Sustainability

The main barrier to assessing the social aspect of ESG reporting is to first bring its importance in line with environmental sustainability. A recent study asked hotel guests to rate a list of circular economy practices based on a) their willingness to pay, b) their importance, and c) their intention to reserve a stay.¹ The results are extremely valuable for business owners when deciding how to combine environmental sustainability investments with enhanced guest satisfaction.

There are several factors and variables to consider in reporting about social sustainability. For example, VIRTU Resorts is currently focusing on measuring culture and well-being, extending to include Indigenous knowledge. VIRTU's enriched business practices are rooted in the holistic connections between communities and the environment paired with the latest in technology.

When it comes to incorporating the social aspect in ESG reporting, prioritising the well-being and investment of staff members is paramount. Companies should focus on revaluing their workforce by allocating resources towards training, retention strategies, and ensuring fair compensation.

For me, it is not a case of which, it is about marrying the two. When it comes to radical changes or incremental shifts, action was required decades ago, the greatest risk of all is not doing anything. Therefore, the pathway to sustainability requires a thoughtful blend of continuous improvement and radical change.

In the hospitality industry - just like in the business world in general - a paradigm shift is necessary , which calls for radical changes. I see 3 priorities that are implementable by key hospitality stakeholders if they decide to work together (which can be a radical change for some of them already…): Hotel operators and their suppliers: Zero plastic Hotel investors and franchisors: Zero land take All: choose and aim for new KPIs (Key Performance Indicators) for the industry, before and above financial results, which would inspire hospitality leaders in their mission.

The challenges facing decoupling and green growth in the hospitality industry are evident, with current mainstream practices yielding insufficient progress. However, a departure from the prevalent notion that decoupling and tourism growth can happen simultaneously, coupled with a redirection towards an alternative paradigm of value creation in the form of regenerative hospitality, shows a more promising futureproof path for our industry.

Prohibiting development will not necessarily achieve the desired results. Tourism is a force for good and can change lives through job creation and other benefits to the destination. The mitigation strategy that is missing is education.

The good news is that hotels can achieve decarbonisation more easily if compared with airline or shipping industry. At least looking at Scopes 1 and 2 of the GHG protocol, changes in energy sources can be achieved in relatively short time by making investments, as the technology, i.e.

Like many other sectors of the economy, the hospitality sector assumes that forecasts and strategies for the future can be derived from a look at past developments. In view of the transgression of planetary boundaries (including climate change and the loss of biodiversity), our world will undergo massive change.