Introduction 3
Earth Hour at Hilton Woodland Hills 3
2015 Earth Hour Activities 4
Business Strategies and Commitments 4
Analysis: Significance of Earth Hour Activities 5
Application of Stakeholder Theory, CSR, and TBL Approaches 6
Stakeholder Theory 6
CSR 8
TBL 9
Conclusion and Recommendations for Sustainability 9
Hilton Woodland Hills/Los Angeles Earth Hour Commitment and Sustainability Report
Introduction
Hilton Hotels and Resorts, one of the leading and most prestigious hotels in the world, is the organization that will be tackled in this report based on its participation in the 2015 Earth Hour. Hilton Hotel is considered to be one of the titans in the industry of hotel and hospitality, with over 570 total properties stretching to 84 territories in six different continents. This includes Hilton Woodland Hills in Los Angeles, California, USA. Hilton Woodland Hills offers exceptional services and amenities targeting travelers for business and leisure (Hilton 2016). The company has a vision of thinking in a global perspective but acting locally. This is made possible through various charitable programs which they yearly participate in. They support sustainability by implementing projects that reduce environmental impact. Hilton Hotels was the pioneer in receiving environmental certifications from LEED and Green Seal (Hilton 2016).
Aside from involving in environmental sustainability, the company also participated in 1,500 community projects from different parts of the world to ensure social integration with stakeholders. This is part of the company’s aim to become a global citizen. However, the main focus of this essay is the company’s involvement, planning, and implementation of sustainable environment starting off with its participation in the annual Earth Hour (Hilton 2016). This paper aims to assess the activities accomplished by the company to meet the objectives of the Earth Hour and to set recommendations for Hilton Woodland Hills, Los Angeles to come up with more environmentally sustainable activities in the future. In this paper, the mention of Hilton refers specifically to Hilton Woodland Hills/Los Angeles.
Earth Hour at Hilton Woodland Hills
During the past five years, every March of the year, Hilton participates in Earth Hour. Earth Hour is an annual effort of the World Wildlife Fund or WWF to encourage huge companies to preserve the environment as part of their Corporate Social Responsibility. The Earth Hour is a way for businesses to come up with small and simple initiatives to address the worsening climate change (Hilton Worldwide 2017). The worldwide event actually started in Sydney, Australia in 2007, where an estimated 2 million people turned off their lights and avoided using electronic devices for at least an hour. The move has significantly reduced energy use in the city by at least 10 percent. Since then, this has become a global movement. WWF is a very distinguished partner and stakeholder of Hilton and other huge hotel chains in the world such as Hyatt and Marriott (Hilton Worldwide 2017).
2015 Earth Hour Activities
In Earth Hour 2015, Hilton came up with really innovative projects to honor its commitment to become environmental global citizens. Some of the activities include the following: switching off the external lighting of the main building as well as the neon signage; dimming the lights of the interior lightning particularly in the lobby and reception areas; hosting dinner by candle light and offering cuisines that are low in carbon as well as drinks and cocktails that are considered sustainable in nature; acoustic music and jazz sessions are held in the darkness; and candle making activities are showcased. These activities took place between 8:30 pm to 9:30 pm on March 28, 2015. All Hilton Hotels chains participated in their respective local times (Hilton Worldwide 2017).
Business Strategies and Commitments
One of the lifetime commitments of the company is to make sure that it lives sustainably and encourage its stakeholders and shareholders to do the same. This has been part of Hilton’s business aims and strategies. Natural resources need to be managed properly and ethically. In addition, energy consumption has to be reduced to a significant percentage despite continuous plans of global expansion (World Wildlife Fund 2016). Hilton has a very catchy sustainability and CSR strategy, which they call Travel with Purpose. This strategy has 4 pillars, one of which is Living Sustainably. This business strategy aims to build opportunities for local communities and individuals to achieve their potentials fully by traveling, upholding culture, and living sustainably by measuring the use of resources including energy. Hilton’s efforts have become notable to different certification bodies. In 2014, it received its ISO certification for energy use and management through the use of LightStay, which has been upgraded to make sure it is able to measure energy consumption more accurately (World Wildlife Fund 2016). In addition, Hilton implemented in 2015 the Meet with Purpose initiative, which is a concept, intended to meet business professionals and company representatives to discuss waste reduction, recycling, and other sustainable environment practices (World Wildlife Fund 2016).
