(I studied under John in college, He is a great instructor.)
This series on the “high-touch” side of hospitality has prompted positive reader feedback and ideas from hoteliers and managers who have participated in some of my workshops idea
•Segment 1 underscored the need for hospitality businesses to deliver unique experience to avoid being viewed as a commodity.
•Segment 2 focused on identifying ways to encourage hotel staffs to think about the “guest experience" , whether you are an independent hotel or brand affiliated It offered concrete examples ways to avoid being seen as ordinary or a “commodity” in the critical guest service of SLEEP
•Segment 3 examined the essential topic of significant value to hotel guests everywhere: BREAKFAST.
•Segment 4 generated the most reader feedback, with general agreement that calming “an angry customer” gives hotels the chance to win loyalty be demonstrating sincere concern.
No one is proposing that we want to annoy guests, but there is agreement that a “satisfied” guest is probably not thinking a hotel is very special and that adequate stay does not automatically build loyalty or repeat visits. Hotels of today must anticipate problem areas and respond immediately when one arises. This means that hotel owners and managers must allow and insist that their staffs do whatever it takes to meet the customers’ needs and a number of individual properties, brands and chains have worked to refine their staff responsiveness to these guest annoyances.
In the last column, I promised I would share one of the most comprehensive and meaningful service codes ever introduced. An unusual and perhaps unexpected fact about this service code is that premiered almost a century ago by one of the most successful hoteliers of all time.
Elsworth Statler has been described and considered one of the most innovative and creative of hoteliers of all time. He is credited with many of the practices and construction methods that became industry standards.
It was in Buffalo in 1908 that Elsworth Statler,(born into poverty in a West Virginia mining centers), began paying real attention to details that would become trademarks of his genius. In a 300-room hotel, he was the first to provide a bathroom in each room, which had been unheard of that time. Rather than force guests that were strangers to share common baths down the hall, he modified the construction practice to build rooms “back-to-back”. This practice was then able to use common electrical conduit and plumbing shafts (later known as the Statler plumbing shaft), making the bathroom a basic part of every Statler hotel and within a decade in many of the hotels in the industry.
The Buffalo Statler introduced other innovations that evolved into standards at many hotels, including circulating ice water in every room, which was important in the pre-air conditioning heat in many cities, telephones in every room, a full size closet in every room, lights in every closet and a hook by the mirror in each bathroom that encouraged guests to reuse their towel, thereby saving laundry costs.
Statler understood success was a combination of operations and marketing. He was perceptive in paying attention to building revenues and anticipated the expansion of conventions and meetings business. Guest rooms were not decorated in a “cookie cutter” style, but were with the proper balance of colors and design so that bedspreads, draperies and rugs could be interchanged from room to room if need be.
In addition to the physical amenities he stressed and introduced, he recognized that guests had to feel appreciated. To emphasize his commitment, Statler introduced what he called the STATLER SERVICE CODE.
Statler Service Code
•It is the business of a good hotel to cater to the public. It is the avowed business of the Hotel Statler to please the public better than any other hotel in the world.
•Have everyone feel that for his money we want to give him more sincere service than he ever before received at any hotel.
•Never be perky, pungent or fresh. The guest pays your salary as well as mine. He is your immediate benefactor.
•Hotel service, that is, Hotel Statler service, means the limit of courteous, efficient attention from each particular employee to each particular guest. It is the object of the Hotel Statler to sell its guest the best service in the world.
•No employee of this hotel is allowed the privilege of arguing any point with a guest. He must adjust the matter at once to the guest's satisfaction or call his superior to adjust it. Wrangling has no place in Hotel Statler.
•In all minor discussions between Statler employees and guests the employee is dead wrong, from the guest's point of view and from ours.
•Any Statler employee who is wise and discrete enough to merit tips is wise and discrete enough to render like service whether he is tipped or not.
•Any Statler employee who fails to give service or who fails to thank the guest who gives him something falls short of Statler standards.
Thursday, August 12, 2010
Tuesday, August 10, 2010
New Industry White Paper Reveals Methodologies to Measure the Effectiveness of a Managed Hotel Program
The National Business Travel Association (NBTA) today offered a preview of its new white paper, Making Cents of Your Preferred Hotel Program: Methodologies for Measuring the Effectiveness of a Managed Hotel Program. This how-to guide for demonstrating the value of a managed hotel program to key stakeholders will be made available to NBTA members and attendees of the 2010 NBTA International Convention & Exposition in Houston, August 8-11.
The new white paper provides readers with an overview of the methodologies used to validate savings resulting from the Hotel Request for Proposal (RFP) as well as those used to measure and communicate program value throughout the year. These methodologies serve as a guideline to assist travel managers in designing and implementing hotel metrics within their companies.
