Part 1 - HAVING A VISION - Improving performance and achieving success in hospitality

HAVING A VISION 

'Dissatisfaction and discouragement are not caused by the absence of things but the absence of vision'.

In this series of articles, we at Hospitality Skills aim to address the issues and challenges facing the hospitality industry today. We'll examine and discuss the solutions and suggest actions to be taken to enable you to move your business forward, possibly in a new direction if that's required.

Albert Einstein once said, "Insanity: doing the same thing over and over and expecting different results". We have often had this conversation with clients who fervently believe that the way they have always done things, over many years, is the right way. In some cases this is true, there are some fundamental aspects of hospitality that will never change; it's in the word... 'hospitality'. However, many things have changed.

We are trading under very different conditions today and 'normal' has gone forever. We have to adapt to these ever changing times whether that's climate related, new technology, banking crises or Governmental factors beyond our control; we have to re-position ourselves to remain relevant and visible to our customers.

The consumer is a different animal too. Today, a guest can sit in your restaurant having breakfast whilst wielding their mobile device between the condiments, informing the world about their experience - with photographs to boot! You are on trial day and night, held to account by a plethora of social media judges, all of whom have the power to make your day....or send you into the depths of despondency until the next decent review hits your inbox.

'They should be stopped!' I hear you cry. 'It shouldn't be allowed! What right do they have?' But one is reminded of the story of King Canute having his chair carried down to the shore, to order the waves not to break upon his land. Our protestations are as futile as Canute's demands.

Whether we like it or not, the world is a rapidly changing place and it has never been more important to know where you are now and where you want to be in the future. Will that future be a place you decide upon or one that's determined for you? For an answer to this question, consider for a minute what happened over the last five years. You get the point? Your vision, your five year plan, will be the framework for you to design the future you want.

We use the term 'vision' for a reason. Having a vision is much broader than just having a business plan with a sales forecast and cash-flow projections. It carries with it an emotional element which, as we shall see later, is essential to its achievement.

So, we want to sell you on the idea of creating a vision for your business. A five year plan that starts today and acts as a Sat Nav to guide you through the twists and turns ahead. A vision can incorporate a written and a visual representation of your plan; a picture that can be shown to your team, something relatable, a clear interpretation you can both buy into.

But before you start committing your vision to paper (or iPad), you need to get into the right mind set. One of the main obstacles to this process is believing that change can happen at all. Ask yourself this; has anyone else ever done what you would like to do? The answer is usually yes, so plant that thought in your mind from the outset; if it's been done before, it can be done again and you can do it too!



Turning a vision into reality. The iconic Burj Al Arab, a symbolic statement for Dubai. 

BURJ AL ARAB

Let's turn to the practicalities of creating your vision, your five year plan. 

Thought process

The first stage is to enter into entrepreneurial thinking mode. Learning how to think in an entrepreneurial way allows you to stay one step ahead of your competition; recognising opportunity in what people might want in the future, considering improvements in efficiency, introducing new products and services and training to enhance knowledge and skills. (Remember human capital is one of your greatest assets). 

How will your new business differentiate itself from your competition?



Adaptive reasoning

Today, business processes, underlying workflows and information systems have to be adaptive to changes as guests expect you to deal with their requests in a flexible, individual way. The hospitality industry is characterised by ever changing requirements and unpredictability. Think through and reflect on the changing environment and consider how your customers needs will evolve over time. Reason and draw out conclusions to enable you to make effective decisions when the time comes.

Conceptional framework

A conceptional framework will allow you to outline possible courses of action and your preferred approach to your ideas and thoughts. It will enable sensible and clear discussion and will act as a compass to help navigate through the array of ideas.




In summary:

• Combine ideas and concepts and organise them in a manner that makes them easy to communicate
• Organise your thinking about how and why the changes should take place
• Identify the activities required to make it happen
• An overview of your ideas that will shape the way the new business will look
• A set of assumptions, values and rules under which the changes will be conducted

You will find the process of creating this vision and the development of your five year plan will be empowering and motivating. Both you and your team will be invigorated and confident for the future. A good recipe for success.

Next time...Part 2 - We'll turn to the financial elements of your five year plan - Improving performance and achieving success in hospitality

For further information about Hospitality Skills and our services please contact us here:

David Allen

Co-Owner Hospitality Skills

www.HospitalitySkills.org

David@HospitalitySkills.org 

Improving performance and achieving success in hospitality - An introduction

Who could have predicted in 2008 that the hospitality sector would be in the position it is five years on? Of course it's a mixed picture and some businesses have done exceptionally well, but the many hoteliers and restaurateurs we speak to, still aspire to return to the heady days of the early noughties when customers would spend with gay abandon. We search for those signs that the 'green shoots' of recovery are appearing, however, there is a fear that where we are now in 2013, could be the new 'normal'.

