Navigating the Future: Personal Insights on HR Trends in Hospitality for 2024

Source: www.shangri-la.com Written by: Hein Dames, Vice President of HR at Shangri-La Group, MEIA region

As I ponder what’s to come in 2024, I’m drawn to consider the last few years when the world was swept up in what seemed like a relentless tornado of transformative change ravaging the industry I love. The hospitality sector has always been known for its dynamic nature, a required feature when our mandate is to serve the fast-paced communities we inhabit. Yet, after the turmoil, as the industry strives to adapt to the new normal, we’ve been given an opportunity to embrace this new era with human resources being no exception, prompted to transcend traditional norms, procedures, and boundaries. This year is not just another milestone; it’s a developmental timestamp for the game-changing community-first programs, methodologies, innovations, technology, and perhaps the most pressing of all, sustainability, that were ushered into our collective strategies, all of which will continue to shape the hospitality trends over the coming year.

With our MEIA (Middle East, Europe, India, Indian Ocean and Americas) division consisting of over 5,413colleagues, responsible for 3678 keys in 14 destinations across 13 cities in 10 countries worldwide from India through to Canada, I’m able to share some insights on what I see as the most important trends affecting the hospitality industry over the coming year and lend some solutions on how companies can adapt their strategies to tackle the challenges ahead.

Embracing Technology in Talent Acquisition

Just as we saw AI seep into our societal DNA, affecting virtually every possible aspect of life as we know it, so did it permeate HR. The integration of AI-driven tools for tasks like outreach and job postings, resume screening, and initial interviews, has not only streamlined our industry-wide recruitment process but also enriched the candidate experience companies can offer. This shift towards technology has had a profound effect on productivity, enabling superior analytical efficiency of applications, ensuring hospitality providers find the best fit for them, based on skills, experience, and cultural alignment. It’s a jump in efficiency that dually champions fairness and diversity across hiring practices; a ‘Win-Win’ scenario that will get better still, as these AI tools sharpen their ‘Skills’ exponentially over time, and our teams, providers, and applicants get more proficient at using them effectively.

Prioritizing Employee Well-being

All these changes at both the commercial and wider societal level have come at an emotional price with increased distress and insecurity affecting the world’s working populations; an unavoidable human condition we expect to snowball, though we all endeavor to alleviate. Employee well-being is a paramount concern and a key feature on every meeting agenda with HR teams diligently working year-round to build and manage supportive, human-centric communities for employees. Progressive organizations are actively integrating inclusive practices, empowering individuals with disabilities, and nimbly creating environments that value diversity. Our collaboration with the Noida Deaf Society at Shangri-La Eros New Delhi is an example of this, demonstrating how to create an inclusive environment that values diversity and promotes social responsibility despite the perceived challenges.

Succession Planning and Talent Development

Succession planning and talent development has become strategic imperatives as the competitive, highly mobile markets such as the Gulf struggle with employee retention. This trend isn’t going anywhere and demands that companies can identify potential leaders early and nurture them through targeted development programs that project the career path rather than the individual role. Given the weight of this competitive pressure, HR teams need to ensure they have a steady pipeline of skilled individuals ready and able to assume these leadership roles.

At Shangri-La, we “Own Our Success” by keeping an agile approach towards talent development. Our 3-pronged strategy involves hybrid leadership interventions for Junior Leaders and Managers administered on property, senior leadership development to transform existing high-potential leaders into future Resident Managers and General Managers and coaching and mentoring partnerships within the region that allow future leaders to navigate the operational complexities with ease. In 2023, as part of our senior leadership development value proposition, 7 out of 9 high-potential colleagues that were a part of the Resident Manager development program were promoted to either a Resident Manager or Director of Operations role, which proved the program successful.

Our portfolio from India to Canada entails 14 properties and in 2023, we were able to successfully mobilize 14 key talents within the region through group transfers and provide valuable learning opportunities for 45 colleagues through cross-exposure at sister hotels. Our newest development in the Kingdom of Saudi Arabia, Shangri-La Jeddah, set a benchmark in providing career opportunities to local Saudi women. Today, 45% of the local Saudi workforce in the property comprises women. A highlight is the laundry team where 9 out of 11 team members are local Saudi women, upskilled in partnership with Diversey to understand the complexity and value of laundry operations in hotels. These initiatives underscore our commitment to nurturing future hospitality leaders and building a strong human capital to support our vision of being the best-loved hospitality group.

Sustainability Initiatives

Sustainability continues to be ‘The Buzzword’ as the central pillar of industry-wide operations. Hospitality Groups are firing on all cylinders to find new ways of supporting the environmental and cultural legacies it rightly demands, as the world grapples with Net Zero targets and increasingly green-minded populations. From effective recycling and repurposing to reducing waste-to-landfill, to wildlife and marine conservation programs such as Shangri-La’s own Turtle Ranger program in Oman which actively protects and studies two species of Turtle. There’s been a notable shift in the consumer psyche too, with the rise in conscious consumers looking only to brands that align with their values and beliefs. This is particularly evident in the Millennial and Gen Z age groups who are already the most valuable consumer segments for the hospitality industry. They are driven to experience new and unique things and to share their worldly experiences through social media. For employers who are attentive, this trend gives rise to new opportunities to contribute to environmental and cultural conservation and exchange. Like with Shangri-La’s Frankincense Sommelier in Oman, who helps to conserve the country’s rich legacy with Frankincense by educating guests on its historical significance to Oman and the Middle East region, and the soon-to-be Seafood Sommelier whose mission it will be to support sustainable fishing practices, help source the best quality seafood for our restaurants and educate our guests on the complex nuances of Oman’s marine life and cultural heritage with the sea. Although these are just a few examples, they illustrate how the industry is creating new employment and professional development opportunities aligned with future sustainable trends.

Show Your Brand Cares through CSR

Widespread CSR initiatives have become a cornerstone of our industry’s ethos. From providing aid in global crises to supporting local communities, these efforts now more than ever reflect a brand’s commitment to societal well-being. Employees are customers themselves, and in a candidate-driven market, companies will increasingly need to demonstrate their values and effectively narrate these through storytelling to attract the savvy and capable workforce they need. Whether it’s building temporary homes in disaster-stricken areas, like the ‘Friendship City’ project in Hatay where under the guidance of our Chief Human Resources Officer and other senior Shangri-La executives we built 300 homes for families affected by the tragic 2023 earthquake in Türkiyé or bringing joy to children facing critical illnesses through our ongoing partnership with the Make-A-Wish Foundation, CSR is about aligning with causes that matter to your people and finding ways to support them in a meaningful way.

As we navigate through 2024, the approach to HR and CSR in the hospitality industry is evolving into a legacy characterized by positive impact and responsible stewardship. This commitment to excellence, innovation, and responsibility, with a focus on our own and wider communities’ well-being, is what will continue to drive our industry forward, as we strive to roll out the red carpet and set new standards, through our people who are shaping its future.

Navigating the Future: Personal Insights on HR Trends in Hospitality for 2024