David McMillan Hotel & Resort Consulting

9 More Ways Restaurants Can Use Social Media

2009-11-01T07:54:34-05:00

REPRINTED WITHOUT ANYONE`S PERMISSION

from HOTELS Magazine

For foodservice operators who still aren't sure how to work social-networking sites to their advantage, R&I shares a host of helpful ideas straight from the trenches.

Allison Perlik, Senior Editor -- Restaurants and Institutions, 10/26/2009

Americans have nearly tripled the amount of time they spend at social-networking sites such as Facebook and Twitter, according recent research from The Nielsen Company. In August 2009, 17% of all time spent online was spent at social-networking sites, up from 6% in August 2008. Yet even as social media’s profile continues to rise, plenty of foodservice operators still aren’t quite sure how this trend can work to their advantage. R&I offers these nine industry-specific ideas:

1. Find employees.

Posting information on social networks about available positions isn’t just easy and free; it also reaches a targeted audience of people who already are interested in your operation, many of whom likely are in the industry. “It’s more up to date than what Monster.com or other [sites] could do,” says Curtis Duffy, executive chef of Avenues at the Peninsula Chicago Hotel. Duffy recently hired some front-of-house staffers he found via Facebook. “You can constantly put it up there every hour, every day, every minute. And you're not paying anybody. And my 500 people who see it will know another 500 [they can pass it on to], and so on.”

How can you do it in 140 characters or fewer? Check out these examples of recent job-related posts on Twitter:

From Bobby Flay (@bflay): We are now hiring all staff for Bar Americain at Mohegan Sun in CT. Join us at our job fair this week.

From Michael Kornick’s Chicago flagship(@mkchicago): Getting busy! NOW HIRING: Host, bartender, AM Cleaner, Line Cook (2 yrs of fine dining exp for line cook req). Email jobs@mkchicago.com

From Chef Phillip Foss of Lockwood Restaurant at Chicago’s Palmer House Hilton: (@phillipfoss) Please RT. Still looking for a sous. 411 on the blog - http://thepickledtongue.com...

2. Get feedback on new menu items.

Fast-casual chain Qdoba Mexican Grill now includes input received via Facebook and Twitter in its menu research and development. Doug Thielen, manager of nontraditional marketing for the Wheat Ridge, Colo.-based company, told the Denver Business Journal that when the restaurant tests new menu items, he monitors what fans and followers say about them. “We’ve even tweaked recipes and added menu items based on feedback we’ve gotten from fans on Facebook and Twitter,” he told theJournal. “We recently put out a tweet saying, ‘Hey, guys, what would you like to see new on the Qdoba menu?’ and within 10 minutes, we had 170 suggestions.”

3. Spread good ideas throughout the restaurant system.

Social networks aren’t beneficial just for external communications. Oak Brook, Ill.-based McDonald’s Corp. connects its operators around the world through an online community called Mindshare, through which store owners share information and best practices in blog posts, wikis and threaded discussions. It's an idea that can work for multiunit concepts large and small.

4. Promote a new cookbook.
Celebrity chef Rocco DiSpirito is using Twitter to get feedback from followers on his upcoming cookbook, which will share more-healthful approaches to popular recipes. He’s asking for opinions on everything from which dishes he should include in the book to the number of calories a brownie can contain and still be considered low-cal. The new-media-savvy approach will make his cookbook more relevant and “will hopefully inspire more people to pick up a spatula,” DiSpirito told The Associated Press.
Among his recent tweets on the topic (from @roccodispirito) are:

Just got this request for new book “healthy version of beef nachos, loaded down with all the goods...cheese, sour cream, guacamole.” DONE!

Do you prefer hard or soft chocolate chip cookies?

Some of the before and afters are astonishing, like chicken & dumplings b4: 845 cals/after 288 per portion, fried chicken b4 905/after 195

Would you prefer a brownie with low fat or low sugar or just lower calories in general? Also how important is it to remove the white flour?

How do you feel about including healthy versions of pop sauces like tartar sauce, hollandaise, mayonnaise, blue cheese, marinara, ranch etc?

5. Encourage trial of new menu items.
After introducing its latest menu addition, SweetFire Chicken Breast, quick-service Chinese chainPanda Express offered its Facebook fans printable coupons for free entrée-sized portions. Not only did the promotion help the Rosemead, Calif.-based company drive traffic and spread the word about the new dish—about 25,000 coupons were redeemed—but also Panda received instant feedback (positive and negative) in the form of more than 100 comments from Facebook users.
6. Use employees as brand ambassadors.
Smokey Bones Bar & Fire Grill, an Orlando-based casual-dining chain, taps social-media-savvy staff members to spread enthusiasm—and information—about the brand. The company selects an employee from each of its 68 locations as a “Web host” to create Facebook and MySpace pages, as well as a dedicated Web page, for his or her location. Mark Unger, new-media creative director for Smokey Bones’ agency of record, told AdAge.com that across the Facebook, MySpace and corporate pages, the chain is adding about 2,200 followers each month.
7. Maintain a direct dialogue with customers—and reach potential new ones.
If recently named “Top Chef Master” Rick Bayless can find the time to share thoughts, menu inspirations and advice regularly on Twitter, so can just about anyone in foodservice. Frequently responding to followers’ questions and comments keeps the Chicago-based chef top of mind and offers him—and his restaurants—a whole new level of accessibility. Among recent tweets from@Rick_Bayless:

A fave dish on Frontera menu now:woodgrilled pork loin n guajillo sauce w queso anejo tamales&bacon-rstd chayote http://twitpic.com/lml87

Braised pork loin in tmtllo sauce! RT @GregLaketek RT just bought heirloom tomatillos from green city!Suggestions?! http://twitpic.com

Moist batter (like cake batter); enough fat (3 pts masa/1 pt fat RT @benmalone1908: @Rick_Bayless How do you keep tamales frm getting 2 dry?

I'll be around RT @krel69 @Rick_Bayless I'm in from Seattle and going to Xoco tonight. Will you be there? That would be too cool.

8. Update your community and customers on a variety of projects—from opening new restaurants to rebuilding old ones.
A 40-plus-year-old landmark restaurant in its hometown, Brennan’s of Houston has been closed since its building was destroyed in a fire when the city was hit hard by Hurricane Ike last September. Since May, the restaurant’s staff has been sharing the details of the rebuilding process through a blogon its Web site and regular Facebook and Twitter postings (many with photos), helping ensure that customers will be ready and waiting when its doors open once again. The latest enthusiastic updates from @BrennansHouston track the restaurant’s slow but sure progress:

http://twitpic.com/jqoie - Guys finishing the roof & framing out our beautiful new window that will be above the grand staircase!!

http://twitpic.com/imedt - Our roof steel is here!!! It'll start going up next Monday when the crane gets here!! Yeah!!!

http://twitpic.com/6xdpr - Holey patio! The guys are diggin' the foundation support holes!

9. Boost excitement—and traffic—by sharing information.
Create unique contests, coupons and giveaways; share menu inspirations; and RT (retweet) positive feedback from customers, as illustrated by these examples:

@CentroVinoteca: Our Twitter word this week also happens to be one of our weekly specials. Mention the fish "Orata" and this tweet to get a free prosecco!

@CafeBaBaReeba: Win a free Pintxo Platter by becoming a fan of Cafe Ba-Ba-Reeba! and writing on our wall "Pintxos Por Favor"!

@MonAmiGabiChi: Write on our wall your favorite soup at Mon Ami Gabi Chicago to be entered to win a dinner for 2!... http://bit.ly/pQ73K

@Boqueria: Please show some love and vote for us in @CitysearchNYC "Best of Small Plates" category!! Polls close tomorrow. http://bit.ly/3O8WbK

@urbansolace: THANKS RT @SDIndyDining Had an amazing dinner last night @urbansolace ...! Incredible food...so if you havent been there, definitely go

@provincechicago: http://znl.me/5FQ36 Chantrelles look perfect for tomorrows market menu!

@curtisduffy: Start of the new Beet dish! Now time to refine! http://yfrog.com/0r4gvj

For more on how restaurants can take advantage of social media, check out these articles:
Why Restaurants Should Get on Board with Social Media
Social-Media Marketing for Restaurants: 10 Tips
Q&A: Jackie Huba on Social-Media Marketing for Restaurants
Restaurants and Social Media: Real-World Examples

NOT ENOUGH CONSULTANTS TO GO AROUND

2009-10-24T16:01:45-05:00

WHY ARE THERE SO MANY DISASTERS UNDER DEVELOPMENT? IS THE WORLD GOING ABSOLUTELY CRAZY?
If you were going to build a Rocket and a Launch Pad, most people with common sense would hire a rocket scientist. If you were going to build a Petro-Chemical Plant, one might want to consider hiring a petro chemical plant consultant. But if you want to build a Hotel, just take some wild guesses and start digging.
Everywhere I turn these days, I come across projects under frenetic development but being built fundamentally wrong. I find huge developments that are costing hundreds of millions where there are no experts, no specialists just learners. If they were driving a car, they would be required to put an L sign on the bumper and have an instructor sitting next to them, or a parent. But to design and build a hotel, all you need is a cheque book, some confidence, a crane and some cement.
Everywhere, I am finding landowners, plantation owners, residential architects, former politicians, government employees, petro-chemical engineers, construction executives, all with the complete conviction that a hotel is just 'rooms and stuff'. All with the conviction that having stayed in a few hotels and eaten in many restaurants, they know the business.
Even when the bankers call us in, there seems to be reticence or a hesitancy to listen. In fact in many cases, there is no capacity to listen at all. The excitement of entering a new, glamourous, profitable industry is so compelling, why let anyone get in my way.
Here are my Top Ten Biggest Mistakes made by today's hotel and resort developers.

