Regarding organizational architecture, why has tipping emerged as a way to compensate waiters?
Category: Economics, Tags: Decision Rights, Organizational Architecture, Three Aspects, Tipping, Waiters
Nevyll asked:
In terms of the organizational architecture, there seems to be three aspects of it, decision rights, rewarding individuals, and evaluating their performance. I am having troubling applying this concept to compensating waiters. I would think that it has emerged to allow customers to measure and evaluate a waiter’s performance and service, while providing them with an incentive…but I am not sure.
In terms of the organizational architecture, there seems to be three aspects of it, decision rights, rewarding individuals, and evaluating their performance. I am having troubling applying this concept to compensating waiters. I would think that it has emerged to allow customers to measure and evaluate a waiter’s performance and service, while providing them with an incentive…but I am not sure.
2 Responses on Regarding organizational architecture, why has tipping emerged as a way to compensate waiters?
I am not quite sure myself but I used to waitress and tips are highly appreciated. Most waiters and waitresses only make $2.13/hr. and by law that is all they can make hourly. This leaves them to rely on tips to survive. I think that only the customer can decide what kind of service they got from a waiter/waitress and it is basically been left up to them to decide what they earned for their time. I think it is supposed to motivate the waitress/waiter to do her best with each customer as to earn the most for her time. However there are flaws. There are always flaws. 1) Some waitresses/waiters just don’t care. I have seen servers that still just don’t put in the effort and only do the minimal to get through their day. I have seen some that just treat the customer like dirt. 2) The customer is NOT always right. I have seen customers that got excellent service and either don’t have the cash or are cheap and obviously did not tip the right amount for the service they recieved. Now if you don’t have the cash, I personally think you shouldn’t be going out to eat. If you are cheap, don’t go to a place where you have to tip. Some customers are just rude, leaving a penny is a sure fire way to quickly anger a server especially if they gave great service. Now I am not sure what works for you, but as for myself and being a waitress in the past, I choose to tip 25-30% Most people tip under 10% and the people that do tip the norm of 15% are great but most servers bust their butts for minimal money. I tip 25% for good service and 30% for great service. I have tipped 100% for flawless service before too. It really is up to you what you decide to tip and if you decide to tip. Just take in to consideration a few things the next time you get waited on. Are they friendly? polite? helpful? knowledgable? timely? do they refill your drinks? take your empty plates out of your way? and just all around make sure you have everything you need? Because our job as a server is to basically pamper the customer while they are out from their home whether it is a low-priced diner or an expensive well known restaurant. I hope this helps. Take care and enjoy your dining experience.
tips directly link reward and performance.
Actions of waiter are key in customer experience, so there is immediate and perfect feedback when customer determines waiter’s reward.
Alternative would be customer satisfaction surveys, and that will cost more, and take longer to collect them, analyze, and retrain the waiters.
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