ExcelsiorAsset Management & Advisory

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Strategy & leadership · 14 June 2025 · 1 min read

Org structures and the span of eight

Vikram Aditya Singh

Most hotels use outdated structures. Here’s what works:

🔹 ORG STRUCTURES:

Functional: Departments by specialty (housekeeping, F&B, front office)
✅ Clear expertise ✅ Efficient resources
🎯 *Best for: Independent hotels*

Divisional: By brands/regions
✅ Market focus ✅ Fast decisions ✅ Clear P&L
🎯 *Best for: Multi-brand chains*

Matrix: Dual reporting (department + project)
✅ Cross-collaboration ✅ Knowledge sharing
🎯 *Best for: Complex resorts*

Flat: Minimal hierarchy, empowered front-line
✅ Fast communication ✅ Lower costs ✅ Guest responsiveness
🎯 *Best for: Customer-facing ops*

Circular: Customer-centered, no traditional hierarchy
✅ Ultimate customer focus ✅ Collaborative decisions
🎯 *Best for: Experience-focused brands*

🔹 SPAN OF CONTROL:

Span of 2: Expensive micromanagement
Span of 4: Traditional but costly
Span of 8: The game-changer

🎯 WHY SPAN OF 8 WINS:

✅ Instant guest issue resolution
✅ 15-25% cost reduction
✅ Employee empowerment
✅ Front-line innovation
✅ Organizational agility

Requirements: Training, clear standards, communication systems

Results: Higher satisfaction, lower turnover, 12-18 month ROI

Bottom line: Trust 8 people instead of controlling 2 - you transform culture, not just multiply capacity.

What structure drives results at your property?

First published on LinkedIn. Any workbook or deck the note mentions is attached to the original post.

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