What changes have you observed and experienced over the course of your career? Which have you liked and disliked?
The industry was very rigidly run in the past by a significant number of imported general managers with European systems. They were more product-oriented than customer-oriented. The industry has grown into a much more customer-sensitive business.
Technology has given us speed and responsiveness. It’s taken some of the personal contact you get from the front desk.
When I entered the business in 1961, about 75 percent of reservations came into the Hotel Roosevelt by U.S. mail, because people couldn’t afford to make a long-distance call until the 800 number was developed.
The guestrooms have changed, the bathrooms, closets are very different. What’s in a room is different. But, fundamentally, the maid still has to make the bed and the linens have to be washed every day.
The global aspect is one of the more significant changes. You didn’t see different races. At the Roosevelt, some account cards had three Xs on them. I went to the sales director and asked what they meant. “Oh, that’s African American groups” he said, though that’s not the term they used. “We can’t book them during the year—only in July and August. We don’t want to mix the groups.” Today, it’s a polyglot of people, no matter where you go. But it took a while.
What I found out going around the world is that everybody has problems and everybody has opportunities. That basically the value systems of people are pretty much the same. Only the leaders are different.
You have either started or headed up at least five major hotel companies. Is there a pattern in terms of what attracted you and to what you wanted to accomplish?
Each one was different going back. I took the Americana job as senior vice president of marketing because I thought it was a great opportunity where I could spread my experience on an international basis. There were some very large conventions and significant international hotels with gaming facilities that I hadn’t experienced before.
I got a call from a headhunter about going into the franchise business, which was Days Inn of America. I had some franchising experience [from Americana and Dunphy], and I thought it would be interesting to become a franchisor. So I brought that customer focus to franchising that wasn’t in their business before, and then we moved that company from 50 hotels to 1,500 over a five-year period. It took my sales skills as well as my operating skills and my customer skills to put that together.
I took that experience into Holiday Inn, which needed an injection of customer relationships. Their franchises were horrible—their policies were anti-franchisee. I had my international experience from Americana that I brought to Holiday Inn’s expansion into other countries. Each experience tended to build on the other.
How have you dealt with the escalating scale of responsibilities with each new position?
Las Vegas Sands is a larger scale from a money standpoint, but it’s not a larger scale from a unit standpoint. The unit scale at Holiday Inn was the largest.
The answer is that the scale has to be handled by the people around you. When you are in it day to day on a small scale, you can do everything yourself, you can touch everything, you can make all the decisions. The bigger you get, the more dependent you are on others to perform.
I can say this about the company [Las Vegas Sands]: I feel like the coach of an NBA team here. Not the coach of a college team. The difference between a college team and an NBA team is the player. Here, I am dealing with people who make more money than I ever made in a single job. They are and they should be at the highest echelon of professionalism and they should have the highest amount of skill. And you manage those people differently—the maturity, the decision-making, responsibility, and the need for freedom, the very way you manage them—that is the difference.