Mike Scully Mike Scully

Seven Tides Hospitality managing director Mike Scully says technology is increasingly perceived as an operational cost, meaning management contracts must be designed to cover the expense and deliver the solutions

As owners we have to look at what we buy and what we lease. We believe that considering the modern technology trends, in many cases it will become prudent to lease our technology. We all know that the medium for transporting info is accelerating at such a pace that what we buy today is not necessarily what will work tomorrow. We only need to look at the HD TVs we have just purchased, shortly to be outdated by the advent of the 3D product, to see that.

The ever-increasing trend when it comes to purchasing is that if it depreciates in value you make it an operational cost and lease it, and if it increases in value, then buy it. We have highlighted this point in previous articles where we envisage developers will only look for finance on the actual structure of the building while all other services from MEP to fit-out to full IT packages will be on lease and become operational expenses. This will obviously affect management contracts and it will be prudent for both owner and operator to start making provision for this in management contracts.

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We need to decide both where we will start with technology in hotels and what level of technology we envisage will be needed in the future. The secret to technology of the future will be its simplicity.

For a number of years to come we will still be in the dilemma whereby 50% of the population were not brought up with technology and are thus not comfortable with it. CEOs of today are not necessarily tech-savvy and young people are being brought into the technology world using simple, however highly effective systems, such as computer games. We therefore see hotel technology in the short to medium term taking the following path:

Guest technology

1. WiFi
The internet must be accessible anywhere, any place, any time; band width has to allow future guests who want to use your system to access their information. Can they download content, watch videos and movies and pay accounts? They will need seamless connectivity at the push of one button and will not expect to pay for the basic forms of internet activity, however, higher end demands such as downloading films could become an added revenue centre. Security over the system will not be an option but a must — systems will be required to both detect threats and then protect against them for both property and guest alike. Breaches in security through our systems will severely compromise business relationships and in turn revenue.

2. In-room management system
Simplicity needs to start in the bedroom. Too many times we have stayed in the most luxurious hotels where the stay has been destroyed by complexity of controls of lights, ‘do not disturbs’, curtains etc. Hotels should be encouraged to create a uniform system that can be understood by all; young and old. If this cannot be achieved, stay manual.

3.Conference systems
Video-conferencing will finally become a recognised form of communication, as green initiatives will encourage less flying and travel. We are finding with the likes of Cisco, whose tele-presence is revolutionary, that these systems are so much more effective — and with the increase in band width so much more reliable. Furthermore it could become a substantial revenue earner for hotels.

4.Telephony
I envisage the telephone in its present form will not exist for very long and will be integrated into a hands-free touch phone where you can speak from any part of your room or bathroom with equal clarity and individual buttons or voice activation will connect us with whichever department will be required. They will also seamlessly integrate with the Bluetooth of our preferred mobile.