Kontacto_No.33_EN

Quarterly edition Year 10 Vol. 33, Riviera Maya

Reflections about the coronavirus

Effort, unity, creativity and adaptability

WE ARE BACK! A healthy return to work AcademiK

INDEX 3 8 9 10

The New: We are Back!

14

Sustainability: Karisma Hotels & Resorts: strengthening Sustainability in the supply chain

18

Human Capital: AcademiK… our platform for Training and Development

20 22 23 24 26 28 30

Organizational Changes Karisma Foundation: A healthy return to work Reflections

Kapacitarte Brands & Quality: Kreating Procedures Sales: 2020 GIVC TOWN HALL Spa: Simply Wellness – Recommendations for fortifying the Immune System F&B: Updating of food Presentation and Menus Travel Club: We are ready to welcome Members and Guests Customer Services: Tips to make a difference with guests

General Director: Sasa Milojevic Editor: Estela Paz Editorial Board: Alberto Roldán (El Dorado Royale, a Spa Resort, by Karisma/El Dorado Casitas Royale, a Spa Resort, by Karisma/ Generations Riviera Maya, by Karisma/Xolumado Inspiration Village, by Karisma), Armando Sánchez (El Dorado Maroma, a Spa Resort, by Karisma/Palafitos at El Dorado Maroma), Coynta Arzola (El Dorado Seaside Suites, a Spa Resort, by Karisma/Hidden Beach, Au Naturel Resort, by Karisma), Elvis Puc (Margaritaville® Island Reserve), Nayeri Ramos (TUI Sensatori Azul Beach Resort Riviera Cancún)z, Lenox Lawrence (TUI Sensatori Azul Beach Resort Negril), Marcela Durán (Allure Hotels & Resorts by Karisma -Colombia), Indira Andujar (Nickelodeon™ Hotels & Resorts Punta Cana/TUI Sensatori Resort Punta Cana), Eleazar Ruiz (El Cielo, Winery &Resort, By Karisma), Genorys Ferreira (Cedar Creek International).

Collaborators from: Cinthia Estrada and Mariana Aguilar (El Dorado Royale, a Spa Resort, by Karisma/El Dorado Casitas Royale, a Spa Resort, by Karisma/Generations Riviera Maya, by Karisma/Xolumado Inspiration Village, by Karisma), Mónica Cruz (El Dorado Maroma, a Spa Resort, by Karisma/Palafitos at El Dorado Maroma), Cecilia Medina (El Dorado Seaside Suites, a Spa Resort, by Karisma/Hidden Beach, Au Naturel Resort, by Karisma), Azbel Rodríguez (Margaritaville® Island Reserve, Riviera Cancún), Daniel Castellón (TUI Sensatori Azul Beach Resort Riviera Cancún), Diego Jaramillo (LATAM Office), Lyn Santos (Sustainability), Grecia López (Spa), Anna Pegler (Customer Services), Enrico Lindenhahn (Brands & Quality), Isabel Arroyo (Karisma Foundation), Daniel Ontiveros (Human Capital), Irene Barbosa (Sales), General Managers of the Hotels, Daniel Bausa and José Ma. Mejía (A&B).

Creative Director: Antonio Violante Editorial Design & Illustration: Nadia Pool Kontacto Magazine Free circulation quarterly edition property of Karisma Hotels & Resorts.

Address: Carretera Federal-Tulum Km. 55.3, Centro Playa del Carmen, Quintana Roo, México C.P. 77710.

Teléfono: +52 (984) 206 3470

2

THE NEW

THE NEW...

Karisma Hotels & Resorts

We are Back!

We are ready to come back stronger than ever.

That is why we´d like to share some photos that showcase everything we have been doing at all of our hotels.

issuu.com/karisma-mx /

3

THE NEW...

4

/ Karisma Hotels & Resorts

THE NEW...

issuu.com/karisma-mx /

5

THE NEW...

And how did we welcome back and pamper our guests upon the return to the new normal in July?

6

/ Karisma Hotels & Resorts

HOTEL EL DORADO SEASIDE SUITES, HIDDEN · El Dorado Seaside Suites a Spa Resort BEACH & Beach TUI BLUE · Hidden Resort EL DORADO SEASIDE · Tui Blue El Dorado Seaside Suites a Spa Resort SUITES · El Dorado Royale a Spa Resort · Azul Beach Resort Riviera Cancún CARRETERA PLAYA-TULUM ®KM 95 , HOTEL DORADO RESORT. KANTENAH, C.P. · Marvaritaville Island Reserve Riviera 77710 SOLIDARIDAD, QUINTANA ROO.Cancún “For complying with the technical provisions related to the Certification in Health Protection and Prevention in Tourist Facilities”

00283

ORGANIZATIONAL CHANGES

Organizational

CHANGES Beat Muller

· Sr. Director for Mexican Caribbean

As of May 1st, 2020, Mr. Beat Muller is been promoted to the position of Sr. Director of Operations for Mexican Caribbean, supervising the hotels operations in Mexico. Besides, he will continue supervising hotels operations and General Managers in the Dominican Republic and Jamaica.

Beat is an executive with more than 20 years of experience in complex, large volume operations, having worked for groups such as Oasis Hotel & Resorts, Sandos Hotels and Gran Bahia Principe in Mexico, Spain and Egypt. He joined us in 2014 at the Hotel El Dorado Royale, and then in mid2017 he achieved the challenge of managing the Azul Beach Resorts, Karisma Villas and recently, Margaritaville Island Reserve, by Karisma.