The paper focuses on six RFP methodologies to begin quantifying savings resulting from the hotel RFP process, which include:
1.Measurement of Common Hotels/Year-over-Year
2.Initial Bid Rate vs. Final Accepted Rate
3.Average Negotiated Rate Benchmarked Against Industry
4.Measurement of New Preferred Hotels
5.Comparison Measurements
6.Amenity Savings and Overall Program Value
The paper also stresses the importance of establishing a set of metrics that will indicate whether a given hotel program is performing as designed -- to optimize savings and value by monitoring compliance, discount utilization and savings on an ongoing basis. Five methodologies are highlighted to determine this, including:
1.Average Negotiated Rates vs. Average Booked Rates at Preferred Hotels
2.Average Negotiated Rates vs. Average Booked Rates at Non-Preferred Hotels
3.Gap Analysis of Compliance to Preferred Hotel Program
4.Savings/Loss Impact of Market Tier Shift
5.Average Negotiated Rate vs. Best Available Rate – Captured at Point of Sale
NBTA Hotel Committee Co-Chair Laurie Kazimer said, “Although there are many elements of a successfully managed hotel program, clear communication of the value of one’s program to one’s stakeholders is an important piece. Tailoring methodologies to meet the needs of one’s audience allows for better communication of the overall value of the process from start to finish, not only during the RFP process but throughout the year.”
The new white paper provides readers with an overview of the methodologies used to validate savings resulting from the Hotel Request for Proposal (RFP) as well as those used to measure and communicate program value throughout the year. These methodologies serve as a guideline to assist travel managers in designing and implementing hotel metrics within their companies.
The paper focuses on six RFP methodologies to begin quantifying savings resulting from the hotel RFP process, which include:
1.Measurement of Common Hotels/Year-over-Year
2.Initial Bid Rate vs. Final Accepted Rate
3.Average Negotiated Rate Benchmarked Against Industry
4.Measurement of New Preferred Hotels
5.Comparison Measurements
6.Amenity Savings and Overall Program Value
The paper also stresses the importance of establishing a set of metrics that will indicate whether a given hotel program is performing as designed -- to optimize savings and value by monitoring compliance, discount utilization and savings on an ongoing basis. Five methodologies are highlighted to determine this, including:
1.Average Negotiated Rates vs. Average Booked Rates at Preferred Hotels
2.Average Negotiated Rates vs. Average Booked Rates at Non-Preferred Hotels
3.Gap Analysis of Compliance to Preferred Hotel Program
4.Savings/Loss Impact of Market Tier Shift
5.Average Negotiated Rate vs. Best Available Rate – Captured at Point of Sale
NBTA Hotel Committee Co-Chair Laurie Kazimer said, “Although there are many elements of a successfully managed hotel program, clear communication of the value of one’s program to one’s stakeholders is an important piece. Tailoring methodologies to meet the needs of one’s audience allows for better communication of the overall value of the process from start to finish, not only during the RFP process but throughout the year.”
Friday, August 6, 2010
Breakfast Best Practices on Engaging the “high-touch” side of our business #3 |
(Again, I studied under John , he was a great instructor.)
Keys to Success Hospitality Tip
The full title of this series is Engaging the "high-touch" side of our business by instilling passion in our people and reader comments and feedback on the first two segments has been positive. Segment 1 emphasized the authentic requirement for hospitality businesses to provide a unique experience or face the probable penalty of being viewed as a commodity.
Segment 2 defined in some detail the experience of today, whether you are an independent hotel or brand affiliated. It also focused on identifying ways to encourage hotel general managers and their staffs to think about the "guest experience" and offered concrete examples from workshop attendees' ideas on ways to avoid being seen as ordinary or a "commodity" in the area every guest experiences, regardless of hotel location, room rate or level of service: SLEEPING. Practical ideas addressing all five of the human senses were shared.
This segment examines another area that I have written on previously and that is of considerable significance to hotel guests everywhere: BREAKFAST1. I am recapping feedback and suggestions from hoteliers and restaurant managers who participated in some of my workshops.
FULL SERVICE HOTELS
•The competition from the Rooms Only Hotels in your marketplace is increasing and many of the mid scale chains provide complimentary breakfast. Providing an exceptional breakfast offering that makes potential guests decide to select your property is important.
•Breakfast is a chance to shine, as more guests and salespeople are viewing breakfast as an ideal time to "do" business, as well as the guests who are looking to start their day on a positive note. Hotel restaurants are frequently busier at breakfast than at other meals, unless your hotel is an upscale property with a high demand for business lunches. Shouldn't your sales team show a restaurant that appears to be well used and popular?
