WHY IS THE 60 YEAR OLD INTERNATIONAL HOTEL ASSOCIATION RELEVANT AND WHY DOES THE WHOLE HOSPITALITY INDUSTRY NOT ACT GLOBALLY?
"Think Local. Act Local. Pretend Global".
I have recently completed two gruelling but enjoyable years as CEO of the International Hotel & Restaurant Association (IH&RA), the association that is the only voice on the global stage representing every hotel & restaurant in the world, whether they like it or not.
Most who should belong however, do not!!
IH&RA is indeed an effective and necessary voice for the industry that acts as a fierce watchdog and highly pro-active force for hotel owners and operators. Check their website at www.ih-ra.com
Unfortunately their membership dues rarely cover their basic operating costs. They will not and can not say that! They must suffer in silence. Each year, loyal Directors pay from their own personal pockets to cover the basic operating costs. Meanwhile, the industry enjoys unprecedented profits and ignores its responsibilities to their causes.
Representing every national hotel and restaurant association in the world at the United Nations and other International agencies, which formally recognises IH&RA as the 'official voice', it is in fact only supported financially by a minority. Some of those that are not members are major developed countries like Spain, Italy, Brazil and Mexico. Ironically and amazingly, other loyal countries that are strong and active paying members through thick and thin include Iraq, Sri Lanka, Peru and Latvia. Areas that are poorly represented by paying members include Africa, South America and SE Asia although all benefit, although not as much as if they they belonged.
Is it fair that some of the biggest countries (and chains) in the world are subsidised by the poorest? Is this the way that capitalism works?
Hotel & Restaurant Chains participate by framing the way in which the IH&RA uses its muscle, providing expertise to ensure that the voice is current, relevant and powerful. Of the 10 largest hotel companies in the world, only 4 are paying members........the rest benefit and do not pay. Of the 10 largest restaurant companies in the world, only 2 are paying members.......the rest benefit and do not pay.
Does this make sense? Is this a responsible industry that cares about the future? Are the issues that you deal with being dealt with correctly?
It is highly relevant to observe that there are a number of small and medium sized companies that are long-standing loyal members and it is interesting to note that most of them are led by owners, rather than employees. It is in fact the owners that see the benefits. They see the work that IH&RA does effects their bottom line. They also see the need to focus on tomorrow, to take responsibility for contributing........ not only focusing on shareholder value today. They are the responsible businessmen and women who write cheques for IH&RA at the end of the year so they can pay their bills.
It is safe to say that those that are not members still ultimately benefit from the outcome of the work IH&RA does. It is also safe to say that those that do belong do benefit additionally from actively 'associating'. This is the act by which members interact with other members for mutual benefit. This is global hospitality communications. This is the fuel with which an association is driven. This is a fuel which is gradually diminuishing from hospitality as 'non-hospitality-brand-managers' assume leadership and eliminate what they consider to be non-critical costs.
This is an industry crime which must be solved. It was not a crime which I or my predecessors could solve when we were CEOs. We were representing the industry, we were their voice whether they belonged or not. If they did not, we were still urging them to join, still representing them officially, still speaking on their behalf, still expecting our telephone and EMail messages to be returned, still pretending they were on our team.
The IH&RA has been the industry voice for 60 years, it has relentlessly fought the industry's battles, spoken on its behalf, travelled to the source of the trouble, lobbied, fought, created positions, gained support, strategised, consulted, consorted, monitored, conventioned and seminared, moderated, spoken, networked and battled special interests, government agencies, international organisations and the media.
This is a Case Study....it is not actually a Completed Project. It will not be until we, as an industry, have established the IH&RA as a strong and viable organisation supported by every eligible chain and country in the world, whether they like it or not.
After all, we are one of the richest industries in the world. Our 'voice' can not falter.
But so long as the industry leaders continue to think that 'international' is everything else that is outside my country, the hope of a truly global industry dialogue will be left to those few who truly have a vision.
If you want to know if your chain or country is actually a member or if you wish to assist or know why you should or how you can, please contact me at [email protected]
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