My land is priceless and the right size for a hotel, therefore I will build a successful hotel on it.

I have travelled the world and stayed in the best hotels and I know what the public wants.

In my country, labour is cheap, therefore I can build a hotel cheaply.

I know a builder who has built a hotel. He can build me one too.

I will build a beautiful hotel and the big hotel chains will want to buy it from me.

Busy restaurants make big money....therefore big restaurants are best.

Hotels make huge amounts of money from 'day one'.

The local architect will be fine. He will also handle the Interior Design, with my wife.

The kitchen design will be done by the chef.

One tennis court will do!

Here are some other simple anecdotes.

At a project in Jerusalem in my first week providing Technical Services, savings reached US$9 million. Fees for two-three years were less than $500,000.

At a project in China, after saving $4.6 million in a Technical Services contract, the client stopped paying after two months believing that the written plan could be executed without me. The client returned in a panic 6 months later.

In a project in Africa, a poorly planned kitchen cost 30%-40% more than necessary and will require $1 -2 million more in annual operating costs. They saved the kitchen planning fees of $75,000!

In a project in Cuba, a key system was purchased by a technocrat on vacation that went rusty in one year.

In a project in Saudi Arabia, the complete telephone system had to be thrown out and replaced before the hotel opened.

In a huge hotel in Canada, the room service area for a 1200 room convention hotel was forgotten.

Think carefully before digging. If in doubt, contact the davidmcmillangroup@gmail.com

WHAT'S ALL THE HYPE ABOUT?

2009-08-29T10:40:32-05:00

AND WHAT'S A STAR RANKING ANYWAY? OBVIOUSLY A VERY GOOD REASON TO SPEAK TO THE PRESS.......AT LEAST HYPOTHETICALLY SPEAK TO THE PRESS OR SPEAK TO THE PRESS ABOUT A HYPOTHETICAL POSSIBILITY.

Sounds to me like one of those sidewalk tricks where one has to guess under which cup the stone is! Those New Yorkers are very good at this one allowing you to win when the bets are low but get more efficient as the bets rise. All the time with huge smiles.

Now what we have here friends is a story about standards in our hotels, it's about a hypothetical situation in which we give our owners some lattitude to play with our reputation as luxury operators. No big deal. We are not too busy and we need to have a little fun. Our industry is supposed to be fun and these are respectable guys who are worth billions and what's the problem about a few people going hungry between midnight and 6AM anyway? And who needs a 16oz bar of soap when the guest is only staying two nights? Listen we got away with charging him $9.00 for a small plastic bottle of water, let him order a Pizza like the rest of us.

Hypothetically if this decision were taken and the Star Ranking people were sleeping, no-one would know, right? Maybe the Star Ranking people don't take showers? And if they do and we lose a Star, who cares? No-one counts them anymore.......except in Dubai.

Off the record now, when did you last check all the standards of the Star Ranking organisation against the hotel you are staying at? Did you notice that the corridor was actually 10cm narrower than the norm for a 5 Star hotel? And how about that 'broom closet' room behind the elevator, we know it's not 5 Star but who sees it anyway?

Hypothetical in The Little Oxford Dictionary is 'resting on hypothesis'. Now if hypothesis was a mattress brand and you and I were both on that mattress, that would be hypothetical, right? We would be hypothetically together. But I digress.

And I have digressed before, but that was then and this is now.

Phew, that was close. Now if we can just get over this financial blip and get back to work!!!???

Having personally made all the mistakes in the book, and learned from them, it would be tragic if someone did not learn something from this.......and live to blog about it later, like I do.

WHERE THE HOTEL RADIO & ALARM CLOCK STUCK AROUND AND OUTLASTED THEIR USEFULNESS.

2009-07-28T14:42:58-05:00

IS IT A POORLY DESIGNED RADIO OR AN ALARMING CLOCK, OR JUST A FLASHING BEACON IN THE NIGHT, OR ALL OF THE ABOVE ?

Before the intrusion of televisions and the multi media age where most if not all visitors travel with connections to all the world's radio stations, two or three electronic devices that also serve as alarm clocks and their full library of personal music, radios or as they were known then, wirelesses were a must. In fact a luxury. But that was then and this is now!

The radio, during the war was a lifeline. It was the news. It was our entertainment and it left huge gaps open to the senses and imagination which was an important ingredient if one wanted to listen to a play and make it into one's own personal cinema. If you wanted news, radio or the wireless, was it. It still is if you are in the car..........but in a hotel?!!!!

Then someone invented an alarm clock which placed the responsibility on the sleeper to turn it on and turn it off. If they missed their plane or their early morning appointment, tough luck.

Then some engineer decided to combine them so that they could fit on a hotel's bedside table.

However, other engineers were designing ways in which entertainment could be delivered via television, computers, Blackberries and Apples. Others were designing alarm systems which started with huge clocks with multiple levers for each 15' for telephone operators to record the wake-up calls which morphed into a 'gotcha' system where we could call you and later could prove that you fell asleep after our call was made.

Then other energy experts came along and figured out a way of turning off the power in your room while you were out, thereby sending all alarm clocks into the '1200' flashing mode. I might also add here that at around this time, they decided to hard-wire these contraptions to the power so that they can not be yanked from the wall when the alarm goes of at 4.30AM.

So now when you you check into a room, you have a choice.

Set the clock to the time of day so that it stops flashing. You do not need this function since you have a watch. It is there only in case you lost it.

Set the alarm to a time that is after your departure. This ensures that the 4.30AM alarm will be neutralised. The next guest can worry about the setting later.

Check that the radio button is not on AM, FM, ON, ALARM or REC. For this you will need a magnifying glass because they have perfected the downsizing of all the buttons.

In some models, the OFF button is separate from all other buttons, perhaps even on the side. In most models, the OFF is so close to the next one that it is impossible to know the truth.

Set the volume level to LOW because when it comes on, and it will, you do not want to have to deal with it in the dark and when you are half-asleep.

..................I said you have a choice. If the above does not work, sever the cord with nail-clippers because in all likelihood, airport security confiscated your scissors or Swiss Army knife already.

Which brings me to my main point.

When will our industry put sufficient pressure on the electronics industry to organise the sound systems of the television, the radio, the telephones and our laptops so that a quality sound product is delivered to our hotel rooms and bathrooms?

Two three inch speakers in a flat screen TV, two two inch speakers in a plastice alarm clock radio and a hand held telephone do not match the setup of a typical customer's home system, let alone his kids.

And what is more important than quality entertainment time in a hotel room to a business or leisure traveller?
For more important advice on the real connection between Hospitality and Entertainment, contact davidmcmillangroup@gmail.com

OUR ANATOMY HAS HARDLY CHANGED IN A CENTURY

2009-06-12T15:32:39-05:00

THE 'AHs' AND 'OOHs' IN THE BATHROOM AND OTHER UNSPEAKABLE THINGS BY THE DESIGNER CROWD.

We are an industry that likes to create AHs and OOs in all areas of our operations but this problem is an almost untouchable subject, but not here.

The desire to please is one quality that permeates our industry. Someone coined the phrase "exceeding your expectations" and that was well coined. We all wake up in the morning with the hope of another day when we might exceed the expectations of our guests. Creating that one 'touch', that one small uplifting experience when that experience is taken beyond where the visitor expected it to be.

And "beyond where he expected it to be" was also in the mind of the designer or the industrial engineer who crafted many of the pieces of the furniture in today's hotel bathrooms.

THE ABODE

There are two critical parts to a toilet which must be well designed and work for and on behalf of two bodily functions, actually three if you count Spring Break. They consist of the seat, the receptacle and the flush action. All must respond to the needs demanded by these functions since 100% of our guests make use of these facilities since the dawn of mankind and the hotel industry. Where do the designers go wrong?

The seat. Men and women are made differently. You did not have to read this blog to learn that. There are seats for the male body and seats for the female body. The hotel seat can not choose one of these designs. Co-ed seats in a hotel are a must.
The receptacle. It does not take a rocket scientist to know that the landing area must have some relationship to the launch area. It also makes some sense that the landing area should probably display sufficient square inches of water to allow for marginal anatomical differences.
The flush. I understand the need to save water. I also understand that the world turns and so does the water in the toilet. Engineers however either have to speed up the pace of the world turning or figure out how to increase the flush efficiency ratio. Because 2 or 3 flushes does not help at all.

THE SINK

The important deliverables here are the ability to wash hands and faces, shave and nothing else that I am aware of, unless you count filling the coffee machine, or washing socks. The two critical components are the taps and the plug, or more elegantly re-named the faucets and the sink stopper in the 1900's.Where do the designers go wrong?

The Spout. The spouts are chosen for their beauty not their function. Huge spouts that appear to leap across the sink like 'gargoyles'. The result is one's inability to get access for the face to a sinkfull of water. The extended sink spout literally divides the sink into two smaller parts neither of which is large enough for an adult's face. They are OK for drying socks!
The Plug. The sink stopper is perhaps the single most inefficient part of every single hotel in the world. The seriousness of the 'trickle effect' has a direct relationship to the scarceness of water in that country ie. desert kingdoms have sink stoppers that in fact hasten the exit of water from a full sink and require a 'shavee' to keep the water running perpetually.