•Time spent at breakfast is viewed by many as more useful than other meals, because all participants view this as a time for productive business for all parties. There is less likely to be quite as much warm-up banter, as everyone wants to get down to business.
•Breakfast at full service restaurants remains a best value, when compared to other meals. In challenging economies, this can be a deciding factor for hotel selection.
ROOMS ONLY HOTELS
1.Many rooms' only properties offer very attractive continental breakfasts. Managers and sales team can impress potential clients with a breakfast presentation that will be part of their guests' stay.
2.While many brands have clear guidelines, extra efforts in breakfast offerings have demonstrated returns for operators and satisfaction for guests.
3.Remember that McDonalds', Wendy's, Subway and many other fast food restaurants recognized the value of breakfast in the last 5 to 15 years and turned formerly closed hours into periods of substantial profitability by meeting the needs of people who were looking for a quick, perceived value option for breakfast. For many family restaurants such as Denny's or International House of Pancakes, breakfast remains their highest and most profitable volume period.
Participants who shared these observations also commented on several other high touch points in both full service and rooms only properties:
1.Breakfast is the ideal time to interact with guests. General Managers can learn a great deal about the guest experience by chatting with guests and active listening.
2.Sales staff can make excellent contacts at breakfast.
3.Menus and food offerings should change, either with the season or by some other plan. Regular guests appreciate the basics, but also value some variety. Rotating decorations that complement food specials does not need cost a great deal, and the variety can motivate the staff as well.
4.The next segment of this blog topic will share best practices on staff responsiveness to a guest's concern or complaint, which can decide a guest's satisfaction and loyalty.
Keys to Success Hospitality Tip
The full title of this series is Engaging the "high-touch" side of our business by instilling passion in our people and reader comments and feedback on the first two segments has been positive. Segment 1 emphasized the authentic requirement for hospitality businesses to provide a unique experience or face the probable penalty of being viewed as a commodity.
Segment 2 defined in some detail the experience of today, whether you are an independent hotel or brand affiliated. It also focused on identifying ways to encourage hotel general managers and their staffs to think about the "guest experience" and offered concrete examples from workshop attendees' ideas on ways to avoid being seen as ordinary or a "commodity" in the area every guest experiences, regardless of hotel location, room rate or level of service: SLEEPING. Practical ideas addressing all five of the human senses were shared.
This segment examines another area that I have written on previously and that is of considerable significance to hotel guests everywhere: BREAKFAST1. I am recapping feedback and suggestions from hoteliers and restaurant managers who participated in some of my workshops.
FULL SERVICE HOTELS
•The competition from the Rooms Only Hotels in your marketplace is increasing and many of the mid scale chains provide complimentary breakfast. Providing an exceptional breakfast offering that makes potential guests decide to select your property is important.
•Breakfast is a chance to shine, as more guests and salespeople are viewing breakfast as an ideal time to "do" business, as well as the guests who are looking to start their day on a positive note. Hotel restaurants are frequently busier at breakfast than at other meals, unless your hotel is an upscale property with a high demand for business lunches. Shouldn't your sales team show a restaurant that appears to be well used and popular?
•Time spent at breakfast is viewed by many as more useful than other meals, because all participants view this as a time for productive business for all parties. There is less likely to be quite as much warm-up banter, as everyone wants to get down to business.
•Breakfast at full service restaurants remains a best value, when compared to other meals. In challenging economies, this can be a deciding factor for hotel selection.
ROOMS ONLY HOTELS
1.Many rooms' only properties offer very attractive continental breakfasts. Managers and sales team can impress potential clients with a breakfast presentation that will be part of their guests' stay.
2.While many brands have clear guidelines, extra efforts in breakfast offerings have demonstrated returns for operators and satisfaction for guests.
3.Remember that McDonalds', Wendy's, Subway and many other fast food restaurants recognized the value of breakfast in the last 5 to 15 years and turned formerly closed hours into periods of substantial profitability by meeting the needs of people who were looking for a quick, perceived value option for breakfast. For many family restaurants such as Denny's or International House of Pancakes, breakfast remains their highest and most profitable volume period.
Participants who shared these observations also commented on several other high touch points in both full service and rooms only properties:
1.Breakfast is the ideal time to interact with guests. General Managers can learn a great deal about the guest experience by chatting with guests and active listening.
2.Sales staff can make excellent contacts at breakfast.
3.Menus and food offerings should change, either with the season or by some other plan. Regular guests appreciate the basics, but also value some variety. Rotating decorations that complement food specials does not need cost a great deal, and the variety can motivate the staff as well.
4.The next segment of this blog topic will share best practices on staff responsiveness to a guest's concern or complaint, which can decide a guest's satisfaction and loyalty.
