VO L U M E 1 : G R E AT P L AC E T O W O R K P R O F I L E S E R I E S HospitalityFor AllHow Hilton treats employees at all levels like guests;and how that “For All” culture drives its success1 2018 Great Place to Work All Rights

VO L U M E 1 : G R E AT P L AC E T O W O R K P R O F I L E S E R I E S Hospitality For AllIn today’s economy, an organization’s brand and customer loyalty rest in the hands of its employees morethan ever. Building an experience where all employees thrive, regardless of role or background, is key tobusiness success. Many organizations, however, struggle to create a workplace culture which is equallygreat for front-line, hourly staff as it is for executives. With 380,000 team members worldwide, Hiltonstands out for a consistently positive experience for its team members—no matter their job role. Throughan inclusive purpose embraced by company executives, innovative programs, and effective leadership atevery level of the organization, Hilton has achieved a Great Place to Work For All. In turn, that For All cultureis helping to fuel its business success.Snapshot of Hilton Worldwideand its WorkplaceNumber of Team Members WorldwideBest Workplace Honors380,000Includes team members at franchise propertiesRange of Front-Line RolesFront desk clerks, bell hops, housekeepers,dishwashers, cooks, many othersNumber of Languages SpokenOver 40 globally, operating in over100 countries2 2018 Great Place to Work All Rights Reserved.100BESTCOMPANIESTO WORK FOR 2016

Hospitality For AllWhat do your customers see when they talk to your employees?And thanks to that widely shared, welcoming culture—whatHow do those frontline employees—whether they’re retail clerks,we call a Great Place to Work For All—Hilton is maximizing thecall center agents, nurses or front desk staff—affect your brand?human potential of its people. With all team members bringingthe best of themselves to work, Hilton’s performance is on theDo they build it up—or do they break it?If you’re like most organizations, you’ve spent significant time,effort and capital trying to improve your brand. And yet, returnrise in the form of industry-leading service levels, increasingprofitability and strong stock market performance.on brand investments are mixed. Pricy efforts to repositionHilton’s For All culture has lessons that reach well beyond thecorporate identities, rename products and recapture customers’hotel industry. In today’s economy—defined by speed, socialimaginations often fail to improve brand reputation, or reachtechnologies and customers who attach themselves to brandsthat reflect their values —organizations of every stripe must treatfinancial objectives.One company, however, has managed to accomplish these goals.A key secret of their success is their outstanding commitmentover the past decade to treat team members—in every role, fromall employees as well as they treat customers.Every Employee Countsthe C-Suite to mid-level managers to frontline cooks, conciergesMany organizations struggle to create a workplace culture thatand housekeepers—as well as they treat the guests who stay atis as great for frontline staff as it is for executives (see sidebar:their properties. That company is hotel giant Hilton.Crossing the Chasm). In hospitality, the interaction betweenThrough an inclusive purpose embraced by company executives,customer experience. (See sidebar: Service With A Smile—Orinnovative programs, and effective leadership at all levels offrontline staff and customers is absolutely critical to theElse, and the Front Lines of the New Business Frontier). To bethe organization, Hilton has achieved a consistently positivesuccessful, all employees need to feel engaged to deliver their best.experience for its 380,000 team members worldwide. Call itHospitality For All.PRICE PERFORMANCES I N C E J A N 2 0 17:47.4%47.4%Hilton (HLT) vs. S&P 50040.2%Hilton (HLT)S&P 500Price Return Performance32.4%24.1%21.5%18.2%11.7%5.5%0Source: Zacks Equity

