INTRODUCTION

History & Evolution

The hotel industry that exists today can be traced back to 3000 B.C. where the

earliest inns were homes with rooms provided for travelers. Conditions improved in

1700s England when the renaissance sparked the desire to travel. The United States

saw its hotel industry created a century later. By this time they had revolutionized many

firsts in the industry including private rooms with locks and doors, free soap, a trained

staff, and a pitcher of water in each room. Indoor plumbing and the creation of the

lobby followed shortly thereafter. The business of providing strangers with hospitable

means has come along way. What once was a service to fellow man is now the

foundation numerous economies throughout the world.

The modern era of the hotel industry saw its beginnings in 1794 New York

where the first ever hotel was built. Profit potential was recognized with the inception

of the industrial revolution. Stock companies invested in hotels seeking profit from

property value appreciation and room occupancy revenue. Surrounding communities

were promised increase in sales by means of higher volume of people passing through.,

the industry creates a multitude of opportunities that now saturate the industry in the

form of spin-offs of these top four hotel companies creating the most common chains

we know of today. History has proven that the success of this industry has largely to do

with two factors, location and innovative integration, the combination of these two has

created a margin between the larger chains and those who operate on a smaller scale.

Soap and locks on doors were the innovation for their day. Strategic placement and

product differentiation once again guide the success of this industry.

The word hotel is derived from the French hôtel (coming from hôte

meaning host), which referred to a French version of a townhouse or any other building

seeing frequent visitors, rather than a place offering accommodation. A hotel is an

establishment that provides paid lodging on a short-term basis.

The provision of basic accommodation, in times past, consisting only of a

room with a bed, a cupboard, a small table and a washstand has largely been replaced

by rooms with modern facilities, including en-suite bathrooms and air conditioning or

climate control. Additional common features found in hotel rooms are a telephone, an

alarm clock, a television, and Internet connectivity; snack foods and drinks may be

supplied in a mini-bar, and facilities for making hot drinks. Larger hotels may provide a

number of additional guest facilities such as a restaurant, a swimming pool or childcare,

and have conference and social function services. Some hotels offer meals as part of a

room and board arrangement.

Hotel Industry in India has witnessed tremendous boom in recent years.

Hotel Industry is inextricably linked to the tourism industry and the Growth in the

Indian tourism industry has fuelled the growth of Indian Hotel industry. The thriving

economy and increased business Opportunities in India have acted as a boon for Indian

hotel industry. The Arrival of low cost airlines and the associated price wars have given

domestic tourists a host of options.

The 'Incredible India' destination campaign and the recently launched

'Atithi Devo Bhavah' (ADB) campaign have also helped in the growth of domestic and

international tourism and consequently the hotel industry. According to a report, Hotel

Industry in India currently has supply of 110,000 rooms and there is a shortage of

150,000 rooms fuelling hotel room rates across India. According to estimates demand

is going to exceed supply by at least 100% over the next 2 years. The future scenario of

Indian hotel industry looks extremely rosy. It is expected that the budget and mid-

market hotel segment will witness huge growth and expansion while the luxury

segment will continue to perform extremely well over the next few years.

List of players in the industry

Taj Group

Inter Continental

Le Meridien Group of Hotels

Oberoi Group of Hotels

The Park Group of Hotels

Welcome Heritage Group of Hotels

ITC Welcome group of Hotels

Categorization of players in the industry

Based on location

City center: Generally located in the heart of city within a short distance from business

center, shopping arcade. Rates are normally high due to their location advantages. They

have high traffic on weekdays and the occupancy is generally high.

Motels: They are located primarily on highways, they provide lodging to highway

travelers and also provide ample parking space. The length of stay is usually overnight.

Suburban hotels: They are located in suburban areas, it generally have high traffic on

weekend. It is ideal for budget travelers. In this type of hotel rates are moderately low.

Airport hotels: These hotels are set up near by the airport. They have transit guest who

stay over between flights.

Resort hotels: They are also termed as health resort or beach hill resort and so

depending on their position and location. They cater a person who wants to relax, enjoy

themselves at hill station. Most resort work to full capacity during peak season. Sales

and revenue fluctuate from season to season.