Thursday, August 5, 2010
Are Your Waitstaff Sales People Or Order Takers...???
ARE YOUR WAITSTAFF SALES PEOPLEOR ORDER TAKERS
Do you know the difference between an order taker & a sales person?
Generally about 25% in added sales….
Ten Tips for Increasing Sales & Customer Satisfaction
1) The Greeting & Spill Drinks – "Hi, my name is Rick and I'll be your server tonight." Is not what I want to here as your guest — Talk to me — engage me — Ask me how I'm doing — Ask if I've been here before — Thank me for coming - anything to engage me & make me glad that I chose your restaurant!
2) The Beverage Order & Tips – DON'T ask — what would you like to drink — Offer me a beverage — Would you like a cocktail or a glass of wine while you check out the menu — If I ask for water — don't say sure — DO Ask "will that be flat or sparkling"! (This is one of my personal favourites — more opportunities missed here than anywhere else...)
3) The Appetizer – After bringing my beverage — DON'T ask if we are ready to order — offer me a specific appetizer or starter — if I hesitate, offer something that we can share…
4) What's Good Here? – never say EVERYTHING — give me a couple of real suggestions — what is your favourite? What is the Chef featuring tonight? What did your last table rave about?
5) "How's Everything?" – DON'T ever ask this when checking back on food - Be specific — Is your steak cooked to your liking? Does anyone need more sauce? Have you tasted the chicken yet? Don't forget to mention to save room for dessert — "the chocolate cake here is to die for…"
6) Drink Refills – This is the easiest sale of all — and quite often overlooked — Be alert — don't miss the opportunity to refill our drinks — Don't make me chase you for it.
7) After Dessert & – thank me for coming — invite me back — and DON'T ask me if I need change — if you have done your job well — you will get a tip — a good one if you have earned it!
8) In General – Know your restaurant — It goes without saying that all wait staff should have an intimate knowledge of the food & beverage menu — In addition Always ensure that everyone knows - what time do you open & close, how long have you been established, how do I make a reservation, do you offer group menus or packages, when was it remodelled last — All the little things that create a positive impact on curious customers.
9) Pre Shift Meetings – Never, Never begin any shift without a pre-shift floor staff meeting — everyone needs to know what is happening — what are the specials, what do they look like — what are they served with — what beverage or wine should be suggested with them — Coaching is critical — Always & Continuously!
10) Training, Training, Training – It never "just happens" It must be a conscious effort on the part of management & ownership — It must be intentional — focused - & repetitive, as necessary -
When guest \ server interaction improves - everyone wins — customers feel appreciated, they return more often, sales increase, tips increase, staff turnover decreases…
We have all heard the old adage about the cost of training;
What happens if I spend all that money training someone and then they leave?
What happens if you don't train them and they stay?
You decide...
Do you know the difference between an order taker & a sales person?
Generally about 25% in added sales….
Ten Tips for Increasing Sales & Customer Satisfaction
1) The Greeting & Spill Drinks – "Hi, my name is Rick and I'll be your server tonight." Is not what I want to here as your guest — Talk to me — engage me — Ask me how I'm doing — Ask if I've been here before — Thank me for coming - anything to engage me & make me glad that I chose your restaurant!
2) The Beverage Order & Tips – DON'T ask — what would you like to drink — Offer me a beverage — Would you like a cocktail or a glass of wine while you check out the menu — If I ask for water — don't say sure — DO Ask "will that be flat or sparkling"! (This is one of my personal favourites — more opportunities missed here than anywhere else...)
3) The Appetizer – After bringing my beverage — DON'T ask if we are ready to order — offer me a specific appetizer or starter — if I hesitate, offer something that we can share…
4) What's Good Here? – never say EVERYTHING — give me a couple of real suggestions — what is your favourite? What is the Chef featuring tonight? What did your last table rave about?
5) "How's Everything?" – DON'T ever ask this when checking back on food - Be specific — Is your steak cooked to your liking? Does anyone need more sauce? Have you tasted the chicken yet? Don't forget to mention to save room for dessert — "the chocolate cake here is to die for…"
6) Drink Refills – This is the easiest sale of all — and quite often overlooked — Be alert — don't miss the opportunity to refill our drinks — Don't make me chase you for it.
7) After Dessert & – thank me for coming — invite me back — and DON'T ask me if I need change — if you have done your job well — you will get a tip — a good one if you have earned it!
8) In General – Know your restaurant — It goes without saying that all wait staff should have an intimate knowledge of the food & beverage menu — In addition Always ensure that everyone knows - what time do you open & close, how long have you been established, how do I make a reservation, do you offer group menus or packages, when was it remodelled last — All the little things that create a positive impact on curious customers.
