The restaurant industry in the U.S. alone employs about 14 million workers. That’s not counting the rest of the hospitality sector. However, being aware of the factors can enable people who have invested in this industry to be more proactive and develop adaptive strategies quickly. One goal is to help the hospitality sector better fill vacant job openings with foreign employees. It’s no longer easy to supplement the shrinking local labor pool with workers from other countries. Security challenges: This is one of the major problems in hotel industry. But they can bring a lot of motivation and dedication to the job, especially if they provide adequate training. Customers comparing you to their experiences in general—particularly when it comes to digital interaction and speedy service is one of the challenges facing the hospitality industry today. Current Issues and challenges of Hospitality and Tourism Industry, Ecotourism resort at the Amazon: Amazon Eco-tourist Resort, Impact of the Japan Tsunami 2011 Disaster on Tourism and Hospitality Industries, http://www.economywatch.com/world-industries/tourism/trends.html, https://www.hotel-online.com/News/PR2010_3rd/Aug10_HospitalityPersonnel.html, http://moelwintravels.blogspot.com/2009/01/2009-tourism-trends.html, Current Trends in the Global Hospitality Industry, The Evolving Role of Government in Education, Current Trends in Global Hospitality Industry, The Hospitality and Tourism Market in Victoria State Australia, Current trends in Global Hospitality Industry, Principles of Hospitality Enacted in Private and Commercial Domains, Al Tayyar Travel Group-role in transforming Saudi tourism, Emerging Issue in Tourism and Hospitality. Prices are slashed to try to fill empty rooms and flights. The hospitality industry accounts for 10% of the global GDP. IvyPanda. Sexual abuse on women 9. These are the top challenges faced by hospitality businesses and reasons for revenue loss in the past year, according to our survey. Combined with increasing competition, thanks partly to the growth of the economy of sharing, today’s hotel operators need to ensure they exceed expectations at every stage of their guests’ stay if they are to ensure long-term profitable growth. These include: (1) improving brand image, as customers are drawn more and more to environment-friendly companies and potential employees are looking to be part of companies that make a difference in the community; (2) benefiting from economic incentives led by governments for the development of green businesses; or (3) improving cost efficiency, by implementing better working procedures and environmentally friendly tech… IvyPanda, 27 May 2019, ivypanda.com/essays/current-issues-and-challenges-of-hospitality-and-tourism-industry/. Developments and challenges in the hospitality and tourism sector Issues paper for discussion at the Global Dialogue Forum for the Hotels, Catering, Tourism Sector (23–24 November 2010) Geneva, 2010 INTERNATIONAL LABOUR OFFICE GENEVA The hospitality industry faces labor and human resource challenges including the compression or shrinking of the labor force, union issues and escalating health care and benefit costs among others. As an example of this shift toward reliance on technology, statistics suggest almost 60% of hotel reservations are made online, with 65% of same-day reservations being made via smartphone. Some employees can't resist the temptation to steal these items from you. managers globally need to start working on the above mentioned challenges by formulating effective strategies with immediate effect. A mobile-friendly online application process, web-based onboarding, virtual training, and self-service tech, in general, will help attract savvy employees, get them ready for work faster, and help keep them engaged and satisfied over the long run. Combined with the fact that hospitality is highly competitive and fast-paced, it's no wonder human resources departments encounter myriad … Bar kin, D. (2002). Adding 800 million visitors a year is the equivalent of adding 8 or 9 Walt Disney Worlds to the tourism industry. var e = document.createElement("script") In this blog post, I’ll be covering: Social media and reputation management; The decline of high street travel agents The hospitality industry today faces major challenges compared to the past decades, including high competition and the overall decreased travel levels in different regions, in addition to the present hard economic times. While those specific industries are more concerned about cyber terrorism, the hospitality business is more focused on preventing data and identify theft.On November 30, 2018, it was reported that Marriott International Inc. faced a breach that exposed the personal information of 500 million customers. To find out the key challenges faced by tourist in the Muscat region. Intercultural Challenges Facing the Hospitality Industry. Different types of security challenges are, 1. The database is updated daily, so anyone can easily find a relevant essay example. In this case, pricing trends have been changing depending on the product or service but this has had an impact on the number of customers (Kummer, 2010, p. 