GRECIA LÓPEZ

· Operations Director – Rooms & SPA · General Manager Margaritaville® Island Reserve, Riviera Cancún

As of June 16, 2020, Ms. Grecia López will assume a new role within the organization, as she has been assigned as the General Manager of Margaritaville Island Reserve Riviera Cancun,

by Karisma. In addition, she will continue performing her current corporate role as Director of Rooms & SPA. Grecia is a Senior Executive with more than 25 years of experience. She started her career in Allegro Resorts where she held different positions in the Rooms Division area, until she became Resident Manager at Allegro Resorts Cozumel. She then moved to Karisma Hotels & Resorts in year 2000, and became General Manager of several different properties during the following 5 years, before making her move to the corporate area of our organization. She is also fundamental member of the Task Force team for new openings. Grecia is a Tourism MBA graduate from the Dominican Republic´s UTESA Univeristy, bilingual (Spanish - English), and holds several certifications from TEC de Monterrey, Cornell University, among others.

ERICK MANCERA

· Corporate Security Director

As of July 1st 2020, Mr. Erick Mancera joins our organization as Corporate Security Director, reporting directly to Mr. Sasa Milojevic, Global President of Hotel Operations & CEO of Mexico, LATAM and the Caribbean. Mr. Mancera is a graduate of the Heroic Military College and the Army and Air Force University in Mexico, with an outstanding operational career. In addition, he has MBA degree in Psychology. His extensive professional experience in the Security area includes corporate positions at UNITEC (Laureate International Universities), Camino Real México, Grupo Mayan (Vidanta), and Westin Puerto Vallarta, among others.

8

/ Karisma Hotels & Resorts

KARISMA FOUNDATION

A HEALTHY RETURN TO WORK The new normal has driven us to design strategies to reintegrate co-workers to work places. For more than three years, the non-profit Fundación Karisma, A.C. has worked on internal strategies for the prevention, detection and timely care of chronic, degenerative diseases. Today, these factors pose a greater risk for developing complications in case of contracting the SARSCOV-2 virus.

The Foundation has been providing medical care to co-workers who have come to us through the Mobile Medical Unit, and some have been identified with a risk factor of some kind. This has allowed us to give them better care and to control their diseases in order to avoid a complication.

During the month of June, we began the Mobile Medical Unit’s ‘Health Days’, assessing personnel through a general medical check-up that helps us to guarantee their healthy return to work. Besides being part of the guidelines established by different labor-related government agencies, this initiative helps us to ensure everyone’s health in general, and to identify those persons at risk so they can be referred to specialists for their care and control.

During the month of June, we began the Mobile Medical Unit’s “Health Days, allowing us to assess personnel through a general medical check-up that helps guarantee their healthy return to work. Besides being a part of the guidelines established by different labor- related government agencies, etc.

Exposure to possible contagion is something that all of us must learn to live with until advances in science can offer an alternative for treatment and prevention. As co-workers, we must implement new lifestyles, from personal hygiene habits to health care.

We are fortunate to have the support and backing of Fundación Karisma, A.C. for reintegration to our work places. This is just one more benefit we make available to our staff.

issuu.com/karisma-mx /

9

REFLECTIONS

REFLECTIONS STRENGTH, UNITY, CREATIVITY AND THE ABILITY TO ADAPT

Throughout my life, I have enjoyed good times, but I have also had to live through some complicated situations. The lesson I’ve learned in all of them has always been the same: with strength, unity, creativity and the ability to adapt, we always get through and see a light at the end of any tunnel, no matter how long it is. Crises help us to mature as professionals, because they bring out the best in every human being. At these difficult times, we are demonstrating that we are part of a group of professionals that look for ways to creatively produce change, always with greater efficiency in mind, undertaking actions to quantify the value chain and improve processes that later on will produce greater benefits in everything.

The positive thing about every difficult situation that we face in life is that they all go hand-in-hand with some good lessons. If every time we have a difficult situation we only see the negative side, think how badly it makes us feel, or simply think it wasn’t what we were expecting, we’re going to miss out on the best part of that experience: the new lesson it teaches us. So, from here on out, instead of only looking at the part of the situation we like the least, let’s make an effort to find the essential meaning or lesson to be learned.

Times of crises are always times of opportunities, not only in the work/professional arena, but also in the family or social sphere. Often our day-to-day lives don’t let us stop to see and appreciate those around us, always keeping us from being humble or expressing feelings that perhaps those near to us are waiting to see. Personally, these months of isolation and staying at home with my loved ones have helped us to understand each other better, creating better communication and a closer relationship.

Ignacio A. Jauregui M. General Manager, Azul Beach Resort Riviera Cancún, by Karisma

Family is the base of all societies. It’s that strong link that allows the rest of the mechanism to work. This is why I believe that, if today we are enjoying these professional opportunities in our daily lives, it’s because of this balance that strengthens us and brings the best out in every professional, filling us with confidence and a positive attitude.

Stronger teams emerge from difficult situations. Opportunities arise challenging those abilities that because of our haste or routine had become dormant. We have made great strides in our passion for service and the experience we provide our co-workers and guests!

María Lamarche General Manager, Nickelodeon® & TUI Sensatori Resort Punta Cana

10

/ Karisma Hotels & Resorts

REFLECTIONS

THIS TIME OF TEMPORARY CLOSING DUE TO THE COVID-19 PANDEMIC COULD BE SUMMARIZED IN 2 WORDS: “HUMANITY”- “RESILIENCY”.

