With an economic soft landing predicted for 2017 many hospitality businesses will need to have a foundation built on sound strategy for continued success.
Developing a business strategy is admirable, but executing it is the key.
Based on this, I thought I would try to simplify the essence of strategy for today’s hospitality leaders. One simple strategy is to differentiate our operations via intangible assets. As an example, customer relationship management or new and innovative products and services can provide differentiation from our competitors.
One strategy that has been employed frequently is the “balanced scorecard.” Simply put, this system allows a company to measure budgets and financial measurement devices as well as non-tangible assets such as customer relationships and brand awareness. According to the book “The Strategy-Focused Organization” by Robert S. Kaplan and David P. Norton, “an exclusive reliance on financial measures in a management system causes businesses to do the wrong things.”