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How Hilton Cut 6-12% in Labor Costs Across 600 Hotels While Improving Service and Staff Satisfaction - Michael Escalante

How Hilton Cut 6-12% in Labor Costs Across 600 Hotels While Improving Service and Staff Satisfaction - Michael Escalante

Published 11 months, 2 weeks ago
Description

In this episode, Michael Escalante, former Global Vice President of Hilton’s Center of Operational Excellence, shares how his team delivered 6–12% savings on labor across more than 600 hotels, while improving both guest service and employee satisfaction. Michael explains the methodology behind Hilton’s approach: observing processes instead of people, quantifying human behavior, and modeling work as a function of volume. He also shares how Hilton overcame the hardest part -- change management -- by building transparency, securing buy-in from teams and unions, and creating a culture of efficiency with technology.

Also see: Labor, Leadership & Leveling Up: How Michael Escalante Went from Aerospace Engineer to Hilton's Global VP of Operational Excellence

Resource from Actabl: The Future of Hotel Labor Management: A Smarter, People-First Approach to Profitability

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Music for this show is produced by Clay Bassford of Bespoke Sound: Music Identity Design for Hospitality Brands

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