Hilton Hotels’ Challenges in the Business Environment Essay

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Introduction: mission, vision, and values

Over the past century, Hilton has grown from a single hotel in Cisco, Texas, to 6,500 hotels and 18 brands in 119 countries. Since 1919, the chain’s hotels have welcomed over three billion guests and employed nearly 10 million employees who have brought the warmth and light of hospitality worldwide.

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Hilton’s corporation consists of mission, vision, and values. They ensure a lasting emotional impact on everyone: guests, employees, owners as well as shareholders, and the local population. Thanks to a united vision and consistent goals, the chain is perceived as a united global brand worldwide.

Here is the vision and mission of the chain.

Mission

”To be the most hospitable company in the world – by creating heartfelt experiences for Guests, meaningful opportunities for Team Members, high value for Owners and a positive impact in our Communities” (Code of Conduct, 1, p. 3)

Vision

“To fill the earth with the light and warmth of hospitality – by delivering exceptional experiences – every hotel, every Guest, every time”(Code of Conduct, 1, p. 3)

Values

“HOSPITALITY: We’re passionate about delivering exceptional guest experiences.

Hilton is committed to remaining at the forefront of the hospitality industry across the world.

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INTEGRITY: We do the right thing all the time.

Hilton does not tolerate shortcuts, ensuring consistent excellent performance.

LEADERSHIP: We’re leaders in our industry and our communities.

Hilton always takes a proactive position in its management and community development.

TEAMWORK: We’re team players in everything we do.

Hilton is festering the environment of communication and collaboration between its employees and managers.

OWNERSHIP: We’re the owners of our actions and decisions.

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Hilton holds itself accountable for the decisions its team makes, regardless of the outcome.

NOW: We operate with a sense of urgency and discipline

Hilton understands the importance of punctuality and relevancy.” (Code of Conduct, 1, p. 3)

Principles

“Integrity, teamwork, leadership, and ownership” are among Hilton’s basic principles. To keep everyone focused on the objective and vision for nearly a decade takes a lot of enthusiasm. Hilton has been able to do so because of its visionary leadership, dedicated culture, and “Travel with Purpose” corporate responsibility strategy, which has been revamped for its 100th anniversary.

Travel with Purpose

“Travel with Purpose” is Hilton’s Social Responsibility strategy to drive responsible travel and tourism globally. In 2018, Hilton launched 2030 Goals to further the United Nation’s 2030 Sustainable Development Agenda. “To help lead in a sustainable way over the next century of travel, we launched ambitious goals to cut our environmental footprint in half and double our social impact by 2030.” Katie Fallon, head of corporate affairs.

Hilton’s new 2030 Goals include the following environmental and social targets:

  • Cut Environmental Impact in Half to Help Protect the Planet
  • Reduce carbon emissions intensity by 61%, in line with the Paris Climate Agreement and approved by the Science-Based Targets Initiative (SBTi)
  • Reduce water consumption and produced waste by 50%
  • Remove plastic straws from managed properties
  • Sustainably source meat, poultry, produce, seafood and cotton
  • Expand existing soap recycling program to all hotels and send zero soap to landfill
  • Double Social Investment and Drive Positive Change in Communities
  • Double the amount spent with local, small and minority-owned suppliers
  • Double investment in opportunity programs for women and youth, including partnering with local organizations and schools
  • Contribute 10 million volunteer hours through Team Member initiatives
  • Dual monetary support for natural disaster relief efforts
  • Advance Human Rights capabilities in Hilton’s value chain to eradicate forced labor and trafficking.

Environmental Impact and Energy Management

Hilton has a long history of managing energy consumption across its global portfolio of projects. Since the creation of the Hilton Energy Management Guide in 1970, Hilton has always focused on reducing resource consumption. In 2008, Hilton launched the LightStay platform for measuring corporate responsibility. LightStay enables each of the 5,400 Hilton hotels to manage their environmental impact (Hilton 2020 Environmental, Social and Governance (ESG) Report, 3, p.13)

With this system, the chain can monitor energy, water, and waste management, tracking individual and collective results in line with the global sustainability goals. Designed for all environmental, operational, and social reporting, a one-stop platform has helped the company carefully manage energy, carbon, water, and waste, saving over the US $ 1 billion since 2008 and improving operational efficiency (Hilton 2020 Environmental, Social and Governance (ESG) Report, 3, p.13).

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Energy management remains a key priority as Hilton develops innovative solutions to reduce energy consumption and costs for owners. In 2020 Hilton was named 2020 Global Industry Leader on the Dow Jones Sustainability Indices for the second consecutive year. (Hilton 2020 Environmental, Social and Governance (ESG) Report, 3, p.16) In 2021 Hilton Hotels will remain fully committed to the 2030 Travel with Purpose Goals.