VO L U M E 1 : G R E AT P L AC E T O W O R K P R O F I L E S E R I E S Crossing the ChasmPutting a smile on the faces of frontline employees can be athey are involved in decisions that affect their job or workchallenge. Especially a smile as bright as the one you oftenenvironment, or that managers genuinely seek and respond tofind on a company executive. In studying gaps that exist in thetheir suggestions and ideas. All told, employees who are notworkplace experience among different demographic groups,in management or leadership roles are more likely to feel like aGreat Place to Work has found the largest differences arereplaceable “cog in the wheel” rather than a valued member ofbetween employees in different job levels.the team. It’s tough to show care for a guest or a customer whenyou’re feeling like a cog yourself.Put simply, the higher you go in the organization, the betterthe work experience tends to be. The gaps between frontline employees and leaders tend to be in the areas of fairness,communication, and meaningful work. For example, individualcontributors are far less likely than executives to believe thatT R U S T I N D E X S TAT E M E N T:Average Job-Level Gaps Among Certified CompaniesThis chart shows the average percentage point difference between Executive/C-Suite and Individual Contributors at all companiesconsidered for the 2017 FORTUNE 100 Best Companies to Work For list. More than 225,000 employees contributed to the study.Trust Index StatementI feel I receive the fair share of the profitsmade by this organization17.2Promotions go to those who best deserve them16.1Management involves people in decisionsthat affect their jobs or work environment14.914.8People here are paid fairly for the work they do14.4Managers avoid playing favorites12.9People look forward to coming to work here12.6My work has special meaning: this is not “just a job”Management genuinely seeks andresponds to suggestions and ideas12.4If I am unfairly treated, I believeI’ll be given a fair shake if I appeal1211.9Management delivers on its promises104 2018 Great Place to Work All Rights Reserved.11121314151617181920

Hospitality For AllThe premium guests place on every chance interaction they haveduring their hotel stay makes it strategically important for HiltonHilton’s Solution: Hospitality For Allto engage every single team member. Over the past five years,How has Hilton built this thriving business? How has it reachedHilton has made great strides in equalizing how their people feelits team members regardless of whether they work in Singapore,about their work. Surveyed on more than 50 different metricsLondon, or Des Moines? How has it driven a culture wheremeasuring levels of trust, pride and camaraderie, employeesthe diversity of its team members matches the diversity ofof all ranks are having a better experience. And that positiveits customer base? In an industry with such a diverse rangeexperience is more consistent across job levels.of employee backgrounds and job roles, how can it createa consistently a positive working experience, regardless ofDriving a more consistent experience can reap powerfulbusiness rewards. Great Place to Work research shows turnover,productivity, brand ambassadorship and customer service arewhether team members are hourly or salaried, managers orfrontline staff?all positively impacted by creating a great workplace For All.The answer is a simple for one of the world’s biggest hospitalityAnd it pays off in significantly stronger annual revenue growth.companies: treat team members of every position as well as theHilton’s own analysis shows a relationship between teamguests who stay at Hilton hotels. It’s a straightforward philosophymember experience and business metrics, including customerexecuted in an exceptional way. The company sets itself apartfrom other employers by being a great host to its own people insatisfaction, property loyalty, and overall guest service.Other signs confirm that being better for all their people hasbeen better for Hilton’s business. In recent years, JD Power hasrated Hilton among the top five hotels in North America on itsGuest Satisfaction Index in the Upper Upscale and ExtendedStay segments—and, for the second consecutive year, the bestUpscale hotel.ii Company profits are up more than 20% year-overyear.iii And shareholders are seeing the benefits, with earnings pershare more than doubling over the same period last year.ivthree key ways: by creating Purpose From the Top; designing ForAll Programs; and developing For All People Leaders.Purpose From the TopHilton has been in the hotel business since 1919, and it promisesto treat guests, team members and other stakeholders wellin its mission: “To be the most hospitable company in theworld—by creating heartfelt experiences for Guests, meaningfulopportunities for team members, high value for Owners and apositive impact in our Communities.”T R U S T I N D E X S U R V E Y R E S U LT S :100Hilton EmployeeTrust Index Survey2017 vs. 20122017 Trust Index Survey Results2012 Trust Index Survey Results90908685758785868080Survey Results sAverage employeeAverage employeeTrust Index surveyresults in 2017 areboth stronger andmore consistent959574700Individual ContributorFrontline ManagerMid-Level ManagerExecutive/