Floating hotels: As name implies these hotels are established on luxury liners or ship. It

is located on river, sea or big lakes. In cruise ships, rooms are generally small and all

furniture is fixed down. It has long stay guest.

Boatels: A house boat hotels is referred as boatels. The shikaras of Kashmir and

kettuvallam of kerala are houseboats in India which offers luxurious accommodation to

travelers.

Rotels : These novel variants are hotel on wheel. Our very own "palace on wheels" and

"Deccan Odessey" are trains providing a luxurious hotel atmosphere. Their interior is

done like hotel room. They are normally used by small group of travelers.

Based on Size of Property

The main yardstick for the categorization of hotel is by size the number of rooms

available in the hotel.

Small hotel: hotel with 100 rooms and less may be termed as small hotels.

Medium sized hotel: hotel which has 100-300 rooms is known as medium sized hotel.

Large hotels: hotel which have more than 300 rooms are termed as large hotels.

Mega hotels: are those hotels with more than 1000 rooms.

Chain hotels: these are the groups that have hotels in much number of locations in India

and international venues.

Based on the Level of Service

Hotels may be classified into economy, and luxury hotels on the basis of the level of

service they offer.

Economy/ Budget hotels: These hotels meet the basic need of the guest by providing

comfortable and clean room for a comfortable stay.

Mid market hotels: It is suite hotel that offers small living room with appropriate

furniture and small bed room with king sized bed.

Luxury hotels: These offer world class service providing restaurant and lounges,

concierge service, meeting rooms, dinning facilities. Bath linen is provided to the guest

and is replaced accordingly. These guest rooms contains furnishing, artwork etc. prime

market for these hotels are celebrities, business executives and high ranking political

figures. Example: Hyatt Regency, New Delhi

Based on the Length of Stay

Hotel can be classified into transient, residential and semi residential hotels depending

on the stay of a guest.

Transient Hotel: These are the hotel where guest stays for a day or even less, they are

usually five star hotels. The occupancy rate is usually very high. These hotels

are situated near airport.

Residential hotels: These are the hotel where guest can stay for a minimum period of

one month and up to a year. The rent can be paid on monthly or quarterly basis.

They provide sitting room, bed room and kitchenette.

Semi residential hotels: These hotels incorporate features of both transient and

residential hotel.

Based on Theme

Depending on theme hotel may be classified into Heritage hotels, Ecotels, Boutique

hotels and Spas.

Heritage hotel: In this hotel a guest is graciously welcomed, offered room that have

their own history, serve traditional cuisine and are entertained by folk artist.

These hotels put their best efforts to give the glimpse of their region. Example: Jai

Mahal palace in Jaipur.

Ecotels: these are environment friendly hotels these hotel use eco friendly items in the

room. Example: Orchid Mumbai is Asia first and most popular five star Ecotels.

Boutique hotels: This hotel provides exceptional accommodation, furniture in a themed

and stylish manner and caters to corporate travelers. Example: In India the park

Bangalore is a boutique hotel.

Spas: is a resort which provide therapeutic bath and massage along with other features

of luxury hotels in India Ananda spa in Himalaya are the most popular Spa.

Based on Target Market

Commercial hotel: They are situated in the heart of the city in busy commercial areas

so as to get good and high business. They cater mostly businessmen.

Convention hotels: These hotels have large convention complex and cater to people

attending a convention, conference

Resort hotels: These leisure hotels are mainly for vacationers who want to relax and

enjoy with their family. The occupancy varies as per season. The atmosphere is more

relaxed. These are spread out in vast areas so many resorts have solar powered carts for

the transport of guest.

Suite hotels: These hotel offer rooms that may include compact kitchenette. They cater

to people who are relocating act as like lawyers, executives who are away from home

for a long business stay.

Casino hotels: Hotel with predominantly gambling facilities comes under this category,

they have guest room and food and operation too. These hotels tend to cater leisure and

vacation travelers. Gambling activities at some casino hotels operate 24 hours a day and

365 days.

