I can't see firing the employee. They're too valuable. They have inside information about the customers that can probably only be gained one way (word of mouth). It's more likely that I would put that employee in charge of a task group to find out how to improve "room service" and try to find ways implement their recommendations (within reason that is).

Good Morning Linda, Certainly the employee should be reprimanded. What he is doing is the same as stealing. However, in light that the customers are being satisfied opens of a possibility of increasing customer satisfaction "across the board" as well as cutting cost and increasing profit. I would first look at the costs associated with my own room service. Cost of employees, food, kitchen service etc. Estimate overall profit from the service. Talk with cafe owner about possible joint venture and the estimated profit in allowing his services at the hotel. Study the use of Both services. One idea would be to keep both and ask for feedback from the customers for a period of time. It may be the majority of customers prefer one meal (breakfast) from on establishment and another (dinner) from the other. A lot of possibilities there to enhance overall customer satisfaction. Which is the Most important meaning in business growth. Just my 2 cents, Angela

I totally agree with that. If you fired him what is to stop him from going to the competition and pitching them the room service business he was in with his cousin. If the other hotel took him up on it they could get the good reputation for room service instead of the original hotel that he worked for. Martha

I would still fire the employee... As the manager I can get another employee to run the service back and forth from the cafe. The guests were excited about the items from the cafe, not necessarily the actual person that brought it to them. Now, just because I would fire the emloyee doesn't mean that I don't think the employee is creative, entrepreneurial, and insightful. The employee just needs to go out and do that on his/her own or for someone else. If I was the Cafe owner I would seriously consider accepting business from a Hotel, cousin included or not. If it doesn't work out, it doesn't work out. I don't see how it was being done in the first place because most room service is paid with room keys/accounts. Unless the guests were paying cash I don't see how it would fly. Jim

------------- "The guests were excited about the items from the cafe, not necessarily the actual person that brought it to them." ------------- But is that really the case Jim? If that was so, why was it only that one employee that was doing this? Word gets around and if there's money to be made then everyone would try getting in on it. Yet, here it was one employee. I would want to know what that person was doing that the rest are not. Making the deals with Vendors (store owners) is easy. It's finding out which Vendors to make the deals with that's the problem. I see the best way of doing this is through the staff that deal directly with the customers. And who better than one that is already successful at providing the customer with what they want.