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Room to grow

November 2007
The UK-based InterContinental Hotels Group (IHG) is one of the world's largest hotel groups, with 563,000 rooms in nearly 100 countries. Gulf Business asks John Bamsay, IHG 's new COO for the Middle East and Africa, about his plans for the region's diverse portfolio, which includes the InterContinental Hotels and Resorts , Crowne Plaza Hotels and Resorts and Holiday Inn Hotels and Resorts .

Occupancy rates in the region are strong currently, but do you expect them to remain strong in the future as well?
I think they will, because the region is marketing itself exceptionally well, and this is generating demand. Europe is close so I think there exists huge potential to grow that market. I think strong infrastructure investment will continue to attract business to the region for some time.

How would you rate the potential of the Gulf region's hospitality industry?
From a global perspective, I think the two dynamic hotel markets are China and here. I actually think this market is underestimated in the Western world a little bit below the radar but the GCC countries are doing a great job to change this and drive brand awareness across the globe.

A good example is the way Dubai as a brand is being supported by Emirates airline, which is in turn linked to Emirates Stadium in the UK. I think this represents a revolution in the way that countries are able to market themselves and I think Dubai is leading that.

The IHG has not opened a new hotel in Dubai for four years. Does it feel the pressure to perform?
Our aim is to differentiate. Our brand portfolio is diverse and has clearly defined target markets. This enables us to differentiate ourselves from our competitors. The brand has another tactic. We're keen to prove our staff are 'in the know'.

Rather than just be a hotel, we want to position the hotels as a contact point for visitors who want to access the local culture something other hotel companies won't provide. The concept is based on the idea of the 'insider concierge' the person who can do more than book a theatre ticket. Rather, they will give you access to what lies beneath, whether your fancy is craftwork or sailing. To support this idea, we've revamped our website so that it features the local concierge by name.

Can the region expect any new openings from the Group?
There is a 316-room Crowne Plaza and a 501-room InterContinental set to open in Dubai Festival City this month.

The region is facing a skills shortage. Are you confident of attracting staff for your new hotels?
This is a challenge and we're trying to meet [it]. Our strategy is based on a 'room to be yourself' principle. We don't want somebody to join us and then lose their individual personality and become a machine. There's nothing worse than hearing 'have a nice day' said without sincerity. We want to see people have the same passion for the service industry that they have for their own hobbies. For example, the person we've used in our recruitment ad is a real employee at a local Crowne Plaza who's got a passion for falconry.

In Dubai Festival City , we are going to have 1,200 employees. This will include 45 different nationalities a true multicultural operation. We want to encourage that aspect of the business and will do so by holding national days in the cafeteria, each from a different person's country. Our aim is to educate people on the importance of different cultures and we hope this makes our employees proud to work with us. This is a very big programme rather than a small gesture. Only if we can allow employees to differentiate themselves can visitors expect to receive differentiated service.

How does IHG aim to retain talent?
The war for talent is at the top of my agenda. We've got to do much more on the ground to identify our internal talent. We've got to make sure that we can put them on what we call high performer programmes, which allows them to learn new skills and be promoted. We've also got to attract people from outside of the Gulf and from our competitors. It's all about reputation.

In some cases across the industry, there will be a general manager who started as trainee 20 years ago but today, that's considered too slow a trajectory for many. Because there are so many new hotel openings, people now know that if they're really talented, they can join a business as a trainee and be a general manager within five to eight years. And a general manager can be promoted to an area general manager or vice-president of operations in five or seven years. To remain competitive, we need to offer these opportunities.

© Gulf Business 2007