Strategy & leadership · 14 June 2025 · 1 min read
Org structures and the span of eight
Most hotels use outdated structures. Here’s what works:
🔹 ORG STRUCTURES:
Functional: Departments by specialty (housekeeping, F&B, front office)
✅ Clear expertise ✅ Efficient resources
🎯 *Best for: Independent hotels*
Divisional: By brands/regions
✅ Market focus ✅ Fast decisions ✅ Clear P&L
🎯 *Best for: Multi-brand chains*
Matrix: Dual reporting (department + project)
✅ Cross-collaboration ✅ Knowledge sharing
🎯 *Best for: Complex resorts*
Flat: Minimal hierarchy, empowered front-line
✅ Fast communication ✅ Lower costs ✅ Guest responsiveness
🎯 *Best for: Customer-facing ops*
Circular: Customer-centered, no traditional hierarchy
✅ Ultimate customer focus ✅ Collaborative decisions
🎯 *Best for: Experience-focused brands*
🔹 SPAN OF CONTROL:
Span of 2: Expensive micromanagement
Span of 4: Traditional but costly
Span of 8: The game-changer
🎯 WHY SPAN OF 8 WINS:
✅ Instant guest issue resolution
✅ 15-25% cost reduction
✅ Employee empowerment
✅ Front-line innovation
✅ Organizational agility
Requirements: Training, clear standards, communication systems
Results: Higher satisfaction, lower turnover, 12-18 month ROI
Bottom line: Trust 8 people instead of controlling 2 - you transform culture, not just multiply capacity.
What structure drives results at your property?