Case Study: Sustainable Management Practices in Hyatt Hospitality

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Case Study
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This case study investigates the effectiveness of sustainable management practices within the hospitality sector, focusing on Hyatt Hotels as a specific example. It begins by defining sustainable management as the incorporation of social, economic, and environmental factors into business decisions, highlighting the importance of reducing the hospitality industry's environmental impact. The study aims to understand sustainable management concepts, identify the benefits of its adoption, analyze various sustainable practices, and ascertain associated challenges. Key areas explored include energy conservation, waste reduction, and the use of local and organic products. The research delves into Hyatt's specific initiatives, such as reducing plastic use, promoting water conservation, and implementing sustainable packaging solutions. Through literature review and findings analysis, the study examines the cost savings, economic incentives, and reputational advantages of sustainable practices, while also addressing the obstacles faced by hospitality organizations in their pursuit of sustainability. The study concludes by providing recommendations for improving sustainable management practices within the hospitality industry.
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Research project
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Table of Contents
Chapter 1: Introduction....................................................................................................................3
Aim and Objectives of research.......................................................................................................3
Research background:......................................................................................................................4
Background of the organisation:......................................................................................................4
Chapter 2: Literature Review...........................................................................................................4
Introduction............................................................................................................................4
Main content...........................................................................................................................5
Chapter 3: Research methodology:................................................................................................12
Chapter 4: Findings and analysis...................................................................................................19
INTERPRETATION......................................................................................................................19
Chapter 5: Conclusion and RECOMMENDATIONS...................................................................31
CONCLUSION .............................................................................................................................32
References .....................................................................................................................................34
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Aim: “To investigate the effectiveness of sustainable management practices in
hospitality organisation”. A case study on Hyatt hotel
Chapter 1: Introduction
The concept of the Sustainability is tending to reflect about the ability to endure and
survive in an environment for a long time. In business parlance, sustainable management is
incorporation of social, economic and environmental factors for business decisions. There are
many different sustainability efforts that are being made in the present setting that includes
energy conversation. Waste reduction, promotion of sustainable means of transportation,
choosing of products with minimum impact on environment and further careful selection of local
food products. All these are some of the measures that are supporting the process of having
sustainable business practices for long term in hospitality sector. In the present situation hotels
are accountable to some extend for one percent global emissions. This number may continue to
rise as the hotel demand is increasing so, it becomes important to implement certain
sustainability initiatives in order to mitigate the negative impact.
Aim and Objectives of research
Aim: “To investigate the effectiveness of sustainable management practices in hospitality
organisation”. A case study on Hyatt hotel
Objectives:
1. To understand the concept of Sustainable Management.
2. To identify the benefits of adopting sustainable management for a hospitality organisation.
3. To analyse different sustainable management practices that can be adopted and their
effectiveness for an organisation.
4. To ascertain various challenges associated with sustainable management facing by hospitality
organisation.
Questions:
What is the basic concept of Sustainable Management in Hospitality industry?
What are some of the benefits of adopting sustainable management for a hospitality
organisation?
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Identify some of the different sustainable management practices that can be adopted and
their effectiveness in case of Hyatt hotel?
What are various challenges associated with sustainable management facing by
hospitality organisation?
Research background:
The basic concept of sustainability is related with using of resources that plays a vital role
in the hospitality industry. The success of hospitality organisations is depended on the way they
are working towards preserving of cultural attractions and natural resources that can compel
tourist for visiting the destinations. Hospitality organisations can adopt such sustainable business
strategies so that there can be improvement of efficiency and further there can be attraction of
increasing number of customers.
Significance of the research:
On the social front there is a remarkable shift that has taken place in recent times it is
demonstrated by the use of various CSR practices. Present research report will be very useful for
setting the base of further research in analysing the sustainability practise in context of
hospitality business organisations. This research work is of highly significance for both
professional and personal development of the researcher in upcoming future time period. Beside
this, the reason behind the significance of current project is also comprises of a fact that the hotel
industry is leading a higher level of threats for environment in many ways through leading higher
use of resources as well as creating pollution. Thus, it is significant and important to effectively
analysis and review about the effectiveness of sustainable management practices in hospitality
organisation.
