Who – the protagonist
José Ángel Preciados, CEO of ILUNION Hotels, and Alejandro Oñoro, Corporate CEO.
What?
ILUNION was a hotel chain with 29 urban and vacation establishments in 14 destinations around Spain, whose motto was ‘Everyone-inclusive Hotels’.
Many customers were loyal to this type of establishment because of the attention they received from the hotel staff.
Furthermore, ILUNION’s mission was to incorporate people with disabilities by being part of the social group ONCE (National Organisation of the Spanish Blind), whose objective was to promote the labour inclusion of the blind.
Why?
José and Alejandro had to decide whether to start conversations with Sattle Corp., a real estate company that had offered them a building in downtown Madrid.
Specifically, they had to decide whether to buy or rent a building suitable for luxury facilities, which would represent a new flagship for the company.
However, ILUNION and Sattle Corp. had disagreements in the past due to not sharing the same corporate values. Sattle Corp. believed that the interaction of people with disabilities with guests at a five-star hotel could go against the customer experience in the hotel business.
When?
It was 2022 when José and Alejandro had a big decision on their hands.
Where?
ILUNION’s hotels could be found in Spanish cities such as Madrid, Barcelona, Seville and Valencia as well as on the Balearic and Canary Islands.
Key quote
“With the creation of ILUNION, the goal is to create a unique business group in the world, one that proves it is possible to achieve both economic and social profitability. Therefore, the priority is to address the difficulties that people with disabilities encounter in accessing employment.”
Alejandro Oñoro, Corporate CEO of ILUNION.
What next?
By 2022, ILUNION had become a global social reference, and its work was recognised with numerous national and international awards, thanks to well defined strategies and management policies.
The chain had a staff of 1,450 employees, 40% of whom had disabilities. Starting conversations with Sattle Corp. was a challenge for José. However, Alejandro thought resuming talks was not a bad idea. He believed that ILUNION needed to impact society, and perceived that approaching Sattle Corp. would constitute a sign of change.
Was it time to give Sattle Corp. a second chance?
On the reasons for writing the case…
Xavier Busquets said: “The inspiration to write this case emerged from the unique strategic leadership and innovative practices of ILUNION Hotels under the ONCE group in Spain.
“The company exemplifies a commitment to social inclusion as a cornerstone of a new strategic and operating model. We recognised the potential for this case to serve as powerful educational material in executive management and MBA courses.
“The compelling journey of ILUNION Hotels, especially under the leadership of Alejandro Oñoro and José Ángel Preciados, provides valuable insights into decision-making processes that prioritise ethical considerations alongside operational and economic ones.”
On the case writing highlights and challenges…
Xavier continued: “One of the highlights was the opportunity to interview key figures like Alejandro and José Ángel plus some of the hotel directors.
“The writing journey took one year of work to collect data, conduct interviews, and write the case and teaching note.
“A case needs to show authenticity. However, a significant challenge was balancing the complex narrative of social responsibility with the strategic and operational realities of running a hotel chain. Are values a strategic resource? We needed to effectively convey the nuances of integrating PWD into the hospitality industry while maintaining competitive standards in service and innovation.”
On teaching the case…
He added: “Teaching the case has been an incredibly rewarding experience. Students engage deeply with the material, often reflecting on how the principles of strategic leadership and innovation can be applied in their business contexts. The case encourages robust discussions about ethics in business, the importance of inclusivity, and the role of corporate social responsibility.
“We have had the privilege of Alejandro and José Ángel participating in some sessions, which has enriched the learning experience by allowing students to ask questions directly to the leaders who shaped the organisation.”
On how students react to the case…
He commented: “Students generally react positively to the case, finding it both inspiring and thought-provoking. They appreciate the real-world application of theoretical concepts (strategic analysis; sources of competitive advantage; innovation and inclusion), and especially how to scale up social innovation whilst balancing strategic decision-making.
“Many express admiration for ILUNION's commitment to social values, and discussions often highlight how these principles can lead to a competitive advantage in the marketplace. The case prompts students to consider how they can implement similar strategies in their own careers, especially in fostering inclusivity and driving innovation.”
On case writing tips…
Xavier explained: “My top tip for writing a good case is to ensure that it tells a compelling story. The case should not only present facts and figures but also convey the values, emotions, challenges, and achievements of the characters involved. Incorporating real-life experiences and perspectives adds authenticity and engages students on a deeper level.
“Additionally, clearly defining the learning objectives from the outset will help shape the narrative and focus the discussions in the classroom.”
Final word…
Xavier concluded: “I would like to emphasise the transformative power of strategic leadership in fostering an inclusive culture. The ONCE group and its industrial group (ILUNION) are large corporations in Spain employing 45,000 people (42% with some degree of disability). As far as we know they are unique in the world.
“The journey of ILUNION Hotels serves as a reminder that businesses as institutions can thrive while making a positive social impact. By integrating social values into their core corporate strategy and organisation contribute to a more equitable society and enhance brand equity. We hope this case inspires future leaders to embrace innovation and inclusivity as essential components of their strategic vision.”