Melitza V. Freites de Blanco General Manager, Hoteles Allure Cartagena

During the first phase, in March and April, we tried to be EMPATHETIC and be aware of each co-workers’ reality, from creating a new job profile to the impact and change of paradigm required to return to work activities.

I asked myself: How can we manage this change in paradigm for all of us, who were accustomed to doing our work in a certain way, that we might say we “have professionalized”, with the freedom to move and leave the house and go to work, living in a reality that is different from the one we have at home every day, and now we’re obligated to stay there, without really knowing what will happen tomorrow? Because of questions like these and others that have come to mind, I believed I needed to manage the current situation with humanity, which fortunately I have been able to do thanks to the support Karisma has given us.

Creating a change in job descriptions and writing new ones, providing them with new work tools, adding a mask to the uniform… might “Look Good”, but that’s not enough! We won’t get to the “foundations” of human nature…we need this “building” to have VERY solid foundations…because right now, this earthquake that is COVID-19 has cracked those foundations and can cause the building to come tumbling down as the months go by.

As a Lawyer and Hotelier, I have always believed in manuals, standards and procedures, but when it’s a question of Humans serving other human beings…and we want to become Ladies and Gentlemen serving Ladies and Gentlemen, we need to delve deeply into the Way We Are, in helping them break down their own paradigms and become Beings in a Community.

This is why I believe my responsibility is what I call “Bringing Out the Best in People”, breaking paradigms, guiding them on principles and giving them tools that will provide determination and an unshakeable strength to those people they will have in their hands, the future of our guests in Allure Chocolat. Karisma’s philosophy and values are perfect, they’re beautiful. I fell in love with them when I came to work for Karisma, and over these last several months since the appearance of the pandemic, we have learned to truly LIVE THEM. I think we have adopted a good skill in our daily lives: Resiliency, by having begun a process to assess our standards and make them simple and practical, by using simple sentences to humanize service.

From this warm paradise on Earth, we will continue to review and humanize service standards so that when we are once again in close contact with our guests and can look them in the eyes, that “guest” in our Hotel—in our Home—we can add value to the experience by being an authentic human being, thankful and unique!

During my professional life, I’ve had the opportunity to work in various parts of the world, as a consequence I have witnessed many different crisis and managed the operation under Crisis Management at the destination or country level.

We are experiencing a worldwide situation due to the pandemic and I believe that for a long time to come, people will speak and books will be written on the continuing effects all over the world. On the other hand, we have to keep living, learning and being flexible when faced with the new normal, always with a positive attitude, accepting new challenges and measures, making changes in our personal and professional lives, rethinking all our old habits and appreciating every aspect of our lives.

This pandemic has taught us some valuable lessons that for some were obvious, like the value of family, freedom, health and discipline.

Fortunately, we work in a company that always moves forward and is positive, so it’s ready when the world return to normal, fearlessly facing the professional and personal challenges life gives us as a gift.

Antonio Denotti

General Manager, El Dorado Maroma a Spa Resort By Karisma

issuu.com/karisma-mx /

11

REFLECTIONS Workwise, what I thought was unfortunate for me has been an excellent opportunity to restructure everything. I joined the company just a few days before the pandemic, exactly on March 6th and on April 1st we closed. This became an incredible opportunity to re-think all the bases, come up with new challenges, revisit basic standards, clean up bad processes that I believe can be improved, reshape those things that I noted in the few days I was there, and begin this project from scratch. It’s a magical place with incredible potential, but with the changes in management, in key positions, and with the newness of the project, the goals have been undermined, including coming to a consensus on operations criteria, and there is a lack of standards and common goals, amongst others.

Specifically, cleaning house from the very beginning, a new opening, re-orientation for everyone, review of policies and procedures, recipes, cost analyses, guidelines and many other things. I am fortunate to have done several openings and of course I feel right in my element. I know we can move forward and come out stronger from this unexpected experience. I have been through hurricanes and other things, like the swine flu epidemic, so it’s a hard road that I’m familiar with. We have to learn from each of these experiences and turn to a new chapter, looking toward our new goals.

CLEANING HOUSE FROM THE VERY BEGINNING, A NEW OPENING Fabrizio Frías

Personally, I have had the opportunity to be closer to my family, which is my driving force. As a first-time father, it’s been great for my baby who’s barely two years old to have both parents so close. Being surrounded by nature in this wonderful place, where life is different and where I’m sure I’ll learn many things; developing tolerance for our significant others, studying new things, the opportunity to reinvent ourselves, eat a healthy diet and breathe pure air, rounding out this experience that I am sure we’ll always remember.

Gerente General, El Cielo Winery & Resort, by Karisma

THE TEAM IS DOING A GREAT JOB AND IS TRULY ENERGIZED Justyn Jones Gerente General Azul Beach Resort Negril, by Karisma

12

/ Karisma Hotels & Resorts

The necessary closure of Azul Beach Resort Negril came at a time when the team was in full swing. It was particularly difficult to have to meet and tell everyone of the need to close the property. Looks of bewilderment and justified concern as to what the forthcoming months on furlough would bring. As is the case with Jamaicans, there was a strong sense of pride, respect and resilience. The three months of closure was somewhat of a surreal experience - our beautiful resort with no guests, an empty beach, quiet walkways…

The hard working and committed task force did its best to take care of maintenance, cleaning and security. When confirmation of our reopening was received it was, at least for me, a big sigh of relief.