9) Pre Shift Meetings – Never, Never begin any shift without a pre-shift floor staff meeting — everyone needs to know what is happening — what are the specials, what do they look like — what are they served with — what beverage or wine should be suggested with them — Coaching is critical — Always & Continuously!
10) Training, Training, Training – It never "just happens" It must be a conscious effort on the part of management & ownership — It must be intentional — focused - & repetitive, as necessary -
When guest \ server interaction improves - everyone wins — customers feel appreciated, they return more often, sales increase, tips increase, staff turnover decreases…
We have all heard the old adage about the cost of training;
What happens if I spend all that money training someone and then they leave?
What happens if you don't train them and they stay?
You decide...
Tuesday, August 3, 2010
Share Best Practices on Engaging the “high-touch” side of our business #2
(I studied under John, he was a great instructor)
Keys to Success Hospitality Tip
The full title of the previous blog reinforced the emphasis of this series: Engaging the "high-touch" side of our business by instilling passion in our people and I appreciate reader response and feedback. Segment 1 introduced an understanding of a genuine need for the hospitality industry to provide a unique experience or face the potential consequences of our hotel, restaurant, retail service or attraction being viewed as very ordinary or in other words, a commodity.
This second segment of the series further defines the experience of today, whether you are an independent hotel or brand affiliated. In segment one, I shared some insights from Tennessee hotelier Johnny Walker of Nashville. He has been actively engaged in the hospitality industry for more than 35 years and is one of the region's most experienced tour operators. As a hotel owner/operator with numerous brands, he offered a number of ideas he felt were important for hotel managers today, including the message that "every room rental/stay must be viewed as an experience"
In a number of interactive workshops over the past two years, I have focused on identifying ways to encourage hotel general managers and their staffs to think about the "guest experience" and how we might build that commitment of "high touch" into the mindset of every employee for every guest.
Recognizing the danger of becoming a "Commodity", and seeking specific ways to avoid becoming ordinary, I focused on three areas in these workshops and am pleased to share some best practices from managers and owners of both branded and independent properties.
The first topic discussed is one that every guest experiences, regardless of hotel location, room rate or level of service: SLEEPING
These workshops were held across North America and participants had wonderful ideas and best practices of how to make the "sleeping" experience positive, memorable and unique. The best ideas I heard included addressing all five of the human senses
1.Sight -- the guest room and the bed must be inviting. This means neatly prepared beds, using pillows as décor and a sense of freshness to the eye as one enters the room.
2.Smell -- the fragrance discussion in hospitality is not new. We all likely have fond memories of entering a bakery or a certain restaurant, yet too many hotels do not address this sensation. Care must be taken in cleaning products used, and there are packaged scents available that can be subtly present in the guest room, which enhances the overnight experience of sleep.
3.Sound -- Rooms must be reasonably constructed or designed to block out street noise or external sound, as well as addressing the sounds of ice machines and elevators. Suggestions by attendees included ways to identify and then deal with those noises. A number of properties today include a CD player (with brand or hotel provided CDs) and/or a higher quality radio that offers additional calming effects conducive for sleeping
4.Taste -- the general manager's reception, fresh popcorn in the lobby, homemade cookies or other treats can be positive interactions for guests as they retire to their rooms. These can reinforce situations they have at home, and therefore find positive when traveling.
5.Touch -- as in #1 Sight above, the guest room and bedding must be inviting. Well maintained, comfortable bed coverings with quality linens complete the five senses for a guest who is on the road every week or for those who travel only on vacations.
Participants who shared these observations also commented that the entire housekeeping and front office teams must be part of understanding that delivery of a good's night's sleep means each member of the staff contributing their own personal touches, smiles and appreciation of the individual guest staying at their hotel.
Keys to Success Hospitality Tip
The full title of the previous blog reinforced the emphasis of this series: Engaging the "high-touch" side of our business by instilling passion in our people and I appreciate reader response and feedback. Segment 1 introduced an understanding of a genuine need for the hospitality industry to provide a unique experience or face the potential consequences of our hotel, restaurant, retail service or attraction being viewed as very ordinary or in other words, a commodity.
This second segment of the series further defines the experience of today, whether you are an independent hotel or brand affiliated. In segment one, I shared some insights from Tennessee hotelier Johnny Walker of Nashville. He has been actively engaged in the hospitality industry for more than 35 years and is one of the region's most experienced tour operators. As a hotel owner/operator with numerous brands, he offered a number of ideas he felt were important for hotel managers today, including the message that "every room rental/stay must be viewed as an experience"
In a number of interactive workshops over the past two years, I have focused on identifying ways to encourage hotel general managers and their staffs to think about the "guest experience" and how we might build that commitment of "high touch" into the mindset of every employee for every guest.
