GM: The CEO of the Hotel

Hotel General Managers wear a lot of hats – they’re oftentimes expected to be experts in sales, marketing, revenue management, operations, and accounting – all while not shifting focus away from the main job: creating memorable guest experiences.

If RevPAR index slips, or labor creeps, or GSS scores dip – it’s usually the General Manager’s butt on the line.

“The GM is the CEO of their hotel and should treat it as if it’s their own company,” says Jason D’Agostino, who has served in both GM and corporate director roles and now advises hotel management companies on revenue strategy.

At the same time, hotel management companies are continuing to centralize accounting, revenue management, and other back-office functions to drive efficiency and scale. Done right, this shift is not about taking control away from the property – it’s about removing the operational burden that can pull GMs away from running the business.

The most effective operators are giving GMs full ownership and accountability for their asset, while centralizing the processes and tasks that don’t require on-property decision-making.

The result is a clearer role for the GM – one that is less focused on managing processes and more focused on leading the business.

Centralization Creates Better Leadership

Centralization works best when it simplifies the job of the GM.

Certain functions are naturally better handled above property. Accounting is a clear example – standardized, repeatable, and consistent regardless of the asset. “Accounting functions will not change based on the brand or whether it’s a 150-room asset or a 500-room asset,” D’Agostino says.

By centralizing those responsibilities, management companies can reduce manual work at the property level and allow GMs to spend more time on decision-making and leadership.

Other areas, like revenue strategy and operations, still rely heavily on the context of the individual property. “Not every asset is equal,” D’Agostino says, especially when it comes to more complex hotels that require real-time, on-site input.

For this to work, everyone has to be aligned on what matters most, starting with a shared understanding of performance across the organization.

At Vision Hospitality Group, that alignment is a priority across every level of the business. “We need alignment all the way from our regionals, to our GMs, to our operations managers,” says President and COO Patrick O’Neil. “If we’re not all looking at the data that drives us, then we’re not aligned.”

When that alignment is in place, centralized teams and property teams are not working in parallel – they are working together toward the same outcomes. It ensures that strategy developed above property translates into execution on property, and it reinforces the GM’s role as the leader responsible for delivering results.

Data-Driven Communication Strategies

Structure and alignment only go so far without consistent communication. The most effective operators build a regular rhythm of conversations that connect teams across the organization.

“If you’re going to a meeting, don’t just go to check a box,” D’Agostino says. “Go in with an agenda.”

That preparation ensures that conversations are focused on decisions, not just reporting.

At Hammock Beach Resort, those conversations are driven by forward-looking data. “We use our 14- and 45-day forecast reports pretty much every day,” says Scott Campbell, Director of Revenue Management.

Those insights inform how teams schedule labor, prepare for demand, and adjust operations across the property.

Data is the common language, because communication and alignment only work when everyone is working from the same set of facts. That’s still a challenge for many operators today.

“I think we have pretty much everything we want,” says Brian Gilchrist, President of Good Hospitality. “What I struggle with is trying to get it all in one place.”

The issue is not access to data – it’s bringing it together in a way that is usable and consistent across teams.

When data is centralized and accessible, it becomes the common language across the organization.

“I think it allows everybody to stay focused on the same metrics,” Gilchrist says.

The GM Role, Redefined

The idea of the GM as the CEO of the hotel still holds true. But the role itself is becoming more focused.

Today’s GM is not expected to manage every process. Instead, they are expected to lead the business – to make decisions based on data, to align their teams around clear goals, and to deliver performance across revenue, cost, and guest experience.

Centralization supports that shift by removing the manual work and providing better tools, better data, and better visibility.

The result is a more effective operating model – one where GMs are empowered to lead, and the organization is structured to support them.

Subscribe to Otelier Outlook for more hotel operations insights delivered to your inbox every Friday morning.