As of 1 October, French hotel giant Accor will be assuming a new organisational structure, grouping its portfolio of hotel brands under two business divisions: Economy, Midscale & Premium as well as Luxury & Lifestyle.
To oversee the implementation of the new structure, Accor’s board has proposed Sébastien Bazin’s term as chairman and CEO to be renewed.
The Economy, Midscale & Premium division will comprise the Ibis, Novotel, Mercure, Swissôtel, Mövenpick and Pullman brands, covering 4,816 hotels worldwide. The division will incorporate leadership positions in Europe, Latin America, Asia-Pacific and the Middle East, and will be structured around four regional headquarters in Paris, Sao Paulo, Singapore and Shanghai.
In a statement, the company said it will aim to offer a “clear and transparent model for each of its business lines.” It further said that the division will focus its strategy on accelerating development through franchising, the “rejuvenation of its brands” and the “industrialisation” of its operating model.
The Luxury & Lifestyle division will be composed of the Raffles & Orient Express, Fairmont, Sofitel & MGallery, and Ennismore brands. The division, which has 488 hotels worldwide, aims to “strengthen the identities of iconic brands, investing in top talents, selecting the best locations, and offering unique and innovative experiences,” Accor said.
Commenting on the company’s latest move, Bazin said: “By evolving from a generalist to a multi-specialist model, our aim is to further improve Accor’s appeal in the eyes of talents, owners, partners and investors.”