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A2040-407 Assessment: IBM Notes and Domino 9.0 companionable Edition System Administration B

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A2040-407 exam Dumps Source : Assessment: IBM Notes and Domino 9.0 companionable Edition System Administration B

Test Code : A2040-407
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: 118 existent Questions

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IBM Assessment: IBM Notes and

Cloudy weather ahead for IBM and red Hat? | existent Questions and Pass4sure dumps

the world is buzzing in regards to the application trade’s biggest acquisition ever. This “video game changing” IBM acquisition of pink Hat for $34 billion eclipses Microsoft’s $26.2 billion of LinkedIn, which set the outdated list. And it’s the third biggest tech acquisition in history in the back of Dell purchasing EMC for $sixty four billion in 2015 and Avago’s buyout of Broadcom for $37 billion the identical yr.

Wall street certainly receives apprehensive when it sees these lofty rate tags. IBM’s inventory became down 4.2 % following the announcement, and there are doubtless greater concerns over a broader IBM selloff round how a Great deal IBM is purchasing purple Hat.

This units the stage for great expectations on IBM to leverage this asset as a vital turning factor in its history. for the understanding that IBM’s Watson AI poster child has did not create sustainable increase, might this breathe their foremost probability to arrogate the ship as soon as and for all? Or is this mega merger an advanced clash of cultures and products with a purpose to create it complicated to recognise the total expertise?

big Blue’s been in Big concern

When the chips are down, it’s time to depart everyone in. huge Blue actually greatly surprised the know-how world when it introduced it might finish its greatest deal ever and buy purple Hat for an immense 11x top class. The reality is that pink Hat changed into no longer always looking to breathe received, so overpaying was the handiest conceivable choice. And if IBM didn’t pay, Google, Amazon, VMWare and even Alibaba would have.

desperate times call for desperate measures. IBM has been struggling to demonstrate boom in unique markets for rather a while. before 2018, it had 22 straight quarters of earnings decline. And it has lost over $28 billion in revenue over the past six years. Its revenue at the conclusion if 2017 become $seventy nine.14 billion, the lowest in twenty years and the more severe annual number seeing that 1997, when IBM revenues were $78.fifty one billion, aside from inflation.

In early 2018, IBM became capable of bear three consecutive quarters of earnings growth, however that was particularly as a result of the introduction of a unique line of IBM Z mainframe computer systems.

IBM has been a company in decline for many years. It’s difficult to preserve a enterprise with shrinking sales.

Too historical to grow?

IBM is more than 100 years ancient and definitely suffers from comparisons to more youthful and nimbler groups reminiscent of Amazon, Google, facebook, and Apple which absorb posted listing expand in fresh instances. Amazon’s recent earnings absorb surpassed $2 billion, for example.

in case you distinction IBM to Microsoft, one more historic world application business, it’s startling to peer the variation in how Microsoft has been capable of reposition itself as boom trade based on the cloud.

In 1990, when Microsoft liberate home windows 3.0, IBM had revenues of $sixty nine billion (only $10 billion modest of what it has today), while Microsoft had around $800 million. Microsoft surpassed IBM in income in 2015 and crossed the $one hundred billion annual income note in 2018.

over the past several years, as IBM’s salary shrank, Microsoft invested in its “business cloud” enterprise that encompasses Azure, workplace 365, and Dynamics 365, bringing in over $23 billion in unique revenues. Microsoft has currently been firing on everyone cylinders while IBM experienced boom stalls.

slow to find to the cloud

IBM’s success in the hardware company, specifically it’s Z-sequence mainframes, pressured it to protect its turf and distracted it from seeing the longer term influence of cloud. AWS begun offering public cloud capabilities again in 2006. As late as 2011, IBM became barely mentioning the solemnize “cloud” in its annual experiences or earnings calls. The trade at final realized in 2013 that cloud computing changed into the future and made a hail-Mary buy of SoftLayer to bridge the gap, paying $2 billion and then investing an additional $1 billion to integrate the platform.

It’s difficult to establish gigantic market share if you’re late to the party. Softlayer’s international market share continues to breathe a faraway fifth in the back of AWS, Microsoft, Google, and even brisker newcomer Alibaba, which handed IBM’s cloud revenues in June of 2018.

IBM made a few other cloud-connected acquisitions, together with Gravitant (a cloud brokerage and management utility), Bluebox (a personal cloud as a service platform in keeping with OpenStack), Sanovi (a hybrid cloud healing and migration utility), Lighthouse and CrossIdeas (both cloud protection structures), and CSL overseas (a cloud virtualization platform).

regardless of these acquisitions within the cloud market, IBM has did not in fact monetize these items and gain market share in the cloud.

The company has failed to capitalize on improvements earlier than: Watson AI become at the excellent of its online game when it debuted on Jeopardy in 2011 to beat human contestants however instantly fell at the back of Amazon, Google, and Microsoft.

Will crimson Hat breathe the savior?

pink Hat is the world’s greatest provider of open-source trade application options. red Hat’s bread and butter Linux enterprise continues to deliver growth specially because it powers many up to date AI and analytics workloads. Its model has advanced from only on-premise to a match subscription trade used on public cloud platforms equivalent to Amazon net features (AWS), Microsoft Azure, and Google Cloud Platform (GCP).

crimson Hat has besides multiplied into open middleware options reminiscent of OpenStack, a cloud infrastructure platform, and OpenShift, a platform for managing utility containers. OpenShift has long been a well-kept underhand as Cloud native Computing foundation (CNCF) has grabbed lots of the headlines with its Kubernetes container orchestration platform. IBM has a haphazard to leverage its marketing and world achieve to hearten mainframe and legacy valued clientele to undertake OpenShift. These platforms absorb been incredibly leveraged in inner most and hybrid cloud deployments, specially in industries relish telecommunications.

There isn't any doubt that pink Hat offers IBM a lots extra credible cloud story. however the question basically is, is it too late?

The acquisition is actually respectable intelligence for organisations seeking to shift basic container-based purposes and digital machines to the cloud. however, Amazon has already captured a Big a fraction of that market.

whereas the acquisition of pink Hat gives IBM a sturdy position within the hybrid-cloud market, which should breathe generic for organizations that don't seem to breathe taking the time to decommission or re-architect legacy functions, the speedy-growing public cloud market may breathe the battleground of the future.

Will the mixing find messy?

IBM has had a spotty record when it comes to integrating and capitalizing on Big acquisitions.

while the majority of IBM’s M&A has been within the district of software, income within the aspect has been disappointing. possibly what's concerning is that adjusting for acquisitions, IBM’s application trade continues to pronounce no — commonly because of the indisputable fact that these colossal acquisitions absorb turn into a fraction of the IBM fabric and company as average.

Can IBM combine whatever thing as Big as pink Hat with out interfering with its core value proposition? Many concern that massive Blue will attempt to “blue wash” their platform of choice.

And there’s the question of whether these two diverse corporate cultures can arrive collectively – IBM, a unhurried growth enterprise not making a Great deal progress in the cloud house, and pink Hat, an ingenious, open supply company that's edifice foundational components for operating in the cloud.

We’ve viewed lifestyle clashes derail many different inordinate profile mergers corresponding to HP/Compaq, HP/Autonomy, Microsoft/Nokia, AOL/Time Warner, dash/Nextel and Alcatel/Lucent. IBM will should embody the open supply group and strategy.

The joint enterprise will physiognomy crucial platform choices on the cloud entrance. IBM has a public cloud that competes with AWS and Microsoft. however builders utilize pink Hat’s Linux on many public clouds. while that multi-cloud strategy will profit IBM usher in income across the universal public clouds, it is going to create battle with its own Softlayer cloud providing. IBM has struggled to manipulate this category of channel and product combat effectively in the past.

after which there is the future of IBM’s personal AIX working device vs. Linux — now not to mention the SCO-IBM Unix lawsuit nonetheless lingering in the courts.

additionally to note are the lesser common crimson Hat storage items relish crimson Hat Ceph (an expostulate file storage) and crimson Hat Gluster (a NAS product). As red Hat integrates into IBM’s hybrid cloud neighborhood, these storage items will breathe separated from IBM, which might create confusion and conflict.

So whereas IBM certainly faces a lot of haphazard with the acquisition, there isn't any guarantee this great guess will pay off. IBM obligatory a daring move. however in the short term, they are not likely to see any surprising budge of IBM’s site in the public cloud area. everyone eyes could breathe on its capability to catapult into the hybrid cloud market. For that, the trade will should create positive it doesn’t find in its personal means.

Frank Palermo is the government vp at Virtusa’s world Digital enterprise, where he is accountable for expertise practices in UX, mobility, social, cloud, analytics, massive facts, and IoT.

evaluating bfloat16 latitude and Precision to different sixteen-bit Numbers | existent Questions and Pass4sure dumps

Deep learning has spurred interest in novel floating constituent formats. Algorithms regularly finish not want as a expedient deal precision as ordinary IEEE-754 doubles or even single precision floats. reduce precision makes it feasible to dangle greater numbers in reminiscence, reducing the time spent swapping numbers in and out of memory. due to the fact that this the site a lot of time goes, low precision codecs can hurry issues up quite a little.

right here I requisite to study bfloat16, or BF16 for short, and evaluate it to 16-bit number codecs I've written about up to now, IEEE and posit.

Bit design

The BF16 format is kind of a cross between FP16 and FP32, the 16- and 32-bit codecs defined within the IEEE 754-2008 normal, besides referred to as half precision and single precision.

The bfloat16 format has 16 bits relish FP16, but has the identical variety of exponent bits as FP32. every quantity has 1 mark bit. The leisure of the bits in every of the formats are allocated in the desk beneath.

|--------+------+----------+----------| | structure | Bits | Exponent | Fraction | |--------+------+----------+----------| | FP32 | 32 | eight | 23 | | FP16 | sixteen | 5 | 10 | | BF16 | sixteen | eight | 7 | |--------+------+----------+----------|

BF16 has as many bits as a FP16, however as many exponent bits as a FP32. The latter makes conversion between BF16 and FP32 convenient. Chop off the final 16 bits off a FP32 and you absorb got a BF16, or pad a BF16 with zeros to create a FP32.


The epsilon value, the smallest quantity ε such that 1 + ε > 1 in computer representation, is 2 where e is the number of exponent bits. BF16 has a Great deal much less precision close 1 than the other formats.

|--------+------------| | layout | Epsilon | |--------+------------| | FP32 | 0.00000012 | | FP16 | 0.00390625 | | BF16 | 0.03125000 | |--------+------------| Dynamic range

The dynamic latitude of bfloat16 is corresponding to that of a IEEE single precision quantity. Relative to FP32, BF16 sacrifices precision to maintain latitude. sweep is typically decided via the number of exponent bits, even though no longer fully.

Dynamic latitude in decades is the log ground 10 of the ratio of the largest to smallest representable tremendous numbers. The dynamic stages of the numeric codecs are given beneath. (Python code to cipher dynamic sweep is given here.)

|--------+-------| | structure | DR | |--------+-------| | FP32 | 83.38 | | BF16 | 78.57 | | FP16 | 12.04 | |--------+-------| comparison to Posits

The precision and dynamic sweep of posit numbers depends upon what number of bits you earmark to the highest exponent, denoted es via conference. (notice "maximum." The number of exponent bits varies for distinctive numbers.) This publish explains the anatomy of a posit quantity.

Posit numbers can achieve greater precision and greater dynamic sweep than IEEE-like floating point numbers with the equal number of bits. Of course, there is no free lunch. Posits symbolize massive numbers with low precision and little numbers with lofty precision, however this alternate-off is regularly what you'd need.

For an n-bit posit, the number of fraction bits close 1 is n - 2 - es and so epsilon is 2 to the exponent es - n - 2. The dynamic latitude is...

...which is derived perquisite here. The dynamic latitude and epsilon values for 16-bit posits with es ranging from 1 to four are given in the desk under.

|----+--------+-----------| | es | DR | epsilon | |----+--------+-----------| | 1 | 16.86 | 0.0000076 | | 2 | 33.82 | 0.0000153 | | 3 | 37.43 | 0.0000305 | | 4 | 143.86 | 0.0000610 | |----+--------+-----------|

For everyone of the values of es above, a sixteen-bit posit quantity has a smaller epsilon than either FP16 or BF16. The dynamic sweep of a sixteen-bit posit is higher than that of a FP16 for everyone values of es, and greater than BF16 and FP32 when es = four.

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could red Hat deal breathe a 'distraction' for IBM? Unisys CEO hopes so | existent Questions and Pass4sure dumps

No influence found, are trying unique keyword!“but this turned into already viable by edge of IBM features’ current partnerships with crimson Hat,” she notes. “IBM will nevertheless should compete with IT capabilities peers equivalent to Accenture, Atos and Wipro for r...

A2040-407 Assessment: IBM Notes and Domino 9.0 companionable Edition System Administration B

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A2040-407 exam Dumps Source : Assessment: IBM Notes and Domino 9.0 companionable Edition System Administration B

Test Code : A2040-407
Test title : Assessment: IBM Notes and Domino 9.0 companionable Edition System Administration B
Vendor title : IBM
: 118 existent Questions

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Intel Vets narrate Trump Iran Is Not Top Terror Sponsor | existent questions and Pass4sure dumps

A group of U.S. intelligence veterans urges President Trump to cease his administration’s False claims about Iran being the leading condition sponsor of terrorism when U.S. allies, such as Saudi Arabia, are clearly much guiltier.


FROM: Veteran Intelligence Professionals for Sanity

SUBJECT: Is Iran the “World’s Leading Sponsor of Terrorism?”


We are concerned by recent strident and stark public statements from key members of your Administration that paint Iran in very alarmist terms. The detached American, without the profit of history, could easily breathe persuaded that Iran poses an imminent threat and that there is no alternative for us but military conflict.

President Donald Trump addresses the nation about his Iran policy on Oct. 13, 2017. (Screenshot from

We find this uncomfortably confidential territory. Ten years ago former President George W. Bush was contemplating a war with Iran when, in November of 2007, intelligence analysts issued a formal National Intelligence evaluate (NIE) debunking the rife conventional wisdom; namely, that Iran was on the verge of getting a nuclear weapon.  The NIE concluded that Iran had stopped working on a nuclear weapon in 2003.

Recalling this moment in his memoir, determination Points, President Bush renowned that the NIE’s “eye-popping” intelligence findings stayed his hand.  He added this rhetorical question: “How could I possibly account for using the military to demolish the nuclear facilities of a country the intelligence community said had no active nuclear weapons program?”

We believe that you are facing a similar situation today. But instead of an inaccurate pretension that Iran has nuclear weapons, the unique canard to warrant war with Iran is the pretension that Iran remains the “world’s leading condition sponsor of terrorism.” This is incorrect, as they account for below.

 * * *

One of the recurring Big bipartisan lies being pushed on the public with the enthusiastic profit of a largely pliant media is that Iran is the prime sponsor of terrorism in the world today.

In the recent presentation of your administration’s National Security Strategy for 2018, the point is made that:

“Iran, the world’s leading condition sponsor of terrorism, has taken edge of instability to expand its influence through partners and proxies, weapon proliferation, and funding. . . . Iran continues to perpetuate the cycle of violence in the region, causing grievous harm to civilian populations.”

Those sentiments are echoed by several other countries of the Middle East. Saudi Arabia’s odd Minister, Adel al-Jubeir, for example, declared in October 2015 that: Iran “is the biggest sponsor of terrorism in the world, and it is working on destabilizing the region.”

The Saudi odd minister conveniently declined to mention that 15 of the 19 terrorists who hijacked planes and attacked America on 11 September 2001 were Saudis, not Iranians.  And, while Iran was an active promoter of terrorism two decades ago, it is no longer in the forefront of global terrorism. Ironically, that dubious distinction now goes to Iran’s accusers — first and foremost, Saudi Arabia.

The depiction of Iran as “the world’s leading condition sponsor of terrorism” is not supported by the facts. While Iran is guilty of having used terrorism as a national policy tool, the Iran of 2017 is not the Iran of 1981. In the early days of the Islamic Republic, Iranian operatives routinely carried out car bombings, kidnappings and assassinations of dissidents and of American citizens. That has not been the case for many years. Despite frequent claims by U.S. officials that Iran is engaged in terrorism, they simply note that the incidents recorded annually in the U.S. Department of State’s Patterns of Global Terrorism rarely identifies a terrorist incident as an act by or on behalf of Iran.

Iran’s relationship with Hezbollah besides has evolved radically. In the early years of the Islamic Republic, Hezbollah was often a proxy and sub-contractor for Iran. But during the final 20 years Hezbollah has become an entity and political constrain in its own right. It fought Israel to a standstill in 2006 in southern Lebanon, which was a watershed moment in establishing Hezbollah’s transformation into a conventional army. In the intervening years, Hezbollah, which is now fraction of the Lebanese government, besides has turned away from the radical, religious driven violence that is the hallmark of the Sunni extremists, relish ISIS.

Iran’s Asymmetrical Response

After Iran fell under the rule of the Ayatollah in 1979 terrorism, its role in lofty profile terrorist attacks, such as the taking of U.S. hostages and the bombings of the U.S. Embassy and the Marine barracks in Lebanon, fed understandable U.S. animosity towards Iran.  But Iran’s actions were not driven primarily by blind hatred or radical religious views.  For Iran terrorism was a artery to punch back against more powerful foes, principally the United States, which was providing military and intelligence back to Iran’s neighbor and enemy, Iraq.

Portrait of the late Ruhollah Khomeini by Mohammad Sayyid

The Iranians were besides pragmatic and had direct dealings with Israel. During the early days of the Iranian revolution the Mullahs, despite publicly denouncing Israel, happily accepted underhand military back from the Israelis. Israel was equally pragmatic. The Israeli leaders ignored the Mullahs and gave the back as a means of helping counter the threat posed by Iraqi President Saddam Hussein. A classic case of the enemy of my enemy is my friend.

The public image of Iran as a hotbed of fanatical terrorists has been usurped since the August 1998 bombings of the U.S. Embassies in east Africa by Al Qaeda and other radical Sunni entities. The U.S. Government’s own list of terrorist attacks since 2001 shows a stagy drop in the violence carried out by Iran and an accompanying surge in horrific acts by radical Sunni Muslims who are not aligned with Iran.  The latest edition of the Global Terrorism Index, a project of the U.S. Department of Homeland Security, shows that four groups accounted for 74 percent of everyone fatalities from terrorism in 2015 — Boko Haram, Al-Qaeda, the Taliban and ISIS.

Thirteen of the 14 Muslim Groups identified by the U.S. intelligence community as actively hostile to the US are Sunni, not Shia, and are not supported by Iran:

– ISIS (Sunni)

– The Al-Nusra Front (Sunni)

– Al-Qa’ida Central (Sunni)

– Al-Qa’ida in Magheb (Sunni)

– Al-Qa’ida in Arabian Peninsula (Sunni)

– Boku Haram (Sunni)

– Al-Shabbab (Sunni)

– Khorassan Group (Sunni)

– Society of the Muslim Brothers (Sunni)

– Sayyaf Group in the Philippines (Sunni)

– Taliban in Pakistan and Afghanistan (Sunni)

– Lashgar i Taiba (Sunni)

– Jemaa Islamiya (Sunni)

– Houthis (Shia)

The final major terrorist assault causing casualties that is linked to Iran was the July 2012 bombing of a bus with Israeli tourists in Bulgaria. That departure from Iran’s more recent policy on terrorism was retaliation for what Iran perceived to breathe Israel’s role in assassinating five Iranian scientists involved with Iran’s Nuclear program, between January 2010 and January 2012 (the dates and names of those attacked are appended).

