salesperson for the hotel . This seems appropriate because showing clients and customers that they are ultra-important is a strong way toward sealing up business .
The same can be said for public relations . Almost every GM on the planet loves seeing their picture in the newspaper or a magazine or appearing on local TV . For some GMs , it can be the pinnacle of their career . A “ people person ” is also how one would typically describe a hotel GM and this is normally true . GMs are at the top of the property pyramid and are expected to lead .
MONEY MATTERS Sales , PR , colleague engagement : These are the multi-faceted roles of the GM . They are a natural fit .
Not included in the list is money . Doesn ’ t it stack up in sheer importance ? Of course , it does .
MOST GMS PUT THE NUMBERS OUTSIDE THEIR PURVIEW . BUT THEY ARE MISSING OUT AND NOT UNDERSTANDING JUST HOW REWARDING THE PERFORMANCE AROUND THE NUMBERS CAN BE .
– DAVID LUND
Unfortunately , most GMs look at the financials as a thing that needs to be taken care of – like a chore or a to-do rather than an exciting aspect of the role that requires a special touch to get the best result . This is where a really good GM sees the opportunity to make a difference and at the same time claim the top step in yet another discipline .
Most GMs put the numbers outside their purview . They abdicate this function to the director of finance , maybe out of a bit of ignorance or a bit of arrogance , or both . But they are missing out and not understanding just how exciting and rewarding the performance around the numbers can be .
The best GMs understand that the other department managers don ’ t report to the finance person , they report to the GM . When your boss makes something their priority , it ’ s almost always your priority , too . For the average GM , the numbers are not one of their day-to-day priorities ; therefore , their department managers lack a sense of importance and urgency with the numbers as a direct result .
No matter how effective your financial leader is , he or she will not be successful if they don ’ t have the GM leading the financial chorus . On the flip side , no matter how average the financial leader ’ s skills are , when the GM makes their role and function a focus , the other managers pay attention and fall in line . It does not require a financial background but rather a desire to make sure each manager at your property has their act together when it comes to managing payroll and expenses . This is the very essence of financial leadership : making the numbers as important as all the other fun stuff .
Here ' s how to make it work :
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When you interact with your managers , make sure they know where you stand and what ’ s important ; don ’ t give anyone a pass when it comes to their numbers .
➋ Make it clear that departmental numbers are a manager ’ s responsibility .
➌ Accounting ’ s role is to produce accurate financial information on a timely basis .
➍ Teach managers each month to complete the financial circle in detail : track property revenues on a month-to-month basis ; adjust spending and payroll based on the latest revenue projections ; review monthly statements and GLs ; write management commentary .
➎ Rinse and repeat every month .
Creating a financial culture with functional department managers is not difficult ; it ’ s just a choice . David Lund is an expert in hospitality financial leadership with a background that includes more than 30 years as a Regional Controller , Corporate Financial Director , Hotel Manager and Controller throughout North America . Learn more at hotelfinancialcoach . com .
Mar / Apr 2023 hotelsmag . com 67