The case
Who – the protagonist
José Ángel Preciados, CEO of ILUNION Hotels, and Alejandro Oñoro, Corporate CEO.
What?
ILUNION was a hotel chain with 29 urban and vacation establishments in 14 destinations around Spain, whose motto was ‘Everyone-inclusive Hotels’.
Many customers were loyal to this type of establishment because of the attention they received from the hotel staff.
Furthermore, ILUNION’s mission was to incorporate people with disabilities by being part of the social group ONCE (National Organisation of the Spanish Blind), whose objective was to promote the labour inclusion of the blind.
Why?
José and Alejandro had to decide whether to start conversations with Sattle Corp., a real estate company that had offered them a building in downtown Madrid.
Specifically, they had to decide whether to buy or rent a building suitable for luxury facilities, which would represent a new flagship for the company.
However, ILUNION and Sattle Corp. had disagreements in the past due to not sharing the same corporate values. Sattle Corp. believed that the interaction of people with disabilities with guests at a five-star hotel could go against the customer experience in the hotel business.
When?
It was 2022 when José and Alejandro had a big decision on their hands.
Where?
ILUNION’s hotels could be found in Spanish cities such as Madrid, Barcelona, Seville and Valencia as well as on the Balearic and Canary Islands.
Key quote
“With the creation of ILUNION, the goal is to create a unique business group in the world, one that proves it is possible to achieve both economic and social profitability. Therefore, the priority is to address the difficulties that people with disabilities encounter in accessing employment.”
Alejandro Oñoro, Corporate CEO of ILUNION.
What next?
By 2022, ILUNION had become a global social reference, and its work was recognised with numerous national and international awards, thanks to well defined strategies and management policies.
The chain had a staff of 1,450 employees, 40% of whom had disabilities. Starting conversations with Sattle Corp. was a challenge for José. However, Alejandro thought resuming talks was not a bad idea. He believed that ILUNION needed to impact society, and perceived that approaching Sattle Corp. would constitute a sign of change.
Was it time to give Sattle Corp. a second chance?
Author perspective
On the reasons for writing the case…
Xavier Busquets said: “The inspiration to write this case emerged from the unique strategic leadership and innovative practices of ILUNION Hotels under the ONCE group in Spain.
“The company exemplifies a commitment to social inclusion as a cornerstone of a new strategic and operating model. We recognised the potential for this case to serve as powerful educational material in executive management and MBA courses.
“The compelling journey of ILUNION Hotels, especially under the leadership of Alejandro Oñoro and José Ángel Preciados, provides valuable insights into decision-making processes that prioritise ethical considerations alongside operational and economic ones.”
On the case writing highlights and challenges…
Xavier continued: “One of the highlights was the opportunity to interview key figures like Alejandro and José Ángel plus some of the hotel directors.
“The writing journey took one year of work to collect data, conduct interviews, and write the case and teaching note.
“A case needs to show authenticity. However, a significant challenge was balancing the complex narrative of social responsibility with the strategic and operational realities of running a hotel chain. Are values a strategic resource? We needed to effectively convey the nuances of integrating PWD into the hospitality industry while maintaining competitive standards in service and innovation.”
On teaching the case…
He added: “Teaching the case has been an incredibly rewarding experience. Students engage deeply with the material, often reflecting on how the principles of strategic leadership and innovation can be applied in their business contexts. The case encourages robust discussions about ethics in business, the importance of inclusivity, and the role of corporate social responsibility.
“We have had the privilege of Alejandro and José Ángel participating in some sessions, which has enriched the learning experience by allowing students to ask questions directly to the leaders who shaped the organisation.”
On how students react to the case…
He commented: “Students generally react positively to the case, finding it both inspiring and thought-provoking. They appreciate the real-world application of theoretical concepts (strategic analysis; sources of competitive advantage; innovation and inclusion), and especially how to scale up social innovation whilst balancing strategic decision-making.
“Many express admiration for ILUNION's commitment to social values, and discussions often highlight how these principles can lead to a competitive advantage in the marketplace. The case prompts students to consider how they can implement similar strategies in their own careers, especially in fostering inclusivity and driving innovation.”
On case writing tips…
Xavier explained: “My top tip for writing a good case is to ensure that it tells a compelling story. The case should not only present facts and figures but also convey the values, emotions, challenges, and achievements of the characters involved. Incorporating real-life experiences and perspectives adds authenticity and engages students on a deeper level.
“Additionally, clearly defining the learning objectives from the outset will help shape the narrative and focus the discussions in the classroom.”
Final word…
Xavier concluded: “I would like to emphasise the transformative power of strategic leadership in fostering an inclusive culture. The ONCE group and its industrial group (ILUNION) are large corporations in Spain employing 45,000 people (42% with some degree of disability). As far as we know they are unique in the world.
“The journey of ILUNION Hotels serves as a reminder that businesses as institutions can thrive while making a positive social impact. By integrating social values into their core corporate strategy and organisation contribute to a more equitable society and enhance brand equity. We hope this case inspires future leaders to embrace innovation and inclusivity as essential components of their strategic vision.”