Hyatt Configures Organization for Future Performance and Growth
CHICAGO—Mark Hoplamazian, president and chief executive officer of Hyatt Hotels Corporation announced that Hyatt will realign its corporate and regional operations to enhance organizational effectiveness and adaptability. READER COMMENTS
The organizational evolution, expected to be completed by the end of September 2012, is designed to position Hyatt to adapt quickly and effectively to guest and hotel owner needs during the expansion and growth the company anticipates across all of its brands in multiple markets over the next several years.
“Hyatt has made tremendous progress in the last few years,” Hoplamazian said in an announcement. “Looking ahead, we aim to be more adaptable by pushing more decision-making to those who interact directly with our guests and hotel owners, better aligning our development and operating activities in the field and ensuring that all of our critical functions are properly and efficiently resourced. I believe these organizational changes will further release our associates’ natural talent and energy in ways that will continue to increase preference for our brands.”
As part of the realignment, Hyatt will establish three operating regions that will be supported by a newly formed Global Operations Center. The heads of each of the regions and of the Global Operations Center will report to Hoplamazian. The scope of activities of the operating regions—Asia, the Americas (includes North America, the Caribbean, and Latin America), and Europe/Africa/Middle East (EAME)—is being expanded to include increased responsibility for and involvement in the Hyatt’s development efforts. The operating regions will draw upon resources, standards, policies, best practices and tools provided by the Global Operations Center to support existing hotel needs and future growth.
The Global Operations Center will ensure operating efficiency in the roll-out of new innovations developed at the company and will unify the brand’s operations. In addition, the Global Operations Center will oversee Hyatt’s information technology resources, worldwide sales organization, and call centers and ensure that those resources are effectively supporting the company’s needs.
A newly formed Real Estate and Capital Strategy group, reporting to Hoplamazian, will be responsible for implementing Hyatt’s overall capital strategy, managing its hotel asset base and providing support to Hyatt’s development professionals around the world. This group will bring a comprehensive approach to the Hyatt’s efforts to recycle hotel real estate assets and to manage capital deployment in furtherance of its expansion plans. The Real Estate and Capital Strategy group will oversee all investments made by the company in hotel properties on a global basis and pursue new investment models to allow third party developers to derive more value from their commitment to build Hyatt-branded hotels.