Mr. Goldstein

Executive Leadership

Strong Leadership in Weaker Moments

By Michael Goldstein, President & CEO, Packard Hospitality Group

"When something stinks, it's usually the head."

This fishing phrase has interesting applicability for hoteliers. In fact, when hotel guests receive unsatisfactory service at a restaurant or are displeased with their hotel stay, it could be the result of a number of things, but the most likely reason for these problems is a lack of, or poor leadership team.

Although often overlooked, having a strong and knowledgeable leadership team is one of the most important assets at any hotel property. In fact, it is the leadership team that determines the success of the property, particularly during renovation, an economic downturn or a slow season. A hotel's leadership not only affects the guests, but also the entire staff and the overall services provided.

The Leadership Team

Depending on the size of the hotel and services offered, the typical members of a hotel's leadership team include the general manager, food and beverage director, executive housekeeper, front office manager, chief engineer, controller and director of sales.

Each member on the leadership team should be responsible for a key area of the hotel. While the food and beverage director supervises all food and beverage services and products, the front office manager sees that all guests are property checked in and out, the housekeeper ensures all rooms are cleaned properly and the director of sales finalizes the needs of various groups booking the hotel. Members of the leadership team need to support each other, but responsibilities and oversight should be specific to their areas.

Establishing the selection criteria for personnel to hold each of these positions is critical. Although they must be detail oriented and responsive, it will also be important to choose people whose skill set includes the ability to listen and lead. Selecting good leaders with diverse strengths is particularly beneficial as often times members in a group working toward a common goal can thrive on the differences between themselves and those around them. Once you have chosen the best leadership team, it will be important to keep communication flowing.

Communication Is Key

Many times, I have gone into new hotel situations where there was simply no level of communicating between departments. Either the hotel had gone through a transition and had new ownership, or some of the staff had left. The staff was untrusting and very clique-ish. In all cases however, it was the guests that suffered the most. The hotel received very low customer service scores, was not obtaining budget and team member survey scores were also dismal.

However, in one of these hotels, a 500-room hotel in Manhattan, we implemented basic communications channels and within six months the hotel obtained profitability. The property's satisfaction levels moved up from the bottom 25 percent of guest scores to the top 25 percent. Job satisfaction surveys that had been only 60 percent positive came back 90 percent positive. The changes we made in opening up communication channels were small, but very effective in improving the hotel's overall positioning for both employees and guests in the marketplace.

In addition to opening communication channels, it is also pertinent that management take the time to step away from their desks and observe activities taking place at the hotel. Management by walking around provides leaders the opportunity to do more listening than talking. It also allows them to see first-hand the interactions taking place and to understand what is working and what isn't. Taking the time to indirectly oversee activities at the hotel can impact the overall hotel experience for both guests and staff.

Encouraging Communication

If you are not encouraging constant communication between hotel guests and staff, hotel staff and leadership, hotel leadership and property management, and property management and hotel franchise, you are missing a fundamental opportunity to improve operations at your property.

Although they may be cumbersome, regular leadership meetings are an absolute necessity to ensure communication channels are open. Depending on the property, holding a daily leadership meeting at the start of each day can be very beneficial. All of the managers can gather together for 5-15 minutes to discuss what happened the night before, occupancy rates, groups in the hotel that day and any other things that need to be carefully handled. The goal of this meeting is to get together daily (but briefly) to make sure everyone is on the same page.

A more in-depth meeting should happen once a week, also for hotel leadership. In this meeting, events will be discussed in further detail. In addition, the hotel should have regularly scheduled executive committee meetings for leadership to discuss longer-term activities and overall positioning.

Each member of the leadership team should also take the time to communicate with those on their staff. For example, the food and beverage director might want to meet with his/her staff (including the chef and sous chef) to talk specifically about which groups are coming in during the following week, what banquet functions they will be using and what services will need to be provided.

Lastly, the hotel should have a general staff meeting so that all groups can work together for the benefit of hotel guests. One method I have found to be beneficial is to assign one person the job of finding 10 good things that happened at the property during the last week. At the staff meeting, it is that person's responsibility to share these things with everyone. This tool not only helps to focus on the positive things that are happening on the property, but it also recognizes those who have done a good job and forces staff to talk to other employees throughout the hotel to find out what good things have happened that week. I have found that it also allows people to trust their coworkers more and be more open to discussing problems they might be facing in their individual responsibilities.

Walk the Walk

Having overseen operations at hotels across the country, the most effective tool I have seen used to improve leadership was when management simply set a good example. When the leadership team always does the very same things they are asking the staff to do, it sets a powerful example.

For instance, if the general manager lives up to any commitment he/she has made, the employees can be held to the same standard, whereas if the staff is asked to do things management isn't willing to do, they are not likely to follow through. Set the bar high and don't compromise the standards.

Overcoming Challenges

Hotel renovations typically create the most challenging business environment for all departments. Instead of lacking a demand for rooms, the supply of available rooms is diminished. When undergoing a renovation, it is particularly important the leadership team strives maintain service levels, maximize revenues with limited inventory and keep the team focused and on task. A leadership team that carefully plans for the changes that take place during renovation and leads staff and guests through the difficulties that will arise is paramount to the success of the project.

By choosing the proper leadership team, encouraging communications and setting a good example for staff and leaders alike, an underperforming hotel can quickly become one of the best hotels in the area.

Michael Goldstein is president and CEO of Packard Hospitality Group. He has over 25 years of experience in hotel development, including new construction, renovations, franchise negotiations and brokerage. He currently manages more than 24 hotels, resorts, restaurants and multi-family residences throughout the country. He holds a BA in Hotel and Restaurant Management from La Salle University. He is a member of American Hotel and Lodging Association, California Hotel Association and a licensed real estate agent in the state of California. Mr. Goldstein can be contacted at 858-277-4305 or michael@packard-1.com Extended Bio...

HotelExecutive.com retains the copyright to the articles published in the Hotel Business Review. Articles cannot be republished without prior written consent by HotelExecutive.com.