SILVER SPRING, MD— Choice Hotels International has made two dramatic moves, one to centralize franchise services under one umbrella, the other to create one brand management position that oversees the company’s eight flags. The new centralized franchise services department will be headed by Janna Morrisson, formerly vp/property systems, and a 14-year veteran of Choice. “What we tried to do is look across the organization and we tried to figure out how could we create a more consistent, integrated service package for our customers,” said Morrisson, in discussing the changes. Although it is closing its three remaining market area offices, Choice will retain its franchise service directors, who have “close relationships” with its hotels, she said. Brent Russell, who previously oversaw the market area office in Denver, will now oversee the whole field service organization as the national vp of franchise services. Senior regional directors will become regional vps, said Morrisson, and will simply be working from their homes rather than remote offices, reporting to Russell. Franchise services will now also include a field training group which previously had operated outside of the department. “New hotel services” is another new component of franchise services, and combines the pre-opening sales function, preconstruction, site review meetings, and the Total Learning By Choice Center located at the company’s Silver Spring headquarters. Choice is also creating a “key account management” division to be headed by Tony Grant. The move significantly changes Choice’s former model of treating all customers alike, said Morrisson. That could mean noting that the needs of one Choice licensee who has 80 hotels in the system may be different from someone who has one, said Morrisson. Property systems, Morrisson’s former division, will also fall under franchise services, and will now be headed by Christopher Yellen. Including property systems in franchise services makes sense, Morrisson said, since part of her mission is figuring out how to leverage technology in order to increase revenue at the property level. The other key component to Choice’s corporate restructuring is creating the position of vp/brand management and strategy, which has been filled by Thom Hall, formerly vp/emerging brands. Hall now oversees all of Choice’s eight brands “and how they are going to inter-relate in our target markets.” he said. “That is really different from the way we operated in the past where each of the brands operated independently and wasnt necessarily focused or complementary at times,” he said. Having one person overseeing the “big picture,” will ensure that Choice doesn’t have two brands going after the same licensees or the same target market, said Hall. Also falling under his realm is the impact feasibility area. “This establishes an arm’s length relationship to the franchise sales folks so its in my area where the licensees won’t feel it’s like it isnt a case of the fox in the hen house,” said Hall. “Its also doing feasibility work and helping to determine in a specific market where we have no impact issues, what is the best brand.” Hall will also oversee brand standards, as well as product development. “What we have done is taken our design and construction department and divided it into two,” he said. “I will be responsible for prototype development, new product development, enhancing current prototypes from an architectural and design point of view, and doing the specifications.” Asked whether Choice will have a brand manager for each of its flags going forward, Hall said, “They do have a brand manager at this time. I am going to take the next 60 to 90 days to really assess what our needs are and I want to spend time with our key licensees to understand their needs and wants. That will help me decide where we are in the organization, but each brand will have a specific brand head, yes.”
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