Recognizing the danger of becoming a "Commodity", and seeking specific ways to avoid becoming ordinary, I focused on three areas in these workshops and am pleased to share some best practices from managers and owners of both branded and independent properties.
The first topic discussed is one that every guest experiences, regardless of hotel location, room rate or level of service: SLEEPING
These workshops were held across North America and participants had wonderful ideas and best practices of how to make the "sleeping" experience positive, memorable and unique. The best ideas I heard included addressing all five of the human senses
1.Sight -- the guest room and the bed must be inviting. This means neatly prepared beds, using pillows as décor and a sense of freshness to the eye as one enters the room.
2.Smell -- the fragrance discussion in hospitality is not new. We all likely have fond memories of entering a bakery or a certain restaurant, yet too many hotels do not address this sensation. Care must be taken in cleaning products used, and there are packaged scents available that can be subtly present in the guest room, which enhances the overnight experience of sleep.
3.Sound -- Rooms must be reasonably constructed or designed to block out street noise or external sound, as well as addressing the sounds of ice machines and elevators. Suggestions by attendees included ways to identify and then deal with those noises. A number of properties today include a CD player (with brand or hotel provided CDs) and/or a higher quality radio that offers additional calming effects conducive for sleeping
4.Taste -- the general manager's reception, fresh popcorn in the lobby, homemade cookies or other treats can be positive interactions for guests as they retire to their rooms. These can reinforce situations they have at home, and therefore find positive when traveling.
5.Touch -- as in #1 Sight above, the guest room and bedding must be inviting. Well maintained, comfortable bed coverings with quality linens complete the five senses for a guest who is on the road every week or for those who travel only on vacations.
Participants who shared these observations also commented that the entire housekeeping and front office teams must be part of understanding that delivery of a good's night's sleep means each member of the staff contributing their own personal touches, smiles and appreciation of the individual guest staying at their hotel.
Cutting the cost of training
Caroline Cooper writes some factual points that I take to hert...there can never be enough training...
I read the other day that nearly 50% of hospitality businesses have cut back on their staff training during the recession. If a football team, or a cricket team or a golfer dropped their level of performance, would they stop training? Of course not, they'd do the opposite.
So why is it so many businesses (not just hotels or hospitality businesses) seem to think that when business performance drops off it is a time to cut back on investing in their people?.
There might be any number of 'excuses'.
•Well, what if I invest in their training and then they decide to leave.
But what if you don’t invest in their training and they decide to stay?
•We've had to cut back on staff, so I can't afford the time to release anyone.
So how then are they going to learn to do two jobs instead of one without any training?
•I can't afford the investment.
How wisely are you spending your investment? When was the last time you sat down and reviewed with a team member what they learnt and what they are doing differently as a result of any training they have had.
And how does your investment in training compare with your investment in kitchen equipment or bedroom refurbishments?
Rather than cut back on training, aim to get better value for money from your investment of time and money.
Firstly, we need to recognise that every line manager too has a role in training; that it's not all down to formal courses or the training department (if you are lucky enough to have one), or external training providers. This starts with an accurate identification of the (training) need. Simply because someone is not able to perform a particular task to standard doesn't always equate to a training need; so many businesses just throw money away by nominating people from programs that with the best will in the world would never resolve the problem. And assuming it is a training need, how well is the individual briefed beforehand so that they have a clear picture of what it is they should be taking away from the training?
When the training is conducted by a third party i.e. someone other than the line manager, we need to be aware that in order for new found skills or knowledge to be transferred to the workplace individuals might then need further coaching and/or support from their line manager.
Secondly the business as a whole needs to recognise the role that line managers have in the training and development of their staff. This means that the bottom-up approach will seldom be effective. Even if the junior ranks are trained, without the backing, guidance, support and coaching from those above them it will be an uphill struggle for them to implement their training.
Formal training, as well as eating up training budgets is often not as effective as on job training, not least due to the inherent logistical problems, particularly with the shift patterns operated in so many hospitality businesses. But in order for on job training to take place the people who do need training or coaching are those line managers, mentors, buddies, and coaches who will be implementing this. Giving them the skills and confidence first can make not only for a more cost-effective way to train but provides excellent development for those involved in delivering or supporting the training.
Recognise good learning opportunities. When business is tough people will often be exposed to new situations and therefore developing new skills and gaining valuable new experience. However to make best use of this as a development tool, it is important to take some time out to review what people have learnt, and where else they can apply this to enhance their own performance in other areas, or to the benefit of the business as a whole. This again needs input and guidance from managers to capitalise on this experience.
