Hilton Hotel's Innovation: Strategies for Future Hospitality Growth

This report provides an in-depth analysis of the Hilton Hotel's approach to innovation within the hospitality industry, focusing on future trends and technological advancements. It examines the requirements for innovation in 2020 and beyond, including software as a service, easy check-in processes, remote room controls, workflow management tools, and wearable technology. The report also explores the organization's innovation capabilities, such as business strategies, intrapreneurship, and building innovative cultures, including strategies like the innovation gallery and customer-focused approaches. Furthermore, it highlights the importance of innovation for enhancing customer experience, driving profitability, and creating a competitive advantage for Hilton in the global market. The report also touches upon the importance of building growth through a systematic approach and implementing an innovation system to stay ahead.

MANAGING INNOVATION
IN BUSINESS

EXECUTIVE SUMMARY
The current report has discussed the future of hospitality industry in 2020 and beyond.
For which, a renowned firm named Hilton hotel has been taken into consideration. Considering
this, it has assessed the innovative requirements of hospitality industry with a special context to
Hilton that needs to ascertain the current requirement of the customers. This in turn is assistive in
developing products that meets the identified preferences of the consumers as a way of meeting
their existent needs and demands as a way of enhancing their profitability.

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
FUTURE INDUSTRY 2020 AND BEYOND................................................................................1
REQUIREMENTS OF INNOVATION 2020 AND BEYOND......................................................3
FUTURE INNOVATION CAPABILITIES FOR THE ORGANISATION...................................4
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9

INTRODUCTION
Hospitality industry considers innovation and new technology implementation to consist
updated information. invention strategy helps to make successful operations in changing industry
in order to look forward. With the help of new emerging trends, more focus will be required on
new things. It helps to concentrate on fundamental aspects with additional complementary
systems (Phillips, Barnes and Schegg, 2017). thus, this industry is also taking advantage of
advance technology and modern equipment’s.
Present report is based on Hilton hotel where consideration of all operations and
functions for more expansion will be done to gain significant work performances. Recently, the
selected business operates in several international areas to successfully foster and gain more
creative results. In all over the world, it is more innovative that assists to grow more significant
results. With the help of effective considerations, it can be stated that in 2017-18, high
profitability generated by company in term of innovations (Hilton’s huge year of growth and
innovation revealed, 2018).
For gaining an insight information on the present report, it covers future hospitality
industry 2020 and beyond. Furthermore, it includes innovation capabilities for organisation to
gain more profitability and productivity. In this context, expansion is conserved in order to
develop systematic work performance that would increases significant wok.
FUTURE INDUSTRY 2020 AND BEYOND
Future growth of Hilton hotel in 2020 would try to expand in various nations by
increasing and developing its customer base. Technology development programs also needed to
add with assessment of customers’ demands and it helps to explore industrial changes
dynamically. There are several actions considered which will be adopted in 2020 to make
innovative operations. Some decisions are made for 2020 by the leaders of Hilton Group for its
future growth.
They are as follows: Software as a service in hospitality: In order to expand successful operations for future,
hospitality industry must reduce administrative and IT issues for Hilton. As they are
unable to implement advanced and technical tools. Hence, they need to consider software
that expand operations in hospitality sector. Software reduces manpower and improves
1

customer service. Thus, installation of software is helpful for this company. On the basis
of consideration of innovation, advanced results will be gained successfully.
Furthermore, in Hilton hotel, it would be beneficial to integrate an automated system
(Šerić, Gil-Saura and Ruiz-Molina, 2014). Easy check in: It is also important to make easier technology inventions to deal with
larger audience. With this regard, appropriate check-in must be developed to obtain with
successful keys. Technology plays an important role with innovative context. Over past
decades, smooth functioning must be checked through considering successful adoption of
the latest trends in hospitality industry. On this basis, it can be said that effectiveness also
develops to promote more systematic activities (Sehitoglu, Ross and Köseoglu, 2017).
 Remote control in the room: Another element for future development is remote control
in room. Consequently, Hilton hotel can invent new rooms with remote control system on
phone tablet on TV and on gates. New innovations will allow them take a stand in the
competitive market.
 Workflow management tools in hospitality industry: In the era of continuous innovation
in hospitality industry, workflow management tools are some software that take complete
control of routine processes and organise them in a managerial way. These are Zapier,
Process maker, Nintex. They can help in hospitality industry by following uncompleted
tasks and providing sales reports, cash inflows, emails etc. Expanded operation: at the end of 2020 it will hire additional 20,000 spouses,
dependents, veterans and caregivers. Rooms will have open shelves and minimalist
designs (Wang, 2016). Wearable technology: Wearable technology is also adopted by various industries. These
devices are worn on clothes through which employees can get directly connected to
customers and listen to their needs. Thus, it more repetition of customers increases
profitability and sustainability of Hilton. (Phillips, Barnes and Schegg, 2017).
 Free Wi-Fi in hotel rooms: Nowadays, innovation in hospitality industry with free Wi-
Fi, free breakfast, special babies care, etc. are widely used. Free Wi-Fi helped saves
internet usage of customers. Therefore, in 2020 hotel industry will implement free access
to Wi-Fi for its customers. Furthermore, they also provide entertainment services to feel
2