Social Impact

Hilton Hotels continue investing in communities and providing them with a variety of support, contributing to value creation, contributing to the stability of the local economy, forming skilled labor resources, and developing synergistic processes that ensure success. Hilton Worldwide is committed to the development of communities around the world. 2030 Social Impact Goals focus on three main targets: inclusive growth, human rights, community support, and disaster response. According to Hilton 2020 ESG report, despite 2020 challenges, significant progress was made.. (Hilton 2020 Environmental, Social and Governance (ESG) Report, 3, p.15)

For example:

  • The Tent Partnership for Refugees and Human Rights Campaign joined together to commit to mentoring LGBTQ refugees and asylum seekers.. (Hilton 2020 Environmental, Social and Governance (ESG) Report, 3, p.15)
  • Continued to work with organizations like the International Youth Foundation, Jobs for America’s Graduates, and Springboard to expand possibilities for young people. (Hilton 2020 Environmental, Social and Governance (ESG) Report, 3, p.15)
  • 100+ country-level human rights briefs and mitigation plans prepared, with 100% of hotels mapped against human rights concerns. (Hilton 2020 Environmental, Social and Governance (ESG) Report, 3, p.15)
  • Anti-human trafficking training was completed by 124,796 Team Members, including 71% of hotel executives. (Hilton 2020 Environmental, Social and Governance (ESG) Report, 3, p.15)
  • The Hilton Effect Foundation awarded approximately $1 million in COVID-relief funds, focusing on groups that serve underprivileged populations. (Hilton 2020 Environmental, Social and Governance (ESG) Report, 3, p.15)
  • Since 2017, 1,612,920 hours have been volunteered, including 184,425 hours in 2020. (Hilton 2020 Environmental, Social and Governance (ESG) Report, 3, p.15)

Code of Conduct

The Hilton Code of Conduct guides how to collaborate to maintain the highest standards of ethical conduct in the hotel business. It describes some of the most critical measures that Hilton employees worldwide have to follow and the procedures for communicating information about emerging problems and seeking help. In the Code, Hilton declares continued commitment to the principles of integrity and carrying out activities following the legislation. A culture of integrity governs interactions between employees, guests, business partners, and local communities.

Code of Conduct is divided into five sections: Culture of Integrity, Our Team Members, Business Ethics, Global Citizenship, Administering this Code. (Code of Conduct, 1).

Code of Conduct Main Aspects

Hilton represents cultural diversity by striving to understand the unique world community and create an atmosphere of involvement. For decades, Hilton keeps competitive advantages by adhering to the principal values of the company, attracting the work of the best specialists and respecting and using cultural diversity.

Hilton Complies with Laws regarding labor and employment in each country and region of its presence. Hilton respects and have fundamental human rights to all and never participates in their violation.

Environmental protection is the highest priority for the Hilton corporation. Responsible environmental protection is vital for both businesses and the local population. The Hilton Corporation commits to comply with all current environmental regulations and laws. Hilton employees are expected to handle, store, and dispose of all hazardous substances and waste and comply with all environmental permits for equipment, activities, or facilities.

Hilton has many years of successful experience in doing business in conditions of fair competition.

Hilton’s business decisions are based on Hilton’s best interests and are always consistent with its values.

The last time the Code of Conduct was updated was on May 10th, 2017. (Code of Conduct, 1, p. 29).

Stakeholder Roles

Code of Conduct Stakeholders Recommendations: The person developing the main document of the company must understand the benefits, importance, and necessity of this guide for the company as a whole. At the same time, the employee must occupy a top position within the company, for example, CMO, which gives him the opportunity to organize the compilation of a mission, vision, description of internal values, and norms of behavior in relation to customers and clients. However, it is important to engage employees from different departments and divisions, such as the human resources team, marketing team, sales team, etc.

Otherwise, a code of conduct written by one interested person or a group of people may reflect a one-sided approach and do not contain important points describing the rules and norms of behavior of other employees of the departments. For example, the marketing team can be responsible for visuals and the creative side, while HR has to make sure that the interests of all employees and clients of the company are defined and reflect these interests in a document in an understandable form. The sales team should be responsible for the creation of specific criteria for assessing the actions of employees. Executives should aim to instill a corporate culture and build a united team at a global level.

Conclusion

For the sustainable development of corporations, it is essential to conduct a balanced social policy that considers the broadest possible range of economic and social interests, the needs of society, and the state. For decades, Hilton Corporation has been taking leading positions in sustainability and corporate responsibility.

Socially and environmentally oriented corporate programs at the present stage are aimed at maintaining stability and prosperity in the regions of presence and in society as a whole, which at the same time contributes to the sustainable development of the company itself and the reduction of non-financial risks. Being closely tied to the community’s needs, the social activities of companies serve both the strategic goals of business development and raising the standard of living of people, creating a comfortable living space.

Sources

2019. Diversity and Inclusion at Hilton. p.5. Web.

2020. Hilton 2020 Environmental, Social and Governance (ESG) Report. p.15-18. Web.

2017. Code of Conduct. p.3-25. Web.

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IvyPanda. 2022. "Hilton Hotels' Challenges in the Business Environment." October 23, 2022. https://ivypanda.com/essays/hilton-hotels-challenges-in-the-business-environment/.

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