THE SHOWER

Initially designed to reduce the amount of wasted water used in a bath, the shower has evolved from its namesake outside where a short burst of gentle rain at the right temperature was deemed perfect and then evolved to something that resembles a carwash, but I digress. Here we cleanse everything from hair to toes where the important parts are the shower head, a soap & shampoo dish, the drain and the amount of free space. Where do the designers go wrong?

The Taps. The control valves are in the shower area so that temperature adjustment by the 'showeree' starts in a jetstream of cold water, or scalding hot water.
Showerheads, if not already mounted permanently at chest level, they are mounted on a sliding rod with no remaining possibility of fixing it higher than the navel. Experienced 'showereees' hold the showerhead between the knees while soaping. This method has been around for years .............and never worked.
Soap & Shampoo dishes, where they exist, are designed for things other than soap and shampoo. Neither remain as one would want.
Space. Showers in baths with shower curtains that inspired Saran Wrap are not showers or tubs. New hotels still build these monstrocities. I call them 'shubs'.

THE BATH

The tub as it was known was very good in the old days because there was more time to fill it, more time to enjoy it and this was before Blackberrys were invented. A place to dream and relax, far from the chaos outside and a spot to submerge everything, even the two thumbs needed for the Blackberry. The critical functions, waterpressure to fill it quickly, the size and shape and perhaps some candlelight, music or a view.

Most tubs are made for small guests and therefore one is unable to submerge chest and knees simultaneously. Therefore a bath at 105 degrees in an airconditioned room results in either cold knees or a cold chest or both.
Faucets do not make good headrests.
Bathplugs do not make good seats.
The view from the tub is guaranteed to uncover shortcomings from the construction phase of the hotel, regardless of the hotel's age or Star level.

THE BIDET

I am not sure about this item. As a Brit, I find that there is nothing left to focus on after I have been through the other items in the bathroom but someone came up with another way of washing something and they must have had an awful time because they called it a a B-Day. The French disguised the name but the Americans then connected that to the financial crisis as a B Debt. Our 3 year old son who grew up living in hotels used it as a drinking water fountain.

The Tap. There have been several attempts at determining where the water should be launched from. These have oscillated from the area of the plug in a vertical stream upwards, preferred by my son, to a jet stream that is diagonally projected........towards the sink area, and is finally more appropriately aimed downwards from the faucets. Obviously the designers have not yet figured out either what the bidets are really for. However, the industrial designers had other plans.

The designers tossed the basic functions to the wind...............oh that reminds me of another item.

THE EXTRACTOR FAN

There are three versions but most good one ones resemble a helicopter in both sound and power and the really good ones have an On and Off switch.

The on/off switch. Most electricians do not leave us an option. If you are in the bathroom, the air around you should be removed. I am unsure whether the interior designer had a say in this decision. The guest generally does not.
The sound. A spouse who needs to use the facilities in the night without disturbing their mate needs to remember the location of the bathroom furniture the evening before so that all functions can be performed in the darkness and without the sound of that dreaded helicopter.

All of this to say that a Five Star bathroom's basic functions must eventually be identical to those of a Two Star bathroom because our anatomy has not changed substantially since we stood up. How many more centuries are we going to allow the manufacturers to re-invent the industrial design of these pieces? This must stop!!

These people are getting it so wrong, I almost think they are the same gang that are designing the hotel radios/alarm clocks so that no-one can figure them out.......but that's for another day.

Do not contact the davidmcmillangroup@gmail.com for anything to do with this rant!

HILTON & STARWOOD FIGHTING OVER BOUTIQUE HOTEL SECRETS!!

2009-05-01T16:07:13-05:00

NOW THAT THE SECRET IS OUT, THERE IS A SCIENCE TO CREATING HOTELS THAT HAVE A BOUTIQUE FEEL. WHY WOULD MARRIOTT HIRE SCHRAEGER?

It does take time and effort to create that special feel but why would Hilton and Starwood fight over the same two guys when there are hundreds of thousands of employees who are ripe to change them all into boutiques!

It does not surprise me that the big hotel groups would treat the development of their own Boutique Brands as just another 'brand'. That's the easy way out. Hire a couple of gregarious innovators to reinvent our industry and then bottle it. What does surprise me is that they do not realise that this missing creative link in their existing brands is the one serious illness that has been so contagious that everything has become boringly standardised.

Here are my Top Ten, (actually Twelve) Secrets for a Boutique Hotel.

There are some basic principals that are critical to the establishment of a hotel as a 'boutique' hotel. Here are my rules for Artful Living at that special hotel.

A residential scale and elegant feel has to be created so that it does not feel or look like a hotel.
No-name. Sorry Hilton and Starwood, you must leave the brand names at home. And Marriott, the brand name Edition for your Schraeger inspired boutiques does not fit this criteria.
Hi design. Yes, every nook and cranny needs to be thought through. Every seat has to be sat in 'virtually' to anticipate the vista in the planning stage. Every door and window peered through, each picture viewed from all angles and all materials that come in touch with skin must be real.
Voluminous amenites. Not just soap, shampoo and shower caps, we are talking amenities like limos to the office, personalised marmalades, exotic honeys and fragrant teas with fruit baskets in the hallways.
Elite and personalised. Elite means elegant, haute, top-drawer and special. Personalised means anti-snob, sincere and warm and in your preferred room.
Cozy and Sophisticated. Cozy is cottage-like and sophisticated is Ralph Lauren paint but neither of them stop there.
A hotel created around the bar. Now there's a concept!
Private Club feel. Leather, quiet conversation, social and very personal.
Life as it might be in the Design and Fashion magazines.
Unique elevators, small and exquisite.
Staff personalities. Yes, excentric, outgoing, gregarious and non-conformist. In on his/her weekend to greet you or invite you home.
Hand made, not mass-produced. This goes not just for the furnishings and fixtures but also for the food, the drinks, the wine list and the paper.

And, if one thinks back to the origin of the term 'Boutique', it refers to a small shop selling one-of-a kind items usually from artisans. It means top quality, high priced and unique. It also means no standardisation like, "How may I direct your call?"

It can not mean standardised, name-brand or mass produced. It will never be cookie-cutter simple or rolled out from White Plains, Washington or Bethesda.

Maybe it should just be left to the non-hoteliers to do or, heaven forbid, let loose the creative instincts of our people. Now that's something that Generation Y can warm to!!

For some really innovative advice on introducing some unusual 'boutique touches' to your propert, contact davidmcmillangroup@gmail.com

TOP TEN THOUGHTS FOR THE HOSPITALITY INDUSTRY

2009-04-08T13:29:41-05:00

ANOTHER TOP TEN RANKING FROM A HUGE, RESPECTABLE CONSULTING GROUP. BUT WHO ARE THEY TALKING TO??

Because 7 of the 10 thoughts are Finance related. Are they a group with their finger on the global hospitality pulse or do they just go to a lot of industry conferences between audits?

Or are we expecting too much from the specialists because our industry has so many participants, so many spectators, so many interested parties. Are they talking about issues that are faced by hospitality managers, regional vice presidents, hotel & resort owners, operators, lenders or developers?

Here they are as published, and by the way, beautifully presented amongst photographs of wine, water and women,

"Credit crunch:capital waiting on the sidelines."
"Enterprise excellence: focus on cost containment and the bottom line."
"Technology: leveraging brand name and the internet."
"Hospitality mixed-use: subject to adjustment."
"Financing: planning loan restructuring and modifications in a structured finance setting."
"Globalisation and decoupling: growth beyond the current economic cycle."
"Green building: going mainstream."
"Fair value: what does it mean?"
"Alternative vacation products: value isn't everything."
"Obama's stimulus package: impact on the lodging industry."

As a hospitality professional in this industry for the past 50+ years, I can look at these thoughts through the eyes of a hospitality manager, a RVP, an operator and a developer. I have not yet been an owner or a lender. I fully understand that these companies are almost obligated to throw these things together each year and it is a great task for a newcomer to a large firm to be given.

But it is not reality since it is not for the hospitality industry.

It is not focused on any specific audience except passive owners and lenders.Here are what I consider to be the Top Ten Thoughts for the Hospitality Industry. They are based on a few facts that one must consider for this year's list. They are mine. I did not consult anyone else about this list so I take full responsibility for their accuracy and their level of importance to the industry. Here are the considerations,

Over the coming years, the hospitality industry will be crushed by a shortage of between 10-15 million workers worldwide. This will result in skyrocketing salaries for the other workers, hotels that will be unable to function during high seasons and therefore will become financial losers. Bankrupcies will result. The state of our industry as we know it will be changed. Our industry in the developed world is totally incapable of retaining young workers because they see no immediate future. We lose 50% or more of the graduates from our hospitality educational institutes to other industries. It is seen as a poor-paying, service/servile industry.

Our industry makes no provision to retain labour in down-times. We lay them off daily, weekly, monthly and in large numbers every seven years. They search for and find work in other industries that treat them like human beings with dependent families and with dreams. We put money aside to replace furniture when they suffer in bad times, but not our employees!

Our senior industry leaders allow international organisations and special interest groups to develop and implement standards for our industry without thought for the future consequences. In fact, our leaders are so isolated, they are in fact unaware of these developments.

One can not outsource tourism jobs. The jobs that are created in our communities are sustainable, fun, rewarding and one can aspire to grow to the top. Yet, Ministers of Tourism are typically in their posts for a period of one year and, as a result tourism is not grown strategically at a national level.