better customers at new places. It is the best way to attract maximum number of
customers.
REQUIREMENTS OF INNOVATION 2020 AND BEYOND
Requirement of invention is essential for organisation because of earnings profits and
future growth of business. Therefore, Hilton hotel's operators create and develop innovation.
They need innovation for transformation from smart home to modern hotel in 2020. Innovation
is important for success, development and future growth of successful business. This will help
them compete in market and create unique enviroment for firm in 2020 (Richard, 2017).
Opening innovation gallery: They announced that they will open innovation gallery in
hotel. This would include incubator and empirical showcase. It would showcase a mixture of
technologies, design components as well as dining conceptions. An incubator and experiential
showcase in innovation gallery will help in capturing customer's attrcation. They will launch
many new initiatives such as innovation gallery, connected room concept, Hilton Honours app
and loyalty programs partnership with Amazon (Hilton Launches Incubator to Fast Track Guest
Innovation., 2017).
Mobile process: They will make efforts to improve efficiencies of technology and also
look for automatic check in- check out procedures. They will adopt free Wi-Fi in rooms of hotel
(Zopiatis and Theocharous, 2018). Digital keys should be there so that customer's requirement
can be easily fulfilled. These keys would help them log in securely in rooms.
Personalised Brand: Hoteliers focused on completely personalized services with
customers. Therefore, they are undertaking innovation in their business. With help of invention,
Hilton develop competitive advantages for future. The requirement for innovation in 2020 for
increasing productivity and encouraging profitability of Hilton is important to operate at a
worldwide level. (Neuhofer, Buhalis and Ladkin, 2015). Hotel will attain success through social
channels. With the help of staff and social marketing, it will enhance prosperity of their business.
It will achieve success by targeting customers from all over the globe. Organization will create
innovation in societal media merchandising which increase the reputation of business.
Hilton operators adopts inventive culture for positive environment in the firm.
Progression in culture which is meaningful for growth of business. Innovation is important
requirement for enhancing guests’ experience and creating more efficient hotel operations. With
the help of creativity, they will increase business and keep down costs without compromising
3

quality. Through advancement, they will create an incomparable competitive advantage.
Creation is essential for converting fresh ideas and thoughts into existing as well as new products
and services that customers wants. Innovation will help for growth and development of Hilton in
terms of customers experiences, profits and revenues (Oliver and Jorre de St Jorre, 2018).
FUTURE INNOVATION CAPABILITIES FOR THE ORGANISATION
It is important for Hilton to expand operations in different markets so that it can grow and
sustain for long term in the market. Besides this, Hilton is having capabilities to expand by
developing strategies and services. This will help in attracting more customers and increasing
sales and profits. Hilton is having a strong brand image in hospitality sector. So they can create a
large customer base (Boulter and Hall, 2015).
Organization build capabilities of innovations for productivity and wealth of their
business.
There are three modes which helps in invention building.
Business strategies: It is important to develop plans for company which includes
technology, customer services, market related strategies etc. Operators of Hilton is ensuring that
high level of business approaches remains relevant with innovation. They are using advanced
technology in their hotels. In this application strategies are also considered in plans of actions.
These schemes help in modifying cultures and growth.
Intrapreneures: An entrepreneur is the one who is operating large firm to drive values
from ideas but intrapreneur is the person who is promoting products' development and marketing
(Fraj, Matute and Melero, 2015). This person is helping to build capabilities of invention for
future of an organization. An individual gives support and protection for development of services
in terms of hotel. Intrapreneur helps in developing capabilities for innovations in a firm.
Build innovation cultures: It is also essential to build innovative culture in business.
Employees are giving new ideas and thoughts for working in creative way at workplace.
There are some factors which includes in build innovation appreciation such as:
 It is necessary to implement and development in business strategy which create an
innovative environment (Tang, Wang and Tang, 2015).
4

