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    Harrah'S Entertainment Inc: Rewarding Our People

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    rishi ranjan
    - Marilyn Winn, the HR Head of Harrah's Entertainment Inc, has called a meeting with COO Gary Loveman to revisit the company's employee rewards program. - The program, called the "Team-Focused Gain-Sharing Programme", has successfully improved customer service ratings and reduced employee turnover. - However, some employees are now reaching reward thresholds without further rewards, potentially demotivating them. Winn must present options to Loveman for continuing or modifying the program in the new business environment.

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    Harrah'S Entertainment Inc: Rewarding Our People

    Uploaded by

    rishi ranjan
    253 views7 pages
    - Marilyn Winn, the HR Head of Harrah's Entertainment Inc, has called a meeting with COO Gary Loveman to revisit the company's employee rewards program. - The program, called the "Team-Focused Gain-Sharing Programme", has successfully improved customer service ratings and reduced employee turnover. - However, some employees are now reaching reward thresholds without further rewards, potentially demotivating them. Winn must present options to Loveman for continuing or modifying the program in the new business environment.

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    HARRAH S ENTERTAINMENT OB CASE STUDY

    Original Title

    harrah's entertainment

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    - Marilyn Winn, the HR Head of Harrah's Entertainment Inc, has called a meeting with COO Gary Loveman to revisit the company's employee rewards program. - The program, called the "Team-Focused Gain-Sharing Programme", has successfully improved customer service ratings and reduced employee turnover. - However, some employees are now reaching reward thresholds without further rewards, potentially demotivating them. Winn must present options to Loveman for continuing or modifying the program in the new business environment.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    253 views7 pages

    Harrah'S Entertainment Inc: Rewarding Our People

    Uploaded by

    rishi ranjan
    - Marilyn Winn, the HR Head of Harrah's Entertainment Inc, has called a meeting with COO Gary Loveman to revisit the company's employee rewards program. - The program, called the "Team-Focused Gain-Sharing Programme", has successfully improved customer service ratings and reduced employee turnover. - However, some employees are now reaching reward thresholds without further rewards, potentially demotivating them. Winn must present options to Loveman for continuing or modifying the program in the new business environment.

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    At a glance
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    The key takeaways are that Harrah's Entertainment focuses on customer service and employee retention through a rewards program. The protagonist Marilyn Winn oversees the HR department and must review the rewards program.

    The protagonist Marilyn Winn is the head of HR at Harrah's Entertainment. She has worked at the company for over 20 years in various roles and helped implement their successful rewards program.

    Employees are becoming demotivated as reward targets get further away. Also, business has been affected by world events, putting pressure on the rewards program.

    HARRAH’S ENTERTAINMENT Inc:

    REWARDING OUR PEOPLE


    ePGDSM03 Group 6

    Kushveer Singh, Rishi Ranjan, Reshma Karthik


    Siddharth Shirur & Siddhesh Khandare
    Roll nos. 06,12,18,24,30
    CONTENTS
    • Summary
    • Protagonist
    • Dilemma problems faced by Winn
    • Decision Alternatives for Consideration by Winn
    • Learnings for our group
    SUMMARY
    • Harrah’s Entertainment Inc. is one the leading companies in the casino gaming
    and hospitality business in the USA
    • The company prided on their reputation of maintaining their customer service
    ratings very high in face of stiff competition in the industry
    • At the heart of their recent success was their focus on respect & rewards
    programme for their employees
    • The case is about revisiting this programme of Harrah’s that has reaped
    benefits to the company in the competitive market of gaming.
    • This programme of rewarding the employees to motivate them to raise
    customer service ratings has to be reviewed between Marilyn Winn, the HR
    Head and Gary Loveman, the COO in a meeting specifically called for the
    same.
    PROTAGONIST: Marilyn Winn
    • Marilyn Winn had been with Harrah’s since 1988 in HR. Between 1995-97 she was
    given charge of Operations in Las Vegas with 220 people reporting to her.
    • She was transferred and promoted to General Manager’s post in 1998 heading a
    team of 1400 employees in the Harrah property at Shreveport.
    • The big turn came in 1999 when Winn was offered her the top HR position in the
    headquarters at Las Vegas. She accepted it.
    • With her field operations experience in Shreveport, Winn had an edge in her career as
    HR head and together with the COO Loveman’s new ideas, she implemented a very
    streamlined and stabled the workforce by reducing turnovers from 45% to 34%
    • Together they also achieved great results in Customer Service with their ‘Team-
    Focused Gain-Sharing Programme’ and the turnover rate was reduced across almost
    all of Harrah’s properties across the country boosting employee retention and aiding
    in better CR ratings
    DILEMMA PROBLEMS faced by Winn
    • For quite a while after having introduced the ‘Team-Focused Gain-Sharing
    Programme’, the employees remained competitive and in turn improved
    customer service. However, of late some employees were coming close to
    reward levels and then not getting rewarded. Demotivated as they needed to
    work long hours and put in a lot of hard work to achieve the targets
    • Moreover the Sep 11, 2001 Twin Tower bombings had seriously started affecting
    business, though within a month, Harrah’s had a 90% occupancy at its Vegas
    property. In such an environment, Harrah’s had managed to not lay off a single
    employee as against its competitors.
    • In the new light of developments, Winn was expected to present to COO
    Loveman, her proposal wrt the continuation of Gain-Sharing model or its
    modification to suit the new environment if need be.
    • It is difficult to keep employees motivated and focused on customer service
    when the plateau of service has been reached, they continue to work hard but
    no longer see bonus rewards
    Decision Alternatives for Consideration by Winn
    • While customer service at Harrah’s is seen as the focus of everyone’s job, the
    reward program requires change. At the same time, Harrah’s has been
    successful in achieving results through its employee bonus program and they
    should not completely abandon the tool.
    • One solution is rewarding employees for maintaining the achieved levels instead
    of moving the benchmark further away from realistic expectations.
    • If customer service scores decreased the organization could not give the
    performance payout.
    • A second solution that could inspire new opportunities for growth in customer
    service could be to also reward individuals for new and innovative ideas for the
    customer service program
    • Using the Future Oriented Appraisal Method, Winn could get a 360deg
    feedback to set aims at future potential/targets by involving relevant
    stakeholder employees and set the course for the future
    Learnings for our group
    • By and large Marilyn Winn has been an asset to Harrah’s.
    • Here we see that Harrah’s has followed a very effective employee retention rate thereby reducing
    the turnover rates drastically wrt to industry competitors. This was achieved by Winn together with
    the COO Loveman’s strategies of keeping with careful attention to detail for the following concepts:
    a. By changing the approach to hiring: Is this the best person we can get for this job? – instead of
    does this person meet the minimum requirements of the job! This was done by doing away with
    ‘Hiring from the Gut’ approach and employing professional help in psychometric analysis.
    b. With Winn’s experience, the company laid more emphasis for hiring higher level employees by
    promoting internally than giving sideways entry to MBA professionals from other fields. In a way
    the company struck a healthy balance between the two approaches.
    c. Further they employed a new reward system to improve customer service linked to ‘Team
    Focused Bonuses and Incentives’ by making it clear that customer satisfaction ratings mattered
    more than just total earnings. The higher level management team had their incentives structured
    on not just company earnings but also customer and employee ratings.
    d. It is evident that Harrah’s viewed HR as a ‘proactive’ rather than a ‘reactive’ process and laid vast
    importance to the basics of HRM: Acquisition, Motivation, Development and Management of
    the organization's human resources

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