GLOBAL HOTEL INDEX: Asia Pacific 66.3% - Americas 61.9% - Europe 64.9% - Middle East and Africa 63.7% (Regional average occupancies, June 2013)
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Behind the scenes at Dubai’s most expensive suite, with Raffles GM Andrew Abram
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Debating Gen Y’s impact and influence on the workplace
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A roundup of the industry’s greenest initiatives
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Anders Dimblad explains the unconventional marketing strategy behind the regional launch of Banyan Tree
Can NLP be apllied to hospitality management?
5)& 0''*$*"- )05&- 4)08 13&7*&8 Speakers, features and special events revealed in the official show preview supplement
Prepared for high season Sofitel regional SVP Sami Nasser explains why, five years after closing 86 hotels, the re-positioning of the brand is gaining ground
In association with...
Publication licensed by IMPZ
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CONTENTS
16
18
28
42
16
18
24
28
38
42
ANDERS DIMBLAD EXPLAINS THE MARKETING STRATEGY THAT BROKE ALL THE RULES BUT CATAPULTED BANYAN TREE TO REGIONAL FAME
SOFTEL SVP SAMI NASSER ON THE REBUILDING OF THE FRENCH LUXURY BRAND, NEW DUBAI PROPERTIES, AND A FOCUS ON THE BURGEONING LEISURE MARKET
ANDREW ABRAM, GM OF RAFFLES DUBAI, GIVES A GUIDED TOUR OF THE MOST EXPENSIVE SUITE IN THE CITY, FORMER ROYAL RESIDENCE, THE DUBAI FLOOR
GEN Y IS CAUSING RIPPLES THROUGHOUT BUSINESS, BUT WILL THEIR DEMANDS BE MET IN HOSPITALITY? EXPERTS DEBATE THE ISSUE
THE APPLICATION OF NLP AND COMMUNICATION TRAINING IN HOSPITALITY AND ITS RELEVANCE TO COLLEAGUES IN NON- MANAGEMENT POSITIONS
GOING GREEN IN STYLE, WE ROUND UP THE TOP SUSTAINABILITY INITIATIVES OF THE LAST 12 MONTHS FROM BOTH THE GLOBAL AND REGIONAL BRANDS
VP SPOTLIGHT
cpimediagroup.com
COVER STORY
GM PROFILE
ROUNDTABLE
IN THE MIND
AUGUST 2013
SPECIAL FEATURE
REGULARS 02 EDITOR’S COMMENT
04 MENA &
GLOBAL NEWS
09 DATA 48
PRODUCT WATCH
51 APPOINTMENT NEWS 52 JOBS 54 TENDERS 56 COLUMN
HOSPITALITY BUSINESS MIDDLE EAST / 1
COMMENT / EDITOR’S LETTER
PUBLISHER: Dominic De Sousa GROUP COO: Nadeem Hood
Publisher’s letter
L
A personal note from associate publisher, Alex Bendiouis
aunching Hospitality Business magazine was a passion and dream that I carried for five years. So when the first edition came out it was like seeing my dream come to life. What we have achieved as a team in just over a year has been phenomenal. From exclusive partnerships with DTCM to our official media partnership with DMG’s The Hotel Show; a website, and a series of supplier guides, as well as some exclusive editorial interviews and scoops courtesy of the editor, Melanie. It is evident that we have hit the market hard and made a positive impact. I had a vision to create a business magazine that was informative to the market, yet without a strong team behind it this would have been difficult. So I would like to thank Dominic De Sousa, CEO
Hospitality Business Middle East official media partner
and owner of CPI Media Group for believing in both me and the idea I had; Melanie Mingas, the editor, for her impeccable hard work and putting the editorial at such a highly respected level within the industry; Chris Howlett for his design concepts and continuous hard work and support; Devaprakash for bringing a wealth of production knowledge to the team; and Louie Alma for creating the web platform literally overnight. I would also like to thank the rest of the CPI hospitality team that have been involved: Antony Crabb, Ankit Shukla, Dave Reeder and Georgina Wilson-Powell - they, plus all the readers and suppliers that have supported us, have helped make this a reality. I write this as I will soon be embarking on a new journey with my beautiful wife and the arrival of a child. So I leave you all in very capable hands, as the Hospitality Business brand continuous to push forward. I have learnt a great deal in my time here, but the most important lesson I will take from this experience, is to stay humble and make it happen! ALL THE BEST,
28 - 30 September 2013
ASSOCIATE PUBLISHERS Alex Bendiouis Dave Reeder EDITORIAL Editorial Director: Dave Reeder dave.reeder@cpimediagroup.com +971 55 105 3773 Editor: Melanie Mingas melanie.mingas@cpimediagroup.com +971 56 758 7834 Photography: Anas Cherur ADVERTISING Alex Bendiouis alex.bendiouis@cpimediagroup.com +971 50 458 9204 Ankit Shukla Sales Director ankit.shukla@cpimediagroup.com +971 55 2572807 Vass Mafilas Sales Manager vass.mafilas@cpimediagroup.com +971 55 8870720 Stuart Norbury Account Manager stuart.norbury@cpimediagroup.com +971 52 7999151 DESIGN AND PRODUCTION Art Editor: Christopher Howlett chris.howlett@cpimediagroup.com Production Manager: Devaprakash devaprakash@cpimediagroup.com MARKETING & DISTRIBUTION Rochelle Almeida rochelle.almeida@cpimediagroup.com SUBSCRIPTIONS www.cpievents.net/mag/magazine.php PRINTED BY Printwell Printing Press LLC, Dubai, UAE PUBLISHED BY
ALEX BENDIOUIS Head Office, PO Box 13700, Dubai, UAE Tel: +971 4 440 9100 Fax: +971 4 447 2409 Group Office, Dubai Media City Building 4, Office G08, Dubai, UAE A publication licensed by IMPZ © Copyright 2012 CPI. All rights reserved. While the publishers have made every effort to ensure the accuracy of all information in this magazine, they will not be held responsible for any errors therein.
2 / HOSPITALITY BUSINESS MIDDLE EAST
AUGUST 2013
NEWS WATCH
$1bn
SALES TARGET FOR GLOBAL HOTEL ALLIANCE IN 2013
MENA Global Hotel Alliance to diversify in Q3 NEWS Global Hotel Alliance (GHA) the publish with The National in the UAE, international body representing independent and boutique hotels, is to enhance its offering to smaller boutique brands, CEO Christopher Hartley (pictured right) has exclusively told Hospitality Business magazine. The new alliance, named the UltraTravel Collection, will provide small luxury and boutique brands with enhanced consumer benefits, for example loyalty programmes, that GHA membership provides, but without compromising the exclusivity of niche brands. “We will launch UltraTravel Collection officially in September, specifically for that boutique, independent luxury market that wishes to offer its members strong loyalty rewards, but without sitting on a billboard with 20 other brands.”
Hartley also revealed that UltraTravel would be backed by a UAE-based media group and US partners. “Behind the Collection, we will have UltraTravel Media Group, who
and in the UK with Daily Telegraph. In the US we will partner with Travel Leaders Group, the largest agent network in the world, who will give access to their five million luxury client base.” While only a single element of what GHA does, its consumer-focused loyalty programme has been a key driving force behind the alliance’s rapid growth, which has accumulated 3.4m individual members and is growing “by around 3000 new members a day”, according to Hartley. By 2014 end, the alliance will have 20 member brands. GHA recently re-located from Geneva to Dubai, which Hartley refers to as “the modern hub of hospitality”, and in 2013 is on target to reach $1bn in sales through its cross-brand loyalty programme.
Accor eyes global domination With an eye on key global markets, Accor is to drive rapid expansion of its network of Mercure hotels through franchise models and reposition its luxury business brand, Pullman. Over a string of news announcements last month, the European chain pledged to continue opening a Mercure branded hotel every week under its current franchise model, and launch an art inspired makeover of its Pullman hotels. Regarding the Mercure expansion, with a target of 1000 hotels globally within five years, the reimagining of the brand will also see new F&B concepts introduced and the ‘guest welcome’ redefined. Currently, Mercure is the world’s second largest hotel chain in its segment (excluding North America) with 732 hotels in 50
4 / HOSPITALITY BUSINESS MIDDLE EAST
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countries accounting for 21% of all the rooms opened by Accor in 2012. “To meet our objective of 1000 hotels within five years, we will expand mostly through franchises. Independent hoteliers make up 70% of the midscale hotel segment. They are looking for sector expertise, particularly to handle the hotel digital revolution,” explains Christophe Alaux, COO, Mercure and MGallery Europe. Elaborating on the changes ahead for Pullman Hotels, Gregoire Champetier, global chief marketing officer of Accor explained: “Comfort and high-quality, efficient services are intrinsic aspects of upscale hospitality. To differentiate ourselves in this market, it is imperative that we offer our guests emotion. Every trip must be an enriching experience that
enhances performance and creativity at work without losing sight of the enjoyable and social dimension of travel. We have rethought Pullman’s positioning to respond to this fundamental trend.” As one of Europe’s largest operators the group now has 300 upscale and luxury hotels under the Sofitel, Pullman, MGallery and Grand Mercure flags, and intends to increase this figure to 400 by 2015. In total, Accor has 3500 hotels in its portfolio currently.
For news on Accor’s latest openings and the business model that will drive growth in Africa, turn to page 18. Accor’s regional MD Christophe Landais will also be speaking at The Hotel Show’s Vision Conference, September 28 – 30.
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500 Turkish debut for Starwood brands Starwood has opened its eighth and ninth hotels in Turkey, with the launch of Sheraton and Aloft, adding a combined 300 rooms to its existing portfolio in the country and contributing to the 500 hotels by 2015 target. Both hotels are located in Bursa, an area known for its hot springs and mosques and the hotels have
been developed with Faik Celik Holding. The hotels are located near an emerging business and upscale residential area adjacent to the Bursa New Cultural Green Park and upcoming football stadium “We are delighted to be working with Faik Celik Holdings, the owners of the Sheraton and Aloft Bursa, our first Starwood hotels in
news watch target number of hotels for starwood to open by 2015
this important city in Turkey,” said Michael Wale, president, Starwood Hotels & Resorts, Europe, Africa and Middle East. “Bursa is an emerging metropolitan centre of industry, culture, sport and leisure and we believe this combination of our differentiated lifestyle brands with a new city destination will make a compelling offer to global travellers.” Starwood’s 10th property in Turkey will open before the end of 2013.
Cruise execs to address stunted demand Following on from 2012’s regional Cruise Summit, Abu Dhabi is to host a second cruise-focused forum to address key areas that will allow the industry to expand in the local market. The conference programme will be broken into three key sessions: Opportunities for growth in the region; Challenges for the region; and Selling and marketing – best practice
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04-08 News.indd 5
for a successful future. Each session is then broken into topics that have been identified as important areas for discussion. Executives from Azamara Club Cruises, Crystal Cruises Inc, Cunard UK, Holland America Line, Princess Cruises, Royal Caribbean International, Silversea Cruises, TUI Cruises GmbH and The World have
all confirmed their participation at the Seatrade Middle East Cruise Forum, to be held in Abu Dhabi December 9 – 11. Said Chris Hayman, Seatrade chairperson: “This is an unrivalled opportunity for destinations in the region to get in front of the real cruise itinerary decision-makers to present their individual cases for port-of-call inclusion.” “For cruising to move forward in the region, some key areas have to be addressed,” he continued. “This Forum is to discuss these issues and make decisions to enable a new chapter in Middle East cruising to begin.” Sultan Al Dhaheri, director Tourism Eco-Systems, TCA Abu Dhabi, added: “The calibre of attending cruise line executives provides us, our regional counterparts and stakeholders, with essential face-to-face time with the decision-makers at the sharp end of the cruise industry so we can hear their concerns first-hand, together identify opportunities and forge stronger working relationships. “This approach is in line with our strategy of involving stakeholders in the development of our ambitions and we view attendance as a vital investment for the region in realising its cruise ambitions.”
AUGUST 2013
hospitality business middle east � 5
8/1/13 2:14 PM
NEWS WATCH
MENA NEWS
8
THE NUMBER OF SENIOR MANAGEMENT STAFF ON SOFITEL THE PALM’S EXCOM TEAM
NEWS IN BRIEF
Online driving up to 45% of bookings
ENGINEER RESCUES CHILD
Industry-wide, 10% of 2012’s $1.6bn bookings made online Hotels in the UAE have reported that up to 45% of their business is currently coming from online channels. The report, compiled by HotelsCombined.com, shows that one recently opened property in Abu Dhabi has seen nearly half of its rooms booked online. Confirming the trend, Raffles Dubai GM Andrew Abram told Hospitality Business Middle East: “Our own website and booking engine doubled business in the first six months of this year, compared to last year. Raffles as a company has focused more aggressively on that and we are not suggesting it is going to replace business from our other partners, but it is another
The engineering supervisor at Radisson Blu Hotel Cairo Heliopolis, has saved the life of a four-year-old girl after she slipped on marble flooring in the pool area. Abdel Gaber was changing a light bulb by the pool when he saw the girl fall. Her mother couldn’t reach her, but Gaber jumped into the water to help her. Gaber , who joined Radisson 10 years ago, was presented with a certificate of appreciation during the monthly staff party by GM Ashraf Naguib and was highlighted as Yes I Can Star of the month.
SAUDI NATIONALS ASPIRE TO INDUSTRY Glion Institute of Hospitality Management, the Swiss based hospitality education provider, has reported an increased interest from Saudi nationals aspiring to working in the hospitality industry. The trend is thought to be spurred by the growth of the Kingdom’s hospitality sector, as a number of international brands scramble to establish a presence in the lucrative and diverse market. According to a report by Alpen Capital, tourist arrivals are expected to grow at a compound annual growth rate (CAGR) of 4% between 2012 and 2022, driven by strong growth across all sectors, with occupancies set to jump from 67.5% in 2011 to 74.2% by 2016. Turn to page 28 for this month’s roundtable in association with Glion Institute
OBEROI NAMED NUMBER 1 Oberoi Hotels & Resorts have been voted the World’s Best Hotel Brand in Travel + Leisure magazine’s, World’s Best Awards, 2013. The ranking is the result of a Readers’ Poll conducted by Travel + Leisure magazine. P.R.S. Oberoi, executive chairman, The Oberoi Group said: “I am very proud that Oberoi Hotels & Resorts have been voted the World’s Best Hotel Brand. Our guests have given us the highest ranking because we have built and maintained our hotels with care and our employees have exceeded guests’ expectations.”
