Hilton Group get the VIP treatment

Hilton International is always seeking ways to reduce costs while improving the standards and facilities in its hotels. With this in mind, Stephen Close, Financial Director for the Hilton Belfast, met Expense Reduction Analyst to investigate areas of expenditure which may yield savings.

During their initial meeting John was able to show how the Expense Reduction Analysts Profit Improvement Programme could be used to review strategic and non-strategic expenditure at Hilton to ensure it was receiving best value for money.

Stephen was impressed by the Expense Reduction Analysts payment by results proposition and with the constant threat of increased oil and gas prices, especially in the Hotel industry, he engaged Expense Reduction Analysts to analyse expenditure on fuel at Hilton Belfast. Expense Reduction Analysts agreed to conduct the review and invited Expense Reduction Analyst’s third-party experts Brendan Byrne and Mike Daly to assist him. Stephen explains, “As with all hotels the expenditure on heating and hot water is significant, in Belfast’s case over £40,000 pa. The Expense Reduction Analysts team explained they had previously developed boiler management systems that were tuned to hotels unique patterns of high usage in the mornings and evenings. Expense Reduction Analystsalso guaranteed that there would be no interruptions to the hotel’s business operations, equipment or systems and so I commissioned Expense Reduction Analysts to conduct a 6-month pilot at the Hilton Belfast.” Expense Reduction Analysts introduced a technology to Hilton Belfast which was designed to make the boilers run more efficiently and, after trialing the technology for a period of 6 months, the Expense Reduction Analysts team were able to present and prove their recommendations to the Hilton Hotel Group.

They reported average projected savings of over 20% per room sold to be spread over a period of 12 months, when taking into account varying external temperatures over this time period which impact upon usage rates. The results have been so promising that it has now been agreed with Hilton International’s headquarters in Watford, London, to extend the initiative to make it available to the rest of Hilton’s UK hotels.

Hilton Group Profile

Hilton International, an operating division of UK-based Hilton Group Plc with annual turnover of more than £3billion, operates 394 hotels in 78 countries around the world. A marketing alliance with Hilton Hotels Corporation extends the number of hotels to 2,500, with 500 being branded Hilton. The Hilton Belfast is one of the city’s premier hotels, situated next door to the Waterfront Conference Centre and close to the city centre. It comprises 195 bedrooms, 7 suites, meeting facilities for up to 450 delegates and a Living Well health and fitness centre.