Brief profile of players in the Industry

Best Hotel Chains Of India

Mentioned below are the significant hotel chains of India,

Taj Group of hotels in India: The most popular name that is almost synonymous to

hospitality in India is that of the Taj Group. Offering the best hotels across various

genres like business hotels, heritage resorts, luxury hotels and even sea resorts, the Taj

Group is definitely the best in the field.

The Oberoi Group of Hotels in India: One of the most prominent names among the

hotel chains of India is the Oberoi Group. It also owns several properties in exotic

places like Australia and Mauritius. With its world class facilities and efficient staff to

manage and play the perfect Indian hosts, the Oberoi hotels is no doubt a great feather

on the grand cap of tourism in India.

Le Meridien Group of Hotels: The Le Meridien Group of Hotels has played

an instrumental role in playing the perfect host to the millions of tourists and guests

coming here. It is a luxury brand of great fame and reflects the inherent Le Meridien

touch of elegance and class through all its properties in India. It is no wonder one of the

exclusive hotel chains of India.

Best Western Group: A world famous name when it comes to hospitality and service,

the Best Western Group owns several properties across India. Each of the hotels has

been equipped with numerous features to enable a cozy comfortable stay to the guest.

PRODUCT LINES AND CONSUMER BEHAVIOUR

Products

Rooms : The rooms in hotels are based on the Category of the hotel. The facilities in

the rooms are based on the type of hotel and price of the rooms are based on the type

and facilities provided in the room.

Conference Rooms: The conference rooms are provided by hotels for the meetings and

other requirements as per the request by the customers. The price depends on the

facilities, space and time utilized.

Banquets & Halls: Banquet halls are provided by hotels for parties and functions. These

halls provide extra revenue for the hotels.

Restaurants & Bar : Along with the rooms hotels provide restaurants and bars which

are charged separately. This adds revenue as well as a facility for the customers who

are staying in hotels.

Recreation facility

Product Description

There are several types of rooms provided by the hotels based on their category. Few

types of rooms are explained below

STANDARD: This category usually means the most basic room type offered by the

hotel. It has basic, standard amenities and furnishings. Standard rooms in hotels with

higher categories often have no view or have a poor view over the dumpster or parking

lot.

MODERATE: Usually a slight bit better than standard, but still not deluxe. It may refer

to the room view as well as the size and type of furnishings offered.

SUPERIOR: This category is always subject to interpretation. It's supposed to mean

superior to a standard room in both size and furnishings, but it often refers to just the

view. Some hotels have only Superior rooms; the categories then are defined by the

view and location of the room.

DELUXE: These rooms are supposed to be Deluxe in every way: View, location,

furnishings and size.

JUNIOR SUITE: A "junior" suite is typically a larger room with a separate seating

area. Sometimes it's got a small divider between the part of the room that the bed is in

and the seating area, but it is not two separate rooms.

SUITE: A Suite is usually two or more rooms clearly defined; a bedroom and a living

or sitting room, with a door that closes between them. Many hotels use the word "suite"

to define any room with a sofa in it so be sure to check thoroughly if what you really

want are the two or more separate rooms.

STUDIO : This is usually configured like a Junior Suite, but has the added advantage

of a "kitchenette," or cooking facilities

Complimentary Products

Swimming pool, , Fitness Centre

Meeting Rooms, Business Centre

Complimentary High Speed Internet, Free Local Calls

Superstar Hot Continental Breakfast, Complimentary morning

newspaper

Guest Laundry, Dry Cleaning

Coffee/tea Maker, Mini fridge, Microwave

Complimentary Valet Parking

Wake Up Service

Bike rental at the reception desk

Fitness centre

Tenis court 

Beauty parlour Lucie: lifting cure, regeneration cure, manicure, pedicure

Hairdresser

Private car park on the hotel premises

Travel agent

Air port pick up and drop

Guide facilities

Banquit halls

Meeting rooms

Swimming pools

Substitutes

Friends or relative houses,

Youth hostels,

Paying guests

Dormitories

Resorts

Motels

Lounges in airports, railway stations, bus shelters.

Private guest houses and R&B guest houses

GROWTH OF THE INDUSTRY

Rate of Growth

According to a report, Hotel Industry in India currently has supply of 10,000

rooms and there is a shortage of 150,000 rooms fuelling hotel room rates across India.