6 / HOSPITALITY BUSINESS MIDDLE EAST
AUGUST 2013
distribution channel.” Figures from to PhoCus Wright’s Middle Eastern Online Travel Overview signal that in 2012, 10% of a totalled $1.6bn in bookings were made online for hotels in the GCC. Amer AlHalabi, regional manager, HotelsCombined, said:“With so many websites available for online hotel booking, it’s hard for the consumer to know offhand where the best rate available is posted. A hotel room will always have different rates on different booking sites.”
HotelsCombined will deliver a session on mobile booking on day one of The Hotel Show. To read the full interview with Raffles Dubai GM Andrew Abram turn to page 24.
Sofitel The Palm ExCom revealed The names of the seven-strong executive committee recruited to launch the 543-room Sofitel The Palm, have been revealed. The ExCom team includes a new director of F&B, executive chef, DOSM, director of finance, director of rooms and director of engineering. The team, headed by GM Christophe Schnyder and hotel manager Marc Sittl, will launch Sofitel’s first leisure property in the UAE, featuring 361 guest rooms and 182 serviced residences. “I look forward to drawing on the executive committee’s extensive experience in order to ensure Sofitel
The new team Director of F&B, David Hirber, Executive chef, Olivier Chaleil DOSM, Emmanuel Comble Director of finance, Navin Shah Director of rooms, Karim Shawky Director of HR, Sayed Edroos Director of engineering, Rohit Salunke The Palm Dubai is not only a success within Dubai, but also internationally,” said Schnyder, a Swiss national who has previously worked at The Waldorf Astoria, Peninsula Hotel in New York and Burj al Arab, where he held the position of hotel manager.
cpimediagroup.com
NEWS WATCH
$135.8m
VALUE OF THE RECENT SALE OF HYATT PLACE WAIKIKI BEACH
GLOBAL TKI opens NEWS souk-style Khartoum F&B destination Dubai-based F&B consultants TKI has announced the opening of Al Housh, a souk-style 25-stall eatery with capacity for 600 diners in Khartoum. The destination is part of the El Seref Tourism and Hospitality project, Sudan, and is the largest outlet located within the 45,000 square feet destination. “Al Housh offers traditional Sudanese cuisine, and recreates a souk layout and experience whereby customers are brought back to a time and place when the ingredients were at the core of the food they ate,” explains Daniel During, principal and MD TKI. The food and beverage concept was designed after scouring the country to learn about traditional cooking methods, recipes and ingredients. El Seref also has its own on-site slaughterhouse and butchery, as well
as a fishmonger. Local breads are baked on site, and most vegetables and herbs are sourced locally. “Similarly, the interior design was inspired by the ancient street markets
and souks, and we have created similar courtyards and alleys throughout the eatery, to create an authentic dining experience,” During added.
Starwood’s Argentine expansion
$161m Ritz sale
Sheraton Tucuman Hotel owned by Argentine company Sol del NOA S.A. and is operated by Starwood, has opened in Tucuman, Argentina. Sheraton was the first brand to be established in major South American cities, including Buenos Aires, Santiago and Lima. Currently, Sheraton operates 33 proeprties on the continent and the 124-room Sheraton Tucuman is the ninth Sheraton branded hotel in the Argentina. “Sheraton continues to be one of the most sought-after hotel brands in Latin America and around the world and as a result, we are experiencing record-breaking growth with plans
Following the successful acquisition of San Francisco’s JW Marriott in 2011, Thayer Lodging Group has bought the 338-room Ritz-Carlton, San Francisco for $161 million from Host Hotels and Resorts, with the intention of immediately investing $17m in the property. Host Hotels and Resorts will use the profits to continue its acquisitions, which recently included Hyatt Place Waikiki Beach for $138.5 million. Lee Pillsbury, co-chairman and CEO of Thayer Lodging Group, said, “We are bullish on the San Francisco market, and bullish on the environment for investing in hotel real estate.”
8 / HOSPITALITY BUSINESS MIDDLE EAST
AUGUST 2013
to open our 500th Sheraton hotel by 2015,” said Hoyt Harper, global brand leader for the chain. “Sheraton is Starwood’s powerhouse brand around the world and in Latin America where we currently operate 33 Sheraton branded hotels from Mexico City to Buenos Aires,” said Osvaldo Librizzi, Co-president of the Americas, Starwood Hotels and Resorts. “Adding the Sheraton Tucuman to our portfolio and continuing to expand the brand’s robust footprint in Argentina is an important part of our aggressive expansion strategy in Latin America, and we are thrilled to bring this project to life.”
cpimediagroup.com
KEY FIGURES
2012
56%
15%
THE YEAR AVERAGE MOBILE VISITS PER MONTH ALMOST TRIPLED
INCREASE IN AVERAGE SITE VISITS 2011 – 2012
OF CURRENT TRAFFIC VOLUMES ARE FROM MOBILE
2012 Hotel Digital Marketing Benchmark Report
ABOUT THIS DATA
Buuteeq’s Hotel Benchmark Report details the performance of hotel digital channels in aggregate for 2012. The data points were extracted by analyzing over 11m visits, 43m page views, and over 3bn seconds of time on site – equivalent to 95 years. This analysis uses a sample of over 700 small, medium, and large hotel websites representative of buuteeq’s global customer base 2012 Traffic Trend - Hotels saw an increase of 56% in average visits per hotel from 2011 to 2012.
3X
- MOBILE
4
2
2012
AVERAGE VISITS / HOTEL
(000S)
6
AVERAGE VISITS / HOTEL
Mobile Traffic Growth, 2012 - Across the board, average mobile visits by month nearly tripled during 2012.
56%
8
DATA WATCH
21.1%
The data was collected using buuteeq’s visitor and booking tracking technology. For the purposes of this report, hotels are segmented based on number of rooms, as below: B&B: 1-5 rooms Inn: 6-20 rooms Small Hotel: 21-50 rooms Medium Hotel: 51-99 rooms
7.6%
Large Hotel: 100+ rooms
2011 JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEPT
OCT
NOV
DEC
0
2012 Page Views per Visit - Not surprisingly, mobile visitors view fewer pages per visit per hotel than their desktop counterparts.
AVERAGE PAGES / VISIT / HOTEL
5
SEO Effects on Bounce Rate - Looking at select hotels with exceptionally low bounce rates, we find no correlation between percent of traffic from organic traffic and bounce rate, indicating that bounce rate itself measures a complex interaction of traffic quality, quantity, site design and content strategy.
4
Hotel Type
3
2
Bounce Rate
% Organic Traffic
B&B
0.11%
73.49%
Inn
20.3%
45.21%
Small
4.8%
21.67%
Medium
20.0%
40.1%
Large
26.1%
70.5%
1
0 B&B
INN
MOBILE PAGES
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SMALL HOTEL MEDIUM HOTEL
BIG HOTEL
WEBSITE PAGES
AUGUST 2013
HOSPITALITY BUSINESS MIDDLE EAST / 9
DATA WATCH
-4.2%
-0.1%
Fall in Asia Pacific RevPAR
6.6%
Fall in Americas RevPAR
Growth in Europe RevPAR
10.1%
Growth in Middle East RevPAR
Data watch
Global hotel data review for June 2013 from STR Global JUNE 2013 VS JUNE 2012 KEY FIGURES
-3.8% DECREASE IN ADR
0%
CHANGE IN ADR OVER THE PERIOD
3.5%
+
ADR INCREASE
4%
ASIA PACIFIC OCC%
ADR
PERCENTAGE CHANGE FROM MARCH 2011
2013
2012
2013
2012
OCC
ADR
REVPAR
67.1
67.3
116.29
120.84
-0.4
-3.8
-4.2
REVPAR
77.99 81.38 2013
2012
AMERICAS OCC%
ADR
PERCENTAGE CHANGE FROM MARCH 2011
2013
2012
2013
2012
OCC
ADR
REVPAR
69.6
69.8
113.03
109.75
0.0
0.0
-0.1
REVPAR
89.49 89.55 2013
2012
EUROPE OCC%
ADR
PERCENTAGE CHANGE FROM MARCH 2011
2013
2012
2013
2012
OCC
ADR
REVPAR
75.3
73.1
144.46
139.63
3.0
3.5
6.6
REVPAR
108.82 102.09 2013
2012
MIDDLE EAST/AFRICA
+
OCC%
ADR INCREASE
2013
2012
2013
2012
OCC
ADR
REVPAR
61.8
58.3
141.21
135.77
5.9
4.0
10.1
REVPAR
ADR
10 / HOSPITALITY BUSINESS MIDDLE EAST
AUGUST 2013
PERCENTAGE CHANGE FROM MARCH 2011 87.21 79.21 2013
2012
cpimediagroup.com
5.9%
4%
REGIONAL INCREASE IN OCCUPANCY
REGIONAL INCREASE IN ADR FOR $141.21
10.1%
53%
INCREASE IN REVPAR TO $87.21
DATA WATCH
TOTAL OCCUPANCY REPORTED IN LEBANON
In focus: Middle East / Africa The full story on the region’s unparalleled growth and rising performance in all three key performance metrics, June 2013. Data from STR Global
T
he Middle East/Africa region reported positive performance results during June 2013 when reported in U.S. dollars, according to data compiled by STR Global. The region reported a 5.9% increase in occupancy to 61.% , a 4.0% increase in average daily rate to $141.21 and a 10.1% increase in revenue per available room to $87.21. During the first half of 2013, the region reported increases in all three key performance metrics. Its occupancy rose 4.9% to 63.7%, its ADR was up 2.9% to $166.64 and its RevPAR increased 8.0% to $106.19. “Hotels in the Middle East/Africa region achieved an 8% RevPAR increase in the first part of 2013, growing both in occupancy and ADR terms”, said Elizabeth Winkle, managing director of STR Global. “Lebanon continues to suffer collateral damage due to its geographic proximity to Syria. “Year-to-date June 2013 hotels in the capital of Beirut have achieved an occupancy level of 53%, which
Highlights among the region’s key markets for June 2013 include (YoY comparisons, all currency in U.S. dollars)
is 10% lower than the same time last year, and an ADR of $156.00, 21% lower than last year. Mauritius, which shares the Indian Ocean with other tropical paradises including the Seychelles, reported YTD occupancy of 63% which is a 6.9% decline from last year; however, ADR achieved US$227.00—an increase of 8.6%.”
YTD June 2013 Rev PAR 100 80 60 40 20 0
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AMERICAS
26.7% RISE IN QATAR OCCUPANCY LEVELS
14.1%
JEDDAH’S DOUBLE-DIGIT ADR GROWTH - ONE OF ONLY TWO MARKETS TO ACHIEVE THE FEAT
-20.4%
FALL IN REVPAR BEIRUT, LEBANON, DROPPING TO $88.80, THE LARGEST DECREASE IN THAT METRIC
YTD June 2013 % Change
120
ASIA PACIFIC
Doha, Qatar, rose 26.7% in occupancy to 63.2% posting the largest increase in that metric, followed by Cairo, Egypt, with a 21.5% increase to 51.5%. Nairobi, Kenya (-3.8% to 63.8%), and Riyadh, Saudi Arabia (-3.6% to 54.1%), posted the largest occupancy decreases in June. Two markets experienced doubledigit ADR growth: Jeddah, Saudi Arabia (+14.1 % to $260.01), and Muscat, Oman (+10.0% to US$168.26). Beirut, Lebanon (-18.4% to $162.54), and Sandton, South Africa, and the surrounding areas (-11.4% to $110.37), posted the largest ADR decreases for the month. Three markets achieved RevPAR growth of more than 20%: Muscat (+24.6% to $98.27); Doha (+23.5 % to $119.52); and Cairo (+23.3% to $52.56). Beirut fell 20.4% in RevPAR to $88.80, posting the largest decrease in that metric.
KEY FIGURES
EUROPE
MENA
8 7 6 5 4 3 2 1 0 -1 -2 -3
OCC ADR REVPAR
-18.4%
ASIA PACIFIC MENA
AMERICAS EUROPE
AUGUST 2013
SIMILAR FALLS IN REVPAR WERE EXPERIENCED IN SANDTON, SOUTH AFRICA
HOSPITALITY BUSINESS MIDDLE EAST / 11
DATA WATCH
The Global Pipeline
The global hotel pipeline, region by region for June 2013, as sourced by STR Global. The total active pipeline data includes projects in the In Construction, Final Planning and Planning stages but does not include projects in the Pre-Planning stage. KEY FIGURES
120,795
MIDDLE EAST AND AFRICA
ROOMS MIDDLE EAST/ AFRICA
The Middle East/Africa hotel development pipeline comprises 491 hotels totalling 120,795 rooms. MEA key markets, rooms under construction: Dubai, United Arab Emirates, 10,391 Riyadh, Saudi Arabia 5598. Abu Dhabi, United Arab Emirates 3727 Jeddah, Saudi Arabia 2213 Cairo, Egypt 1744 Amman, Jordan 1547
39,537
ROOMS CENTRAL/ SOUTH AMERICA
21,957
ROOMS CARIBBEAN/ MEXICO
401,017 ROOMS ASIA PACIFIC
ASIA PACIFIC Chain Scale
Existing Supply (as of June 30, 2013)
In Construction
Total Active Pipeline*
Luxury Upper Upscale Upscale Upper Midscale Midscale Economy Unaffiliated Total
159,551 244,694 339,472 173,993 145,043 358,345 1,771,153 3,192,251
47,423 60,896 63,450 25,370 9,128 5,894 30,595 242,756
70,629 91,284 102,250 42,970 16,884 8,658 68,342 401,017
12 / HOSPITALITY BUSINESS MIDDLE EAST
AUGUST 2013
cpimediagroup.com
DATA WATCH
CARIBBEAN/ MEXICO The Caribbean/Mexico hotel development pipeline comprises 131 hotels totaling 21,957 rooms. Among the region’s countries, Mexico
reported the most rooms under construction with 4,025 rooms. Five other countries reported more than 200 rooms under construction:
Dominican Republic (2,475 rooms); Bahamas (2,271 rooms); Puerto Rico (709 rooms); Aruba (320 rooms); and Jamaica (238 rooms).
