – Advancement to Senior Positions(a few examples)

Kempinski is expanding fast

Kempinski will recruit and promote over 18.000 employees in the next 5 years

Kempinski is a mid-sized company with limited financial training resources

Kempinski has over 114 years of European Luxury Hotel Management experience, skills and knowledge

Kempinski realizes that internal training benefits trainers and learners alike

Kempinski….trains Kempinski!

Conclusion

Marc FellerCorporate Director of Essential! Training Programmes

c/o Kempinski Hotels S.A.28 Boulevard du Pont-d‘ArveCH – 1205 Geneva, Switzerland

[email protected]