Marriott's Corporate Governance -Leadership

Marriott operates using a board leadership structure that is not uncommon in public companies. However, the Marriott Company does apply one unique twist to corporate governance that gives the organization a competitive advantage over other entities in the hospitality industry. That unique aspect is that J.W. Marriott, Jr (son of the Marriott Founder, J.W. Marriott) serves the company as Chairman and CEO.

Unlike similar organizations with two separate individuals serving in each of the aforementioned roles, Marriott has eliminated (to some extend) the confusion that could exist with two separate individuals acting in leadership roles for the company. This also eliminates the disconnect that can occur between upper management and the Board of Directors of large companies when it comes to the role and responsibility of senior management. Senior management's primary responsibility is to increase the value of the company or the investment of the shareholders. Sometimes this "goal" gets lost, especially when senior management is compensated based on short-term performance, etc. and they can lose site of their primary responsibility and fail to consider the future effects of current decisions.

However, with the CEO or senior management leader position being held by a shareholder, it is more likely to expect that decisions will be more thoroughly considered by the CEO, because there is simply more at stake than an annual compensation bonus.