The danger with waiting for the good times to return is that we limp along with minimal profits, just holding our heads above water, with the promise that we'll 're-invest' in the business the minute the tide turns and the money starts flowing into the coffers once again. It's the classic 'Catch 22' and sadly, in many cases, leads to the demise and eventual ruin of a business. Daily we read of once thriving, even iconic, establishments going to the wall. Nostalgia is no protection against the hard financial realities of managing a successful business.

So, what's the solution? Firstly, the good news is, there is a solution! We at Hospitality Skills (www.HospitalitySkills.org) have been studying best practise for the past 14 years through the 'good' and the 'not so good' times and have developed a programme that addresses the issues and provides the solution to put a business back on the right track to profitability and long term success, whatever the economic climate.

In this blog, we aim to address some of those issues and examine the potential solutions. We would welcome your thoughts and comments to expand the discussion and will attempt to answer any specific questions raised along the way.

To begin with, as we are in the hospitality industry, we need to create a recipe for success and as with any good menu, we need the right ingredients. So here they are:

• Vision - (If you don't know where you are going, you'll end up where you're headed!). It all starts with a five year plan for success. We'll examine the key elements and identify the necessary steps to prepare for the way forward. Understanding the thought processes, adaptive reasoning and conceptual framework required.
• Team - (Together Everyone Achieves More). Having the right people, in the right roles, with the right attitude. (See article 'Hire attitude and train the skills' http://lnkd.in/yzfyce) We'll discuss 'organisational structure', optimal reporting and communication systems as well as tips on how to conduct effective meetings. We'll uncover the myths of motivation and identify the factors that make up a great team.
• Budget - (A mathematical confirmation of your suspicions. - AA Latimer). Apart from examining all the benefits to the business, we'll look at the process of constructing a budget and who should be involved in its creation. We'll discuss industry benchmarks for costs against revenue and effective measurement systems to deliver the bottom line. This is a huge area to look at and one of the most important to the business, so we shall break this topic into several sections and examine each individually. 
• Sales - (Every sale has five basic obstacles: no need, no money, no hurry, no desire, no trust! - Zig Ziglar) We will discuss the art and/or science of generating revenue both internal and external and examine the many and varied ways to make sales in rooms, F&B, events, weddings, conferencing, leisure, spa etc. We'll look at which members of the team should be trained as salespeople and who has the responsibility for achieving the revenue requirements of the business.  
• Marketing - (The aim of marketing is to make selling superfluous. - Peter Drucker). Here we'll examine all the many and various ways to market. What works......and what doesn't. We'll discuss the key elements of an effective website, the do's and don'ts of social media. With search engines such as Google constantly changing the goal posts (algorithms) on 'how to be found'  we'll examine the latest facets of optimisation. Also,exploring return on marketing investment and how to measure our success 50% of our marketing works and 50% is a waste of time. The skill is knowing which is which!
• Management - (Management is, above all, a practice where art, science and craft meet. - Henry Mintzberg). Effective management is essential to the success of any business. Even more so in the hospitality industry, where we're dealing mainly with people. In this blog we'll discuss all aspects of being an effective manager. We'll identify the key skills needed to deal with the specific challenges in this globally competitive industry, with both rapidly changing technology and environment.
• Training - (Education is what survives when what has been learned has been forgotten. - BF Skinner) We know how important it is, but training is usually the first budget to be cut during times of austerity. Here, we want to discuss why training is essential, especially when times are tough and why reducing your investment in people is a false economy. We'll look at the most effective methods of training staff with the minimum amount of time and disruption.
• Customer Service - (Is the customer always right? Maybe not, but they are still the customer. - J  Goleczka). Here we will discuss all aspects of exceptional customer service and customer care. It's a subject that most hospitality businesses in the UK believe they have right, but the facts say something different. The Institute of Customer Service customer satisfaction index for July 2013 makes for interesting reading. 'Satisfied customers spread the word, but organisations must do more' (http://www.instituteofcustomerservice.com/167-11555/The-UK-Customer-Satisfaction-Index-July-2013-launch.html). We will look at examples of best practise and identify the key areas where a small improvement in customer service can make a significant difference to the bottom line.

.....next time, we look in detail at the first of our ingredients for the recipe for success...VISION.

David Allen - Co-Owner Hospitality Skills (www.HospitalitySkills.org)