Was there a management failure here if so what what is the


Last month’s security report contained three items dealing with noise and heavy traffic one night in the Kit Carson suite. The following day, housekeeping reported a huge hole in the wall between two of the bedrooms. It had not been there four days earlier, the last time the suite was used. Other damage included a broken chair, a smashed vase, and a cracked mirror.

Engineering estimated $1,300 for repairs; that amount had been posted to the folio of the 18-year-old guest. She signed the folio as she checked out. It was posted to her father’s cityledger account and billed at month’s end. He is president of a large local business.

The dad stops by the GM’s office after a business luncheon in the gourmet room. “Good grief! $1,300? It’s only a hole in the wall.”

Questions

1. Was there a management failure here; if so, what?

2. What is the hotel’s immediate response (or action) to the incident?

3. What further, long-run action should management take, if any?

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Operation Management: Was there a management failure here if so what what is the
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