Michigan State University
2011 Fall Organizational BehaviorTeam C
Ashley Groggins, Rona Smart, Cristi Lingris,Hyungil Kim, Ryan Starkweather, Nicole Berz
What comes to mind when you hear or see Marriott?
Question
I am Marriott
MarriottNews. (Producer). (2009, May 26). I am Marriott. Video retrieved on October 9, 2011 from http://www.youtube.com/watch?v=YUxIxjPPfIc
Marriott International
is a great place to work, as evidenced by
Agenda
3. Culture & Corporate Social Responsibility
2. Competitors & Competitive Advantage
1. Business & Performance
1. Business & Performance
Key Facts
Founded: Washington D.C. 1926
Employees: 129,000
World Wide Operator & Franchiser- U.S. and 70 other countries and territories
- 3,545 lodging properties worldwide, with 618,104 rooms- 2,043 furnished corporate housing rental units
Total Revenue: US $11.69 Billion
1. Business & Performance
Datamonitor 360. (n.d.) Marriott Company Overview. Retrieved on September 30, 2011 from http://360.datamonitor.com.proxy2.cl.msu.edu/Product?pid=A60E65CA-A952-42A7-A580-B3C707CEF91F
Major Brands 1. Business & Performance
Our brands. (2011). Marriott Corporate Website. Retrieved on September 22, 2011 from http://www.marriott.com/corporateinfo/glance.mi
Business Performance
2008 2009 2010
Revenue
12,879
10,908
11,691
2008 2009 2010
Net Income
362
-346
458
(Millions, U.S. Dol-lar)
1. Business & Performance
Mergent Online. (n.d.) Marriott Company Details. Retrieved on September 22, 2011 from
http://www.mergentonline.com.proxy1.cl.msu.edu/companydetail.php?compnumber=94547&pagetype=synopsis
Revenue by Business Segment
2010(US$
Million)
Change from 2009
Total Revenue 11,691 7.2% increase
North America Full 5,108 5.4% increase
North America Limited 2,149 8.2% increase
International 1,245 8.7% increase
Luxury 1,563 10.6% increase
Timeshare 1,546 7.4% increase
Revenue by Business Segment (Reported 12/31/2010)
1. Business & Performance
Mergent Online. (n.d.) Marriott Company Financials. Retrieved on September 22, 2011 from http://www.mergentonline.com.proxy1.cl.msu.edu/companyfinancials.php?compnumber=94547
Key Financials (SEC Filings)
2008 2009 2010
Total Assets 8,903 7,933 8,983
Total Liabilities 7,523 6,791 7,398
Debt/Asset Ratio 84.50% 85.60% 82.40%
Revenue per Employee $88,821 $79,620 $90,628
(Millions, U.S. Dol-lar)
1. Business & Performance
Datamonitor 360. (n.d.) Marriott Business Description. Retrieved on September 30, 2011 from http://360.datamonitor.com.proxy2.cl.msu.edu/Product?pid=A60E65CA-A952-42A7-A580-B3C707CEF91F
2. Competitors & Competitive Advantage
Ranked Competitors by Industry
Lodgings Hotels, Resorts, Cruise Lines
Hotels, Restau-rants,
Casinos
Mergent Public Rank
1Marriott Interna-tional
Marriott International
McDonald’s Corp Walt Disney
2 African Sun Limited
African Sun Limited
Marriott International
Loews Corp
3 Accor SA Accor SA StarbucksMarriott International
4 Las Vegas Sands Corp
Las Vegas Sands Corp
Intercontinental Hotels
Starwood Hotels & Resorts
5 MGM Resorts International
Royal Caribbean Cruises Hilton Worldwide Host Hotels &
Resorts
2. Competitors & Competitive Advantage
Mergent Online. (n.d.) Marriott Competitors. Retrieved on September 26, 2011 from http://www.mergentonline.com.proxy1.cl.msu.edu/competitors.php?compnumber=94547Factiva. (n.d.) Marriott International Competitors. Retrieved on October 3, 2011 from http://global.factiva.com.proxy2.cl.msu.edu/pcs/default.aspx
FORTUNE 500
Hotels, Resort & Casinos In-dustries
Rank Company Fortune 500 rank
1 Marriott 213
2 Hannah’s Enter-tainment 264
3 MGM Mirage 360
4 Starwood Hotels & Resorts 438
5 Las Vegas Sands 456
2. Competitors & Competitive Advantage
Fortune 500: Our annual ranking of America’s largest corporations. (2011). CNN Money. Retrieved on September 28, 2011 from http://money.cnn.com/magazines/fortune/fortune500/2011/index.html
Comparison Among Top Com-petitors
Marriott Accor Starwood Inter-continental
Total Revenue 11,691 5,948 5,071 1,538
NetIncome 458 3,600 477 280
Earningsper Share 1.26 15.94 2.61 0.97
Employees 129,000 145,000 145,000 7,556
2. Competitors & Competitive Advantage
Mergent Online. (n.d.) Marriott Competitors. Retrieved on September 26, 2011 from http://www.mergentonline.com.proxy1.cl.msu.edu/competitors.php?compnumber=94547
Strengths & Opportunities
