Evolution of the Hospitality CEO Role and Key Responsibilities

I have been working with hospitality and leisure sector for over a decade now – more than enough time to get a sense of what makes chief executives in the industry tick and which kinds of people end up in the role. But while some trends and characteristics remain constant, it has been interesting to notice some new developments in the past few years – which is why I wanted to launch my inaugural series on this topic for the Venari Podcast. I’ve lined up great guests, who have plenty of experience, industry insights, and leadership wisdom to share. These are:

Frank Marrenbach(Althoff Hotels)

Barbara Muckermann(Kempinski Hotels)

Gilda Perez-Alvarado(Orient Express)

Christopher Norton (Equinox Hotels)

Watch this space – I can’t wait to share these interviews with you!

Before the Hospitality & Leisure CEO series goes live, however, I thought I would run over some of the central traits of senior leaders in this space and consider how the role seems to be developing – not to mention the key areas to watch out for as 2025 approaches.

So, what are the hard and soft skills that hospitality leaders need to thrive in this ever-changing market?

Let’s get it out of the way – as in many sectors, CEOs in hospitality and leisure are predominantly male, middle-age, and white. Sadly, it is still all too rare to come across a woman CEO – apiecefrom Hertelier last year noted that while women make up 50% of the overall workforce in hotels and leisure, this drops to 21% in the C-suite and just 7% for CEOs.

However, it’s important to note that while change comes slowly, it is nonetheless happening. We’re seeing more and more leaders enter the sector from other areas, for instance, in a way that didn’t typically happen in the past. Furthermore, the path to executive leadership nowadays is often through senior development, financial, and commercial roles, rather than the traditional path of COOs in the sector going on to become CEOs.

‘Historically, hospitality CEOs always came from an operational background,’ Barbara Muckermann told me when I asked for her view on the executive leadership path:

Artificial intelligence has had a dramatic impact on industries the world over, and it’s no different for hospitality and leisure. Leaders who haven’t already embraced AI risk being left behind given the technology’s capacity for boosting output and efficiency. This encompasses everything to contactless technology, Internet of Things, and voice-enabled assistants such as those used byBob Win their aparthotels, to the use of chatbots for customer service, and automation to better direct areas like revenue management and analytics.

The possibilities are truly endless, and it will be exciting to see how these trends develop over the coming years. Tech-savvy CEOs have the opportunity to shape the narrative and direction for the future of the leisure sector – indeed, those who do not keep up with the timesrisk being left behind. It seems much of my network agrees with me – a comprehensive 57% majority of respondents to my recentLinkedIn pollchose ‘Prepare for the AI revolution’ as the answer to the leadership trend that will be most crucial for leaders to embrace next year. Meanwhile, programmers with the hard skills to make such visions a reality will be in high demand.

As I mentioned above, senior leaders in hospitality tend to come from one particular demographic. It will be a while before there are any large-scale changes to this end – but in the meantime, leaders would do well to promote diverse and inclusive values among their talent. Hiring and promoting women and diverse candidates is not only equitable – it isactively beneficial for business. Clued-in CEOs in the hospitality and leisure space know that implementing meaningful DEI policies is a way of not just attracting staff, but also nurturing and retaining them to grow and add value to the organisation.

Hospitality and leisure is a famously demanding sector. Turnover has historically been high, making it all the more crucial that CEOs implement policies to ensure the wellbeing of their talent. Positive working environments, transparent communication, flexibility and work-life balance are all areas to emphasise.

Leaders that want to really make a difference should emphasise health and safety, moving away from the high-pressure environments all too often associated with the hospitality and leisure industry. Furthermore, offering talent the opportunity to give anonymised feedback in confidence is crucial to ensuring staff feel supported and that they have a say in the direction and culture of the organisation.

As this year draws to a close, and with 2025 on the horizon, the landscape of leadership continues to evolve. Authenticity, openness, and adaptability are more important than ever. However, new expectations will always come up in response to market trends, new technology, and economic conditions, so the above list is not intended to be exhaustive. Rather, it serves as a brief rundown of some of the main issues that forward-thinking CEOs in the transport and leisure sector need to consider in order to innovate and drive transformation.

I hope you’ll tune in for my Venari Podcast interview series – but until then, if you need advice on hiring the best executive talent in the hospitality and leisure space, justdrop me a line!

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