According to estimates demand is going to exceed supply by at least 100% over the

next 2 years. Five-star hotels in metro cities allot same room, more than once a day to

different guests, receiving almost 24-hour rates from both guests against 6-8 hours

usage. With demand-supply disparity, hotel rates in India are likely to rise by 25%

annually and occupancy by 80%, over the next two years. This will affect the

competitiveness of India as a cost-effective tourist destination. To overcome, this

shortage Indian hotel industry is adding about 60,000 quality rooms, currently in

different stages of planning and development, which should be ready by 2012. Hotel

Industry in India is also set to get a fillip with Delhi hosting 2010 Commonwealth

Games. The future scenario of Indian hotel industry looks extremely rosy. It is expected

that the budget and mid-market hotel segment will witness huge growth and expansion

while the luxury segment will continue to perform extremely well over the next few

years.

The hotel industry in India is going through an interesting phase. One of the

major reasons for the increase in demand for hotel rooms in the country is the boom in

the overall economy and high growth in sectors like information technology, telecom,

retail and real estate.

Rising stock market and new business opportunities are also attracting hordes

of foreign investors and international corporate travelers to look for business

opportunities in the country. The arrival of low cost airlines and the associated price

wars have given domestic tourists a host of options. The opening up of the aviation

industry in India has led the way for exciting opportunities for the hotel industry as it

relies on airlines to transport 80% of international arrivals.

Moreover, the government’s decision to substantially upgrade 28 regional

airports in smaller towns and privatization and expansion of Delhi and Mumbai airport

will improve the business prospects of hotel industry in India. Substantial investment in

tourism infrastructure is essential for Indian hotel industry to achieve its potential.

The upgrading of national highway connecting various parts of India has

opened new avenues for the development of budget hotels here. The Government of

India’s Incredible India destination campaign and the Atithi Devo Bhavah campaign

have also helped the growth of domestic and international tourism and consequently the

hotel industry.

In order to increase the stock of hotel rooms, the Federation of Hotel and

Restaurant Associations of India suggested to the government that the floor area ration

of the existing hotels should be increased. This was a couple of years before and will

help create additional rooms in the existing properties and ease the burden of shortage

of hotel rooms in the country. The proposal is yet to be implemented.

Pattern of Growth (Seasonal & cyclic)

Pattern of growth in hotel industry is both seasonal and cyclical as hotel

industry is inter related and based on the tourism industry. As the industry is related

and run on the demand based on the location in some regions like historical places and

business centers (ex: Delhi, Hyderabad, Tirupathi, etc) the demand for the hotels are

cyclical and for few places the demand is seasonal. Seasonal demand is depend on the

climate and location (ex: beaches in India are mostly visited in summer because of

climate and vacations)

Growth Determinants

Location

Location is a critical consideration because if affects hotels ability to draw

customers. It is important that hotel location be visible, accessible, convenient and

attractive to market. Surrounding land uses are important for all types of lodging

operations. Aesthetics of the area, noise, safety and other factors should be considered.

Commercial Locations

By location along major highways or in business or industrial districts,

hotels and motels benefit from high visibility and proximity to generators of room night

demand. Local colleges, hospitals, attractions, services and entertainment are examples

of “room night” demand generators.

Resort Locations

Hotels and motels in resort areas generate most of their business form

leisure travelers who see the lodging facility and surrounds area as their “destination.”

Access and visibility, while important, are secondary to the quality of the facility,

services, amenities, and nearby attractions.

Local Market Area

A lodging facility must be located in a market area that attracts

overnight visitors.

Business Climate

Hotels and motels that primarily serve business travelers usually rely on

the strength of the local business community.

Tourism Activity

Hotels and motels in resort areas typically rely on local attractions to

bring in customers. Attractions can include both natural and man-made places of

interest.

Business Travelers:

Business travelers represent a large portion of lodging demand in many

market areas. They include people traveling on business representing commercial,

industrial and governmental organizations. Peak business demand is usually

experienced Monday through Thursday nights.

