THE INTERVIEW : CLAIRE CHIANG
“ I AM THE HUNTER IN CHINA , WHICH I LOOK AT IN FIVE BIG GEOGRAPHIC ZONES . I HAVE TO MAKE SURE WE HAVE A LOCATION
IN EACH ZONE . WE HAVE ABOUT
40 SIGNED IN 19 PROVINCES AND 27 CITIES
ALL OVER THE FIVE ZONES . WHERE THERE IS A MOUNTAIN , LAKE , SKI RESORT OR BEACH RESORT , OR CITY WE WILL PLANT A BANYAN TREE OR ANGSANA IN CHINA .”
– CLAIRE CHIANG
Make sure you have a Chinese ambassador to deal with these things . Have a deputy from within the country to understand the many nuances .
H : What advice would you offer Chinese hoteliers trying to make their way up in the hotel business ?
CC : They need to learn what professionalism means . It is about setting standards , complying with standards and respect . It does not depend on the owner — that one voice . Professionalizing the organization is about having systems , standards , responsibilities and accountability . That is something Chinese need to better understand and embrace , and not simply apply personality and charisma . H : How would you rate your success in meeting your philosophical goals ?
CC : On our owned properties , I would rate us a high seven , but for managed hotels there is a lot of room for improvement for getting owners — especially in China — to embrace and understand our approach . We have a strong management agreement to put in our principles , but the process is challenging . We try to tell owners don ’ t just develop a hotel — develop a precinct . Don ’ t look at small parcels and build towering structures . Look at lower-density buildings on a bigger piece of land from government with buffers to build zones for water and communities with support services .
I give a lot of credit to the young people of China . Their trainability is high , and because they are late developers they are eager to learn about things like green certification .
H : What responsibility does the hotel industry have to give back , and how do you think it is performing in this area ?
CC : Managers are more than just operators . We are also developers , so the mindset is different . I have sealed 40 management deals for China , and when developers talk to Banyan Tree they are not just talking about operating . We bring in all the CSR questions about the land and how it is developed , and operators need to learn how to negotiate with owners on the triple bottom line — including how they build , the equipment used and the training programs .
Hotel platforms with green and cross-cultural initiatives reflect the locale and are great platforms for promoting global cohesion and understanding . You can ’ t be everything to everyone , but hoteliers could be more sensitive to where they operate , what the communities need and to promoting engagement among guests to visit and better understand the locale . It helps create a better understanding between East and West . We need a lot more of these exchanges . H : How do you set reasonable CSR goals ? CC : Start benchmarking hotels on how they use water , manage waste and cut energy . These are the low-hanging fruits to adopt . Stick to first principles and believe in them . Then negotiate on those terms with owners and they , too , will comply .
H : How have your CSR practices impacted the bottom line ? CC : Operationally , we are saving some costs on green and recycling efforts . With our reputation , we have a following , as we reflect deep aspirations of people who want to be good and do good . When they read Banyan Tree saves the turtle , sets up a laboratory to save coral , looks at scholarships for the poor , they say this is where I want to go . That resonates goodwill , and we get fans .
I have now stopped using the business case for CSR because I believe they are first principles , and you do it regardless . I will say there is a return on satisfaction . Those are immeasurable , but no mathematicians can do that kind of work . So I am not going to subject the company to shareholder demands for just those kinds of returns . The worst thing is you don ’ t do it . Then you lose in the long run . I can only appeal to people ’ s common sense . Today , even though we could do better financially , no one has questioned us on our CSR commitment . That reflects that ultimately people want to do good . H : What is new with your foundation ? CC : We are now looking at an initiative to broaden the efforts of our 12,000 associates . If there is an initiative they feel is needed in the community , they can initiate it , and the foundation through assessments will match dollar for dollar . We are also looking at creating a craft and trading center for the poorest part of northern Thailand
34 HOTELS April 2013 www . hotelsmag . com