That was mixed with a feeling of uncertainty as to how we would adapt to the new normal of hospitality. Team members gradually began to return to work. I was encouraged by their enthusiasm and participation in the thousands of hours of training that was given to them during the month of June. It was a sprint to reopening day and to ensure our Resort complied with the required government protocols and procedures. July 1st began with excellent weather only to be followed by an afternoon torrential downpour of rain as the first guests arrived. It was truly a pleasure to greet them after what seemed much more than three months. Since reopening the team has adapted to showing the famous Jamaican smile from behind a face mask whilst ensuring our guests’ Peace of Mind. The team is doing a great job and is truly energized. Without doubt this has been a unique and interesting experience. Touch wood that we will never have to go through something like this again.

REFLECTIONS

Mariana Montes

General Manager, Generations Riviera Maya, By Karisma

We never imagined 2020 would bring a closing and re-opening of our hotels. We’re going through difficult times, but if we have been able to come together and adapt to this situation, we can do it for many other things in the future.

We need to turn this crisis into a learning opportunity. These are times of uncertainty that create doubt and fear. We cannot let fear paralyze us. We need to be open to change and be able to live with this “new normal”.

In the hospitality industry, there is a great concern and demand for hygiene, cleanliness and security. This will be key to providing confidence, not only to our guests, but also to our co-workers, without losing sight of the focus on detail and quality in service that we are known for.

I would like to take this opportunity to thank all our co-workers for their dedication, commitment, solidarity and passion during these times that I am sure will make us stronger! Thank you!

Alejandro López

General Manager, El Dorado Seasise Suites a Spa Resort By Karisma

Difficult times for all become even more difficult when unexpected, something unknown and for which there is no definitive solution.

We have learned to live with the new reality, and I thought: “And who taught us this? Is it like having children? Having a pet?” Nobody taught it to us, but these are very valuable things, just like our health.

Let’s take a moment to think how we’ve learned how to do the things we do every day.

Fear is always present, and we need to use fear to have the strength to live this new reality. Just like when learning to educate our children, we have the help of our family, friends, company executives and owners to pave the way for us; we’re not alone.

Let us use our passion in everything we do and appreciate the things we didn’t appreciate before.

It’s time to build our new destination in the face of this new reality.

In many ways this is a pandemic with economic consequences which can no longer be controlled. This return to normal is a challenge to our strength of will: we have to show our guests who we really are.

Despite adversity, our passion for service is stronger. Together as a team we can push through because no matter the situation, El Dorado always gets up again and moves forward.

We need to appreciate what we have, being honest with our teams. Be grateful and continue to grow, doing what we know how to do best: “Provide excellent service and create memorable experiences.”

Joslin Fuentes

General Manager, El Dorado Royale a Spa Resort, By Karisma

issuu.com/karisma-mx /

13

PWM

NEW CAMPAIGNS + CREATIVE TO

WELCOME BACK TRAVEL

14

/ Karisma Hotels & Resorts

PWM

With many of our hotels reopening to the new normal of post-covid travel, Premier Worldwide Marketing has been working to create new brand campaigns with enhanced creative and elevated messaging.

These versatile campaigns help to differentiate our brands as we simplify and personalize our marketing promotions.

Here’s a peek at what we’ve been working on: Paradise Unbound: El Dorado Brand Campaign Our goal with this campaign is to show, rather than tell, all the ways that El Dorado conveys the heart and soul of the real Mexico. We focused on the dream of a private Mexican paradise – perfect for secluded, romantic getaways that provide the peace of mind to de-stress in a beautiful tropical setting. The creative highlights our incredible locations, all-inclusive offerings and rich local color, while copy allows travelers to let loose and decompress.

SEE THE CAMPAIGN

We anticipate a long shelf life for this campaign, because there are so many romantic hideaways and authentic stories to tell. For instance, paid media iterations of our Time to Rebook resume campaign including taglines like “Summer Uncanceled” and with imagery ranging from catamaran cruises to secluded cenotes.

Limelife: Margaritaville Island Reserve Brand Campaign Our newest brand, Margaritaville Island Reserve, is all about leaving your worries behind to enjoy the sun and sand with a cocktail in hand – all at your own pace and without any expectations. The Limelife is all about positivity, possibilities, and encouraging guests to embrace a Margaritaville state of mind. The creative is designed to evoke the feeling of island breezes, sunshine and vacation vibes, all with a touch of fun patterns and versatile icons.

SEE THE CAMPAIGN

This campaign is designed to introduce new fans to the all-inclusive, elevated style of the Margaritaville Island Reserve brand while creating a lasting emotional connection and showcasing an aspirational lifestyle.

Asset Gathering Trip to Riviera Maya/Riviera Cancun in July The Premier Worldwide Marketing team also sent a team of four photographer/videographer crews and brand team members to our Mexican Caribbean properties in early July for a major asset gathering trip that gathered 684 pieces of content across 8 resorts. These photos, short videos and b-roll will be used for lifestyle, merchandizing and social media campaigns. The team was thrilled to see our properties back in full swing and honored to experience the heartfelt service and dedication of the staff.

issuu.com/karisma-mx /

15

PASSION FOR SUSTAINABILITY

KARISMA HOTELS & RESORTS:

ORIGINAL SITUATION

Strengthening Sustainability in the supply chain

Since 2012, Karisma Hotels & Resorts has developed a sustainable management system that brings together aspects of different issues, such as ways to manage waste, water, energy, flora and fauna, and guest information, to name a few. The group’s properties have received various certifications, the most important of which are Travelife, Rainforest Alliance and, recently, EarthCheck.

