2. Innovative Leadership: Generate a Competitive Swing Owning Your Market Through Mastery of the Emotional Economy

3. INNOVATION Innovation is taking two things that already exist and putting them together in a new way. Tom Freston For hospitality, those two things are LEADERS and TEAM MEMBERS. Copyright © 2015 Gallup, Inc. All rights reserved. 3

4. A CEO AND A BOOKSTORE How Engaged Employees Change Customer Encounters for the Better 4 Copyright © 2015 Gallup, Inc. All rights reserved.

5. Knowing Self and Building on What Is Best Execution Excellence in a Way That Engages Knowing Self and Building on What Is Best Execution Excellence in a Way That Engages 5 Copyright © 2015 Gallup, Inc. All rights reserved. To change your culture, you have to change your conversations.

6. Knowing Self and Building on What Is Best 6 Copyright © 2015 Gallup, Inc. All rights reserved. To change your culture, you have to change your conversations.

7. THE BEST MANAGER I HAVE EVER KNOWN Managing Inventory Growing Market Share QA Revenue Generation Performance Management Driving Customer Loyalty Managing Social Media 7 Knowing Mentoring Coaching Involving Teaching Clarifying Recognizing Copyright © 2015 Gallup, Inc. All rights reserved.

8. KNOWING SELF: UNDERSTAND YOUR NATURAL FOCUS AND HOW TO LEVERAGE IT DIFFERENTLY Do you tend to like to think about how processes and systems are functioning OR more about how people are feeling? Do you tend to enjoy “working the numbers” OR “working with people”? Do you tend to enjoy uncovering and fixing an issue OR do you prefer uncovering something new about someone you lead? Do you tend to enjoy analyzing the competitive market OR do you prefer spending time thinking about how to grow and develop someone you lead? 8 Copyright © 2015 Gallup, Inc. All rights reserved.

9. If you change the way you look at things, the things you look at change. Wayne Dyer Why is it that every time I want a pair of hands, I get a human being as well? Henry Ford People are clearly more emotionally than rationally wired. Yet we continue to try to manage people predominantly through the rational lens. This means tremendous amounts of untapped potential lie at our fingertips. 9 Copyright © 2015 Gallup, Inc. All rights reserved. IF YOU LEANED TOWARD THE “RATIONAL” WITH EVEN SOME OF THE PREVIOUS STATEMENTS, YOU AREN’T ALONE If everyone is moving forward together, then success takes care of itself. Henry Ford

10. STAND UP IF YOU ALMOST ALWAYS… … talk to people you don’t know on airplanes, in bathrooms and at the store. … live by the motto “show me the data!” … think three steps ahead. … ask too many questions. … get excited by the idea of getting to negotiate with the car salesperson. … organize the clothes in your closet according to color. … feel guilty if you think you are going to let someone down. … have to make a list of things to do. … have to pick someone to “race” when you are driving to down the highway. 10 Copyright © 2015 Gallup, Inc. All rights reserved.

11. THINK OF ONE WORD THAT SOMEONE WHO KNOWS YOU WELL WOULD USE TO DESCRIBE YOU 11 OH, AND MAKE IT A POSITIVE WORD Copyright © 2015 Gallup, Inc. All rights reserved.

12. 1 IN 3 WORKERS STRONGLY AGREE THAT THEIR MANAGER KNOWS WHAT HE OR SHE DOES BEST (66% ARE UNDERUTILIZED). 12 PEOPLE WHO USE THEIR STRENGTHS THROUGHOUT THE DAY HAVE A STRONGER SENSE OF ENGAGEMENT AND WELL-BEING. UNFORTUNATELY, ONLY ABOUT 1 IN 4 ADULTS USE THEIR STRENGTHS FOR 10 HOURS OR MORE PER DAY. THAT MEANS THAT 75% OF PEOPLE DON’T, AND ARE THEREFORE MORE LIKELY TO BE LESS ENGAGED AND NOT FULLY OPTIMIZED. PEOPLE WHO FOCUS ON THEIR STRENGTHS ARE MORE ENGAGED, MORE PRODUCTIVE AND HAPPIER. PEOPLE WHO FOCUS ON THEIR STRENGTHS ARE MORE ENGAGED, MORE PRODUCTIVE AND HAPPIER. Source: Gallup Daily Tracking Study (2012) and Gallup Workplace Survey (2015) Copyright © 2015 Gallup, Inc. All rights reserved.