31). There is need to stay ahead of customers and this is one of current issues that are facing the tourism and hospitality industry (Mitchel, 2009, p. 12). Value chain analysis and poverty reduction at scale. iii) to establish the efforts taken by the government to combat the challenges facing the hospitality and tourism industry in Nigeria. Kusluvan, S., & Kusluvan, Z. Implications for Education and Hospitality Management Abstract: Hospitality organizations which are increasingly operating internationally create real challenges for their employees and managers to interact and effectively work with people from different cultural environments. As a matter of fact, some people have been restricted to move to other places and this has been a major challenge to the industry as a whole. Overnight, hotel bookings were canceled, safaris postponed and cultural tours abandoned. The recent stock market ups and downs are a real indication of the turbulence that may impact tourism in 2016 and present new challenges to tourism professionals around the … professional specifically for you? In this case, people do not want to travel for long distances and this affects the industry in a broad way. As the demand for lodging and plane travel goes down, both total revenue and profit decrease. Electronic check-in is the latest technology being embraced by the industry. Perceptions and attitudes of undergraduate tourism students towards working in the tourism and hospitality industry in a developing economy. As much as the industry has a body that can champion for its rights, this has been at the expense of different governments. What is WOTC Screening and How Can it Affect My Bottom Line? Add in the fickleness of consumer decision-making? An increase in the demand for hotels is something that needs to be attended to because all customers can not be accommodated by one facility since this might compromise the services that they are being given (Bar kin, 2002, p. 23). This has mostly been complicated by the emergence of new technologies and trends that need to be satisfied and attended to. That makes for one of the greatest challenges facing the hospitality industry and restaurants. The quality of employees hired has a direct impact on brand reputation, revenue, and overall labor costs. Twitter. As per the New Zealand Tourism Forecasts, the sector is up to 52%. Probably not. Armed robbery 5. Credit card fraud. For instance, ecotourism is an emerging industry as far as tourism and hospitality are concerned and this means that efforts should be directed towards the satisfaction of customers (Kummer, 2010, p. 18). The challenges in the industry may include skills shortage, financial and suppliers’ issues (Cruz & Alley, 2017). Labor and skills shortage has been identified as one of the challenges that are facing the tourism and hospitality industry. Often, they’re even settling into physically demanding roles. Finally, remember that improving working conditions to place less stress on employees will ease the burden on an aging service industry population and help attract younger talent. Tatiana Rokou / 09 Jan 2020 08:08 11168. Home / Hospitality / Five challenges facing the hotel industry 30 ... the hotel industry is facing a vast set of challenges. For full functionality of this site it is necessary to enable JavaScript. In this case, the line between these two aspects needs to be drawn effectively to do away with any contradictions or conflict of interest that might come by. We use cookies to give you the best experience possible. The hospitality Industry & the impact of COVID-19 As the effects of COVID-19 spread across the entire world, the primary focus for governments and businesses is the safety of their people. But they are now doing more than just comparing your organization to direct competitors. This is because their service expectations are always changing meaning that they need to be matched at all costs. That’s not counting the rest of the hospitality sector. Different countries have enhanced their security measures because of an increase in crime and terrorism activities (Travels, 2009, p. 31). } Labor shortages are one of the greatest challenges facing the hospitality industry and restaurants. As the demand for lodging and plane travel goes down, both total revenue and profit decrease. 2009 tourism trends. Pricing in the hospitality and tourism industry is a major issue that needs to be attended to. 77–98). Top 5 Technologies Restaurant Owners Should Know About, Cost of Payroll Fraud: A Problem with a High Price Tag, How to Prevent Hourly Hiring Interview No-Shows. These candidates typically face significant barriers to hiring due to income, veteran status, disability, or history of incarceration. All businesses, regardless of size, are facing serious challenges, especially those in the aviation, tourism and hospitality industries, with a real threat of significant declines in revenue, insolvencies and job losses in specific sectors. Demand for product and services have become increasingly price sensitive and environmentally friendly. Lack of capital.This is normally a big challenge because any individual or organization that wants to invest in this industry must have capital in terms of money as well as other resources such as land and labour. The product aspect of the tourism and hospitality industry has been changing in recent years and this is a trend that needs to be coped up with. Security and Safety. 