RESIDENCE INN BY MARRIOTT 2006 PERFORMANCE AWARDS Residence Inn will be recognizing its top performers at the GM Conference in San Antonio, TX February 2007. In order to be eligible for the awards listed below, the following criteria must be met: v Hotel must be open by January 1, 2006 except for opening awards. v Hotel must be open by January 1, 2005 for Occupancy, Revenue and GSS improvement awards and Diamond Hotel awards v Improvement awards will be based on improvement over YE 2005 versus October 2006 year to date v GSS awards will be based on scores through October 2006 due to the conference being held in February 2007 v Improvement scores must at a minimum, meet the brand average score for that award category v Awards that include financial data are based on STAR data through October 2006 v Red Zone hotels (hotels placed in the Red in either GSS or QA wave Jul-Dec 2006) are not eligible for awards v To qualify for Opening Hotel or Opening GM of the year, hotel must have opened between July 2005 and July 2006. Note: Please review the award categories and number of awards given carefully as there have been some changes. The awards include: Diamond, Platinum, Gold and Silver Awards – The matrix outlines the requirements for achieving the Diamond, Platinum, Gold and Silver hotel awards. The Hotel of the Year will be selected from the Diamond winners. CRITERIA DIAMOND AWARD PLATINUM AWARD GOLD AWARD SILVER AWARD 93% or higher 93% or higher 91.0% -92.9% 88% -90.9% 55% or higher NA NA NA 5% increase or higher or 140% RevPAR Index or higher without more than a 5% decline YOY NA NA NA Criteria #1 Overall GSS Score – Overall Satisfaction (January 1, 2006-October 31, 2006) Criteria #2 Extended Stay Occupancy (Jan 1, 2006 – October 31, 2006) Criteria #3 RevPar Index % Increase from yearto-year (from YTD 2005 vs. YTD October 2006) 1 2 Guest Satisfaction Awards - This matrix outlines the categories and criteria for GSS awards. Award Chairman’s Award Overall Satisfaction Improvement (5 winners) Cleanliness of Suite Cleanliness of Suite Improvement Maintenance and Upkeep Maintenance and Upkeep Improvement Staff Service Staff Service Improvement Breakfast Breakfast improvement Problem Incidence Problem Incidence Improvement Elite Recognition Elite Recognition Improvement Brand Champion Brand Champion Improvement Key Initiative Key Initiative Improvement Occupancy & RevPAR Awards Award Extended Stay Occupancy (3 winners) Extended Stay Occupancy (3 winners) RevPAR Index (3 winners) Sales Ramp Up ( 1winner) (New) Category Overall Satisfaction Overall Satisfaction Criteria Highest Score Most Improved over 2005 Cleanliness of Suite Cleanliness of Suite Highest Score Most Improved over 2005 Maintenance and Upkeep Maintenance and Upkeep Highest Score Most Improved over 2005 Overall Staff Service Overall Staff Service Breakfast Overall Breakfast Overall Problem Incidence Problem Incidence Recognized Elite Status Recognized Elite Status Brand Essence Brand Essence Bed is Comfortable Bed is Comfortable Highest Score Most Improved Highest Score Most Improved Lowest Score Most Improved Highest Score Most Improved Highest Score Most Improved Highest Score Most Improved over 2005 over 2005 over 2005 over 2005 over 2005 over 2005 Category Extended Stay Occupancy Criteria Highest percentage Extended Stay Occupancy Most Improved percentage RevPAR Index Awarded to the best opening hotel based on sales and marketing goal attainment in its first 3 months and first 6 months. Goal attainment is how quickly a hotel reaches high occupancy and RevPAR index goals through executing its pre-opening marketing game plan. Most Improved Selected by Owner and Franchise Services Nomination Awards Following are awards that are based on nominations submitted to the Nomination Committee at Marriott Headquarters. Please limit your nominations to one per award category per hotel. Award Hotel of the Year Length of Service Requirement N/A Criteria § § § GSS at 93% or higher ESOcc at 55% or higher RevPAR Index 3 Notes Number of Winners Selected from Diamond hotels based upon hotel submitted nomination 1 § § increase Year over Year of 5% or o 140% or higher without a decline of more than 5% Overall Hotel Leadership Team Building and team development Financial management Sales leadership (hotel must be at brand average for ESOcc- or explanation given) Service So Memorable leadership (90% associates certified) Community Service Same as GM of the Year § § § § § § Overall Hotel leadership Team building and team development Financial management Sales leadership Service So Memorable leadership Community service Hotel opened between July 2005 and July 2006 § § § § § § § Hotel leadership Team building and team development Financial management Overcoming obstacles Sales leadership Service So Memorable Leadership Community Service N/A § Use of available resources effectively § Reinforce positive reputation § Provide lasting value Jim embodied the Residence Inn culture and spirit. He practiced Service So Memorable not only on his guests but also on his associates, family, and friends. As a leader he was gentle, caring and compassionate - the consummate mentor. He had the ability to unite his audience through fun and laughter, often at his own expense, and to maintain close, rewarding relationships with everyone around him associates, peers, Marriott executives, owners, and franchisees. He was successful but he rarely accepted the credit. His commitment to excellence was never-ending; just his presence made people better. He was dependable, consistent, and professional and he served