Hospitality Think Tank

For this second edition of Coffee Break with the Hospitality Think Tank, our Members share their viewpoints and expertise on operating agreements and how they can be used to enforce sustainability initiatives in the hospitality industry.

There is collective consensus that operating agreements are a good tool for sustainability enforcement in hotels, but there needs to be alignment between each stakeholders, the right mindset and an industry effort to align on sustainability standards to make it happen and avoid making the contract more expensive and unfair competition.

Sustainability should be a core value for hotel companies and operating agreements can be a game changer for sustainability efforts, where annexes can be added focusing on sustainability, environmental and social concerns.

As part of operating agreements’ documentation, design and brand standards can be areas of interest to highlight and advise on sustainable design initiatives that can make money for owners and have a trackable return on investment. As an example, the Hyatt Hotel in Atlanta installed a recycling facility in their laundry system and is now making money from it (listen to the full conversation for more ideas). Another direction would be to follow up on what clients are asking for in terms of sustainable design options and finding ways to make it economically sustainable. Inspiration can also be found by collaborating with other industries to set trends and best practices.

Implementing sustainable practices in hotels is often at the charge of operations, which means employees. Including sustainability initiatives in contracts and job descriptions to incentivize owners and staff to invest in sustainable solutions, training and upskilling staff to increase awareness and engagement in sustainable practices are potential ways to improve sustainability measures application. There is a need for leaders and drivers in implementing sustainable practices and adding champions to roles can increase engagement.

Overall, there is a need for a framework and specific clauses to be agreed upon by the industry to push towards sustainable practices and lead the way towards a more sustainable future.

Full conversation here:

With the participation of Mattias Innocenti (Accor), Hylton Lipkin (Banyan Tree), Andrew Miele (Nomade), Sam-Erik Ruttmann (Studio Puisto) and Celine Vadam (WE(i) Think)