1.7 SCOPE OF STUDY You can use them for inspiration, an insight into a particular topic, a handy source of reference, or even just as a template of a certain type of paper. Reputation management is the best practice for keeping customer satisfaction high and a valuable source of data and insights for future improvement. Also known as swap and share experiences, the sharing economy refers to the collaborative consumption of goods using a peer to peer service. Whilst this focus will continue, the implications for economic growth and corporate profits have to lead to a sharp sell-off in equity markets across the globe. Let’s look at the various challenges facing the Hospitality industry. "Current Issues and challenges of Hospitality and Tourism Industry." Issues, Challenges, and Trends, that Facing Hospitality Industry WANG Jin-zhao1 WANG Jing2 Abstract: This article presents findings of issues, challenges and trends that hospitality industry might fact in the year ahead respectively. Tourism Industry Trends. The demanding nature of the average consumer is skyrocketing in an era of instant gratification. General theft and other crime 2. A recent survey carried out by Travel Technology Europe has revealed ‘economic uncertainty’ as the biggest challenge … In order to chart and contribute to a better understanding of the effects of COVID-19 on tourism and the sector’s response at various scales, Current Issues in Tourism is calling for empirically-based papers that focus on the impacts of COVID-19 on markets, destinations, organisations and businesses, consumers, destination communities, transit zones and tourism transport. Labor shortages are one of the greatest challenges facing the hospitality industry and restaurants. For more information about the challenges facing the hospitality industry and the paperless onboarding solutions, contact our team today! In extreme cases, the industry has been forced to develop this skills and talents at huge costs. Customers? The study assessing the challenges of hospitality and tourism industry will be of immense benefit to the federal government of Nigerial, students, individuals and other researchers that wishes to carry out a similar research on the above topic in other to understand perfectly the challenges of hospitality and tourism industry. Raising rates to recover lost profits later is a tricky business. It’s no wonder business owners and managers in this sector are losing sleep. Cyber crime issues 7. In this case, there have been a lot of travel permit restrictions that have ended up affecting the hospitality and tourism industry. Most notably, such measures have affected tourist numbers yet the industry might have spent a lot of money trying to woo and attract customers. New York, NY: Nova Science Publishers, Inc. "Current Issues and challenges of Hospitality and Tourism Industry." One of the key insights the survey found was the rate of growth in the hospitality sector. Others hotels have already implemented the innovation. Facebook. Novelty is a much-needed element in to… You are free to use it for research and reference purposes in order to write your own paper; however, you must. Disruptions to production, initially in Asia, have now spread to supply chains across the world. Insurance brokers and advisors are getting creative (within the bounds of the law) in helping smaller businesses negotiate for better insurance for their employees. Prices are slashed to try to fill empty rooms and flights. The coming year, things will be even more challenging. Eco tourism for sustainable regional development: Current Issues in Tourism. Security and Safety. Musasa, G. and Mago, S. 2014. Regulation is another challenge because the industry does not operate in one definite location (Kummer, 2010, p. 29). The study assessing the challenges of hospitality and tourism industry will be of immense benefit to the federal government of Nigeria, students, individuals and other researchers that wishes to carry out a similar research on the above topic in other to understand perfectly the challenges of hospitality and tourism industry. IvyPanda. In this case, the availability of capital has been limited. The foodservice sector is also feeling the impact of globalization. What can you do to meet them head on? Retrieved from https://www.hotel-online.com/News/PR2010_3rd/Aug10_HospitalityPersonnel.html. If you are the copyright owner of this paper and no longer wish to have your work published on IvyPanda. Adding 800 million visitors a year is the equivalent of adding 8 or 9 Walt Disney Worlds to the tourism industry. Article Type: Editorial From: EuroMed Journal of Business, Volume 10, Issue 3. What are some of the most significant challenges facing the hospitality industry and restaurants right now? 3 (2); 1-12. Travels. We utilize security vendors that protect and ensure the integrity of our platform while keeping your private information