Following the information of his dying after a virtually two yr battle with pancreatic most cancers, a number of present and former Marriott Worldw
Following the information of his dying after a virtually two yr battle with pancreatic most cancers, a number of present and former Marriott Worldwide workers shared how CEO Arne Sorenson led along with his coronary heart.
“I contemplate Arne’s legacy to Marriott and the hospitality trade as immeasurable. Maybe considered one of Arne’s biggest legacies is his principled and gracious management, an ‘esprit de corps,’ that I really feel has been ingrained by Marriott’s world associates at the moment and definitely for generations to come back, mentioned Gregory Miller, a former longtime Marriott worker and now a lodging analyst at Truist.
Miller added that he was “gutted” when he heard the information.
Sorenson, who turned Marriott into the world’s largest lodge chain after buying Starwood Inns & Resorts in a $13 billion deal in 2016, died on the age of 62, the corporate introduced Tuesday.
As a journalist overlaying the corporate for a number of years, Sorenson’s heat was evident.
Sorenson knew everybody’s title at a convention. He would take the time to ask you about your loved ones. He by no means shied away from answering powerful questions round lodge staff’ rights and politics. He exemplified what many executives attempt to do however typically fail to do: Present compassion.
In contrast to different company heads who have a tendency to stay to the script, Sorenson did not maintain again in interviews and rarely minced phrases.
In an interview with CNBC in 2018, Sorenson mentioned the U.S.-China commerce battle and rhetoric from the Trump administration round immigration was leading to fewer overseas arrivals and issuances of recent visas.
Earlier this yr, Sorenson was one of many first CEOs to talk out and condemn the Jan. 6 riot on the U.S. Capitol.
“I acknowledge that we’ve associates who’ve very totally different views on the outcomes of this election and the course of the USA … however what we won’t do is trample the Structure,” he mentioned on the time.
Marriott — positioned in Bethesda, Maryland proper outdoors Washington, D.C. — rapidly adopted Sorenson’s assertion by reducing off political donations to the Republicans that voted in opposition to Joe Biden’s certification as president. Different firms responded equally.
On the peak of the coronavirus pandemic, when tons of of Marriott workers had been furloughed, Sorenson teared up in an handle to workers in mid-March.
“I can let you know that I’ve by no means had a harder second than this one,” he mentioned on the time. “There may be merely nothing worse than telling extremely valued associates, people who find themselves the very coronary heart of this firm, that their roles are being impacted by occasions which might be utterly outdoors their management.”
Whereas competitors has solely heightened during the last 5 years, his longstanding friendship with considered one of his greatest rivals, Hilton CEO Chris Nassetta, was maybe a terrific testomony to the kind of chief Sorenson was. Nassetta mentioned, “I’ll miss him and the friendship we have constructed.”
I’ll miss him and the friendship we have constructed.
Sorenson’s dying invited an outpouring of help and tributes from CEOs, political leaders, and executives from varied industries together with Walmart CEO Doug McMillon and Microsoft CEO Satya Nadella.
The timing of Sorenson’s dying comes because the hospitality trade continues to be reeling from the results of Covid-19, whereas additionally gearing up for a possible restoration within the second half of this yr.
A brand new 2021 developments report from Expedia discovered that 42% of respondents surveyed mentioned current information concerning coronavirus vaccines made them extra hopeful about journey, or drove them to guide an upcoming journey.
Marriott, which is betting on a giant restoration and a return to bigger venue properties like resorts, introduced plans final week to greater than double its portfolio of all-inclusive resorts with an extra 19 new properties, all of that are positioned throughout the Caribbean, Central America and Mexico.
“The attraction of inclusive resorts has been heightened through the pandemic, Tony Capuano, head of worldwide improvement at Marriott, informed CNBC in early February.
Capuano together with Stephanie Linnartz, group president of shopper operations, will proceed to run daily operations. Whereas the lodge operator is unlikely to call a successor to Sorenson so quickly, the corporate is alleged to be contemplating Capuano and Linnartz, in addition to present CFO Leeny Oberg as potential CEO candidates.
Marriott additionally faces competitors from rising competitor Airbnb which noticed a significant leap in bookings final yr as shoppers fled huge cities for more room and solace.
Expedia CEO Peter Kern mentioned its trip rental platform noticed “sturdy progress,” within the final quarter. In a CNBC interview final week, Kern dismissed the concept that vacationers is not going to return to lodges.
“[Home rentals] have been on a terrific tear, Airbnb has been an essential a part of what is going on on there and we respect, clearly, what they’ve achieved. However I do not assume this can be a grand shopper shift of how all of us wish to journey. Many people do wish to return to the spa or go to the lodge pool,” mentioned Kern on “Squawk on the Avenue” on Feb. 12.
Marriott reviews earnings Thursday and the management transition will possible be a subject of debate.