“Departmental siloing” often happens when an organization has reached a large size, so much so that there are already too many intradepartmental relationships to keep track of, leaving no free time or memory for having stimulating talks with members of another team. This also happens when silos are created through defining departments as profit centers; members of a department are then encouraged to silo their department for personal benefit.
At this stage, big doesn’t always mean good. Every great corporate culture requires a certain degree of cross-pollination. That is to say, sometimes you can get too close to a problem, losing sight of the big picture, and in order to alleviate this “silo thinking” you need outside ideas and opinions. Sometimes, it takes a naïve perspective to see things plain as day.
First, you need to eliminate any financial silo that is created through bonus structures. If business demands this sort of compensation, build your incentive to blend interdepartmental success. Next, encourage your team to look at RevPOR, not just RevPAR. In looking at the broader picture, analysis will include ancillary revenue, not just the rooms’ revenue.
By: Larry Mogelonsky (One of the “Top 25 Extraordinary Minds” recognized by HSMAI, 2013)
The above is an extract of the original article available at: 4Hoteliers