Leisure Travelers:

Leisure travelers may visit an area for a vacation, to attend sporting or

social events, to shop, or to visit friends and relatives. They might be staying over

simply because they are traveling to other destinations. Leisure travelers may be

individuals, couples, families, or small groups. Travelers visiting hospitals and

universities are typically included in this market segment. Leisure room demand is

often seasonal. In larger, more urban market areas, leisure room demand may be limited

to weekends, summer months and holiday periods.

Other Travelers:

Various lodging customers cannot be classified under the categories of

business, leisure, or group. These travelers may include construction workers, truckers,

utility crews and others.

TECHNOLOGY OF PRODUCTION AND DISTRIBUTION

4.1 Cost structure

SOURCE OF FINANCE

The source of finance available to a hotel development is similar to those

available to real estate developers of others kind of project. The following are usual

method of rising finance for the hotel Industries:-

1. Share capital

2. Preference share capital

3. Equity share capital

4. Borrowed capital

5. Debenture

6. Mortgage

7. Loan from commercial bank

8. Loan from financial institution

9. Trade debt- credit guaranteed by supplier

10. Inter company loans

11. Provision for taxation

12. Public fixed deposit

13. IPO

FUND ALLOCATION FOR THE PROJECT

Hotel industries displays an investment characteristic with

Distinguishes it for other industries. The industry can be classified as one among those

which are highly capital intensive. Most of the Hotel represented by land, building,

furniture furnishing and Equipment. A study of the balance sheet of the leading hotel

companies shows that bulk capital is 90%.

A hotel project requires money under the following heads:

1. Cost of land and building

2. Cost of civil works

3. Cost of electrics installation and fixtures

4. Cost of sanitary work and fixtures

5. Cost of furniture fixture and fitting

6. Cost of carpet

7. Cost of providing facilities like air-conditioning, boilers, water treatment plant,

filtration plant, water pump, drainage system.

8. Cost of providing swimming pool, land scaping, land development,

9. Shopping arcade.

10. Cost of kitchen ware.

11. Cost of manpower

12. Misllinious cost

Economies of Scale

The hotel industry enjoys the economies of scale based on the

occupancy rate. When the occupancy rate is high the hotels enjoy the economies of

labor and fixed cost is distributed over large number of rooms effecting in the increase

of the revenue and the various other costs like maintenance will remain same what ever

the occupancy, if the occupancy is high the expenses are distributed occupied rooms

resulting in the increase of revenue. Other than the savings in cost many hotels charge

24hours rent on rooms used for night halts (i.e. is for 8 to 10 hours) thus enjoying the

chance to rent same room to other customers for 24 hours.

Economies of Scope

Opportunities for the Indian hotel sector continue to be in the budget and

mid-market segment. Anticipation for huge growth and expansion, in the next year or

two.  The luxury segment is set to perform extremely well over the next few years until

the supply- demand gap is bridged.

New opportunities lie in the extended stay segment, which many potential

developers are currently shying away from. .  Agra, while having seen highest

improvement, has still a long way to go (citywide occupancy 47%). There also some

unfinished hotel projects in Agra, which will continue to put pressure on the city’s

performance. As regards Jaipur, the recent announcement by a major IT company to set

up a base outside Jaipur, as well as the state government’s initiative to promote IT-

related activity in the city, means that Jaipur can look forward to some additional room

night demand from the business segment. These developments in the leisure segment

including the strong performance in Goa leads to believe that the leisure segment is

clearly benefiting from the increase in foreign tourist arrivals and growth in domestic

travel.

Hotels in metro cities, with an average rate of Rs 2,600-3,000, and hotels

in non-metro cities, with an average rate of Rs 1,800-2,400, are likely to experience

rapid growth in demand in the next year or two. Cities to watch out for, in terms of

development opportunity, are Pune, Goa, and certain pockets in major cities like Delhi

(west) and Mumbai (mill lands). 

4.4 Labour

Department of Hotels that are available for guest 24 X 7:-

Hotel Industry Kitchen/ Food Production: Kitchen & food production is a department

of hotel that responsible for food . Even hotels having Coffee Shop provides 24 hour

services to the guest.

Hotel Industry Engineering:- If any problems come in room, bulb fuse, A/C not

working , then need to contact Hotel Engineers, they are also available 24 hours.