Background of the organisation:
Hyatt Hotels Corporation is also known as Hyatt hotels and resorts it is a American
multinational hospitality brand that is having its headquarters in Chicago and they are working
towards managing the franchises of luxury business resorts, hotels and vacation properties.
Further, it has been seen that the Hyatt Hotels is one of the leading hotel chains that offer
luxurious services and authentic hospitality. Bars, restaurants, spacious rooms with advanced
amenities and modern facilities, uninterrupted Wi-Fi connection, suitable transport choice and a
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wide range of food and beverage option are vital part of every Hyatt hotel. Beside this, it also
offers option of event celebration like banquet, weddings, business meetings, get together etc.
All its employees are well-trained to receive and serve its customers with high efficiency and
warmth. Hyatt Hotels have an international presence as they are spread over various countries in
the world comprises of its hotel in Germany, UAE, India, Japan, Australia and United States
Atlanta,
Research rationale:
The present report is going to help in the process of developing a detail understanding of
the different aspects that is associated with sustainability. In present scenario there is focus on
development of researching skills and the skills of collecting information which is going to help
in long term individual and professional development. The conducting and undertaking of the
current project is seemed rationale and significant as the Sustainable management has become an
important concept for all business organisation as it supports and takes into account the fact that
irresponsible economic actions make it difficult to preserve the division of labor and a liveable
planet in the long run. Along with this, the selection of current topic is also significant as it is
concerned with people’s long-term well-being, including the business itself through investigate
the effectiveness of sustainable management practices in hospitality organisation. Along with
this, the selection of current project is also rationale and suitable as supports the better
implication of sustainable management that supports and aims to find answers that how the needs
of today can be meet in effective manner without harming future generations’ natural and social
resources. Beside this, the undertaking and conducting of the current project also seemed
rationale and significant view point of the researcher as it supports improvement in the key skill
and competency level based on having practical implication of a project. Beside this, the current
project is also significant and rationale for other researchers and scholars as it provides a
systematic investigation about the effectiveness of sustainable management practices in
hospitality organisation.
Chapter 2: Literature Review
Introduction
Literature review is basically written and overview by the major writings and other
sources on the selected topic. There are different sources which are used to make effective
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sources, articles, books and different websites. This section is basically a secondary research on
the chosen topic and tries to achieve different perspective of the sustainable management within
the hospitality industry (Aboramadan and Karatepe, 2021). Sustainability is the mindful sources
to work and achieve effective resources that would be work and make effective sources in
different segments. This section helps in identifying the major challenges of sustainable
management and practices within the hospitality industry.
Main content
What is the basic concept of Sustainable Management in Hospitality industry?
As per the view of Anon (2021), it can be defined as the application of sustainable
activities in various categories of Agriculture, society, personal life, businesses and managing in
a way that it will result in providing benefits to future generations and current generations. It
includes various assumptions like resources are finite and attempts to meet current needs without
compromising with future generations. The Three pillars which come under sustainability are
profits, people and planet. It involves management of processes and initiatives within
organizations. It includes various factors including goal maturation, investor concerns and
present versus future needs (Amrutha and Geetha, 2021). Managers in order to broaden the view
of stakeholder should consider employees, customers, suppliers and local communities.
Management of sustainability includes controlling the usage of resources in a way that it
provides continuous and equitable opportunities for future and present generations without
affecting the environment. There are various reasons why environmentalists focus on
management of natural resources, it includes minimum wastage, Disposal of waste, Controlled
exploitation, Equitable Distribution. Nowadays, its very important for companies and people to
secure and protect good resources for upcoming generations. This fact can’t be denied that
exploiting environment has become the biggest reason of concern for present generations. People
have started paying more attention to protecting and saving environment and natural resources.
In Hospitality sectors, it is supported by saving natural resources and protecting the environment.