After the Amazon, the Selva Maya is the largest tropical rainforest left on our continent; it is a refuge for very important species of flora and fauna, including the jaguar (and other endangered species). It is home to a Mayan culture that, despite being recognized for the beauty of its Archeological Zones, continues to be more alive than ever in its traditions, customs and day-to-day life.

with low production capacities. In addition, during this project, we also discovered that the tourism sector is often unaware that these products exist, and when we are able to align supply and demand strategies, we have seen some very positive results.

One of the action we used to the way to close the gaps in marketing local products was documenting success stories, identifying the challenges these projects faced and the way they overcame them.

One of the group’s hotels, Hotel El Dorado Royale, has a 1-hectare hydroponics greenhouse, where they grow several types of vegetables and aromatic herbs, like tomatoes, chili peppers, mint and cilantro.

Their produce supplies approximately 20% of the demand of the region’s hotels. It should be noted that the Greenhouse is certified by the Rainforest Alliance and is the only one in the coastal area certified by this organization.

This is the case of Karisma Hotel & Resorts.

The company has worked arduously developing policies, standards and actions focused on promoting sustainable consumption of local products, working hand-in-hand with its value chain to ensure it. The data presented in this document has been collected through information obtained in documentaries and interviews of key stakeholders and was documented by the Sustentur team in June of this year.

The hotel chain has a history of sustainability and continuous improvement, the sustainability certification processes have led the group to work on diverse projects related to improving their processes, implementing systems, prohibiting the use of plastics and changing equipment to increase energy efficiency, amongst a few.

Currently they are putting substantial efforts into responsible purchasing and developing sustainability in their value chain.

A major productive activity in the Selva Maya is tourism. About 23 million tourist visit Quintana Roo every year, and although many of them go to the northern part of the state and stay at beach resorts, it’s the rainforest that supplies them with the resources they need to have the vacation of a lifetime, even if they sometimes don’t realize it.

However, consumption of local products by the tourism sector in Quintana Roo is still low. One of the reasons for this is, the local communities cannot cover demand

SOCIAL-ENVIRONMENTAL EVENTS AUGUST – DECEMBER 2020 AUGUST 30TH

SEPTEMBER 21ST

SEPTEMBER 22ND

SEPTEMBER 23RD

SEPTEMBER 27TH

International Whale Shark Day

International Beach cleanup Day (3 Saturdays)

World Car- Free Day

International sign language Day

World tourism Day/ National Environmental Awareness Day

16

/ Karisma Hotels & Resorts

PASSION FOR SUSTAINABILITY

FEATURES OF GOOD PRACTICES Karisma Hotels & Resorts actively promotes responsible tourism at all its destinations. As a result, Karisma has created a comprehensive program entitled “A Passion for Sustainability”, which is implemented from the corporate offices down to each department of every hotel in the group. This program monitors Karisma operations, making sure they are aligned with the Global Sustainable Tourism Criteria, local and national regulations and the certification agencies with which we work.

All Karisma properties implement the different components of the Passion for Sustainability Program, integrating a Green Team of colleagues, coordinated by a member of the Corporate Sustainability Team. The different components of the Passion for Sustainability Program are focused on achieving the greatest efficiency possible in hotel operations and in creating a greater number of benefits for the environment and communities.

Karisma Hotels & Resorts’ focus on sustainability is based on the conviction that businesses depend on the people around them and the environment in which they are located. The group’s policy states the following: Our commitment as a company is to integrate principles and actions that contribute to fulfilling the Sustainable Development Goals (SDG) into our day-to-day operations, in order to create a positive change in our guests, co-workers, society, the environment and culture.

The company has defined 10 Principles that make up its program, amongst which Principles 3, 4 and 5 support the group’s work on “buying local”:

3 4 5

Doing everything possible to promote a strong local economy by prioritizing the contracting of co-workers, suppliers, producers and services in the area that meet the company’s high standards.

In the area of processes, the Negotiations and Sustainability Departments works in collaboration to implement policies and practices, especially those related to: 1. Waste management 2. Change or replacement of products for less polluting ones 3. Biodegradable products For local purchases, the decision-making processes can come through several channels: a. A specific request from one of the hotel departments. This sometimes is the case with chefs looking for traditional products. b. Through visiting trade fairs, like the Sustainable & Social Tourism Summit and Expo Turismo Sustentable, where we contact suppliers. c. Through changes in regulations, like the Quintana Roo Waste Law. d. Through direct contact with potential suppliers or organizations that have products or that are working on sustainable issues, like in the case of free range eggs, as explained further on.

Some of the products Karisma buys locally include: 1. Jams, in association with the Pitahí brand, both large presentations for food displays and small ones for gifts or individual consumption.

2. Honey, with brands promoted by the Mexican Civil Counsel for Sustainable Silviculture.

3. Insect repellant.

4. SPA products, bought from communities in the Yucatan Peninsula.

5. Some perishable goods.

6. Cage-free ranch eggs.

Ethically close every commercial transaction with suppliers, at all times promoting the use of fair trade practices and building the local economy.

Contributing to the reduction of environmental impacts by preferring the products and services that use sustainable measures in their processes.

Besides these principles, Karisma Hotels & Resorts has a Purchasing Policy that clearly establishes prioritization of biodegradable, local and community-based products, fair trade, and refillable or returnable packages.