TOP 10 U.S. MARKETS BY ROOMS IN THE IN CONSTRUCTION PHASE Market
Existing Supply (rooms as of June 30, 2013) 105,873 119,889 105,885 97,231 36,274 74,642 108,390 41,155
In Construction (rooms) 11,143 2,958 2,948 2,132 1,963 1,669 1,678 1,675
Year-over-year percent change (In Construction) +34.6% +22.9% -12.4% +149.4% +8.0% +152.1% -1.9% +95.4%
Miami-Hialeah, Florida
48,357
1,246
-23.5%
Anaheim-Santa Ana, California
53,818
935
+402.7%
New York, New York Orlando, Florida Washington, D.C. Los Angeles-Long Beach, California Nashville, Tennessee Houston, Texas Chicago, Illinois Denver, Colorado
KEY FIGURES
2475 ROOMS UNDER CONSTRUCTION IN DOMINICAN REPUBLIC
2271
ROOMS UNDER CONSTRUCTION IN BAHAMAS
CENTRAL/SOUTH AMERICA The Central/South America hotel development pipeline comprises 247 hotels totalling 39,537 rooms. Year-to-date 2013, 23 hotels have opened in the region with 3066 rooms. During the remainder of 2013, 47 hotels are expected to open with 6791 rooms. The Upper Midscale segment is projected to open the most rooms with 2262 rooms in 15 hotels, followed by the upscale segment, with 1707 rooms in 11 hotels. The Midscale segment will open 1350 rooms in 11 hotels. In 2014, 104 hotels are planned to open with 17,072 rooms. The most rooms are expected to open in the Midscale segment (3992 rooms in 32 hotels), the Upscale segment (3842 rooms in 23 hotels) and the Upper Midscale segment (2845 rooms in 21 hotels).
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ROOMS UNDER CONSTRUCTION IN PUERTO RICO
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ROOMS UNDER CONSTRUCTION IN ARUBA
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Generation shift With approximately 82% of its 14,200 MEA associates classed as Gen Y, Gary Dodds, VP human resources Marriott International and The Ritz-Carlton Hotel Company MEA, explains the impact on the global organisation and its business ethics
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1m+ FANS OF MARRIOTT JOBS AND CAREERS FACEBOOK PAGE
200,000 FANS OF MARRIOTT JOBS AND CAREERS FACEBOOK PAGE
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CONNECTIONS ON LINKEDIN IN THE MIDDLE EAST ALONE
ow do employees from Gen Y differ from older generations in the workplace?
For Gen Y, it’s important to be a part of something meaningful, like family, and to make a positive impact and see opportunities grow. Insights such as these do not vary from generation to generation. Where they begin to differ is within the technology arena such as mobile technology where globally, there are more than 1.8 billion mobile phone users under the age of 30 as researched by our Marriott Employer Brand team, 93% use Facebook (YPulse) and 67% access Facebook from their smartphone (Mr. Youth).
Do you foresee a problem retaining strong Gen Y talent? “Our People Are Our Most Important Asset” is not a statement in an annual report, it is the core of our leadership behaviors and this drives our associate retention. Whether it is through career development, our commitment to Spirit to Serve Our Communities, various recognition programs and associate activities, Gen Y is engaged throughout the business by our Marriott leaders who create that Home Away from Home environment. As Mr. Marriott says, “Take care of your associates, they will take care of our customers and the customers will come back.” We have been maintaining a steady lower than industry average labour
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Marriott’s Gen Y tech changes A new Marriott.com/careers desktop site launched in 12 languages, featuring user friendly search technology available in multiple languages including Arabic and French. Our first-ever m.jobs.marriott.com mobile careers site launched in iPhones, Androids, tablets and non-touch devices. “Stay in Touch” technology provides job alerts and exclusive email content to users that opt in from the new desktop and mobile Careers sites or social media. Jam, our just launched internal social media platform that allows collaborative efforts across the globe for our associates in more informal setting. We are focused on growing Marriott’s Careers presence in social media to improve applicant quality and quantity through ongoing dialogue with job seekers on Facebook, LinkedIn, Twitter and hosting virtual job fairs with our online job board partners.
turnover across the generations, maybe because we are addressing each generation differently and recognising that; principally our leadership behavior is multigenerationally accepted as it has been for 60 plus years.
How has training and development adjusted to meet changing needs? In addition to the average 78 hours of training and 34 hours of professional development associates receive annually our Global Voyage Graduate program attracts Gen Ys who are recent university graduates seeking an opportunity to grow their management career within Marriott hotels. This is an intensive two-year development in a virtual Global Campus environment where they have the opportunity to interact with our senior leadership team, mentoring and skills learning within the workplace, as well as fellow Voyager’s globally. All of our graduates commencing in September this year are nationals of MEA countries only, whether where we are already open, or for countries we are opening in. More than 80% of our managers are from internal growth.
Marriott’s high associate engagement levels have attracted a number of awards – what’s the secret?
Gary Dodds.
We believe our strength is rooted in our five core values: Putting people first Pursuing excellence Embracing change Acting with integrity, and Serving our world
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VP SPOTLIGHT
THE OUT OF TOWNERS When Banyan Tree opened two desert resorts in Ras Al Khaimah in 2010, the marketing push was on raising brand awareness and driving volume. But now the properties are established, how has the group achieved the shift to rate-based marketing and how will it continue to compete? Area GM Anders Dimblad explains
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pening an isolated desert resort in an Emirate virtually unheard of in the international market, and whose tourism figures are, only now, gaining momentum, could be seen as a risk. Yet it was a risk Banyan Tree was willing to take to establish its presence in the Middle East. Currently, Banyan Tree Group manages or has ownership interests in 33 resorts and hotels, over 60 spas and 80 retail galleries; as well as three golf courses. But when opening two properties in quick succession in Ras Al Khaimah – the Banyan Tree Al Wadi, 2009, and Banyan Tree Ras Al Khaimah Beach, 2010 – the luxury resort specialists knew the marketing of both would make or break the future of the brand in the region. Both resorts boast undisputed luxury and natural beauty providing a level of escapism ideally suited to both the expat weekend get aways and international couples and families market, not to mention MICE groups. Drawing the crowds out of town for a brand unknown in the Middle East was identified as the key challenge, despite the unrivalled luxury promised in return of a short drive from Dubai International.
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Surveying the local market, consumer habits and the marketing activities of rival hotels and resorts, the decision was taken to run two sales through a well-known daily deal website; a move that guarantees volume, but still lacks trust when it comes to repeat business and potential impact on brand reputation. With no brand identity to speak of to date in the Middle East, the decision carried even greater risk. Would such an activity carve the reputation of the couple’s weekend getaway of choice? If so, how would that impact on week day rates, and how could the luxury destination market itself internationally, if the reviews from its native market we’re pegged to stories of ‘great value’ weekends out of the city? Regardless of the risk, consumer thirst for packaged deals is
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The imagination is where it ends in terms of what we can offer
insatiable, particularly in the UAE and even more so during low season, so the leap was made. What happened next surprised many in the industry. While Banyan Tree was inundated with groups, families, and couples, cashing in on the offer, not only did occupancy soar, but so too did guest spends. Those who walked through the door in those first few months didn’t fit the profile of the bargain buyer, to whom the concept of brand loyalty is alien; the guests had high average spends, wrote favourable reviews and, most importantly, returned after the low season. “We felt that we were at a point, considering a lot of properties in the Middle East do this, where in order to be competitive and ensure the brand became known, the need was to get the volume in and then focus on the rates,” says area GM Anders Dimblad, firmly adding that this is not a marketing activity that would be undertaken in any other region, and will not be repeated in the Middle East, despite the reported win-
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VP SPOTLIGHT
THE PIPELINE
FACE TO FACE
Banyan Tree Goa / India Banyan Tree Xian Lishan/ Shaanxi, China Banyan Tree Anji / Zhejiang, China Banyan Tree Batu Bay / Inner Mongolia, China Banyan Tree Chongqing Riverside / Chongqing, China
2016
surface they are, but on top of what was once a standard room package, they are offering a lot more, again because of competition. The upsell potential makes it another winwin, but it’s definitely something to remain aware of.”
Banyan Tree Tamouda Bay/ Tetouan, Morocco Banyan Tree Tengchong / Yunan, China Banyan Tree Dali / Yunan, China Banyan Tree Qingdao Pearl Hill / Shandong, China Angsana Nanjing Tangshan/ Jiangsu, China Angsana Huizhou Luofushan / Guangdong, China Angsana Penon del Lobo / La Herradura, Spain Angsana Sifah / Oman Angsana Tengchong / Yunan, China Angsana Shanghai Zhujiaojiao / Shanghai, China Angsana Xian Lingtong / Shaanxi, China Angsana Chengdu City Club / Sichuan, China
2015
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I find there is so much on offer, in every industry, that if you want to attract the local expatriate guest there is always something to compete with.
2014
win situation both the deal vendor and agent experienced. “I don’t think they had anything else that sold so well at that time for them. I have been in this region for 16 months and I find there is so much on offer, in every industry, that if you want to attract the local expatriate guest there is always something to compete with.” Now the brand awareness is there, the focus has shifted from volumebased to rate-based targets, in line with the offerings of service. “We are now getting a lot of repeat guests, groups and MICE business, because although we are in the desert, we have full conference facilities and both properties are popular destinations. “The imagination is where it ends in terms of what we can offer,” he adds, citing the surroundings are the strongest asset for both properties. Yet, as Dimblad cautiously prompts, rates aren’t the bottom line. “A lot of properties now are trying to maintain their rates, and on the
BANYAN TREE RAS AL KHAIMAH BEACH Opened: 2010 Location: A private beach peninsula, along the Arabian Gulf, 20 minutes from Banyan Tree Al Wadi. Rooms: 32, 170sqm, private tented villas Banyan Tree touch: four poster beds, marble floors, private decking and infinity plunge pool leading down to a beach cabana and day bed.
2013
BANYAN TREE AL WADI Opened: 2009 Location: Wadi Khadeja, in an enclave of evergreen ghaf trees, 20km from Ras Al Khaimah Rooms: 70 Al Rimal Deluxe Pool Villas and 15 Al Sahari Tented Pool Villas measuring approximately 158 and 253sqm respectively. Banyan Tree touch: Private infinity pool, representing “an oasis of one’s own”
Banyan Tree Tianjin Riverside /Tianjin, China Banyan Tree Shanghai Riverside/ Shanghai, China Banyan Tree Chongqing Beibei/Sichuan, China Banyan Tree Kerala/ India Banyan Tree Yangshuo/ Guangxi, China Banyan Tree Huangshan/ Anhui, China Banyan Tree Chengdu Panda Town/ Sichuan, China Banyan Tree Jiuzhaigou/ Sichuan, China Banyan Tree Hainan Shanqin Bay / Hainan, China Angsana Tengchong Hot Spring Village/ Yunnan, China Angsana Langfang/ Hebei, China
Banyan Tree Signatures Pavilion / Kuala Lumpur, Malaysia
ensure that when we do so, we are doing so with the right partners,” he says, adding that to date those right partners have been found in Oman, where an Angsana branded property is currently under construction. Discussions are ongoing to re-enter Bahrain in the near future. “Whenever we look to expand into a new region or area, that’s because we were contacted for our properties. Our brand recognition is strong and people associate it with top calibre levels of service, relaxation and escapism. So we want to ensure we continue this ethos and when we choose a new destination we choose the right partners. “We really believe that it is partners who are there for future growth development.”
NEXT STEPS Today the properties, at only four and three years old, are already award winners and Dimblad reports occupancy stats hover around 60% during the week, reaching full occupancy almost every weekend. In turn he credits the diversity of guests as widening the resorts’ appeals, moving forward. Looking ahead to the future, the group’s primary expansion focus is on China with the Middle East taking the place of a market “we will continuously look to”. In addition, there are ‘”drawing board” stage talks to develop a loyalty programme across the group. “We would love to develop more properties here but we still want to
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COVER STORY
Prepared for high season Sofitel regional SVP Sami Nasser explains why, five years after closing 86 hotels, the re-positioning of the brand is gaining ground
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hen the haze of another Middle East summer has cleared and visitors return to Dubai for the 2013/4 season, they can expect to enjoy a number of new attractions, sights and hotels. But for those in the region looking for signature French luxury, there will be only one place to stay. Because for Sofitel, Accor’s luxury French offering that slashed its portfolio size only a few years ago, 2013 is shaping up to be the year it regains its position as the go to European luxury brand, with the opening of its largest leisure hotel on The Palm, Jumeirah, a second opening
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near Downtown and even more properties set for the region. These will join recent openings in Bahrain, Cairo, Al Khobar, Abu Dhabi and Mauritius and a new 400-room property will open in Riyadh in 2016; a “notable architectural landmark”, developed by King Abdullah International Foundation. Investors are being sought currently, to provide a foot in the door in Turkey, and Qatar is on the radar with discussion on going. The growth follows the creation of a new brand identity, initiated in 2009, that saw a portfolio of 206 properties slashed by 86, as to prevent the
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dilution of the brand and reposition the bulk of the Sofitel collection in emerging growth markets, rather than traditional European. While the Middle East growth doesn’t beat that seen in China and other parts of the Far East for Accor, Sami Nasser – whose appointment to senior vice president in January of this year coincided with the establishment of a new regional office in the PROPERTIES CLOSED IN 2009 Middle East – reassures that isn’t the point. “The focus is not to be everywhere, but to have quality hotels in planned locations. Sofitel achieved a monumental switch to becoming a great luxury brand proposition over the past six years. We currently have 50 properties and there are six new properties to be opened in the near term,” he says. But while Sofitel is redefining its core brand values, Dubai too is changing to mature its market to the point where luxury is not the only focus. In the run up to the announcement of Expo2020, the city is proving that it can cater to all budgets and tastes. And while the Emirate is not the entire region, it is earmarked to contribute to overall growth for Sofitel, just like many other chains.
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“You may have a case where there is a larger number of people coming to the Pullman and Novotel properties, but there is still demand for luxury,” Nasser declares, highlighting the trend as a regional one. “Saudi Arabia is a huge market and it is very corporate but there aren’t enough of any tier of hotel in Medina and Mecca so you will always find demand for hotels that are 3 to 5-star. “In Dubai and Abu Dhabi, yes we have a different type of visitor but there are a lot of people who enjoy just staying in luxury hotels because of the level of service.” His observations are only strengthened by recent financial results for Sofitel Worldwide (see graphics), in which he refers to RevPAR and ADR as “quite surprising”, with the former rising 43% since 2009. Reasoning the progress, he continues: “The owner relationships are key. To have an excellent relationship with the owner and to have transparency and the ability to explain how we are doing things. It helps a lot. In this region, everybody knows everybody, and it’s also about succeeding with the opening. “When you launch a hotel everything has to be more than 100% perfect. That’s the image of the company.”