Finally, to make best use of training budgets (I'm making a rash assumption that you do actually have a budget for training) businesses must measure the return on what they have already spent. No business in their right mind would continue investing in an area of training unless it was paying dividends, but how many businesses make the effort to measure how effective training has been? In its simplest terms this is asking the question 'Did the training (or coaching or mentoring) achieve what we set out to do?'
So if businesses are serious about looking to save money on their training, maybe they should first think about the most cost-effective way of delivering it and ensuring they are gaining value and a return on that investment.
I read the other day that nearly 50% of hospitality businesses have cut back on their staff training during the recession. If a football team, or a cricket team or a golfer dropped their level of performance, would they stop training? Of course not, they'd do the opposite.
So why is it so many businesses (not just hotels or hospitality businesses) seem to think that when business performance drops off it is a time to cut back on investing in their people?.
There might be any number of 'excuses'.
•Well, what if I invest in their training and then they decide to leave.
But what if you don’t invest in their training and they decide to stay?
•We've had to cut back on staff, so I can't afford the time to release anyone.
So how then are they going to learn to do two jobs instead of one without any training?
•I can't afford the investment.
How wisely are you spending your investment? When was the last time you sat down and reviewed with a team member what they learnt and what they are doing differently as a result of any training they have had.
And how does your investment in training compare with your investment in kitchen equipment or bedroom refurbishments?
Rather than cut back on training, aim to get better value for money from your investment of time and money.
Firstly, we need to recognise that every line manager too has a role in training; that it's not all down to formal courses or the training department (if you are lucky enough to have one), or external training providers. This starts with an accurate identification of the (training) need. Simply because someone is not able to perform a particular task to standard doesn't always equate to a training need; so many businesses just throw money away by nominating people from programs that with the best will in the world would never resolve the problem. And assuming it is a training need, how well is the individual briefed beforehand so that they have a clear picture of what it is they should be taking away from the training?
When the training is conducted by a third party i.e. someone other than the line manager, we need to be aware that in order for new found skills or knowledge to be transferred to the workplace individuals might then need further coaching and/or support from their line manager.
Secondly the business as a whole needs to recognise the role that line managers have in the training and development of their staff. This means that the bottom-up approach will seldom be effective. Even if the junior ranks are trained, without the backing, guidance, support and coaching from those above them it will be an uphill struggle for them to implement their training.
Formal training, as well as eating up training budgets is often not as effective as on job training, not least due to the inherent logistical problems, particularly with the shift patterns operated in so many hospitality businesses. But in order for on job training to take place the people who do need training or coaching are those line managers, mentors, buddies, and coaches who will be implementing this. Giving them the skills and confidence first can make not only for a more cost-effective way to train but provides excellent development for those involved in delivering or supporting the training.
Recognise good learning opportunities. When business is tough people will often be exposed to new situations and therefore developing new skills and gaining valuable new experience. However to make best use of this as a development tool, it is important to take some time out to review what people have learnt, and where else they can apply this to enhance their own performance in other areas, or to the benefit of the business as a whole. This again needs input and guidance from managers to capitalise on this experience.
Finally, to make best use of training budgets (I'm making a rash assumption that you do actually have a budget for training) businesses must measure the return on what they have already spent. No business in their right mind would continue investing in an area of training unless it was paying dividends, but how many businesses make the effort to measure how effective training has been? In its simplest terms this is asking the question 'Did the training (or coaching or mentoring) achieve what we set out to do?'
So if businesses are serious about looking to save money on their training, maybe they should first think about the most cost-effective way of delivering it and ensuring they are gaining value and a return on that investment.
Rethinking the Rating Game
(Nick Salerno writes some good insight..)
Getting Back In The Game
I've read several articles lately which discuss rate building post recession. At least one of those articles, provided suggestions which are completely opposite of acceptable revenue management principles. So, before you blindly follow some of those suggestions, consider committing to revenue management. My sense is that there is still considerable confusion, among independent hotels and some sales advisors, about the actual implementation of RM.
For hoteliers, who reduced their rates during the recession, revenue management should play a significant role in their rate recovery. These hotels are in for a real struggle in their effort to recapture profitable rates. This effort will be greatly enhanced if they adopt basic rate development principles and use revenue management.
Revenue management is based upon the general doctrine of supply and demand. Applied to our industry; available rates should increase, as room demand increases. I believe that this concept is misunderstood by some people; it refers only to rates which are made available for sale and should not be confused with actually "raising" rates. Setting rates should be a matter of setting a range of rates, high to low. As demand increases, lower rates are closed for sale.
Setting Rates Is An Art…Not Science
With revenue management, we are using past history, reservations on-hand, local area demand generators, and anticipated new reservation pick-up to calculate room demand for specific dates in the future. It is this analysis process which helps us to determine the proper range of rates to be set.