VO L U M E 1 : G R E AT P L AC E T O W O R K P R O F I L E S E R I E S The Front Lines of the NewBusiness FrontierWe have entered a new era, a new frontier in business. Thiscompany to fulfill the brand promise—and may leave a negativelargely uncharted territory is about growing your business andreview on Yelp or TripAdvisor if your employees deliver a ho-humimproving results by developing every ounce of human potentialor disappointing experience. What’s more, customers (not towithin the people who work there. Our economy has evolvedmention potential job candidates and investors) care increasinglythrough agrarian, industrial, and “knowledge” phases to theabout how well people are treated at the companies they dopoint where the essential qualities of human beings—thingsbusiness passion, creativity, and a willingness to work together—arethe most critical. The emergence of what author Dov Seidmanlabels the “Human Economy” goes hand in hand with social andtechnology changes, such that speed, social networking toolsand higher moral standards are shaping business success asnever before.Today’s business climate, then, all but requires organizations tocreate a great experience for all their employees. Not just thosewho’ve risen to the C-suite or hold middle management posts.But also for those who labor on the front lines, in the jobs thattypically pay the least and come with little prestige. When largegaps exist in the work experience between those in hourly, lower-This means companies must rely on those on the front lines toranking roles and leaders higher up, companies face a growingan unprecedented degree. As we point out in our book A Greatrisk. A less-than-great experience on the job for a retail cashier, aPlace to Work For All, there simply isn’t time for information tojanitor, a restaurant server means those employees are not likelyflow up and down the chain of command for decisions to beto give their all, to be at their best. Human potential is wasted, andmade that satisfy customers used to just-in-time service. Thoseso is business potential.customers expect encounters with every representative of yourService With A Smile—Or ElseHotels that want to keep their “No Vacancy” sign shining brightlyOne trend making the performance of those on the frontlinesneed bright smiles from their frontline staffers as never before.ever-more important is the decreased popularity of hotel loyaltyConsider this observation from Rick Garlick, global travel andhospitality analyst at market research firm J.D. Power, “Customershave responded well to the enhanced offerings provided bysome hotel brands to create value, but as those perks becomestandard, customers are quick to ask, ‘What have you done for melately?’” Garlick wrote in a 2016 report, “When guests no longer6programs among younger customers. Only 39% of Gen Y guestsbelong to a rewards program, compared with 56% of Gen X and66% of Baby Boomer guests, according to J.D. Power.viii Thatyounger guests are more willing to spread their business aroundputs a premium on every stay—on every encounter with theconcierge, server and housekeeper.see added value in the quality of amenities they receive, theAnother J.D. Power finding shows just how crucial a fullyonly option to truly differentiate a brand is to develop a strongengaged, happy frontline employee is. There is a whopping 50%service culture that makes guests feel special and appreciated.”vireduction in the average number of problems experienced whenDeloitte’s 2018 report on the hospitality industry echoed thisstaff members greet guests with a smile “all the time,” comparedfinding: “Hoteliers are quickly becoming more experience driven.”viito when guests are only greeted with a smile “sometimes.”ix 2018 Great Place to Work All Rights Reserved.

Hospitality For AllMission statements, though, are only meaningful when they’rebacked up by leaders’ attitudes and behaviors. In Hilton’s case,CEO Chris Nassetta drives a strong sense of purpose throughoutFor All ProgramsHilton expresses the Purpose that comes from the top throughthe business, starting from the top. He ensures Hilton’s companythe people programs it invests in. From the spaces teamvision applies equally to every team member. For Nassetta,members work in, to travel benefits, parental leave, and personalthat also means delivering generous, genuine hospitality to alland professional development, Hilton goes the extra mile tohis people – in all roles, at all levels, and in all geographies. Hemake sure these investments benefit all its people. Together,took the reins of the company in 2007, when Hilton was boughtthese programs signal the company’s belief that everyoneby private equity firm Blackstone. At that point, Hilton wasmatters and inspire leaders at every level to treat teamstruggling against rivals and deeply in debt. Nassetta’s strategymembers revitalize the company included international expansion,streamlined operations and a revamped rewards program. Butcentral to his turnaround plan was a renewed emphasis on all ofHilton’s team members. One of his first actions to support thisfocus, for example, was launching an “immersion” program thatrequires every executive leader to spend a week on the front lines,Hilton’s Valuesworking alongside cooks, housekeepers, and front desk agents.Nassetta’s immersion mandate not only prompts executives towalk a mile in the shoes of hourly team members but get a feel forthe customer experience. It also reflects the way Nassetta retainsa measure of humility as a hospitality chieftain. He got started inthe industry with a plunger in his hand as a maintenance stafferat a Holiday Inn, and he treasures the camaraderie he felt there.“I like to say my career started in a toilet,” he says. “But it was apretty amazing experience.”v (See sidebar: Staying Grounded atthe Top of Hilton)Another way Hilton’s top leadership engages everyone in itspurpose is by empowering employees at all levels. Just asexecutives are expected to experience life in the trenches, Hiltonemployees in the trenches are encouraged and expected tomake decisions on their own. The company’s “Make It Right”mantra means team members of every job title ought to startfixing problems they see, as soon as they see them. MakeIt Right comes directly from two of the company’s five corevalues: “ownership” and “now” (see sidebar: Hilton’s Values).These principles aren’t just words on a wall. Or rather, they comealive through more words on the wall: on old-fashioned bulletinboards and a company intranet, Hilton managers share storiesof team members taking the initiative to solve problems. GreatPlace to Work data confirms that employees in general feel a strongsense of autonomy: nine out of ten say that “Management trustspeople to do a good job without watching over their shoulders.”Christine Himpler, who has worked for Hilton for more than20 years, has noticed a change in mindset under Nassetta’sleadership. In her view, people at every level are treated withgreater respect, treated more like guests. “In the past six years orso, I’ve seen the shift,” says Himpler, director of housekeeping forthe Hilton San Francisco Union Square. The company, she states,is “paying a lot more attention to team members.”HILTONHospitalityWe’re passionate about deliveringexceptional guest experiences.IntegrityWe do the right thing, all the time.LeadershipWe’re leaders in our industryand in our communities.TeamworkWe’re team players in everything we do.OwnershipWe’re the owners of ouractions and decisions.NowWe operate with a sense ofurgency and

