Dan Blanchard, the chief technology officer for IHG Hotels & Resorts, shared some of the lessons he has learned during his four years with the company at a recent presentation at HITEC. He noted that IHG was a bit too aggressive in the early stages of developing its tech, leading to infrastructure issues that needed to be resolved. Despite some missteps along the way, Blanchard emphasized the importance of learning from these mistakes in order to develop the company’s technology at the level it desired.
One of the key challenges IHG faced when Blanchard started was reducing organizational barriers within the company. This included transferring systems to the cloud, streamlining tech vendors, and cutting down on bureaucratic processes for experimentation. By establishing standards and modernizing systems, IHG was able to create a foundation for progress. Blanchard stressed that having a set of well-defined standards was essential for moving quickly and efficiently in the tech development process.
In an effort to encourage innovation, IHG does not focus solely on revenue generation from tech experiments. Instead, the company prioritizes the bigger picture and sets a long-term budget for tech experimentation. By allowing teams the flexibility to try new ideas without the pressure of immediate financial returns, IHG has been able to implement successful features such as a wishlist option on its app. This approach has proven to be popular with customers and has led to increased engagement with the platform.
Blanchard also highlighted the importance of creating a culture where employees feel secure in their roles, even when experiments fail. In IHG’s tech innovation program, the company avoids labeling tests as “projects” to avoid the implication that failure could result in job loss. By promoting a mindset that embraces failure as a natural part of the innovation process, IHG hopes to foster a culture of experimentation and creativity among its employees. Blanchard emphasized that this approach would be crucial in adapting to the rapidly evolving tech landscape and the emergence of gen AI in the coming years.
Overall, IHG has made significant strides in its tech development journey over the past few years. By learning from past mistakes, reducing organizational barriers, encouraging innovation without a sole focus on revenue, and creating a culture of experimentation, the company has positioned itself for success in meeting the needs of the next-generation traveler. With a commitment to embracing failure as a learning opportunity and fostering a culture of innovation, IHG is well-equipped to navigate the challenges and opportunities presented by the fast-evolving tech environment.
