Setting up a workable organisational structure for your hospitality property is imperative for a successful operation.

So, you had made a conscious decision in the past to operate a hotel, resort, inn, or bed & breakfast.

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The idea of being your own boss was really appealing.

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Spending days chatting with your guests, sharing stories, being known far and wide as the friendly innkeeper.

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It was a delightful and romantic vision.

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To be fair, occasionally you do have days like that but more often than not you find yourself in your office; taking care of the accounting; replacing staff; trying to put a marketing plan in place. Trying to keep your rooms filled.

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Your time for chit-chatting with guests is becoming less and less. You’re feeling tired but the idea of taking a day off is not always possible.

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You feel like you have to be on site or things will fall apart. The romantic vision you had when you began now feels like an unrealistic notion.

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 Does any of this sound familiar?

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If you can relate to any of this, then it is time for you to step back and re-evaluate your properties organisational structure.

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So, how do you do this?

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The first thing you’re going to have to do is change your mindset.

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This may sound a little strange but instead of thinking of yourself as the friendly innkeeper, think of yourself as a franchise owner.

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You might be thinking that sounds a little strange and that you have no intention of ever of ever becoming a franchise owner, but hear me out.

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Think of some of the most successful franchises in the world. The first one that pops into many people’s mind is McDonald’s, so let’s use it as an example.

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You can travel to the four corners of this planet and find a McDonald’s and you know when you stop in and order a Big Mac or French fries, the food is going to be the same.

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Why is this?

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Because the checks and balances in place are consistent in every McDonald’s thus creating a Functional Organizational Structure.

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If you buy a hamburger in Düsseldorf Germany or Toronto Canada, you will see the pickles are placed on the meat exactly the same way.

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This is not done by accident.

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Much time and research went into determining how the pickles should be placed on the burger so they would not slide off.

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Now think of your property. You are now a franchisor and you want an Effective Organizational Structure.

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What are the different job titles or responsibilities that are required for your business to run effectively? Think big picture, think corporation.

  • You need a President and Chief Operating Officer who is responsible for the overall success of your properties objective. And they report to the shareholders.

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  • You need a Vice-President/Marketing. They are accountable for finding customers and new ways of providing those customers with a wonderful experience. They report to the COO.

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  • Vice-President/Operations, accountable for keeping customers by delivering to them what is promised by Marketing. They are to do this with great efficiency so as to provide the customer with amazing service. They also report to the COO.

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  • Vice-President/Finance, responsible for supporting both Marketing and Operations in the success of their accountabilities by reaching the company’s profitability benchmarks, and by securing money whenever it’s called for. They report to the COO.

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  • A Sales Manager and Advertising/Research Manager who reports to the Vice President/Marketing.

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  • Production Manager, Service Manager, and Facilities Manager who report to the Vice-President/Operations.

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  • Accounts Receivable Manager and Accounts Payable Manager who reports to the Vice-President/Finance. 

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Now, you might be thinking “Gerry, are you insane, I only have a small property and I don’t want to or can’t afford to hire these many people.”

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Well, the good news is you don’t have to.

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Take a look at your property and decide, in a perfect world, the positions you would like to have and what their responsibilities would be.

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You assign positions to yourself and to your current staff. More than likely, you will be taking on multiple roles.

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Probably, most of the roles.

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Once that is done, you’re going to have to look at each of these roles individually because they are all going to require their own operations manual. This manual will include the responsibilities assigned to each of the roles along with complete checklists of what is required to complete each responsibility.

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This operations manual will be a tool you will use in the future for anyone who steps into that specific role.

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Over time these manuals will help your organisation to run like a well-oiled machine.

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Now, this might sound like a lot of work, and it is, but you have to start somewhere.

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If you would like to learn more tips & techniques for operating a hospitality property,

I highly recommend you Join our “6 Day Challenge 

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How Do I Set Up A Organizational Structure?

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Whether you are operating a one-room bed & breakfast or a 500 room luxury hotel, there is always something new you could learn and this 6 Day Challenge will take you step by step through the process of operating a successful hospitality property and it’s 100% Free!

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You can sign up below:

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https://keystonehpd.com/6-day-challenge-log-in-here/

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If you like this video, let me know in the comment section below, your thought, and if you are going to implement any of these procedures.

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If you know someone who might benefit from the video, please feel free to share it and make sure you hit that like button or dislike button if you didn’t like it. I appreciate the feedback.

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Be sure to subscribe and then hit the little bell to be notified when I upload a new video.

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Thank you so much for your attention and let’s continue to work together to put heads in your beds.

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Until next time, have a fun day.