VO L U M E 1 : G R E AT P L AC E T O W O R K P R O F I L E S E R I E S Hilton’s Path to SuccessHilton describes its progress in recent years in sequential terms:1 tart with a clear set of values and a sense ofSpurpose (see sidebar: Hilton’s Values)4With programs in place, strive to make highperformance sustainable, through [email protected] core programs aligned to those values,such as parental leave and the Go Hilton travelbenefit5I nvest in front line team members, with higherengagement and retention delivering a return on thatinvestment3Hold leaders accountable for living the values andbreathing life into the programs6Finally, measure performance and employee experience,using data to refine and continue improvingStaying Groundedat the Top of HiltonHilton CEO Chris Nassetta began in the hotel industry at thebottom, working as a maintenance staffer at a Washington, D.C.Holiday Inn while on summer break from college. This includedthe dirty work of unclogging guest room toilets.But what Nassetta remembers most from those summer gigs wasthe way his co-workers treated him as family despite his youthand part-time status. This included a farewell party completewith a gold-painted plunger as a parting gift.Today, Nassetta aims to reproduce that kind of all-encompassinghospitality at Hilton. He has invested in a host of programs thatextend to every Hilton team member. Among them is [email protected], which encourages health and wellbeing in mind, body andspirit across the entire Hilton workforce.Nassetta showed his commitment to elevating the frontlines bydoing a stint there himself. When he announced the “immersion”program requiring Hilton execs to spend a week working inroles like housekeeper, dishwasher and bell hop, Nassetta tooka turn as a maintenance team member in the Capital Hilton inChris NassettaCEO, Hilton8 2018 Great Place to Work All Rights Reserved.Washington, D.C. His coworkers there repeated the funny, warmsend-off Nassetta experienced years before as a summer intern.“When I left,” he recalls, “they gave me a golden plunger.”

Hospitality For AllKey Behaviors of the“For All” LeaderTrustRecognitionBuilds strong trust with all or nearly all ofCelebrates successes of teams andtheir employees, regardless of personalindividuals without seeking personal credit.backgrounds or roleGoalsRelationshipsConsistently reinforces the company’s larger visionCultivates strong connections andand goals, and connects individuals to them inrelationships both within and across teamspersonally meaningful ways.across the organizationDevelopmentDrives a continous improvement and learningmindset by investing in mentoring and developmentof others.LEVEL 5The For All LeaderPositiveEmployees have a consistently positiveexperienceNeutralEmployees have a sometimes positive, sometimesnegative experienceNegativeEmployees have a consistently negative experience93 5 2q5%