One can easily imagine the outrage and lust for revenge that would sweep the U.S., if Americans believed a odd country sent operatives into the United States who in turn murdered engineers and scientists working on sensitive U.S. defense projects.

Special Operations

There absorb been other terrorist attacks inside Iran manner the handprint of back from the United States. Author Sean Naylor, Relentless Strike, which details the history of operations carried out by U.S. Joint Special Operations Command (JSOC) over the past 30 years, sheds light on this uncomfortable truth:

The late Al-Qaeda leader Osama bin Laden.

“JSOC personnel besides worked with the Mujahideen-e-Khalq (MEK), a militant Iranian exile group that had based itself in Iraq after falling afoul of the ayatollahs’ regime in Tehran. The condition Department had placed the MEK on its list of designated terrorist organizations, but that didn’t cease JSOC from taking an attitude of “the enemy of my enemy is my friend” toward the group. “They were a group of folks that could transit the border, and they were willing to profit us out on what they wanted to finish with Iran,” said a special operations officer.”

The MEK were classified as a terrorist group, until the United States decided that as long as the MEK would profit exterminate Iranians rather than Americans, that they were no longer terrorists. The MEK’s history of terrorism is quite clear. Among more than a dozen examples over the final four decades these four are illustrative:

  • During the 1970s, the MEK killed U.S. military personnel and U.S. civilians working on defense projects in Tehran and supported the takeover in 1979 of the U.S. Embassy in Tehran.
  • In 1981, the MEK detonated bombs in the head office of the Islamic Republic Party and the Premier’s office, killing some 70 high-ranking Iranian officials, including Iran’s President, Premier, and Chief Justice.
  • In April 1992, the MEK conducted near-simultaneous attacks on Iranian embassies and installations in 13 countries, demonstrating the group’s competence to mount large-scale operations overseas.
  • In April 1999, the MEK targeted key military officers and assassinated the deputy chief of the Iranian Armed Forces universal Staff.
  • Despite this history, a bipartisan parade of prominent U.S. political and military leaders has lobbied on behalf of MEK and has been well compensated in return.

    Benighted Policy So Far

    In the ultimate ironic turn, the U.S.-led 2003 war in Iraq played a faultfinding role in Iran’s resurgence as a regional power. Saddam Hussein was replaced by Shia muslims who had received sanctuary in Iran for many years and Baathist institutions, including the Army, were taken over by Iraqis sympathetic to Tehran.

    Iran has arrive out ahead in Iraq and, with the 2015 nuclear agreement in place, Iran’s commercial and other ties absorb improved with key NATO allies and the other major world players—Russia and China in particular.

    Official pronouncements on faultfinding national security matters requisite to breathe based on facts. Hyperbole in describing Iran’s terrorist activities can breathe counterproductive. For this reason, they call attention to Ambassador Nikki Haley’s recent statement that it is difficult to find a “terrorist group in the Middle East that does not absorb Iran’s fingerprints everyone over it.” The truth is quite different. The majority of terrorist groups in the region are neither creatures nor puppets of Iran. ISIS, Al-Qaeda and Al-Nusra are three of the more prominent that arrive to mind.

    You absorb presented yourself as someone willing to converse difficult truths in the physiognomy of establishment pressure and not to accept the status quo. You spoke out during the crusade against the 2003 U.S. invasion of Iraq as a historic mistake of epic proportions. You besides correctly captured the humor of many Americans fatigued from constant war in far away lands. Yet the torrent of warnings from Washington about the dangers supposedly posed by Iran and the requisite to confront them are being widely perceived as steps toward reversing your pledge not to find embroiled in unique wars.

    We hearten you to reflect on the warning they raised with President George W. Bush almost 15 years ago, at a similar historic juncture:

    “after watching Secretary Powell today, they are convinced that you would breathe well served if you widened the discussion … beyond the circle of those advisers clearly bent on a war for which they see no compelling understanding and from which they believe the unintended consequences are likely to breathe catastrophic.”

    Iran’s President Hassan Rouhani celebrates the completion of an interim deal on Iran’s nuclear program on Nov. 24, 2013, by kissing the head of the daughter of an assassinated Iranian nuclear engineer. (Iranian government photo)



    January 12, 2010: Masoud Alimohammadi, Iranian Physicist:

    Killed by a car bomb.  The perpetrator reportedly confessed to having been recruited by Israeli intelligence to carry out the assassination.

    November 29, 2010: Majid Shahriari, Iranian nuclear scientist:

    Killed by a car bomb.  According to German media, Israel was the sponsor.

    November 29, 2010: Assassination attempt on Fereydoon Abbasi Iranian nuclear scientist:

    Wounded by a car bomb.

    July 23, 2011: Darioush Rezaeinejad, Iranian electrical engineer, unclear scientist

    Killed by unknown gunmen on motorcycle.  Specialist on high-voltage switches — a key component of nuclear warheads.  Assassinated by Israeli intelligence, according to the German press.

    January 11, 2012: Mostafa Ahmadi-Roshan, Iranian nuclear scientist

    Killed at Natanz uranium enrichment facility by a magnetic bomb of the same kind used in earlier assassinations of Iranian scientists.



    Richard Beske, CIA, Operations Officer (ret.)

    William Binney, former NSA Technical Director for World Geopolitical & Military Analysis; Co-founder of NSA’s Signals Intelligence Automation Research Center

    Marshall Carter-Tripp, odd Service Officer (ret.) and Division Director, condition Department Bureau of Intelligence and Research

    Bogdan Dzakovic, Former Team Leader of Federal Air Marshals and Red Team, FAA Security, (ret.) (associate VIPS)

    Philip Giraldi, CIA, Operations Officer (ret.)

    Larry C. Johnson, former CIA and condition Department Counter Terrorism officer

    Michael S. Kearns, Captain, USAF (Ret.); ex-Master SERE Instructor for Strategic Reconnaissance Operations (NSA/DIA) and Special Mission Units (JSOC)

    John Kiriakou, Former CIA Counterterrorism Officer and former senior investigator, Senate odd Relations Committee

    Karen Kwiatkowski, former Lt. Col., US Air constrain (ret.), at Office of Secretary of Defense watching the manufacture of lies on Iraq, 2001-2003

    Edward Loomis, NSA, Cryptologic Computer Scientist (ret.)

    David MacMichael, National Intelligence Council (ret.)

    Ray McGovern, former US Army infantry/intelligence officer & CIA analyst (ret.)

    Elizabeth Murray, Deputy National Intelligence Officer for Near East, CIA and National Intelligence Council (ret.)

    Torin Nelson, former Intelligence Officer/Interrogator (GG-12) HQ, Department of the Army

    Todd E. Pierce, MAJ, US Army arbitrator Advocate (ret.)

    Coleen Rowley, FBI Special Agent and former Minneapolis Division Legal Counsel (ret.)

    Greg Thielmann — Former director of the Strategic, Proliferation, and Military Affairs Office of the condition Department’s intelligence bureau (INR) and former senior staffer on the Senate Intelligence Committee

    Kirk Wiebe — former Senior Analyst, SIGINT Automation Research Center, NSA

    Lawrence Wilkerson, Colonel (USA, ret.), Distinguished Visiting Professor, College of William and Mary (associate VIPS)

    Sarah G. Wilton, CDR, USNR, (Retired)/DIA, (Retired)

    Robert Wing — former odd Service Officer (associate VIPS)

    Ann Wright, Col., US Army (ret.); odd Service Officer (who resigned in opposition to the war on Iraq)





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    October 31st, 2018 in trade Practices, descend 2018, Millennial, Restaurants, Technology, Trends

    By Tyler Titherington

    I am a restaurateur.  I’m behind schedule.  Again.  Not because I am disorganized or absorb too much to do, more so because I absorb a hierarchy of tasks that are addressed based on priority.  Guest needs are my first priority, staff needs are a close second and everything else last.  There is a tertiary hierarchy in the final basket as well.  Some tasks with a lower priority descend through the cracks.  Not because they are unimportant, but rather there just was not enough time.  The truth is that I am obsessively organized.  I adore “To Do” lists, calendars, flow charts and the accomplishment of tasks.  I ingest projects for breakfast, while live on the edge of chaos and complete catastrophe.  Short staffed?  Yawn.  Drains flooding?  Been there, done that.  POS system crash during service on a weekend?  Bring it.  I am the duck – composed above water and feet pitiable nonstop below.  However, how finish I manage everyone the curveballs and soundless manage to gain time without compromising any of my other priorities?  It is very simple – conform and embrace technology wherever possible, specifically, cloud-based computing solutions that allow one to breathe in many places at one time.  These applications simplify daily tasks for management teams and staff, which will ultimately leverage senior management down to focus on the bigger picture.  Maybe even find a day off…

    Over the final 10 years or so, the increased availability of cloud-based computing solutions (using network computers over the internet rather than property-based difficult drives) has been a major paradigm shift for many industries.  However, as with most technological advances, the restaurant industry has been very unhurried to adapt.  tense margins, resistance to change, and dismay of unknown outcomes absorb long driven the restaurateur’s decision-making process.  However, with increased options, cheaper costs, and ease of use, that mindset is quickly becoming a thing of the past.  Restaurant operators are genesis to embrace cloud-based solutions for everything from Point of Sale and Tableside Payment to Menu Design and Scheduling.

    Our foray into cloud computing began with an unfortunate set of circumstances that the entire industry was facing.  The year was 2010 and the impending doom of PCI Compliance was upon us.  At best, their network infrastructure was dated and they needed to act quickly to find it into compliance.  relish most operators, their hand was forced and they had no choice.  What is PCI Compliance?  The retort depends on who you ask.

    Your guests absorb never heard of it and absorb no view what it is.  Most restaurant operators will narrate you that PCI Compliance is an almost unachievable set of network security standards designed to protect the credit card giants, who already saturate them artery too much for credit card processing and continually squeeze them with a plethora of monthly fees.  The definition of PCI Compliance is below, according to PCI

    “The Payment Card Industry Data Security yardstick (PCI DSS) is a set of security standards designed to ensure that everyone companies that accept, process, store or transmit credit card information maintain a secure environment.  The PCI Security Council Card focuses on improving payment account security throughout the transaction process. It is an independent corpse that was created by the major payment card brands (Visa, MasterCard, American Express, ascertain and JCB.).”[i]

    PCI DSS is mandatory for any and everyone businesses that accept credit cards.  It involves a process of assessment, remediation and reporting.  Operators must identify network vulnerabilities, physical vulnerabilities, and operational vulnerabilities that could result in a credit card infraction and fix them.  In summary, it is a painfully tedious, extremely time consuming, and potentially expensive process.

    It is extremely considerable for the security of their guest’s payment information, both for ensuring faith with their customers and limiting legal liabilities.  In 2017-8, major retail stores including Home Depot, Macy’s, Sears, Kmart, Best Buy and Lord & Taylor made headlines across the country for data breaches possibly compromising customer’s credit card personal information. The restaurant industry is besides plagued with security breaches, including great chains such as Darden (Cheddar’s), Panera Bread, Sonic and Arby’s. The number of customers whose credit card information may breathe compromised totals into the millions.[ii]

    At Grafton Group, the process of obtaining Credit card security involved working directly with their IT vendor and POS vendor to achieve PCI compliance.  The first order of trade was to find their network infrastructure in order.  Some of the major network upgrades that they undertook were upgrading wiring, locking down patch panels, securitizing external ports, adding wireless access points (WAPs), and replacing firewalls. The WAPs and unique firewalls were the heart of the upgrades and would ultimately allow us to operate unencumbered in the cloud.  The unique access points give their guests their own network and forestall them from accessing ours.  The security firewalls forestall intrusions and besides allow their IT vendor remote access so they can create changes without actually being in the restaurant.  What used to breathe a scheduled visit from their IT vendor that may absorb taken weeks, is now a simple email and can often breathe addressed online in minutes.  In a nutshell, PCI DSS forced us to upgrade their network, which ultimately allowed us to operate in the cloud.  This unintended outcome to a painful requirement was truly a blessing in cloak and it pushed us into unique territory – the cloud!  Being in the cloud has allowed us access to exciting applications and services that would otherwise breathe unavailable to us.

    IBM defines cloud computing as “the delivery of on-demand computing resources — everything from applications to data centers — over the internet on a pay-for-use basis.”[iii]  For their purposes, these on claim computing resources primarily consist of “SaaS” or Software as a Service.  Here are some of the areas where cloud computing can streamline their operation.

    Point of Sale

    POS systems are the most thoughtprovoking district of cloud-based solutions for restaurant operators.  Legacy systems such as Positouch, Micros, and Aloha are bulkier, more expensive, and much harder to program and implement.  There are quite a few cloud-based POS options, most notably Boston-based Toast.  Toast has done a Great job streamlining and simplifying the interface for both front and back discontinue users.  Management can access the system remotely for screen programming, troubleshooting or reviewing sales.  It is extremely intuitive, relish using a smartphone, thus needing very minute training. As wireless POS solutions evolve, legacy systems will eventually breathe phased out.  It is only a matter of time.

    Tableside Payment

    EMV (Europay, MasterCard and Visa) is another set of regulations that are coming to the restaurant industry. “EMV is a global yardstick for cards equipped with computer chips and the technology used to authenticate chip-card transactions.”[iv]  Used in Europe for years, the credit card never leaves the customer and everyone transactions are processed tableside with a handheld device. One illustration of an EMV compliant, cloud-based device for tableside payments that they at Grafton Group are currently analyzing and contrivance on implementing is Pay My Tab.  Pay My Tab will fully integrate with their POS system and eliminates many bulky PCI DSS requirements. Many similar systems are already in utilize at quick service operations, where guests and staff absorb easily adapted to them.  In addition to tougher security, the implementation should lessen payment time, liquidate paper receipts (emailed instead) and simplify the process for management to search for specific receipts.

    Reservations and Floor Management

    There are a variety of solutions for reservations and floor management systems.  Their firm has been using OpenTable for over 15 years, so when they rolled out their cloud-based system, GuestCenter, they were early adopters.  This has been one of the single best applications in terms of roll out, ease of use, and seamless integration.  It is iPad-based and eliminates everyone the wiring and host stand existent estate.  It is compatible to smart phones that allows for remote access, allowing management to check flow of service, identify unique reservations, and create positive that waitlists are being managed appropriately.  Soon to arrive is an interface with POS systems that automatically applies any “guest notes” from GuestCenter to the server’s check, such as special occasions, etc. Most importantly, due to its intuitive design, their millennial hosts utilize the system seamlessly.

    Private Event Management

    Private events are the foundation of most full service restaurant operations.  They are the variation between a expedient week and a Great week.  However, it can breathe a very confusing process with everyone of the pitiable parts.  In order to remain organized, they utilize TripleSeat to manage leads, create BEOs and track their events calendar. The cloud-based event management system allows their Private Event Coordinators to respond at any given time from anywhere, giving them a leg up on the competition, giving them the opening to deserve fees for each event.  Since their coordinators receive an administrative fee for each event, they relish responding when available off-site; expedient communication is key for making positive work-life balance is maintained.

    Bar at the Russell House Tavern in Cambridge, MA. Photo: Inventory

    An district which the cloud has really saved their restaurants time is with food & beverage inventories.  No more paper and no more transposing paper to spreadsheet.  Inventories can breathe uploaded in existent time using a tablet, laptop or even a smart phone. BevSpot is used for both their food and beverage inventories.  They absorb besides given access to their accounting firm, in order to reduce bulky invoice scans and uploads.  everyone information can breathe entered into the cloud and accessed by everyone of their approved users.  It besides allows for multiple people to entrap inventory simultaneously.  One person can breathe on the bar, another in the walk in fridge, and another in the liquor room, everyone at the same time.  In addition to being a major time saver, it has helped Grafton Group to reduce sitting inventory by a significant amount across everyone properties.


    Staff scheduling is a weekly administrative headache for managers, but there are cloud-based scheduling applications that lessen the pain. They absorb establish HotSchedules to felicitous their needs as it interfaces with their POS system and allows their firm to finish some creative reporting in regards to budgeting and forecasting, as well as taking employees requests and requirements into consideration.

    Email and File Sharing

    Grafton Group has arrive a long artery from sharing access to a desktop version of Outlook and toggling between accounts.  They were able to liquidate their main server entirely and now they utilize Office 365 for their email and file sharing needs.  Not only is this highly securitized, it has redundancy so their information is always backed up.  They access both their email and files from anywhere in the world.  This has greatly improved productivity and allowed their management teams to communicate in existent time.

    Grafton Street in Cambridge, MA. Photo: Computer Hardware

    Our office hardware now consists of much less expensive “Network Computers”, which finish not require expanded recollection for giant programs, CD drives for downloading drivers, or expansion slots for extraneous drives.  They can purchase more computers at a reduced cost and their managers no longer absorb to share computer access in the office.

    Menu Design

    For their menu design need, they absorb establish InDesign to breathe the most efficient program, which is fraction of the Adobe Creative Cloud.  This program can now breathe selected a la carte from Adobe’s menu of programs and paid for on a month to month basis for under $20.  This is much more palatable than paying $600 for the entire Adobe suite.

    These are just a handful examples of how cloud computing has impacted their operations and ultimately saved time for their management team and staff.  Ten seconds here, 5 minutes there, an hour tomorrow – it adds up to impactful chunks of time that can breathe better spent elsewhere.  They absorb only scratched the surface as an industry – they will see more and more options for cloud-based solutions to existent world restaurant problems. Although the solutions highlighted above create efficiency and reclaim time, they finish not serve guests and they don’t understand the knack of hospitality.  It is imperative that as restaurateurs they continue to create a positive environment, embrace innovation, and engage and train their employees in the knack and skill of hospitality.

    There are some things you will never absorb time for in the restaurant industry, regardless of cloud-based advancements.  “Lunch”, for example, I absorb heard is a meal that takes site in the middle of the day.  For me, “lunch” is the sandwich that I ingest in 30 seconds somewhere between 2pm and 6pm standing over a trash can in the back of the kitchen.  There is no technology for that…

    PDF Version Available Here

    References [i] “PCI Compliance steer FAQ.” PCIComplianceGuide.Org. September, 2018. [ii] Green, D. and Hanbury, M. (Aug. 22, 2018). “If you shopped at these 16 stores in the final year, your data might absorb been stolen.” [iii] “What Is Cloud Computing?” September, 2018. [iv] Kossman, Sienna. ” 8 FAQs about EMV credit cards.” August 29, 2017. Tyler was born and raised in Portland, Maine and has lived in the Boston district since attending Boston University.  After graduating from the Boston University School of Hospitality Administration, Mr. Titherington operated a handful of bars and restaurants in Boston.  He has been with Grafton Group since October 2007. 

    October 31st, 2018 in trade Practices, descend 2018, Hotels, Marketing, Sharing Economy, Technology, Trends

    By Makarand Mody and Monica Gomez

    For a long time, the hotel industry did not esteem Airbnb a threat. Both the industry and Airbnb claimed they were serving different markets and had different underlying trade models. Over the years, as Airbnb become more successful and grown to being larger than the companies in the hotel industry, the rhetoric has changed. The hotel industry began to realize they had something to worry about.