 Invention process is developing which is clear, comprehensive and secure. Single
creativity can be uncertain. Through this strategy, it is easy to understand that how to
implement innovation.
 Staffing strategies are based on knowledge, skills and abilities, so that it helps in building
innovation. It is important for reviewing staffing policies, incentives plan of actions and
construction to increase executives and employees’ involvement.
 It is necessary for innovation to define and measures the leadership competencies
throughout Hilton (Kandampully, Zhang and Bilgihan, 2015).
Therefore, hotel will improve and develop these schemes for building innovative culture
Through these strategies, it is to build invention capabilities for Hilton. They can appoint
consultant for testing business plan of actions, recognized intrapreneur and build invention
cultures. Organisation adopts other approaches for developing capabilities in innovation in their
business such as:
Building growth: Innovation is beneficial for growth and success of business. It is the
most essential technique which is used for development. To build invention, company follows a
systematic way of implementing change. Organization gives special tasks or activities for
creating innovation of changes in business culture.
The business strategy Model is based on four elements like:
 In this model, it includes details of types of innovation which are following by Hilton
along with objectives and programmes for attaining them.
 In the hotel, technology based innovation related to customers’ services are included in
this model.
 Government control of management structure and scale of innovation which impacts the
growth.
 To build leadership abilities right people are assigned crucial roles.
Innovation System: It is necessary to build capabilities of inventions for organization. It
includes approaches that is minimum viable innovation system (MVIS). This concept helps in
learning new things in start-ups. Minimum viable products allow enterprise to create and
establish new methods. Therefore, Hilton will follow this concept for developing innovation
5

capabilities in their organization. The existing, formulating and processing ideas will modify by
MVIS (Nieves, Quintana and Osorio, 2016).
This system will create innovation in services. Therefore, Hilton will follow method
which includes deciding gap in between development, objectives and current operations, creating
invention efforts, identifying things to explore to match with customers’ needs and wants, setting
up projects which will be completing by creating small and dedicated innovation team and
modifying ideas for ensuring right performance as well as leadership in an organization.
Creating customers focus: Hilton is focused on customers’ services and creating
strategies. Company makes sure for processing innovation in customised activities. For
designing customers focus, it is necessary to develop inventions in the organization
(Kandampully, Bilgihan and Zhang, 2016). There are different types of people in market, so that
organization provides services according to their needs and wants. Firm operates as per the
terms and agreement which are unique and provide different experience to guests. The benefits
of creating customers focus is to identify desire, fulfilment of demand, values and experiences of
people.
For improving their market image and expanding business of hotel Hilton, various
innovative strategies can be used by managers which will lay impact on their growth. Invention
means adopting unique practices that would attract more consumers. Methods and techniques or
any new theory should be implemented according to needs and demands of customers and keen
analysis of market should also be done by organisation. They should provide products and
services which provides them competitive advantage. (Nieves and Quintana, 2018).
Senior management of Hotel Hilton should be involved in re-thinking about their
business strategies. Plan of action should be updated by using advanced techniques or
technology. Tactics should be made on the basis of strategic goals implemented by the company.
Business schemes should be made in a way which makes people enjoy new products or services.
Creative process can also help in improving their good will in market. Managers should act as
leaders who would enhance or encourage employees to come up with unique ideas in order to
grow their business or market share. This will also enhance relationship between senior and
lower level (Tang, Wang and Tang, 2015).
For augmenting innovation in organisation, board of management should also be
involved in creating a modern cultural background in company. Open discussion should be held
6

by industry so as all the workers' come up with new ideas that can enhance image of the
company. Managers can also allow participants in decision making process which would also
make their tasks easier. Entrepreneurship should also be encouraged by organisation so that
employees can think about taking risks and make decisions according to that. This would also
help in building healthy and friendly relations among them (Kandampully, Zhang and Bilgihan,
2015).
In order to implement innovative practice in Hotel Hilton, they should focus on building
customers focused organisation. Company should be involved in hiring employees who are
highly skilled and trained with sufficient knowledge. Creativity can also be used in marketing or
promotional activities which are undertaken by this industry. For example, they can use social
media channels like Facebook, Instagram, linked-in for communicating information about their
businesses. They can also make use of various other media like radio and television in order to
grow their business. Print media can also be used by them.
Innovation can also be used by hotel Hilton in practising sales promotional activities like
building public relations. They can also organise seminars or workshops to get connected with
their customers. Company can ask for feedbacks on social media channels or even inquire them
in public meetings (Nieves and Quintana, 2018). This will help them in knowing their flaws and
can also help them in working over them. Using of new data software for providing their services
can also act as innovation activities in order to increase their customers. All these practices can
help in increasing goodwill and improving market share of Hotel Hilton.
CONCLUSION
From this report, it can be concluded that competitive environment that includes
innovation and technology in Hilton. It can be discussed that the future of industry in 2020 will
require innovation and inventions. It includes more productivity and profitability for future
growth. Organization expanded innovation in services, technology, work management, invention
in hardware which are used in hotel, free Wi-Fi in hotel rooms. This kind of inventions helps in
the future. Company requires many new methods which includes mobile process, opening
innovation gallery, automate check in-check out process.
Furthermore, it can be concluded that system approach for increasing capabilities of
innovation in Hilton. It includes different business strategy that involves the intrapreneurs by
building innovative cultures, increasing growth, creating customers focus and inventive system.
7

