Importance of ADR in Hospitality Law
Stephen Barth, attorney and professor at the Conrad N. Hilton College of Hotel and Restaurant Management, University of Houston, shared his thoughts and experiences with the class of ADR. He underlined the importance of dispute resolution for the hospitality business.
The hospitality business is the biggest employer in the world. Because of the diverse interaction between actors in this business, numerous contacts with the law are held daily. For these reasons, dispute resolution for this industry is vital.
The single most important factor when solving problems, Mr. Barth said, is to listen; but to do so empathetically means to listen what the other side wants to say, not what we want to hear.
In my opinion, Front Desk personnel have to be highly trained in dispute avoidance. By deescalating conflicts, big dollars are saved to their employers.
Focus is on the needs of the clients, looking towards the future –a characteristic of ADR methods, contrasted with past-oriented, conventional litigation. Small concessions –free breakfast, room upgrade- can be the difference between expensive attorney’s fees -and associated expenses-, or a happy customer that will likely continue to do business with the hotel or restaurant.
Validation can be also an important element to satisfy an unhappy client. Acknowledge of responsibility, apologies if pertinent, can all send the appropriate message to the customer.
Customers also win with these kind or arraignments: they want good service, not vindication in courts; they usually do not have time or money to spend to solve the problem; and an immediate, concrete compensation from the service providers will make them happy.
A few months ago I was having dinner with my wife, her sister and her sister’s husband in a steak house. Next to our table, a group of 12 lawyers were celebrating a victory in a noisy, quasi disruptive way. At one point, the noise level was close to the unacceptable level. I asked the waiter to move us to another table, but the place was crowded.
The manager came, apologized, and offered as an alternative to bring all us free dessert. We agreed, ate free dessert –we did not need it, after a strong dinner, but, hey, it was free-, and ended happily the evening. What options did we have, anyway? What options did they have? Win-Win.
Hospitality businesses are truly intended to make customers happy. That is a main goal. Other industries –such insurance, auto repair, retail- do not depend on customer satisfaction as the hospitality industry does. That is their main incentive to quickly resolve the disputes that arise with their clients.
Having this information now as a customer myself, I will be more willing to immediately end any dispute I could have in the future with them.
The hospitality business is the biggest employer in the world. Because of the diverse interaction between actors in this business, numerous contacts with the law are held daily. For these reasons, dispute resolution for this industry is vital.
The single most important factor when solving problems, Mr. Barth said, is to listen; but to do so empathetically means to listen what the other side wants to say, not what we want to hear.
In my opinion, Front Desk personnel have to be highly trained in dispute avoidance. By deescalating conflicts, big dollars are saved to their employers.
Focus is on the needs of the clients, looking towards the future –a characteristic of ADR methods, contrasted with past-oriented, conventional litigation. Small concessions –free breakfast, room upgrade- can be the difference between expensive attorney’s fees -and associated expenses-, or a happy customer that will likely continue to do business with the hotel or restaurant.
Validation can be also an important element to satisfy an unhappy client. Acknowledge of responsibility, apologies if pertinent, can all send the appropriate message to the customer.
Customers also win with these kind or arraignments: they want good service, not vindication in courts; they usually do not have time or money to spend to solve the problem; and an immediate, concrete compensation from the service providers will make them happy.
A few months ago I was having dinner with my wife, her sister and her sister’s husband in a steak house. Next to our table, a group of 12 lawyers were celebrating a victory in a noisy, quasi disruptive way. At one point, the noise level was close to the unacceptable level. I asked the waiter to move us to another table, but the place was crowded.
The manager came, apologized, and offered as an alternative to bring all us free dessert. We agreed, ate free dessert –we did not need it, after a strong dinner, but, hey, it was free-, and ended happily the evening. What options did we have, anyway? What options did they have? Win-Win.
Hospitality businesses are truly intended to make customers happy. That is a main goal. Other industries –such insurance, auto repair, retail- do not depend on customer satisfaction as the hospitality industry does. That is their main incentive to quickly resolve the disputes that arise with their clients.
Having this information now as a customer myself, I will be more willing to immediately end any dispute I could have in the future with them.
posted by Mastropiero @ 9:54 PM
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