City Lodge
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Assessment date: Apr 2018
City Lodge’s integrated report frames its material issues clearly, providing the reader with easy access to key drivers of value. The board appears to be well balanced and reporting motivates B Ncguka’s position as chairman. However, reporting on board evaluation is perfunctory, and succession only described in terms of process, with no insight offered. Ethics, corruption and marketplace behaviour are poorly reported, despite evidence of the creation of an internal culture that fits the brand.
Good disclosure of indicators of employee satisfaction and engagement, including turnover and absenteeism. While CLH reports clearly on its BEE vulnerabilities, its actions in mitigation and its outlook for future performance, as well as its efforts and investments in industry transformation, appear modest, with reporting lacking an indication of scale and context, casting doubt on the determination of the leadership to drive this issue.
CLH has created unique value propositions for each of its hotel divisions, serving as focal points for staff development and delivery of service. The company uses a number of channels and indicators to determine customer satisfaction, gain feedback and respond to market signals. Good disclosure of energy usage intensity (by room), while reporting on water management is sensitive to the ongoing drought and far-thinking in terms of developing strategies for the long-term.
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