Hotel Industry Front desk:- Front desk is 1st impression on guest, if guest like this

section then only he will go for other option like restaurant, laundry, etc. Front desk

consists of young and energetic staff who is always (24 x 7) be there to help guest, they

are also responsible for Business Centre, Internet Access. Front office desk responsible

for making C-Form for Foreigner Clients, providing safety lockers to the guest. Taking

Reservation by Telephone, E-Mails, and Fax from the guest. Also providing guest

Money Exchange Services.

Hotel Industry Housekeeping:- Housekeeping are available 24 X 7 for guest, making

their bedroom, bathroom, etc. Providing guest Laundry services also do day to day

room cleaning for guests.

Hotel Industry Food & Beverage Service:- They include providing guest the services

whether in rooms, Restaurants or Banquets, or in Conference rooms.

Hotel Industry Travel Desk:- They are responsible for arranging day to day travels for

the guest. They also do the ticket confirmation work, and also provides the information

for sightseeing to the guests.

Gym/ Health Club/ Sports:- Medium and large hotels are providing Gyms, Swimming

Pool, Health Club, Beauty Parlor, Saloon, games like Billiards, Pool, etc facilities to

their guests. Most of the Hotels are providing these facilities complimentary with the

rooms.

Parking/ Shops:- Few Star hotels providing big parking space, shops in the restaurant

itself for the guest conveyance, so that they can get the things in hotel itself.

STRATEGIES AND COMPETITION IN THE

INDUSTRY

Internal Rivalry

 The degrees of internal rivalry consist of competitors in the hotel industry that

differentiates their strengths, cost, product offering, and positioning within the industry.

In the hotel industry there is a lot of competition that takes place between different

providers. Each company finds their strengths and does everything in their power to be

acknowledged by the customer. Once they uncover how they can serve their consumers

better than leading competitors they position themselves in the industry that better

serves the consumers.

SWOT Analysis

STRENGTHS

A very wide variety of hotels is present in the country.

There are international players in the market such as Taj and Oberoi & International Chains

A manpower cost in the Indian hotel industry is one of the lowest in the world.

India offers a readymade tourist destination with the resources

Natural and cultural diversity

Demand-supply gap

Government support

WEAKNESSES

The cost of land in India is high at 50% of total project cost as against 15% abroad.

The hotel industry in India is heavily staffed.

High tax structure in the industry makes the industry worse off than it’s international.

Only 97,000 hotel rooms are available in India today.

Only limited value added services

Slow implementation

OPPORTUNITIES

Demand between the national and the inbound tourists can be easily managed due to difference in the

period of holidays.

In the long-term the hotel industry in India has latent potential for growth.

Unique experience in heritage hotels.

Rising income.

THREATS

Guest houses replace the hotels.

Political turbulence in the area reduces tourist traffic and thus the business of the hotels

Changing trends in the west demand similar changes in India

The economic conditions of a country have a direct impact on the earnings in hotel industry.

 Lack of training man power in the hotel industry.

Fluctuations in international tourist arrivals.

Increasing competition

Porters Five Forces Model

BARGAINING POWER Of SUPPLIERS

The term 'suppliers' comprises all sources for inputs that are needed in order to

provide goods or services.

The high class hotels are operating by few hotel chains like-

TAJ,EIH,ITC&THE LEELA PALACE so they have a control over the

industry.

There are no substitutes for spas and five star hotels.

The hotels customers are fragmented, so they have to reduce their bargaining

power to attract the customers.

The Taj, ITC& Oberoi are having various rates and tariffs. Because they are

having their own brand image.

The hotel chains are operating different services like Spas, Boatels, Resorts,

City Centers, Heritage HOTELS, etc.

BARGAINING POWER OF CUSTOMERS

Similarly, the bargaining power of customers determines how much customers

can impose pressure on margins and volumes.

The hotel industry is one of the most invested in its fixed assets. So they are

trying to recover their amount quickly.

The suppliers are providing better information about them to attract the

customers’ .Here the buyers are highly informed.

  If the hotel price changes are moderate, the Customers have low margins and

are price-sensitive.