Analysis: Significance of Earth Hour Activities
The Earth Hour activities implemented by Hilton last year are part of the significant move of the company to make sure that they live by the ethical standards set by one of its most important stakeholders – WWF. In order to live sustainably and continue doing business with clients from different territories around the globe, it is of utmost necessity to be able to implement activities similar to these (World Wildlife Fund 2016). Hilton has set a very good example for other hotels and even companies and businesses that are not within their niche. In turn, Hilton is also able to give back to the Los Angeles community. By making sure that they will have a share of the use of natural resources around them, the existence of Hilton becomes well tolerated by the local community. In addition, the hotel is very accessible and is close to great beaches such as Malibu.
More significantly, Hilton made sure that the Earth Hour experience will still be beneficial to its clients, more specifically the travelers. Having a candle lit dinner with a special someone and eating healthy, carbon-free and delicious but sustainable cocktails is imaginably a very worthy experience. Simply turning the lights off in one hour can be extremely boring for some of the vacationers, so Hilton came up with very creative and innovative ideas for Earth Hour activities. Thus, it is a win-win situation for the clients, the company, and the environment. Not only were they able to effectively help reduce natural resources and energy consumption, they were also able to make sure that they will still benefit financially and profitably with the initiative. By continuing the acoustic and jazz sessions at the hotel in the darkness, the spectators and vacationers were still very much entertained.
Also, by organizing rare activities such as candle making, clients’ interests are stirred. Travelers love to try something new for a change and this is definitely something unique to offer. The business strategies of Hilton are really effective making sure that the activities are properly communicated for implementation. In addition, all sorts of activities during last year’s Earth Hour are minimal or low-cost in nature since there is no need to use too much lighting, effects, and other props to impress the clients. Thus, saves the company logistical costs as well (Carroll & Shabana 2010). Moreover, there is no need for grand performances that will require payment of talents and allocation of production costs. Corporate social responsibility efforts of Hilton, in this manner, have effectively reached millions of stakeholders and impressed partners and shareholders, which promises better and more nurtured business relationships. Now, this is a strategy that can ensure business sustainability for the years to come (Carroll & Shabana 2010).
Application of Stakeholder Theory, CSR, and TBL Approaches
Stakeholder Theory
The activities reflect stakeholder theory, which is all about interaction with stakeholders and making sure that such interaction benefits the society as a whole. That way, Hilton will be able to understand its capacities to reach its full potentials. Hilton is able to effectively think that every action reflects the society and that everyone should be involved in the business decisions the company will make. Otherwise, every failure will also reflect to the society affecting the firm and the important stakeholders (Langer & Konrad 2005). WWF is an important stakeholder as well as the local community where the company is physically located. The WWF and the local community have a stakeholder power that influenced the decision of Hilton to create the aforementioned activities. The clients or customers are also some of the most important stakeholders so they had to make sure that the activities are not only implemented to impress the local community and the WWF organization but more so to make the clients happy and satisfied. The bottom line of every business, after all, is the satisfaction of its end consumers (Langer & Konrad 2005).
In line with this thought, Hilton’s relationship with these stakeholders is deemed significant and legitimate, meaning that, these stakeholders have the right to demand urgency to claim what is rightfully theirs. This also means that they want to be benefited by these activities and any other activity that the company will be implementing in the future. It can be safely said that they can repeat these activities in the next Earth hour – they will still likely attract more attention from clients and other stakeholders, but it is important to also take note of competition. Other competitors may have already heard about such activities so they may most likely emulate every single activity implemented in last year’s Earth Hour.
Community participation is needed in order to ensure sustainability of every action made. Huge companies like Hilton needs to implement sustainable activities but in such a way that the elements of leisure and entertainment are not affected. It is best to think of other activities in addition to the existing ones for purposes of gaining competitive edge and profitability. In the end, it will always come down to financial sustainability to make sure the business strives.
In reiteration, stakeholder participation is needed although out the processes of planning, implementation, and evaluation so that business decisions are influenced positively. Hilton ensures that the local communities are involved and benefited at all cost. The company operates making sure that fairness, stability, efficiency, wisdom, and knowledge are applied (Carroll & Shabana 2010). Part of the business’ strategy is to uphold ethical operation and decision making. Hilton further makes sure that it reaches a number of diverse individuals and get to know their way of life so that the operations of the hotels, resorts, and properties will not affect the communities’ daily routines.