• Technical innovations• Higher brand recognition• Global presence• Diversified brand
portfolio
Strengths
• Strong growth in emerging markets
• Hospitality market in U.S. improving
• Brand expansion
Opportunities
Competitive
Advantage
2. Competitors & Competitive Advantage
Datamonitor 360. (n.d.) Marriott SWOT Analysis. Retrieved on October 3, 2011 from http://360.datamonitor.com.proxy2.cl.msu.edu/Product?pid=A60E65CA-A952-42A7-A580-B3C707CEF91F&view=SWOTAnalysis
Global Growth as Competitive Advantage By 2015, 120 hotels (double its
presence)
By 2015, from 12 to 100 hotels
By 2015, 50 hotels (environmen-tally-friendly)
By 2015, 360 hotels (double its presence)
2. Competitors & Competitive Advantage
Find your world: Marriott’s signature. (2010). Marriott 2010 annual report. Retrieved on September 27, 2011 from http://investor.shareholder.com/MAR/marriottAR10/signature/index.html
Shareholder Value & Stock Price2008 2009 2010
Earnings per Share 1.02 (0.97) 1.26
Return on Investment 17% -4% 18%
Return on Equity 25% -28% 34%
2. Competitors & Competitive Advantage
Thomson One: Investext (n.d.) Marriott International Company Overview. Retrieved on September 30, 2011 from https://www.thomsonone.com/Workspace/Main.aspx?View=Action%3dOpen&BrandName=&IsSsoLogin=True
Shareholder Returns & Comparison2. Competitors & Competitive Advantage
Investor relations. (2011). Marriott Corporate Website. Retrieved on September 22, 2011 from http://investor.shareholder.com/mar/default.cfm
3. Culture & Corporate Social Responsibility
Core Values: "Spirit to Serve"
Spirit to
Serve
Our Asso-ciates
Our Commu-nitiesOur Guests
3. Culture & Corporate Social Responsibility
Core Values
“Take care of your employees and they’ll take care of your guests” J.W. Marriott - Founder
Staff Incentives• Reduced Rates• Educational Assistance• Formal Recognition Program
Our Asso-ciates
3. Culture & Corporate Social Responsibility
Why Marriott? (2011). Marriott Corporate Website. Retrieved on September 22, 2011 from http://www.marriott.com/careers/CareerPaths-hotel-employeee-benefits.mi
Core Values: "Spirit to Serve"
Our Com-munities
Actively involved with the communities in which they resideActivities
• Habitat for Humanity• Hurricane Katrina• Feeding America• Children's Miracle Network
3. Culture & Corporate Social Responsibility
Environment. (2011). Marriott Corporate Website. Retrieved on September 22, 2011 from http://www.marriott.com/corporate-social-responsibility/corporate-environmental-responsibility.mi
Core Values: "Spirit to Serve"
Our Guests
Utilizing technology to keep guests satisfied with their experienceTechnological Initiatives
• Marriott Automated Reservation System for Hotel accommodations (MARSH)
• Property Guest Object Oriented System (Pgoos)
3. Culture & Corporate Social Responsibility
Datamonitor 360. (n.d.) Marriott SWOT Analysis. Retrieved on October 3, 2011 from http://360.datamonitor.com.proxy2.cl.msu.edu/Product?pid=A60E65CA-A952-42A7-A580-B3C707CEF91F&view=SWOTAnalysis
JD Power Customer Satisfaction 3. Culture & Corporate Social Responsibility
North America hotel ratings: Luxury (2011). JD power: Travel: North America hotel ratings. Retrieved on September 28, 2011 from http://www.jdpower.com/travel/ratings/north-america-hotel-ratings/luxury/
Business Values
1) Commitment to Human Rights
2) Ethical and Legal Standards
3) Working with Suppliers
4) Helping Our Workforce Grow
“How We Do Business Is As Important As The Business We Do”
3. Culture & Corporate Social Responsibility
Why Marriott? (2011). Marriott Corporate Website. Retrieved on September 22, 2011 from http://www.marriott.com/careers/CareerPaths-hotel-employeee-benefits.mi
Fortune 100 Best Employers
Rank Company
70 SC Johnson
71 Marriott72 Microsoft
73 PricewaterhouseCoop-ers
74 Nordstrorm
3. Culture & Corporate Social Responsibility
100 best companies to work for. (2011). CNN Money. Retrieved on September 28, 2011 from http://money.cnn.com/magazines/fortune/bestcompanies/2011/snapshots/71.html
Accomplishments
Society & Environment
• Climate Counts Ranks Marriott® Tops in the Hospi-
tality Sector
• Marriott Headquarters Receives Gold Medal for
Green Buildings
• Marriott UK Hotels #7 on Sunday Times’ “Best
Green Companies” and “Best for Employee Environmental Engagement” Lists.