Some unseasoned timings the hotels are offering discounts and incentives to

reduce the bargaining power of buyers.

THREAT OF NEW ENTRANTS

The competition in an industry will be the higher; the easier it is for other

companies to enter this industry. In such a situation, new entrants could change major

determinants of the market environment (e.g. market shares, prices, customer loyalty)

at any time. There is always a latent pressure for reaction and adjustment for existing

players in this industry.

The foreign hotel chains are tied up with Indian hotels to reduce the initial cost

and using the latter’s brand name.

Brand loyalty of customers like TAJ, ITC, and LEELA PALACE affects the

new entrants.

Access to raw materials and Distribution channels are controlled by Existing

players like TAJ, ITC, and LEELA PALACE.

The cost of land in India is high at 50% of total project cost as against 15%

abroad. This acts   as a major deterrent to the Indian hotel industry.

In India the expenditure tax, luxury tax and sales tax inflate the hotel bill by

over 30%. Effective tax in the South East Asian countries works out to only 4-

5%.

THREAT OF SUBSTITUTES

A threat from substitutes exists if there are alternative products with lower

prices of better performance parameters for the same purpose. They could potentially

attract a significant proportion of market volume and hence reduce the potential sales

volume for existing players. This category also relates to complementary products.

Brand loyalty of customers (TAJ, ITC, LEELA PALACE, etc,) is dominating

the substitutes.

The hotel relationship with customer and costs also the reasons to switching to

substitutes.

The price variation of same class hotel services from various brands is one of

the reasons to choose a substitute.

The present demand and supply of hotel rooms is one of the reasons to choose a

substitute.

More fixed cost and switching costs affects the business.

COMPETATIVE POWER OF RIVALRY PLAYERS

This force describes the intensity of competition between existing players

(companies) in an industry. High competitive pressure results in pressure on prices,

margins, and hence, on profitability for every single company in the industry.

The top competitors in hotel industry are having the same services like five star,

spas, boatels and motels, heritage hotels and palaces.

The healthy competition among the all players is helping to increase the

industry growth.

Intense in metro cities, slowly picking up in secondary cities

BUSINESS ENVIRONMENT

PESTAL Model

Political factors

Rules and laws are apart of citizens everyday life. We have to abide by certain

rules and regulations in order to remain in society. This goes for corporations as well.

All corporations have to face some sort of rules and regulations. Although each

corporation has to face rules and regulations, each industry faces different rules and

regulations. Of course, it would only make sense to believe that all regulations are

negative for corporations because it takes away from the bottom line.

However, there can be positive affects of the regulations. For example, a ruling in favor

of anti-trust laws will take away from the monopolistic company, but at the same time,

the barriers of entry will become easy leaving opportunity for other companies to

increase their bottom line. An analysis of the hotel industry has revealed that there are

environmental, labor, and food & safety regulations as well as regulations for merging,

which must be looked at before entering into the industry.

Environment is one aspect the government will always have their eye on, and

they will introduce laws that will protect the environment. Such laws will need to be

looked at as a player in the hotel industry. Hotels are could be liable for clean up of

contamination and other corrective action under various laws, ordinances and

regulations relating to environmental matters. Such laws referring to keeping the

environment in good shape can be quite costly to hotels in the industry. In Europe,

North America, Australia and New Zealand, such prosecutions can now result in heavy

financial penalties, considerable clean-up costs or in worst instances, jail sentences

Another political factor that can impose a concern for a member in the hotel

industry is the laws regarding labor. For instance, there are laws that govern minimum

wage. Although this might not seem to be a concern, but anytime you are forced to pay

a wage not in plans, which are taking away bottom line. Another law that can be quite

costly is treatment of employees. For example, there are laws that prevent

discrimination, and sexual harassment. If a hotel company violates these laws, it can

lead to severe lawsuits, and at the same time the hotel will be slicing their revenues.

The labor laws are pretty strait forward, but must be obeyed in order to keep on going

profits.

Social Cultural Factors

Social cultural factors are a big issue to look into for hotel industry because it

deals with a lot of consumers who have different demographic, ethnic, cultural

backgrounds. By satisfying each consumers or generalizing the way to hospitalize,

hotel industry can have chance to expand more.