In order to increase profits management need to think ways while working in a sustainable
framework. In recent times , there is a increase in continuous competition and growth among
hospitality sector to attract more customers and increase revenue (Channa and et.al., 2021). as
per the survey conducted in year 2019 on the survey of airlines & global hotel chains that
includes Hyatt, Hilton, Accor, Marriott and scandic that revealed the biggest concerns about the
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overall impact of climatic change in the future business. It resulted into issues that is inadequate
water supply, cyclones, hurricanes, rising sea levels, flooding and high mean temperatures.
Creativity plays a very important role in hotel industries and helps organisations to
survive during tough competition. Sustainability plays a very important role in hotel industries as
most of the tourism relies on cultural and natural resources that helps in attracting tourists and is
driven to growth and development. Practices relating to sustainability helps hospitality to stand
out more as today people care more about sustainability and they expects companies to follow
culturally, socially and environmentally sound practices. In order to stand out in the
environment, hospitality sector need to focus on key aspects like reducing waste, conserving
energy and using organic products (The Concept of Sustainable Development, 2021). There are
various benefits of sustainability in hospitality sectors which includes business incentives for
hospitality and attracting more customers. In context to Hyatt Hotel, the company is focusing on
reducing through various initiatives which includes, Replacing large bottles with small bottles,
increasing the count of water stations for guests to refill reusable bottles and serving water in
carafes during meetings and events (Dani, Tiwari and Negi, 2021). Other sustainable practices
includes use of recyclable packaging and focusing on less wastage and use of single-use water
bottles. Hyatt also focuses on less plastic pollution and also motivates customers, guests and
employees to be aware of using plastic items critically. Sustainability is the basic concept which
is related with creation of sustainable futures, there transformation of waste into fertilizer and
less food wastage. These re the three major concern that is adopted by hospitality industry in the
process of managing the process of resource utilisation. Apart from this the organisational also
focus on innovation packaging solutions that is also major concern of reducing the overall food
wastage (Morley, 2017). There is multi layer packaging that is done and helps in prevention of
leakage by development of lightweight solution with high amount of sealing integrity. In Hyatt
hotel the management is also focussing on having higher quality of food packaging by breaking
down of complex, low quality waste plastics in their original state.
What are some of the benefits of adopting sustainable management for a hospitality
organisation?
As per the view of Stottler (2019), the hospitality sector has make a dramatic
environmental impact through the use of energy and water to use of consumable to provide a
durable goods in applicable factors (The Importance of Sustainability in the Hospitality Industry,
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2019). Within the hotel industry, the major importance or benefits for using sustainable
management is to work effectively and make natural elements to work and make effective
through which is inspired by the multiple factors. Some of them are explained below:
Cost Savings: This is always an important factor to drive the factors and make reducing
impact on the operating cost to provide a significant growth to achieve compelling
incentives and growth within the society (Goddard, Skrla and Salloum, 2017). This make
a significant growth in cost reduction method and appropriate strategies that can be
helpful for achieve the investing in more effective and operational procedures (He,
Morrison and Zhang, 2021).
Economic incentives: Many of the hospitality industry to make a variety of economic
incentives to achieve encourage the development process for getting more effective
strategies. It is helpful for generalising the statement and work on the major challenges
to build the green environment (Chevalier and Buckles,, 2019).
Regulatory affairs: There are different current and new trendy environment which are
helpful for generalising the targeted and make effective focused forces to achieve more
operational and storm water management perspective. It will be helpful for the company
to work and handle the environment which is beneficial growth to health and safety
sector (Hyde and Bagdan, 2021). However, the management wide range present and
future legislative to make an impact on the hotel design and perspective to design their
building and different operational approaches. It will be helpful for the company to work
and conclude different perspective to work and use regulatory affairs.
Appropriate guest experience: A number of guest and visitors within the hospitality
industry will be helpful for the company as they become the reason for investing in
different environmental sectors. It is very important to work and make systematic growth
in to the market and make an impact on the effective guest experience. Most of the guest
become the asset for the company and make systematic growth into the development of
the hotel and achieve effective growth (Hsu, Chang and Luo, 2017). In order to work and
make lighting, furnishing, cleaner for make effective products to make a good impression
on customers for affect the growth in occupancy and ADR models.
