Multi-Country ManufacturingHilton Garden Inn Hotels - Case Study
Multi-Country Manufacturing
Hilton Garden Inn Hotels - Case Study
The Hilton Garden Inn (HGI) brand emphasizes efficient comfort, consistency, and design integrity across its global properties. For two recent projects — one in Puerto Rico and one in Costa Rica — PK SPACES led the custom FF&E fabrication and logistics coordination, utilizing a multi-country manufacturing strategy that balanced production cost, speed, and tariff efficiency.
By producing one set of goods in Brazil and another in China, PK SPACES achieved substantial savings in tariffs, freight, and lead time, while maintaining Hilton Garden Inn’s global quality standards and ensuring both projects met their installation dates.
Key Objectives
Execute simultaneous production for multiple Hilton Garden Inn locations using strategic geographic sourcing.
Reduce overall logistics cost and import tariffs through optimized country-of-origin selection.
Deliver sample room production and installation on accelerated timelines—under 45 days from deposit to completion.
Maintain brand consistency and quality assurance across both regional manufacturing streams.
Our Approach
1. Multi-Country Manufacturing Strategy
PK SPACES leveraged a dual production model:
- Brazil handled FF&E fabrication for the Puerto Rico project, benefiting from reduced import tariffs under favorable South American trade routes.
- China managed production for the Costa Rica property, optimizing for material availability and factory specialization in joinery and casegoods.
This strategic division maximized cost efficiency and reduced risk associated with global logistics disruptions.
2. Speed of Execution
PK SPACES streamlined quoting, approvals, and fabrication using an integrated production timeline:
Timeline Phase | Duration | Milestone |
Deposit Received | Day 0 | Project kickoff |
Technical Drawings + Material Samples | +5 Days | Delivered for review |
Client Approvals | +7 Days | Drawings & finishes approved |
Production | +35 Days | Full FF&E fabrication completed |
Total Project Duration | <45 Days | Delivery ready for export |
3. Material Optimization & Brand Compliance
Each piece was engineered to meet Hilton’s brand standards:
- Casegoods: RH-grade wood substrates, high-pressure laminates, and contract finishes tested for durability.
- Metalwork: Powder-coated and anodized finishes to match brand specifications.
- Upholstery: High-performance textiles compliant with HGI flame and wear standards.
All pieces were subjected to quality control inspections in both manufacturing locations prior to shipment.
4. Logistics Coordination & Tariff Savings
By manufacturing regionally aligned with delivery destinations:
- Brazil → Puerto Rico: Avoided significant ocean freight delays and reduced tariffs by nearly 30% compared to Asian sourcing.
- China → Costa Rica: Leveraged established export infrastructure, enabling faster customs clearance and competitive freight rates.
Both routes achieved lead time reductions of 2–3 weeks compared to traditional single-source production models.
Key Success Factors & Results
- Dual-country manufacturing model optimized logistics and tariffs while preserving quality.
- Accelerated approval and production cycle enabled full delivery within 45 days of deposit.
- Strong vendor coordination ensured simultaneous progress across international factories.
- End-to-end project management maintained alignment with Hilton’s design and operational standards
Metric | Brazil → Puerto Rico | China → Costa Rica |
Production Lead Time | 40 days | 43 days |
Tariff Savings | ~30% | ~22% |
Transit Time | Reduced by 18 days | Reduced by 15 days |
Quality Compliance | 100% Hilton-approved | 100% Hilton-approved |
Overall Schedule Adherence | On time | On time |
Outcome
PK SPACES successfully delivered complete custom FF&E packages for Hilton Garden Inn Puerto Rico and Hilton Garden Inn Costa Rica, demonstrating the effectiveness of a multi-country production strategy. This approach not only reduced costs and transit times, but also provided operational flexibility for future international hotel rollouts — reinforcing PK SPACES’ capability to deliver brand-compliant, globally coordinated hospitality projects on accelerated schedules.