as a role model for countless Residence Inn and Marriott associates. Mike Dubroff was an advocate, a businessman, and a role model for how to balance professional and personal life, and the leader of the Residence Inn TRIA board for many years. His guidance, vision and leadership are legendary amongst those who know him. Whether tackling controversial issues, or recognizing an individual’s accomplishments Mike treated each situation with the respect and passion it deserved. He gave selflessly of himself and his time, assisting and donating to charities that were important to him. Mike always believed in the history and culture of Residence Inn, o General Manager of the Year – Selected from pool of Diamond GM’s of the Year Min 1 Year as an RI GM § § § § § Diamond General Manager of the Year Opening General Manager of the Year Min 1 Year as an RI GM Hotel opened between July 2005 and July 2006 and GM was present entire time Opening Hotel of the Year Community Service Hotel of the Year Jim Conley Award Mike Dubroff Award Min 1 year RI General Manager 4 Hotel performance in the areas of RevPAR Index, Index growth, Occ/growth, ESOcc/growth and GSS will also factor into selection 1 Same as GM of the Year 5 The hotel’s opening performance in the areas of RevPAR Index, Occ, ESOcc, GSS and opening readiness will be considered in selection The hotel’s opening performance in the areas of RevPAR Index, Occupancy, ESOcc, Guest Satisfaction, and opening “readiness” (Attachment A) will also be considered. 1 N/A 1 Any associate (at property level or above) connected with a Residence Inn hotel or the Residence Inn business is eligible for the Jim Conley Award. 1 (This award may not be given every year.) The award winner will be chosen by the TRIA board. 1 (This award may not be given every year) 1 Manager of Operations Min of 1 year as a RI manager Associate of the Year Min 1 year as a RI associate while at the same time striving to evolve the brand and maintain our leadership position in the market. The recipient of this award will be a Residence Inn General Manager who possesses the same characteristics that Mike does. § Creativity § Process Improvement § Associates (development/involvement with other departments, turnover, training, team building) § Guests (GSS scores, responsiveness, SSM) § Profit (financial controls, i.e. A/R, A/P, cash control, petty cash, costs controls) § Sales contribution (revenue management, reservations effectiveness, involvement/participation in sales effort through tours, etc…) § § § § Direct Sales Leader of the Year Sales Excellence Min 1 year in an RI Sales Leadership role (I.e. Director of Sales, Regional Director of Sales) must have responsibility for sales managers and lead the hotel’s sales efforts Min 1 year as an RI General Manager § § § § § § § Triumph of Spirit 1 Hotel performance in the areas of ESOcc, Total Rooms Revenue, Team revenue, RevPAR Index Competitive Performance 1 2 *Nominations submitted here will be rolled into Global Sales award nominations § § § § § § Service Excellence Consistently demonstrated Service So Memorable skills and is a certified fanatic and guide (if management team) Contributed to the overall profitability of the business (i.e. sales effort, cost savings, guest preference) Participated in hotel and department meetings Demonstrated ways to go above and beyond for the team Participated in cross-training exercises Focusing on the customer Developing and Managing others Internal Sales Involvement in Cluster Leading Team Fostering Teamwork and Relationships All hotel Managers and Department Heads are eligible for this award EXCEPT General Managers and managers whose primary responsibility involves sales. Typical manager positions eligible for this award are: Executive Housekeeper, Chief Engineer, Front Office Manager, Guest Services Manager, Food and Beverage Manager and Assistant General Manager. n/a Min 1 year as an RI General manager § General Manager § § § § § § § Involvement in direct sales Pursuit of Extended stay Hotel must be at/above the brand average in ESOcc Sales creativity Sales leadership Significant contribution to the hotel’s sales effort Service Fanatic Certification % and Safari Guide % Daily Huddle Commitment Focus on customer service Outstanding service story exemplifying the delivery of Service So Memorable Keeping their team motivated Overcoming obstacles to continually deliver Service So Memorable Financial management during adverse conditions Sales leadership 5 Hotel performance in the areas of House Profit/Growth, ESOcc/Growth, Occupancy/Growth, RevPAR Index/Growth will also be considered. 3 Hotel performance in the area of GSS will also be considered 1 This award is given to one General Manager who, through commitment and a service frame of mind has overcome adversity at their hotel. 1 (this award may not be given every year) 6 Quality Assurance Awards (1 to 3 awards per year) Top Operations Hotels – Awarded to the top hotels during the two Operations Reviews for the year. Hotels are selected by QA team. Selection criteria includes: Team § Embodies the brand culture § Is focused on their guests § Is energized and embraces the QA process § Is focused on the details and sets and achieves a high standard of excellence § Has key processes and documentation in order § Shares as well as received great ideas and successful practices Operation § Great curb appeal § Impeccably clean and well maintained § Back of the house looks as good as the front 7 Requirement § Green GSS performance classification § Green operations review performance classification