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Pain Points solved with Level Five Certification
as a AHTP Enterprise

Agile Hospitality Transformation Program™

Organized List of the most urgent and serious Pain Points: Solved with full Agile Hospitality Tranformation, with a framework for simplicity, engagement and sustainable execution.

Research Findings from Hotel Insiders (Top 6 Purple Bold, eased or eliminated in first 60 Days with AHTP):

An organized list of pain points for Independent Hotel Management Companies (IHMC), their Employees/Managers, and the Ownership Groups that contract with them.  

Financial and Operational Challenges

Fixed Costs Increasing: Interest rates, property insurance, taxes are on the rise.
Franchise PIPs Delayed: Increasing costs of construction, procurement, and supply chain issues.
IHMC Overhead at Peak: Growth-oriented bandwidth is stretched to its limits.
Labor Budgets Maxed: Wages up by 20%, with 20% fewer hours available, still 500,000 fewer workers than pre-pandemic.
Systems Overload: Numerous potentially redundant SaaS products for property operators to know, learn, and teach with limited time to delegate.
Budgeting & Forecasting Cash Flows: Conducted at low frequency or upon request/urgent for existing properties/owners.

Management and Strategy

Limited Options Exit/Career ROI for Succession and Legacy Planning: For IHMC majority owners due to tax issues and low next-gen interests.
Trust Between IHMC & Owner: Challenges in merging with other IHMC versus capital partner growth.
Management Contracts Archaic: Incentives lack alignment, with a lack of guarantees or risk-sharing partnerships.
Lack of Bandwidth for Thoughtful Study: To identify pain points and create internal solutions, such as reducing costs, waste, increasing leader engagement, and team building between properties and corporate.
Hotel Real Estate Transactional Culture: IHMC loses property contracts due to sale without much notice or control, affecting job/income security for current leadership.
Pitching USP to New Owners/Capital Partners: Difficult when all IHMC claim the same USP, leading to commoditization.
Diversification and Perception of Conflict: With multiple ownership groups, the average IHMC manages 40 hotels with 8 or more ownership groups or investor syndicates.

Human Resources and Leadership

Disconnected Knowledge Bases: Corporate-level analysts lack operational knowledge. Experts in business intelligence, financial & market analysis, revenue & demand processes, and systems are disconnected from the local realities of operating.
Salary Managers Tied to Property: Working hourly shifts with no end in sight, leading to burnout 4 years after Covid.
Team Immobility/Gravity: GM property leaders and regional directors are "stuck" to the property, unable to work on special projects or transition into new markets.
High Value Placed on Property Oversight In-Person: Prevents GM/leaders from taking on new projects away from the property.
Lack of Bench Strength: Creates a ceiling on personal growth for individuals and the company.
Failure to Compete with Brand Management Culture: Employer loyalty, leadership engagement, and future prospects are stronger in brand management groups like Marriott, Hilton, Hyatt, etc.
Transparency of Job Opportunities/Growth: IHMC do not post transparent salary bands like brand managers do.
Old SOPs: New generation not interested or inspired, with limited operational bandwidth to implement changes.
Ownership Reporting: Lacks thoughtful analysis, property/local level narrative, strategic outlook, emphasizing timeliness over quality.

Market Expansion and Competitive Position

Entering/Growing Properties in New Markets Over 1000 Miles from HQ: Challenges with expansion and maintaining brand awareness.
Relatively No Brand Awareness: Compared to brand management groups, there's no choice for the emerging workforce but to go with known and trusted brands like Marriott, Hilton, Hyatt, Kimpton.

Lacking Infrastructure to Support Mobility, Company Growth, and Employer Loyalty

Slow & High Barriers to New Market Entry: Challenges in quickly mobilizing and deploying leadership or operational teams to new markets.
Reduced Competitive Edge: Struggles to adapt services, operations, or products to local market needs due to a lack of infrastructure support.
Strained Resource Management: Difficulties in efficiently allocating and managing resources for expansion or existing operations.
Challenges in Sustaining Operations: Issues in managing long-term operations and growth in new markets without robust support.
Limited Innovation and Local Adaptation: A lack of flexibility hinders innovation and adaptation to market demands.
Impact on Brand Perception: Slow or poorly executed market entries can negatively affect the company's brand image.

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