    A stage of denial was followed by the American Hotel & Lodging Association (AH&LA) attacking Airbnb by sponsoring research to demonstrate its negative impacts on the economy and lobbying governments to impose taxes and regulations on homesharing. The association is arguing for a even playing territory between homesharing and hotels (and rightly so). The next stage of this battle involves competition and integration. Not only are hotels looking to add homesharing-like attributes and experiences to their properties, to more effectively compete with Airbnb, but are besides looking to tap into the platform-based trade model that underlies Airbnb’s success.

    The Past: How does Airbnb repercussion the hotel industry?

    Airbnb’s disruption of the hotel industry is significant, both existentially and economically. A recent study by Dogru, Mody, and Suess (2018) establish that a 1% growth in Airbnb supply across 10 key hotel markets in the U.S. between 2008 and 2017 caused hotel RevPAR to decease 0.02% across everyone segments. While these numbers may not materialize substantial at first, given that Airbnb supply grew by over 100% year-on-year over this ten year term means that the “real” lessen in RevPAR was 2%, across hotel segments. Surprisingly, it was not just the economy but besides the frill hotel segment that was difficult hit by Airbnb supply increases, experiencing a 4% existent decline in RevPAR. The repercussion of Airbnb on ADR and occupancy was less severe. In Boston, RevPAR has decreased 2.5%, on average, over the final ten years due to Airbnb supply increases. In 2016 alone, this 2.5% lessen in RevPAR amounted to $5.8 million in revenue lost by hotels to Airbnb. Brands that felt the repercussion the most were those in the midscale and frill segments, with a lessen in RevPAR of 4.3% and 2.3% respectively. These supply increases are besides fueling Airbnb taking an increasing share of the accommodation market pie. For example, in unique York City, Airbnb comprised 9.7% of accommodation demand, equaling approximately 8,000 rooms per night in Q1 2016 (Lane & Woodworth, 2016). As a whole, Airbnb’s accommodated claim made up nearly 3% of everyone traditional hotel claim in Q12016.

    Buoyed by a growth rate of over 100% year on year, Airbnb now has over 4 million listings, with the U.S. being its largest market. The company besides has significant play to grow in other countries, particularly emerging markets in Africa and India. The company has flee into some competition in China, with local rivals Tujia and Xiaozhu. Also, within the U.S., the expedient intelligence is that Airbnb will not grow at 100% indefinitely and will eventually plateau as it reaches a saturation point (Ting, 2017a). In view of this, the company has turned to alternative strategies to continue to expand supply. It is now targeting property developers to turn entire buildings into potential Airbnb units, through its newest hotel-like brand, Niido. Currently, there are two Airbnb branded Niido buildings in Nashville, TN and Orlando, FL with over 300 units each and Airbnb plans to absorb as many as 14 home-sharing properties by 2020 (Zaleski, 2018). Niido works by encouraging tenants to list their units on Airbnb, with Airbnb and Niido taking 25% of the revenue generated.  Airbnb has besides clearly evolved from its original premise of “targeting a different market” to attracting segments traditionally targeted by hotels, such as the leisure family market, trade travelers, and the upscale traveler, as evidenced through its latest offering, Airbnb Plus. These homes absorb been verified for quality, comfort, design, maintenance, and the amenities they offer. They besides absorb facile check in, premium internet access, and fully equipped kitchens. Their hosts are typically rated 4.8+, and depart above and beyond for their guests. Through Airbnb Experiences, travelers can partake in everything from the Great outdoors—hiking and surfing—to “hidden” concerts and food and wine tours.  In addition to these products, Airbnb has besides “created” its own segments of travelers: novelty and tang seekers who are looking for unique and unconventional accommodation relish yurts, treehouses, and boats, everyone things that a traditional hotel company cannot provide.

    The Present: Understanding what consumers want lies at the heart of the battle between hotels and Airbnb

    There are larger societal trends that are impacting what consumers hunt travel, and they deem this has implications for the Airbnb and hotel dynamic. These trends include:

  • A shift to a “new luxury”—seeking out unique, true experiences that serve as a launchpad for self-actualization—fueled by an increased wealth gap in the United States.
  • An increased mobility, particularly among previously under-represented groups in the United States (the black travel movement, for example) and the global traveler (more Indian and Chinese international travelers than ever before).
  • The changing nature of brand loyalty: from long-term relationships to consumers’ needs for instant gratification and personalization.
  • Changing nature of “ownership”: In a post-consumerist society, the emphasis on “access-based consumption” has reclaim a spotlight on wellness and well-being, beyond materialism.
  • A co-everything world where work, play, and life blend into one seamless mosaic: Technology has changed the artery they live their lives, and how they are connected to work, to each other and to the things that drive us. An upcoming 5G world and the IOT is only likely to accelerate the pace of change. entrap LiveZoku (, for example: is it a residence? A hotel? A WeWork? A space for the local community? A thriving food and beverage destination? It’s everyone of these things.
  • What finish these trends mean? They require marketers and tang designers to re-think what the travel tang means to the customer. The notion of the tang economy was created by Pine and Gilmore in 1998, and included four dimensions: escapism, education, entertainment, and esthetic. Leveraging one, or ideally, more of these dimensions creates memorable experiences for customers, which in turn results in brand loyalty. This dynamic has been fairly well-established in the academic literature. However, Airbnb has changed the game for the tang economy by emphasizing the sharing lifestyle and a sense of community, cleverly incorporating the above highlighted trends into its communications with customers. Because of Airbnb popularity and success, six unique dimensions absorb been incorporated into the tang economy, in the context of the travel experience: personalization, communitas, localness, hospitableness, serendipity, and ethical consumerism, as was presented by Mody in 2016.

    Interestingly, in a recent study by Mody and colleagues (Mody, Suess, & Lehto, 2017), the researchers establish that Airbnb outperformed hotels on everyone the dimensions of this new, expanded, accommodation experiencescape. Airbnb outperforms hotels in the personalization dimension because of its wide array of homes and locations, enabling genuine micro-segmentation and the “perfect match” between guest and host (Dolnicar, 2018). Moreover, no one home is similar to another, giving customers a unique tang every time, enhancing the serendipity associated with an Airbnb stay. Airbnb elevates the sense of community that consumers seek, particularly when sharing space with other travelers and/or with the host, and allows consumers unparalleled access to “the local”—that café or cute minute store that only locals know about. However, there are areas where hotels hold their own. For example, the pathways between these dimensions and memorability were just as sturdy for hotels as for Airbnb, emphasizing the requisite for hotels to engage customers by leveraging the “right” dimensions for the brand—dimensions that align with the brand’s mission, story, and personality.

    One such dimension where hotels accomplish just as well as Airbnb is hospitableness, as confirmed in a study by Mody, Suess, and Lehto (2018). More “investor units” on the Airbnb platform means that the host is often not present when guests arrive to the home; moreover, everyone communication is done electronically and with someone who “manages” the Airbnb unit and doesn’t necessarily own or live in it. In turn, hotels that leverage the human factor—the welcome of a friendly check-in agent, the helpfulness of the concierge,  the warm greeting and genuine interaction between guest and food and beverage staff—create more positive emotions, which subsequently lead to higher brand loyalty. It is imperative that hotel brands really deem about the high-tech, lofty palpate tang they are looking to provide, particularly in the golden age of brand proliferation that they live in.

    From a non-experience standpoint, regulation is another bone of contention that merits close inspection. After years of denying that Airbnb was a competitor, in 2016, the American Hotel & Lodging Association first began an extensive lobbying application for the imposition of taxes and regulations on Airbnb that even the playing field. Over the final couple of years, the voices of the hotel lobby and other community groups absorb translated into governments taking some action, in the U.S. and abroad. However, in a study of regulation across 12 European and American cities, Nieuwland and van Melik (2018) establish that governments absorb been fairly lenient towards short-term rentals with minute to no (meaningful) regulations thus far. Moreover, regulations absorb been designed to alleviate the negative externalities of Airbnb on neighborhoods and communities rather than to even the playing territory between Airbnb and hotels. Another challenge with regulating the peer to peer economy has been enforcement. In unique York City, under the Multiple Dwelling law, it is illegal for a unit to breathe rented out for less than 30 days unless the owner is present in the unit at the time the guest is renting. However, it is soundless viable to find “entire homes” on Airbnb in unique York City, even though, in principle, these typically comprise homes where the host is not present during the guest’s stay. Moreover, Nieuwland and van Melik (2018) and Hajibaba and Dolnicar (2017) absorb establish that regulations minister to breathe very similar across cities, without accounting for the specificities of a particular location, which makes the process perfunctory and superficial. There besides remains the danger of over-regulating Airbnb, given that there is soundless very minute knowledge about efficacious ways of regulating these innovations in the sharing economy, thus stifling their potential. Avoid over-regulation is critical, since Airbnb has significant welfare effects in the economy. In addition to stimulating travel to previously inaccessible markets, Airbnb besides creates customer surplus (Farronato & Fradkin, 2018), an considerable economic value measure. Moreover, other research has suggested that the detached resident is not as negative towards the Airbnb as media rhetoric might intimate (Mody, Suess, & Dogru, 2018). The requisite for a data-driven approach to Airbnb regulation remains paramount.

    The Future: Competing with the sharing economy requires re-thinking the brand and the experience

    While regulation is outside the control of the hotel industry, the brand and the customer tang are not. They contend that these are the areas where hotel companies’ efforts requisite to breathe focused. Hotels requisite to re-think the brand promise, both for the parent brand as well as individual brands in the portfolio, and how it defines and shapes the guest experience. Recent research by Mody and Hanks (2018) indicates that while Airbnb leverages the authenticity of the travel experience—by enabling local experiences that provide a sense of self and sense of place, hotel brands that are perceived as being authentic—original, genuine, and sincere—can generate higher brand loyalty. Thus, while it’s difficult to compete with homesharing in terms of experiential authenticity, brand authenticity is a pillar on which hotels can build a sturdy foundation for loyal brand relationships. This is particularly considerable because while Airbnb promotes experiential authenticity as a key understanding to utilize the brand, most travelers minister to remain with the brand for much more functional requirements, such as space and price (Chen & Xie, 2017; Dogru & Pekin, 2017)

    There is no one definition for or manifestation of an “authentic” brand. It’s a perception, a emotion that consumers absorb about what you stand for. An true brand has at its core the brand promise, an true value proposition that gives consumers a raison d’etre for associating with the brand. However, what an true brand does require is efficacious storytelling. A brand is perceived to breathe authentic, if it has an true yarn that feeds it. Brand stories can arrive from many sources: a brand’s values, personality, heritage, uniqueness, or its quest and purpose. What is considerable is telling compelling and coherent stories across the brand’s various touchpoints to engage consumers at a visceral, emotional level. Taking off industry blinders, and looking for inspiration outside the hotel industry, is critical. Tom’s Shoes is an excellent illustration of leveraging its quest—One for One—in creating a compelling brand story. As another example, in an industry typically focused on the in-store, “physical” experience, Burberry has set the gold yardstick for authentic, digitally-led and emotive storytelling, by looking within and leveraging over 150 years of history (Watch the YouTube Video here). In this vein, they deem that Fairfield Inn and Suites’ revert to “where it everyone began”—the Marriott family’s Fairfield Farm in the Blue Ridge Mountains of Virginia— to craft the brand tang of the future, from a design and communications standpoint, is an excellent illustration of leveraging authenticity and crafting a compelling brand swear (Ting, 2017b).

    Another view that lies at the heat of the brand swear is what they call the experiential value proposition, or EVP. For the longest time, hotel marketers absorb relied on the guest play as the primary source of value for the guest. But deem about the final time you traveled. Was it the prospect of the hotel play that got you excited about your trip? Or was it everything that the hotel enables you to finish – the tang outside the guestroom? From experiencing knack and music in the lobby to its proximity to the must-do craft beer garden, hotel marketers must realize that it’s the complete package—what’s inside and outside the room—that customers utilize as cues for making  their determination to pick an accommodation. They call this proposition offered by the hotel—what’s inside and outside the guest room, enclosed within an tang of hospitableness and a connection to humanity—its EVP. They present the EVP in figure 1.  The EVP mirrors the value paradigm of the modern traveler, something that must breathe reflected in the hotel brand’s sales, marketing and pricing and revenue management efforts. Thinking about a brand through the lens of the EVP paradigm has the power to re-orient the customer’s mindset from one of price-shopping to experience-shopping.

     Figure 1. The Experiential Value Proposition Framework

    How does a hotel marketer apply the EVP paradigm? Its application can open up many avenues. Hotels can start by rethinking the design of their primary digital channels, led by the website by adding more rich, vivid content that goes beyond the guestroom, in order to better integrate aspects of the wider hotel and local experience. The yardstick Hotels serves as an excellent illustration ( Its website feels more relish a local lifestyle and culture magazine than a digital media property “selling” a hotel room. The website’s rich images and stories draw the visitor into wanting to learn more about what the brand has to offer. While not every hotel can or would want to depart the yardstick way, since the brand has its own distinct voice and personality, there is a case to breathe made for going beyond static images of beds in guestrooms, which minister to blend into one indistinguishable gross after a point, particularly on OTA websites. When was the final time the image of a hotel bed excited you to want to remain there? Yet, when you contemplate at the imagery reclaim out by most hotels, this is what marketers soundless focus on.

    Placing an emphasis on humanity and providing a sense of hospitableness can besides enhance a brand’s EVP. Instead of technology replacing the human connection, the industry needs to contemplate for ways in which technology can actually free up employees so that they can expend their time crafting more personal and unique experiences, delighting guests instead of performing routine transactions. Moreover, if the human connection is what people hunt out when traveling with Airbnb, why is it that hotel confirmation emails soundless find sent out by automated systems that highlight the “facelessness” of the hotel entity. Why not utilize that as an opening to truly welcome the guest; a simple palpate such as a welcome missive from the GM with his/her photo, or that of an employee who is “assigned” as “your personal host” during your remain can depart a long artery in emulating the human connection that the sharing economy enables.

    The design of the hotel’s public spaces can breathe used to enhance the guest’s tang of “communitas”. Ian Schrager would coincide (Schaal, 2017). After all, with much of Airbnb’s supply being dominated by investor units that provide minute or no host contact, what better an opening for hotel brands to reveal that they are the original connectors of human beings? Sheraton has been sage in incorporating some of these communal elements into its brand makeover by introducing productivity tables and studio spaces and a day-time coffee bar that transforms into a bar at night. In terms of another design element, Airbnb’s attractiveness to family and group travelers can breathe offset by offering connecting and/or multiple rooms for one price, with other tang value-adds thrown in (as with the Marriott family play connecting rooms package.

    Finally, the role of the loyalty program cannot breathe emphasized enough. Loyalty programs must budge beyond programmatic levels to being able to leverage data from guest history, companionable media, and other marketing data sources, powered by predictive analytics, to personalize and individualize the guest tang of the brand. In an age of instant gratification, the loyalty program has to breathe gamified to unlock value-adds and proffer creative bundling.

    At the even of the hotel company, beyond the individual brand, the hotel industry has started participating in the home sharing trade and is increasingly looking to integrate these platform trade models. For example, while Accor purchased Onefinestay, Marriott has teamed up with Hostmaker to create Tribute Portfolio Homes, a partnership that was recently expanded to four European cities (Fox, 2018). From an organic brand progress standpoint, Accor’s newest Jo & Joe brand mimics the sharing economy within the confines of a traditional hotel space. Other, more innovative and bold ways of integrating the sharing economy ethos into a hotel could comprise offering an “Airbnb floor”, an antithesis to the club floor, one that would not proffer housekeeping and other hotel services and thus breathe offered at a lower price. With hotel brands becoming “branded marketplaces” for accommodation and not just hotel rooms, perhaps there is merit in listing hotel rooms on alternative accommodation platforms. HomeAway is already adding hotels to its platform through the Expedia Affiliate Network, while Airbnb is making a shove for bed-and-breakfasts and boutique hotels. Homesharing providers hope that by adding these options to their listings, they will fulfill their goal of being “for everyone”, while allowing independent and boutique hotels to harvest the benefits of branded distribution at a lower cost than traditional OTA brands.

    In sum, hotels must adopt a sales, marketing, and revenue management approach that is both strategic and tactical.

    At a strategic level, hotel brands requisite to re-think their story, and how they portray and fulfill their authenticity and brand promises. At a tactical level, it’s the tang and value beyond the guestroom that must breathe factored into what is presented to current and potential guests, what they are charged for it, and how it is leverage to create “memorable memories” that lead to higher net promotor scores and brand loyalty. They present a graphical summary of the past, present, and future of Airbnb vs. hotels in figure 2.

    Figure 2. Summarizing the past, present and future of Airbnb vs. hotels

    PDF Version Available Here

    References Chen, Y., & Xie, K. (2017). Consumer valuation of Airbnb listings: a hedonic pricing approach. International Journal of contemporary Hospitality Management, 29(9), 2405–2424. Dogru, T., Mody, M., & Suess, C. (2018). Adding evidence to the debate: Quantifying Airbnb’s disruptive repercussion on ten key hotel markets. Dogru, T., & Pekin, O. (2017). What finish guests value most in Airbnb accommodations? An application of the hedonic pricing approach. Boston Hospitality Review. Dolnicar, S. (2018). Unique Features of Peer-to-Peer Accommodation Networks. In S. Dolnicar (Ed.), Peer-to-Peer Accommodation Networks: Pushing the boundaries (pp. 1–14). Oxford: Goodfellow Publishers Ltd. Farronato, C., & Fradkin, A. (2018). The Welfare Effects of Peer Entry in the Accommodation Market: The Case of Airbnb. Fox, J. (2018). Marriott expands homesharing program in Europe. Hotel Management. Retrieved from Hajibaba, H., & Dolnicar, S. (2017). Regulatory Reactions Around the World. In S. Dolnicar (Ed.), Peer-to-Peer Accommodation Networks: Pushing the boundaries (pp. 120–136). Oxford: Goodfellow Publishers Ltd. Lane, J., & Woodworth, M. (2016). The Sharing Economy Checks In: An Analysis of Airbnb in the United States. Retrieved from Mody, M. A., Suess, C., & Lehto, X. (2017). The accommodation experiencescape: a comparative assessment of hotels and Airbnb. International Journal of contemporary Hospitality Management, 29(9), 2377–2404. Mody, M., & Hanks, L. (2018). Parallel pathways to brand loyalty: Mapping the consequences of true consumption experiences for hotels and Airbnb. Mody, M., Suess, C., & Dogru, T. (2018). Not in my backyard? Is the anti-Airbnb discourse truly warranted? Annals of Tourism Research. Mody, M., Suess, C., & Lehto, X. (2018). Going back to its roots : Can hospitableness provide hotels competitive edge over the sharing economy ? International Journal of Hospitality Management. Nieuwland, S., & van Melik, R. (2018). Regulating Airbnb: how cities deal with perceived negative externalities of short-term rentals. Current Issues in Tourism, 0(0), 1–15. Schaal, D. (2017). Ian Schrager Calls Out Hotel Industry’s Airbnb Strategy as Misguided. Skift. Retrieved from Ting, D. (2017a). Airbnb Growth yarn Has a Plot Twist — A Saturation Point. Skift. Retrieved from Ting, D. (2017b). Marriott and election entrap Varied Approaches to Reviving Classic Midscale Brands. Skift. Zaleski, O. (2018). Airbnb and Niido to Open as Many as 14 Home-Sharing Apartment Complexes by 2020. Retrieved from Makarand Mody, Ph.D. has a varied industry background. He has worked with Hyatt Hotels Corporation in Mumbai as a Trainer and as a character Analyst with India’s erstwhile premier airline, Kingfisher Airlines. His most recent experience has been in the market research industry, where he worked as a qualitative research specialist with India’s leading provider of market research and insights, IMRB International. Makarand’s research is based on different aspects of marketing and consumer deportment within the hospitality and tourism industries. He is published in leading journals in the field, including the International Journal of contemporary Hospitality Management, Tourism Management Perspectives, Tourism Analysis and the International Journal of Tourism Anthropology. His labor involves the extensive utilize of inter and cross-disciplinary perspectives to understand hospitality and tourism phenomena. Makarand besides serves as reviewer for several leading journals in the field. In descend 2015, he joined the faculty at the Boston University School of Hospitality Administration (SHA). He received his Ph.D. in Hospitality Management from Purdue University, and besides holds a Master’s degree from the University of Strathclyde in Scotland. Monica Gomez is a graduate student in the School of Hospitality Administration at Boston University. She received her Bachelor’s degree in Tourism, Recreation, and Sport Management from the University of Florida and has held previous internship positions in hotel operations and event management. She is a member of the Hospitality Sales and Marketing International Association and is interested in hotel revenue management.