OCTOBER 11TH

OCTOBER 13TH

OCTOBER 16TH

OCTOBER 17TH

DECEMBER 3RD

DECEMBER 20TH

International Day of the Girl child

International Day for Disaster Reduction

World Food Day

International Day for the Eradication of Poverty

International Day of Persons with Disabilities

International Human Solidarity Day

issuu.com/karisma-mx /

17

PASSION FOR SUSTAINABILITY

CAGE-FREE RANCH EGGS

IMPACT

La política de pagos de Karisma, como la de la mayoría de hoteles Karisma’s payment policy, like most hotels in the region and the world, is at 90 days. However, for some local products, like honey, we’ve agreed with producers that payment will be made one week after product delivery. This is important to recognize because, in general, changes in payment policies are very unusual.

The actions taken by Karisma Hotels & Resorts to reinforce sustainability in its supply chain have had different types of impacts.

In the specific case of wood, since Karisma Hotels & Resorts is a hotel operator but does not own the hotels, decisions on remodeling projects and the products used for them are made by the owners, and the operator has little influence on them.

One of the most interesting endeavors implemented by Karisma Hotels & Resorts is the launch of the “Getting to know Karisma’s Supply Chain” survey, the objective of which is to learn more about its suppliers and identify that group’s progress on sustainability, so we can make better decisions and push for a sustainable value chain.

The survey was done on-line with 128 suppliers, and yielded the following results: · 20% of suppliers produce something in the 3 states of the Yucatan Peninsula, and 55% in Mexico. · 79% of suppliers have offices in Quintana Roo. · 37% of the suppliers interviewed report products with some type of eco labeling. · 10 of Karisma’s large suppliers have their own foundations supporting environmental and social causes.

One of the recently launched projects that is focused on boosting buying local and animal welfare is the alliance with Animal Equality, an international organization working with society, governments and businesses to end animal cruelty on farms. After a series for conversations with the organization, Karisma Hotels & Resorts signed a public commitment to only consume eggs coming from cage-free farms by 2023.

The interesting thing about this process was not the change to a practice directly linked to animal welfare, but rather Karisma Hotels & Resorts’ decision to join together with suppliers to support implementation of this new way of producing. So, instead of looking for new suppliers that already have these solutions in place, they decided to develop along with the existing supply chain, thus adding value to this proposal.

18

/ Karisma Hotels & Resorts

On one hand, they have allowed us to understand the characteristics and expectations of our 128 suppliers, facilitating the design of policies and actions focused on fortifying those businesses that provide products to hotels for their daily operations.

The fact that they are supplied by these businesses, of which almost 80% have facilities and infrastructure in Quintana Roo, promotes local employment and reduces the carbon footprint of the products we consume.

The cage-free ranch eggs project will allow suppliers to not only meet Karisma Hotels & Resorts’ requirements, but also add value to a product that they can market at a better price, while promoting animal welfare.

Finally, providing guests information about the actions the hotel is taking on sustainability, and particularly focusing on ‘buying local’, allows us to create greater awareness and contribute to the creation of more responsible markets.

PASSION FOR SUSTAINABILITY

Sustainability Month

As we do every year, during the month of October we will have a series of activities related to Sustainability and the Sustainable Development Goals. Expect to hear from us soon!

OCTOBER

issuu.com/karisma-mx /

19

HUMAN CAPITAL

Our platform for Training and Development

20 / Karisma Hotels & Resorts

HUMAN CAPITAL Last month, Karisma Hotels & Resorts launched our own LMS (Learning Management System), named “AcademiK” available to all existing collaborators within the Karisma Group.

After more than a year and a half of enormous collaborative efforts by various departments in our company such as Human Capital, Information Technologies, Art & Design, Strategic Negotiations, Finance, Travel Club, and Operations, to name some, today we have a powerful technological tool that will allow us to homologate the look, feel and quality of a large volume of bilingual, interactive training content designed especially for our collaborators in all the countries where Karisma has a presence.

But what is an LMS? · Learning, because it´s used to deliver education courses or training programs. · Management, because it helps to organize these courses (create them, change them, assign them to students, follow progress, grade them etc.) · System, last but not least, is just a fancy word that translates to “software”. An LMS is a computer program.

Just like Word helps you write documents and Outlook helps you manage your emails, an LMS is a software program that helps you create, manage and deliver e-Learning courses.

So, what will we use an LMS for?

Employee Training – Teaching new skills, with less business disruptions, lower costs, at different paces, with more insight on employee´s progress and reporting tools.

Employee Orientation – Automated onboarding, more personalized contents with detailed roles and responsibilities, and ensuring policies & procedures learning.

Knowledge retention - valuable skills, techniques and information readily available at all times.

Education – Online lessons, supplement to classroom training, business education, etc.

We invite you to visit AcademiK and take all the available courses, especially those that have been previously assigned to your account.

And stay alert for upcoming notifications of new content and webinars that will be uploaded progressively!

Karisma continues to make progress alongside large international corporations now with this new staff development tool! Please take advantage and enjoy Academik!

As adults we are sometimes reluctant to change and find it difficult to implement, or we just think that technology is only for basic matters and just to have fun.

But being able to get online training is a great opportunity to learn new things, from the basics of how to use our cell phones and computers, to the main topic of the online course we are taking.

Now in the “new normal” we are bound to live in, taking training online has helped us to get acquainted with new topics, get informed on how we will deal with changes in this global situation, and to constantly get updated with the department´s and the hotel´s operation issues. In addition, it has supported us by becoming a form of distraction during the social confinement we´re living in.

We must take 100% advantage of these tools that we are getting the opportunity to have, generate awareness in all our employees to support it, and drive them to get ahead, prepare, and grow professionally and personally.

issuu.com/karisma-mx /

21

KAPACITARTE

KAPACITARTE

EDM

ABR

ABR

EDM

CoVID-19 prevention protocol training….

