Many great companies have shifted from traditional authoritarian control to a more open organizational structure and results in greater employee flexibility. Operations management "involves the day-to-day management of human resources, facilities, and programs; supervision of frontline personnel (employees who interact with the public); and maintenance of positive customer service."

	New fundamentals of success
	Personnel management
	Customer service and guest relations
	Facility management
	Managing group business
	Risk management (strategy grid)

	consignment
	group buyout
	operations management
	frontline

	Leadership skills
	Community involvement
	Good customers and supplier relations
	Good employees
	Attention to finances and profit margins, and
	Passion for the business

  4.  suppliers

	Plan for unexpected change: promote a change is good mentality.
	Focus on the process: use technology to improve efficiency.
	Pursue equity financing: shift from debt to equity revenue sources.
	Strive for uniqueness: differentiate based on better value, service, or unique features.
	Concentrate on the core: know what business you are "really" in.
	Think and act globally: be aware of overseas trends and issues.
	Develop relationships with your customers: create an emotional bond with your customers.
	Be fair and flexible with employees: offer employees flexibility in their workplace and benefits.
	Address expanded constituencies: respond to the concerns of customers, employees, owners, suppliers and the community.
	Address and use environmental concerns: compliance with environmental laws are a publicity and marketing bonus.
	Establish and maintain solid business partnerships: a mutual commitment to basic objectives, values, and ways of doing business (networking, contracting, cooperative marketing and long distance suppliers).

1. Strive to create sustainable long-term prosperity, not just short term profit.

2. Sustain the environment in which your company operates.

3. Practice equity and justice in operations.

4. Practice accountability and disclosure in financial operations by following accepted accounting and tax liability practices and appropriately disclosing information to employees, stockholders, and the public.

5. Respect people and other businesses and organizations.

1. Understand customer needs
2. Communicate effectively
3. Understand the organization's financial performance
4. Motivate the team
5. Track and measure staff performance
6. Create a positive learning environment
7. Maximize staff utilization
8. Delegate
9. Enforce standards
10. Infuse pride in organizational values and mission

	Hiring: recruit at all times and hire talent when you find it.
	Orientation and training: should be based upon written job descriptions, company policies, and operating procedures. Training includes written materials, workbooks, technological media, and personal instruction by staff.
	Compensation: determined by: 1) federal regulations: minimum wage laws. 2) market conditions: competition for skilled labor will determine the local wage rate. 3) company philosophy: employee profit sharing or the value of employees. 4) employee benefits: greater flexibility in the benefits offered to employees.
	Retention: is challenging in commercial recreation and tourism operations. Is is insufficient to train employees and not focus on retention of personnel.
	Staff supervision and motivation: the commercial recreation and tourism manager must have skills in employee supervision, motivation, morale, and incentives.
	Part-time, seasonal labor: Almost every commercial recreation and tourism business uses numerous part-time and/or seasonal staff. Part-time and seasonal staff offer benefits to the business through reduced wages and benefits. But present some problems in questions of maturity, skills and experience of part-time staff.
	Unions: Depending on the business and state the local labor force may be unionized. Managers must be aware of unfair labor practices and the National Labor Relations Act.
	Staff development: A manager that is committed to see that staff are able to learn on the job and develop additional skills for advancement, the more attractive the company is to employees who seek career advancement. Businesses that invest in educational and training opportunities improve employee retention as well as motivation and job satisfaction.

	Make eye contact, smile and greet the customer.
	Learn and use the guests’ names.
	Learn guests’ preferences, be proactive.
	Make a positive first impression.
	Show genuine interest and listen to guests.
	Be knowledgeable about the entire business.
	Fulfill your guests’ expectations.
	Reduce the effort required by the customer to use your business or facility.
	Focus on the customer’s perceptions: work to always improve the guests’ perception.
	Be thoughtful and considerate of your guests' opinions. Be generous with your praise and cautious with your criticism with your staff.
	Be flexible and have a sense of humor.
	Show enthusiasm and pride in your work.
	Always be honest with your staff and guests.
	Be specific when giving information and directions.

Guidelines for a Quality Facility - is determined by:

1. The facility should  be of sufficient size for the people who are expected to attend, and should have room for expansion.
2. The facility should be designed to serve the needs of the programs and services that will be offered.
3. The facility should be designed to be flexible and prepared for multiple use.
4. The facility should be designed for safety, ease of maintenance, and resistant to vandalism, weather impact, and foot traffic.
5. The facility should be designed with the aesthetics and amenities that the participants want.
6. Facilities must be maintained in a safe and attractive manner.
7. Ideally, facilities should be designed for environmental sustainability and include solar panels and light biodegradable supplies, paperless drying systems, conservation of water, waste management and other environmentally friendly aspects.

1. Provide a safe, clean and attractive facility;
2. Minimize "downtime" (unplanned shutdowns) of equipment/facilities by preventive maintenance;
3. Minimize normal deterioration of facilities;
4. Renovate, replace or rejuvenate facilities before conditions deteriorate; and
5. Eliminate hazards that compromise the safe operation of the facility.

Operating Procedures - Every commercial recreation and tourism facility needs a complete set of operating procedures. These procedures can be organized according to:

	physical area (ex. front desk area, retail area, food stands, rides and attractions),
	functional responsibility (cash register operations, food handling, opening and closing, etc)
	or a combination of the two.

Security - procedures will reduce the chances of substantial losses and lawsuits if there are problems with guest safety, guest security, or security of financial operations. General areas of concern include the following:

	crowd control and safety,
	hours of operation,
	emergency procedures, and
	facility security.

Risk Management - the main goal of risk management is loss prevention. Risk management involves providing for the identification and analysis of risks and the implementation of risk strategies.

Risk Management Notes

1) Identify All Risks: use accident records, facility and program inspections, and by staff input.

2) Analyze Risks: categorize the risks according to the Risk Management Strategy Grid (p. 201) and identified by:

	frequency of occurrence
	severity of injury

3) Implement Risk Strategies

	low risk : Strategy to accept in program (infrequent/minor injury)
	moderate risk/transfer the risk (infrequent and severe or frequent and moderately severe). Use insurance or contract out programs or activities to other private businesses or organizations.
	moderate risk/management: change polices/procedures to reduce risk/injury. Implement new policies or procedures for the activity
	highest risk/avoidance (frequent and severe). Eliminate programs which may have a high frequency and high severity of injuries

Informatics

Informatics is the access to information technology and its many forms and advances, which is improving operations management.

Social media and messaging systems are adding value to learning about what customers want and how they react to new services. These systems keep in touch with a large population of users who can be enticed and attracted to many commercial recreation and tourism services, at less cost to the business.

	accounting and financial functions
	sales and inventory functions
	marketing functions
	program management
	graphic programs
	personnel administration functions
	environment management
	maintenance management

[return to Chapter Seven]

Copyright 2012 Northern Arizona University, ALL RIGHTS RESERVED