VO L U M E 1 : G R E AT P L AC E T O W O R K P R O F I L E S E R I E S Care and RespectFor All at HiltonIn most organizations, Great Place to Work has found individualcontributors’ experiences are far less positive than that of managers,and senior executives’ experiences significantly outpace other leaders.Hilton has done a remarkable job making all employees, regardless ofrole, feel authentically and similarly cared for.T R U S T I N D E X S U R V E Y R E S U LT S :Hilton Employee Trust Index Survey971009590898790928580848484Individual ContributorFrontline ManagerMid-Level Manager7570656055504540Survey Results3530252015105010Management shows a sincereI am treated as a full memberinterest in me as a personregardless of my position 2018 Great Place to Work All Rights Reserved.Executive/C-Level

Hospitality For AllPerhaps the best example of a program demonstrating Hilton’sSome benefits even continue after people leave. Team membersoutstanding treatment of its people is [email protected] Developedwho achieve 10-20 years’ tenure can continue to enjoy the Goin partnership with Arianna Huffington’s wellbeing company,Hilton family and friends travel program for life. (See Sidebars:Thrive Global, the program aims to support team members in allPaid Parental Leave For All: Clearing a Higher Bar; Educationareas of life — mind, body and spirit. In order to provide excellentFor All: Fully-Paid GED and High School Completion Programs;care for guests, Hilton believes team members themselves needGreat Facilities For All: First-Class Treatment for the “Heart ofto be authentically cared for as well.Thrive Global CEO Arianna Huffington made this point explicitwhen the program was unveiled last year. “Those who arecharged with looking after the well-being of others - includingthe House”; Travel For All: Go Hilton Team Member and Family &Friends Travel Programs.)For All People Leadersthe millions who work in the hospitality industry - are especiallyAs exceptional as Hilton’s programs are, competitors whovulnerable to stress and burnout,” Huffington said. “But Hilton hascopy the programs but not the culture, will be hard pressed tobeen a global leader in proving that prioritizing the well-being ofrealize the same level of reward that Hilton does. Their secretemployees is the surest route to sustainable growth.”Hilton’s approach isn’t to tell its people they all matter – it’s toshow them. In recent years, the company has rolled out programsthat expressly benefit all ranks and roles. It renovated back-ofthe-house spaces used by housekeeping, kitchen staff and otheremployees to improve the look, feel and pride of the spaces. Itenhanced family benefits, including parental leave and adoptionassistance, bringing peace of mind to hourly and salaried teamto success is the “last mile” of any program – its leaders atevery level. Employees who are treated as “less than” in theirdaily interactions with leaders will come to see even thesegenerous benefits in a cynical light. Travel, parental leave andother programs become nothing more than transactionalcompensation unless day-to-day exchanges with leaders andcolleagues mirror the same respect.Hilton creates people leaders who stand out for their abilitymembers alike. It launched a program providing educationalto deliver great work environments for their entire team. Theyadvisors who work one-on-one with team members who wish toshow a clear ability to connect with people from differentearn a

VO L U M E 1 : G R E AT P L AC E T O W O R K P R O F I L E S E R I E S Great Facilities For All:First-Class Treatment forthe “Heart of House”Genuinely excellent service comes easily to employees when ithold disciplinary conversations at a long table is now a warmis a reflection of how they themselves are treated by the peopleliving room of a lounge with three comfy couches. And now whenwho serve them as their employers.she talks with staffers about problems, the conversations feelIn recent years, Hilton has invested in brightening parts of themore like conversations—as opposed to disciplinary that guests don’t even see—such as break rooms,Housekeepers at the hotel say the new space has also increasedstaff locker rooms, and team member restaurants. Thesethe team’s camaraderie and solidarity. Now, staffers gather everyimprovements are tangible evidence to team members thatday in the lounge, serving each other tea and sharing photos.Hilton cares for them as much as they do about the guest.These upgraded facilities do more than just inspire teamAt the San Francisco Hilton, the renovated housekeeping staffmembers to treat guests well. They also send a message to allroom now feels like an upscale club with dark hardwood andof Hilton’s people that they are highly valued team members,flagstone floors. Christine Himpler, the director of housekeeping,deserving of human dignity and respect.said the creation of a staff lounge changed the way she relateswith her team. What used to be a sterile room where she wouldHilton Batumi12 2018 Great Place to Work All Rights Reserved.The staff break room at the Hilton Batumi illustrates the transformationtaking place globally across Hilton’s “Heart of the House.”

