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A hotel's sustainable operational performance is key to:

 Maintaining asset value;


 Improving financial performance;
 Overall property and business management;
 Attracting green financing and investments;
 Meeting client demands;
 Improving staff work environment;
 Complying with regulatory requirements; and
 Brand relationship management.

The hotel operating agreement requires operators to comply with the evolving technical,
architectural, and operational standards of the hotel owner or brand. It is also an efficient tool
for a hotel's implementation of sustainable hospitality practices.

Operating agreements specify the requirements operators must meet. They provide a
framework to operate within sustainable standards, save money, and increase property value.

Brand standards and guidelines play a central role in setting up sustainability policies at the
chain/group level and are applied at the property level. For both managed and franchised
hotels, brand standards are the essence of the relationship between hotel owners and brands.
The flexibility and evolving status of brand standards allow chains to adapt and be proactive
towards new sustainability norms and techniques.

Hotel owners and operators must adopt sustainable hospitality practices that comply
with environmental, social and governance (ESG) principles. The ESG policy of the hotel
operator and/or the brand is often a decisive criterion for the identification of investment
opportunities by investors.

Hotel operations must conform with sustainability principles to operate most cost-effectively,
boost efficiency and further the green agenda. Sustainable operations create a more
sustainable environment that enhances the experience of guests and staff, provide benefit to
the local community, help protect the environment and natural resources, and make investing
in hotels more attractive.

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