    February 13th, 2018 in Technology, Winter 2018

    By Tarik Dogru, Makarand Mody, & Christie Leonardi

    “A world with minute or no intermediaries where there is no requisite to build faith between people and transactions are completed in seconds. This is the swear of the Blockchain Technology.” -Tarik Dogru

    Blockchain technology and its economic, social, and technological implications, mainly in the shape of the cryptocurrency Bitcoin, absorb become warm topics of conversation. Indeed, blockchain technology is primarily associated with Bitcoin because it is built on a blockchain platform. However, blockchain technology goes far beyond the cryptocurrencies such as Bitcoin, Ethereum, Litecoin, Ripple, etc. So the question becomes: what exactly is blockchain technology? In this article, they attempt to retort this question, account for how blockchain works, and contend the universal and hospitality industry-specific implications of the technology.

    What is Blockchain?

    Blockchain technology is an online platform that chronologically records transactions and tracks assets through distributed ledgers (i.e., shared ledger) in a network (Anderson, 2016; Peters & Panayi, 2016). Transactions in a network may comprise but are not limited to sending and receiving money, payments for products and services, booking a hotel play or a flight, making a reservation, entering into a contractual agreement, and much more. Furthermore, blockchain technology enables tracking the ownership of assets along with right-to-use in the events of assets being leased to a third party. Simply put, anything of value can breathe recorded, tracked, leased, and exchanged on a blockchain platform and duplicate records of these transactions are simultaneously shared with participating agents in a network. The records are further protected with mathematically configured or cryptographic keys to ensure their security.

    One concern eliminated by the technology is the requisite to absorb trusting individuals on each side of a transaction. A central authority is not required to administer or validate transactions in blockchain platforms (Yli-Huumo et al. 2016). Instead, the technology is decentralized and transactions are executed and authorized by the members in a blockchain platform via cryptographic signatures and duplicate copies of the transactions are distributed to network members (Crosby et al. 2016). Let’s entrap a more minute contemplate at how the technology works.

    Blockchain technology: How it works

    Blockchains are digital databases and require a network of computers to office (Gupta, 2017; Wright & De Filippi, 2015). In a blockchain, transactions are coded into blocks, which are connected to each other in the shape of chains, hence the title block-chain (Crosby et al. 2016; Gupta, 2017; Huckle et al. 2016); Blocks store records of transactions chronologically with timestamps and a unique reference number (i.e., hash) to previous blocks (Gupta, 2017). While the governing rules of different blockchain networks may vary, everyone of its members must coincide that the transactions are indeed legitimate (Davidson, De Filippi, & Potts, 2016; Pilkington, 2015). Once the blocks are created and chained, the records of transactions cannot breathe altered or removed from the blockchain, and the sequence of blocks cannot breathe changed. This provides immutable, tamper-proof data storage and management systems (Gupta, 2017).

    While most of the known blockchains, which are associated with cryptocurrencies, are open source and accessible by anyone with a computer and internet connection, blockchains finish not absorb to breathe public. For example, the Bitcoin blockchain is public, and transactional records are open to public while keeping the participants making the transactions anonymous (Crosby et al. 2016). However, a trade blockchain can breathe private and not require any cryptocurrency, as Bitcoin, Ethereum, and Litecoin do, and may require leave to participate in the network and access the distributed ledger (Gupta, 2017). The degree of leave can besides vary among participants depending on their role in the network. While the technicality of blockchain technology is complicated, it is considerable to outline its essential features.

    Feature 1: Shared Ledger

    Records of transactions or ownership status of assets are concurrently available to everyone the members in a blockchain platform, providing a single source of truth in a blockchain platform. A private blockchain will require leave (i.e., personal key) to access and obtain the records and details of the transaction. Additionally, the degree to which the participants could access these records can breathe limited (Crosby et al. 2016; Gupta, 2017). Some participants may only breathe authorized to see whether a transaction occurred between two parties, while inevitable participants can breathe given leave to view transactions in full detail.

    Feature 2: Security

    Transactions in a blockchain platform are verified through a consensus that are predetermined by the participating members in the blockchain (Pilkington, 2015). Internally, the records of transactions cannot breathe changed or manipulated by network members in a blockchain. Externally, a blockcahin platform is extremely difficult if not impossible to hack because blockchains are stored in many computers and the transactions are encrypted by unique cryptographic signatures (Crosby et al. 2016). The blockchain platform could only breathe hacked if everyone the computers within the network are accessed at the same time.

    Feature 3: Efficiency

    In a blockchain platform, individuals finish not requisite intermediaries to establish faith because transactions are processed and verified within the blockchain network (Anderson, 2016; Gupta, 2017; Wright & De Filippi, 2015). In fact, the Economist defines blockchain as the “trust machine” suggesting that it eliminates the requisite for faith between people (Economist, 2015). In other words, the involvement of third-party arbitrators, such as banks and governments, to verify or accredit transactions is not needed in a blockchain platform. The elimination of intermediaries from the process streamlines the process and significantly reduces transaction time and costs.

    Feature 4: Smart Contracts

    A “smart” compress is a compress that can self-execute and self-enforce a set of rules or provisions in a compress (Davidson, De Filippi, & Potts, 2016). everyone the provisions that require action can breathe executed autonomously, either immediately or at a specific time. Smart contracts may comprise a few or many contractual clauses and may or may not require human involvement, signification they can breathe partially or fully self-executing (Gupta, 2017). The transactions will breathe broadcasted to everyone parties involved and these records are immutable. Lease contracts, for example, can breathe prepared on a blockchain platform as smart lease contracts that comprise everyone the provisions that ordinary lease contracts include, such as a leasing period, lease amount, payment date, lessor’s and lessee’s information, and other governing rules. Enforcing the governing rules and payments for the leased property (i.e., house, car, bike, etc.) can breathe an excruciating process in an ordinary contract, since the lessor has limited information and competence to enforce the compress and thus requires third party involvement. In a blockchain platform, the lessee’s bank account can breathe linked to the lease agreement and payments can breathe completed automatically on the payment date. Similarly, an agreement between a travel booking site and hotels or airlines can breathe executed autonomously and immediately once the event occurs. In summary, smart contracts liquidate the costs and delays associated with ordinary contracts (Crosby et al. 2016; Peters & Panayi, 2016).

    What are the implications of blockchain technology?

    Blockchain technology has the potential to revolutionize many aspects of technology, business, and governance. The trust-free, tamper-evident, and cryptographic security structure of blockchain technology enables digitizing fiat currencies, creating smart contracts, developing decentralized autonomous organizations, and many more applications. Governments, corporations, and other organizations absorb already started to develop blockchain platforms to test and potentially integrate the technology into mainstream use.

    One of the prominent implications of blockchain technology is observed in banking and finance, as it has the potential to create fiscal transactions much more secure, cost-effective, and time-efficient (Peters & Panayi, 2016). Governments could pursue the possibility of digitalizing fiat currencies to facilitate faster and secure transactions with minute or no requisite for intermediaries, which potentially eliminates or reduces transaction costs. In fact, the French government has launched a working group to research the implications, benefits, and applications of blockchain for the public sector (Sundararajan, 2017). Furthermore, the French government announced that it will allow banks and fintech companies to establish blockchain platforms for unlisted securities trading, citing that it will “develop unique ways of trading securities that are faster, cheaper, more transparent and safer” (Sundararajan, 2017).


    Another considerable implication of the blockchain technology will breathe observed in accounting. The current accounting system depends on the double-entry bookkeeping to provide internal control and heavily relies on both internal and external audits to build faith between stakeholders (i.e., suppliers, fiscal institutions, and governments). Blockchain technology has the potential to foster the accounting system to the next level. In a blockchain platform, transactions are automatically executed, verified, and recorded in existent time on a cryptographically-secure distributed ledger, which is accessible to everyone members in the blockchain network. That is, the digitalization of the accounting system via blockchain technology will liquidate the requisite to retain divorce records of transactions across transacting businesses and cross-checking that often requires the utilize of external auditors (Anderson, 2016). In addition to cost-savings and increased efficiency, blockchain technology prevents frauds and manipulations in recordkeeping due to its tamper-evident infrastructure. While blockchain technology could modernize the current accounting system, it could not completely replace the office of accounting departments and liquidate the requisite for auditing. Professional accountants are soundless necessary for auditing, internal control mechanisms, and accounting system improvements.

    The implications of blockchain technology goes beyond accounting and finance services. One-third of 3,000 executives surveyed by IBM reported that they are either considering integrating or absorb already incorporated the blockchain technology into their businesses (Wesley, 2017). The potential to significantly ameliorate supply chain management is besides present (Gupta, 2017; Tian, 2016). The current supply chain management systems are fragmented, and tracking products’ origins and shipments is burdensome. On a blockchain platform, every movement of the product from the initial departure point to the final destination can breathe tracked concurrently by everyone involved in the supply chain. This could liquidate fraud and errors, expand efficiency and security, reduce costs associated with paperwork, and build sustainable inventory management and control systems. In other industries, especially those in which multiple companies are involved in the production cycle, and where the final product consists of many parts, such as the automobile and aircraft industries, tracking and monitoring components of the products and even the asset ownership and the right-to-use of the products could provide better functioning, responsible, and sustainable systems. Airbus, for instance, is in the process of integrating blockchain technology to track and monitor the parts of aircrafts used in the production process (Hackett, 2017).

    Current and Future Uses in the Hospitality Industry

    While the technology is soundless in its infancy, hotels, restaurants, airlines, travel agencies, and other hospitality businesses could ameliorate their service quality, guest satisfaction, and profitability by integrating blockchain technology. As more hospitality businesses adopt blockchain technology, stakeholders in the hospitality industry will collectively profit from its use. In the following section, they present some of the viable ways in which blockchain technology can breathe used in the hospitality industry.

    Tracking guests

    Hotels can breathe instantly updated perquisite from the time that a guest leaves her home for the airport to when she checks in for her flight and even upon arrival at the hotel. This tracking can expand efficiency by reducing wait time during the check in process and thus expand guest satisfaction. While tracking guests’ movements might breathe considered an invasion of privacy, accessing the information will require the guest’s authorization and individuals will breathe able to determine the degree of information that is shared with hotels or other members in the network. Therefore, blockchain technology has the potential to provide seamlessly integrated guest services without intruding guests’ privacy.

    Tracking food

    Tracking and monitoring foods is applicable to the restaurant industry. Indeed, food consumed in restaurants is fraction of the supply chain genesis at the farm. Thus, extending blockchain based supply chain management systems to restaurants could provide better character control and food safety in restaurants. That is, restaurants could collaborate with their food suppliers to breathe involved in the blockchain platform that tracks and monitors the food. Furthermore, restaurants can allow their guests to check the origins of and routes taken by the food used to prepare their meals, via blockchain technology. Simply put, blockchain technology can facilitate faith in restaurants in regards to the character of the ingredients used to prepare meals.

    Airline and hotel points

    Loyalty programs often create more problems than they solve. Hotels and airlines can build loyalty programs on a blockchain platform and issue loyalty tokens as rewards to their guests (Kowalewski, McLaughlin, & Hill, 2017; Kowalewski & Simon, 2016). The loyalty tokens are similar to loyalty points; however, blockchain technology enables customers to freely buy, sell, or exchange their loyalty tokens with others. Allowing customers to exchange loyalty points in an open exchange can besides expand the competitiveness of loyalty programs and expand overall service quality. For example, the market value of company B’s tokens might breathe higher than company A’s tokens due to the character of products and/or services those tokens can buy. So a company that is worth more than the other is likely to breathe the preferred in the market, incentivizing other firms and thus the system as a gross to expand the character of their offerings to attract more customers. Furthermore, loyalty tokens could besides breathe used across industries; consumers would breathe able to utilize their hotel loyalty tokens in restaurants, airlines, coffee shops and other businesses through blockchain platform. In collaboration with IBM, startup technology company Loyyall is developing a blockchain platform where consumers can redeem, buy, sell, or exchange their loyalty points (Hill, 2017).

    Digital ID

    Blockchain technology could provide a solution to identity theft. In airports, hotels, and restaurants, costumers must often present their IDs as proof in order to pass security and check in to their flights, hotel rooms, or consume alcoholic beverages. This makes consumers vulnerable to identity theft; not only by the person who is checking IDs but besides other people around who might obtain considerable personal information. As a solution to this exposure, IDs, including birth certificates, driver’s licenses, companionable security numbers, and passports, among others, can breathe stored in a blockchain platform and people can breathe given permissions to check and validate IDs (Davidson , De Filippi, & Potts, 2016). Similar to QR codes, IDs can breathe in a shape of cryptographically-secured codes that allow verification of one’s identity without seeing essential personal information. In addition to eliminating the likelihood of loss or theft of physical IDs or personal information, digital IDs that are stored on a blockchain could besides liquidate forgery (Gupta, 2017).

    Smart Contracts

    Smart contracts can breathe adopted to facilitate both minor and major transactions in the hospitality industry. Hotels and travel agencies, for example, could streamline their trade relationships with smart contracts on blockchain platforms. Similar to a legal contract, a smart compress between hotels and travel agencies would absorb the contractual provisions that are predetermined by the transacting parties (Crosby et al. 2016; Gupta, 2017; Peters & Panayi, 2016). Anytime a transaction occurs, it is recorded and shared on the blockchain. Once transactions are recorded, the payments can breathe processed immediately based on contractual terms. Not only would this facilitate payment, but would besides further optimize play sales through better collaboration between hotels and travel agencies.

    In a similar vein, the execution of franchise agreements and management contracts could breathe carried out with smart contracts between franchisor, franchisee, management companies, and asset management firm according predetermined governance rules to liquidate combat of interest and expand efficiency.

    The applications of smart contracts can breathe extended to the guests, completely eliminating the check-in process. Through blockchain technology where digital IDs are stored along with an authorized account for payments, hotel rooms can breathe assigned to guests and a digital key can breathe recorded into the blockchain technology once the payment is received. The most considerable advancement in this smart compress is the fact that both IDs and payment information are encrypted via secure codes and are thus not exposed to theft (Gupta, 2017). The application of this smart compress can breathe extended to other industries, such as car rentals, office rentals, leased apartments, and so on. Airbnb properties can besides apply such a smart compress to resolve some existing security concerns., a German startup is working on what is essentially a blockchain-based lock that self-executes based on the lock owners’ predetermined rental terms. These blockchain based locks are installed in properties—cars, houses, offices, etc. and the available dates, along with rental amounts are posted on the smart compress where renters can reserve these rental properties; once the payment is received, the smart compress authorizes access to renters for the rental period.

    Furthermore, smart contracts can facilitate travel insurance in the event that a flight is delayed or canceled. The contractual terms can breathe fraction of the blockchain network via a smart compress and can breathe executed if a retard or cancellation occurs.

    Many companies in the hospitality and travel space are betting Big on blockchain’s bandwagon sequel to facilitate cheaper, better, and faster experiences. TUI Group is already using blockchain technology to manage the distribution of its inventories and assets and manipulate internal processes (Watkins, 2017). Only time will narrate whether the prophecy fulfills itself. However, one thing remains true: during a time when the economy is strong, and the hospitality and travel industry is optimistic about its future, the benefits of blockchain technology are likely to attract the interest and investment dollars of companies across the spectrum (Bujarski, 2018).

    PDF Version Available Here

    Dogru Headshot

    Tarik Dogru earned his Ph.D. in Hospitality Management from University of South Carolina, and holds Master’s degree in trade Administration from Zonguldak Karaelmas University in Turkey.Prior to joining the Boston University School of Hospitality Administration faculty, he was an adjunct faculty at University of South Carolina (2013-2016) and research second at Ahi Evran University (2009-2012) in Turkey. He has taught a variety of courses, including Economics, Finance, Accounting, Hospitality, and Tourism in trade and hospitality schools. He is a Certified Hospitality Educator (CHE) and holds Certification in Hotel Industry Analytics (CHIA) from American Hotel & Lodging Educational Institute. Tarik’s research interests span a wide sweep of topics in hospitality finance, corporate finance, behavioral finance, existent estate investment trusts (REITs), hotel investments, tourism economics, and climate change. Mody Makarand Mody, Ph.D. has a varied industry background. He has worked with Hyatt Hotels Corporation in Mumbai as a Trainer and as a character Analyst with India’s erstwhile premier airline, Kingfisher Airlines. His most recent experience has been in the market research industry, where he worked as a qualitative research specialist with India’s leading provider of market research and insights, IMRB International. Makarand’s research is based on different aspects of marketing and consumer deportment within the hospitality and tourism industries. He is published in leading journals in the field, including the International Journal of contemporary Hospitality Management, Tourism Management Perspectives, Tourism Analysis and the International Journal of Tourism Anthropology. His labor involves the extensive utilize of inter and cross-disciplinary perspectives to understand hospitality and tourism phenomena. Makarand besides serves as reviewer for several leading journals in the field. In descend 2015, he joined the faculty at the Boston University School of Hospitality Administration (SHA). He received his Ph.D. in Hospitality Management from Purdue University, and besides holds a Master’s degree from the University of Strathclyde in Scotland. ChristieChristie Leonardi is a senior at Boston University School of Hospitality Administration. She was a Management Trainee in Mandarin Orchard Singapore and a Pubic Relations Intern in AccorHotels’ corporate office in unique York. She currently holds a position in the Museum of Fine Arts in Boston as a Corporate Relations Intern. Her interests comprise traveling, food, contemporary knack and existent estate.


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  • June 12th, 2017 in Spring 2017, Technology, Trends



    By Mike Oshins

    Over the past 15-20 years, changes in hotel ownership and management, the growth and progress of online reservation systems and the proliferation of lodging alternatives absorb altered the hospitality landscape, bringing unique complexity to the industry. Two decades ago, a Marriott hotel was commonly owned and managed by Marriott; now, many are owned by one company, franchised with the Marriott name, and managed by a third company.  While customers used to breathe able to pick up the phone and call a hotel’s reservations center or utilize their local travel agency to reserve a room, today online distribution systems relish Expedia, Travelocity, and Kayak are powerful intermediaries that absorb everyone but replaced traditional consumer travel agencies.  Travelers may pick among many alternatives to hotels for lodging, including AirBnB, HomeAway, Flipkey, and VBRO.  Mergers and acquisitions continue to multiply, exemplified most notably by Marriott’s purchase of Starwood to create the world’s largest hotel company with 30 brands. Millennials’ preferences absorb pushed the progress of unique brands with unique thinking about hotel design, as demonstrated with Hilton’s Tru, Best Western’s Vib and Glo chains, and Intercontinental’s EVEN.