Hospitality For AllWaldorf Astoria BeijingWaldorf Astoria

VO L U M E 1 : G R E AT P L AC E T O W O R K P R O F I L E S E R I E S Family-Friendly Benefits For All:Clearing a Higher Bar.In 2016, Hilton made the rare industry decision to support theirthe various changes becoming a parent is already tough – letpeople during one of the most special times in their lives byalone now having to budget differently because your incomeoffering paid parental leave. When making this decision, theyhas been cut by nearly half now that you’re on disability. Theexplicitly offered these benefits to all their US team members:Maternity Program really allowed me to relax and take fullhourly and salaried alike. Mothers who have given birth receiveadvantage of the time I had with my baby, without having theten weeks leave at full pay, and fathers and adoptive parents canadded stress of about finances because I was made wholetake two weeks paid leave. To supplement this, the company alsofinancially with the benefit program.”expanded benefits to provide adoption assistance of 10,000per members sets Hilton apart as an employer of choice inIn 2017, nearly 800 mothers and fathers took advantage of leavethe market, the program also demonstrates to Hilton’s peoplebenefits, putting new parents’ minds and finances at ease whilethat they work for a company that cares for them personally,they took time off to bond with their child. “The Hilton Maternityregardless of role or rank—resulting in long-term loyalty andProgram was hands down the best benefit I have enjoyed as acommitment across the board.Hilton Team Member,” commented one parent. “Going through14While it’s true that offering generous paid parental leave to all 2018 Great Place to Work All Rights Reserved.

Hospitality For Allbackgrounds and roles, and to build meaningful connectionstrained in Dixon’s Doubletree kitchen as a sous chef and hasacross departments and with Hilton’s mission. In studyingmoved to become an executive chef at a local restaurant. “That’sHilton’s leaders, from front-line supervisors to executives, Greathow I judge my success as a leader,” Dixon says, “and that is whatPlace to Work found evidence of this all-inclusive hospitality indrives me.”both anecdotes and aggregate data.Dixon has been at Hilton for four of his 21 years in the food andConsider Iriana Formato, Director of Catering and Events at thebeverage industry. And while previous workplaces tended to beHilton Chicago O’Hare and Rosemont hotels. Formato came tocutthroat with little regard for staff development, his leaders atlead a team of about 20 team members a year ago, after 14 yearsHilton frequently check in with him about his career other Hilton properties. One of her first priorities, she says,was to learn about each person at a deeper level. She has spentmuch of her time understanding what their goals are, what makesthem tick, what makes them happy, and what helps them thrive.One team member might be focused on career progress, whileanother might get energy from solving guest problems and athird may have family demands and prioritize work-life balance. “Iconstantly have 1-on-1s,” Formato says. “Everybody’s motivationis different. You need to get to know them on a personal basis.”Formato’s personal touch is commonplace among Hilton’sleaders. Some 84% of individual contributors at Hilton say theirleadership shows “a sincere interest in me as a person.” Andnearly nine in ten individual contributors report they are treatedas a full member of the Hilton community, regardless of theirposition (See Chart: Care and Respect For All at Hilton).The fact that leaders on the front lines can create a consistentlyrespectful, caring environment has everything to do with thefact that their leaders at Hilton model the same behavior. Hilton’sTrust Index survey results for experiencing genuine, personalinterest from their bosses and being treated as an equal peer arenearly the same for frontline and middle managers as they arefor individual contributors. In other words, the positive treatmentfor team members cascades down from the top. Hospitalityfor frontline team members begins with hospitality for ChrisNassetta’s own team, and so on down the line.The result at Hilton is a large number of For All Leaders. That’s“They want to know what my goals are,” he says. “That’s one of thethings that keeps me at Hilton.” (For a profile of Andrew Dixonand two other frontline leaders, see Sidebars: Cooking Up aGreat Team Culture; Making Housekeepers Feel At Home; andFrom Houseperson to Lunch Host.)Hilton is not just hiring great leaders like Andrew Dixon. It istransforming the good into the great. One of Dixo

Every Employee Counts Many organizations struggle to create a workplace culture that is as great for frontline staff as it is for executives (see sidebar: Crossing the Chasm). In hospitality, the interaction between frontline staff and customers is absolutely critical to the customer experience. (See sidebar: Service With A Smile—Or