safe. There are the 3 key challenges in hospitality recruitment: Hospitality recruitment challenge #1: Finding candidates. The restaurant industry is also feeling more and more pressure to go digital. Filed Under: Employee Onboarding Tagged With: Hospitality Industry Employees, Hospitality Industry Labor Shortage, Onboarding in the Hospitality Industry. Using automated WOTC processing makes it simple to capture the necessary information and submit documentation to qualify for these tax credits. Top issues that will influence the global hospitality industry in the year ahead include sustainable development calls for green hospitality, labor cost, multicultural issues and higher education. The challenge is, they may not be equipped to fulfill these jobs. Employers may also want to consider seeking out more WOTC-eligible job candidates to fill out their workforce. This is because the industry as a whole deals in a wide range of issues and aspects that need to be fully adhered to for customer satisfaction. As a result, there has been an increase in the demand for accommodation. 1. Therefore, simply lowering standards is not an acceptable solution for savvy business owners and hiring managers. Gaps in ‘technological skills’ identified as fourth biggest challenge facing industry. Delivery process and the issues faced in the management of the tourism experience delivery process within various contexts, industries, and settings were addressed in Part II of this handbook. Defining the hotels, catering and tourism sector and the scope of the issues … Challenges that facing hospitality include will include operating issues, marketing issues, technological issues and economic issues. Mitchel, J. And they can be as unpredictable as technology. It is against this background that the present study examines the challenges facing the tourism and hospitality in Lagos state. Failure to comply with all documentation requirements, such as I-9 processing, continues to be a challenge. Peterson, J.H. However, you can mitigate this issue with the implementation of onboarding that integrates with e-Verify. Some of the challenges faced by the travel and tourism industry include: Taxation. Hospitality organizations which are increasingly operating internationally create real challenges for their employees and managers to interact and effectively work with people from different cultural environments. Economy Watch. The rapid growth of the industry has brought in a lot of challenges that need to be solved by all stakeholders. Solutions to problems facing the tourism industry 1. (2003). Shortages are becoming an issue as the talent pool of suitable candidates shrinks. The travel industry is one that is going through major disruption and so this time round, I’m going to be investigating the top challenges facing the travel industry in 2019. We can wholesomely say that the growth of the tourism and hospitality industry greatly depends on pricing and products. Africa's tourism industry has been hard hit by coronavirus lockdowns. Public violence 3. If you continue, we will assume that you agree to our An increase in international travel . Improvements in transport and communication e.g. Cheaper sourcing may be easier in a global economy. It contains thousands of paper examples on a wide variety of topics, all donated by helpful students. African Journal of Hospitality, Tourism and Leisure Vol. They even feel pressure to change their business model to include to-go and delivery services for locations that were previously dine-in-only. A recent survey carried out by Travel Technology Europe has revealed ‘economic uncertainty’ as the biggest challenge currently facing the travel industry, with 53 per cent of those polled putting it at the top of the list. e.type="text/javascript" Copyright © 2020 EF Operating LLC. Tourism is one of the sectors that governments heavily tax. Dark Tourism. Boomers who had their retirement plans put on hold due to the recession are looking for ongoing work. Many problems may relate to intercultural communication between managers and employees as well as between employees and hotel guests from different cultural backgrounds. The tourism crisis is the impacts that adding 800 million additional international visitors per year to the tourism industry, not to mention the increase of tourism visits that may take place within national borders. Tourism is an economic problem for Jamaica based on the fact that with tourism there comes a possibility of importation of goods and services from other countries and we do not support our own countries produce in the form of service to the tourism industry. Lengthy recruitment processes – Due to an overwhelmingly large number of applications and multiple interviews, the recruitment cycle in the hospitality industry can be lengthy. On the other hand, the cost of constructing new facilities has been skyrocketing every now and then posing a major challenge to players who want to expand to new markets. The travel industry, therefore, works towards offering products that allow the average tourist or traveler to experience something they have never experienced before. 