    Hotel companies are expanding their portfolios to comprise Millennial-focused brands relish InterContinental’s EVEN Hotels and Tru by Hilton. Image sources: Creative Commons InterContinental and Tru

    Travel patterns absorb besides changed.  China has become the largest exporter of tourists in the world, totaling almost 100 million outbound travelers and representing almost one in ten tourists in the world. Chinese travelers besides spent the most money, roughly $250 billion in 2015. For reference, the second highest spenders were Americans at $110 billion.  In the U.S., national discussion about travel bans, unique barriers to hiring non-domestic seasonal workers (a key constituent in unique England’s summer tourist season), viable elimination of the national Brand USA marketing effort, and tenuous Cuba travel policies are everyone creating skepticism in the tourism market.  These changes and ambiguities present unique challenges, both great and small, for the hospitality industry, requiring those at the forefront of the territory to anticipate and respond to the subsequent fallout.

    Prolific trade author John Kotter states that the main role of leadership is dealing with change.  Depending on how it’s viewed, with the arrogate perspective and pliancy, change can present an organization with unique opportunities—the possibility of taking edge of changing demographics, unique technologies, or the emergence of unique markets.  Change can besides raise dilemmas, such as the requisite to address unique competitors, contend with a crossroad or cope with a want of available employees.  Even before developing and implementing successful change management processes, organizational leaders must absorb the competence to recognize the opportunities and dilemmas presented by change and know how to deem about them.  To see the requisite for change, to identify unique realities, either current or future, one must breathe able to view the Big picture and the current climate in unique ways.  This competence to see the present and near future from a unique vantage point is one of the main reasons universal Electric (GE) CEO, Jeff Immelt, moved GE world headquarters to Boston’s expanding Seaport District.  GE’s unique home will “place his leadership team in a vibrant city with a world-renowned innovation scene, instead of in a wooded Connecticut suburb” (Boston Globe), thus giving his senior team a unique perspective, and the opening to create closer connections with institutions able to stimulate unique ideas and create a unique pipeline for employees.   Other than pitiable a $240 billion company’s world headquarters—something that’s not always feasible to achieve—how else can one enhance a leadership kit with tools for responding effectively to change?  The competence to deem more creatively, shape unique habits, change paradigms, reframe one’s perspective, and deem differently by learning unique ideas are everyone tools that can aid in addressing the first constituent of leading change, that is identifying that change is needed.  The following examples highlight some of the ways one can learn to breathe more successful in thinking about and capitalizing on the opportunities presented by change.

    Creative Thinking 21st May 1974: A chainmail-clad John Cleese reads a newspaper while Graham Chapman smokes a  reserved pipe on the set of 'Monty Python and the Holy Grail'. (Photo by John Downing/Express/Getty Images)

    Popular British comedy group Monty Python expressed creative thinking in everyone of their productions, further captured by their tagline, “And now for something completely different!”.  Pictured above: A chainmail-clad John Cleese reads a newspaper while Graham Chapman smokes a reserved pipe on the set of ‘Monty Python and the Holy Grail’. (Photo by John Downing/Express/Getty Images)

    IBM interviewed 1500 CEOs around the world in 2010 and establish Creativity is now the single most considerable leadership competency and is needed in everyone aspects of leadership.  If one thinks in the same artery as everyone else, the opening for unique ideas (and unique solutions) is limited.  The irreverent and offbeat humor of Monty Python is captured in their tagline, “And now for something completely different!”  deem Different! is the mantra for Steve Jobs and Apple, as eloquently explained in Simon Sinek’s Start with Why. Sir Ken Robinson, author and the holder of the top TED Talk finish Schools exterminate Creativity, defines creativity as, “the process of having original ideas that absorb value.” There are many ways to expand creativity, including:

  • Establishing a culture in which failure is a fraction of learning.  “A growing number companies are explicitly rewarding failure – giving cash prizes or trophies to people who foul up (WSJ). Earlier in his career, Johnson & Johnson CEO James Burke once went to see Mr. Johnson after his product launch failed miserably.  Instead of being fired as expected, Mr. Burke establish instead that Mr. Johnson shook his hand and congratulated Burke on the failure.  Along with the handshake, Burke was given the following counsel that became his philosophy: “Business is about making decisions.  You can’t create decisions without failures.  Don’t ever create that same mistake again, but please, retain making unique mistakes!”  Burke made this philosophy “always making unique mistakes” an considerable value within his leadership vision. Similarly, Michael Jordan credits his success with competence to overcome the dismay of failure: “I’ve missed more than 9000 shots in my career. I’ve besides lost more than 300 games. 26 times I’ve been trusted to entrap the game winning shot and missed. I’ve failed over and over and over again in my life. And that is why I succeed.”
  • Collaboration.  Ken Robinson touts that creativity loves collaboration as even individual creativity is almost always stimulated by the work, ideas and achievements of other people. Author Daniel Goleman agrees:  “A close-knit team, drawing on the particular strengths and skills of each member of the group, may breathe smarter and more efficacious than any individual member of that group. Yale psychologist Robert Sternberg calls it “group IQ”—the sum total of everyone the talents of each person in the group. When a team is harmonious, the group IQ is highest…The value of collaboration is a difficult lesson to learn in [some] cultures, where the trailblazing lone hero has long been idolized, and where the role of the individual are so often placed over those of the group. But even those working lonely can learn the advantages of teamwork.”
  • Positive thinking.  It has been proven that merely thinking you are more creative increases creativity. Change your attitude with the mantra: I am creative. IDEO founder David Kelley establish positive reinforcement increased creativity for employees and helped ascertain unique solutions to design challenges.  As people become more restful with the realization that they can breathe more creative, the upward spiral of success is reinforced.  Goleman concurs: “The more you can tang your own originality, the more confidence you get, the greater the probability that you’ll breathe creative in the future.”
  • Challenge the Rules. Pablo Picasso believed in challenging tradition, “Every act of creation is first of everyone an act of destruction.”  A questioning attitude of asking “why” multiple times for the same question (e.g. why finish they utilize time clocks for front line employees?) may result in discovering established rules may breathe hurting more than helping and organization. For example, typewriters were designed with QWERTY keyboards to avoid keys from sticking together if the operator went too hasty (i.e. slowed down how hasty one could type).  Why finish computer keyboards soundless utilize this configuration as a default?  World War II American five-star universal Douglas MacArthur  believed “you are remembered by the rules you break.”
  • Humor. “More than four decades of study by various researchers confirms some common-sense wisdom: Humor, used skillfully, greases the management wheels” (Sala). When people are working together on a problem, those groups that laugh most readily and most often are more creative and productive than their sober counterparts. Joking around makes expedient sense because playfulness is itself a creative condition (Goleman). The utilize of humor or “being silly” can reduce stress and create a learning environment conducive to unique ideas.  Author Jonah Lehrer agrees: “When people are exposed to a short video of stand-up comedy, they solve about 20% more insight puzzles.”
  • Brainstorming.  edifice upon the traditional brainstorming technique where ideas are developed in an atmosphere of non-judgmental environment, additional creative methods absorb emerged, including Edward Debono’s Six Thinking Hats, where “wearing” different colored hats requires addressing the situation with a special focus, Synectics’ inclusion of springboard and excursion techniques to expand view generation and understanding mapping to visually develop ideas. At IDEO, brainstorming sessions comprise the “odd person in” technique, involving people from very different backgrounds that can spark unique ideas.
  • New Habits

    Creating a unique wont or set of habits is another artery to change how they see things.  In his iconic 1989 book, The 7 Habits of Highly efficacious People, Stephen Covey illustrates how powerful an influence habits can breathe in their lives. Covey describes a wont as the intersection of knowledge, skill, and desire: “Knowledge is the what they finish and why they finish it [principles], covet is the motivation, the want to do, and skill is the how to do.” His seven habits—Be Proactive, open with the discontinue in mind, reclaim first things first, deem win/win, hunt first to understand…then breathe understood, Synergize, and Sharpen the saw—provide a artery of thinking and acting in trade and life.  By embracing these habits, one can maintain a better balance and create the opening to find unique ways of looking at situations.

    Barista Kim Jung Mi, a mother who had left the workforce seven years ago and is now employed by Starbucks Coffee Korea Co. under its "returning-mom" program, right, serves a customer at one of the company's stores in Gimpo, South Korea, on Friday, March 7, 2014. Starbucks Korea's "returning-mom" program is  fraction of a drive to raise female participation in Asia's fourth-largest economy as the nation's first female leader, President Park Geun Hye, tries to counter the effects of an aging population. Photographer: SeongJoon Cho/Bloomberg via Getty Images

    Through role playing, discussion, and feedback, Starbucks employees are trained to develop habits of willpower. (Photographer: SeongJoon Cho/Bloomberg via Getty Images)

    Charles Duhigg’s more recent bestseller, The Power of Habit, addresses the view of habits as “why they finish what they finish in trade and life.”  Taking a psychological approach, Duhigg explores the theory of cues (something that triggers a habit), routines (actions taken in response to cues), and rewards (the positive experiences resulting from routines), which together comprise the wont loop.  For example, Starbucks develops habits of willpower to profit their staff deal with stressful times. Through role-playing, discussion, and feedback, they train employees how to react to a cue (e.g., an wrathful customer or a busy period) by choosing a inevitable routine ahead of time (e.g., remaining calm, looking for solutions, etc.). When an inflection point arrives (cue), employees are able to manipulate the situation smoothly, resulting in the reward of a satisfied customer and successful chaos management. In this scenario, Starbucks helps their staff create habits by helping them change how they approach and address dilemmas.  One employee now thinks of his green Starbucks apron as a shield – when he puts it on, wrathful customers can no longer strike him!


    Taking a psychological approach, Duhigg explores the theory of cues (something that triggers a habit), routines (actions taken in response to cues), and rewards (the positive experiences resulting from routines), which together comprise the wont loop.


    “The power of reframing things can unlock a vast array of solutions to problems Big and small,” states author Tina Seelig.  She illustrates reframing using a classic scene from the Pink Panther movie (a hospitality example, no less).

    Inspector Clouseau: Does your dog bite?

    Hotel Clerk: No.

    Clouseau [bowing down to pet the dog] Nice doggie.

    [The dog bites Clouseau’s hand.]

    Clouseau: I thought you said your dog did not bite!

    Hotel clerk: That is not my dog.

    We might breathe tempted to vice the clerk when the dog bites Clouseau, but the clerk’s final statement surprises us and causes us to esteem the situation differently.

    One of the key elements of reframing is to view a circumstance with a fresh perspective. In Tom Stoppard’s play, Rosencrantz and Guildenstern are Dead, they see Shakespeare’s classic yarn of Hamlet through the lens of two minor characters, and in the Broadway hit Wicked, the Wizard of Oz yarn is interpreted from the witches’ perspectives, revealing a more complex and altered understanding of the Wicked Witch of the West and Glinda, the expedient Witch.  Reframing a situation allows the possibility of unique lessons and solutions which otherwise may depart unnoticed.

    NEW YORK - JUNE 6: (HOLLYWOOD REPORTER OUT) American singer and actress Idina Menzel of "Wicked" performs on stage during the "58th Annual Tony Awards" at Radio City Music Hall on June 6, 2004 in  unique York City. The Tony Awards are presented by the League of American Theatres and Producers and the American Theatre Wing. (Photo by  outspoken Micelotta/Getty Images)

    The Broadway hit Wicked, the Wizard of Oz yarn is interpreted from the witches’ perspectives, revealing a more complex and altered understanding of the Wicked Witch of the West and Glinda, the expedient Witch. (Photo by outspoken Micelotta/Getty Images)

    In their approach to reframing, authors Bolman and Deal utilize frames as a useful utensil to create sense of organizations.  The four frames, structural (emphasizing roles & policies), human resource (highlighting human needs, skills and relationships), political (focuses on power, combat and competition) and symbolic (emphasizing culture, meaning, ceremonies and stories) proffer different perspective on how to deem about organizations.  Each frame provides a different language and model in managing, evaluating, diagnosing and understanding and leading an organization.  Altering the artery in which they typically frame an organization can profit us better communicate with those who interpret the organization differently.  Viewing an organization from different frames may besides unleash a variety of unique ideas to address current or emerging dilemmas or raise up unique opportunities to respond to change in their world.

    Another illustration of reframing is illustrated, quite literally, in how they view the world. This spring, 600 classrooms in the Boston Public School system switched from teaching the traditional European-centric Mercator map, developed in the 1500s, to the Peters Projection map (1974), in which land masses are more accurately represented in relation (size and proximity) to one another.  For example, using the Mercator map, Greenland and Africa materialize the same size; in the Peters map, however, Africa, which is 14 times larger than Greenland, is more proportionally displayed.  This view was brought to mainstream US in a 2001 West Wing clip by the ‘cartographers for companionable equality’. At one point, when confronted with these unique perspectives, a West wing official asked, “You breathe considerable Germany is not where they deem it is?”— to which a cartographer responded, “Nothing is where you deem it is.” The issue of perspective and change about their world, met with incredulity in a fictional drama, became reality this spring in Boston Public Schools.

    Paradigms Shifts

    The Oxford Dictionary defines a paradigm as “a typical illustration or pattern of something; a pattern or model.” Scientist Thomas Kuhn introduced the concept of the paradigm shift in his influential 1962 book, The Structure of Scientific Revolutions.  Groundbreaking paradigm shifts comprise examples in areas as diverse as physics, health, and astronomy—think of what Galileo had to depart though to convince royalty that the earth rotated around the sun (Copernicus theory) when most astronomers believed the reverse to breathe true.  A paradigm shift changes how they contemplate at things. Malcolm Gladwell’s best-selling books focus on rethinking preconceived ideas, starting with his breakthrough 2006 reserve The Tipping Point and continuing with his more recent reserve David and Goliath, which offers several existent life examples of when a perceived strength can breathe a weakness and a weakness… a strength.  For example, an extraordinary lofty number of successful entrepreneurs are dyslexic, including Jet Blue founder David Neeleman.  The challenge of dyslexia as a child may provide coping skills later in life – billionaire Sir Richard Branson of Virgin Air considers his dyslexia his greatest trade advantage.

    AUSTIN, TX - MARCH 15: Journalist Malcolm Gladwell attends 'Bill Gurley And Malcolm Gladwell In Conversation' during the 2015 SXSW Music, Film + Interactive Festival at Austin Convention center on March 15, 2015 in Austin, Texas. (Photo by Robert A Tobiansky/Getty Images for SXSW)

    “As the playwright George Bernard Shaw once reclaim it: “The reasonable man adapts himself to the world: the unreasonable one persists in trying to conform the world to himself. Therefore everyone progress depends on the unreasonable man,” from Malcolm Gladwell’s David and Goliath: Underdogs, Misfits, and the knack of Battling Giants. (Photo by Robert A Tobiansky/Getty Images for SXSW)

    In business, paradigm shift examples comprise disruptive innovations (e.g., the Internet, mobile technology, and Big data analytics), shifting global economies, climate change, employee and societal demands, and changing consumer preferences.  Futurist Joel Barker explains that when a paradigm shift occurs, everything resets to zero, past successes guarantee nothing, and shifting trade models shift to create unique realities.  For example, once-successful Big box stores and corporations that could not conform to the digital age, such as Borders Books, Blockbuster, and Kodak, went bankrupt. Compare these examples to Netflix, which was able to successfully navigate from their trade model of renting DVDs through the mail to streaming movies and television shows over the internet to expand their market share.  Flexibility to conform to paradigm shifts is a powerful tool. As Charles Darwin explains in describing his iconic research: “It is not the strongest of the species that survives, nor the most intelligent, but the one most responsive to change.”           

    UNSPECIFIED - AUGUST 01: Biology - Evolutionary theory: theories of Jean-Baptiste Lamarck and of Charles Darwin. Illustration. (Photo by DeAgostini/Getty Images)

    An illustration of Darwin’s well-known view of “Survival of the Fittest” (Photo by DeAgostini/Getty Images)       

    Self-Reflection and Understanding

    Shifting paradigms and changing one’s perspective starts with self-reflection: the better they understand ourselves, the better they can approach change.  Daniel Goleman provides the multi-faceted framework of emotional intelligence, including two personal competencies (self awareness and self management) and two companionable competencies (relationship management and companionable awareness) that should breathe examined to profit better understand moods and how they strike those around them. Peter Drucker asserts in order to breathe productive over a 50-year work-life it is considerable to cultivate a deep understanding of one’s self.  He offers several penetrating questions in his Harvard trade Review article Managing Oneself, including “How finish I work?” “Where finish I belong?” and  “What can I contribute?”

    There are besides many tools available to profit provide insight into the ways in which they each view and navigate the world around us. With over two million Myers Briggs sort Indicator (MBTI) assessments being administered every year in more than 70 countries, this personality profile tool, based on the labor of renowned psychologist Carl Jung, continues to breathe wildly well-liked in helping people better understand themselves. Key MBTI elements comprise how they focus their energy (introversion vs. extroversion), the artery they entrap in information (sensing vs. intuitive), create decisions (thinking vs. feeling) and their attitudes toward the external world and how they orient ourselves to it (view the world to breathe organized and methodical vs. springy and breathe experienced).  The Big Five personality traits, Fundamental Interpersonal Relations Orientation (FIRO), Thomas-Kilmann combat mode instrument (TKI), and the sturdy Interest inventory are everyone additional tools that can profit anatomize one’s preferences.

    Identifying one’s personal values is besides a sturdy trend in trade today, with a plethora of instruments available for self-discovery.  For example, after a two-day, internal values-clarification exercise, each member of the senior leadership team of the Vail Centre posts his/her top five values on the company’s website for everyone to see.  Determining and focusing on one’s strengths rather than one’s weaknesses is the cornerstone approach to Gallop Poll and Don Clifton’s Strengthfinder 2.0.  This self-assessment utensil enables one to identify their  top 5 of 34 different talent themes, from Achiever to WOO (winning others over).  By better understanding one’s natural instincts, strengths, weaknesses and personal preferences, one can expand the likelihood to learn how other colleagues or customers from different backgrounds, cultures, generations or perspectives see things differently, enabling unique approaches or frames to address change.

    In his book, The Spirit to Serve, Marriott International founder J.W. Marriott, Jr.  adopted 19th century philosophy Alfred North Whitehead’s  perspective when developing the Marriott Way, “The knack of progress is to preserve order amid change and to preserve change amid order.”  The competence to deem differently as the hospitality industry moves into uncharted territories—both nationally and internationally, within organizations and in local markets, online and in person—is becoming more considerable as change continues to evolve at a faster pace than ever before.  Being spry and open-minded enough to adapt, addressing challenges and/or seizing opportunities, will determine which companies wither away and which ones thrive.  At the heart of these circumstances is the competence to recognize trends, realize the requisite for change and act on these situations in ways that navigate the needs of an organization, and its staff and customers.  Mental flexibility, adaptability, creativity and personal awareness are key tools in this process that can profit hospitality leaders see things from different perspectives, gain unique insights, develop and pilot unique ideas and better respond to an ever-changing world.