Hospitality is linked to Culture, Agriculture, Arts, Transportation, Education and most other ministeries in most countries. It contributes to peace and the community in lasting ways but we are seen as rich, aloof fat cats. We are over taxed and under appreciated. The time has come to create an image for our industry that has been so overlooked

Reinventing Borders. It is easier for a tomato to cross the border than a worker looking for a job. Our borders must be reinvented to avoid the belief that all who cross are immigrating. There are 10-15 million people who can fill those jobs, most of which are seasonal and they will get trained and return home to contribute locally. They will repatriate funds to their families and pay taxes where they work. Let's bring the workers to where the work is. For this, our borders need re-invention.
Active Career Planning. It is critical that our high school students learn that an entry level position does lead to management, to ownership, to the presidency and to wealth. We need to show them how. We need to actively spread the word amongst our employees and speak to them regularly about their aspirations and goals. This is the best kept secret in our industry.
Labour sustainability during recessions. Part-time must be eliminated for those who want full-time jobs. That is a fundamental principle that must be adopted by our industry. We must set aside funds to retain our employees during thick and thin. Recessions happen. Low seasons come and go. Families need income. Our families must be protected.
Taxes destroy jobs. At one time, the average major Canadian city hotel paid more to the government per room than to the owner. Thousands of employees were laid off in slow periods, employee shortages were critical. Since then many more taxes have been added. It must be understood that our job-creating abilities are neutralised by taxation.
International Issues. With few exceptions, our industry leaders are mostly non-hoteliers. They have been successful business change-artists elsewhere and know little, and care less about long range trends in our industry. Most are focused on share prices and issues affecting our industry at the WTO, WHO, the IOE, ILO, IUF, ISO and other international organisations are of no concern to them. It is our job to learn what is going on and to communicate our concerns and participate in the changes that will affect our industry.
Tourism's global image. For many years, we have all agreed on the need for a better image for the industry. At no other time in the history of communications has it become easier to create an electronic ground-swell for a 'new look'. This new look must start at the ground floor. The message must be designed to communicate with big governments, international organisations, municipalities, the public, the media, students, teachers and parents. Candidates to work in our industry should be lined up at our doors and governments looking for ways to reduce taxes and create sustainable jobs. Countries that scramble to 'brand' their countries and recruit Ministers of Tourism who can strategically build their countries tourism sustainability.
Local creativity. Our industry is entertainment. We are privileged to be able to be represented to our clients by our employees. Our young, our mature, our aspiring employees. Their youth, their exuberance and enthusiasm are ours to share......we must remove the shackles of 'brand standards' and allow their creativity to shine through. The handcuffs must come off and we must learn to nurture creativity that is buried in our rules.
Employee networking. One hundred million employees work in our industry. Is now not the time to facilitate the connection between that global community and create networks of global friends in the industry. An enetrtainment industry that can boast of global connections. Friends from the same industry across borders. Be they chefs, room attendants or waiters, most will have access to the internet either at home or work
Social responsibility. Most are not sure what this truly means. Of course it means different things to different people, and that is fine too. What it should mean is the involvement of management and the whole employee team in the improvement of the social infrastructure of the community in one or many ways.
National Tourism Policy. The foundation for the creation of a nation's tourism strategy is best created at the grass roots level. Contributions and dialogue between national tourism marketeers and the grass roots tourism providers is critical.

These are not the Top Ten Issues of our industry, they are intended as 'Thoughts'. If they were successful they would result in dialogue between industry participants and politicians, in conversations between managers and presidents and between employees here in this country and employees in your country.

We will be faced with huge obstacles in the future if we do not deal with our vision of them today.

For eloboration on any of these issues, contact davidmcmillangroup@gmail.com

IDEAL HOTELS FOR YOUR HOROSCOPE

2009-04-06T01:00:00-05:00

THE DECISION BY WORLD HOTELS TO LINK STAR SIGNS TO THEIR HOTELS WAS CREATIVE.

I wonder if it works? It sounded like a creative idea to talk about their hotels in a different way. It is the sort of thing that the ladies would appreciate and it was probably a female marketing person's idea. Next, we'll have a Feng Shui chart for each property to be able anticipate our Chi intake!

It may have been done to placate some member hotels who never get featured or who do not warrant much normal publicity, and looking for a reason, this is what surfaced. Of course, it begs the question, what if all the people there are Geminis, looking for action? Heaven forbid that I should end up in a property full of Aries!

Hotel horoscope: The ideal hotel for each Zodiac sign

Jan 17, 08 | 1:55 am

Capricorns appreciate solitude, Scorpios love extremes and only the best will satisfy Leos. When it comes to the perfect holiday accommodation, the tastes of the star signs are as varied as the character traits ascribed to them. WORLDHOTELS now reveals the perfect hotels for each star sign.

For discovering more holiday accommodations for every taste, the WORLDHOTELS website has the search facility ‘Search by Inspiration'. This function matches user preferences such as climate, destination features, and activities on site with the ideal hotels from its global portfolio of close to 500 unique properties.

Aries: Sports challenges and lots of action

Christmas Mountain Village in Wisconsin, USA

Of all the Zodiac signs, the dynamic Aries is the most active. Lazing in the sun for hours obviously is not their idea of a great holiday. They are only ever truly happy if they can choose from a limitless range of sports like at the Christmas Mountain Village in Wisconsin Dells, USA: Here, Aries can test their skills on the tennis court or golf courses, or explore the countryside. In the winter time they can let loose on the nearby ski slopes or spend their energy cross country skiing. Christmas Mountain Village

Taurus: Relaxed indulgence in the countryside

Duin & Kruidberg Country Estate in Santpoort, Netherlands

Tauruses like the beautiful things in life. Being true connoisseurs, they appreciate the restrained elegance, the cultivated ambience and the excellent cuisine at the Duin & Kruidberg Country Estate in Santpoort, Netherlands. Here, they can enjoy the relaxed conviviality that suits their character. As they feel deeply connected with nature, they will also savour the location of this luxury hotel situated in a huge park. At the same time the art loving Taurus will appreciate the close proximity of Amsterdam's museums. Duin & Kruidberg Country Estate

Gemini: Exotic city trips for night owls

Eton Hotel in Shanghai, China

Variety is the spice of life for Geminis. To be happy, they need to be surrounded with lots of action. Due to their outgoing personality their holiday priority is meeting new people and having fun. Therefore they are attracted to bustling cities where they enjoy nightlife to the fullest. To do so, they prefer to stay at authentic yet exceptional properties such as The Eton Hotel in Shanghai, China. With exquisite artwork and innovative design concepts this deluxe hotel will capture the attention of any Gemini. The Eton Hotel

Cancer: Luxurious romance with tradition

Grand Hotel National in Lucerne, Switzerland

Cancers are introverted persons,loving, emotional and sensitive. They abhor big crowds of people and prefer to travel individually. Spending a romantic evening on the hotel patio with their partner, preferably with a water view, is their idea of a perfect holiday. All this the Grand Hotel National in Lucerne has to offer, and more. With a sophisticated ambience and furnishings in the Fin du Siècle style and situated right by Lake Lucerne, it provides the ideal surroundings for Cancers as this star sign loves tradition and luxury. Grand Hotel National

Leo: Luxury holidays with star appeal

Ocean Sands Resort & Spa in Pompano Beach, Florida, USA

Leos abhor mediocrity. They set great store by luxury and status symbols at home as well as abroad, so only the best is good enough for them. Leos want a truly exceptional holiday experience and ‘to see and to be seen' is their motto. Luxurious resorts such as the Ocean Sands Pompano Beach in Florida provide the perfect stage where they can draw the attention of the crowds. Leos will enjoy gettin pampered from head to toe at the spacious spa before mixing with the rich and beautiful at nearby exclusive Palm Beach. Ocean Sands Resort & Spa

Virgo: Spa vacation to perfection

The Empire Hotel & Country Club in Darussalam, Brunei

The precise and serious Virgos cultivate high standards of perfection which they apply to themselves as well as their environment. Not even the smallest detail escapes their discerning eye. Therefore they feel truly at home at the luxurious Empire Hotel & Country Club in Brunei where the surroundings are natural and picturesque, which are exactly to their taste. The health-conscios Virgos particularly enjoy relaxing at the spacious sophisticated spa as they are open to everything that contributes to their wellbeing, from Ayurveda massages to Zen meditation. The Empire Hotel & Country Club

Libra: City trip with an element of wellbeing

Graves 601 Hotel in Minneapolis, USA

Nothing is quite as important for Libras as harmony and peace. These markedly sensuous persons love beautiful things and enjoy taking in art. On holidays this star sign expects the perfect mix between relaxation, culture and entertainment. At the Graves 601 Hotel in Minneapolis the Libra appreciates the stylish ambience as much as being close to the theatres and other cultural highlights the city has to offer. For relaxation, they can pamper all their senses at the spacious spa of the deluxe hotel. Graves 601 Hotel

Scorpio: Varied vacation of the extremes

StarWorld Hotel and Casino in Macao, China

The passionate Scorpios find nothing more boring than a life in which everything works out easily. On holiday they tend to go for unusual destinations and love extremes. For Scorpios, there is no place like the StarWorld Hotel and Casino in Macau : The city's highest hotel casino towers above all other buildings and the architecture is stylish and extravagant. Furthermore the risk-loving star sign appreciates that they can challenge their luck at the gambling tables. StarWorld Hotel