The best way to promote a safe workspace to resume operations is through training. To minimize the risk of infection in workers performing their duties, training courses have been provided for the proper use and disposal of personal protection equipment, as well as basic hygiene, and cleaning and disinfection workshops, among others.

ABR

ABR

GRM ABR

EDS

IRRC

EDM

IRRC

EDS

EDS

EDS

EDR-El Dorado Royale a SPA Resort, by Karisma / EDCR-El Dorado Casitas Royale a SPA Resort, by Karisma / GRM-Generations Resorts, by Karisma / EDS-El Dorado Seaside a SPA Resort, by Karisma / EDM-El Dorado Maroma a SPA Resort, by Karisma / ABR-Azul Beach Riviera Cancún, by Karisma / 22

/ Karisma Hotels & Resorts

KAPACITARTE

GRM

EDR

GRM

EDR

EDR

EDS

Updating of Procedures and Service Standards….

During the month of June and July, workshops have also been held at all properties, either in-person or virtually supported by the new training platform - AcademiK - covering new service management procedures in areas such as F&B, SPA, Front Desk, Kitchen and all direct guest service-related departments.

GRM

IRRC

ALH

IRRC

EDM

EDR

GRM

EDM

ABR

EDS

IRRC-Margaritaville® Island Reserve Riviera Cancún, by Karisma / ABN-Azul Beach Negril, by Karisma / ECW-El Cielo Wnery &Resort, by Karisma / SNH-TUI Sensatori Punta Cana & NickelodeonTM Hotels & Resorts Punta Cana / ALH-Allure Hotels, by Karisma issuu.com/karisma-mx /

23

BRANDS & QUALITY

KREATING procedures‌

At Karisma we reviewed and up dated all the cleaning and sanitation protocols and procedures of each hotel to comply with government guidelines, this work was carried out as a team involving Department Managers, Executives, Corporate Directors and our Design department to ensure that the new procedures are available for you.

Colombia, Jamaica, the Dominican Republic and Mexico have each one online archive with all the updated procedures that apply to their Region.

Please ask your department head for the access link to consult the folder.

The Brand & Quality team participated in the implementation trainings at the hotels in Mexico and Jamaica through videoconferences and on property sessions prior to the reopening of the hotels.

We are waiting for the opening date of the hotels in the Dominican Republic and Colombia to assist with the necessary implementations and trainings to guarantee the safety and health of our team members and guests.

24

/ Karisma Hotels & Resorts

SALES

2020 GIVC TOWN HALL

In order to keep engagement with travel agents across United States and Canada, Marilyn Cairo, VP of Global Sales for Premier Worldwide Marketing hosted on June 23rd the first Virtual Town Hall for our valued GIVC agents.

At the Retail Sales Department our commitment is to nurture our relationship with travel agents and help them increase their sales at our resorts, due to the current situation we are facing globally, travel plans have been paused and we haven’t been able to visit agents as often as we do every year, however, that doesn’t mean we cannot keep talking and engaging with them, that was the main reason behind this virtual town hall.

At this session we had two special guests, Sra. Ma. Dolores Lopez Lira, Founder & Owner of Grupo Lomas, a true icon for the travel agent industry, as her and Mr. Martinez have always shown true commitment with travel agents for several years, Sra. Dolores thanked travel agents for always supporting them and mentioned that all staff at the resorts are eager and prepared to go back and welcome guests.

Bill Linehan, President for Premier Worldwide Marketing, also attended at this session and shared his vision about the travel agent industry and how we can do things differently and better, he also mentioned and reinforce our commitment with travel agents to help them increase their sales efforts.

Our host, Marilyn Cairo, reinforced our Peace of Mind™ protocols which help travel agents to guarantee a safety environment for their clients, other topics were discussed like how at Karisma we are the perfect option for clients to have social distance, upcoming benefits for travel agents, revamped travel agent portal, Holidays for Your Heroes campaign, and how to target audience for our brands.

This session was very profitable as agents not only learned what’s coming at resorts and new initiatives we are working on, but also helped to be at the top of their minds, reminding them that we don’t just say we are here for them, we prove it.

Marilyn closed this town hall transitioning to our new hashtag #WErTRAVEL, which entails the partnership we have with GIVC agents, we know many them have been wondering how to build their business back up but we are ready to keep moving and take this partnership to a whole new different level.

#WErTRAVEL

GIVC TOWN HALL 2020

issuu.com/karisma-mx /

25

SPA

SIMPLY WELLNESS Recommendations for fortifying the Immune System…

Eating certain foods contributes to keeping your immune system strong, and helps fight against the flu, bacteria, viruses and infections.

Focusing on what you eat, you can plan your diet based on these foods to keep your immune system strong: Papaya: is loaded with Vitamin C. A single papaya has 157% more vitamin C than the recommended daily dose. It contains potassium, Vitamin B and Folate, all of which help the immune system.

Garlic: In some cultures, it is considered an elixir for health because of its powerful action against diseases and viruses. A single garlic clove contains 5 mg of calcium, 12 mg of potassium and 100 Sulphur components, enough to fight against bacteria and infections. Raw or dry, it is a great benefit to health, helping to control cholesterol and blood pressure.

Green Tea: contains epigallocatechin gallate, a powerful antioxidant that has been shown to improve the immune system.

Broccoli: is loaded with Vitamins A, C and E, and is an antioxidant. The amount of vitamin c it contains increase the effectiveness of the immune system. The best way to preserve its beneficial effects is by cooking it the least time possible, ideally by steaming.