Every business decision must be made in good faith and in accordance to public interest in order to gain trust. Otherwise, there may be conflicts of interest arising between or within stakeholder groups. However, it was postulated that in Tourism, Event, and Hospitality industries, decisions are often made in a top-down manner. In order for the business plans of Hilton to become sustainable, it is important to make sure that a combination of a top-down and bottom-up approaches be applied (Carroll & Shabana 2010). In order to make this possible, Hilton needs to go back to its philosophical and moral guidelines. Every activity aim should have good reasoning and should be well in line with the company’s overall vision and mission.
CSR
Hilton is able to exemplify the true value of ethical business through its programs and activities not only during the Earth Hour but also in various environmental and social activities. For instance, they are continuing efforts to become ethical citizens of the world through the implementation of Travel with Purpose. However, since the focus of this report is Earth Hour, this concept will not be discussed in minute details. Going back to the activities during the Earth Hour, Hilton was able to conceptualize a really great strategy to exude an aura of ethical business, which is very appealing to partners, shareholders, and stakeholders (Zu 2009). Candle making activities from last year is something that is both environmental and social. It is environmental because the materials used in making the candles are earth friendly and it is social because it required participation of groups of individuals. Lighting the candles at the onset of the Earth Hour together is also a representation of togetherness – that they are one with Hilton in its aim to live sustainably. Thus, Hilton is successful in terms of encouraging stakeholder participation and involvement (Rendtorff 2009).
Since they are encouraging involvement, it is also important that Hilton outlines its activities with utmost accountability. For instance, if a client gets an injury related to dimming or turning off the lights during the Earth Hour and within their vicinity, they may be held accountable for some reason (Nwanji & Howell 2011). However, it depends on the severity of the incident and such are subject for investigation. Hilton strictly adheres to the three dimensions of accountability such as compliance, transparency, and responsiveness. These are part of Hilton’s Corporate Social Responsibility towards the law, the society, and the environment. According to Carroll & Shabana (2010), CSR is a conduct of every business entity so it will become successful economically, socially, and legally.
It is already obvious that Hilton has performed its economic responsibility being one of the most profitable business entities in the world to date. Moreover, it adheres to the law and abides by it. It has patterned its corporate guidelines and policies in accordance to the law of the city of Los Angeles, CA. So far, it is deemed an ethical business for doing what is right and avoiding environmental and social harm. However, despite the fact that it is one of the economic titans in hotel industries, it needs consistency in terms of discretionary responsibility. Meaning that, it needs to sustain its ability to contribute for the good of the community and prioritize public interest to fully become a good global corporate citizen (Nwanji & Howell 2011).
TBL Approach
Hilton further needs to reach the Triple Bottom Line – People, Planet, and Profit. People refers to upholding social justice, Planet represents environmental quality, and Profit is economical prosperity. Everyone knows that Hilton is a very big company of hotels, resorts, and properties, but the question remains as to whether or not it is able to sustain and retain its titan position in the industry of hotel, tourism, and hospitality (Zu 2009). As mentioned earlier, it is of prime importance to ensure the application of top-down and bottom-up approach. A collaboration of both business approaches can ensure equitable and integrative results (Henriques & Richardson 2004).
Conclusion and Recommendations for Sustainability
In order for Hilton Woodland Hills to be a sustainable business, it needs to come up with activities similar to the Earth Hour activities although uncalled for. Meaning, they should be able to create innovative activities that protect the environment even if it is not time for Earth Hour. The initiatives and actions should be an all-year commitment. Everyday should be Earth Hour, not just every March of the year. In order to be sustainable, the business needs to embrace all of the three triple bottom line- people, planet, and profit (Segal-Horn & Faulkner 2010). Hilton must ensure that the society is nurtured by creating programs that can help them earn a living, while learning about how to protect the environment in their own simple ways. The environment should be viable – both natural and built environments should have balance. Finally, Hilton needs to have sufficient economy for the coming years if they want to thrive in the industry. In conclusion, the only way to be sustainable economically is to invest in materials, ideas, and innovations that can benefit the people and the planet.
References
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