Sagittarius: Fun cultural vacation

Royal Olympic Hotel in Athens, Greece

Sagittarius are the born globetrotters: They travel the world independently and with an optimistic view of life, continually in search of new adventures and freedom. Therefore the unforgettable view of the temple of Zeus and the Acropolis from the luxury Royal Olympic Hotel in Athens will enrapture Sagittariuses. Here, they can indulge their dreams, as is their habit, right in the middle of the historical capital city. Royal Olympic Hotel

Capricorn: Nature vacation in solitude

Mountain Run at Boyne in Michigan, USA

The determined Capricorns are among the more serious star sign characters. Spontaneity is not in their nature; instead they prefer peace and quiet. Capricorns prefers to retire to deserted natural surroundings which they prefer to conquer by foot or mountain bike. Therefore the Mountain Run at Boyne in Michigan State is among their top destinations. Here, they can hike in the mountains, in summer as well as in winter. Mountain Run at Boyne in Michigan

Aquarius: Extraordinary destinations for individualists

Garden Hotel Suzhou, China

Aquariuses are unconventional and love everything that is exceptional or bizarre. Often ahead of their time, the individualistic characters always finds their own way. So it is not surprising that unusual destinations that are not over developed appeal to them. Therefore they love the Garden Hotel Suzhou right in the Yangtze Delta, in an area which is dubbed the "Venice of the East". The luxury property in the heart of the 2500 year old city offers a huge range of options to spend a varied vacation with culture, sports and spa treatments. Garden Hotel Suzhou

Pisces: Romantic vacation for sensitive dreamers

Hotel Vier Jahreszeiten Starnberg in Starnberg/Munich, Germany

Pisces are very sensitive and vulnerable creatures who tend to go to ground at times. On holiday this star sign searches for rest and recreation in pristine nature and clear waters. Therefore staying in a scenic environment is their idea of a perfect vacation. At the 4-star superior Hotel Vier Jahreszeiten Starnberg close to Lake Starnberg, south of Munich, they can enjoy an impressive view on the Alps. Here, the imaginative Pisces can also disappear into their own dream world by visiting the many historic villas and romantic castles the area is famous for. Hotel Vier Jahreszeiten Starnberg

An interesting approach to marketing only to demonstrate that there are no real limits on one's imagination in this industry.

Now if someone can just do the Feng Shui evaluation on a few distressed properties, we might get them rolling again financially. I know of one hotel that's doing very well financially, in fact always did. I wonder if it had anything to do with the fact that a Feng Shui evaluation was done before the opening, and he changed the location of the hotel entrance.........just prior to the opening!!

For alternative and more conventional methods of increasing your profitability, contact davidmcmillangroup@gmail.com

COUNTRY MARKETING............NOW WE ARE TALKING SUSTAINABILITY!

2009-03-23T05:00:00-05:00

COMMERCIALISING THE CULTURE OF A COUNTRY. CREATING A NATIONAL BRAND. CREATING SUSTAINABLE JOBS.

Is this for real? Countries actually fighting to build their product for tourism market share? Is this something that a newly appointed Minister of Tourism can grasp easily?

Is it not strange that the opportunity to create 'sustainable' jobs in tourism is strategically overlooked by most developing countries as they 'revolving-door' their Ministers of Tourism virtually each year. No chance to realise that a country needs to build brand equity. No chance to realise that the logo and slogan do not have to change each year. No chance to realise that it is not just beaches and sun that are the foundations of sustainable wealth and great jobs for their people.

The average Minister of Tourism is in place for a year! How can the world's future tourism markets be commercialised when the 'product manager' is changed every year? Sure some are long serving, knowlegable professionals but the majority are new to the industry, hold other portfolios and know little or nothing about the global competitiveness of their product. As an enthusiastic participant in tourism over the years in at least two dozen countries, I have had the good fortune to meet many Ministers of Tourism, even one of a huge developed country (that will remain anonymous), who had never been on a plane in his life.

In another blog of mine on this site, I encouraged the 'twinning' of the Tourism ministry with other ministries. It could be Culture and the Arts, the Environment, Natural Resources but why not also Education or Human Resources, Heritage, Transportation, Fisheries, Immigration and Agriculture. All are in some way linked to the sustainability, reputation & growth of tourism.

As an enthusiastic member of the United Nations' World Tourism Organisation's Strategic Planning Committee, I once suggested that they prepare a Job Description for their new and incoming member Ministers of Tourism. All agreed that it was probably a good idea but somewhat difficult to implement.

Now, intimately involved in developing a marketing plan and brand strategy for a large developing country, I am thrilled at the thought of demonstrating to this country's government how all ministeries are involved in this mission, all regions must actively participate, all municipalities must contribute so that piece by piece, brick by brick, year by year they can all create a new brand of, and for their country. They will in fact be creating future sustainable jobs for their nation, their children and their grandchildren that can never be outsourced, never be stolen or relocated.

What fun they will have competing with other countries in the 'Oscars' of country branding, where large countries are sometimes vaulted by smaller ones and unknown countries are suddenly rising stars. This is the Olympics of Tourism in which training is undertaken by every level of society who are proud of their country. For more fascinating information and to download the study, click on http://www.countrybrandindex.com/

For some suggestions on what you can do in the area of sustainable tourism, click on this link http://www.sustainabletourism.net/#youdo

For assistance in the development of a national marketing plan and brand strategy, contact david.mcmillan@genivar.com

NEW LIFESTYLE BRANDS.....DO THEY SNUB THEIR SISTERS?

2009-03-20T07:00:00-05:00

NEW PRODUCTS LAUNCHED IN THE LIFESTYLE GENRE.

Are these new products not just an excuse to have another outlet in the same block as their sister hotel? Are their sister hotel brands truly without style or life? Do they truly want to steal all their market share?

I recognise that some of the brands may have smarted a bit when non-hoteliers entered the market and knocked the ball out of the field. I recognise that many of us thought it was more important to take away the plate from the right, serve from the left and ensure clean fingernails I recognise that some of the brands centralised their design, their finishes, their service standards and that dreaded "where can I direct your call?". It all seemed so natural to assume that none of their employees had any style or originality.

Enter from 'right stage'....... the boutiques with their one-offs, their titilating touches, their recognition of all the senses, their empowered employees. Enter the show business crowd with their actors, directors, costumiers and amusement focus. Creative delegators, leaders who inspired their troops to entertain, create and have fun.

Enter from 'left stage' our guests who never noticed we took plates from the right, served from the left or who could not wait for us to finish the telephone greeting. They were also dressed in black, like the right stage crowd, animated, fun-loving business men and women either on business or not.

The origin of this standardisation excercise goes back in my opinion to the late 40s and 50s when automobile traffic and airlines started to move the millions of 'war-deprived' families far and wide. They had not travelled much and were looking for familiar and consistent surroundings. The Holiday Inn and Hilton chains were born and expanded. Consistency and standardisation was appreciated. Other brands followed and there was little between them.

When these same travellers looked for more variety, these same brands changed their 'hamburgers' for 'couscous' and 'Continental menus' and there was momentary satisfaction. Then this more educated traveller started to get more adventurous and started to look for authenticity and a more genuine foreign experience. There will still be those that think they get Paris or Italy in Las Vegas but the true world travellers will still seek the genuine article.

There was a time when the hotel chain leaders would encourage ingenuity provided by local management. They were times when creativity could be expressed in the local language and culture. I remember fondly the days when we, as managers of Hyatt International Hotels were encouraged to encorporate the "Touches of Hyatt" into our operations. This provided the colour and the character to the hotel experience and allowed local artists and farmers to see their products proudly displayed or used in innovative ways as part of a local 5 Star experience.

However, the time has not come to relegate all of the fun to the 'boutique' brands. This industry is an entertainment industry with a full and unlimited license to create fun, life and style through and with our employees so that the full benefit of a visit to a neighbourhood is appreciated to its fullest by all our visitors.

For another (perhaps more rational) approach to this subject, click on, http://hotellaw.jmbm.com/2007/04/hotel_lawyer_the_new_lifestyle.html

Here are some of the words used in another totally unrelated announcement of a new lifestyle brand.......

"set to revolutionise the modern hotel ethos by providing guests with a more sensuous, flirtatious and personable experience seasoned with an enhanced WOW factor! "......"Each hotel will be unique with its own signature scent, music and atmosphere; yet will be harmonious with our brand name. XX Hotel will symbolise the future of the modern hotel experience, an experience that heightens the senses and allows our guests to lose themselves and feel right at home".

OK.....sounds good to me. But would my wife be comfortable with my choice of this brand for my next business trip? I'll let you know later, if I survive the suggestion.

For more on how your hotel can enhance its life and style, contact david.mcmillan@genivar.com

FINANCIAL DISASTER MANAGEMENT......BECAUSE 'S......T' HAPPENS!

2009-03-13T06:00:00-05:00

SHOOTING OURSELVES IN THE FOOT EVERY SEVEN YEARS. WHEN WILL WE LEARN THAT THE TOES DON'T GROW BACK.

It is not unusual in the hotel industry to be faced with a downswing. What is unusual is that there are so many industry leaders panicking. Is this for the shareholders' benefit or do they really believe what they are doing is right.

Are these industry leaders the same ones that panicked the last time we had a downswing? No! Why? Because most of them were in other industries then, so they do not really understand the big picture, and many of them are driven by the share price factor.

There are a few things that one should do but many more things that one should not do. As usual, many leading companies immediately focus on the things that they should not do and then do them.

As an industry veteran, my colleagues and I have been very much a part of that state of panic in which decisions are taken out of context, action plans are developed and implemented and number crunchers are called in to count the dead and weigh their carcasses. Fear and fright is the menu du jour with heaps of CYA for dessert.