SOFITEL, THE PALM A flagship Dubai attraction that has developed under the eyes of the world and is already home to a number of
FLAVOURS OF THE PALM MANAVA All-day dining in a venue featuring Paul Gauguin and Charles Rennie Mackintosh masterpieces MOANA Contemporary seafood restaurant with a Polynesian façade including a sushi counter and a ceviche bar STUDIO DU CHEF Modern French cuisine with a focus on cheese and wine, offering weekly cheese and wine pairing. For a more intimate affair, up to six guests can enjoy the private kitchen Studio du Chef PORTERHOUSE Signature steakhouse, restaurant & bar HONG LOONG Gallery of art offering Chinese cuisine, authentic tea rituals in a Asian décor. CHA HOUSE Tea Salon boasting a selection of 70 specialty teas BOTTEGA Italian Deli MAUI Beach Restaurant & Bar
“Being on The Palm has created prestigious hotels, The Palm Jumeirah a strong demand through word of will provide a boost to the existing mouth, and the competition from USPs of Sofitel’s latest property; a Polynesian inspired, 100,000sqm, 543- the other high profile hotels always helps, but we now have the full team key leisure resort. on board for the opening and they Despite Sofitel priding itself on all have experience of openings and its business traveller offerings, the luxury, so it is them who will really leisure concept takes centre stage at drive demand for visitors,” Schnyder this property with larger guest rooms, explains. even larger bathrooms, and in-room Benefitting from the in-house mini spas. The business traveller is still catered training capability of the Accor Academie, ambassadors won’t just to with MICE services, but balanced with extensive fitness and spa facilities be graded by Sofitel but also guests, including a number of mystery and a 500m private beach. guests, sent by a third party company The opening will be backed that feeds back directly to Sofitel. with special summer rates to drive It’s a company culture demand, and then followed that reaches all the way to with a second wave of junior management level, with level appointments. Nasser observing that the Retaining the French career path of the hotel je ne sais quoi, Nasser SQM PROPERTY ON THE GM is itself changing, with reveals that this will be PALM OPENING THIS SUMMER fewer coming from F&B and blended with international more rising through management, flavoured cuisines across 14 marketing and revenue. venues (see left), including one especially for younger diners, located in the Kid’s Club. THROUGH THE RANKS “We are really pushing on product In his own career, Nasser spent 25 and location but the most important years working his way up through thing is people. Each GM has been Sofitel’s parent company, Accor, with told that we really have to make sure positions in France, Ivory Coast, that we have the right people, we train Romania and Poland. them, and we take care of them. If you The former law student filled a want a company to grow fast, that’s vacancy for a hotel manager who what you have to do,” Nasser says. could speak German, Arabic and But for Nasser, and property GM French; a position perfectly suited Christophe Schnyder, it’s more about to an ambitious student who wanted the ambassadors running the hotel, to polish his language skills while than the facilities or location. building a career.
100,000
HABANO Cigar Lounge Lobby Lounge. AMURA KID’S CLUB & RESTAURANT Especially for children supervised by Sofitel staff 2LIV Three floor nightclub with terrace, dance club and mezzanine level
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6 He continued to NEW M.E.-- PROPERTIES TO OPEN OVER progress to other properties 24 MONTHS – while still holding down his academic responsibilities – until Accor bought the hotel he was working in and immediately enrolled him on their training programme. This next phase of his career saw Nasser undertake the role of director of operations in 35 properties across SOFITEL RevPAR EVOLUTION India, Poland and Africa. The next FROM A RELATIVELY LATE RECOVERY OF THE PREVIOUS CRISIS, TO AN EARLY RECOVERY SINCE END 2009, THANKS TO step was sales distribution and THE BRAND’S REPOSITIONING STRATEGY marketing in 65 hotels, before a move REVPAR VARIANCES BY QUARTER VS LAST YEAR back to Paris to take on the challenge of VP of operations and regional VP Middle East. “The Middle East is already advanced in terms of service and you may even find sometimes that things are better here. In terms of expertise we already have a lot and now when it has come to negotiating business I think the Middle East is the best. We know how to do business,” he adds. While the height of his own career has been reached for now, the industry itself is still providing challenges. The primary ones, Nasser himself identifies as the internet and changing client profiles and markets. “There are two different clients REDEFINING LUXURY now – the ones who want to be seen and those who want to enjoy a luxury Sofitel’s repositioning strategy launched five experience without the fuss. So we years ago and has so far incorporated a new have to ensure we are not mixing brand identity and a group-wide overhaul of those two,” he shares. strategies. “Then, for more and more people In January 2013 Sami Nasser was appointed luxury is about time and they want to senior vice president, leading the newly NEW ROOMS OPENED BY to take care of their bodies and established MEA office, from where Sofitel’s ACCOR IN 2012 themselves. Things that cannot be growth programme will be managed adding enjoyed when you travel on business. to the 30,000 rooms already in the portfolio. Finally being aware of where your The continued re-build of the Sofitel guests are coming from, you have to portfolio received an extra boost this quarter know the clientele and understand with the soft opening of Sofitel The Palm, their behaviour; from recruiting described as an “exceptional establishment”. of such a traditionally French brand, in associates from the same place to Sofitel says the 543 room resort, with the UAE. ensuring breakfast times and menus 14 F&B venues, will “provide unrivalled “What is exciting for me is the mix cater accordingly,” he adds. charm in luxurious resort surroundings between France and the local people They’re considerations that representing the ambition of Accor to set – perhaps that’s why I was appointed. demonstrate the commitment to the new benchmark for luxury hotels in the But I think what people are looking for achieving goals that is so deeply Middle East.” The focus is on quality, design is not complacency in what we already engrained in Nasser’s work ethic, atmosphere and uniqueness. have, but to always strive to have more. along with a multi-cultural view It will soon be followed with Sofitel Dubai, Even down to renovation, you have to towards staff management, which he Downtown. keep everything current.” credits as being key to the integration
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COVER STORY
five minutes with...
Yann Caillere
Accor director general of operations, Yann Caillere, on global business drivers, leading markets and establishing new business models
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he growth of Sofitel is underpinned by strong figures from parent company Accor, which Yann Calliere observes are intrinsically pegged to a newly emerging trend for cost conscious management. In 2012, the group opened 38,000 new rooms, taking the network to 3500 hotels with 112,000 in the pipeline globally. By the end of 2015, the Middle East network will cover 25 cities in 10 countries, keeping on track the mid-term target of 100 hotels across the region. Developments in new markets will now focus on Africa, particularly the eastern side of the continent.
In 2012, operating profit before tax stood at 4.1%. How was that turnaround achieved? It’s a mix between expansion, top line and better master distribution. We beat our competition by twice as much in Europe and we are now seeing the benefit of the Ibis mega brand project. We are pushing as well on the Accor’s upscale segment, where we were lagging behind the competition but now we are recovering and doing better. We have always been a good operator and very cost conscious. We own the hotels so this is our own money and we want to make sure that we do the right thing.
How does Middle East growth compare to the Asia Pacific and American markets?
Some are looking for ROI and some are looking for ROE, return on ego
The growth increase in MEA is 8%. Among the 32,000 new rooms, 42% are in Asia Pacific.
Looking further afield, there are plans for properties in sub Saharan Africa….
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For Africa, talking about Sofitel we took over just he EVOIR and what we are looking at is to create a front. We own quite a large number of hotels in Africa and we are looking for investors with whom we will expand our network in there and renovate our hotels. We consider Africa to be the next zone of development. The business is there, the growth is very high and we do have to look beyond Europe if we want to find growth markets.
Why are you using a new business model, of partnering with investors, in Africa? We did this in Morocco. We have partnered with some institutional partners in banking and insurance and created a PopCo and we have introduced this company into the stock so it is a listed public company and we remain the shareholder This PopCo is investing in the real estate. We buy, build and construct hotels and then manage under Accor. In certain parts of the world we do
invest, but in the Middle East there is so much money they instead ask for expertise and commitment.
Having personal experience in construction and design [for Accor], what do you see as the key trends driving both new builds and refurbishments, currently? People are much more cost conscious. There was a period of time when people were doing crazy things and we used to say some are looking for ROI and some are looking for ROE, return on Ego. Now we have much more ROI and people are much more concerned and better structured. Secondly, they are more focused on sustainability and in favour of new regulation. This is key. The only way to master the cost of energy is to master the consumption because cost will never drop. Globally, at Accor we spend €350m so even a 1% increase would be drastic for us and we have to be conscious on every new hotel we build.
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Final Fix Interiors / quality is our goal Final Fix Interiors LLC located in Dubai with a branch in Kurdistan Region of Iraq, provides a complete line of interior design & Fit out services for Hotels, Private Villas, Royal Palaces, Yachts, Restaurants and other facilities in the UAE, Iraq, the other GCC countries. The company works with more than 5,000 vendors worldwide of furniture, fabrics, Lightings, hard finishes, artwork and other commodities, and also has its own production facilities for Joinery, furniture, upholstery & curtains located in Dubai. The company founded by Mrs. Faten Issa Alsarraf in 2009, she heads one of the region’s most successful and versatile full-service Interior design & Fit Out firm. Born in Basrah/ Iraq in 1966, graduated from the College of Architecture in Baghdad University on 1989, worked in the field of Architecture & Project Management for 9 years before she got her Master Degree in Interior Design on 1998 and started working on Interior Design & Fit Out field since then. The team of Final fix Interiors (Architects, Interior Designers and FF& E designers) provide the clients with the best services using their vast experience in hospitality & residential projects. Why Final Fix Interiors ? We pride ourselves to be the only that can manage the project from the beginning, coordinating with the consultants to make the necessary changes to the architectural layouts to reflect the interior design concept, developing the interior design in close coordination with the MEP, AV, CCTV engineers, providing full set of drawings with details & specifications that gives a proper guide to all the contractors, avoiding mistakes that could happen during the execution of the work, saving the time & cost for our clients. In addition to the above, we provide full services of fit out work and turnkey projects using our factory located in Dubai which has more than 500 staff and the best machinery including 3D CNC machines. We work closely with our clients to provide them with the best services with high quality and meeting their budgets & time. Our New Branch in Kurdistan region of Iraq: Our New branch in Kurdistan region of Iraq has been opened in 2012, we completed 2 projects so far, and our team there are ready to provide our clients in Erbil, Suleimaniya & other cities at that region with our best services especially in Hospitality sector. Our office is located at Suleimaniya city, Salim Street.
Contact details: Faten Issa Alsarraf, Managing Director, Final Fix Interiors LLC. Head Office - UAE: Villa G3U7 - Al Wasl Road - Jumeirah1 - Dubai/ UAE, Tel. +971 (0) 4 3422888, Fax +971 (0) 4 3422122, E mail: faten@finalfix.ae, Web: www.finalfix.ae Iraq Branch: Office B1F4 – 01, 4th Floor, City Star Building, Salim Street, Suleimaniya - Kurdistan Region – Iraq, E mail: info@finalfix.ae, Mob. +964 (0) 7714631995
GM PROFILE GM PRROOF OFILE LE
PROFILE Joining Raffles Dubai on February 3, 2013, Andrew Abram’s career spans the global networks of IHG, Jumeirah and Mandarin Oriental, with time spent in Oman, Thailand, Jakarta, Chiang Mai, London and Dubai – to name a few. With sales and marketing experience accrued with Intercontinental Hotels Group; and experience of launching re-launching and re-branding properties, concepts and theme parks with both Jumeirah and Mandarin Oriental, Abram’s industry insight will prove valuable with Raffles, providing more opportunities as the group heads openings in key cities including Hainan China, Jakarta and Istanbul. 24 / HOSPITALITY BUSINESS MIDDLE EAST
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GM PROFILE
Story of the year On the 14th floor of Raffles Dubai history is being made, as the most expensive accommodation in Dubai welcomes its first guests. Hospitality Business ME goes behind the scenes on The Dubai Floor.
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s far as global hospitality institutions go, Raffles scores amongst, if not the, highest. Originating in Singapore 125 years ago, it’s a brand that has not only survived fundamental and embracing changes across the industry, but adapted to expand while retaining a loyalty to its heritage that remains unmatched. But despite marking the end of 12 months of anniversary celebrations this September, Raffles Dubai will continue to stay in the news with the soft launch of its Dubai Floor; the former private
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From our perspective, the first six months of 2013 have been superb
residence of Wafi and Raffles owner Sheikh Mana bin Khalifa Al Maktoum, that is set to command the highest rates in a city that could soon become the world’s most visited. It’s a powerful combination of world records that will reaffirm Dubai’s position as a headline grabbing city of ostentatious wealth – if ever Dubai finds itself in need of help in such a familiar department. But what the Dubai Floor brings to this reputation is a degree of taste and elegance that the city’s other high worth offerings often lack. In a place with such a blasé attitude to wealth, this will become a key USP. Overlooking Dubai’s ever evolving and iconic skyline, the 200,000sqm floor is divided into six suites, which can be booked individually or as a
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whole for AED135,000 “shop window rate” after the summer. It’s currently the most expensive rate in Dubai. Marketed internationally to royalty, political delegations, the rich, famous and wealthy reclusive, the floor has a private cinema and beauty salon; panoramic views enjoyed on balconies so extensive they can seat up to 80 guests for dinner; a Majlis and three private kitchens. “What we have is a destination within the hotel; it’s pretty special,” summarises GM Andrew Abram, elaborating to add: “As a total leasable area at this size, it’s the biggest I have heard of in the city. It gives the sense of space, luxury, exclusivity and home and that appeals. “The feedback we have had from our partners who provide us with the clients that would take this kind of facility is very positive and they believe it is unique.” While the rest of Raffles Dubai was designed by LW Design, this floor is decorated with pieces, furnishings and art that were chosen by Sheikh Mana. The result is a taste of luxury that is far removed from the gold-plated ‘affluent chic’ seen elsewhere. All the same, it still incorporates the Rafflestrademarked themes of earth, wind, fire and water seen elsewhere in the hotel, in combination with Eastern, Arabic and Egyptian influences. But as well-known as the Raffles name is, it’s still somewhat of an enigma in the Middle East. “Like any other company we have our mission and values. What differentiates us from our competition is something we focus on every
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is another distribution channel. “All hotel companies are looking to all channels to drive business and OTAs are important key partners to us, but there are many key partners.” It’s not the only emerging trend to influence the local industry currently. As STR Global’s Hotel Benchmark Report revealed in April, Dubai is becoming ever more competitive with nightly rates reaching $300 for the first time. As Abram relates the development: “Numbers are numbers but it’s what the value to the customer is, at the end of the day. Yes of course, if the yields are growing, this has got to be good news for operators, but we also want to be able to ensure that we are able to grow our markets as well.”
day and it’s down to the old art of hospitality. We live in a world of communication and technology but as part of that we have to ensure we don’t forget the human touches. It’s extremely important and it’s what we call emotional luxury. That’s what Raffles is all about,” Abram adds.
