The Toga Hotels Balanced Scorecard is a strategic management tool that assists managers to recast strategy in terms of visual measures and targets (Financial, Guest, Quality, F&B & Team.) The scorecard provides a visual framework for sharing these measures with the entire Toga Hotels Team.
The scorecard measures both lag & lead indicators - Financial indicators are a lag indicator benchmarking historic performance (e.g. last month’s Gross Operating Profit) and Guest service, the processes we use, and team development are lead indicators indicating likely business success in the future (e.g. do we have a pipeline of future leaders?)
The Challenge: Over time, the Toga Hotels Balanced Scorecard has evolved to meet the changing needs of our business. As our business continues to evolve, consider how the Balanced Scorecard needs to change, which measures need to be added, removed or changed and how this will drive improved performance.
The hotel food and beverage sector has seen turbulent times over recent years however, with an upturn already noticeable; operators with a quality and unique offering in the restaurant, bar and event spaces are poised to see considerable growth in the coming years.
A large proportion of new properties and brands entering the Australian market offer either limited or no food and beverage service at all. On the other end of the spectrum are full-service hotels with multiple restaurants, lounges, and banquet facilities. For these hotels, the offering of food and beverage is not just a source of revenue but an amenity used to position the property within the marketplace. The bottom line – the accepted target for a full service Food and Beverage department is to exceed a net operating profit of 20%.
The Challenge: Develop an idea for a re-invigorated F&B concept that will increase profitability of Toga Hotel’s Food & Beverage operations and take advantage of current food & beverage consumer trends.
Emerging developments in technology and connectivity are influencing the way our guests work and play and as such must influence the design of the guest environment and the way we do business. There are a number of emerging hotel technology trends including but not limited to:
• Proliferation of personal electronic devices (smartphones, tablets etc)
• Centralised and personalised in-room control of media, lighting and temperature
• Self Service check-in kiosks
• Smart Phone Room Access & control
• Social Media connectivity/engagement before, during and after stay
• Interactive digital concierge displays
The Challenge: How should Toga Hotels respond to these emerging trends when considering the design of new hotel rooms, lobbies and public spaces? How would this differ between the different Toga Hotel’s brands?
Trying to get people’s attention is next to impossible in the modern business world. Trying to get information to every Team Member is extremely challenging. Some will listen, some will hear but misunderstand and some will ignore altogether and later complain, ‘But nobody told me’.
With a global presence and geographically dispersed locations, this challenge is compounded at Toga Hotels by the need to reach the large proportion of our team members without dedicated company workstations, email addresses and phone numbers.
As Toga Hotels continues to grow its global footprint and enter new and far-away locations it is essential that we develop a platform that will allow us to continue to communicate effectively across the group.
The Challenge: Develop a strategy/platform to improve communication between Toga Town, the Hotels and all Toga Team Members.
Loyalty programs are everywhere in business. We interact with them multiple times almost every day—whether shopping at a grocery store, buying a cup of coffee, flying on an airline, staying at a hotel, or paying a phone bill.
The benefits of loyalty programs are:
• Greater Customer Knowledge
• Increased Customer Retention
• Differentiated Service and Brand Equity
• Improved Profitability
A traditional earn/redeem points based program is costly and although some companies have successfully implemented such programs, many have not achieved their desired goals and the program becomes a cost to the business instead of improving profitability. Although the hospitality industry is generally seen as a loyalty leader, studies have shown that these traditional loyalty programs do not significantly ensure repeat business or improve the hotel group’s profitability.
The Challenge: Develop an idea for a Toga Hotels loyalty program that offers instant reward for loyal guests whilst providing us access to greater customer knowledge and improving profitability that does not have the cost burden of a traditional points based earn/redeem program.