The Bravest Soldiers Face the Toughest Battles

Context

The summer holidays are in full swing in many parts of the world. Marriott International – the world’s largest hotel company by revenue and size – is seeing business rebound stronger than ever. It’s a far cry from the crippling effects brought on by the COVID pandemic when security measures shut down much of the travel & hospitality industry.

Marriott wouldn’t have survived the worst downturn in its nearly 100 years of business without a formidable leader in Arne Sorenson, the CEO who exemplified bravery and vulnerability to his people during those dark times. For years, he commanded loyalty and admiration from everyone – from the doorman to the members of senior leadership.

At the height of COVID, Sorenson wasn’t just waging a personal battle with cancer. He was also fighting to save the iconic hotel brand.

What made Arne Sorenson a remarkable WarTime CEO?

Real-Life Story

Sorenson grew Marriott International into the largest hotel chain in the world. This exponential growth included strategic acquisitions, such as Marriott’s US$13bn purchase of Starwood Hotels. 

In all his years at the helm, however, he is best remembered for leading Marriott in the difficult days of the pandemic.

The COVID lockdowns could be considered the worst crisis Marriott had ever faced – even worse than the impact of the 9/11 attacks and the 2009 financial crisis combined, as Sorenson described.

That’s saying something for an iconic hotel chain that lived through the Great Depression and the Second World War.

In early 2020, business at Marriott plummeted by 75% with hundreds of hotels worldwide shuttered to prevent the spread of the virus. A few of these hotels never again recovered and eventually closed for good. 

Meanwhile, hundreds of Marriott employees were held in quarantine at various points during the pandemic and this further debilitated operations.

In what has become one of the most memorable moments of a CEO rallying his team amid the crisis, Sorenson appeared on video – by then he was much thinner and had lost his hair from the cancer treatment.

The CEO, however, drew greater attention to his team and how everyone was “100% focussed on overcoming the common crisis [Marriott] faced”. 

Sorenson opened up about the true state of the company – from the hotel chain’s dwindling finances to the recovery efforts ahead.

“There’s simply nothing worse than telling highly valued associates – people who are the very heart of this company – that their roles are being impacted by events completely outside of their control,” he said. “I’ve never been more determined to see us through than I am at this moment.”

Sorenson had a reputation for humility and transparency. His message to the team was a masterclass in leadership.

What distinguished Sorenson’s approach was his willingness to give an honest assessment of the company, getting candid about the downturn and its impact on the business. More importantly, he listened and saw the crisis from the perspective of his people.

No leader in the world had the right answers at the time, but Sorenson believed the company – and the hospitality industry at large – would emerge from the crisis.

Marriott’s turnaround strategy was no less painful. The lockdowns prompted Marriott to enforce cost-cutting measures and scale back on non-essential operations, from suspending executive travels to freezing marketing and hiring activities save for a few mission-critical roles. 

Tens of thousands of staff members were furloughed for 60 to 90 days, and those working at the corporate headquarters were asked to render fewer hours. Meanwhile, the executive team saw their pay cut by half. 

Sorenson and Marriott’s Executive Chairman Bill Marriott Jr. decided to forgo their salaries for 2020. 

Sorenson set a powerful example of leadership through personal sacrifice, showing up for his team even while undergoing cancer treatment. His decision to put people first demonstrated his commitment to a company fighting its way through the pandemic. 

PostScript: On 15 February 2021, Sorenson succumbed to cancer. As he stepped away from leading the company just months prior, he held onto the vision of Marriott coming out of the pandemic stronger than before. Today, that vision has come to fruition thanks to the value of collective perseverance and the culture of solidarity he instilled in his team.

Key Lessons

1) Maintaining transparency and trust

Arne Sorenson’s openness about Marriott’s financial challenges and the difficult decisions ahead built trust and solidarity among his team, demonstrating the importance of clear communication during crises.

2) Showing empathy and vulnerability 

Sorenson’s ability to show empathy for his employees and share in their struggles fostered a culture of mutual respect and understanding, proving that vulnerability can be a strength in leadership.

3) Leading by example 

By cutting his salary and making personal sacrifices, Sorenson illustrated the power of leading by example, reinforcing his commitment to the company’s survival and recovery.

4) Staying optimistic and visionary 

Despite the dire circumstances, Sorenson remained optimistic about the future, inspiring his team to persevere and work towards a shared vision of recovery and growth.

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Until next week, may the force be with you.

Kevin

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