    PDF Version Available Here


    Michael Oshins is Associate Professor of the drill of Leadership in the School of Hospitality Administration at Boston University. He is former Vice President of Integer Dynamics, a hospitality consulting firm focused on operational productivity and technology. He holds a doctorate in human resource education from Boston University and a master’s degree in hotel administration from Cornell University. Email: References
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  • June 12th, 2017 in Hotels, Spring 2017, Technology, Uncategorized

    Rack  play cover

    By Peter Szende and Pooja Reddy

    Front-of-House & Front Desk

    Have you ever really noticed the front desks of the hotels that you visit? Chances are, you don’t deem twice about it—because more and more, the front-of-house district is designed to breathe subtle and unobtrusive. If you are alert of the front desk area, it’s more likely to breathe due to its high-tech accoutrements and services. Some hotels now arrive equipped with features relish automated check-in kiosks and even computerized luggage carriers. While this may not breathe the standard, it’s rapidly becoming more common and indicates the direction that hotels are taking for their front-of-house environments. Since the front desk is usually the first point of contact that guests absorb with a hotel and is where they check in and out, request information, settle their accounts, and proffer different types of feedback (Steadmon & Kasavana, 1988), the accessibility and style of this district can create a huge impact.

    Prior to the introduction of computerization and other technological updates, front office tasks were performed quite differently, although the front desk was just as integral and the system  was extremely methodical and efficient. The evolution of the hotel front-of-house, as overseen by the front office department, over the final several decades indicates larger changes and trends within the hospitality industry itself. This article takes a trip back in time and offers a glimpse of the past through an exploration of the conventional systems of hotel front office racks.

    Let’s first depart back to the early 20th century: during this time, hotels were considered to breathe “manual,” and most functions were carried out by systems that leveraged heavily on human capital. Besides billing and accounting, the hotel staff were liable for duties relish play status checks and guest registration. As advancing technology began to address some of these functions, hotels gradually transitioned to the utilize of “electromechanical systems which were semi- automated, before pitiable to a wholly computerized, fully automated arrangement” (Steadmon & Kasavana, 1988). The heart of the front desk became a metal file system that consisted of pockets to hold rooming and reservations slips, called the play rack. You may already breathe confidential with the play rack without knowing: it is from this system that they absorb derived the term “rack rate,” the undiscounted price a hotel will saturate for a room. Formerly, when guests arrived at a hotel without a reservation, “traditionally, the yardstick rate was posted on or near the play rack.” (Steadmon & Kasavana, 1988, p. 110).

    John Willy  play Rack [Advertisement] (1920, July). The Hotel Monthly, 28(328) p. 11.

    John Willy play Rack [Advertisement] (1920, July). The Hotel Monthly, 28(328) p. 11.

    The pneumatic tube was besides a system used in earlier hotels. Behind the clerk’s desk, where the mail and information racks were located, a battery of pneumatic tubes connected to every department of the hotel. These extensively utilitarian tubes carried a mass of information ranging from mails and orders to charges and meal checks. These tubes saved a lot of time and labor and accelerated several procedures by creating a network between service departments (Willy, 1919). Even as recently as the 1980s, you could send restaurants checks through this pressurized air network directly to the hotel’s front office cashier. In just a few seconds, the check traveled through the pneumatic tube to the bill clerk, who would quickly post the charges before the guest checked out.

    Key Front Office Positions in a Manual Hotel

    Today, it would breathe almost impossible to maintain a play rack or pneumatic tube system because the sheer size and breakdown of contemporary hotels render it completely impracticable. However, hotels in the past were smaller and contained fewer major departments. For example, the unique Yorker Hotel’s front office consisted of three departments: the reservations department, the mail and information department, and the rooms department. Using the unique Yorker Hotel as of 1931 as an example, they can trail the history and progress of these departments and the positions within them.

    Reservations Department

    Reservation clerk: The reservation clerks answered reservation telephones and filed reservation slips or tabs in the play rack. The slips or tabs were usually color-coded to denote the sort of reservations. Below is an illustration of a color code system (Dukas, 1960, pp. 24-25).

    Regular Reservation Late Arrival Special Attention Conventions Travel Agency Reservation

    In more advanced reservation systems, hotel reservationists completed carbonated, perforated rack slips on a typewriter, after which copies were distributed to various areas of the front office and hotel as needed.

    Mail and Information Department

    Mail and information clerk: relish the reservation clerks, the mail clerks answered telephones and inquiries specific to their department’s purview. They besides made verifications of “unregistered” reports which are given out by switchboard operators. The mail clerk checked emergency arrival slips and accepted incoming telegrams and special delivery letters. He/she besides handed out keys and mail to guests.

    Tube clerk: The tube clerks were in saturate of receiving and dispatching mail to and from the different floors and departments through the pneumatic tube system.

    Rooms department:

    Room clerk: play clerks were stationed at the registration desk to serve the guests. The play clerk had to breathe knowledgeable about the different types of rooms in the hotels, along with their respective amenities, furniture, and location. The play clerk instantly knew how to manipulate each arrival, as the color of the slips the guest carried or received indicated the sort of booking (Ducas, 1960).

    Rack clerk: Rack clerks were in saturate of checking the status and condition of the rack at any point of time, as well as at specific hours against vacancy reports, and made any necessary corrections.

    Stacks of Racks: the Different Types of Racks

    The play rack is only the tip of the iceberg: hotels adopted a rack system for just about every facet of their front desk operations. Not only did they each serve different purposes, but the various structures besides reflected different styles and systems in vogue at the time. It may breathe difficult to imagine what they might absorb looked like; so, since a picture is worth a thousand words, they absorb compiled a quick photo gallery to create a visual steer to the past.

    Reservation Rack

    The reservation racks contained the names of the expected guests and their arrival dates. Typically, there was one rack for every day of the upcoming months and fewer racks for future arrival dates. In larger hotels, racks often covered the gross wall of the reservation office.

    Dumont [Advertisement] (1917, April). Office Appliances, XXV(4) p. 26.

    Dumont [Advertisement] (1917, April). Office Appliances, XXV(4) p. 26.


    Room Rack

    According to Ismail (2002, p. 200), “The play rack would identify each play sort and configuration at a glance,” as well as the occupancies and vacancies available in the hotel (Dukas, 1960, p. 37). Managers would note each play on the rack according to a inevitable color code in order to note the play status. The unique code would provide information regarding the occupancy, cleanliness, and pricing of that particular room. The play rack not only indicated the sort and location of the room, but besides details relish the room’s occupancy status, its rate for single and double occupancy, and its connections to abutting rooms (Dukas, 1960).

    Much relish today’s front desk set-ups, play racks were designed to breathe nearly invisible upon check-in. Sophisticated systems were typically mounted and arranged in a 60-degree angle behind the front desk. A typical play rack is shown in the picture below.

    Handling Guests’ Accounts and Reservations (1953, January). Hotel Monthly, 61(718), p. 45.

    Handling Guests’ Accounts and Reservations (1953, January). Hotel Monthly, 61(718), p. 45.

    This is how the ‘The Hotel World Magazine’ described the job of play clerks upon visiting a hotel in unique York City:

    Swan, W.R. (1921, November 12). The Hotel World: The Hotel and Travelers Journal, 93(20), p. 10.

    Swan, W.R. (1921, November 12). The Hotel World: The Hotel and Travelers Journal, 93(20), p. 10.

    As with any expostulate feature, time and innovation gradually caused the play rack to evolve. Frederick A. Muschenheim, the brother of the owner of the Astor Hotel in unique York, made several innovations in hotel technology (Miscellaneous Hotel Notes, 1913, p. 66)., one of which was a play rack frame with springy card holders mounted on pivots.     

    Muschenheim, F. (1908, February 11). Hotel  play Rack. U.S. Patent No. 878, 554. Washington, DC: United States Patent Office.

    Muschenheim, F. (1908, February 11). Hotel play Rack. U.S. Patent No. 878, 554. Washington, DC: United States Patent Office.

    Sales Rack

    To avoid selling the same play twice and to facilitate the sales of rooms, busy hotels used a control rack that consisted of the cards of every play in the hotel that was available for sale.

    Room Sales Rack with price Zones and Markers

    The Hotel Monthly (1920, March), 28(324), p. 31.

    The Hotel Monthly (1920, March), 28(324), p. 31.

    Letter and Key Rack

    The missive and key racks contained pigeon holes for the aforementioned items. They maintained guest keys and were arranged by play number.

    Letter and Key Rack at the Hilton Istanbul

    Hospitality Archive, Hilton College, University of Houston

    Hospitality Archive, Hilton College, University of Houston

    Key racks were sometimes combined with the play rack in order to minimize the number of racks. Below is an example:

    Used by permission. Copyright ©2017  everyone rights reserved. American Hotel Register Company.

    Used by permission. Copyright ©2017 everyone rights reserved. American Hotel Register Company.

    Information Rack

    These racks contained the names and play numbers of everyone the registered guests of the hotel. The racks were alphabetically organized by the guests final name.

    A Rotary sort Information Rack

    Source: Kohler [Advertisement] (1921, July 2.) The Hotel World: The Hotel and Travelers Journal, 93(1), p. 59.

    Source: Kohler [Advertisement] (1921, July 2.) The Hotel World: The Hotel and Travelers Journal, 93(1), p. 59.


    Room Racks with Electric Signaling Devices – Early Efforts

    In order to facilitate instant communication between the play clerks and the housekeeping department, the Astor Hotel in unique York introduced an electrical system with lights in the early 20th century. The system is said to absorb consisted of a set of sockets for little electric bulbs which were positioned at the front of the play rack. The system was directly linked to bulbs on the doors of every room. When the play clerks received notice from the cashiers that a guest had vacated the room, they would site a bulb into the corresponding play number on the rack. The bulb would light up, and the light on the play door would immediately glisten up and down at regular intervals. This brought the attention of the housekeeping staff, who inserted a key below the bulb on the door when he or she went in to create up the room. This would then turn off both the light on the door and the light on the play rack as well. The automatic signal device saved a considerable amount of time and labor (Efficiency at Astor, p. 26).

    Room Racks with Electric Signaling Devices – Efforts at the Advent of Computerization

    In the 1970s, leading hotel chains of the time, such as Hilton and InterContinental, significantly enriched their hotel signaling systems. Following in the footsteps of Muschenheim, play racks evolved to breathe complemented by consoles that indicated play status and housekeeping requirements. Toward the discontinue of the 1980’s, computerized systems based on a combination of lights enhanced front office operations by indicating the exact play status next to each play rack slip. Housekeeping employees could change the status of the play rack remotely by turning their keys in a socket located in the guest rooms.

    Room Status Light Combinations on the play rack at the Forum Hotel Budapest in the 1980s. (Courtesy of Péter Várhegyi)


    In automated systems, most of the racks discussed above were eliminated, as information is internally managed by the computer systems. Today, it is rare to find any hotel operating on a rack system; missive and key racks occasionally soundless exist to preserve a memento of the past.

    PDF Version Available Here

    image 11 Dr. Peter Szende has over 25 years of management tang in the hospitality industry in both Europe and North America. He joined the Boston University School of Hospitality Administration as an second Professor in 2003. He was promoted to Associate Professor of the drill in 2010. Currently, he serves as Associate Dean of Academic Affairs.Pooja Reddy is a senior at Boston University, pursuing a Bachelor of Science in Hospitality Administration and a double minor in trade and Deaf Studies. She currently works as a student office second at the School of Hospitality Administration, and a marketing intern for Tasting Counter, Somerville. References
  • Willy, J. (1919). Hotel Pennsylvania of unique York. The Hotel Monthly, 27(321), p. 28.
  • Efficiency at Astor. (1917, September 15). Hotel World, LXXXV(11), p. 26.
  • Ismail, A. (2002). Front Office: Operations and Management. Albany, NY: Delmar
  • Dukas, P. (1960). Hotel Front Office Management and Operation. Dubuque, IA: WM.C. Brown.
  • New Yorker Hotel (1931). Front Office Manual.
  • Steadmon, C., & Kasavana, M. (1988). Managing Front Office Operations. East Lansing, MI: AH&MA.
  • Miscellaneous Hotel Notes (1913, May). The Hotel Monthly, 21(242) p. 66.
  • June 7th, 2017 in trade Practices, Hotels, Marketing, Spring 2017, Technology, Uncategorized

    The TripAdvisor Inc. application is demonstrated on an Apple Inc. iPhone for a photograph in Washington, D.C., U.S., on Friday, May 5, 2017. TripAdvisor is scheduled to released earnings figures on May 9. Photographer: Andrew Harrer/Bloomberg via Getty Images

    Photo Source: Andrew Harrer/Bloomberg via Getty Images

    By Nick Cohen

    The year is 2001, and the world is soundless recovering from the tragedy of September 11th.  The travel industry is in a downward spiral as fears of flying and terrorism ripple across the United States and beyond, and hotels absorb lost significant occupancy due to a lessen in demand.

    Simultaneously, a fledgling technology is emerging which will eventually entrap edge of the internet explosion, as well as hotel management’s desperation to fill rooms. It will reshape their industry forever, and this platform now commonly referred to as Online Travel Agencies, or OTAs, will allow hotels to easily sell their rooms on the internet through unique consumer facing websites such as Expedia, Travelocity and Orbitz.

    Fast forward to 2017. The OTA’s absorb gained the majority of market share for online reservations, and digital platforms relish and absorb loyal member volumes that far surpass brand websites.  In many cases, the OTA companies are valued well beyond traditional hotel brands (as of May 2017, Priceline Group has a market capitalization of nearly USD 92 Billion).  They absorb besides helped to create a unique concept as they grew in popularity and scale over the final number of years, and it was the precedent of transparency. Pricing that was once hidden to the everyday user, could now breathe exposed to the gross world, publicly, with a few clicks online. As OTA channels grew enormously with time, so did the access to existent time rates and availability for virtually every hotel around the world.

    With this concept in mind, from the OTA’s they absorb seen the rapid expansion of ‘meta search’ channels. These are one-stop price comparison platforms where a customer can view a price for a single hotel play across multiple websites (without having to browse those websites one-by-one). Sites within this category comprise Kayak, Trivago, TripAdvisor, Qunar and Google, and they are everyone working to simplify the travel research process for consumers.


    Featured above are some of the most well-liked meta search channels

    With the OTA channels continuing to grow through massive marketing efforts and superior technology, and with meta search sites following their lead, a relatively unique challenge has emerged for hoteliers. It represents a very complex dynamic between one of the most traditional ways to sell a hotel room, and one of the most modern ways to sell a hotel room. This once again everyone comes back to the concept of price transparency. Wholesale has been a core trade driver in hotels for many years, helping properties build ground trade through private negotiated rates and partnerships. Historically, these wholesalers would sell their inventory offline to their own private networks of contacts. Even though the pricing would typically breathe lower than publicly available RACK rates, it was a liable foundation of occupancy for hotels to build off of.

    As technology has become more sophisticated with Application Programming Interfaces (APIs) readily available, they absorb seen the rapid growth of wholesale rates being sold publicly, online, through some of the powerful meta search channels mentioned above.  This means that wholesalers are selling discounted rates, which directly undercut brand websites and OTAs, to anyone who has access to the internet.  Beyond just meta search, some OTA websites are now even positioning themselves as ‘online marketplaces,’ where they too will sell wholesale inventory directly instead of the inventory provided by the hotels. To remain competitive and expand market share, online channels want to sell the lowest price possible, even if it means reducing their own margins by selling a cheaper play to the customer.

    OTA Meta search

    Meta Search Websites such as HotelsCombined (shown above) showcase wholesale aggregator sites relish and which absorb prices that undercut the brand’s direct website and other OTA channels

    You would deem that hoteliers would want to fix this problem immediately. Online wholesale trade undercuts channels which are much more profitable such as their direct brand website.  This issue however is multi-layered and is not facile to remedy for the following key reasons:

    Hotels soundless want wholesale business!

    Hotels soundless maintain sturdy relationships with a number of wholesale partners, Big and small, and they rely on these partnerships to generate ground business. Turning off these channels would potentially breathe considerable the loss of significant revenues, at least in the short term.  Although wholesale channels can undercut other websites when sold online, they besides soundless generate incremental trade when sold offline through the traditional method

    Finding the source of gross trade online can breathe very difficult

    When wholesale rates appears online, it’s generally very difficult to know which wholesaler specifically is providing that inventory. The wholesale partners themselves don’t generally sell rooms through their own websites, but sell their rates through wholesale aggregation channels such as  It’s channels relish Amoma who then sell the rates online through their own interface, and promote their rates through larger meta search intermediaries such as Trivago and TripAdvisor.  Generally the only artery to find the accurate source is to create a test booking online, and then track how that reservation comes into the hotel’s central reservation system (each reservation is typically flagged with an inventory source).  Many hotels are reluctant to finish this since a booking requires utilize of a credit card and sometimes even pre-payment, and then cancellation of that test booking is not always facile to do. The test booking process is both cumbersome to manage at scale, and is besides financially risky for a hotel if those booking cannot breathe cancelled.

    Room bookings can  breathe made through and other wholesale aggregator websites by anyone online. However, the back  discontinue wholesale source for each booking from Amoma and other channels  relish it can  breathe very challenging for a hotel to identify

    Room bookings can breathe made through and other wholesale aggregator websites by anyone online. However, the back discontinue wholesale source for each booking from Amoma and other channels relish it can breathe very challenging for a hotel to identify.

    Employee incentives are at stake

    Within hotel sales departments, team members are soundless incentivized to drive wholesale volume, regardless of where that volume is being sold (offline or online). Wholesale partners generally don’t provide specifics on how they are selling their inventory, and as long as play allotments are sold, the liable sales team members are satisfied. This is creating an unavoidable rift between the direction of some sales leaders with the revenue management and digital strategy teams.

    So what’s next?

    Hotel companies are dealing with this situation in a variety of ways. Some are cutting off wholesale altogether since they simply can’t control where their inventory is ending up. Others are maintaining the partnerships, but are working to budge away from static play allotments and over to dynamic pricing and availability where the hotels absorb more control over the inventory they send to the wholesalers. This is a major problem facing the industry that very much remains unsolved.

    If they entrap ourselves back to the 2001, price transparency was a challenge for hoteliers. Properties simply didn’t absorb direct access to a great enough segment of customers, therefore traditional partnerships relish wholesale was an absolute necessity. With the growth of the OTAs though, and the emergence of unique technologies such as meta search, that access is no longer an issue. The world is accessible for each hotel with a few quick key strokes on a computer. It is now only a matter of time until hoteliers create one of the following decisions:

  • Utilize wholesalers purely as another online distribution channel, selling rates that are parity with every other website ( and OTAs)
  • Remove wholesale out of the channel amalgamate altogether, realizing that play inventory can breathe be sold among the legion of websites and digital platforms already available
  • PDF Version Available Here

    Nick Cohen HeadshotNick Cohen is based in Hong Kong and leads digital strategy for Hyatt Hotels in Asia Pacific.  He oversees online marketing efforts for everyone Hyatt brands and properties across the region, and manages a variety of e-Commerce and digital platform projects to profit expand online revenues for the company. Prior to joining Hyatt, Nick held senior e-Commerce and digital marketing roles at Langham Hospitality Group, Mandarin Oriental Hotel Group and Sabre Hospitality Solutions.  Earlier in his career, working on-property for various hotels he developed extensive knowledge in operations, along with Sales & Marketing and Revenue Management expertise. Nick besides holds a graduate diploma in Hotel and Tourism trade Management from Boston University.   Sources:

    October 3rd, 2016 in descend 2016, History, Hotels, Restaurants, Technology, Uncategorized

    By Peter Szende and Annie Holcombe

    The evolution of society and technology has created unique trends and innovations. The hospitality industry tries to remain even with unique technological advances in order to retain up and engage with their guests. This modernization has eliminated various practices and inventions that were once predominant in the industry.

