“Women are the largest untapped reservoir of talent in the world.”
That quote is attributed to American politician and U.S. presidential hopeful Hillary Clinton. No matter where you stand on the political spectrum, there is little doubt that Clinton has been a fierce advocate for women’s rights and opportunities.
Her political career—which includes time as a U.S. Senator, Secretary of State and now as a candidate for the Democratic nomination for president—is a testament to the power that women can have at the highest levels. Whether it’s in the chambers of Congress or the boardroom of a Fortune 500 company, talented women like Clinton are making the most of opportunities that have long been closed to them.
As a nation, and specifically in the hospitality industry, we have begun to tap into this “reservoir of talent.” But we have further yet to go. From my perspective, as the hospitality industry continues to evolve, there still needs to be more of an emphasis on placing talented women in positions of leadership. This is something that, historically, the industry has done a fairly poor job. The good news is that we are moving in the right direction.
There has always been a large number of women in the hospitality industry, but it is only in recent years that they are starting to grow through the ranks. Years ago, we typically saw women working in the roles of servers, clerks and front-desk positions, and perhaps the sales office. Now, women are studying hospitality in college and moving directly into influential roles and managerial/leadership positions in real estate and business development—ultimately moving up to higher levels of corporate leadership.
It is a welcome shift, but it is still not happening quickly enough. It has definitely been an evolutionary process—and it’s still ongoing.
In my early industry experience, I observed that hospitality was somewhat of a men’s club—female senior executives were very few and far between. When I compare and contrast that corporate landscape to what I see today in my own company, it is extremely encouraging.
Approximately half of the senior executive leadership positions here at FHG are occupied by women and we are extremely proud of that; our commitment to valuing and supporting women in leadership positions remains significant and sincere going forward. Our perspective is driven not by a desire to be politically correct or to convey an empty gesture toward diversity, but by recognizing the simple and obvious fact that anybody, regardless of gender, can make a positive contribution.
A recent Bloomberg Business article reported the results of a wide-ranging study that shows just how valuable it can be financially to have women in leadership roles. The study—which was conducted by the Peterson Institute for International Economics and EY—reviewed data from approximately 22,000 companies in 91 countries and found that companies with at least 30% women in executive leadership roles have the potential to increase their profit margins by 15% compared to companies with no female leadership. The article also states "women in positions of leadership are associated with superior corporate performance.”
Intuitively, those results make sense. When a company is open to all qualified candidates, you get the best of the best. Here at FHG, I believe our collaborative management style gives everyone a voice, responsibility and a meaningful stake in our success. We present a platform for people who are smart and assertive and who want to move up very quickly, and some very talented professional women have done just that. That dynamic also perpetuates itself: our ability to draw talented women into our company is greatly enhanced by the fact that prospective hires recognize that we have women in senior leadership.
Our experience is far from unique. We certainly aren’t the only company that has embraced this, but unfortunately there are far too many that have not. In some spheres, women still face disproportionately challenging obstacles to advancement. But with a growing number of talented women entering the industry—the graduate class that I teach in hospitality, for example, is consistently made up of at least 75 percent women—I expect that the progress we have seen with respect to women in senior leadership positions will continue.
The question is not only what is happening in the industry that is attracting more women, but what dynamics are in place that are making it easier for women to move up to those positions of leadership.
One important development is that the traditional professional path has changed. Starting at the front desk or in a line-level position in the proverbial dish room and working your way up is somewhat less common today. That promote-from-the-bottom dynamic perpetuated the male-dominated and top-heavy senior leadership landscape. Today, you have talented and experienced women coming in to the hospitality industry from different fields and with different backgrounds, professional experiences and perspectives.
Another issue is that the industry is becoming more reasonable regarding workload and travel—two things that have discouraged and limited women who want to balance family and career goals. You do not have to work 70-plus hours a week to advance anymore. I think now more than ever, we see just how misguided those norms really are for everyone, as we recognize that tired and overworked people make poorer decisions and put out a lower quality of work. Companies are also working to embrace more manageable travel expectations across the board, and to foster a healthier work-life balance, allowing employees to change their work schedule, work from home, take time off when necessary, and other reasonable accommodations. That level of workplace flexibility is starting to become more common across the industry, contributing to an environment that is more attractive and welcoming to both men and women.
This evolving shift is less about implementing specific policies and more about building a professional culture and displaying a willingness to keep an open mind and evolve. It is about fostering an environment that respects the people on your team as professionals, and recognizing that not everyone’s contributions come the same way. And for an industry that has seen such positive contributions from a growing population of talented women in leadership positions, this is a very welcome trend.
Robert Habeeb is president and CEO of First Hospitality Group, Inc., a national, experienced, and established hospitality management and development company serving the investment and real estate industries. Since 1985, FHG has been an award-winning pioneer in the hospitality industry. FHG has successfully developed, marketed and managed more than 16 brands and 50 properties throughout the Midwest. Visit www.fhginc.com.
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