News for the Hospitality Executive |
by Michael Estabrook
May 2013 In recent years,
sustainability has been widely perceived and practiced in forms of
greenification. The hospitality industry has made significant
development in
the 'green' department by driving towards more sustainable technologies
and
processes that help both the environment and the bottom line. However,
sustainable development should encompass the three elements of people,
planet
and profit (the 3Ps) - implying long-term considerations for all
stakeholders. With planet and
profit already the focal point of the industry's sustainability
efforts, the
issue of people, and the pursuit of their basic human rights is
crucial, and
requires an unfaltering focus on the communities our industry operates
in. Now it is easy to
point the finger at other industries whose shortcomings are widely
covered by
the media, most notably with regards to manufacturing - ranging from
child
workers producing our sneakers and tablets, to factories installing
suicide
nets in a delusional attempt to minimize a horrific symptom instead of
fixing
the problem. However, before we judge and move on, we need to take a
step back
and observe our industry. When we look closer to home it becomes
evident that
the areas to be addressed are vast and human rights in hospitality
remain
shrouded by the obscurity of idealism. A mass of work needs to be done
to
address complicated issues including but certainly not limited to: gaps
in
wages between men and women in the same positions; withholding of
passports and
wages by hotel developers in the Middle East, forcing employees to work
until
they have paid off an ambiguous debt; the polluting of local water
sources by
hotel companies in tourist hot spots like Tanzania; or the
uncompensated
redistribution of land occupied by the world's poorest communities by
local
governments to build a foreign-owned all-inclusive resort in Africa and
Southeast Asia. The Brundtland
Commission of the United Nations states "sustainable development is
development that meets the needs of the present without compromising
the
ability of future generations to meet their own needs." Ultimately,
present and future needs comprise a plethora of rights to be addressed,
and the
small sample covered in this article is neither meant to be viewed as
exclusive, nor as indicative of a hierarchy of rights, for that in
itself would
violate the fundamentals of human rights. Instead, view this article as
a
challenge to the industry's most innovative leaders to change the
status quo of
this evolving industry. Here are some guidelines to help you factor
these
rights into strategic decision-making. Incorporate a
social element into your vision Whether setting
up a new business or updating an existing one, it is critical that you
operate
in an entirely transparent and sustainable manner. This means standing
clear of
any form of discrimination, corruption, exploitation and unlawful
practice,
even in areas where the local law is poorly enforced. This can best be
accomplished by organizing a series of workshops with employees,
customers, and
authoritative figures from the local community (trade unions, local
government,
activist groups, etc.). Start by (re)evaluating your vision and
mission, taking
on board input, criticism and advice from all your stakeholders before
communicating these through your entire organization. Your vision and
mission
must run through the veins of your organization whilst tailored to the
community in question. One example is
the conception of Nairobi's luxury boutique hotel, Tribe Hotel, which
was built
with a strong consideration to helping locals overcome a turbulent
reality
caused by tribalism in the region. According to Mark Somen, former
General
Manager of the property and Director at sustainability-oriented
consulting firm
Craft House LLC, "by creating one culture among employees
originating
from once feuding tribes, what has been accomplished is remarkable and
is best
reflected by the hotel's vision, or Tribe Philosophy: 'There is only
One Planet
and there is only One Tribe that matters…humankind.'" Set realistic,
measurable and customized goals Selected human
rights initiatives need to be realistic, clearly defined and
measurable. A
clear set of goals allows a company to introduce measurable key
performance
indicators that will set the foundation for your employees to both
monitor
progression and provide timely feedback. Moreover, the ability to track
progress allows for your achievements to be laid out for your customers
and the
media, as well as other key stakeholders. "The different players in
our
industry need to work together to ensure that the entire tourism supply
chain
is considerate and respectful of human rights," explains Simon Pickup,
Sustainable Tourism Manager at UK-based ABTA - the Travel Association
and proprietor
of the Travelife Sustainability System certification for tourism
businesses -
"the real challenge relates to how we identify the risks associated
with
human rights in tourism for each different place around the world, and
then how
to address concerns in a proactive and reactive way keeping in mind the
differences in social and political cultures." Spanish hotel
chain Riu Hotels and Resorts recently included a 'Social' section on
their
website as a platform to outline their human rights initiatives. Each
initiative is then subdivided into four parts: Commitments, Objectives,
Measures, and Achievements. According to Catalina Alemany, Corporate
Sustainability Manager at RIU, "we know that our impact will not be
huge, but structuring our efforts the way we have in collaboration with
ABTA
will allow us to maximize the impact we do have on social
sustainability and
human rights." Travel service
provider Kuoni has taken human rights inclusion and tracking to the
next level
across its vertically integrated supply chain. Through the development
of its
Human Rights Impact Assessment, impact is defined, its progress
tracked, and
results analyzed across the entire supply chain, from which sustainable
and
scalable solutions may be subsequently implemented. Continue to
update and implement sustainability standards across your entire value
chain Social and
environmental standards need to form an integral part of your company's
standard operating procedures (SOPs). The Rezidor Hotel Group has set
up a
Responsible Business (RB) organization with a RB coordinator on each
property.