Corporate brand image: It is basically adopting for managing sustainable corporate
culture that can provide a distinct to make advantage in the terms of attracting and
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retaining talent. It will be helpful for the company to provide workforce to achieve
different sector that is useful for make a good image into market. Most of the hospitality
industry to work effectively into the market and achieve growth as the loyal customer's
attraction in different manners (Mishra, Singh and Kumar, 2021). With the help of
appropriate sustainability and commitment will be helpful for generalising the statement
and mind of the employees.
Brand image: Most of the hotel industry is able to use sustainability to perform into the
market and gain more effective brand definition into the more appropriate ways. There
are several brand which have been repositioned to make caters for getting young
generating for more environmental and socially active customers for the effective growth
(Kieras and Just, 2018). This can be said that the use of sustainable development is
effective and appropriate to work and make plans into the action approach.
Apart from the above mentioned aspects the most important benefit that is
accomplishment from using of the sustainable business practises in Hyatt hotel is related with
achievement of higher competitive advantage. There are many other hospitality brands that are
offering Hyatt high amount of threat and can affect its overall functioning in long run. Many
hotel brands that includes Hilton hotel, lemon tree group of hotels, Premier inn hotels have
incorporated the similar level of sustainability platforms in the brand definition. Apart from this
there is requisitioning of brand to communicate with the younger generation n a more sociality
active customers and environmental contribution (Kara, 2018) . The chosen hotel have also
needed to work towards putting of their plans into action that is related with having sustainable
business practises that leads to transformational of their present brand image and reputation into
higher profitability in long run.
Identify some of the different sustainable management practices that can be adopted and their
effectiveness in case of Hyatt hotel?
According to the view point of Fredericks (2021), there are different activities which are
helpful for use and make more effective approach to work over the company and make
significant reduce in the environmental impact. Sustainable development in the business is
effective and helpful to achieve growth to work and make their essential services to achieve to
work and make growth to satisfy the customer's need. Hyatt hotel use different practices which
are adopted by them and increase their effectiveness into the industry (Sustainable Hotel Ideas:
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25 Ways to Go Green, 2021). Some of the strategies which are useful and make a strong impact
on the hotel operations and growth are explain below:
Targetting low hanging fruit to make a new start: There is the chance to make ozone-
friendly activities that are helpful for generalising the improvement and consider different
perspectives. The respective hotel cut down the cost by reducing the plastic water bottles by
offering the rewards on reusable branded bottles (Rossidis, Belias and Vasiliadis, 2021). They
further think for opening a new water bottle filling station in the lobby. That recycling options
and strategies are helpful for generalising the statement and work to manage appropriate growth
and segments into the market. It is work for recycling options for make an easy spot to manage
different segments to work and make frequent growth into the hotel industry.
Make new hiring: Hyatt hotel is using appropriate growth in hiring their new employees.
To make new phone calls for make an interview with the new candidates rather than face to face
round. As this will help the hotel to cut down the fossil fuels and make appropriate growth in
lengthy employees segment to link the documents to provide access in the home computers
(Held, 2019). With the growth in different employees to make electronic growth in providing
format and make access on the computers to work effectively and manage the data in addressing
effective hard copy resumes. With the help of new hiring process, the hotel and their
management team are able to work and provide systematic growth into the market and
understand the daily operations in different platform.
Focus on efficiency: This is what the hotel is following in their day to day activities.
Which is useful for make a green and corporative culture. That provides a serving range to make
growth and check in to keyless entry for different perspective (Hitt and Duane Ireland, 2017). It
is helpful for minimize the over-staffing and make additional carbon and make emission to make
causes. So, for the growth in respective growth to make systematic change and focus on the
efficiency in different perspective (The Importance of Sustainability in the Hospitality Industry,
2020).
