Make Your Hotel More Profitable and Successful – 2011 is the critical time to invest in Your Talent and Your Team

(John is a great friend and former Instructor, he has keen insight.)



“Learning is not compulsory… neither is survival.”


W. Edwards Deming (1900-1993)

Deming was known as the father of the Japanese post-war industrial revival and regarded by many as the leading quality guru in the United States. Trained as a statistician, his expertise was used during World War II to assist the United States in its effort to improve the quality of war materials. He was invited to Japan at the end of World War II, where Japanese industrial leaders and engineers asked how long it would take to shift the perception of the world from the existing paradigm that Japan produced cheap, shoddy imitations to one of producing innovative quality products. Deming told the group that if they would follow his directions, they could achieve the desired outcome in five years. Few of the leaders believed him, but were ashamed to say so and would be embarrassed if they failed to follow his suggestions. Looking back, Dr. Deming observed, "They surprised me and did it in four years."


For much of the past three years, many industries have faced somber financial challenges. Hospitality in literally all segments struggled to find ways to meet the global financial meltdown in 2008 and 2009 and the 2010 scorecard shows mixed year-end results. Erosion of revenue and profitability from 2006-2007 periods, and the loss of both long-term customers and loyal staff are all issues faced.


As recently as last week in the HVS Career Network , there was discussion of a growing demand from their clients for top talent, especially at the middle-management level. Their report stated that the middle management group was considered a “ traditionally neglected group” of employees, but they were a crucial link between top management and line employees and responsible for turning business strategies into tangible outcomes.


In my career, I have experienced four major economic recessions that all dramatically hurt our industry for a period and I have participated in four recoveries. I agree with the HVS assessment that “Hoteliers have come to realise that now more than ever the quality of the workforce is the key market differentiator, and are ramping up their talent sourcing and retention strategies.”


Now is the critical time for hospitality business owners and managers to invest in their talent and team if they hope to make their Hotel More Profitable and Successful. Rebuilding our center of attention into a business recovery over the next 12 months means that now is the time to pay attention to those professionals in our organizations who are the key components of why guests will stay with our businesses.


I commented in several columns a year ago that it is a sometimes a hardship in the cost-conscious operations facing many businesses today for managers to leave their properties for professional development. It is also a reality that there is seldom any longer dedicated time for meaningful on-the-job training, which had habitually been a strong element of the hospitality industry’s career advancement path. There are many issues facing the complex world of hospitality and today’s business owners and managers need to be aware of that diversity, regardless of their own business focus.


As an individual who has been involved with well thought-out learning as both an academic and a corporate educator, I have come to recognize that delivering a balance of real-world business skills and comprehension with structured learning is essential to long-term success.