Ginger: one of the most reliable foods to cure inflammatory diseases, ginger contains a substance called Gingerol, that improves the immune system by balancing its hyper-or hypoactivity.

Spinach: rich in vitamin C, antioxidants and beta-carotene, which improves the immune system’s ability to fight infections. It is easy and economical to prepare. To preserve its nutrients and benefits, it’s best to cook it at little as possible.

Citrus Fruit: These are the best sources of Vitamin C. They fortify the immune system by stimulating production of the cells that fight infections and prevent cell damage to the immune system itself. Because the body does not produce Vitamin C, you should eat a daily dose of 75100 mg of Vitamin C through the consumption of lemons, grapes, mandarin oranges, oranges or limes. These are easy to obtain and you don’t need to cook them.

Red Pimento Peppers: They contain twice the amount of Vitamin C as citrus fruits. Besides improving your immune system, they help keep you skin and eyes healthy and contain beta-carotene.

Apples: They are ideal for building a strong immune system and good health because they contain essential vitamins like Vitamin A, E, B1, B2 and C. These are essential for immune system functions and they contain a type of prebiotic fiber that improves good gut bacteria to regulate the immune system. Since this is a soluble fiber, it changes the “personality” of immune system cells from pro-inflammatory to anti-inflammatory and curative. This aids in faster recovery from an infection.

26

/ Karisma Hotels & Resorts

F&B

UPDATING OF FOOD PRESENTATION AND MENUS….

28

/ Karisma Hotels & Resorts

F&B

Photo shooting sessions at all Riviera Maya properties were held of the new food and beverage presentations and stations, according to the new standards and protocols implemented by the corporate area F&B, in preparation for the hotels´ reopening.

Observable changes range from simple procedures like maintaining physical distance between guests to the placement of plates, all of which were carefully reviewed and updated by implementing the new hygiene and handling measures included in the new F&B´s operational manual versions, together with the Quality and Brand Control Department.

issuu.com/karisma-mx /

29

TRAVEL CLUB

TRAVELCLUB We are ready to welcome Members and Guests...

At Exotic & Prestige Travelers we are committed to the safety of our members and employees, which is why we have been training and adapting our facilities to provide safe service for all. We are happy to return, but also very attentive to follow all protocols in both service and employee areas.

30 / Karisma Hotels & Resorts

TRAVEL CLUB

Training Everyone must wash their hands and use sanitizing gel before entering an in-person training area. We must also maintain a healthy physical distance, and register attendance using an electronic document accessed via a QR code, thus avoiding paper or pen manipulation.

Whenever possible, we deliver training through the companyprovided Teams application which is nowadays our ally in avoiding compromising our safety, while not missing out on any training.

Supporting... At Exotic & Prestige Travelers we know that we are all going through difficult times, which is why we provide our employees with food kits during the quarantine, thus supporting their families´ economy.

issuu.com/karisma-mx /

31

CUSTOMER SERVICES

Tips to make a

DIFFERENCE with guests…

“It takes months to find a customer, seconds to lose one” (Vince Lombardi) So, what we can do to make a difference and retain our guests……

Making Guests Feel Special Never Gets Old – Everyone loves to feel special there is no denying it, the smallest gesture or detail can make all the difference. Strive to surprise and delight every guest.

Our guests are real people and people love feeling special.

There’s No Such Thing as a Bad Customer – yes you may experience challenging situations and even find it difficult to find a suitable solution. It´s important to keep a positive attitude, keep smiling and be persist; do not give up until the guest is satisfied. Once you have done this, you have a guest for life; they will become a lifelong fan of the hotel , company and the brand. Quoting Bill Gates “ Your most unhappy Customers are your greatest source of Learning”.

Feel Empowered to Wow our guests – Guest feedback can often be an opportunity to really WOW our guests. It’s time to get creative, gone are the days where a guest is wowed by a bottle of sparkling wine in their room with an apology. Listen to the guests, use the interaction to find out more about them, what makes them tick, what are their likes and dislikes then use this information to provide them with the WOW factor and win them over.

Focus on Strong Service Standards – Standards are created for a specific reason and allows us to exceed customer expectations. For example, Housekeeping are trained to put effort into the visual look of each room, The bed is made with precision, everything has its place and after the first couple of days in the hotel the guests become accustomed to the this level of precision, for instance knowing the controls will be neatly lined up and placed ready for their use.

Attention to every detail is key. Great customer service is more than a

32

/ Karisma Hotels & Resorts

Be a Tree of Knowledge – Know the company and hotels inside out . By having an in-depth knowledge of the company and all hotels , you will be better equipped to help guests when they have questions or when issues arise. Knowledge is your secret weapon and special power! Be an advocate for guests by ensuring you have a working knowledge of the hotel you are working in, knowing how the product operates, what shortcomings the hotel may be experiencing and any current issues it is facing. Many guests will have investigated their chosen hotel intensively to ensure that this is the hotel for them and will most definitely put your knowledge to the test! Knowing the product as well as the guests do is essential, Customer Service is a Team Sport – Customer service isn’t just the job of the Concierge , front desk or Customer Service Department; it’s the job of every employee within the company. The Customer facing departments need the support of the back of the house and visa-versa. The guest does not want to hear the customer facing department blaming the back of the house “ I made the request this morning with our maintenance department ,I’m sorry I don’t know why they have not attended to this”, such errors can be addressed internally. In the guests’ eyes we are one, they don’t want to know why their request has not been attended to or who is at fault, they are on vacation and just want to enjoy themselves. Remind it!

WE ARE BAC K !