Managing Change In The Visitor Industry

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March 2005
Managing Change In The Visitor Industry
Greg W. Gilstrap
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(No Transcript)
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Bold New World
The way we live, work and govern ourselves is
about to plunge into a fundamental shift, a major
break from old trends. We are on the threshold
of one of those rare moments in historywhen all
the cards of power, wealth, of family and self,
are being reshuffled and dealt anew.
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Whats Up?
World Population

• One billion
• Two billion
• Three billion
• Four billion
• Five billion
• 1998 Six billion

6 billion
1 billion
Year
1800
1998
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Whats Up?
Life Expectancy
85 Years
Year
2050
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Whats Up?
Total mail messages (billions)
5,000
Year
2000
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Whats Up?
Volume of advertising ( billions)
250
Year
2000
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Whats Up?

• Global food production has tripled since World
  War II, even outpacing population growth
• We use seven times as much water as 1900
• Per capita paper consumption tripled in the U.S.
  from 1940 to 1980, and then tripled again over
  the next 10 years
• In 1960, the average CEO traveled 12,000 miles a
  year today, 112,000 miles
• The Physician Desk Reference had 300 pages when
  first published in 1948, it is now over 3,000
  pages

Source Richard A. Swenson, M.D., Hurtling
Toward Oblivion, 1999, pages 32-33
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Survival Is Not Enough
Winners change losers dont. Digital, Wang,
Western Union, Compaq, Penn Central, PointCast,
Infoseek all are on my list of losers, because
all of them hesitated and lost big opportunities.
Everyone of them was king of the hill until they
toppled off, all the while struggling in vain to
make the world the way it was.
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Change Easily Accepted?
Change resistors
Change agents
70 of all people in the typical work environment
tend to resist major changes
SourceRodger Bailey, Hiring, Managing and
Selling for Peak Performance
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Information TechnologyYears to Reach 25 Market
Share
Pace Of Change?
INTERNET
7 Years
PERSONAL COMPUTER
15 Years
TELEVISON
26 Years
TELEPHONE
35 Years
30
5
10
15
20
25
35
40
Source The Milken Institute, 2000
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Embracing Change

• Understand the need to effectively manage change
• Track, prioritize and manage trends
• Combat internal change resistors
• Build the external support thats needed to
  manage change
• Incorporate continuous improvement (how do we
  need to change what we did next time through the
  cycle?)

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Embracing Change

• Understand the need to effectively manage change
• Track, prioritize and manage trends
• Combat internal change resistors
• Build the external support thats needed to
  manage change
• Incorporate continuous improvement (how do we
  need to change what we did next time through the
  cycle?)

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Two Prong Attack

• Scan
• Listen

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Effective Scanning
Inside And Outside
Of Tourism
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Inside Industry Scanning
TRAVEL ADVANCE (R), Volume XIV, Number 103
Thursday, May 27, 2004 AMERICANS URGED TO "HAVE
FUN," DESPITE SECURITY THREAT. Just hours before
the nation's top law enforcement officials were
warning that they are convinced that al Qaeda is
planning an attack on the U.S. in the coming
months, (Pages A1, A9. Washington Post 1A, 3A,
USA Today A3, Wall Street Journal)
SCREENERS SHIFTED TO COVER BUSIER AIRPORTS. Six
of the nation's busiest airports are getting a
major boost in security screeners as the
government gears up to handle a crush of summer
travelers. (Pages 1B, USA Today 1C, Miami
Herald)
HOTEL CHECK-IN. As signs emerge of a comeback in
travel, lodging chains are starting to spend
more money on advertising. (Page C8, New York
Times)  

FROM TRAVEL AND CONSUMER MAGAZINES WORLD'S BEST
SERVICE. Asian properties and companies dominate
Travel Leisure's 2004 readers' poll to rate
the best service at hotels, airlines and cruise
lines. (Page 130, Travel Leisure, June)
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Inside Industry Scanning
A service of USAE weekly newspaper The weekly
community newspaper of associations, CVBs and
hotels

• seeamerica.org
• world-tourism.org
• hsmai.org
• mpiweb.org
• iacvb.org
• ttra.com

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Outside Tourism Scanning
http//www.wfs.org/futurist.htm

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Top Ten Forecasts

• Hyper-human skills (caring, judgment, intuition,
  ethics, imagination, etc.)
• Skills for right now (oral and written, team
  work, self motivation, time management, etc.)
• Worldwide worm shortage
• Winning the battle against the desert
• All-day eating
• Coral reef loss rivals that of rain forests
• Global wage gap to close
• More aggressive children
• Older workers help expand the business day
• Water wars prevent the real kind

Top 10 Forecasts from Outlook 2005
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Listen More Than Ever
Listening Isn't What Happens When We're Not
Talking Listening is the ability to turn our
attention fully and completely to the person
speaking. There's no stopping the 60,000
thoughts that swim through our own mind every
day. Listening redirects those thoughts away from
the details of our own experience, and into the
world of the person talking.
http//www.coachingteam.com
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Embracing Change

• Understand the need to effectively manage change
• Track, prioritize and manage trends
• Combat internal change resistors
• Build the external support thats needed to
  manage change
• Incorporate continuous improvement (how do we
  need to change what we did next time through the
  cycle?)