• 2010 worldwide charitable contributions totaled $34.6 million from
donations of cash and volunteer time
3. Culture & Corporate Social Responsibility
Environment. (2011). Marriott Corporate Website. Retrieved on September 22, 2011 from http://www.marriott.com/corporate-social-responsibility/corporate-environmental-responsibility.mi
Goals
• Further reduce energy and water consumption by 25 percent per
available room by 2017
• Create green construction standards for hotel developers and
green our multi-billion dollar supply chains
• Educate associates and guests to support the environment
• Invest in innovative conservation initiatives in-cluding
rainforest protection and water conservation
Continuous Improvement
3. Culture & Corporate Social Responsibility
Environment. (2011). Marriott Corporate Website. Retrieved on September 22, 2011 from http://www.marriott.com/corporate-social-responsibility/corporate-environmental-responsibility.mi
-Team C
In closing, we believe Marriott International is a great place to work, as evidenced by Marriott’s
1. Business & Performance
2. Competitors & Competitive Advantage
3. Culture & Corporate Social Responsibility
Presentation and References with live links can be found on the Linked In profiles of all group members.
References
Datamonitor 360. (n.d.) Marriott Business Description. Retrieved on September 30, 2011 from
http://360.datamonitor.com.proxy2.cl.msu.edu/Product?pid=A60E65CA-A952-42A7-A580-B3C707CEF91FDatamonitor 360. (n.d.) Marriott Company Overview. Retrieved on September 30, 2011 from http://360.datamonitor.com.proxy2.cl.msu.edu/Product?pid=A60E65CA-A952-42A7-A580-B3C707CEF91FDatamonitor 360. (n.d.) Marriott SWOT Analysis. Retrieved on October 3, 2011 from http://360.datamonitor.com.proxy2.cl.msu.edu/Product?pid=A60E65CA-A952-42A7-A580-B3C707CEF91F&view=SWOTAnalysisEnvironment. (2011). Marriott Corporate Website. Retrieved on September 22, 2011 from http://www.marriott.com/corporate-social-responsibility/corporate-environmental-responsibility.miFactiva. (n.d.) Marriott International Company Information. Retrieved on September 22, 2011 from http://global.factiva.com.proxy2.cl.msu.edu/pcs/default.aspxFactiva. (n.d.) Marriott International Competitors. Retrieved on October 3, 2011 from http://global.factiva.com.proxy2.cl.msu.edu/pcs/default.aspxFinancial statements. (2010). Marriott 2010 annual report. Retrieved on September 27, 2011 from http://investor.shareholder.com/MAR/marriottAR10/financials/financial_statements/index.htmlFind your world: Marriott’s signature. (2010). Marriott 2010 annual report. Retrieved on September 27, 2011 from http://investor.shareholder.com/MAR/marriottAR10/signature/index.htmlFortune 500: Our annual ranking of America’s largest corporations. (2011). CNN Money. Retrieved on September 28, 2011 from http://money.cnn.com/magazines/fortune/fortune500/2011/index.htmlInvestor relations. (2011). Marriott Corporate Website. Retrieved on September 22, 2011 from http://investor.shareholder.com/mar/default.cfm
References (cont.)MarriottNews. (Producer). (2009, May 26). I am Marriott. Video retrieved on October 9, 2011 from
http://www.youtube.com/watch?v=YUxIxjPPfIcMergent Online. (n.d.) Marriott Company Details. Retrieved on September 22, 2011 from http://www.mergentonline.com.proxy1.cl.msu.edu/companydetail.php?compnumber=94547&pagetype=synopsis Mergent Online. (n.d.) Marriott Competitors. Retrieved on September 26, 2011 fromhttp://www.mergentonline.com.proxy1.cl.msu.edu/competitors.php?compnumber=94547Mergent Online. (n.d.) Marriott Company Financials. Retrieved on September 22, 2011 fromhttp://www.mergentonline.com.proxy1.cl.msu.edu/companyfinancials.php?compnumber=94547North America hotel ratings: Luxury (2011). JD power: Travel: North America hotel ratings. Retrieved on September 28, 2011 from http://www.jdpower.com/travel/ratings/north-america-hotel-ratings/luxury/Our brands. (2011). Marriott Corporate Website. Retrieved on September 22, 2011 from http://www.marriott.com/corporateinfo/glance.miQuarterly financial data. (2010). Marriott 2010 annual report. Retrieved on September 27, 2011 from http://investor.shareholder.com/MAR/marriottAR10/financials/quarterly_financial_data/index.htmlThomson One: Investext (n.d.) Marriott International Company Overview. Retrieved on September 30, 2011 from https://www.thomsonone.com/Workspace/Main.aspx?View=Action%3dOpen&BrandName=&IsSsoLogin=TrueWhy Marriott? (2011). Marriott Corporate Website. Retrieved on September 22, 2011 from http://www.marriott.com/careers/CareerPaths-hotel-employeee-benefits.mi100 best companies to work for. (2011). CNN Money. Retrieved on September 28, 2011 from http://money.cnn.com/magazines/fortune/bestcompanies/2011/snapshots/71.html