What is rarely done is prepare rationally for the days in which "S__T happens"!

There will be rainy days, if not the umbrella manufacturers would be out of business.

There will be people who might drown in the pool, if not life-rings would not be made.

There will be people who cut themselves, hence a first aid kit is generally available (but often empty).

Why do we not prepare for financial downswings in the same way? Why do we set aside funds to replace the carpet every few years? Why do we not just throw them out and learn to live without them when they become unusable?

In a day and at a time when our industry is faced with a global employee shortage of 12- 15 million people, why do we decide that those that we have, are dispensable. Who are we disposing of?

Newcomers who just started to work for us. It may have taken us years to attract them. We may well lose them to the industry forever.

Mature industry loyalists who are sent into unexpected early retirement before they wanted. Many would have stayed on beyond their retirement years.

Middle management, so we can flatten the hierarchy. All are the senior managers of the future.

Senior management who cost the most. Leaders, strategic planners, loyal brand spokespeople.

Carnage, every seven years! Decimation of the rank and file and uncertainty amongst those that remain.

Perhaps we need a line item in the Management Contract equal to the ratio for FF&E Replacement in which we set aside a Development Fund in which future down-swings will result not only in no 'downsizing' but a marked increase in development of new talent that we attract from other industries that are downsizing. A fund that says,

We are an industry that you can trust.
We are an industry that treasures our talent at all levels.
We are in need of a lot of new talent.
We will train you in our new, exciting, reliable industry.

This is not the US Auto industry that has been hi-jacked by more efficient Japanese or German manufacturers. This is not the Manufacturing industry that has been beaten by the Chinese or the Mexicans. These are jobs that stay in the community...... come hell or high water.

Let's get creative with how this mess that we created can get fixed. Let's put an end to the ways in which we make it all worse.

We need a handbook for the next generation of hotel leaders who are getting ready to run our companies. Yes the ones in the Auto industry, the brand managers and the investment bankers. They must be oriented to the differences between our industry and theirs. They can not make these mistakes time and time again.

They 'know our industry' because they have stayed in our hotels. They do not 'know our challenges' yet, nor do they know how they should be fixed. Apparently we don't either!

For assistance on putting your financial disaster plan into place, contact your CEO, your VP Human Resources and your VP Development, if you still have one.......... or contact, davidmcmillangroup@gmail.com

TERROURISM....... HOTEL SECURITY IS IN FACT IN GOOD HANDS!

2009-03-10T07:23:28-05:00

TOO MANY BAD ARTICLES ARE BEING WRITTEN ABOUT HOTEL SECURITY...... AND BEING PRINTED IN GREAT PUBLICATIONS.

How sad it is that some of those who write authoritatively about important issues like security in our industry have no real clue about what they write. Is this not a form of terrorism where fear is actually spread by the strong suggestion that there is no serious security procedures in place?

As the former CEO of the International Hotel Association, the global voice of the hotel industry, I served as chair of the Global Council on Security on which the senior security executives of most of the world's hotel chains participated. They dialed in from California, Hong Kong, London and Brussels or wherever they were travelling. They networked into a dedicated website where documents were shared, updated and conclusions reached.

After an encouraging start to this regular teleconference and the unanimous agreement amongst all members that this was a 'non-competitive area' in which they had no trouble sharing best practices, we separated this Security Council into three areas; Terrorism, Natural Disasters and Pandemics, the latter in conjunction with the World Tourism Organisation and the World Health Organisation.

Participating on the Terrorism panel were Vice-Presidents of Security for all the major hotel groups and some smaller ones with an experienced General Manager from Israel who brought it to life in a very personal way.

During the course of our ongoing discussions, incidents transpired and members communicated amongst themselves. The London bombing of 7/7/05 was an early example.

From these events and hundreds of others, large and small that preceeded this Council, strategies, policies, procedures, training programs, inspections, analysis, re-analysis, daily briefings, revisions of capital budgets were discussed, debated, changed, updated and implemented.

The outcome, in my view was that the hotel industry, within the major groups was in very good hands and, as a veteran of fifty years in the industry, much better organised and implemented than I could have imagined.

International insurance companies, government agencies, security investigation services and many other organisations are involved in the excercise of keeping guests, employees, visitors and property safe and sound.

Some areas are riskier than others and therefore are subject to stricter rules. These rules can change daily, and do. The means of evaluating an area, a region or a city also change regularly. General Managers, Owners, Operators and local authorities participate and many superb systems are adopted as 'best practices'.

Most topics in our industry are easily discussed without danger of adverse fallout. Security is one that requires careful verification before carelessly branding the industry as non-compliant, because without that counterbalance of verification, we are contributing to the fear that drives terror.

There is another area that falls into a similar category...........but that is for another day!

For information on other issues in the industry that have been, or need to be covered, or for a security review of your facility, contact davidmcmillangroup@gmail.com

'TURN-KEY' DEVELOPMENT IN AN ERA WHEN KEYS NO LONGER 'TURN'.

2008-12-10T13:04:33-05:00

HAS DESIGN BUILD SEEN ITS' DAY IN THE HOSPITALITY INDUSTRY?

Has Turn-Key been exagerated for too long? Does 'Clef en Main' truly deliver the goods. We no longer believe that selling services can replace the need to produce and deliver a working product. And when producing a product, that product must function profitably, functionally and for a tested period of time when one can see the results.

For this reason, David McMillan Consulting is now linked to the huge, full service Engineering company , Genivar with over 3,000 engineers and specialists in over 80 offices worldwide.

Recently marking 50 years in the hotel industry, McMillan, in conjunction with Genivar has decided to reinvent the process to provide cutting edge hospitality development and re-development expertise to developers with the promise of success.

It has been rewarding to observe the evolution of the hospitality consulting industry over the years and to see it mature and change from 'accounting and audit' services to 'hospitality real-estate business strategists who deliver a functioning product.

Conceptualise & Deliver is a the new approach to Design & Build. It is in some respects similar to the Taj Mahal. Intricate detailing and extraordinary delivery.

Design and Build is best associated with Turn-Key, an out-of-date method of turning a key on to the tumblers in a lock until the bolt slides away and the door creaks open. Design & Build for an industry which requires innovation, creativity, change & drama is a combination that has seen its day. In the same way as iron and steel numbered keys and numbered key tags weighing half a pound have been replaced by 1/2 ounce anonymous plastic cards, so have the huge audit & accounting consultancies staffed by graduate hospitality students been replaced by agile, creative business engineers.

Conceptualise & Deliver is a method in which all systems are activated in an instant but only for the right customer, when the stars are aligned and the sliver of plastic is programmed and the well-oiled machinery is in-place. This is the new Consulting method where a full range of expertise envelopes those already in place. Where the Design & Build is prefaced by research, imagineering, customising & communitising and then followed by launch, run-in, consolidation and asset management.

Where a project is warmed-up, trained, tweaked, tested and then run again. This asset-management period is a one to three year period when financial and market consolidation takes place.

This is the time when the key, such as it is, can be thrown away because the product has been launched and the baby is fit.

For more information on Conceptualise & Deliver, contact Genivar at +1 (514) 340-0046, Extension 5147

WHERE GETTING IN THE CLOSET IS HARDER THAN COMING OUT!

2008-04-11T12:26:57-05:00

MY WALK IN CLOSET IN A SUPERBLY DESIGNED JUNIOR SUITE WAS A GREAT SURPRISE.THIS INTERNATIONAL FIVE STAR HOTEL IS RENOWNED FOR ITS' ART, DESIGN AND PANACHE.

Little did I know that my three shirts took up all the space in a walk-in closet and my suit, coat, ties and trousers would have to stay in the suitcase.

My first impression was that there were two bathrooms. That is certainly the amenity of the future.

I was not disappointed to find out that this extra space was a 9' X 6' walk in closet with ceiling to floor, wall to wall mirrored panels.

I was immensely disappointed to find out that the Interior Designer forgot to communicate with the operator before finalising the design.

Of the nine feet of mirrored panels, only half were actually doors of which there were two.

Behind the first door, much like a game-show host, I swung it open to find a safe on top of three drawers. There was no hanging space. There was a clothes brush. However no clothes to brush in this section.

Behind the second door there was a clothes rack alright.............however, we are now down to about 18" and not all those eighteen inches are for my hanging clothes.

About 8.5" are taken up with an ironing board and iron!!

Another 5" are taken up by two healthy hangers occupied by two fresh bathrobes.

That leaves 4.5" for my clothes.

And nothing for my wife, had she been travelling with me.......or for whoever was going to wear that second bathrobe.

Ironically I am there to meet with the Brand Operator whose job it is to convince me and my client that the Technical Services that their company offers is designed to avoid any and all such small overlooked details that make our industry the equivalent of rocket science.

For a review of your plans for a renovation or a new project, contact davidmcmillangroup@gmail.com

FEASIBILITY STUDIES FOR DEEP POCKETS

2008-03-15T15:30:36-05:00

DO YOU HAVE MONEY TO BURN? CALL A MARKET RESEARCH FIRM AND TELL THEM WHAT YOU WANT TO DO AND ASK THEM TO PROVE YOU'RE RIGHT.

If you truly want to know whether it will work or not, ask a trusted friend to meet the researcher. That is the only way to get to the truth.

Let's face it...the developer wants to do it, the hotelier wants to run it, the banker wants to finance it and the city planner wants growth.

Where can we get some truth and conseqences? Where can one go to buy 'feasibility'? Is it a rare commodity or does everyone believe that everything is feasible? Are there no realists in our business or are we all dreamers?

