Oberoi Group of Hotels

Topics: Hotel chains, Hotel, Mohan Singh Oberoi Pages: 14 (4239 words) Published: November 22, 2012

Understanding Strategy and Design of the Organization

An “Organizational Dynamics” Project by –

Group 5 (Section G)
Parth Krishnan Mannadiar (12HR-018)
Priyanshi Kejriwal (12DM-104)
Atharv Tilak (12DM-042)
Ritu Kapse (12HR-024)
Siddharth Venkataraman (12DM-143)
Lov Loothra (12FN-068)
Puneeth C (12IB-062)

Table of Contents

Sr. No.| Heading| Page No.|
1.| Introduction| 3|
2.| Growth and Strategy| 3 - 4|
3.| Structure| 4|
4.| Culture| 5|
5.| The People| 5|
6.| Technology| 6|
7.| Size and Organization Life-Cycle| 6 - 7|
8.| Complexity-Stability Model| 7|
9.| Conclusion| 7-8|
10.| Exhibits| 9-12|
11.| References| 13|

The Oberoi Group, founded in 1934, employs about 13000 people worldwide and owns and manages about thirty hotels and five luxury cruisers as of 2012. The company was incorporated in the year 1949 by Rai Bahadur M.S. Oberoi to run "Oberoi Group of hotels". The group of companies, affiliated through common ownership interest, has to offer first class luxury hotels, airline catering, airport bars and restaurants, corporate air charters, travel consultancy, limousine services and project management.

With hotels being spread out in Mumbai, Delhi, Calcutta, Chennai etc., we can see it covers almost the entire span of the country. It also has properties abroad in places such as Cairo and Aswan in Egypt; Bali and Lombok in Indonesia; Mauritius; Medina in Saudi Arabia and a new property coming up in Dubai in UAE.

EIH, the flagship company of The Oberoi Group is generally preferred by business travellers because of its consistent and high quality service across different locations. Exhibit 1 displays some reviews posted by customers who have had the pleasure of staying at an Oberoi hotel. As can be seen from their reviews, the main highlights of their stay were the ambience/facilities and highly motivated and well trained staff who provide exceptionally attentive, personalised and warm service. Such a holistic experience can be achieved by an organization through consistent efforts. Thus the purpose of this report is to understand these efforts which Oberoi has synergized and use it to study effective organization strategy and culture. Growth and Strategy

“Rai Bahadur Mohan Singh Oberoi was born on 15th August, 1898 in erstwhile undivided Punjab, which is now in Pakistan. He was only six months old when his father died. Success and fortune did not, therefore, come easily to him. Initiative, resourcefulness and hard work, combined with the capability to face and overcome the most overwhelming odds can best characterise this phenomenal entrepreneur.”

The above words about the founder, speak of the qualities he employed to make the Oberoi group reach the pinnacle it is at. When M S Oberoi first reached Shimla, he took up work as the desk clerk at the Cecil hotel. Today, the hotel is owned by the Oberoi Group and is called The Oberoi Cecil. The then manager of the hotel was happy with the work put in by Mohan Singh and asked him to assist him running another hotel he acquired, Clarkes hotel. With this first-hand experience of operating a hotel, Mohan Singh set out on his entrepreneurial venture.

In 1934, he acquired two hotels, The Clarkes Hotel in Shimla and Delhi by mortgaging his wife’s jewellery and all his assets. The Company was incorporated as a public limited company in India on 26 May 1949 and its initial business activity was as the lessee and operator of The Oberoi Palace Hotel in Srinagar, Kashmir. It was in 1965 that they built their first hotel, The Oberoi Intercontinental, now The Oberoi, New Delhi. It offered facilities that no other hotel in the country could match and was India's first luxury hotel. In 1966, The Oberoi School of Hotel Management later renamed the Oberoi Centre for Learning and Development was formed. It provided high Quality professional training in hospitality...
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