WORLD HOSPITALITY AWARDS 2017

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WORLD HOSPITALITY AWARDS 2017 Best Initiative in Sustainable Development & Social Responsibility Saudization and Female Empowerment in the Workplace AccorHotels Middle East

1 CONTEXT Workforce in Saudi Arabia 2

CONTEXT: Saudi Arabia Today 3

CONTEXT: Saudi Arabia Today The hospitality sector the Kingdom of Saudi Arabia (KSA) has struggled to attract talented employees The focus of diversity efforts in Saudi Arabia includes integrating Saudi nationals in the workplace, due to many reasons - The majority of Saudi nationals continue to favor public sector institutions or local companies over international companies - The hospitality industry is perceived as not visible enough as an attractive career option for young Saudis - The process of recruiting expat workers in the region can also be challenging - The Turnover rate for Saudi nationals due to lack of integration & inclusion in workplace 4

CONTEXT: Saudi Arabia Today - The inclusion of women at the Saudi workplace is still a challenge, as the key issue is to ensure that women are integrated into the workplace even though they separated physically in many areas. - It is also important that the women are equally trained and have access to mentors to ensure that they meet the highest international standards in line with the men. 5

2 Progression: Vision 2030 & Progressive Reform 6

VISION 2030 Recently Saudi Arabia has taken important steps to draw more awareness to these issues and actively working to increase the participation of citizens in the private hospitality sector, reforming its education, labor policies and regulations. Saudi Arabia s vision for 2030 National transformation strategy developed by the Council of Economic and Development Affairs Roadmap for economic and developmental action Built around 3 pillars Pillar 1 Remain at the heart of the Arab and Islamic world Pillar 2 Become a global infrastructure powerhouse Pillar 3 KSA is a global hub connecting Asia, Europe and Africa Under Vision 2030, KSA aims to boost the kingdom s hospitality industry by more than half and attract 1.5 million tourists by 2020 7

Progressive Social Reform Saudi Arabian women were given the right to drive two weeks ago after nearly three decades of campaigning. The royal decree ending the ban on women driving has been hailed as proof of a new progressive trend in the deeply conservative Muslim 8

3 AccorHotels Leads the Way 9

AccorHotels Diversity & Inclusion in Saudi Arabia AccorHotels Saudi Arabia Diversity & Inclusion includes learning and development programs for employees and management trainees, to invest massively to develop employee s skills (we have 8000 employees currently in KSA and to identify talented employees to work in hospitality business. - Accor Hotels in KSA is a leader/pioneer in questions related to Localization, Gender integration & Women Empowerment - First hospitality company to establish a special management program tailor-made for Saudi national called the Saudi Management Training Program (SMTP) - Our commitment has been recognized and praised by local authorities, media as well as our partners - We are the only international hotel group in the region with a permanent and dedicated training academy, known here as Tamheed 10

AccorHotels Diversity & Inclusion in Saudi Arabia - AccorHotels is the first hospitality company to establish a special management program tailormade for Saudi national called the Saudi Management Training Program (SMTP) - SMTP is the first international hospitality training recognized and accredited by the Saudi Commission for Tourism and National Heritage (SCTH), the official government body regulating the hospitality industry in the KSA - Since its launch in 2013, over a dozen graduates were recognized as Hospitality Managers within AccorHotels - This year s class includes Saudi women who make up the majority of the 21 participants 11

4 Results of Saudization 12

AccorHotels First Female General Manager in KSA AccorHotels ushers in the first soon-to-be first Female General Manager in the Kingdom of Saudi Arabia in April 2017 Hessa Al Mazrou of the Novotel Suites Riyadh. She is currently a Hotel Manager (#2 position in a hotel) and is fast tracked to becoming General Manager this year 13

AccorHotels Results of Saudization Our primary objective is not only to create more job opportunities for nationals, but to empower young talents, enhance their skills and help them move up in their hospitality careers. Results since 2015 as below: - Soon-to-be first female General Manager in KSA (see previous slide) - Localisation rate: increase from 25 % to 30 % - 500% increase in Female empowerment in our hotels in KSA Number of Female Managers multiplied by 5-300% increase in Female Employees in our hotels in KSA: Multiplied by 3 - Gender integration & Women empowerment From career development for only men to include women to be future Manager within AccorHotels network in KSA - AccorHotels hosts the First Women Empowerment and Leadership Conference in Saudi Arabia (see next page 16) - Extensive media coverage in KSA and regionally (print, radio and broadcast) in excess of USD $2 million 14

AccorHotels Results of Saudization 15

AccorHotels Empowerment Initiative AccorHotels Hosted the First Women Empowerment and Leadership Conference in Saudi Arabia The December 2016 event attracted over 200 attendees including local businesses, NGOs as well as students. Massive media coverage throughout the Middle East valued at over USD $250,000 16

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