I happen to be from the category of 'dreamers'.

However some of my butterflies have flown too close to the flame so I have learned from some mistakes. Some of them have been mine but many others have been the mistakes of others. That has inflicted in me a healthy dose of reality, sometimes disguised as cynicism!! Whatever you call it, it is the ability to weigh the dreams against the reality of life, market trends and gut feel. Women call it instinct. Men call it gut feel!

My wife's instinct works...........so does my gut feel.

But developers don't look for reality. They want a new project. Bankers don't want to deal with projects that are forecast to fail, they want to lend money. City planners are paid to plan projects that get built not for their pessimism.

The consequences of a poorly planned project are painful. Unexpected losses, lower profits, a soiled image and in the worst case, bancruptcy.

If by chance you want to be aware of what reality has in store for your project, contact davidmcmillangroup@gmail.com

THE LINK BETWEEN DESIGN AND HOSPITALITY

2008-03-12T15:50:06-05:00

THE IMPORTANCE OF DESIGN.

More and more hotels and restaurants have their decors made by ineternational designers.This make great sense has the local or even national design knowledge is often not what is needed for a high class establishments. The top designers will know about the future trends and will reconnise the beauty of local furniture or/art and then make an unique design accordingly.

In a world which become more and more visual, it isn’t really a surprise that style has taken such a place.

What is an interesting trend is the fashion world now focusing on the Luxury of travel as well

As the luxury of the destination.

Two strong exemples are Gianni Versace and Tag group and Hermes and Eurocopter, both have created an extreme luxury way of travel, with the first concentrating on private jets with beautifull interiors, leather sofas, cushions,lamps etc...and the second concentrating on the business world with luxurious shoppers with ample space, separation between pilots and passagers ,special materials for noise control, climatisation and of course Hermes famous way with leather.

The personnel to accompagny such luxury is hard to accomodate as the “staff”who will fir such extreme will have to be “wealthy” themselves to be able to cope with the demands of this exclusive travelers.

When I mean “ wealthy” she/he will have to have had life experiences perhaps not in $ sense but in art, business,,,,,and will have to be on top of her mental and physique state as demands from billionnaires are huge, having done it myself. (from reading the Financial Times to be aware of the current arts auction to just ba able to have a conversation)

Also this mean working out, world knowledge, politic.

How much do people pay for this sort of staff is big bucks, between 40 000/70 000 euros per year is quite standard they often come from private butlers schools.

And to tell you the truth often money is no subject as more than often money is trivial to them, family, safety, privacy, securtity and secrecy is more important to the billionnaires than money. But this is a parallel world than most of us don’t cross often.

Saying that so working for billionnaires is very interesting, as you are in close contact with them if you are interested and an enthousiast, you will learn about all sorts and about yourself, and you will be surprised that most billionnaires I have worked for knew the prices of things to the penny. I have to say I can’t say the same about our French politician.

Sandrine Urvois

Hospitality consultant

IS CUBA A POTENTIAL ASSET OR A LIABILITY

2008-03-09T17:43:41-05:00

THE FUTURE OF CUBA IS BRIGHT BUT THINGS HAVE NOT CHANGED MUCH YET, BUT SHOULD THEY?

As a fan, aficionado, some would say a specialist in Cuban hospitality, I can unqualifyingly confirm that there are still enormous opportunities in Cuba now and for the foreseeable future but the novice should beware.......but get on a plane quickly.

The Bushes. The Clintons, The Castros.......no I am not a politician but there must be something in the air over the last 50 years because what goes around comes around. Would it not be great to put them at a dinner table or better yet, on a CNN debating panel with Ted Kennedy as the moderator?

There is something attractive about the thought of doing business in Cuba. The great new is that the best is still to come. The good is great now and unfortunately the bad is reserved for the locals.

Yes, there is great news for Cuba (and its neighbours) and this includes,

Cuba will become the fastest growing economy in the West in the next 7 years.

Their system does not work but they are working on improving it.....but at least they have a system!!

You are included in improving the system. Be non-American in your approach but American when you get established there! They love America.....just not the politics.

Their suffering or could I better describe it as 'tough times', will be rewarded.

The Floridian Cubans for whom I have enormous sympathy, are not seriously planning to return and will not influence the political future. They will of course influence the economic future.

Raoul, get out of the way. Your brother could not, for various reasons. If you have never experienced an airport welcome ramp in Havana when returning families lock in tearful embrace over carefully selected gifts after years of separation, you will never understand the real damage that has been done by both sides.

The electoral system works there. No problems that I know about with 'chads'. Cuba is supposedly Communist but I do not see it as such. I see it more as their own brand of Socialism. Sort of like the Canadian left on steroids! Poor comparison but I never claimed to be a politician.

Great leaders are in the wings. Albeit 'left wings! Watch out for the leaders currently behind Raoul. They are bright, eloquent, relatively young and well respected by the Cubans. And no, they will not, I believe allow the country to 'collapse' ..........a la USSR and Eastern Europe.

Now this is really ironic!! Cuba may be one of the last remaining places where Americans are actually truly liked. Not their politics but the people. This is an emotion that has been carefully crafted by Fidel over the years and for that I take off my hat. It would have been so easy to craft a national feeling of hatred. He did not choose that path.

Now if Hillary or Obama could just play their cards right, they could solve the whole US health issue in one easy deal that could mobilise the largest organised army of trained doctors, surgeons and healthcare workers and thereby fund the re-construction of the country along truly social lines.......quite aside from the many miracles gathering dust on the shelves of their highly advanced Bio-Chemical Research industry.

Now don't you wish you were Cuban in the next life?

For some more realistic suggestions on doing business in Cuba and within their system, contact davidmcmillangroup@gmail.com

A TIME TO REINVENT THE NATIONAL BORDERS

2008-02-10T13:06:06-05:00

WE HAVE REACHED A TIME WHERE THE BORDERS OF COUNTRIES NEED TO BE TOTALLY REINVENTED.

"Before I built a wall, I 'd ask to know what I was walling in..... or walling out"
ROBERT FROST
The huge demand for workers everywhere will demand that developed and developing nations treat their borders in a different fashion than if they were walls.

People cross borders today not for immigration purposes, they cross borders to work. When they have finished working, they return home. If there was work at home, they would probably work there.

Those borders were invented years ago on pinciples that no longer exist today. Let's rethink them again!

I worked for a time with the world-renowned Cirque du Soleil, a Canadian company that is the hugely successful entertainment group that reinvented the circus, one of the world's oldest forms of entertainment. Their plan was to reinvent hospitality and I was recruited to lead the division that was charged with this wonderfully creative task. I will never look at our industry again in the same way as I did before.

With the strong belief that people will go where there is work and a better life, it is time to make it easier for them to do that. It is time for the borders to be reinvented. It is time for them to be re-thought.

Why are the borders there in the first place?

To keep good workers out or

to keep good workers in?

To hinder the flow of cheap goods into our countries, or

to hinder the flow of expensive goods out of our countries?

To stop people that hate us from entering or

to keep people that hate us from leaving?

Because we do not have enough food, or

because the food we have is different from what they eat?

Because we do not have enough housing for them, or

because there are not enough cars or buses to take them to work?

To keep religions in, or

to keep religions out?

It is also true that they cross borders for other reasons be it to shop,as was the case this week when the Palestinians from the Gaza Strip went shopping to Egypt, or to compete, as was the case this week in Melbourne, or later this year in Beijing. It is not always however to immigrate or emigrate.........which is the fundamental reason why borders were put up in the first place.

The answer perhaps is that we believe that these imaginary walls do in fact allow us to keep some things on one side and prevent other things from entering. They provide us with comfort from having our own turf, our own national back garden where the breeze is a friendly breeze, the rain soft and the seasonal scents familiar. Are we not prepared to share these joys with our global neighbours?

The thousands of jobs that are not filled represents millions of dollars in lost income taxes, lost contributions to National Pension Funds lost opportunities to reduce pverty.

It is indeed easier for a tomato to cross the border than for the tomato picker. It is easier for the virus to pass through customs and immigration than it is for the doctor or scientist who will fight it.

Perhaps now is the time to use that border 'rope' for more useful purposes.

For assistance in crossing borders legally, pursue a career in the hospitality industry and for advice on that, contact davidmcmillangroup@gmail.com

10 GLOBAL HOSPITALITY TRENDS IN HOTELS & RESORTS

2008-01-26T11:44:33-05:00

WHAT IS HAPPENING TO OUR INDUSTRY OVER TIME? WHERE DID ALL THE GLAMOUR GO?

From time to time an industry expert will issue a set of Global Trends that are neither trends in the true sense....... or global.

On the eve of a large anniversary of mine in this industry served in a couple of dozen countries, I set out in this article, my view of Global Trends that I have gleaned from watching, listening and learning about our industry....every single wonderful day of my working life.

LESS REAL SERVICE. Look around! There used to be dozens of staff around. Now one is hard put to find someone without having to queue....at the Front Desk or Reception to check in....at the restaurant for a table at breakfast......at the concierge...everywhere. Well at least they wrapped the ropes in red velvet!! There is less service provided by the staff and more service provided by the guest. This is evident in everything from making one's own reservation, checking in, unpacking, making a telephone call, help yourself breakfasts, wakeup calls, used room service trollies, hanging wet towels, market research disguised as a registration card. The term user-friendly has been accepted as a replacement for service. This is not necessarily less of an experience, it is merely different.