But, rates should never be set in a vacuum; they should only be set after considering the market factors above and after you determine your hotel's ranking in the marketplace. Please note that the quality of your hotel's facilities and services should only be considered in relationship to your competition set. You'll be quickly disappointed if your rates are much too high or too low for your hotel's position in the marketplace.
Don't be left behind in this process. People, who don't know your hotel, will judge its value by your rates; rates that are too low or too high, as compared to your competition, will have a negative impact on sales. If travelers selected hotels by rate alone, the hotel with the lowest rates would be full all the time and we know that's not happening.
Your hotel's recovery will depend upon your ability to re-brand your hotel in the marketplace. A great tool, to begin this process, is a detailed SWOT competition analysis. SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. This tool will help you to define your hotel's ranking as compared to your competition set.
This SWOT analysis is not simply a "brick and mortar" comparison. Some factors to consider are, management and sales ability, services offered, location, TripAdvisor comments, etc.
Determine Your Competition Set
Determining your hotel's competition can be a tricky proposition. It is best to do this by market segment. Some hotels may be very competitive for transient business, but are not competitive for leisure business and so on.
One market segment, which is often neglected, is online travel. This requires some time and dedication. Analyze what your competition is offering as far as location, facilities, services, and amenities and, just as important, how they present them online. Does your website compete with your selected online competition?
I can't think of a better tool to help analyze your competition set than the STR Report by Smith Travel Research. If you are fortunate enough to have a report for your area, it's a great tool since the numbers are "real". There is no better way to determine progress than to compare it against your competition and not simply your budget.
Be Thorough
I'm sure you got the idea that setting and managing rates and inventory is a big job, but, done properly, you can do nothing better to prepare your hotel for post recession business.
Getting Back In The Game
I've read several articles lately which discuss rate building post recession. At least one of those articles, provided suggestions which are completely opposite of acceptable revenue management principles. So, before you blindly follow some of those suggestions, consider committing to revenue management. My sense is that there is still considerable confusion, among independent hotels and some sales advisors, about the actual implementation of RM.
For hoteliers, who reduced their rates during the recession, revenue management should play a significant role in their rate recovery. These hotels are in for a real struggle in their effort to recapture profitable rates. This effort will be greatly enhanced if they adopt basic rate development principles and use revenue management.
Revenue management is based upon the general doctrine of supply and demand. Applied to our industry; available rates should increase, as room demand increases. I believe that this concept is misunderstood by some people; it refers only to rates which are made available for sale and should not be confused with actually "raising" rates. Setting rates should be a matter of setting a range of rates, high to low. As demand increases, lower rates are closed for sale.
Setting Rates Is An Art…Not Science
With revenue management, we are using past history, reservations on-hand, local area demand generators, and anticipated new reservation pick-up to calculate room demand for specific dates in the future. It is this analysis process which helps us to determine the proper range of rates to be set.
But, rates should never be set in a vacuum; they should only be set after considering the market factors above and after you determine your hotel's ranking in the marketplace. Please note that the quality of your hotel's facilities and services should only be considered in relationship to your competition set. You'll be quickly disappointed if your rates are much too high or too low for your hotel's position in the marketplace.
Don't be left behind in this process. People, who don't know your hotel, will judge its value by your rates; rates that are too low or too high, as compared to your competition, will have a negative impact on sales. If travelers selected hotels by rate alone, the hotel with the lowest rates would be full all the time and we know that's not happening.
Your hotel's recovery will depend upon your ability to re-brand your hotel in the marketplace. A great tool, to begin this process, is a detailed SWOT competition analysis. SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. This tool will help you to define your hotel's ranking as compared to your competition set.
This SWOT analysis is not simply a "brick and mortar" comparison. Some factors to consider are, management and sales ability, services offered, location, TripAdvisor comments, etc.
Determine Your Competition Set
Determining your hotel's competition can be a tricky proposition. It is best to do this by market segment. Some hotels may be very competitive for transient business, but are not competitive for leisure business and so on.
One market segment, which is often neglected, is online travel. This requires some time and dedication. Analyze what your competition is offering as far as location, facilities, services, and amenities and, just as important, how they present them online. Does your website compete with your selected online competition?
I can't think of a better tool to help analyze your competition set than the STR Report by Smith Travel Research. If you are fortunate enough to have a report for your area, it's a great tool since the numbers are "real". There is no better way to determine progress than to compare it against your competition and not simply your budget.
Be Thorough
I'm sure you got the idea that setting and managing rates and inventory is a big job, but, done properly, you can do nothing better to prepare your hotel for post recession business.
Subscribe to:
Posts (Atom)