Lead Hospitality

Mediocre Management vs. Courageous Leadership in Hospitality

THE IDEA

Across the hospitality industry, many businesses try to cut costs through layoffs. Yet sacrificing talent can weaken a hotel’s strategic position and competitiveness over the long term. Investing in human capital is a courageous strategy that creates value. What is the point of positioning a property if it lacks the talent to meet guest expectations?

It is curious to see what is happening in the hotel sector (and, I suppose, in many others) at a time when the economic climate is far from favourable. I see hotel companies trying to ease their financial situation by reducing their workforce. In a single week, I have seen several people close to me lose their jobs. Others see the danger looming as they witness the poor atmosphere around them on a daily basis and, quite logically, begin looking for alternative career opportunities. It is true that reducing the team can help ease pressure on operating results at a time when sales are very likely not performing particularly well. I do not believe that sacrificing talent to reduce costs is a viable long-term solution. On the contrary, it makes companies much weaker strategically and competitively in the medium and long term. I would venture to describe this approach—so typical of managers who base business survival in times of stagnation on staff reductions—as the approach of mediocre and cowardly people, lacking the ability to lead and therefore unworthy of the positions they hold. People who, due to their lack of training, indulge their insecurities by playing with their human teams as though they were Lego figures. A brave strategy that adds value to the organisation is one that invests in Human Capital, fosters talent and drives competitiveness. In a few months, we will clearly see who made the right decision. When I embarked on creating this company, the people who had the opportunity to review the Business Plan at the time were surprised to see that a Marketing Services company included a Coaching and Human Resources division. I believe the answer is right before our eyes: what is the point of positioning our property if we do not have the talent to meet our guests’ expectations? If we genuinely intend to satisfy our guests with excellent financial results or simply magnificent facilities, then we have a problem. Paradoxically, these companies show an interest in understanding and monitoring their guests’ opinions; they invest in technology and invest heavily in advertising.
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