Behind the numbers The Dubai Floor’s official launch at this year’s ATM, has set Abram, who joined the property on February 3 2013, off to a flying start. First half performance is guarded but Abram reveals average annual occupancy is over 80% YTD – although closer to 90% when low season is discounted from the equation – RevPAR leads within
A GLIMPSE OF THINGS TO COME Further afield, Raffles Group has ongoing plans to open hotels and resorts in key cities including Hainan in China, Jakarta and Istanbul. The openings will add to a current portfolio that today spans Dubai, Seychelles, Cambodia, Paris, Beijing, Hainan, Makati, Makkah and Singapore. And demonstrate how far Raffles has come since its debut as a 10-room bungalow property overlooking the South China Sea.
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the competitor set. This is backed with encouraging growth in suites occupancy, which currently counts for 25% of total business. “From this hotel’s perspective, the first six months of 2013 have been superb. Excellent growth in terms of our average rate, continued growth in occupancy and therefore our yield has grown too. But what is also important and what we look at as an operator is our customer satisfaction. And those scores are also growing” Abram comments, casually adding the hotel has been number three on Trip Advisor for a number of months. Another moment of pride for Abram, Raffles Dubai also won ‘Highest Elite Customer Satisfaction Score in the Middle East’ among Expedia’s Elite Plus members; guests who book $10,000 of qualifying travel annually. It’s not just the third party booking and review sites the property – or group – score highly on. Reporting Raffles’ own website and booking engine has doubled business in the first six months of 2013, compared to 2012, Abram explains: “Raffles as a company has focused more aggressively on online bookings. We are not suggesting it is going to replace business from our other partners, but it
AUGUST 2013
clockwise from left The floor covers a total area of 200,000sqm divided into six suites, a private cinema and other features.
What we have is a destination within the hotel, its pretty
Staying in the news While Abram is quick to reassure that no other news from the hotel this year will beat that of the Dubai Floor launch, he does reveal that a number of developments in F&B will keep things fresh for those who don’t have a spare AED100,000 in the bank. In 2013, Japanese restaurant TOMO – staffed by an elite team of Japanese chefs under the watchful guidance of Partner Chef Takahahsi – scored highly during the consumer awards season. Adding to the success, Afternoon Tea at Raffles Salon – both the traditional and fashion versions – is regularly booked out. In addition to an onsite night club and the third floor Crossroads restaurant, Abram hints at the possibility of both new concepts and new venues to add to the current portfolio of seven, although plans for either will not be confirmed for some time. “The Dubai Floor is the big announcement for this year. Elsewhere, we’re not making any official announcements yet although F&B is an area we will continue to review and build on as we move forward. For now, the Dubai Floor is really the story of the year.” For a full gallery of Raffle’s Dubai Floor, visit www.hospitalitybusinessme.com
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ROUNDTABLE
W
hat are your key observations of Gen Y? Lynne Belligner: a lot of my
clients report that Gen Y employees takea longer to settle in the workplace, they don’t stay long, they aren’t easily engaged, and it’s getting more difficult to retain them. The other concern is how much they are reliant upon technology. Even the Maslow Pyramid of Basic Needs is changing. Today a basic need is a mobile phone. Anouk Tenten: Glion is part of Laureate University, which conducted some research into Gen Y to see how we can better train students for the job market. It shows we have to manage their career expectations, often by saying ‘no, you won’t become GM a week after graduation’ and also we need to know what is important in terms of online learning during internships. Tara Cherniawski: Jumeirah Group has begun to focus on Gen C, which according to some research from Booze & Co is the people just leaving university. The trend here is community-based interaction and connection and we have really looked at this when evaluating our graduate and youth programmes. In the last few years, we have expanded significantly and moved out of Dubai, and we are finding it hard to move our young talent to properties outside the UAE. That’s a real challenge for us. We are now budgeting for 2014 and I have noticed a huge shift in our spending; over half of our resource is on e-learning and multi-media learning. There is a move away from classroom and consultancy learning. Tatjana Ebeling: Gen Y colleagues have certain expectations of their training and there is a feeling that they are not committed. We are moving away from any traditional learning methods and looking at coaching models and one-on-one. I think that will continue to develop. But the technology adaptations we see with Gen Y don’t mean they are harder to reach because they are always online or on their
28 / HOSPITALITY BUSINESS MIDDLE EAST
Everybody is talking about Gen Y and their potential impact on the work place. But, as our expert panel of HR, development and education professionals say, the real change will have to be made by Gen X. In association with The Glion Institute of Higher Education.
Anouk Tenten partnership manager, Glion Institude of Higher Education
Daniella Salameh HR director, JA Resorts
x
AUGUST 2013
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Tatjana Ebeling Former HR director, Grand Hyatt
Lynne Belligner MD, Purple Cubed
Tara Cherniawski Group and corporate L&D director, Jumeirah Group
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Vangie Camaclang Corporate HR manager, JA Resorts
AUGUST 2013
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ROUNDTABLE
phones, it means they are constantly communicating and that is a very different scenario that should influence how we communicate with them. Vangie Camaclang: It is easy to identify Gen Y, but we need to know who they are and how they fit in. they are optimists, they want their own lives and flexibility away from work, and they want the company to adjust to what they need. But it is very difficult to adjust a company and that is why we have created a policy that caters to the performance appraisal of the company to drive and meet their expectations. We are trying as much as possible to understand them. If we want to move forward as a company we have to adapt to their needs. LB: In 10 years, Gen Y will be 50% of the workforce. Daniella Salameh: I think we are encapsulating them a little bit too much. When we were the new generation in the workplace we also moved jobs a lot as we tried to find our feet, both professionally and personally. The retention difficulty isn’t about encapsulating them into a category, but allowing and expecting them to explore. I don’t think this is today’s technology, I think people naturally need to reach a certain level of maturity and exposure until they decide they want to spend the rest of their days in a certain industry. LB: In regards to that, when we were new to the workplace, there weren’t as many university graduates. So today, everybody is starting later. According to the research, 31% of those graduates expect to enter the workforce at a supervisor or team leader level, without the necessary workplace experience.
What Gen Y wants from an employer Career Progression Salary/ package Training and development opportunities Hotel/ company reputation Hotel brand
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69% OF STUDENTS SAID ‘ENVIRONMENTALLY FRIENDLY’ COMPANIES WOULD BE MORE APPEALING EMPLOYERS
DS: This generation’s parents, if they were university graduates, regardless of the industry they worked in, would enter the workforce at supervisory level because university education wasn’t as common. So that expectation is what has been fed to them by their role models. TC: Today our brand promise is becoming more integral to attracting new colleagues and we see colleagues or interns looking to match their personal beliefs and values, rather than looking for that first ‘job’. So we have a lot of work to do on our employer brand promise, but we also have to be very transparent on what that is and what we are about. AT: I don’t think Gen Y is that different to any of us, but things have become more accessible, time frames are shorter, and that is the difference. TE: People can see what their former class mates are doing and there are more channels to look for opportunities in the jobs market. People jump so easily because you set up a profile somewhere, you get an email when a matching position is posted, and you apply. AT: I worked in recruitment 10 years ago when it was booming, but today everybody is on LinkedIn and that shift has changed that industry.
Enjoying doing what you do at the time isn’t success, it’s engagement. That’s key to remember. AUGUST 2013
In terms of performance management and L&D at Jumeirah, can you see these streams changing in response to Gen Y? TC: Definitely. What we have said about progression, development and movement becoming more rapid, is all true. But where we are seeing higher satisfaction levels is where the GMs in the properties or the senior leader, is more connected and willing to be more flexible. DS: I wish it were that simple. I think most of the companies don’t follow
through the synergy of attraction and retention. A GM that is approachable and engaging is not enough; staff benefits and perks are not enough; salary raises are not enough. What gives substance to all this is the code of ethics in a company. The most important thing we can offer our employees is equality and fair treatment. That is the strongest retention tool you could ever apply, because many do not implement this across the board. TC: What I would link to my point about GMs is the importance of meaningful opportunity and projects and opportunity for transition within the organisation – the more of that flexibility exists, the more people are willing to progress and try different things. TE: The most important thing there is the transparency. DS: when I joined JA the culture of transition was ‘I have been in this job for 10 years, I should be manager’, without the personal professional accountability. That is a culture you need to inculcate in them. You need to ensure it is fair and equitable and everybody has an equal chance. LB: And the development is there before the promotion, not after! DS: Identify your top performers in a KPI based PM system and when they are identified develop them. I am a firm believer that you must never promote somebody before they are the acting equivalent for three to six months. LB: In Purple Cubed we have been researching what employers want and the top five demands rarely change. The key one is communication, two way, adult to adult – it’s always number one over two years of research and hundreds of respondents. The others are development, career path, leadership (at all levels) and in
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STUDENT’S TOP FACTORS FOR A SUCCESSFUL CAREER
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232 224 165 PERSONALITY
HARD
this region, money, but in the rest of the world, that is values. But that top answer doesn’t change TE: Transparency is on such a pertinent scale because people want to know what is going on, what are their chances to develop in the company. Only when you know about the career path and their ethical practice, would they consider an application. The recruitment websites and online, linked in with the school websites, etc. It’s no longer a case of individual emails of your CV, everything is uploaded. If employees are demanding all these things from their employers what does this say about the power shift in the work place? Is there any respect for employers? LB: In our research we have tackled some perceptions and misconceptions about Gen Y and here is what we concluded about respect: “The reality is that while some people refer to this group as ‘Generation Why?’ it’s not so much as an issue of a lack of respect for authority, as it is that this group
Gen Y’s top workplace issues Nurturing corporate culture Job flexibility Challenging work Professional and personal growth opportunities Volunteering options Competitive salaries Advancement opportunities Recognition programmes Business casual Entrepreneurship programmes Source: Purple Cubed
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has been raised by their parents to question everything and raise questions when they don’t understand something. This generation is very independent and not afraid to challenge the status- quo. “Many in Gen Y want a relationship with their boss like the ones they have with their parents. It’s not that they have little respect for authority; on the contrary, they feel employers do not respect them.” The key for the employer is to realise that answering these questions can often lead to more efficient and effective solutions. Unlike with any other set of workers in the past, employers must provide more autonomy and trust the Gen Y workers to complete the work that they are doing. They don’t question authority, they question the reasons why. DS: I believe this is a cultural trait. European culture is right vs. wrong; Asian culture is honour vs. shame; USSR is the power vs. fear. I think this observation is of western culture and this inquisitive nature is not something you will find in Arabic and Asian cultures. TC: Our Emirati graduates are 80% women and they will have a spontaneous, interactive, face to face conversation with our COO; that transcends everything apart from generation. To adapt we have set up the Jumeirah Speaker Series. So we have board level, chief level and VPs allowing floor time with these individuals. They speak about best practice in industry, trends, and they expect it!
DS: The female Gen Y Emirati colleagues who expect time from your COO; do you find the same demands from colleagues
AUGUST 2013
HOSPITALITY EDUCATION
and graduates from other countries? TC: I think it depends on the role people are doing, but generally yes I think this is a cross-culture trend. TE: If you consider how India and China are booming and the money those parents spend on their Gen Y child’s education, they are taught to get the best value for that education, so those students won’t hold back with their questions. Gen Y is a culture in itself in this respect. AT: I also think it’s interesting to question if all the corporate cultures within geographical cultures are the same, or do geographical cultures become corporate cultures? I think for the students that graduate, you can almost predict the type of brand they will work for, because they already appear to suit a specific corporate culture. That too, should be considered here.
So on the contrary to the ‘me first’ attitude associated with Gen Y, what you observe is that they actually fit corporate culture profiles, just like anybody else, without actually realising it? DS: Whatever we pay them and
It’s not so much as an issue of a lack of respect for authority, as it is that this group has been raised by their parents to question everything
whatever we do, to hold down a job with a brand they must fit the organisational culture and the job profile. A person is a set of personality traits and competencies. If I am outspoken, talkative and creative and you put me on finance on ten times the salary, I would still be miserable and inevitably move on. Motivational interest is very important but it needs to work with cultural fits. AT: I think the key personality trait to refer to here is that Gen Y, compared to older generations, is more adaptable to cultural changes. We did a test in China and Japan last month and asked students which company they wanted to work for. The results differed. Some said they couldn’t work for a Japanese company because the hierarchical structures don’t fit their personality. In China, that changed 10 years ago and people became more liberal, but today they have a voice and they now realise that and expect
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that voice to be present in every situation they find themselves in. I definitely feel that when I meet people and we do research like this, this is all evident.
71% OF STUDENTS DEFINE SUCCESS AS ACHIEVING A WORK LIFE BALANCE IN 10 YEARS
Is this about demanding transparency or is it a trait of hard work and ambition? VC: It’s engagement. LB: Because Gen Y grew up with
LB: The key is flexibility in how they work. In our London office once you have worked for us for six months, you can have one day working from home, saving commute time and giving time for more demanding tasks. That is what Gen Y is looking for more, but it’s difficult in the hospitality industry.
instant communication and technology, they are hard wired to take short cuts.
Do you think Gen Y will close – or at least narrow – the gender gap? There are still restrictions at the top LB: Yes it will. You don’t see as many female GMs because it’s extremely demanding on time but I think the gap will be bridged in other positions. AT: There are more hotels that focus on the female business traveller, especially in Asia. As a result, there you see a lot of Asian companies have specific female focused internships and traineeships to ensure they have that senior management representation. Shangri-La does it, for instance, across the company and at GM level. TC: We have recruited many more female GMs over recent years but it’s all relative because at chief officer and board levels, they’re still absent. It going to take a few years more. We do now have some female associates who after maternity leave have come back on a part time basis. TE: You can’t expect women to ignore having a family, we need women to have children to survive as a species. The issue is how can we support women to have a family and career? VC: The UK Equal Opportunities Commission believes it will take 65 years to achieve a gender balance at the top of the career ladder. When it comes to pay equality they say 25 years. AT: The demand from Gen Y is to balance work and a family life, so it is possible that their demands can impact on these trends. Today there is day care, especially here but not so much in Europe.
