Summary of ARISE: A Destination-for-a-Day Spa Essay Example

offering high tips that do not match employee earnings.

Arise Spa was established in 2009 by Kristen Chambers and focuses on main services such as pedicures, hair styling, and manicures. The vision is to create a spa that resembles a destination facility and emphasizes the health benefits of spa treatments.

Originally, 12 PWCs were hired, but this number increased to 32 full-time PWCs. Chambers believes that by training PWCs about new health and wellness practices, they can serve as role models for their clients. In addition to providing treatments, PWCs also offer training to their clients. Chambers aims to hire the best employees and retain them for less. PWCs are encouraged to stay updated on new services and products.

One of the challenges faced by Arise Spa is high employee turnover and low tips. Recruitment and selection processes are also important factors in addressing these challenges.Challenges:
- Lack of employee preparation.
- Compensation & Benefits insufficient.
- Lack of presentation management system.

Recommendations:
- Planning Recruitment & Selection.
- Orientation & Training.
- Leadership Development.
- Compensation & Benefits.
- Team Building.
- Organizational Structure.

Statistics:
- 17% turnover in the first 3 quarters.
- 37% employee turnover at the end of the first year.
- 63% of the PWCs hired in the first two years quit their jobs.
- Expected tipping rate was 25% when the spa started, but compensation from tips was 50% lower than expected.

Issues:
- No specific recruitment process.
- Highly-experienced candidates were hired, but not given a high wage rate.
- Job descriptions and specifications were not provided.
- No time devoted to training.
- No programs in place for training and development.
- Highly experienced staff was hired without sufficient benefits.
- Bare-bones benefits package.
- No formal performance assessment system in place. Employees

were directly appraised by the manager.

Recommendations for improvement:
- Management should hold quarterly meetings.
- An HR personnel should be hired.
- Follow the 360-degree assessment method.
- Improve PWCs schedules.