Use resources thoughtfully- Hyatt is committed towards utilising its resources in a
better way and manage the consumption of the natural resources. The premise is now working to
find out the ways to reduce the energy consumption and emission of green house gasses, utilise
less water, dispose less waste in the environment and take more environment friendly decisions.
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The chain also decided to recycle and renovate the waste by setting 40% diversion rate. The
premise is challenging every hotel by choosing the path of sustainability.
Innovate and Inspire- This goal of sustainability reflects the commitment of the chain
who provoked the hearts, hands and minds of the the industrialists to choose the path of
environmental sustainability of the whole world. This includes many steps such as innovating a
mechanism to raise the funds to support innovation and promote ideation of sustainable solutions
in the whole chain and mentioned it into the Hyatt portfolio as well as in the whole hospitality
industry.
All of the above mentioned practices are helpful for generalising the statement and work
on the major practices to work in different sectors. It is basically helpful for generalising the
statement and make different practices to work effectively into the hotel and achieve their
objectives that are related to sustainability and their management practices (Yılmaz and Anasori,
2021). The company uses different type of corporative strategies that are discussed above and it
is considered as one of the most effective and appropriate use of technologies. Premier inn hotel
uses bowman's strategic clock method to managing their sustainable risk, strategic positioning
and uses of different methods and growth of market segmentation to analyse systematic growth.
It will further provide a significant and appropriate development in strengthening the brand, use
digital platform, operational control and scale advantages in more effective and different formats.
Their main intention is to provide attractive offers in core market of UK and being applicable in
the society to manage basic information about sustainability.
What are various challenges associated with sustainable management facing by hospitality
organisation?
As per the view points of sharma (2018), Over past decades, the hospitality sector had
focused on maintaining a sustainable environment in the organisation as it involves development
of hotel and its operations which includes economic, environmental and social issues.
Sustainability plays a very important role and is a main reason of concern faced by world.
Hospitality industry includes various factors that affects its operations and impacts its
environment including use of durable and consumable goods, energy and water consumption and
hazardous waste creation. Environmentalists explain that there are number of issues or
environmental problems that occur due to pressure caused by interaction in local environment.
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There are number of issues relating to environmental and sustainability in hospitality sector
which involves-
Water Usage – It is main reason of worry in hospitality sector as there is lot of water
wastage from pools and long guest showers. When it comes to restaurants and cafeterias
they use water for dishes and these machines are not that efficient to save water.
Garbage Wastage – It involves items that are not recyclable and creates a lot of trash
when a company prints maps and agendas which can either decrease or increase the trash
produced which can scum the environment.
Energy Usage – Usage of energy impacts all organizations in the hospitality sector which
involves gas used by resorts, tourism and electricity used by resorts, hotels, and
restaurants.
Waste is generated through disposal of appliances, paper, batteries, furniture and equipments.
Sustainability helps environment to save money by reducing waste and improving quality of
lives, preserving natural resources and protecting ecosystem. In recent times, Green technology
has developed so well in affordable rates and various hotels have started to use these new green
development projects. This projects are based on technology and uses alternate source of energy
such as wind, solar, wind etc. Also number of travellers has increased with large numbers and
thus creating a pressure on the environment. Environmental technologies focuses on achieving
better performance with better operational procedures and resulting in cost efficiency. In addition
to that Hotel sectors should start using green technology in various ways to reduce consumption
of water, installation of low flow shower heads and use of sensor activated taps in bathrooms
and kitchen (Why sustainability is an important factor in hospitality industry, 2018).
From the above made analysis it can be said that challenges that will arise in the process
of implementation of strategies is associated with resistance to change as frequent changes may
affect the functioning and present working of employees that can lead to difficulty in the process
of managing this process of implementation strategies. Apart from this there may be issues
related to requirement of resources and limited availability of resources can again affect this
process of implementing the changes of future sustainable practises in Hyatt hotel. Apart from
this there are also accessibility challenges that will be faced by managers in Hyatt hotel as it is
not easy to have accessibility to improved energy technology that is essential for likelihood
improvement, social security and achievement of required economic growth.
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