1991. Linkedin . As a matter of fact, the industry has been forced to obtain capital at high costs thereby affecting their operations. The Unilateral Declaration of Independence (UDI) in 1965 led to the imposition of … Some of these laws have been punitive and affected the growth of the tourism and hospitality industry in a broad way. IvyPanda. (2009). However, the unique selling point (USP) of travel companies or destination marketing organizations (DMOs) lies in providing a rare and unique experience. The tourism crisis is the impacts that adding 800 million additional international visitors per year to the tourism industry, not to mention the increase of tourism visits that may take place within national borders. This paper aims to identify the challenges facing established universities in tourism and hospitality education and to provide insight of how these could be managed in the future. document.getElementsByTagName("head")[0].appendChild(e) When clients plan for trips, hotels … The hospitality industry in general and the restaurant sector, in particular, tend to get hit hard when things change. The hospitality and tourism industry has been evolving every now and then because of the changing needs of the society. New York: World Wide Words. What travel restrictions and quarantine measures will impact us? The hospitality industry is a very vast industry that's faced with many challenges. At the same time, importing from other countries has its own set of risks. In S. Kusluvan (Ed. As an example of one way to make benefits better, even organizations with fewer than 50 employees are able to offer health coverage now by leveraging the power of group plans and blending them with supplemental coverage that helps fill in the gaps. Even though it is good news for the country and their hospitality industry, however, there are some specific set of challenges faced by the organizations. Restaurants now have a greater variety of vendor options to make their menus more appealing while obtaining ingredients and supplies at a lower cost. As far as sourcing talent is concerned, stricter immigration regulations since 2001 have made it more difficult for the hospitality sector. However, many hotels have found the transformation challenging. In March of 2017, Amazon debuted its first public demo of drone delivery. They also expect to receive prompt responses no matter how they make contact with your organization. Technology is something that is always evolving and any industry can not do without it. "Current Issues and challenges of Hospitality and Tourism Industry." May 27, 2019. https://ivypanda.com/essays/current-issues-and-challenges-of-hospitality-and-tourism-industry/. Better roads are being constructed leading to the tourist attractions. That’s always been true to a certain extent in the hospitality industry. ‘Challenges of rural tourism development in Zimbabwe: A case of the Great Zimbabwe-Masvingo district’. "Current Issues and challenges of Hospitality and Tourism Industry." Implications for Education and Hospitality Management . 6. (2019, May 27). This has given the industry a big challenge because they have to meet the needs for new skills and labor at all costs to keep customers. After all, customers are paying for service and they expect to get it. We surveyed participants at our first Hospitality Industry Forum on the major challenges encountered in the travel and hospitality industry in the Philippines. Raising rates to recover lost profits later is a tricky business. … Changes in the higher educational environment are having a tremendous impact on the education process, curricula, learning outcomes and instructional practices. Businesses in this sector must also be willing to make changes. This, Manzo reported, is an issue 78 percent of members identified as being of high importance. A recent report by hospitality … Cookies Policy, This essay on Current Issues and challenges of Hospitality and Tourism Industry was written and submitted by your fellow student. In Uganda the Kampala- Kasese road leading to Queen Elizabeth National Park. These shifts can be as big as globalization. As the growth and success of the travel sector fluctuates depending on … We will write a custom Essay on Current Issues and challenges of Hospitality and Tourism Industry specifically for you for only $16.05 $11/page. In this case it should be known that the challenges are numerous and complex. But they do expect to be able to pre-order and pay for their meals on the smart device of their choice whether they are dining at a drive-in or requesting room service at the hotel. Re even settling into physically demanding roles ‘ technological skills ’ identified as one of the society impacts of challenges... Too old to work on this site in Asia, have now spread supply. & Kusluvan, Z these candidates typically face significant barriers to hiring to., 2010, p. 31 ) of drone delivery the major problems in industry... Of … as per the new Zealand tourism Forecasts, the industry wide! Affect My Bottom Line owners and hiring managers as the local economy complicated by the of... 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2020 issues and challenges faced by the tourism and hospitality industry