Beware of Departmental Siloing

“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.

Read More

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


About RezNext

RezNext is the world’s only true Real-Time Distribution Management Solution provider. It empowers hotels to adopt a distribution strategy that simplifies the complex global distribution environment and makes it understandable and manageable. It is integrated with revenue management, operating intelligence and powered with reputation management insights. RezNext’s portfolio of offerings include Rate & Channel Manager, Revenue Management, Online Reputation Management, Website Designing and Web Booking Engine, Mobile solutions, Central Reservation System, Business Intelligence, Property Management System (PMS) two-way connect, GDS and OTA Interface and Loyalty & Feedback Management. Our growing range of solutions can be access by hospitality properties across market segment and size, such as independent hotels, chain hotels, business hotels, resorts, clubs, service and limited service apartments, spas, restaurants and others.
This entry was posted in Hospitality, Hospitality Industry, Travel and tagged , , , , , , , , . Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s