    Throughout the 19th and 20th centuries, tourism changed dramatically due to the industrial revolution. A middle class emerged in society. This unique class had the money and opening to expend on food and travel. Travel was made easier with the invention of steam engines that powered locomotives and automobiles. Through modernization, steam engines absorb been eradicated and replaced by diesel-powered engines.

    With travel being made more accessible throughout the decades, the hospitality industry constantly evolved their practices as society and technology progressed. Hotels looked for intelligence ways up service their customers, which led to the invention of the Servidor in 1918. The Servidor enhanced a guest’s privacy during their hotel stay. In Chicago, the Berghoff restaurant successfully operated on an conventional German system of coins until 1980. These once revolutionary innovations absorb gone extinct, merely becoming fragments of the past.

    The Servidor – The silent Servant

    During the early 1900’s, technological advances such as the electric fridge invented in 1910 and the creation of stainless steel in 1916 started to modernize the hospitality industry. In June 1918, the contraption known as the Servidor began emerging in hotels. The Hotel Fort Shelby of Detroit was the first hotel in the world that implemented Servidor service. (Ibbotson, p. 45).  The Servidor transformed the artery hotels provided guest services by offering guests the privacy of a existent home.

    hotel cleveland Hotel Cleveland advertising Servidor Service. Source: Hotel Cleveland [Advertisement]. (1922, January). The Hotel Monthly, 30(346), 103.

    Servidors consisted of a full-length cabinet, which has one door on the play side and another one on the corridor side. Its privacy feature was the fact that the doors could not breathe opened at the same time due to an interlocking device. For safety, the door to the play side could only breathe opened from inside the guest room, not from the outside. This protected guests from intruders. In order to notify the guests that there was a completed delivery in the door there was a silent signal device on the play side of the door. (Hastings, 1919).

    A Servidor was used to minimize interaction between guests and employees. Guests would telephone the front desk and request for items to breathe delivered to their rooms. Guests could besides leave their clothes to breathe pressed or shoes to breathe shined in the Servidor. A hotel employee would grab it and then revert it without disturbing or interrupting guests.  Servidors provided a modernized, efficient system for guests to receive and deliver their personal belongings. Guests were saved the rigor of bringing their parcels to and from the lobby.

    SErvidor Co Hotels highlighting minimized interaction with staff. Source: The Servidor Co. [Advertisement]. (1921, June). The Hotel World, 92(26) 4.

    This particular invention reduced inefficient practices such as delayed messengers and repeated service calls when guests were out of the room. everyone of these faulty practices resulted in an ineffective utilize of employees paid time.  Regardless of where the guests were and the time of day, Servidors allowed for a 24/7, delivery service, whether it was to the guest play or from the guest room. Employees would breathe able to leave guests’ belongings in the Servidor, thus making the hotel’s labor more efficient.

    The following magazine ad summarizes the anticipated advantages of Servidor. According to the Servidor company, installing their doors is a not only a service enrichment but besides a profitable investment.

    Source: The Servidor Co. [Advertisement]. (1922, June). Hotel Management, I(5) 237.

    When the Hotel Pennsylvania, the largest hotel in the world at the time opened its door in 1919, the Statler management, known for breakthrough innovations, equipped the hotel with servidor. They enhanced this unique feature with a morning newspapers convenience delivered discreetly through the servidor. (World’s biggest, 1919).

    Hotel Pennsylvania Source: Hastings, C. W. (1919, March) Hotel Pennsylvania, unique York. Architecture and Building. LI, Number 3. 18-24.

    The Servidor changed the artery hotels provided service to its guest, but besides created unique problems within its hotels. One issue was that guests would request items and absorb them charged to their hotel bills, but leave without having paid their bills. These guests were commonly known as skippers. In addition, because the Servidor minimized the interaction between hotel employees and guests, tipping occurred less frequently. When ensuring items were taken from and delivered to the Servidor employees did not arrive in contact with the guests in order to breathe tipped.

    Although the Servidor was widely seen in hotel advertisements in the middle of the twentieth century, the concept soon disappeared altogether from hotel advertisements. As hotels underwent upgrades and renovations the Servidor slowly disappeared. Today, the only site in the United States where Servidors soundless exist is the Hotel Pennsylvania in unique York City. However, the Servidors are no longer in utilize and absorb not been for decades. The doors absorb been sealed shut and are slowly being phased for modern wooden doors, eventually becoming a fragment of the hotel industry’s past.

    One of the few remaining Servidors in the Hotel Pennsylvannia. (Source: the author) One of the few remaining Servidors in the Hotel Pennsylvania. (Source: the author)

    Servers are Independent Contractors: The German System of Coins

    When the first author did his military service in the early 1980th in Hungary, he worked as a server for a night in an upscale military club where drinks could only breathe delivered to the guests if he paid for the drinks from his own pocket at the bar and then charged it to the customers. At that time he didn’t know too much about conventional time European restaurant cash control systems.      

    During the 1890’s Herman Berghoff, a German restaurateur began his career by selling beer from a stand outside the World’s Columbia Exposition in Chicago. He went on to open the Berghoff Café in 1898 where he sold his Berghoff Dortmunder Beer for five cents a glass and ten cents a stein. During the Prohibition era, which lasted from 1920 through 1933, Berghoff refocused his efforts from beer to making Bergo soda pops. To this day, the Berghoff Rootbeer is soundless popular. When the discontinue of the prohibition came in 1933, Berghoff became the first person to receive his liquor license, Liquor License #1 was awarded to him for his bar and Liquor License #2 was awarded to him for his restaurant. Since then, Berghoff has received the first liquor license in Chicago every year.

    Berghoff Restaurant

    Throughout the years the bar itself has gone through various changes. Originally, Berghoff’s was a men-only bar. However, during the American Feminist Movement in the 1960s through 1970s, Gloria Steinem, a famed women’s rights activist walked into Berghoff’s and demanded to breathe served. Since, then Berghoff became a men and women’s bar. She modernized the traditional artery Berghoff operated. In the 1950’s and 1960’s barstools became very well-liked and could soon breathe establish in every restaurant and bar. Until 2001, Berghoff was a stand-up bar. Stools could not breathe establish in the bar until 2001. Men and women would ingest their sandwiches and drink their beer while standing up. To back themselves they would reclaim their foot on a brass rail that can breathe establish along the bottom of the mahogany bar.

    However, the biggest change the bar experienced occurred with modern technology in the 1980’s. Until 1980, the restaurant staff operated on the conventional German system of coins. The conventional German system of coins consisted of the waiters buying metal coins from the restaurant at the genesis of their shifts and using those coins to buy their customers’ food and beverages. In return, customers would pay for their bills using cash. At the discontinue of their shifts, waiters’ checks were audited and to forestall theft, they had to “zero out.” (Berghoff, p. 41) Why coins? Servers were busy carrying plates in one hand, so they could easily achieve the coins in the pocket of their aprons. (Ledermann, 2004). Their source of income came from their cash tips. With the 1980’s bringing about unique technology, this system was soon eradicated with the modernization of computers, credit cards, and the unique automated ordering and billing systems.

    True, this system seems to absorb largely disappeared but sporadic, conventional time examples argue restaurants’ relentless efforts to secure their revenue. unique Orleans’ Café Du Monde is one illustration of a modern restaurant that loosely follows the German System of Coins. (First cease in unique Orleans, 2010). Servers absorb trays that they will fill with Du Monde’s famed beignets and chicory root coffee. After they fill their trays, the food is purchased with their cash and the waiters serve their customers with the food. After, they absorb been served the customers pay the servers for their meal, therefore mimicking the German system of coins. Though the system has largely been eradicated it soundless influences how some businesses today are run.

    Coins (Photo Courtesy of The Berghoff) Szende Dr. Peter Szende has over 25 years of management tang in the hospitality industry in both Europe and North America. He joined the Boston University School of Hospitality Administration as an second Professor in 2003. He was promoted to Associate Professor of the drill in 2010. Currently, he serves as Associate Dean of Academic Affairs.     Annie Annie Holcombe is a senior at Boston University’s School of Hospitality Administration. Her studies and areas of interest comprise sales and digital marketing, revenue management, and finance.   



    References: Berghoff, C., Ryan, N. R. & Berghoff, J. (2007). The Berghoff Family Cookbook: From Their Table to Yours, Celebrating a Century of Entertaining. Kansas City, MO: Andrews McMeel Publishing, LLC. Berghoff Restaurant History Facts [Information Sheet]. (n.d.) Chicago, IL: Berghoff Restaurant. First cease in unique Orleans, Café Du Monde. (2010, November 15). ChefsOnTheRoad. Retrieved from Hastings, C. W. (1919, March) Hotel Pennsylvania, unique York. Architecture and Building. LI, Number 3. 18-24. Ibbotson, P. (2007). Detroit’s Historic Hotels and Restaurants. Charleston, SC: Arcadia Publishing. Mazur, A. (2016. May 23.) Personal Interview. Ledermann, R.P. (2004). Chicago’s condition Street Christmas Parade. Charleston, SC: Arcadia Publishing. World’s biggest hotel opens today (1919, January 19). The unique York Times, p. 9.   Acknowledgments: The authors of this article would relish to concede the staff of the Hotel Pennsylvania who made taking pictures of the Servidor possible. The authors would besides relish to thank Ashley Mazur, Marketing & Media Manager of Berghoff Catering & Restaurant Group as well as Paul Turner, server at the Berghoff for their assistance.

    PDF Version Available Here

    October 3rd, 2016 in descend 2016, Restaurants, Technology, Trends

    By Christopher Muller

    What is a restaurant?

    In today’s omni-channel foodservice system what exactly does it breathe considerable to pronounce something is a restaurant meal?  Does it breathe considerable a full formal dining tang with a chef-prepared customized meal, presented by a waiter to a guest at a table with a white tablecloth or can it breathe a hand-made burrito delivered by a kid on a bicycle working for a third party service directly to your front door?

    Ultimately the question comes down to determining the two main components of a restaurant, food and service. For the food the questions are: how fresh is it; what shape is it in; and how close to immediately edible is the preparation of each meal? For the service the main question is: how much supplier labor intensity is required versus how much consumer labor intensity is necessary?

    The Evolution of shape and Function

    Just a few decades ago the restaurant tang was divided into only two categories, full Service (or “white table cloth”) and Limited Service (or “counter service’) restaurants.  Both were built on the requirement that food was personally served by someone to the consumer, typically in a very structured menu format, inside a simple square meter of physical space.  The diner was expected to absorb a working knowledge of this system: being informed of the hand crafted preparation in the kitchen by the trained chef or a skilled short-order cook; the nature of the analytic flow of the courses as they were presented; and how to order and pay (including how to properly leave a tip).  For the vast majority of customers this was something done only on special occasions or when dining away from home, and could breathe too intimidating to master.

    Then in the mid-1950’s came a unique upstart, the Fast-Food or Quick Service Restaurant, which by being systems based and not chef driven created a unique approach to how consumers viewed the dining experience.  In a disruption of tradition, both the composition and order of the meal (“…if I want to ingest my fries before my burger, who cares?”) and the concept of self service (“…no waiter, no tipping, I’ll gladly transparent my own table”) were controlled by the consumer, not the supplier.  Much of the food was prepared in an off-site facility and assembled to order or batch cooked by semi-skilled kitchen workers. Once the drive-thru window came into play, the requisite to even find out of the car for a meal disappeared (“…is my front seat a restaurant?”).  Anyone could utilize this system at any time during the day. While the QSRs were not originally considered “real” restaurants, dining out became an facile and every day option.

    During the 1990’s the market saw the explosion of the Casual Theme restaurant which took everyone of the formality out of Fine Dining, including the white table cloth, and significantly sped up the dining process. Table service was soundless an integral fraction of the tang but with less personal connection to the waiter as food was often delivered by a runner directly from the kitchen. Standardized meal choices were assembled on-site by slightly more skilled journeymen led by a kitchen manager instead of a chef, who used a mass customization process to match the individual desires of the consumer.

    In the final decade the hasty Casual restaurant came to the attention of the consumer public. This unique hybrid is a amalgamate of the self-service from hasty food with the consumer selection options presented by a traditional cafeteria system.  Table service is replaced by a modified multi-phase counter service with customers being given more customizable options, whether by a barista or a burrito-maker.  This customization is made viable with the revert of an on-site short-order cook who assembles to order food which has the appearance of being hand-crafted, but is prepared in a batch style and often brought in from an off-site commissary.

    This brings us up to date where they are witnessing an explosion of segments and dining choice. Today they see a marketplace of narrow segments (Casual Elegance, Food Trucks, Grab & Go, Build Your Own, GastroPub, Convenience Store, Market Hall, Delivery) and other fine grained niches that defy simple categorization.  For example, Panera Bread is a leader in the hasty casual segment while filling the role of the top retail bakery/café offer. But it besides leads in the technology of smartphone based customized take-out.  The top of the food chain for fine dining is at one and the same time a hero chef-driven stratospheric offering such as Keller’s French Laundry or a standardized, national prime aged steakhouse chain relish Del Frisco.  For the dining public, what exactly does Casual urbanity breathe considerable except that there are no tablecloths, there is a wine list and expensive cocktails, no chef and the wait staff wear logos on their shirts? What really is the variation if I buy a packaged turkey sandwich at a Pret a Manger, at a 7 Eleven, or at a gross Foods?

    Where Are They Heading?

    So, the retort to the question “what is a restaurant?” can really only breathe answered with “it depends.”  What does it depend on- mainly how the dining public continues to redefine how, when, why, where and what a meal actually is?  Is a smart phone a modern day vending machine? Is a communal table in a market hall a dining room? Is a “sous vide” pouch heated by a chef in a two-star restaurant a freshly prepared dinner? Is Chef Chang’s Ando really a restaurant or just a conceptual kitchen? Are Just Eat, Grub Hub, Deliveroo, Uber Eats and Amazon Prime just waiters expanding the final square meter of personal restaurant service? The answers are probably everyone yes.

    When someone wants to eat, it might breathe better to question “what isn’t a restaurant?”

    A Restaurant Taxonomy for 2017 A Restaurant Taxonomy for 2017 If I Bring It Home To Reheat For Dinner Tomorrow, Is It A Restaurant Meal? Photo Source: Olive Garden If I Bring It Home To Reheat For Dinner Tomorrow, Is It A Restaurant Meal?

    Photo Source: Olive Garden

    Is Eataly a restaurant or a market?Source: Creative Commons / Mary Crosse Is Eataly a restaurant or a market?

    Source: Creative Commons / Mary Crosse

    What Does It   breathe  considerable If My Pizza Restaurant Is On My iPhone? Photo Source: Pizza Hut Mobile App Screenshot What Does It breathe considerable If My Pizza Restaurant Is On My iPhone?

    Photo Source: Pizza Hut Mobile App Screenshot

    If I Pick Lunch Up In 10 Minutes And  ingest In My Office Is It A Restaurant Meal?Photo Source: Panera Bread Mobile App Screenshot If I Pick Lunch Up In 10 Minutes And ingest In My Office Is It A Restaurant Meal?

    Photo Source: Panera Bread Mobile App Screenshot

    How About Dinner Arriving Via UberEats in 3 Minutes To My Front Door? Photo Source: Uber How About Dinner Arriving Via UberEats in 3 Minutes To My Front Door?

    Photo Source: Uber

    Is It Really A Restaurant, Chef Chang? Is It Really A Restaurant, Chef Chang? chris-muller-423x636Christopher C. Muller is Professor of the drill of Hospitality Administration and former Dean of the School of Hospitality Administration at Boston University. Each year, he moderates the European Food Service Summit, a major conference for restaurant and supply executives. He holds a bachelor’s degree in political science from Hobart College and two graduate degrees from Cornell University, including a Ph.D. in hospitality administration. Email

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    January 15th, 2016 in Hotels, Marketing, Restaurants, Technology, Winter 2016

    By Leora Halpern Lanz

    It’s challenging to breathe a hotel market today, let lonely one who needs to understand and masterfully manage digital marketing for one or more properties. How finish the hotel marketer and revenue manager ride the endless wave of online travel agency (OTA) distribution, commission structures, and rate parity? How much should a hotel budget for key word searches, Google Ad Sense, and Facebook ads? When finish they determine to “turn on” or “shut off” the search engine marketing campaign? Who is the voice of their product and services on companionable media? How effectively is that voice engaging with guests, ultimately resulting in efficacious customer relationship management (CRM) and brand advocacy? Is the website sufficiently optimized to bear an actual cyber network of digital visibility, online presence, and distribution channels? How much does it cost to acquire a unique guest and how finish they hearten this unique guest to reserve directly through a brand’s website?

    As Sean McCracken, Hotel intelligence Now editor, wrote in his December 22, 2015 piece, Digital Marketers Deal With Shifting Landscape, digital marketers in the hotel industry are working to drive bookings among a changing climate for OTA’s, guest expectations, and advertising. Attempting to demystify the confusing arena that is digital marketing for hospitality is challenging. Is it productive to learn by crucible and error?

    Here are a few pertinent strategies to esteem when trying to find a site in the digital marketing landscape:

    A Hotel Website Connects to Cyber Network: Link and Hyperlink

    Websites are dynamic vehicles. In addition to being an attractive and interactive dashboard, a site should breathe continuously updated and optimized for searchability to breathe truly functional. edifice a website with no aim of continuous enhancement is impecunious planning; edifice it properly and keeping the content fresh will back a sturdy online presence.

    1. esteem reducing text and adding more visuals, images, videos and opportunities for viewers to remark or question questions.

    2. esteem how someone would search to potentially find you when writing site copy.

    3. Create strategic links from the website to a brand’s companionable channels and trade partner’s.

    “It’s not enough to absorb a beautifully designed website anymore,” says Sara O’Brien, Associate Director of Marketing at HeBS Digital, “The technology behind it is what will allow you to generate more bookings and engagement from visitors. Responsive / Adaptive design for the mobile, tablet, laptop and desktop screens is a must, along with the competence to personalize content based on the visitor, entice visitors to return, complete the booking, and more. This sort of technology is affordable and accessible, even for independent properties without great budgets.”

    Photo by Viktor Hanacek A expedient website is more than just aesthetics – it considers how users will find the information they requisite and how they will potentially search for the site.  (Photo by Viktor Hanacek)

    Responsive websites office properly on a variety of devices – tablet, mobile, desktop, laptop – and they are more faultfinding than ever. Even four years ago, author Sam Laird shared that more than 65% of people who reserve a hotel play within 24 hours of checking in finish so from a mobile device ( According to Expedia, more than 15% of travelers who reserve a flight 24 hours or less in foster besides finish so via mobile device. Hotels with ratings between two and three stars are most commonly reserved via mobile devices, indicating that they are likely the best (or most available) last-minute lodging option. Smart phones absorb given unique power to the harried, last-minute traveler and the companies with the applications that are facile to access and intuitive to utilize are most likely to attract these customers.

    Search Engine Marketing and Search Engine Optimization Assessment: Understanding Key Words, Google, and Facebook Marketing

    Search engine marketing (SEM), the process of maximizing the number of visitors to a particular website by ensuring that the site appears lofty on the list of results returned by a search engine, is imperative to expand web traffic and companionable media news. Successful navigation of key word auctions can best breathe achieved with the aid of digital agencies that understand the nuances of purchasing search terms in revert for higher search engine rankings. Another less expensive strategy that can breathe extremely efficacious is the utilize of Long Tail Keywords, specific phrases that palpate upon a variety of customer needs. A phrase such as, “midtown Manhattan hotel impeccable for companionable event and with ample parking” may reveal precisely the perquisite search results to expand a specific customer’s likelihood of purchase. Branded terms that directly related to a particular product or service are besides efficacious search engine marketing tools. Such terms, for example, “Inn at Fox Hollow, Long Island, NY” must breathe purchased requiring a larger marketing budget.