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Managing Change
Fads or Trends?
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Trends
Following trends is a no-brainer. There are
plenty of reporting systems out there. Knowing
which ones are the most important trends for your
organization to focus on, and knowing what to do
about them, is where winners and losers are made.
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Predicting The Future
The photograph is of no commercial
value. Thomas Edison remarking on his own
invention in 1880
It is an idle dream to imagine that automobiles
will take the place of railways in the
long-distance movement of passengers. American
Road Congress, 1913
I think there is a world market for about five
computers. Thomas Watson, chairman of IBM, 1943
There is no reason for any individual to have a
computer in their home. Ken Olsen, president of
Digital Equipment Corporation, 1977
- From Joel Barker, Future Edge, 199289
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Tourism Trends Include

• Roadtripping
• Getaways (overnights, weekends, regional, RVs,
  etc.)
• Cruises
• Experiential
• Religious, spiritual
• Volunteering
• The great outdoors
• New Family
• Fingerprinting
• Colorprinting
• Fragranceprinting
• Customized brochuring
• Themeparking
• Shopping
• Eatertainment
• Agri-tourism
• Eco-tourism

Source Based largely on trends featured in The
Future Aint What It Used To Be by Iconoculture
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Mall of America
Your adventure is about to begin. Please check
in at the elephant. - Seating call at the
Rainforest Cafe
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Royal Palms Resort
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Embracing Change

• Understand the need to effectively manage change
• Track, prioritize and manage trends
• Combat internal change resistors
• Build the external support thats needed to
  manage change
• Incorporate continuous improvement (how do we
  need to change what we did next time through the
  cycle?)

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Managing Change
If it changes the way you need to deliver
products and services...
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Managing Change
If it changes the way you need to deliver
products and services...
it will likely result in the need to change the
way you are staffed and/or structured
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New Mandate
Employees Vendors Partners

• Versatile
• Flexible
• Specialists
• Partners
• Trustworthy
• Similar but different

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Best Practices

• The top reasons for employee resistance are a
  lack of awareness about the change, comfort with
  the ways things are and fear of the unknown.
• Middle managers resist change because of fear of
  losing control and overload of current tasks and
  responsibilities.

The new 2003 Best Practices in Change Management
report presents comprehensive findings from 288
companies on their experiences and lessons
learned in change management.
Source Change Management Learning Center
http//www.change-management.com/best-practices-re
port.htm
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Leadership

• While managers may change their subordinates
  behaviors, leaders really know how to change
  their employees minds.
• Nido R. Qubein
• Chairman, Great Harvest Bread Company

- From Creating Contagious Leadership, John
Hersey, 2003
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Embracing Change

• Understand the need to effectively manage change
• Track, prioritize and manage trends
• Combat internal change resistors
• Build the external support thats needed to
  manage change
• Incorporate continuous improvement (how do we
  need to change what we did next time through the
  cycle?)

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Accountability

• Colorado Case Study
• 1992 was the last year of full funding (10 mil)
  for the Colorado Tourism Board making Colorado
  the only state without publicly-funded promotion
  efforts
• From 1993 to 1997 share of visitors declined 30
• Partial funding (3.5 mil) was restored in 1997
• Current funding 7.5 mil - Colorado legislature
  approved an additional 10 million to be added to
  the tourism budget this year

Source Longwoods International
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Colorado Experience in Arizona
Budget Deficit Will Get Worse

• For every 10 lost in visitor spending Fiscal
  impact would be a 98 million loss in general
  fund revenues
• and
• 45,200 jobs
• Colorado experienced a decline of 30

Source 2003 Arizona Office of Tourism Budget
Presentation
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Embracing Change

• Understand the need to effectively manage change
• Track, prioritize and manage trends
• Combat internal change resistors
• Build the external support thats needed to
  manage change
• Incorporate continuous improvement (how do we
  need to change what we did next time through the
  cycle?)

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Continuous Improvement
Plan Conference
Identify How To Make Conference Better Next Time
Market Conference
(Works much better if we come to the table fully
aware of how the world around us is changing)
Conduct Conference
Celebrate Conference Successes
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Continuous Improvement
When a large percentage of an organization's
people are trained and belong to improvement
teams, the relentless pursuit of continuous
improvement can really add up. A constant stream
of walks, singles, and doubles can win ball games
as effectively as a few towering home runs. And
an ethic of constantly looking for ways to do
things better also carries over to individuals'
daily work habits. - from Jim Clemmer's
article, "Process Reengineering and Improvement"
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Napoleon Bonaparte
"Glory is fleeting, but obscurity is forever."
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Tourism Lovegety?
Once the holder selects a mode, the device
searches for Lovegety holders in a five meter
radius. If it locates a holder with a potentially
good match, the "get" light flashes and the
device beeps, so the pair can find each other.
If there is a holder in the vicinity with a
different mode, then the "find" light flashes and
a different sound goes off, alerting the user of
a near get.
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Kansas City Attractions Association Presentation
Managing Change In The Visitor Industry
Greg W. Gilstrap