FOREVER CHANGING EMPLOYEES. There are less applicants for jobs and they stay in the job less time either by their choice or ours. They are largely foreign workers in the urban developed world and untrained but willing workers in the developing world. The shortage of 10-15 million workers in this industry will result in hotels having insufficient workers to operate, exploding salaries, eroding profits and increased illegal immigration. Multi-tasking employees would allow more productivity but will be difficult to impossible in Union controlled situations. Management has also morphed from largely European to largely Asian.

HYPER-ACTIVE OWNER GROUPS. Owners are less likely to be individuals and more likely to be corporations. They are often represented by Asset Managers who act like managers, micro-managing everything daily. Owners are hyper active now and were super-passive before. They want rapid financial returns and will dispose of the asset far quicker than in years gone by.

MULTIPLE BRANDS FROM THE SAME MOULD. Chains are so hungry for expansion, they now lack consistency from one hotel to another or from one country to another. Rather than fix an old chain, it is easier to create a new one. There are more brands offering the same base product with virtually no differentiation. What has transpired is that gradually the character has been squeezed out of the hotel and replaced by a homogenised version of hospitality characterised by that horrible enemic expression, "Have a nice day!"

MANAGEMENT COMPANIES. The function of a third-party management company has been largely replaced by technology. Best Practices and performance measurements are easier to communicate and measure through technology and does not require a headquarters overhead to deliver or monitor personally. Today's battlecry is more that "you can teach an old dog new tricks!"

RELATIVE LUXURY. Luxury is a term that is becoming looser and less-defined and now differs from one client to another. What is luxury for an entry-level worker may not be luxury for a rockstar. A Western construction worker can afford luxury and international travel today but could not years ago. A Chinese or African construction worker can not afford luxury today but may well enjoy it in the forseeable future.

ACCUMULATING HOTEL NAMES. They now get longer with age. A rebranded hotel may well keep its' original name, add a qualifier or two with a brand name bolted on at the end or the beginning. What was the "Grand Hotel" may eventually become The Marriott Grand Hotel & Spa Toronto Midtown........and if you tack on ".......and how may I direct your call?", the greeting becomes a jaw-breaking yawn, just likje "have a nice day".

QUALITY CONSISTENCY. This is no longer any more predictable than the weather. At a time when the employees were 'lifers' and recognised instantly a returning guest, they are rarely there for any more than a few months. Add to this the restrictions of an owner who will not reinvest, a brand that is hungrier to grow than consolidate or a manager that is entirely focused on the bottom line....and you produce inconsistencies in the hotel itself, between the brands, the countries and the individual hotel experiences. The exception.....a massive movement toward 'fresh' and 'locally produced'.

PRICING BY GREED. While in days gone by, pricing was largely based on the cost of the product, today it is largely based on demand. In these circumstances, one can pay a fortune for a product that costs pennies but rarely benefit from the cost-based, cheaper product in slow periods.

LESS FORMALITY. The days before first names, paper napkins and plastic cutlery were days when men were men, ashtrays were ashtrays and waiters had last names. Days with quill fountain pens at registration, starched white tablecloths for breakfast and liveried butlers at teatime. Tuxedo dinners with candlelight and harps preceeded by huge mind-numbing Martinis and followed by port and cigars in the mens lounge. Foot poofs for the ladies feet......cigarette lighters at the ready, silk stockings..... but no silk flowers...."Hi you guys. ..my name is David, I will be your waiter this evening!"

And while some of these trends are easier to identify as having an obvious base in the developed world, all are relevant to some less exagerated degree or another in every country in the world.

And for a brief look into the future of all this, take a look at these articles,

For Hotel Owners, check out this Blog, where you can make your own franchise, http://davidmcmillangroup.typepad.com/consulting/2007/06/franchising_in_.html

For Hotel Employees, check out this Blog, if you fancy being and astronaut http://davidmcmillangroup.typepad.com/consulting/2007/05/can_you_imagine.html

And while many would take from this set of Trends a negative thread, I would quickly add that there is an exciting Positive Outcome that is emanating from each one of these trends which includes,

An exciting link between Hospitality and Entertainment which will attract Generation X.

A friendlier more casual, less ostentacious environment in which to work and stay.

A more profitable investment with quicker returns.

Less consistency, more surprises, most pleasant and more genuine.

Enjoyable jobs anywhere in the world..... for life.

More consumer access to the truth.

Better, healthier way to travel

Sustainability and variety.

Reduced poverty through labour pressures on our borders.

International, exciting, variable industry careers, reduced turnover.

For more information on this still very glamourous industry, contact davidmcmillangroup@gmail.com

THINK LOCAL, ACT LOCAL, PRETEND GLOBAL

2008-01-24T13:52:25-05:00

GLOBAL HOSPITALITY GIANT IDENTIFIES TOP 10 MACRO GLOBAL TRENDS

From time to time, global hospitality consulting agencies release what they describe as Global Trends. Even though these Consulting Groups have offices in countless cities around the world, these Global Trends rarely enjoy any input from their geographic outposts.

The result is that Global Trends are in fact Observations or Regional Thoughts from the country in which the HQ Consulting Group is based.

The Top Ten Macro Trends released by a major 'Global' Hospitality (Consulting/Auditing) Firm are either, in my opinion, a very poor excuse for self promotion, an arbitrary collection of ten thoughts, the result of a consultant's slow day..... in fact a waste of electronic ink.

And here they are summarised,

Supply playing Catch-up.

Luxury Brands...in the Fast Lane.

Increased Construction costs.

Creative control of Operating Costs.

Capital global.

Western Hemisphere Travel Initiative.

Transaction Environment

Private Equity - non-Traditional

Condo hotels' growing pains

Disaster resiliency

Why is it a waste of electronic ink?

Because these trends are largely and principally for one country only and, if the truth be told, they are not really Trends, they are Observations, in fact Thoughts. There is not a Trend (or Observation) that could be truly and accurately called Global or a Global Trend, not one that could cross borders , not one that would be identified with the three fastest growing economies in the world.

Perhaps we might find that the credits divulge some global connections. Unfortunately not. Of the 17 references to other publications, 2 reference the disaster incidents and 1 mentions Asia and are the only ones that have any real connection outside the USA.

And China......the world's largest source of influence in our industry and the creation of at least half the real or imagined trends is not mentioned at all.

Actually this is not a joke because the banks and financial institutions listen to their advice and use these firms for their audits and feasibility studies, not a joke because these same banks and institutions rely on their opinions internationally, not a joke because through these trends the world loses a little respect for these International Consultants. An example in a previous year when the global report referred to the trouble in the Gulf States and we learned that the trouble referred to was in the States surrounding the Gulf of Mexico!

If it is not a joke then what is it?

Are they lies? No I believe this company believes them to be the true global Thoughts. They are however a distortion of the truth.

Are they semi-lies? Only in the context that they are not really Trends or directions and not really global.

Perhaps they are more like fiction? No, they are actually US Non-Fictional micro-thoughts and International US Observations.

Non factual? Not exactly, merely slanted to reflect or intimate that the world is virtually or perhaps.an extension of the USA.

Are they perhaps what people without passports imagine the rest of the world to be like and therefore what the trends would be?

Are they imaginative? Perhaps the consultants have been asked to use their imagination? They are therefore not lies if the authors believe them to be true.

They do come from a company of world-renowned Auditors......in fact one of the largest auditing firms in the world. So factual is sometimes a relative term..... or perhaps the truth can be bent if done by auditors.

It is not a joke because the word 'global' means big picture, international, all encompassing, borderless, including all countries, cultures and communities. In terms of trends, they would have to understand what the trends are in all regions, all sub-regions and the authors would need to weigh and evaluate them in importance.

It is also not a joke because of the Ten Trends identified, most are not in fact 'Trends', they are thoughts. Perhaps a breakdown in communications between the authors of the document and the website

The article concludes with the Global Hospitality Contacts from Asia (actually Japan), Australia, Europe (actually Germany), India, Caribbean (actually Miami), Latin America (actually Miami) the Middle East (actually UAE) and Russia and the inference is that they all were involved in the preparation of this document.

The article actually only infers they were written by these global representatives. Inferences are good because they allow a global giant to make believe. But I fail to believe that the representatives from these various locations did not have some thoughts of their own. With Asia and the Middle East highly prominent in hospitality issues......nothing. No reference to China's effect on the world tourism community or the growth in outbound traffic. No thoughts at all on the war and the effect on tourism to that area. No observations from Latin America, home to the third fasted growing economy in the world, or Europe where the ranking for the top tourism destinations in the world might change.

Has the time come to certify a globalist? Has a time come to certify a consultant? Has a time come to establish standards for the opinions of those who profess to speak globally and internationally on behalf of the world, but only have known a small section? Has the time come for us to separate those that do numbers from those that do words. The answer is probably "No." As always, the policing for these things must come from within.

The time definitely has come for industry leaders to demand that its advisors be factual and truthful, which in my mind means that Global Trends are in fact Trends and are determined by truly global industry leaders, not from professional un-named observers.

I do admire this consultancy's Code of Ethics, and suggest a periodic review!

Working with One Another

Working with Clients and Others

Acting with Professional Integrity

Maintaining our Objectivity and Independence

Respecting Intellectual Capital

However, on a slow day, they is no telling what will come out of a Consultant's mouth as Global Thoughts. I know because I am a Consultant!

For another version of Global Macro Trends, contact davidmcmillangroup@gmail.com

David McMillan is the former CEO of the International Hotel & Restaurant Association, the official voice of the hospitality industry.