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Marissa Meyer banned home working at Yahoo recently to increase productivity. Did that have impact on your perception of home working? LB: It’s a personality thing. I prefer to
The UK Equal Opportunities Commission believes it will take 65 years to achieve a gender balance at the top of the career ladder AUGUST 2013
be in an office, but some people are more productive in a quiet place away from that bustle. If they have the selfdiscipline, it’s not a bad thing. TC: You have to have the right team manager and accountability in place to instil the work ethic and sense of responsibility for your work. We need to think about that with this generation, as well as part time working and job shares to support new parents. LB: 40% of Gen Ys visit Facebook more than 10 times per day TC: In certain positions our colleagues have access to social media and if they just have a quick look between tasks there is no harm in that. But it isn’t accessible to everybody. AT: It’s quite possible they approach work related messages outside of working hours in the same way. I do. DS: This again comes down to engagement. I believe that when an associate is engaged 100%, they know what is right and wrong, and because they are engaged they will go the extra mile in every task, and they may take five minutes to respond to personal messages. But the moment they become disengaged, you can sit
on their shoulder but they will still act how they want. An employee who is engaged can work from home, perhaps they may be five minutes late to the office occasionally and they may check their phone and social media. But you know that for the time they are working, you have 100% of them, and more. It’s the synergy of HR and it starts with recruitment and carries through the associate’s career in the company.
How is engagement measured? AT: Does engagement mean creating loyal employees? For instance, we always refer to Taj Hotels. They have incredibly engaged people and I don’t think their formula but I think it’s communication, transparency and a ready-to-go career path. DS: A sense of belonging. They are good at creating ownership. LB: The consensus in business schools is that it takes 100 days for somebody to decide if they are going to work their way up in an organisation or move on. So those 100 days are crucial and what we look at in Purple Cubed is getting our clients to engage people before they start. Invite them for a social team activity, send them information, give them pre-work, or ask their opinion on a current project. One way to engage employees once they are in the organisation, is to have the PM system moved to online, this way the employee can drive their own performance much more easily and it is geared towards Gen Y preferences. DS: But if they arrive and see people being fired or promoted in an unfair way, or disrespectful treatment, everything you have done is gone. But that would be your organisational
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Heinz Grub Area Manager of Starwood properties in Dubai
Samer Khanfar GM, Jumeirah Living Dubai World Trade Centre Residence
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culture, so you must still train the managers to engage and have all those other systems in place. Engagement has only just become a HR buzz word. If this concept is new for us, think how alien it must be to the F&B or housekeeping manager. This is where L&D provides a very important role, educating HoDs on how to retain. When a GM comes to me with a retention target, my response is that responsibility for that should be disseminated, starting with L&D. AT: Gen Y is not only a HR concern or challenge. And another thing to consider in the training element is that you don’t just have to learn from your direct manager, but peer to peer mentoring is a strong training tool.
41% OF THE SAMPLE ASPIRE TO HOLD SENIOR MANAGEMENT ROLES
AT: The respondents in the research are students and some choose not to even enter the hospitality industry after graduation. That doesn’t mean the industry doesn’t have to adapt, for example if women are going to succeed in the industry and have careers and families, they will have to be supported. But the respondents are still students and they will find a way or not in the industry and if they are loyal and love their job they will work at it.
If 71% of the workforce defines success as a balanced life, as in the Laureate survey, what will happen in hospitality? DS: All the things we have spoken
The predicted impact of Gen Y still seems unresolved – some believe Gen Y will adapt to the existing industry, others believe they will change current practices. How would you conclude your thoughts? LB: Some things have to change, but in
about, flexibility etc these are the things we need to incorporate. TC: I don’t think I could define my own professional success unless I’m retired and it’s a retrospective view. TE: Enjoying doing what you do at the time isn’t success, it’s engagement. That’s key to remember. LB: Professional reputation is incredibly important. But here, remember there are Gen Ys entering the work force who have grown up as expatriates; their behaviour will be completely different in terms of benefits, career pathing and retention.
Should hospitality adapt, can it adapt and how will that happen? DS: I think it should adapt and a person who has to give up their family life and children is being treated unfairly, regardless of where you work. LB: I worked 13 years on six days a week in management, but that was how it was and it was justified by the fact that your cleaning for example was done by somebody else, so your one day off was your own. Now the majority of hotels have gone to five day weeks for all management and some even for line staff.
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Gen Y is not only a HR concern or challenge and you don’t just have to learn from your direct manager AUGUST 2013
terms of the work place people have to become more engagement-focused on their teams. They have to look at what they are doing now to gauge how they can improve, but Gen Ys will demand this. They are not going to stay if they are not engaged. Engagement is not only work/life balance, but the sense of making a difference. DS: It’s about belonging; in a career, not a job. Creating a sense of belonging isn’t easy. TE: Doing your job because you care. The first things that will have to change is the management attitude towards Gen Y. Right now they view Gen Y with prejudice and they need to be willing to adapt to new needs. AT: It’s only natural that in 10 years, as Lynne said, 50% of the workforce will be Gen Y so adaptability is key here. But 10 years ago the talk was about Gen X and how we were different from other people. We saw then that it was a case of fear, so to speak, as a new generation enters the workforce
and accelerates change. Be open, be transparent and use peer to peer networks. Yes you have been in the industry 35 years and ‘know best’, but you don’t know how to work the latest Apple. TC: The changing guest profile will also have impact; we are a guest-facing industry, so this is a twofold issue. It’s a global trend; new money in China and Russia, and globalisation. AT: From a company perspective, if you look at Gen Y they are innovative and they want to work in an environment that is innovative. DS: We all know that people don’t leave companies, they leave people. Well in that respect, it’s not the iPad docking station that will engage your staff it’s the leadership. LB: It’s not Gen Y that needs development, it’s the Gen X leaders.
Hospitality Business would like to thank Jebel Ali Hotels for hosting the discussion in the new JA Ocean View Hotel, JBR, Dubai
The hotel show This discussion will continue at The Hotel Show, on September 30, when Laureate Education’s Fabienne Rollandin will present the institute’s Gen Y research and Lynne Bellinger, Purple Cubed, will lead a panel session on sourcing and retaining talent.
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SPECIAL FEATURE / TRAINING
ALL IN THE MIND While training as an essential component of business management is still valued and invested in, the plethora of options still present a minefield of choices. Hospitality Business looks at two of the top techniques: NLP and communication training
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AUGUST 2013
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SPECIAL FEATURE / TRAINING
I
nvestments in training and development remain strong, with almost every major operator mandating training schedules and even setting up their own academies. But with so many evolutions in the understanding of workplace psychology, it’s only natural that methods too, should change. Described as ‘the owner’s manual to your brain’, neuro-linguistic programming, or NLP, is the implementation of social-focused, rather than academic, training ad leadership skills. First pioneered 30 years ago, it is the awareness of the factors mandating human success or failure. Slowly, the practices have permeated almost every element of people management to that point that, today, in one form or another, the internet hosts countless NLP-inspired articles with titles such as ‘Five things successful people do every day’ and ‘Behave like a leader’. “You could say that NLP has become successful not because of its name but in spite of it. Let’s face it, if something with such a weird name can become this popular it must be good - because the title does it no favours at all,” says Pegasus NLP founder, Reg Connolly. “We don’t arrive in the world with a user manual that tells us how to use our brains. So for the first few years of life we learn this by imitating or ‘modelling’ other people. The group of people who came together and created NLP some 40 years ago decided to approach things in a non-scientific and non-intellectual manner. Instead of relying on psychological studies they studied people who, based on the results they got, appeared to be using their brains effectively. “They then extracted the commonalities in how these people functioned. And this began the body of knowledge that is NLP; a body of knowledge that is ever evolving, changing, and expanding,” Connolly adds, summarising the technique as
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NLP defined
You could say that NLP has become successful not because of its name but in spite of it. Let’s face it, if something with such a weird name can become this popular it must be good because the title does it no favours at all ”
The Oxford English Dictionary defines NLP as: “A model of interpersonal communication chiefly concerned with the relationship between successful patterns of behaviour and the subjective experiences (esp. patterns
of thought) underlying them; a system of alternative therapy based on this which seeks to educate people in self-awareness and effective communication, and to change their patterns of mental and emotional behaviour.”
Pegasus NLP founder, Reg Connolly
a “collection of skills and insights on how to use your brain to have a happier and more rewarding life”. But aside from using the technique to master one’s own mind, the real benefits come when NLP is used to enhance communication by accentuating positivity in situations of professional contact. “From a training provider’s angle I feel that the use of NLP has been a major tool to help businesses focus on delivering a positive angle to their services and products. From the receptionist, or first point of contact
person, all the way up to director level, businesses are understanding the need to focus on positive communication, marketing and their deliverables,” says managing director of Debbee Dale Development, Debbee Dale, who incorporates NLP into her approach with clients. “Therefore I incorporate this into all training programmes; nothing is ‘off the shelf ’. The training provider has to become a partner of the business that they are working with. A standard training course is not as effective as something tailored to the
AUGUST 2013
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SPECIAL FEATURE / TRAINING
Training trends to watch
business with the training provider understanding the needs, wants and business objectives of the company that they are working with.” Dale has delivered courses in South Africa, Vietnam, Georgia, Armenia, Ecuador, Bosnia, Jordan, Albania, Mongolia, East Africa, West Africa, Bolivia, Indonesia, Sri Lanka. Columbia, Nepal, Thailand, Peru and Central America.
Training exercises are being pressed for transparency Coaching programmes will draw greater scrutiny Demand for basic skills training is expected to re-emerge
Globalisation will shape leadership programmes Companies will use training to build employee loyalty Workers will be more assertive about highpotential programmes Learning will continue to go mobile
ALTERNATIVE APPROACH It stands to reason, that anything with such intangible results is viewed with apprehension, at the least, in professional environments and before reaching the upper echelons of management it could be concluded that NLP has no place in the hospitality industry. For every online article that mimics one or more of NLP’s principles, there is at least one more to dismantle its credibility. “The core of NLP is ‘modelling’ – which is the practice of recognising someone’s excellence, finding out how they achieve that excellence, then working at replicating those results for yourself. It’s pretty obvious that we all do that. That’s how we learned to speak and do all of the other things we do so well. NLP just gives a structure to that learning. Where NLP loses that credibility is the mixed results of sketchy research,” explains confidence and speech coach Harry Key. But as the industry grapples to change its management style, open up to employees, and ultimately engage to retain its associates, no training method is off the cards. And for those who want to stimulate a worth-while dialogue, there are always alternative methods. Communication training focuses on tone, language and body language to positively influence clients, guests, partners and suppliers, thus solidifying business relationships. “No matter where in the world [you a based], this kind of communication training is necessary
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and has been very effective in the travel, tourism and hospitality arena to minimise issues with guests and deliver a formidable prospect to potential guests and international partnerships,” Dale explains, adding the technique has been particularly applicable in western business practices, where she reports that training has shifted from ‘delivering an excellent service’ to ‘delivering an outstanding you’. She concludes: “Training trends are always changing
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and in light of the Global economy some companies close their budgets to training their staff as they see it as more of a want than need. “However it has been proven by the businesses who continue to make this investment, that with the right provider who gets involved with and truly understands their business they retain, motivate, inspire and focus their teams to ensure profitability, growth and presence within their sector.”
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The Pro Chef ME magazine - the magazine for professionals
SASCHA TRIEMER, EXECUTIVE CHEF, ATLANTIS, THE PALM
MIDDLE EAST
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If you work as a chef, restaurant manager, sommelier, banqueting manager or catering manager for a four or ďŹ ve star restaurant in the UAE, then apply for your free monthly copy of The Pro Chef Middle East, the magazine for ďŹ ne dining professionals. For all advertisment related enquires please contact the following: Sales Director: Ankit Shukla ankit.shukla@cpimediagroup.com +971 55 2572807
Associate Publisher: Alex Bendiouis alex.bendiouis@cpimediagroup.com +971 50 458 9204
Read every monthly issue free of charge via: www.cpidubai/com
SPECIAL FEATURE/ SUSTAINABILITY
An increasingly environmentconscious consumer base is helping to persuade hotel brands to adopt sustainable practices. Here is a whistle stop guide of the greenest activities in the region
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SPECIAL FEATURE/ SUSTAINABILITY
Unveiled in November 2012, the solar panel system at Ajman’s first five star hotel produces enough power to heat 30,000 litres of water every day and will reduce CO2 emissions by up to 140 tons per year. Pioneered through a JV called KREEN, the project is the result of a partnership between Kempinski Hotels, Stadtwerke Mainz (public corporation, AAA rating) based in Germany, and Marshfield Energy based in Switzerland. Mr. Ulrich Eckhardt, Kempinski regional president, MEAI, said: “Kempinski was the first company to bring a luxury hotel to Ajman. Now we are the first company to bring sustainability to the forefront of our operations here in Ajman through this new solar project, the recycling of wastewater for landscaping, and several other sustainability initiatives underway in the hotel.”
More than 60 volunteers from The St. Regis Saadiyat Island Resort helped to transplant 2000 plants to enhance the vegetated dune areas on the seaward side of the Saadiyat Beach Golf Club pathway, restoring the dunes and helping to cultivate local wildlife. Forming a Dune Protection Zone, the newly vegetated areas will enhance the beach, and in turn further increase the nesting habitat for critically endangered Hawksbill Turtles, which return to nest every year between April and July. This activity forms part of TDIC’s ongoing commitment towards sustainability and environmental best practice. St. Regis Saadiyat GM, John Pelling, said: “It was very exciting to learn that about 100 new hatchlings made their way towards the sea last year. We are keen to play our part in maintaining this pristine beach.”
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SPECIAL FEATURE/ SUSTAINABILITY
Hyatt Hotels’ five star properties across Dubai and Abu Dhabi collaborate with the EWS-WWF to pioneer adoption of the Choose Wisely campaign, integrated throughout F&B outlets in the UAE to ensure that fish is sustainably sourced. The hotels’ restaurants will create special sustainable fish dishes using sustainable-listed local fish as defined by the Choose Wisely consumer guide. “The programme is focused on sourcing and providing F&B options that are good for Hyatt guests and associates, good for the planet, and good for local communities,” said John Beveridge, area director for Hyatt Hotels and Resorts in Dubai and GM of Grand Hyatt Dubai.
“The Choose Wisely initiative fits well within our food philosophy and highlights our commitment to healthy people, a healthy planet and healthy communities.” The overall number of commercial fish in the country has declined by 80% in the last 30 years. In the UAE, 60% of the total catch is made up of species that are fished beyond sustainable levels, and eight of the most valuable commercial fish are being overexploited, including Shaari, Farsh and Kanaad. Hamour, otherwise known as Orange-spotted Grouper, is fished at over seven times the sustainable level and is the most overfished species in the UAE.