    Paid Advertising

    It is considerable to budget for paid ads because relying on organic posts is just not enough in today’s world of information overload and marketing clutter. Marketers requisite to understand the unique advertising sales mode for each platform. For example, Twitter ad sales are often based on engagement rates as opposed to Facebook where one can pay per impression. It is extremely beneficial to labor with experts who can optimize user data to target specific content to the perquisite audience, and determine which content would accomplish best with paid support.

    Both Facebook and Twitter advertising allow for targeting users based on demographic and psychographic data. Both platforms besides proffer Promoted Posts as a artery of boosting a post to unique or existing fans. These posts may consist of imagery, stories, or testimonials. Facebook’s Carousel ads can appeal to multiple markets as a rotating gallery is embedded into each ad. Additionally, Facebook’s Remarketing Ad option uses “cookie” tracking to identify audiences that may absorb already visited the site, thus absorb shown interest in the brand.

    Facebook's Carousel ad option Facebook’s Carousel ad option gives the brand space for multiple photos as seen above. (Image via Facebook Advertising) Geo-Targeting an Ad

    Geo-targeting advertising is particularly useful for local or neighborhood food and beverage establishments as it allows a trade to achieve existing and prospective customers by radius, geographic zip code, or specific location. It is always considerable to communicate and engage with your “internal” audience and local community as they can breathe your brand affiliates, spreading the word to their networks. Geo-targeting can breathe added to most companionable and digital ads.

    Twitter and Facebook provide minute advertising analytics, but Google Analytics is a useful utensil to track website activity in conjunction with an ad campaign. companionable media ads paired with the purchase of Google’s Keywords, Ad Words, and Pay Per Click (PPC) ads provide an opening to boost a website to the top of material search rankings.

    No matter what sort of paid advertising channel is used, marketers must set measurement goals for paid posts. Doing so gives them the competence to monitor performance at different stages of the campaign, and decide if the ad should breathe adjusted, taken down, or has “done it all”.

    Social Media Presence: Regram and Hashtag

    Hashtag (noun \ hash·tag \ˈhash-ˌtag): a word or phrase preceded by the emblem # that classifies or categorizes the accompanying text (such as a tweet)

    Effective branding and marketing in the 21st century demands companionable presence and two-way conversation. Specifically, companionable media marketing requires the combination of manpower, time, and expertise in proper companionable media protocol while utilizing branding, engagement, and relationship management (CRM) tools. Successful companionable presence is achieved by using existing data to create specific, targeted content based on the intended audience and the purpose of a specific companionable channel.

    Marriott Hotels strategically uses both short video and inspirational text to capture its audience on Instagram. Additionally, they utilize a crusade hashtag, #TravelBrilliantly, to enhance the contents searchability and messaging.

    Social media marketing can breathe a cost-effective and efficient mode to interact with existing and prospective customers. A hashtag emblem that precedes a word or phrase classifies the text to breathe easily searched on companionable media (such as with Twitter). Properly using hashtags helps a brand start a conversation with consumers and identifies who is already talking about them. Brands should regularly search for and utilize hashtags with a brand-name and category keywords. For illustration a local Boston restaurant could utilize its name, #TellersIslip and #LongIslandRestaurants, in Instagram posts. Instagram users often post photos of their meals followed by captions reviewing their tang at the restaurant,, and comprise a hashtag with the brand title , and relatable keywords (e.g.#BestMealEver!). These searchable posts arrive to serve as reviews for a brand.

    Regramming: It is  expedient practice, upon finding an Instagram fan who has posted a Great image with a rave review, to  question for  leave to “regram” the photo on the hotel or restaurant account. Mobile apps  relish or Repost are specifically designed for ease of “regramming” and properly crediting the original photographer.  question the original photographer for  leave to share the photo as a  artery of initiating engagement, trust, and loyalty. (Image via #Tremont647 Instagram results)

    Regramming: It is expedient practice, upon finding an Instagram fan who has posted a Great image with a rave review, to question for leave to “regram” the photo on the hotel or restaurant account. Mobile apps relish or Repost are specifically designed for ease of “regramming” and properly crediting the original photographer. question the original photographer for leave to share the photo as a artery of initiating engagement, trust, and loyalty. (Image via #TellersIslip Instagram results)

    In addition to Instagram, visually-focused tools relish Pinterest and YouTube can powerfully convey a message and brand through sturdy imagery. Pinterest uses virtual bulletin boards for brands and users to showcase and categorize images of everything from places to products. Hospitality brands can utilize these platforms to highlight amenities that are best shared visually. In determining which platforms to utilize and how to utilize them, it is vital to research the primary audience that uses each platform. For example, Facebook is most used by audiences ages 29-40; Twitter is used by those 18-29 years old. With the requisite demographics in mind, brands can breathe more efficacious in selecting proper photography, imagery, and copy to capture the attention of the targeted markets.

    Managing and Monitoring companionable Media

    There are dozens of programs available to profit manage and monitor companionable accounts such as Hootsuite and Buffer. These programs can organize each companionable account (Facebook, Twitter, etc.) and stream information based on inevitable criteria. For example, in Hootsuite, a stream can breathe set-up just to reveal Tweets in which a particular brand is mentioned. Another could breathe established to reveal only Instagram posts that utilize a specific crusade hashtag, such as Marriott’s #TravelBrilliantly. Most notably, the platform allows for posts to breathe pre-scheduled, creating continuity of messaging on various companionable sites. After content is posted, analysis and data features enable marketers to assess which posts are most efficacious or requisite to breathe changed.

    LMA Communications founder Larry Mogelonsky contends that marketing will eventually breathe “limited to infographics, photos and videos.” (, 12/2015). Every action will breathe built around mobile devices. There will breathe scant text and descriptions on websites. Infographics will breathe used to account for and provide most technical information. This prediction into the future of content reminds marketers to retain content visual, meaningful, and tight.

    Online Review Sites

    Consumers rely heavily on the reviews from others in their online communities. Consequently, brand-presence on a user generated content (UGC) site relish TripAdvisor and Yelp is extremely important. In as such asAs customers who post reviews absorb the potential to breathe brand advocates, there is an ever-growing requisite to learn how to properly engage with online reviews and comments. Replying to positive reviews and addressing complaints or faultfinding comments transmits a tone of faith to a UGC community. According to industry expert and Rouse Media president Glenn Haussman, the repercussion of a customer rating three stars versus four stars on Yelp or TripAdvisor can breathe a significant repercussion to a restaurant’s bottom line.

    Some hotel companies hire firms to monitor online brand reputation and respond to customer inquiries, guest comments and create guest surveys. Providing minute analytics, vendors such as ReviewPro can profit hoteliers prioritize operations and service enhancements to deliver more memorable guest experiences. These companies can create full assessments of guest feedback, enabling organizations to ameliorate rankings on TripAdvisor and OTA’s with the goal of boosting revenues and differentiating from their competitors.

    The Langham Hotel in Boston, Mass. regularly responds to both compliments and concerns from its guests on Trip Advisor. The Langham Hotel in Boston, Mass. regularly responds to both compliments and concerns from its guests on Trip Advisor. E-Mail Marketing

    E-mail continues to provide a successful tactic to achieve unique customers and reinforce relationships with current customers. Travel intelligence platforms, such as Adara, absorb access to loyalty program data, historical purchase patterns and other significant information that can aid in edifice sturdy customer profiles. With guest data, special offers through targeted emails can breathe personalized to achieve definite audiences – not due to specific purchases, but rather based on buying habits made over time. When customers receive emails that are designed especially for them, and in ways in which they interact with the hotel or restaurant, it can enhance the likelihood of repeat business. efficacious email campaigns, with the profit of firms relish Revinate, can boost the rate at which customers open targeted emails, click-though to a company’s on-line proffer and hopefully transmute (book) the business.

    So Much More to Learn

    There are many lessons to learn from this tip of the iceberg contemplate at digital marketing. The following are immediate take-aways:

    1. Technology changes so rapidly, it is considerable to continually learn.

    2. It’s considerable to labor collaboratively. Hospitality marketers must compass themselves with vendors and partners who are equally pushing for mutual success

    3. Remain composed and confident, willing to experiment and modify when necessary. When decisions or tactics don’t seem efficacious or bear results, it is perfectly acceptable to change paths. Just give unique channels some time to work.

    4. The choices and options for marketing are overwhelming – finish not attempt to utilize every channel and spread yourself and the brand too thin. Select a few arrogate marketing or companionable media channels. finish not attempt to utilize every channel because that will spread human resources and fiscal resources, as well as the brand itself.

    5. achieve out for professional expertise along the way. question colleagues to share best practices for a robust exchange of ideas and solutions.

    6. efficacious marketing lonely is not enough. Product quality, service, tang and the investment of manpower, time, and/or capital will always breathe necessary to maintain quality, guest satisfaction, and long term success.

    [1] Sean McKutchen. (2015, December 22). Digital Marketers Deal With Shifting Landscape, Hotel intelligence Network. Lanz  unique 2016Leora Halpern Lanz is the president of LHL Communications, a hospitality content marketing, branding and media relations advisory firm. LHL clients comprise hotels, hospitality investment conferences, leisure products, hotel management companies as well as other industry related services. Previously, for 15 years Leora served as global director of marketing and head of the marketing drill for hospitality consulting giant HVS. Prior to HVS, she  served for 10 years as director of public relations and advertising for ITT Sheraton Hotels of unique York and for 5 years as director of public relations for the Greater Boston Convention &Visitors Bureau. She is currently besides a full-time lecturer at Boston University’s School of Hospitality Administration.

    Tagged digital marketing, E-commerce, Hotel Marketing, companionable media

    January 8th, 2016 in trade Practices, Restaurants, Technology, Winter 2016

    Will technology disruption in the back-of-house enhance

    Is the next innovative disruption going to breathe establish in the back-of-house?

    by Makaela Reinke

    Opening the door to the highly acclaimed fine-dining restaurant Eastern yardstick is akin to drawing back the curtain of a Broadway musical: the lights are dimmed, the music starts, and your attention is captivated by the exquisite set before you. Your spirit is soothed by the muted ruby reds and royal purples that greet you, and deep shadows cast by glamorous chandeliers further delete the memories of a tiring day. The long, granite-topped bar harkens back to days of elegance, while the modern, stunning hosts, servers, and sommeliers are experts in their performance as cast and crew guiding you through a truly sensual experience. The meal is an indulgence to your tang buds, the wine an illumination to your tongue, and the entire tang restorative to the soul. You leave the restaurant reluctantly as the candles scorch low, already planning your return.

    Like many of the finer things in life, such as a classic car, an Old-Master painting, or a pitiable jazz performance, the fine dining tang has changed minute in the past century. A inevitable degree of expectation accompanies one’s conception of “fine dining,” and this expectation differentiates fine dining from merely “going out for dinner.” This expectation does not merely comprise food character or preparation; it does not claim a specific setting or menu, wine list or top-shelf bottle of Scotch. Rather, the expectation is more an overall character of experience, and interestingly enough, it is the manifest unchanging nature of both “fine dining” and “eating out” that is noteworthy and puzzling. Eating out looks much relish it always has, even amidst today’s storms of disruptive and breakthrough models. How is it that while so much of their world changes, the trade of eating has essentially stayed the same? Has the restaurant industry been affected by disruptive models at all?

    Disruption capitalizes on improving the efficiency of existing systems as seen with the success in other branches of the hospitality industry: transportation (Uber) and lodging (Airbnb). Uber and Airbnb absorb achieved remarkable success because their systems capitalize on independence and convenience for the traveler. In both models the customer does not requisite to rely on a system operated by another party (hotels, hostels, taxis, etc.) but instead can breathe the captains of their own destiny by calling their Uber and booking their dream remain without third-party fees. Even more conveniently, these innovative models are utilized through the utilize of smart technology and online interactions. The restaurant, however, cannot exist online, and the successful restaurant is as much experiential as it is product-based. Any adaptation of the restaurant model (pre-ordering, tablets on tables, etc.) absorb not lasted very long as they tarnish the very essence of a dining experience. A accurate meal in any self-respecting restaurant is tech-free, engaging, authentic, and sensory.

    This leaves quite the challenge for any entrepreneur looking to interpolate innovative, disruptive models into the restaurant world without tainting the sanctity of the experience. The reality, however, is that perhaps the front-of-house model does not requisite innovation. Instead, it may breathe the back-of-house that could profit from some disruptive thinking. Eli Feldman, a 2001 SHA alum, recognized this early on. A former restaurateur himself, Eli is very confidential with the operations and service philosophy that restaurants hold so dear. This however, is what gave him the view for his start-up platform, Clothbound.

    Clothbound is an online platform that connects potential employees with restaurants. Similar to, it provides a convenient, simple job board specifically for the restaurant industry. Finding reliable, talented staff takes up more time and application than most employers would relish to admit. With a current nation-wide turnover rate for 66% (according to the U.S. Labor Department) this time and application amounts to an colossal monetary and time cost for restaurants that requisite to re-hire over half of their staff each year, essentially causing a bottle-neck in the employment process and productivity. Clothbound looks to lower this rate by helping employers find potential staff by searching ‘tags’ of skill sets, personality traits, and employment history allowing them to filter through candidates more easily. In short, Clothbound is innovating the current human resource model for restaurants. Throughout everyone of this process however, Eli and his team absorb continued to recognize the import of the human component of the restaurant industry. Clothbound does not replace a human’s job. It connects the perquisite person to the perquisite job so that they can profit the restaurant become more efficient in providing a personal tang to the customer.


    The userprofile on Clothbound makes it facile for employers and job-seekers to find each other based on skills and interests. Image via Clothbound.

    Restaurants thrive because of their human component. They are live art, culinary museums that only exist when people provide a product through attentive service. This is why other ‘disruptive’ technologies absorb not seen success in the market: they try to remove the human constituent through the utilize of iPads at tables or ordering kiosks. But these sorts of models will only achieve initial success in fast-casual settings when the customer is looking to receive food quickly. For those looking for the true dining experience, technology will not meddle with that any time soon. Clothbound’s model though, which disrupts the system behind the scenes, is genesis to create its mark. Zagat most recently recognized Kelly Daigle, co-founder of Clothbound, in their 30 under 30 list of Boston’s finest, acknowledging her innovative thinking and repercussion on the market. Clothbound’s technological platform is bringing the restaurant network to a digital space, effectively bringing together the two networks of employers and their potential staff.


    Using Clothbound’s tagging system, Eastern yardstick can strategically post openings on the unique platform. Image via Clothbound.

    This means that restaurants can now become more selective in esteem to their hiring practices. With access to more qualified staff who will besides breathe a better felicitous in the company, restaurants will see additional benefits emerge over time: devoted staff, higher levels of customer service, higher restaurant reviews, and lower turnover rates, which expand the bottom line. The employment process now becomes more sustainable as labor costs lessen and the staff become more efficient, eventually reaching a higher even of service. These employees, already a ‘best fit’ for the company, are more likely to receive promotions and positions within the company. Now they absorb the introduction of a skilled workforce in this hospitality sector, many of whom are already graduates with hospitality degrees.

    Danny Meyer, CEO of the Union Square Hospitality Group and unique York City restaurant Entrepreneur recognizes this shift in the service industry. He has just recently reclaim everyone of his servers onto salary, announcing that not a bit of them will accept tips. To him, their expertise deserves not only a higher live wage but besides secure full-time employment. “There’s not a more considerable stakeholder to find perquisite than their staff” he said in an interview with unique York Eater. By pitiable his staff to salary positions, Meyer is recognizing his staff as a skilled workforce with his own disruptive behind-the-scenes model. This has introduced warm debate over sustainable trade production and increased minimum wage, neither of which will evaporate any time soon. The issue of inadequate wages for these over-qualified employees is gaining attention, which in itself may give momentum to another disruptive movement as employees claim a live wage for their top-quality service. But with a revenue expand of 4.2% in the fine-dining industry in the past year, supporting skilled workers has become vitally considerable as restaurants compete to become the best of their markets.

    Danny Meyer, CEO of Union Square Hospitality Group is causing a shift in the restaurant industry by doing away with tipping in  revert for higher salaries.

    Danny Meyer, CEO of Union Square Hospitality Group is causing a shift in the restaurant industry by doing away with tipping in revert for higher salaries. (Photo via Wiki/Financial Times)

    And as restaurants bring in more qualified staff to their businesses, there is the thoughtprovoking domino-effect that now provides an opening to re-approach the culture of each restaurant. Restaurants are now taking a proactive approach to fostering unique labor culture for the staff they absorb brought to the company. Many restaurants are now implementing knowledge programs: bartending classes, wine service seminars, increased menu comprehension. In hiring the ‘right people’ for the job, the company is besides taking liberties to cultivate the ‘right culture’ for a restaurant to create an atmosphere that encourages server participation, teamwork, and internal promotions.

    The result of this back-door disruption is due mostly to consumers. Consumers want to tang memorable service. As restaurants budge to meet these expectations they must in turn provide service that is liable and organic. And here they see the opening for restaurants to innovate their former systems of recruiting, hiring, training, and retention of staff in the company. This is a vulnerable turning point for the industry as it takes edge of this time to re-define what it means to labor in food service. Chefs are genesis to receive more recognition, servers are reclaim on salaries, and hospitality and trade degrees are prerequisites for entry-level positions. The outcome is a highly efficient workplace with a skilled workforce that wants to breathe in the restaurant doing what they finish best. Restaurants are taking better saturate of their employees everyone because of consumers who claim higher character of service, which allows restaurants to become more selective of their team. This is already present in other branches of the hospitality industry: Disney is known for its positive, ‘can-do’ cast, and Ritz-Carlton for its elite professionalism among even the hourly employees. character restaurants are looking to relate their ranks; introducing new, disruptive service models has simply taken its time. Innovation and disruption of the restaurant industry must chance slowly and cautiously. Any restaurateur worth his breadsticks will protect his space. However, he will besides contemplate for creative ways to slash costs and expand the service value. And while the tradition of food service may not change within the next decade or so, it is transparent that unique models of employment are genesis to absorb a presence in the industry.


    As consumers hope higher character of service, restaurants can breathe more selective in their hiring and build innovative trade models. (Photo by J. Annie Wang)

    In this they see the undeniable relation between disruption, innovation, and culture. Creative disruption has provided space for innovation which now leads to a new, exciting labor culture that will appeal to both sides of the employment relationship. If everyone goes well this means the next time you depart out to eat, contemplate for the behind-the-scenes disruption models not in the food you eat, but in those who bring you the food. labor culture will bleed into the performance of the front-of-house service, drawing guests to ingest out again and again. Restaurants, if they capitalize on these innovative models, will see success as they impress their audience with their artistic expression of the traditional dining tang that will surely deserve a standing ovation.

    ReinkeMakaela Reinke is a student at the School of Hospitality Administration, class of 2016. Having worked at both little cafes and larger restaurants, she is excited about where the industry is going. As accurate Bostonian at heart, she enjoys exploring the city one restaurant at a time. 

    Tagged Clothbound, Danny Meyers, Eli Feldman, restaurants, Union Square Hospitality Group

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