Effects Of Implementing TQM System On Employees Loyalty And Their Performance Level In The Hospitality Industry

Abstract

Hotels, like any other service firms, require efficient employees since they are considered one of the key characteristics of success.

This study has focused on the effect of TQM implementation on the employees' higher performance level and loyalty in the five-star hotels in Egypt. It has explored the link and the positive relationship between TQM application and improvement of the employees performance level improvement and also improving their loyalty.

It has been argued that, to be successful, hotels must ensure that emplo­ yees feel valued and are trusted to do a good job. This goes beyond paying lip service to the importance, for the hotel, of its people. Indeed, it seems that a key element of best practice in many five­ star hotels involves the effective management of people through: good communication of the hotels' values, goals, policies, etc., in order to foster employee participation and commitment, as well as encouraging teamwork, including the cross-functional operation of teams. This also includes assessing training needs and providing appropriate training and development opportunities, implementing the reward and recognition system, and empowering employees. When such people management practices are in place ( implementing TQM system), employees will be more likely to be satisfied in the work place. Thus, employees will be motivated and committed to delivering quality services which meet or even exceed customer requirements and, ultimately, lead to higher performance level and improve their loyalty. The human element is the most important factor in any organization in general and in service organizations in particular.