1. Welcome to the Portman Ritz-Carlton BAILLY Sophie CERCLAEYS Bertrand DESMERGERS Lilia GASPARD Virgile LAFITTE Pierre

2. Summary • Companyoverview • Mission statement • The Alliance withPortman : a succesfull story • Culture and Commitment of employees: a Convergence Strategy • The Portman Ritz SwotAnalysis • Recommendations

3. The Ritz-Carlton overview • Brand of luxury hotel and resort with 72 properties, found in Chevy Chase Maryland • Located in major cities and exclusive resort destinations of 23 countries worldwide (Hong Kong, Singapore Shanghai, and so on) • Managed by the Ritz-Carlton Hotel Company LLC, a subsidiary of Marriott International • Currently 32 000 employees • First Ritz-Carlton Hotel in North America was built in Montreal in 1909. • First Ritz-Carlton Hotel in the U.S. was built in Boston in 1927. • Twenty years at the top of the top : considered as the best company for guests and employees

4. Mission statement « We are ladies and gentlemen serving ladies and gentlemen » Ladies/ Gentlemen : positive connotation (high premium market) Serving : Helping/ For the well being of customers (customer focused) Good mission statement : • Very catchy/ Easy to understand • Show that the main objective is the client and the customer satisfaction • Implies luxury hostels • Employee satisfaction engenders customer satisfaction

5. The Portman Ritz-Carlton philosophy « Get the best fromits people » High corporate culture : • Employee satisfaction (98%) • High remuneration • Performance objectives aligned with the company goal • Development of the know how and the culture of employees • Listen to the employees

6. The Portman Ritz-Carlton : A strategy alliance • First implementation in the Chinese market by Hong Kong : very occidentalized city • Decided to enter in Shanghai in 1998 with the know how learnt in Hong Kong with Portman Steps of the alliance : 1 Acquisition of Portman Shangri-La 2 Renovation of the building 3 Changing of the tops managers by expatriate employees 4 Strategy of hiring local employees based on relational skills (culture, motivation, …) 5 Implementation of a training and development strategy 6 Substitute expatriate by local top managers

7. A successfullstrategy : employeeinvolvement • Internal service quality • Employees promise :   « We are here to take care of you »/ « Get the best fromitsemployees » • Rewards, bonuses • Brainstorming • Direct feedback • Surveys about employee satisfaction • External service value : « Delivering the final service and creatingexceptionalexperiencefromguests » Credo : «  We are here to take care of ours guests

8. A successfullstrategy : employeeinvolvement Effects of leadership on culture and commitment • From 1998 to 2001 : Improvement of employees satisfaction rating • 2001 : First best employer in Asia • Low turnover rate • New corporate culture • Advantages of benchmarking • Employeefocused to improve the global quality

9. SwotAnalysis

10. Crisis impact

11. Recommendations • Continuousimprovement of internal and externalstrategy to be more pricecompetitive/ consolidate the presencebecause no close future competitors • Get the opportunity of Beijing city developmentwith the Olympicgames and the opening of the tradebarrierslittle by little (Business segment) • Higherresistance of the Chinesemarket to the financialcrisis : increase the development in China

12. Thank for your attention Is thereany question ?