How to Apply the 80/20 Rule to Hospitality

In the hustle of the hospitality industry, efficiency is key. Hoteliers often find themselves pulled in countless directions: managing staff, ensuring guests are satisfied, handling operations, marketing the property, and so much more. But what if we could focus on the 20% of efforts that generate 80% of the results? The 80/20 Rule (also known as the Pareto Principle) offers an incredibly powerful framework for maximizing productivity, and it’s especially relevant in hospitality.

Here’s how to apply the 80/20 Rule specifically to hotel management. I’ll walk you through 10 ultra-productive ways to transform your hotel operations and maximize results without overwhelming yourself and your team.

1. Tasks

Identify the 20% of tasks that deliver 80% of the impact. In hotel management, not all tasks are equal. For example, managing room availability and optimizing guest check-in/check-out processes might be the 20% of tasks that significantly influence guest satisfaction and operational efficiency. Focus on these core responsibilities and either delegate or automate the rest. Automation tools for booking and check-ins are examples of systems that free up your time to focus on higher-impact areas.

2. Strengths

Leverage the 20% of your team’s strengths that generate 80% of the value. Your staff is your biggest asset. But, like all teams, certain employees excel in specific areas. Whether it's a front desk manager who always resolves guest issues or a housekeeping team leader who ensures spotless rooms, focus on nurturing and amplifying those strengths. Allocate their time to the tasks where they truly shine, and delegate lower-impact tasks elsewhere.

3. Activities

Cut out the 20% of activities that waste 80% of your time. For hoteliers, this might include reducing unnecessary meetings or overcomplicated approval processes for routine tasks. Identify activities that do little to contribute to your hotel’s success, such as excessive reporting or micromanaging, and streamline or eliminate them. You’ll find more time to focus on what really matters—delivering exceptional guest experiences.

4. Decisions

Simplify decision-making by focusing on the 20% of factors that affect 80% of the outcome. When making decisions about room pricing, amenities, or partnerships, it’s easy to get bogged down in minutiae. Instead, focus on the key elements that significantly impact results—such as peak season pricing strategies or feedback from repeat guests—and make decisions based on these core insights. By concentrating on the vital few factors, you’ll make faster, more informed decisions.

5. Learning

Focus your learning on the 20% of skills that yield 80% of the desired results. In the ever-evolving world of hospitality, it can be overwhelming to stay updated on the latest trends, software, or management techniques. Focus your learning on the areas that will provide the greatest return, such as leadership development, guest experience strategies, or revenue management tools. Mastering these critical areas will allow you to continue evolving as a leader and hotelier.

6. Habits

Identify the 20% of habits that produce 80% of your positive outcomes. In hospitality, your habits set the tone for how efficiently your hotel operates. For example, the habit of conducting daily briefings with key department heads might be one of the most critical routines that ensures smooth operations across the property. Another essential habit could be regularly reviewing guest feedback and responding quickly to address any concerns. Focus on reinforcing these high-impact habits to drive better performance across your team and operations.

7. Relationships

Invest in the 20% of relationships that bring 80% of the value. Whether it’s with guests, vendors, or your team, relationships are the backbone of hospitality. Focus your energy on the key relationships that generate the most return. For hoteliers, this might mean prioritizing long-term partnerships with suppliers who provide consistent value or building loyalty with your top 20% of returning guests, who account for 80% of your repeat bookings. By nurturing these high-impact relationships, you’ll see lasting benefits in both guest satisfaction and operational efficiency.

8. Wardrobe

Streamline your wardrobe with the 20% of pieces that cover 80% of your needs. This might seem trivial in the grand scheme of hotel management, but reducing decision fatigue in areas like wardrobe can make a significant difference in your overall efficiency. As a hotelier, you are often on your feet, meeting guests, and moving between different departments. Invest in a versatile, professional wardrobe that allows you to focus more on your work and less on what to wear. Quality, durable attire that fits your role can help streamline your mornings and keep you comfortable throughout the day.

9. Health

Focus on the 20% of health habits that give you 80% of the benefits. Running a hotel can be demanding both mentally and physically, so maintaining your health is crucial. Identify the health habits that make the biggest difference, such as getting enough sleep, staying hydrated, and fitting in short but effective exercise sessions, even during busy days. A healthy hotelier is a more productive and resilient one. Prioritizing these key health habits will allow you to stay sharp and energized, no matter how hectic things get.

10. Possessions

Declutter by identifying the 20% of possessions you use 80% of the time. Your workspace and personal environment impact your ability to focus and manage effectively. Declutter your office or desk by keeping only the essential items that you use regularly, such as key reports, your computer, or tools for day-to-day management. Remove unnecessary distractions so you can concentrate on the tasks that matter most. A clean and organized environment fosters clear thinking and better decision-making.

Maximizing Hotel Operations with the 80/20 Rule

By applying the 80/20 Rule to the world of hospitality, you can transform the way you manage your hotel and team. The principle is simple: focus on the small percentage of efforts that yield the most significant results. Whether it's streamlining your daily tasks, prioritizing key relationships, or honing your leadership habits, the 80/20 Rule allows you to work smarter, not harder.

In an industry as dynamic and fast-paced as hospitality, finding these efficiencies can be the difference between simply managing a hotel and truly excelling as a hotelier. By cutting out the noise and focusing on what truly moves the needle, you can enhance guest experiences, improve operations, and drive higher profitability.

Now, it's your turn—what 20% of your efforts are driving 80% of your success? And what can you let go of to focus on what really matters?

Want to Be Part of Mentor Hotelier? Here Are Ways You Can Help:

• Join the Mentor Hotelier Community: Subscribe to our newsletter and join a vibrant community where you’ll learn innovative strategies and discover the latest digital tools to improve your hotel’s productivity and streamline the workflow of your entire team.

• Every Successful Hotel Has a Story to Tell: I understand the challenges of managing a hotel—I come from a family of hoteliers. So every week, I interview hoteliers and managers, from boutique hotels to large chains, to share their stories and insights with our community. Would you be open to a quick chat to share your experience?

• Group Consultations with Fellow Hoteliers: Join our group consultation sessions, where we gather periodically as a community of hoteliers. These private, small-group consultations allow us to share challenges, insights, and strategies, working together to find tailored solutions for your hotel.

• Collaborative Team Training and Implementation: As part of the Mentor Hotelier community, we work together to create resources that help train your teams and implement the latest tools. Whether it's for improving operations or enhancing guest experiences, our collective efforts ensure everyone benefits from shared knowledge and support.