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INDIAN INSTITUTE OF MANAGEMENT

RAIPUR

ASSIGNMENT # 1 (OPERATIONS MANAGEMENT)

January 08, 2022

By

GROUP # 11 (ePGP Batch 02)

1. ANANYA ROY (21epgp015B2)


2. ADITYA BILOLIKAR (21epgp008B2)
3. AVINASH (21epgp038B2)
4. DIPIKA SATISHKUMAR RAMANI (21epgp053B2)
5. MONALISA MODAK (21epgp099B2)
6. INDRAJEET ADHIKARAO PATIL (21epgp067B2)
7. ABIR KUMAR MAJUMDAR (21epgp007B2)
GINGER HOTELS

1. How will you describe the overall strategy of Ginger Hotels in the hotel
industry?
Strategically Ginger hotel seems vigorous based on the fact that it has labelled
as one the smart hotels among travelers. By providing smart solution and hefty
number of facilities to customers, this hotel chain has established itself with a
strong base.
In the tourism sector followed by hospitality domain, costs are always high. On
the contrary Ginger hotel rooms are economical among its competitors It has
captured a huge market specially the young travelers who can spend much
during their tours. Lower pricing of rooms is a USP of Ginger hotels.
There are several low-cost strategies adopted by the hotel like self -service check
in, give n' Take Counter, Smart Get Set, Smart Knick Knacks and Smart Mart
which not only help the travelers in gaining complete control of their stay but
also captured a greater market share. Their tagline "Please help yourselves"
justifies the same.
The 2nd strategy which the hotel has adopted due to market surveys and

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experience, is focus on non-decoration of rooms with fancy items, which
according to them is rarely used by customers. In addition to this, it has also
excluded the doorman & valet.
The 3rd strategy is offering to the customers with the option of ordering &
collecting food from their “Give n' Take Counter”.
One of the important strategic decisions taken by the hotel is to keep the same
price of rooms, irrespective of high demand and keeping the same quality. This
highly attracts customers from middle class financial background.
Last but not the least, the hotel has surveyed the cities where there’s a larger
flow of customers (w.r.t business & leisure) and accordingly positioned
themselves in those areas, which in-turn, reduces the chance of loses.

2. Is the operations strategy consistent with the overall strategy? What are the
operational elements of Ginger Hotels that provide strategic dimensions for
operations?
As we have already discussed that the overall strategy of Ginger hotels is to
provide the affordable or economical hospitalities to the customers while
maintaining the quality of services.

Their operations strategy is much consistent with the overall strategy. We can
better understand it with help of some facts and examples about Ginger Hotels,
which are as below: -

1. The tag line of Ginger Hotels is “please help yourselves” is very impressive and
it helped it for extra cost cutting in operations done by hotel staff while
maintain the quality services. Also, room is sizes are small in compare to many
other hotels.
This strategy helped them in extra cost cutting and providing a rich experience
to consumer at lower cost.

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2. They also provide budget health cares like Meditation, Yoga, Gym, Spa at very
minimal prices. It adds some extra benefits to the customer who wants
affordable services.
3. They use internet websites for booking and marketing in order to reduce the
cost and add some extra discounts for the customers.
4. ‘Management first, Franchise later’ helped them in training the staff and
maintain a skilled worker group helped them in maintaining the quality of
services.

Thus, by cost cutting strategy and simplifying the process, they are able to lead in a
particular market.

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3. Strategic and Operational benefits that Ginger hotel is likely to derive from its
operation strategy and operation system design that it has chosen.
 The Ginger hotels are mainly Hotels which fall in the economic category. The
best strategy that they have opted is their pricing strategy, which is very less
compared to other hotels of the same category giving same set of services.

 Due to their pricing strategy, they are able to attract a lot of young population
who want to spend less and at the same time want some standard services.
 They have also reduced the manpower required for functioning by establishing
vending machine, self-help service, online check-in check-out and booking. By
reducing manpower, the efficiency is also increased, and money spend on
resources is also reduced.
 By automating most of the operations and reducing manpower they have been
categorized as "smart hotels".
 As most of the Indian population don't belong to high class, they mostly prefer
economical option and hence the pricing of Ginger hotels attract the major
Indian population.
 The room sizes are compact and hence very less area is required for the setup
and also require very less maintenance, thereby saving money spent on the
cleaning staff.
 As most of the process is automated, they have a vending machine from where
people can get all the toiletries, which reduces the no. of housekeeping staff
required.
 Also, the customers have very less complaints as most of the services are
automated and has very less human error.
 Ginger hotels also expanded itself to small cities as well.

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