IBM Smarter Workforce Summit Toronto 2015: FRHI Hotels & Resorts presentation, Changing Culture and Driving Performance

1. CHANGING CULTURE & DRIVING
PERFORMANCE
APRIL 30TH , 2015

2. FRHI HOTELS & RESORTS
2
Kyla Devereaux
Director, Learning & Development

3. AGENDA
• The New FRHI Hotels & Resorts
• Our Vision, Mission, Values
• Our Employee Value Proposition
• ONE VOICE Colleague Engagement Survey
3

4. ONE FRHI VIDEO
4

5. FRHI REACHED A TURNING POINT IN 2013…
1998 - 1999 2005
Swissôtel founded by
Nestlé and SwissAir Raffles International
acquired Swissôtel
Raffles founded with opening of
Raffles Hotel, Singapore
1980 2001 2006
Fairmont acquired by
Kingdom and Colony,
merged with Raffles
International
CP Hotels, Princess Hotels
and Fairmont Hotels
combined under Fairmont
name
Colony Capital acquired
Raffles International
Canadian Pacific
(CP) Hotels founded
1886
1887
Fairmont Hotels founded
with opening of Fairmont
San Francisco
1907 2010
2013
Colony Capital sold
interest to affiliate of
Qatar Investment
Authority
June 2013
Major ONE FRHI Reorganization

6. HR ALIGNED TO COMPANY STRATEGY
1.Prepare for Global Growth
2.Drive Current Performance
6

7. 7
Current
Blue text - Hotels
Grey text - Residential
Future
AMERICAS
EUROPE
MIDDLE EAST & AFRICA
CHINA
ASIA PACIFIC
44
8
47
10
33
5
25
1
22
3
26
230
10
18
2
16
9
45
8
45
8
AGGRESSIVE GROWTH STRATEGY
AMERICAS
EUROPE
CHINA
MIDDLE EAST,
AFRICA & INDIA
ASIA PACIFIC
7
Today - 112
2018 – 158 +

8. FRHI “BRANDS” OVERVIEW
11 Hotels
9 Countries
70 Hotels
22 Countries
31 Hotels
18 Countries

9. An oasis for the
well-traveled
offering
emotional
luxury
Turning
moments into
memories
Quality in
Life
We bring
quality to our
guests’ lives
What Makes Our Brands Different: Brand Promises

10. CHANGING THE MAJOR ORGANIZING STRUCTURE
OF THE COMPANY
10
Past
From
By Individual Brand
Future
To
By Geography, Multi-Brand
Americas
Div.
Europe MEAI APAC

11. Vision, Mission, Values

12. A SINGLE VISION
12

13. A SHARED MISSION
13

14. VALUES THAT UNITE US
14

15. Employee Value Proposition

16. 16
DEFINITION: THE EMPLOYEE VALUE PROPOSITION (EVP)
The EVP
The set of attributes that the labor market
and employees perceive as the value they
gain through employment in the
organization.
Source: CEB Corporate Leadership Council:
Refreshing Your Employment Brand 2013.

17. OUR EVP
17

18. ONE FRHI: EMPLOYEE VALUE PROPOSITION
18
CONNECT
We share a pride and a passion for serving our guests,
colleagues and communities. We believe in our
mission and are inspired by sharing and celebrating
stories of excellence.
GROW
We are open to learning and improving every day and
seek to unlock our full potential. We know who we are,
where we stand, and have clear plans in place to help
us develop personally & professionally.
LIVE
We seek a higher quality of life and working here helps
us achieve that goal. We are encouraged and
supported to enrich our overall well-being and achieve
our dreams.

19. 19
MY CONNECT GROW LIVE

20. FRHI TALK: INTERNAL SOCIAL MEDIA SITE
20

21. Colleague Engagement Survey
Confidential – Prepared by IBM

22. Talent
Special Ability
I know what to do & how to do it
Capacity to do it well
+
Engagement
Emotional Commitment
I care about doing it
Performance
Focus on Accomplishment
I bring my “best self” everyday
DRIVING ORGANIZATIONAL PERFORMANCE
=
22

23. New Perspective
Engagement alone is not enough to ensure high performance. Energized
Colleagues must also be enabled by the organizational commitment and practices
to reach their full potential.
NEW HIGH PERFORMANCE ENGAGEMENT MODEL

24. ENGAGEMENT – A DEFINITION
When individual colleagues are truly
engaged, they can tolerate limited
periods of lower work satisfaction and
stay highly committed.
SATISFACTION
Overall, I am extremely satisfied with my hotel/ FRHI
Hotels & Resorts as a great place to work
COMMITMENT
I rarely think about looking for a new job with another
company.
PRIDE
I am proud to work for my hotel/ FRHI Hotels & Resorts
ADVOCACY
I would recommend my hotel/ FRHI Hotels & Resorts as a
great place to work

