Frank conversations with employees are crucial when it comes to retaining talent in the hotel sector, according to the latest paper from EHL Hospitality School.
“Transparency is crucial when it comes to communicating a company’s strategy around talent retention and acquisition. This should be directed both internally and outwardly,” associate professor Stefano Borzillo advised.
He cited Accor group as an example. That hotel group has made it clear to its employees which solutions are for short-term issues and which are for long-term.
Another method to improve retention is digitalisation, with the study noting that several global hospitality corporations had worked with startups to develop digital solutions not just for clients, but also for their staff.
“While capital-intensive in the beginning, investments in smart technology solutions eventually help reduce costs in the long run, thereby offering the possibility of reallocating spending on salaries, and making the working experience more attractive to a new generation of workers. This in turn reduces turnover,” Borzillo said.
Larger corporations have the resources to implement these new digital solutions. Budget hotels can easily pivot to cost-efficient methods.
But digitalisation may leave mid-sized hotels behind.
“These shifts in models certainly threaten the mid-section of the industry: three-star properties that cling to a more traditional, less specialized approach to hospitality, as well as independent hotels that are unable to make the needed capital investments in technology, facilities, new experiences – or new talent,” the professor said.