13. USING WHO YOU ARE CREATES INNOVATION THROUGH YOUR PEOPLE: SLIGHT SHIFTS Awareness Implementation Meaningful Impact Slight Shifts 13 Copyright © 2015 Gallup, Inc. All rights reserved.

14. HIGHLY FOCUSED FRANK (SLIGHT SHIFTS) Frank’s Natural Tendencies –Loves structure and planning –Relishes problem solving –Always pushing, always busy –Takes ownership to get things done –Always gathering information or things 14 Copyright © 2000, 2015 Gallup, Inc. All rights reserved.

15. HIGHLY FOCUSED FRANK (SLIGHT SHIFTS) Frank’s Natural Tendencies –Loves structure and planning –Relishes problem solving –Always pushing, always busy –Takes ownership to get things done –Always gathering information or things 15 Copyright © 2000, 2015 Gallup, Inc. All rights reserved. Frank’s Re-Aimed Tendencies –Build people into my day by adding names to my calendar. –Have the leaders on property do the same. –Ask questions about work and home. –Check off number of positive employee encounters in a day and have leaders report back something they heard each week. –Take ownership for growing people who grow people. –Gather information about employees and keep track of it just like I would any important data tied to the property.

16. BALCONIES AND BASEMENTS Talents 16 Copyright © 2015 Gallup, Inc. All rights reserved.

17. KNOWING SELF AND BUILDING ON WHAT IS BEST 1.Ask yourself at the end of each week: a. “What did I do this week to build on the strengths of my team members on this property?” 2.Each day ask a team member on your property these questions. a.“What is one thing that you feel you do really well each day?” b.“What is one thing that is going on in your life outside of work that you are excited about?” (Then thank them for talking with you and let them know how the work that they do helps to make the property a better place for guests.) 17 Copyright © 2015 Gallup, Inc. All rights reserved.

18. Execution Excellence in a Way That Engages 18 Copyright © 2015 Gallup, Inc. All rights reserved. To change your culture, you have to change your conversations.

19. EXECUTION EXCELLENCE IN A WAY THAT ENGAGES U.S. workers Multiple Choice: Which of the following represents the percentage of ENGAGED employees in the United States? A. 30% B. 45% C. 10% 19 Copyright © 2015 Gallup, Inc. All rights reserved.

20. EXECUTION EXCELLENCE IN A WAY THAT ENGAGES U.S. Hospitality Workers Multiple Choice: Which of the following represents the percentage of ENGAGED hospitality workers in the United States? A. 32% B. 60% C. 28% Although better than the U.S. average, we are still leaving 40% of our human potential underutilized 20 Copyright © 2015 Gallup, Inc. All rights reserved.

21. HOSPITALITY AND THE EMOTIONAL ECONOMY One hospitality organization began focusing managers throughout the properties on both rational metrics and employee engagement. These were the results. –15:1 Employee Engagement Ratio. The national average across the U.S. is 2:1. –They now fall within the top 10% of Gallup’s Global Employee Engagement Database. –The most engaged hotel properties had 35% lower turnover and 11% higher profitability than less engaged properties. Hospitality Database 2:1 U.S. Average Hospitality Client A 15:1 21 Copyright © 2015 Gallup, Inc. All rights reserved.

22. CREATING THE RIGHT WORK ENVIRONMENT CREATES OUTCOMES ACROSS ORGANIZATIONS Absenteeism High- Turnover Orgs. Low- Turnover Orgs. Shrinkage Safety Incidents Quality (Defects) Customer Productivity Profitability Difference between top and bottom teams based on how they view their work environments 2.5 times the Earnings Per Share (EPS) growth rate Turnover 22 Copyright © 2010, 2015 Gallup, Inc. All rights reserved.

23. FOCUSING ON STRENGTHS BOOSTS ENGAGEMENT 23 Copyright © 2015 Gallup, Inc. All rights reserved.

24. TWO WAYS TO WALK BY: 20,000 MOMENTS TO ASSUME POSITIVE INTENT 24 I matter My world is clear You will optimize the discretionary efforts of your people when they stop feeling like everything is happening “to” them and they start feeling like at least some important things each day are happening “because” of them. Brian Brim (some guy from Nebraska) Copyright © 2015 Gallup, Inc. All rights reserved.

25. SLIGHT SHIFTS TO BUILD ENGAGING LEADERS How Do You… Know Yourself and Be Honest With Yourself Make People Matter Build Clarity in Their World 25 Copyright © 2015 Gallup, Inc. All rights reserved.

26. 26 Coming together is a beginning; keeping together is progress; working together is success. Henry Ford Copyright © 2015 Gallup, Inc. All rights reserved.