Developing marketing strategy through social media and following different techniques, methods
and theories of innovation in the organization. Such type of innovation is also helpful in
expansion to a great extent.
Moreover, it can be concluded that Minimum Viable Innovation System (MVIS) which is
used for alteration in ideas and thoughts for invention in an organization. This system helps in
making and adjusting purpose of inventions in company. This scheme provides various concepts
of innovation for developing capabilities of invention for Hilton. It is also discussed that
different business strategies which is used for developing innovative culture that includes types
of innovation, government control in terms of management structures. It also involved
intrapreneur is the person who helps to promoting innovation and build its capabilities for
organization. It includes focus on customer based services to increase profitability as well as
productivity. Hilton develops innovation techniques to promote via social media tools of
networking like Facebook, Instagram etc. Through these techniques, the firm is attracting the
customer’s experiences. These innovations are known to assist in increasing the goodwill and
market share of the cited entity.
8

REFERENCES
Books and Journals
Boulter, A. and Hall, R., 2015. Wireless network requirements for the successful implementation
of automation and other innovative technologies in open-pit mining. International
Journal of Mining, Reclamation and Environment. 29(5). pp.368-379.
Fraj, E., Matute, J. and Melero, I., 2015. Environmental strategies and organizational
competitiveness in the hotel industry: The role of learning and innovation as
determinants of environmental success. Tourism Management. 46. pp.30-42.
Kandampully, J., Bilgihan, A. and Zhang, T. C., 2016. Developing a people-technology hybrids
model to unleash innovation and creativity: The new hospitality frontier. Journal of
Hospitality and Tourism Management. 29. pp.154-164.
Kandampully, J., Zhang, T. and Bilgihan, A., 2015. Customer loyalty: a review and future
directions with a special focus on the hospitality industry. International Journal of
Contemporary Hospitality Management. 27(3). pp.379-414.
Neuhofer, B., Buhalis, D. and Ladkin, A., 2015. Smart technologies for personalized
experiences: a case study in the hospitality domain. Electronic Markets. 25(3). pp.243-
254.
Nieves, J. and Quintana, A., 2018. Human resource practices and innovation in the hotel
industry: The mediating role of human capital. Tourism and Hospitality Research. 18(1).
pp.72-83.
Nieves, J., Quintana, A. and Osorio, J., 2016. Organizational knowledge, dynamic capabilities
and innovation in the hotel industry. Tourism and Hospitality Research. 16(2). pp.158-
171.
Oliver, B. and Jorre de St Jorre, T., 2018. Graduate attributes for 2020 and beyond:
recommendations for Australian higher education providers. Higher Education Research
& Development. 37(4). pp.821-836.
Phillips, P., Barnes, S. and Schegg, R., 2017. Understanding the impact of online reviews on
hotel performance: an empirical analysis. Journal of Travel Research. 56(2). pp.235-
249.
Richard, B., 2017. Hotel chains: survival strategies for a dynamic future. Journal of Tourism
Futures. 3(1). pp.56-65.
Sehitoglu, Y., Ross, G. and Köseoglu, M.A., 2017. Business ethics research in the hospitality
industry: topics, methods and trends. International Journal of Bibliometrics in Business
and Management. 1(1). pp.80-96.
Šerić, M., Gil-Saura, I. and Ruiz-Molina, M. E., 2014. How can integrated marketing
communications and advanced technology influence the creation of customer-based
brand equity? Evidence from the hospitality industry. International Journal of
Hospitality Management. 39. pp.144-156.
Tang, T. W., Wang, M. C. H. and Tang, Y. Y., 2015. Developing service innovation capability in
the hotel industry. Service Business. 9(1). pp.97-113.
Wang, C. J., 2016. Does leader-member exchange enhance performance in the hospitality
industry? The mediating roles of task motivation and creativity. International Journal of
Contemporary Hospitality Management. 28(5). pp.969-987.
9

Zopiatis, A. and Theocharous, A.L., 2018. PRAXIS: The determining element of innovation
behavior in the hospitality industry. Journal of Hospitality and Tourism
Management. 35. pp.9-16.
Online
Hilton Launches Incubator to Fast Track Guest Innovation. 2017. [ O n l i n e ] A v a i l a b l e
t h r o u g h : < h t t p : / / n e w s r o o m . h i l t o n . c o m / i n d e x . c f m / n e w s / h i l t o n -
l a u n c e s - i n c u b a t o r - t o - f a s t t r a c k - g u e s t - i n n o v a t i o n s > .
Hilton’s huge year of growth and innovation revealed. 2018. [ O n l i n e ] A v a i l a b l e t h r o u g h :
<https://www.hotelmanagement.com.au/2018/01/23/hiltons-huge-year-growth-
innovation-revealed/>.
10