Within 10 hours, Westin Abu Dhabi can transform the 225kg of the food waste produced daily on site into 93% organic fertilizer, in the form of a dry, high grade product, that is approximately one third of the waste’s original weight. Using the waste from six restaurants and the staff cafeteria,this fertilizer is then used across the resort to feed bedding plants, grass areas, trees, herbs and vegetable gardens; reducing the carbon footprint associated with transportation of waste materials off site. The Korean-built machine (pictured left) facilitating this
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Guests at the Bin Majid’s four UAE properties who do not require daily replacement of in-room amenities and linens are presented with a vouchers to use against purchases in the hotel. The group hopes to spur neighbouring properties to initiate similar campaigns. Bin Majid Hotels’ group GM, Dr Ali Kasapbashi, said: “We are pleased to announce that we have initiated a Go Green concept in support of a sustainable hospitality industry. Hotels can play a major role in changing the culture of waste in the UAE so we are doing our best to help protect the environment and sustain its natural resources for the present and future generations.” The “Go Green” campaign is aimed at creating awareness on the importance of protecting the environment and sustaining its natural resources for the present and future generations.
process does not use any chemicals or degrading agents during the cycle, only heat. It is currently the only fertiliser machine of this scale and quality in operation in Abu Dhabi, and the only machine in any Starwood EAME property. By 2020, Starwood Hotels and Resorts aim to reduce energy consumption by 30% and water consumption by 20% across its 1100+ luxury hotels worldwide. There are hopes to roll this project out to all six Starwood properties in Abu Dhabi, thus turning this into an area-wide initiative.
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Lighting Design, Estimation, Supply & Installation
SPECIAL FEATURE/ SUSTAINABILITY
As part of its commitment to sustainable development, Swissôtel Hotels & Resorts release its first public sustainability report Q4 2012, revealing that, since 2009 the group has achieved: 11 % reduction in water consumption per guest night; 13 % reduction in CO2 per guest night; and 13 % reduction in energy consumption per guest night. On a monthly and annual basis, Swissôtel reports the performance of more than 100 environmental KPIs, which are consolidated and analysed by the corporate office. Sustainability teams at all hotels ensure the corporate strategy is implemented, with consideration given to local regulations, cultures and practices. “For us, being sustainable isn’t about the things you say, but the things you do”, says Meinhard Huck, president Swissôtel Hotels and Resorts (pictured below). “It is our goal to be clear and honest in the communication of our objectives, goals and performance and we welcome dialogue with all our partners, guests and team members. With the release of this sustainability report we have achieved another important milestone.”
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L-R; Liisa Thomas, director of CSR; Peter Henley, president and CEO; Bryan Hugill, co-founder and hacknologist from Raitong Organics Farm; and resident beekeeper at Oriental Residence Bangkok.
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Bee populations globaly are in a worrying state of decline, but in Bangkok Onyx Hotels has launched Plan Bee, to save the Asian honeybee (Apis cerana) from extinction. Honeybees are key pollinators in the environment and it is estimated that one-third of all the food plants we eat depend specifically on bees for pollination. In spite of the important role bees play in the global food chain and ecosystem, honeybees, as with many pollinators around the world, have come under threat due to a number of factors, including
the use of pesticides and planting of genetically-engineered crops; loss of habitat and biodiversity; increases in various pests and diseases due to changing weather conditions; pollution; and poor husbandry techniques. Plan Bee will make Oriental Residence Bangkok the first serviced residence or hotel with an urban beekeeping initiative in Bangkok. Onyx hope to roll out urban beekeeping in Thailand and beyond, partnering with Raitong Organics Farm to ensure the successful delivery of the programme.
While many hotel chains call their sustainable initiatives CSR, RitzCarlton has made a pledge to both non-business commitments, by using the money saved through the implementation of sustainable initiatives, to fund CSR work in local communities. The work is pioneered by former HR director, Sue Stephenson, (pictured right) who relocated from the US to US to work for Ritz-Carlton in 1991. In 2006, Stephenson assumed the leadership of Ritz-Carlton’s CSR programme, Community Footprints. Reporting to the president and COO, Hervé Humler, she is charged with expanding the company’s global efforts through
a series of multi-faceted initiatives focused on child well-being, hunger and poverty relief, and environmental responsibility.
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SERVICES AND SUPPLIES
Services and supplies The world’s most useful and innovative new designs, delivered to you, every month
THE SPABULOUS SPA BIKE Spabulous Solutions has introduced its Spabike at Beauty World Dubai, making them the first manufacturer to introduce the concept of “private aqua biking” to the Middle East. The French-made Spabike combines exercise, hydrotherapy and massage, with a private Jacuzzi and an integrated pedalling system that uses hydraulic resistance. Training in an aquatic element both reduces stress and impact on your joints while also helping minimize water retention and provides a simultaneous massage.
INFOR I.T. ADVANCES It is an easy private workout and a perfect concept for everyone who wants to do pain-free fitness activities, say Spabulous Solutions. Two Spabike models are available in the range, Spabike Tonic and Spabike Relax. Tonic allows users to bike in either sitting or standing positions, and multi-position handlebars allow users to customise their experience to suit their fitness goals. Relax, provides a smooth and progressive workout in a semi-horizontal position, ideal for pregnant women or users with reduced mobility.
Infor’s next generation hotel management and business social collaboration software in its hospitality suite of solutions has official entered the market. Infor HMS 3.5 integrated with Infor Ming.le enhances property management functionality, enabling greater efficiency for hoteliers in guest service. Powered by Infor 10x, hoteliers now have access to new capabilities in the areas of social business, mobility, analytics and integration through the new Infor HMS 3.5 application. “Infor understands that the hospitality industry is increasingly complex, and hoteliers need industry-specific functionality to successfully complete daily operations,” said Stewart Applbaum, senior vice president and general manager, hospitality, Infor. “With Infor HMS 3.5 and Infor Ming. le, we really honed in on the importance of globalisation, cloud, social collaboration and mobility when developing and refining new modules that will keep our customers competitive and successful.” Infor HMS 3.5 is currently available in English, Chinese and French with plans to add a German language, also.
FINASI EXPANDS REGIONAL OPERATIONS Interior design specialists Finasi, are expanding their Middle East operations to launch Finasi Office & Contracts. The new division offers turnkey office solutions delivered by an in-house team, completed to global standards. Two showrooms will open for the new operations, one in Dubai’s DIFC and a second in Abu Dhabi. “We are proud to be launching our new office division. Our exacting standards and incredible craftsmanship already differentiate the Finasi brand from its competitors, and we will follow through on our pursuit for design perfection with office fit-outs and furnishings,” said Matteo Pellegrini, GM, Finasi.
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He added: “Our reputation for quality, together with innovation and the strong backing of the Gargash Group, will ensure that we remain at the forefront of the commercial interior design industry in the UAE.” Finasi, part of the Gargash Group of Companies launched in the region in 2007, expanding from its native Italian base, where its headquarters remain in in Milan. Projects incorporate private, hospitality and corporate interiors and services include design and feasibility studies, construction coordination, layout strategising, furniture supply and installation. Finasi is the exclusive dealer for the Molteni Group, and luxury anchor brand Molteni & C.
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SERVICES AND SUPPLIES
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COFFEE TAKE OFF Cost Coffee’s Marlow 200, a one-of-akind self-service machine, has made its debut at Terminal 3, Concourse A, Dubai International, UAE. Emirates Leisure Retail, Costa’s first international franchise partner, specified the machine, which is one of 3000 currently in operation around the world. Costa Express MD, Scott Martin commented: “As the current world leader in self-serve espresso bars, we have a responsibility to innovate. “Our existing concessions are hugely successful in the channels where we currently operate and the Marlow 200 will now enable us to offer great espresso drinks to customers in new channels and markets. It is a very exciting time.”
DUBAI AUDIO’S GUEST GADGETS
RECTANGULAR FLOORING SOLUTION Carpet tiles designer and manufacturer, Interface, has introduced ‘Planks’, a rectangular tile that Interface says increases design flexibility and the combination of different formats, textures, colours and patterns. Urban Retreat 501 is the first collection to be launched in the Planks range. Based on one of Interface’s latest, and already popular, carpet tile collections, Urban Retreat 501 is inspired by people’s instinctive love of nature, a science known as ‘Biophilia’. The tiles will be available as skinny Planks, measuring 25 x 100
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cm and they are suitable for herringbone and ashlar installation, available in colours that will complement square Urban Retreat tiles, as well as the addition of vibrant accent colours. Says regional SVP of sales and marketing Rob Boogaard: “Our latest innovation offers customers the most advanced modular flooring design capabilities. Colours, textures and patterns can be combined like never before to create contemporary and inspiring interiors. Planks are a great example of how sometimes the simplest changes can have the greatest effect.”
Dubai Audio is promoting three new travel –focused products for both hoteliers and their guests. The first is wireless Bluetooth headphones by Philippe Stark, Parrot Zik. This is joined by the Geneva Sound System Model XS, a wireless hi-fi speaker system with FM radio, amplifier and alarm clock in a travel case; and SongBook by Tivoli Audio, a Wireless iPod speaker, AM/FM radio and alarm clock in a rustproof weather-resistant case.
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APPOINMENT NEWS
Gulf, six restaurants, bars and lounges, a seaview infinity pool and signature CARITA salon and SoFit™ Health Club. “I am thrilled to join such a well-known property and we look forward as a team to finding new ways to satisfy guests ensuring that we continue to strive to raise our performance levels,” said Schneider. Born in Germany, Schneider graduated from Hotel and Catering College, Bad Woerishofen and joined Accor Group in 1992.
Appointment news The latest appointment and promotion news from the region NATALIE AMOS TO HEAD TRAVEL PR Natalie Amos has been appointed by Four Communications to head its Gulf travel and PR marketing practice. Transferring from the London office, where Amos has spent the previous four years, she will build on a Gulf client base which includes IHG, Etihad Airways, Tourism Ireland and RAK Tourism, as well PR for as many destinationrelated events. She will also help to develop the company’s new travel representation business, working with Thomas Redmond,
who leads the prestigious Tourism Ireland representation account. During her time with Four, Amos led PR and social media campaigns for Banyan Tree, Scandinavian Airlines and Singapore Tourism. She is currently completing an MSc in Responsible Tourism Management at the International Centre for Responsible Tourism (ICRT), and will help to develop Four Communications’ sustainability communications work in the region.
Bernd Schneider, Sofitel JBR.
FOUR SEASONS JUMEIRAH BEACH GM NAMED Simon Casson has been named as regional vice president and GM of Four Seasons Resort Dubai at Jumeirah Beach, when the property opens late next year. Currently holding the same position in Doha, Casson will return to Dubai in November, but continue to oversee Four Seasons’ properties in Damascus, Syria, Beirut, Lebanon, Riyadh, Baku and Tanzania, in addition to the Dubai property. As the GM of Four Seasons Hotel Doha for the past nine years and a Regional Vice President Middle East for the past two years, Casson possesses a deep knowledge of the market and what works in this region.
SOFITEL JBR GM ANNOUNCED
Natalie Amos, Four Communications.
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Bernd Schneider has been named the new GM of Sofitel Jumeirah Beach Residence. The former GM of Magnifique Sofitel Mumbai Sofitel Philippines Plaza, Manila, previously held the position of regional delegate GM of Accor, Philippines. Schneider’s new property is located in Jumeirah Beach Residence, Dubai, opening directly onto The Walk and featuring 438 rooms and suites with views over the Arabian
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Simon Casson, Four Seasons.
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JOB WATCH Jobs supplied by:
Job watch
inspections and written communication, personal visits or in-hotel service (entertainment) with assigned accounts as necessary to achieve planned goals. t 1SFQBSF DPSSFTQPOEFODF UP DVTUPNFST internal booking reports and file maintenance. t 1BSUJDJQBUF JO EBJMZ NFFUJOH QSF DPOWFOUJPO meetings, training and other sales-related meetings as required.
Time to move on? We can help. All jobs can be applied for through the Hozpitality website GENERAL MANAGER Level: Top Management Location: United Arab Emirates (UAE) Salary: attractive salary and benefits Start Date: asap Recruiter: Skelmore Group Description: We are looking for a General Manager for our hospitality division. Candidates with UAE experience in a similar position will be preferred. Salary and benefits commensurate with experience. Oversees all aspects of the Hospitality Division in accordance with the Company mission statement, including maximization of financial performance, guest satisfaction, and staff development within established quality standards. Responsible for the hiring, training and discipline of all Hospitality staff. MARKETING COORDINATOR Level: Supervisory level Location: United Arab Emirates (UAE) Salary: Competitive Start Date: ASAP Recruiter: Dusit Residence Dubai Marina Description: You will work with the Group GM and Director of Sales & Marketing of the Hotels to assist in the implementation of the marketing plan and to coordinate the development of the hotels media kits and brand awareness. Reports to Group GM of Hospitality Company.
conception through to evaluation. Work closely with the local Sales and Commercial teams to achieve budgets and targets for Qatar. Requirements Graduate, ideally with a degree in marketing and a minimum of two years of relevant work experience in marketing. Preferably worked with PR or advertising agency.
F&B COST CONTROLLER- DUBAI Level: Middle Management, Supervisory level Location: United Arab Emirates (UAE) Salary: Attractive salary and benefits Start Date: Asap Recruiter: Dubai World Trade Centre(DWTC) Description: Mainly responsible for the accounting, reporting and controlling of the actual cost of food, beverages and tobacco that were purchased and consumed by the F&B Outlets. These are reflected in the F&B Cost Controller’s Report, an accounting report which summarizes the results of the operation of the Food & Beverage Department in terms of food, beverage and tobacco consumption for a given period. t .POJUPST BDUJWJUJFT SFMBUJOH UP UIF ' # Cost Controls. Areas of concerns include Purchasing, Receiving and Issues, Inventory, Production and Revenue.
MARKETING COMMUNICATIONS EXECUTIVE - ARABIC SPEAKING Level: Supervisory level Location: United Arab Emirates (UAE) Salary: Attractive Start Date: Asap Recruiter: Grand Hyatt Dubai Description: You will be responsible to provide an excellent and consistent level of service to your customers. The Marketing Communications Executive is responsible to assist the Marketing Communications Manager to develop, implement, monitor and evaluate the hotel’s marketing communications strategy, including advertising, promotions, public relations, graphics and collateral, so as to support the marketing objectives for the hotel and maximise the hotel’s positive exposure in local, national and international markets.