Their main remit is to both coordinate compliance with RB related SOPs
and head
up a property‐based RB committee that is tasked with coming up with
local
environmental, community and ethics initiatives - all within Rezidor's
award
winning RB framework: Think Planet, Think People and Think Together. "Standards
should be clear and concise so that employees may immediately
understand them,
and they should be mandatory for all employees to learn and become part
of
daily operations," explains Inge Huijbrechts, VP Responsible
Business
for the company. "That's why we train all our employees on Living
and
Leading Responsible Business, including on topics like our Code of
Business
Ethics and Child Protection. We maintain open lines of communication
across all
departments companywide - a key to ensuring our RB values and Code of
Business
Ethics are lived by." Rezidor has secured this line of
communication
by setting up a website available in 11 languages where employees can
address
any concerns. Top management then follows up on each case, taking
corrective
and disciplinary action as needed. Commit to the
development of infrastructure & education in communities you are
operating
in. It is vital that
you help local communities implement and manage their own
infrastructure when
updating your own. In doing so, not only are you leading the drive
towards more
sustainable technologies and processes and hence being branded as a
sustainability champion within the industry, but you are also assisting
in
subsequent community development that will increase the attractiveness
of the
destination you are operating in. One paradigm was
highlighted by Mark Watson, Director of UK-based non-profit Tourism
Concern, as
follows: "in many tourist hot spots situated in coastal regions like
Goa or on islands like Zanzibar, access to clean water and sanitation
is a key
ingredient to advancing health in the region and will result in a
higher life
expectancy and larger participation from the poorest individuals in
host
communities." A prerequisite for tourists, clean and safe water and
sanitation infrastructure also raises the level of destination
attractiveness.
In many communities, a small investment in the implementation or
improvement of
basic water and sanitation has the potential of advancing both social
equality
and economic growth. Improved health
alongside time saved from no longer being ill or having to make long,
dangerous
journeys to go and fetch water give more people basic access and time
for
education, opening the door to a wealth of opportunities. Whether
through the
sponsorship of a local school, the participation in an international
training
partnership, or through an in-house traineeship program, taking
initiative in
this regard will help develop a more suitable and sustainable workforce
for
your business to source its talent from. The consequential decrease in
outsourcing professional labour from abroad will promote organic and
continuous
development of locals within your organization. Take a zero
tolerance approach to sub-standard working conditions As a standard, it
is critical that all employees are working in a safe and just
environment, free
of abuse, fairly compensated for the work they are conducting, and with
easy and
affordable access to such things as healthcare, hygiene and education -
whether
through the company or a government programme. Any substandard working
conditions or human rights violations within the industry should be
firmly
rejected and swiftly corrected. As emphasized by
Stephen Farrant, Director of the International Tourism Partnership
(ITP),
"all hotel and tourism businesses, no matter where they operate,
should
employ a strategy of conscious vigilance towards human trafficking and
sexual
exploitation; while instances are relatively rare given the scale of
the
industry, they do arise from time to time - as they do in all industry
sectors
- in spite of the best corporate policies, so there is no room for
complacency."
The Youth Career Initiative, one of ITP's flagship programs, works with
international hotel companies to train disadvantaged youth around the
world and
has an 85% success rate with regards to participants going on to either
be
recruited by the service industry or continuing in their education. In
cooperation with the US State Department, the YCI programme now
includes
survivors of human trafficking who account for up to 20% of the total
mix of
participants in certain markets. It also makes sure that these
individuals are
not identified as one of the victims to their peers in the programme,
but
rather 'just one of the intake', while also providing them access to
the kinds
of additional support that trafficking survivors need as they continue
their
process of re-integration into mainstream society. Include your
human rights approach and community development initiatives in
marketing
efforts By operating in a
completely transparent and socially sustainable manner you are reducing
potentially expensive legal, operational and reputational risks, and
thus
giving your organization the opportunity to attract and retain better
talent
that will drive your bottom line. By successfully
leading sustainable change in the industry, you are setting your
organization
up to become a best practice example that its marketing team can then
take to
the bank. While this should not be your main motivation, it is a great
reward
for doing what is right, and makes complete business sense. "Good
hospitality is about profit, great hospitality is about being a good
neighbour"
- words spoken by my former colleague Ritu Primlani (HVS Sustainable
Services,
New Delhi). This message should be central to each and every decision
made
across all sectors of the hospitality industry, for at the end of the
day your
business is only as sustainable as the community it operates in. This article was
first published in HOTELS magazine. Read here. About the author: Michael Estabrook joined HVS Executive Search in London as an Associate in 2012, and focuses on executive search and mid-management recruitment assignments across Europe, Middle East and Africa. Prior to joining HVS, he completed his Masters of Science in Hospitality Management at Rotterdam School of Management (Erasmus University) in The Netherlands. Passionate about sustainability and corporate responsibility in the service industry, with a special interest in human rights, Michael's master's thesis explored the flawed relationship between tourism development and base-of-the-pyramid development, and how a focus on water and sanitation can be used to establish a mutually reinforcing relationship between the two. He also holds a Bachelors of Science in International Hospitality Management with a specialization in Entrepreneurship from the Ecole hôtelière de Lausanne in Switzerland. |
Contact: Michael Estabrook Associate HVS Executive Search, London +44 (20) 7065-1394 [email protected] |