Hotel management company Remington’s 51-year history is marked by a desire for a technology-enabled process improvement. At the recent Hotel Data Conference, Ben Vega, Remington’s SVP of analytics and optimization, demonstrated an approach to increasing operating profits by using advanced analytics combined with the Hotel Effectiveness labor-management system.
“Hotels have been using data for revenue management for decades,” Vega said in a statement. “More recently, it has become common to use customer data for direct marketing and sales efforts. Very few hotels have taken advantage of their own labor and productivity data to tackle their biggest (and fastest-growing) cost—labor. We have identified significant improvement opportunities, which are driving increased profit margins even as wages continue to rise.”
Hotel Effectiveness provides a labor-management system that combines a hotel’s operational forecast with property-specific productivity standards to eliminate overstaffing and optimize overtime and contractor usage through an easy-to-use scheduling interface. On its own, the Hotel Effectiveness solution has been shown to deliver 5 to 15 percent labor cost savings.
Remington uses the real-time data from Hotel Effectiveness to identify trends and productivity enhancements to deliver an even greater impact to gross operating profit.
“Unlocking operational data for profit improvement is the next frontier for smart hoteliers,” Hotel Effectiveness Chief Revenue Officer Del Ross said in a statement. “Remington is better prepared to handle tough market conditions than most other management companies in the U.S.A.”