MARKETING COORDINATOR – QATAR Level: Staff- Line level, Supervisory level Location: ME/GCC (Except UAE) Salary: Attractive Start Date: Asap Recruiter: Etihad Airways Description: To publicly position Etihad Airways as a premium airline in trade and consumer marketplace in Qatar. Use all elements of the marketing mix to convey Etihad’s key messages. Manage projects that raise Etihad’s profile and generate sales from
SALES EXECUTIVE Level: Supervisory level Location: United Arab Emirates (UAE) Salary: Competitve salary for the right candidate Start Date: ASAP Recruiter: Arabian Courtyard Hotel & Spa, Dubai Description: Looking for Philipines national Sales Executive. Who can handle/perform the following job responsibilities. t 4 PMJDJU OFX BOE FYJTUJOH BDDPVOUT UP NFFU exceed revenue goals through telephone solicitation, outside sales calls, site
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SURE IT’S A BIG JOB; BUT I DON’T KNOW ANYONE WHO CAN DO IT BETTER THAN I CAN. JOHN F. KENNEDY
MARCO PIERRE WHITE – GUEST RELATIONS OFFICER Level: Staff- Line level, Supervisory level Location: United Arab Emirates (UAE) Salary: Attractive salary and benefits Start Date: Asap Recruiter: CONRAD DUBAI Description: As a Guest Relations Officer ‡ Food & Beverage, you are responsible for seating guests and managing table set-ups to deliver an excellent Guest and Member experience. A Guest Relations Officer - Food & Beverage would also be required to work in all areas of F&B and strive to achieve departmental targets. What will it be like to work for this Hilton Worldwide Brand? Smart luxury is at the core of everything Conrad Hotels & Resorts does. We offer our guests one-of-a-kind experiences, service that’s intuitive and connections to people and places near or far.
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17 - 19 NOVEMBER 2013 DUBAI WORLD T R A DE C E N T R E
SELL YOUR PRODUCTS
TO THE WORLD’S FASTEST GROWING GOURMET & FINE FOOD MARKET
s EET OVER HIGH PROlLE BUYERS FROM CATERING COMPANIES HOTELS RESTAURANTS RETAILERS SPECIALIST DISTRIBUTORS AND WHOLESALERS s OF EXHIBITORS SECURED ORDERS VALUE BETWEEN 53 AND 53 s # OUNTRY PAVILIONS ALREADY INCLUDE !RGENTINA #HINA &RANCE 'REECE )NDIA )TALY )RAN 'ERMANY 3PAIN AND 5NITED +INGDOM AND MANY MORE
Secure your stand at 4HE 3PECIALITY &OOD &ESTIVAL &OR THE lNEST GOURMET FOOD SUPPLIERS ONLY THE SPECIALITY FOOD FESTIVAL TEAM Tel: +971 4 308 6462 E-mail: speciality@dwtc.com
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TENDERS
Tel: (+971) 2 634 8495 www.EmiratesTenders.com
NEW TENDERS Client name: Ministry of Information & Culture Address: Nasseriya Street City: Riyadh 11161 Postal/Zip Code: 843 Country: Saudi Arabia Phone: (+966-1) 401 4440 Fax: (+966-1) 402 3570 eMail: sair@saudinf.com Website: http://www.saudinf.com Nature of work: Provision of catering services for Guests and Employees of a Government authority. Cost of Tender Documents ($): 270 Last date of submission: August 14, 2013 Client name: Central Authority for IT (Kuwait) Address: Audit Bureau Bldg., Next to Sharq Police Station, Ahmed Al Jaber Street City: Safat 13009 Postal/Zip Code: 900 Country: Kuwait Phone: (+965) 2242 6077 / 2242 0211 Fax: (+965) 2240 0032 Website: http://www.cait.gov.kw Nature of work: Provision of a Coffee Shop for a Government authority. Cost of Tender Documents ($): 180 Last date of submission: August 18, 2013 Client name: Oman Air (S.A.O.C) Address: Oman Aviation Services Bldg. City: Seeb PC 111 Postal/Zip Code: 58 Country: Oman Phone: (+968) 2451 9953 / 2451 9327 / 2451 9883 Fax: (+968) 2451 0805 eMail: ksami@omanair.aero Website: http://www.omanair.aero PALM JUMEIRAH RESORT DEVELOPMENT Nature of work: Provision of catering food items of bakery, grocery, canned fruits and vegetables, dairy items and frozen items for an airline company. Cost of Tender Documents ($): 260 Last date of submission: August 22, 2013
450 m
Client name: Ministry of Health (Oman) Address: Opp. Khoula Hospital, Bldg. No. 105 City: Muscat PC 113 Postal/Zip Code: 393 Country: Oman Phone: (+968-24) 602 177 Fax: (+968-24) 602 647 Website: http://www.moh.gov.om
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AUGUST 2013
Tenders All the latest information about the tenders you need to know about
NEW AND CURRENT PROJECTS Project Name: DoubleTree Suites by Hilton Hotel Description: Construction of five-star DoubleTree Suites by Hilton Hotel comprising (350) rooms, which will be surrounded by cafes, shops and restaurants. Client Name: Hilton International (Dubai) Country: Bahrain Status: New Project Project Name: Crowne Plaza Oman Convention & Exhibition Centre Project Description: Construction of a hotel comprising (296) rooms featuring extensive meeting and event facilities with a separate function centre that will include a glamorous ballroom with terrace, a boardroom and three large meeting rooms. Client Name: Oman Tourism Development Company S.A.O.C (Omran) Country: Oman Status: New Project Project Name: Mixed-use Development - Meydan City Description: Development of a mixed-use scheme
comprising a shopping mall, villas, apartments and hotels. Client Name: Sobha Group (Dubai) Country: UAE Budget (USD): 3,000,000,000 Status: New Project Project Name: Resort Development - Palm Jumeirah Description: Development of a resort comprising a hotel and villas on two plots of the crescent in Palm Jumeirah. Client Name: Al-Osaimi Real Estate Investment Company (Kuwait) Country: UAE Consultant: Khatib & Alami Consolidated Engineering Company (Dubai) Budget (USD): 450,000,000 Status: New Project Project Name: Abraj Kudai Mixed-use Towers Description: Construction of Abraj Kudai mixed-use towers comprising a total of (12) buildings ranging in height from 30-45 storeys. Client Name: Ministry of Finance (Saudi Arabia)
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TENDERS
Consultant: Saudi Arabia Dar Al Handasah (Shair & Partners) - Saudi Arabia Contractor: Saudi Binladin Group (Saudi Arabia) Budget (USD): 3,500,000,000 Status: Current Project Project Name: Lillian Towers - Business Bay Description: Construction of Lillian Towers comprising 2 buildings, each consisting of 3 common basement levels, a ground floor and 29 additional floors offering 447 rooms and 136 serviced apartments, including a gymnasium hall, a health club, parking spaces for 984 vehicles and shopping facilities. Client Name: Tameer Holdings (Dubai) Country: UAE Consultant: Khatib & Alami Consolidated Engineering Company (Dubai) Contractor: Arabtec Construction L.L.C (Dubai) Budget (USD): 220,000,000 Status: Current Project Project Name: Mixed-use Tower Project-6 Description: Construction of 36-storey mixed-use tower comprising a five-star hotel, an eight-level podium containing high-end retail units and office space. Client Name: Abdali Investment & Development Company - ADIC (Jordan) Jordan Consultant: Perkins & Will (USA) Contractor: Dubai Contracting Company L.L.C. (Dubai) Budget (USD): 200,000,000 CStatus: urrent Project Project Name: Muscat Grand Mall Upgrade Description: Carrying out a major redevelopment of a shopping mall. Client Name: Al Madina Real Estate S.A.O.C (Oman) Country: Oman Budget (USD): 130,000,000 Status: New Project Project Name: Jebel Ali Theme Entertainment Development Project Description: Development of five different theme parks in Jebel Ali area to promote tourism. Client Name: Meraas Development (Dubai) Country: UAE Budget (USD): 2,700,000,000 Status: New Project Project Name: Muharraq Theme Park Description: Construction of a Theme Park
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featuring an ice arena, aquarium, karting track and amusement rides, including large green areas, restaurants, a fitness club and gymnasium, an elderly centre and family resting areas. Client Name: Muharraq Municipality (Bahrain) Country: Bahrain Budget (USD): 47,000,000 Status: New Project Project Name: Al Baleed Resort Project Development of a high-end resort in Al Baleed Village comprising a total of (136) rooms and associated facilities. Client Name: Musstir (Oman) Country: Oman Contractor: Carillion Alawi L.L.C (Oman) Status: Current Project
Budget (USD): 1,000,000,000 Status: New Project Project Name: Yas Mall Project Yas Island Description: Design and construction of Yas Mall featuring a leasable space over three floors comprising (700) retail and food units, including four department stores. Client Name: ALDAR Properties PJSC (Abu Dhabi) Country: UAE Consultant: Cansult Maunsell (Abu Dhabi) Contractor: Belhasa Six Construct L.L.C (Dubai) Budget (USD): 645,000,000 Status: Current Project
Project Name: St. Regis Hotel Project - Nile Corniche Development Description: Construction of St. Regis Hotel comprising (286) rooms and Project Name: Al Merqab Mall (217) hotel apartments, including a Project - Al Nasar four-level basement for 900 vehicles Description: Construction of Al Merqab BUSINESS BAY LILIAN TOWERS and all associated facilities. Mall comprising 2 basement levels, a Client Name: Qatari Diar Real Estate ground floor, a mezzanine floor and 3 Investment Company (Qatar) additional floors offering (150) to (200) stores. Country: Qatar Client Name: Al Muraqab Real Estate Contracting & Contractor: Orascom Construction Industries (Egypt) General Maintenance (Abu Dhabi) Budget (USD): 1,000,000,000 Country: Qatar Status: Current Project Consultant: Dara Engineering Consultants (Qatar) Contractor: Terna Contracting (Qatar) Project Name: Emroc Abu Dhabi Towers Budget (USD): 220,000,000 Description: Design and construction of Emroc Status: Current Project Abu Dhabi Towers comprising two buildings, each consisting of (37) storeys, including a five-star hotel, Project Name: ADISC Residential, Leisure & a resort and hotel apartments. Commercial Compound Project Client Name: Morocco General Trading & Description: Construction of ADISC residential, Investment Company - Emroc (Abu Dhabi) leisure and commercial compound. Country: UAE Client Name: Private Property Management (Abu Dhabi) Consultant: Surbana Corporation (Abu Dhabi) Country: UAE Contractor: Nurol Group (Abu Dhabi) Consultant: WS Atkins & Partners Overseas Budget (USD): 272,000,000 Contractor: Fibrex Industrial & Construction Group Status: Current Project Budget (USD): 50,000,000 Status: Current Project Project Name: Jabal Omar Area Development Description: Development of Jabal Omar area Project Name: Sheikh Zayed National Museum involving construction of five-star hotels, residential Project - Saadiyat Island Development towers, retail concourse and a car park. Description: Construction of Sheikh Zayed National Client Name: Jabal Omar Development Company Museum comprising seven permanent galleries, (Saudi Arabia) including a temporary exhibition space and library, Consultant: Saudi Arabia Hill International Middle an education centre, a theatre, shops and a cafe with East Ltd. (Saudi Arabia) a visitor’s service area. Contractor: Rio Trading & Contracting Company Client Name: Tourism Development & Investment (Saudi Arabia) Company - TDIC (Abu Dhabi) Budget (USD): 5,100,000,000 Country: UAE Status: Current Project Consultant: AECOM Middle East
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COMMENT
Diversifying the market Citymax COO Russel Sharpe on why land prices, not demand, will be the driving factor behind diversifying Dubai’s much needed mid-market
A
s a tourist destination, Dubai’s vision is to double the number of visitors from now until 2020. To meet this target, Dubai will have to start catering to guests on a tighter budget. Clearly, among 10 million additional visitors, the majority will not have the wallet to stay in upscale hotels. There will inevitably be a large number of consumers with no need for frills; budget travellers, low-cost business travellers and economy transit passengers. Where are they going to stay? Dubai is a destination which has
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long been synonymous with luxury. More than 50% of the existing 65,000 hotel rooms are in the upscale segment. Only seven international budget hotel brands are currently present in Dubai, representing less than 15% of the accommodation segment. In other parts of the world that number would be about 33%. Though it must be taken into consideration that a large percentage is heavily catered by the unbranded hotels and serviced apartments. Growth of the mid and even lower market sector is not just expected, it has already started and will soon
become a necessity. The increased presence of budget airlines such as Flydubai and Air Arabia and the upcoming opening of Dubai World Central airport will bring a growing number of mid-market travellers to our shores. The challenge for hospitality providers is to find plots of land within the city where you can build 3, 2 and even 1-star hotels. With the current land prices in central locations, where tourists would want to stay, owners and investors see it as unfeasible to develop budget hotels on such sites. The land price simply does not justify the ROI for mid or lower market hotels. Add to that the potential feeding frenzy of real estate speculators and resultant escalation of land costs, we will find it difficult to justify the business model especially if Dubai wins the bid for Expo 2020. To reach the ambitious goal of 20 million visitors, developers will have to be proactive in finding ways to assist in the development of mid market offerings. Land needs to be available at a reasonable price in order to achieve the necessary balanced mix of budget, mid market and luxury hotels. Today this can only be found on the outskirts of the city. Consequently, justifiable returns can be achieved by ensuring that the outskirts of the city is well serviced by public transport as well as tourist attractions. We also must not forget that other Emirates, particularly Abu Dhabi, are also developing midmarket hotels. Their development will also play an important part in Dubai’s vision and in some cases will form an essential part of the hospitality offerings of the UAE. All these factors have played an important, integral part in the creation of many great new cities in the world. Some good examples are Singapore and Shanghai where land prices dwarf what is being sold here. Like any great city, Dubai needs to have a balanced accommodation offering to sustain growth and meet tourist expectations.
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Specialized for Hospitality. Infor 10x is the latest release of Infor’s proven business applications, delivering innovative new capabilities in the areas of social business, mobility, analytics, and integration, as well as major enhancements across all of the Infor Hospitality applications. With the Infor 10x platform, you can change the way work is done – outside and inside your properties – so you can focus on improving guest service and driving profitability. Think flexible and collaborative. Think beautiful, scalable, integrated, and mobile. Then start imagining all the things you’ll be able to accomplish.
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