Topics>>NH Hotels: Revenue Management Transformation - Adopting Systems Effectively

NH Hotels: Revenue Management Transformation - Adopting Systems Effectively

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  1. Brighton7:42
  2. Ferrari6:31
  3. Porsche2:00
  4. Tunisia6:08
  5. chain system3:07
  6. Complete structural6:15
  7. changes system8:03
  8. price segment1:56
  9. adopting new technologies9:48
Sun, 4 Dec 2016|

Neville Isaac, Director RM Training and Development, NH Hotels

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Automatically Generated Transcript (may not be 100% accurate)

We see a lot of data today we see a lot about systems it's not about technology. Today we're talking about adopting systems effectively puts but I'm going to talk about I'm not going to talk about data. I'm going to talk about people. And I for the something very stadium delicious present data which has just gave was process process process. We NNH. Have just been through a change of our revenue management system this year. And I just want to give you a bit of insight into how we did this and what we learned of so this could be useful for. Our applications. An H just a bit about us we've seen our vision this morning is here showed us. We have hotels in all these countries and all of our hotels have a revenue management system so. We. Throughout this year changed the system in a 400 hotels and obvious destinations it was a big project. And we learnt a lot from. I can think best three phases here. First what I would call by then the actual implementation itself and then the third base and I'd have trouble think I want to call this but I'd say to follow acceptance. Again we're really talking about people here. By him first. This is really important. You need a champion and we were really lucky because our champion was a sea yeah we presented this the CEO and he really bought into completely. And he helped us to remove obstacles so. We're big company SEC we got 19000 employees we've got a lot of departments. We need these funds to the aligned for a product like this so we need 82 the M board may have other priorities also. When he sells the aboard because some things may change in the way we price segment so we knew that on board. And the Porsche from. In this case the C overdue could have another champion really helped us when we came up against. Obstacles to getting the system implemented in the best way possible. You need to choose a provider who's gonna a company you on the journey as well and we were very luck reflects. When we decided to change our system we. Went through an RFB process etc. except for a one of the criteria that we used was. How will you help us. To implement this successfully and our in our company. And that was very important for us because obviously we have they're big rob what we need to provide it to come along with us and help us into really. Have some input into getting this successfully implemented and we were very lucky man respect we've had a huge amount of support come from our provider. Create excitement and expectation this was really really important and it sounds kind of trivial but it's not trivial. We made a big amount of noise about bids Haywood decides chain system we decided for this reason misusing this reason it's going to be fantastic. We actually organised what we call buying in meetings where we went round to all of our business units and we said hey we're gonna do this it's fantastic we're going to do because of their sandwiches going to be this is what's gonna happen. Is as before we started. So. This really works. It's actually quite funny because. Someone commented to us that. Hey you make such a big noise about this this is going to be excessive success in this assistance other great everyone's so excited that it's gonna work. The system is great weather what. And as I said maker's much noise as possible. We talked everyone all departments all business units everyone before we started this is what we're gonna do this is why we're doing. And make it fun. We tie it reorganise a lot of events we had in our telemedicine we had a volleyball tournament sponsored by the provider. We had amassed guards we had newsletters we made videos we talk some of our champions on trips. And it made a huge difference to the success of the implementation. A huge difference and funny enough. I was actually NNH one medium implemented the previous system. And we've kind of did it really quickly and wish I really. Communicating very well without really taking people on board and it that was one of the reasons why that system never really took hold the waiver for new ones. So by him is very very important you know set the groundwork only try to implement its not gonna work when you think it. Implementation side. Kind of divided into three things processes people and training so again I'm not talking about data here not about functionality is I'm talking about. Your organisation. First what we talk about what new functionality we're gonna have what do we have that we didn't have before. And obviously what am I gonna do with it. I decided that I want to change my system I decided because of these reasons because it gives me this capability which I didn't have before. I need to know what to do with it because there's no point spending a lot of money and a lot of time if I don't have. Clearly our processes of how I'm going to use this information. So in our case we have to really review all of our processes to make sure that we were able to use the new function that's gonna decision making. Because if not spend a lot of money and you know gonna benefactor. People do I have the right people this is also very important and NH has been through. Transformation over the last few years. We're in their third year of a five year transformation plan. Part of that plan and I talked about this Tunisia either travel actually was. Re organising the revenue management organisation was in the company and that was. Complete structural reorganisation and a complete review of the kind of profile of people that we needed. And I think you have to do this before you start buying lots of call new technology because if you don't. Fabio mentioned this morning Eric mentioned a slight different way it's like buying a Ferrari and getting the keys to a child. It if you need people who were able to exploit. The data that you're using. Also who else needs to know if this is about just a revenue management team and I think one of the key takeaways from. Today is that. Organisations. Really need to work very closely together in order to take advantage of all the data that's available so. We didn't hold this was gonna silo everyone's involved. We spoke to everyone was hotel operations is both a sales society. A commerce except except it was very important. Dip everyone was involved. Men training. Amid the least important powers training in some respects is press here press here I don't wanna telly just what button to press. I really wants to tell you why. This is going to chase away we go strategy and the and how you need to approach. So we've we spent a lot of time room and I'm effort on the training part as well. And we did just train as Acela revenue team we train other people we get access to other people their systems training Brighton managers. So it was really. Up. And all round way of implementing. Then. Once you've implemented. A face like Paula sentence as as a say. I had some doubts about this firstly metrics. If you. Decides changes system and you decide that you think you will have extra opportunities. I'm optimistic system you need to be able to measure whether in fact what you thought was gonna happen is going to happen. And you need to have met exposing you to decide is before you start actually. And then you need to make sure that you can measure. What you want to measure. Because a sovereign wealth thinking well this is gonna have its impact if you can't measure how do you know. So. We have a huge manner metrics that we used for base. In our new revenue management system you can actually see by user. When they log in how long is then in the system which pages they visited or how long they were each page. Which funds they pressed. So we have a very detailed information about whether the system. Is being used by the people should be using. And that leads to obviously another bit. It's a bit of current status half had. We you know we made what we really try to make this very enthusiastic you know this is a great system this is the reason we change how a lot of funny games fun and games mass starts but. We also. When we took this decision it was because we thought there was an opportunity to make more money and we need to make sure the people using so a metrics help if it's so aggressive bidder fair but realistic. And I really think in an organisation like cars which has large. You need both things. It's inevitable. In conclusion. There's classical stuff. As we have seen this alot of pull stuff going on it's very tempting. But before you start. Looking at adopting new systems adopting new technologies. You have to think about your organisation. How will I have to change my organisation to take advantage of this what I need to do to make sure that one sided with technology far. I make more money I have more opportunity. So I think that's the most important take away from their site or say it's about people and mistakes people and processes. And if you get it right this huge huge opportunities of the month with items going. Figuring out.