25. PERFORMANCE ENABLEMENT
BEYOND ENGAGEMENT, PEOPLE NEED CERTAIN FACTORS TO BE HIGH
PERFORMING
QUALITY
• Senior managers at my hotel are committed to providing high quality
products and services to our guest and customers / stakeholders (i.e.
colleagues, guests, owners).
• Where I work, we set clear performance standards for product and service
quality.
GUEST SERVICE
• We regularly use guest/ stakeholder (i.e. colleagues, guests, owners)
feedback to improve our processes.
• Guest/ Stakeholder (i.e. colleagues, guests, owners) problems are dealt with
quickly.
TRAINING
• At my hotel, colleagues receive the training and development needed to
anticipate guests' needs and exceed their expectations/ meet our
stakeholders' (i.e. colleagues, guests, owners) needs..
TEAMWORK
• In my department, colleagues are encouraged to participate in making
decisions that affect their work.
• The people I work with cooperate to get the job done.

26. Performance
Enablement
Index
Colleague
Engagement
Index
INDICES ITEMS
Total 49 Items
+
Open Ended
Comments
SCORE
Organizational
Excellence
Score
DIMENSIONS
Well-being
Leadership
Service
Workplace
Behavior Change
Accountability
SURVEY STRUCTURE

27. 27
ONE VOICE COLLEAGUE ENGAGEMENT PROGRAM
• It’s not a survey, it’s a program!
• Annual and mid- year pulse
survey supported by a formalized,
integrated action planning process
• Annual business impact studies
links colleague engagement to
desired business results.
Team Performance
Service Quality
Guest Satisfaction,
Loyalty, Advocacy
Market Share
Financial Performance
Business Growth
Driving Organization Impact

28. How Did We Do?
Confidential – Prepared by IBM

29. ORGANIZATIONAL EXCELLENCE SCORE (OES)
29
88 86
89
50
60
70
80
90
100
FRHI OVERALL
OES EI PEI
N=35,227
--------
82
--------
80
IBM Top 10% ----
--------
83

30. WHAT DRIVES ENGAGEMENT WITHIN OUR
CULTURE?
Quality of
Life
Vision that
Inspires
Place to
Grow
Desire to
Improve

31. ONE FRHI: CONNECT, GROW, LIVE
• I regularly enjoy a
sense of fun, family or
friendship at work (my
social well-being).
• My job makes good
use of my talents/skills
and abilities (my mental
well-being).
31
87%
87% (+4)
Score - % Percent Favourable (4’s & 5’s)
Score in ( ) - points above IBM Top 10%

32. ONE FRHI: CONNECT, GROW, LIVE
• My hotel provides
me with opportunities
for learning and
development.
• I am satisfied with
my opportunities for
advancement.
• I am encouraged to
develop new and better
ways of serving guests.
32
87% (+7)
78% (+6)
87% (+5)
Score - % Percent Favourable (4’s & 5’s)
Score in ( ) - points above IBM Top 10%

33. ONE FRHI: CONNECT, GROW, LIVE
• Working here helps me
improve my quality of life
and achieve my dreams
(my overall well-being).
• My immediate
supervisor/manager
supports my efforts to
balance my work and
personal life.
33
84%
#1 Global Driver
of Engagement
83%
Score - % Percent Favourable (4’s & 5’s)
Score in ( ) - points above IBM Top 10%

34. VISION/MISSION/VALUES
• Leadership Dimension – 85%
• Accountability Dimension – 85%
• Service Dimension – 88%
34Score - % Percent Favourable (4’s & 5’s)

35. ONE VOICE LEADERSHIP AWARDS
35

36. CUSTOMER SATISFACTION DRIVEN BY AGILITY IN SOLVING GUEST PROBLEMS,
A STRONG SENSE OF PRIDE, AND GUEST-CENTRIC TRAINING.
GSE scores
Guest problems are dealt
with quickly.
Where I work, we set clear
performance standards for product
and service quality.
Senior managers at my hotel are
committed to providing high quality
products and services to our guests
and customers
I am proud of the condition
of our employee facilities.
I am proud to work for my
hotel.
At my hotel, colleagues
get the training and
development needed to
anticipate guests’ needs
and exceed their
expectations.
I would recommend my
hotel as a great place to
work.
Leading predictor
Engagement item
Enablement item
Engagement item
Enablement item
drivers

37. HIGH OES = HIGHER GUEST SATISFACTION INDEX
8.26
8.17
Top 25% Bottom 25%
GSI by OE quartile
Organizational Excellence Score: 79%Organizational Excellence Score: 96%

38. 38
ONE FRHI LAUNCH EVENTS

39. WE ARE ONE FRHI: THE FAIRMONT EMPRESS
39

40. BRINGING OUR CULTURE TO LIFE: VIDEO
40

41. UNITING & FOCUSING 42, 000 COLLEAGUES
41

42. THANK YOU!
Kyla Devereaux
Kyla.devereaux@frhi.com
(416) 874-2734