Technological factors

In order for a hotel to prevent obsolescence and remain technologically

advanced, the hotel must be up to date with all the latest technological changes that are

taking place that might have an impact on the industry. As it moves through the twenty-

first century, it is evident, that there is a strong focus on technology.

Today, the Internet is increasingly being used. Consumers are shopping on the

Internet, from music to travel and anything one can think of. For the hotel industry,

they need to take this into consideration. The reason is that if hotels don’t have a well

developed website, they will possibly loose potential consumers. Not only do they need

to alternate their distribution channels of information, they also need to advertise

aggressively on the Internet. Discussing in further detail of what the computer has

brought is using it for organizing the hotel operation. The day of having everything on

paper is obsolete. So, in order for a hotel to have a competitive advantage, they need to

have a very high tech information system.

While the computer is changing the way hotels in the industry can offer

information to their potential consumers and the way a hotel organizes their operations,

materials supplied to the hotel are starting to become obsolete. For example, in most

hotels, you will still find stereos, VCRs, and regular televisions. However, things have

changed in the way people access music, movies, and of course T.V. Today’s society,

individuals have moved away from those big boxes and adopted the use of digital

technology. So, for a hotel to prevent obsolescence the must change from the suppliers

that are supplying them with stereos, VCRs, and regular TVs and look for suppliers that

will offer them ipods, DVDs, and digital HDTV for room use. Moving in this direction

will make the hotel much more attractive, thus the revenues will increase.

The final technological factor that needs to be looked at is the rising costs of

energy. These are uncontrollable costs, thus the only thing that can be done to limit the

impact of these increasing costs is for hotels to manage the use of energy efficiently. A

strategy of how to manage it would be one thing; however, a hotel must also look at the

alternatives of energy that are coming into the world. For example, with high-energy

costs some businesses are thinking innovation. Solar Cities will be the successes of the

21st century.

Ecological factors

Environment is something we as human beings come in contact with everyday.

The condition of the environment will often guide decisions. For instance, if it is really

smoggy outside, the chances of going for a hike or to an amusement park are very

small. So, it would only make sense as a member of an industry that is looking to

increase the demand of consumers to fully understand what environmental factors for

their industry might impose an impact on the customer’s decision.

For example, during hurricane season, the customer decision to stay in a hotel on the

east coast is not as likely as it was before these natural disasters. Global warming is

another ecological factor calls for concern. The ozone is slowly being exhausted by

human actions while leaving the earth degrees warmer. The uncertain climate can have

a direct impact on hotels that are in areas of ski resorts. However, even though this is a

definite concern, it should be a concern for long term planning the time frame for such

effects is more likely to happen in the future. A way that could allow this not to be an

impact for other hotels is to build a strong image in the consumers mind. Such image

would come from being eco-efficient by improving resources to prevent pollution.

CRITICAL SUCCESS FACTORS

Factors influencing Success in the Industry

Demand Drivers.

The hotel and restaurant industry of India was Rs. 658.89 billion during 2007-

08.

Travel & Tourism Industry of India was valued at US$35.73 billion in 2007,

contributing 3.56% to India’s GDP. The number of foreign tourists arriving to India

reached 5.08 million compared with 4.45 million in the year 2006, showing growth of

14.16%. India’s share in international tourist arrivals at global level gradually improved

from 0.46% in 2004 to 0.49% in 2005 and further to 0.52% in 2006 and 0.56% in 2007.

The number of domestic tourists in India was 526.57 million compared with

461.76 million in 2006, showing growth of 14.03%. There are 1,437 hotels approved

and classified by the Ministry of Tourism, Government of India, with a total capacity of

84,327 hotel rooms as on December 31, 2007. Indian hotel industry is currently adding

about 60,000 quality rooms, which are expected to be ready by 2012.

International Tourist Traffic

The foreign tourist arrivals in India increased at CAGR of 5.5per cent from

2.29

Million in 1996 to 3.92 million in 2005. Significantly, the bulk of international arrivals

into India, both in 2004 and 2005, have been business travelers. Main reason for this

increase has been following fundamental factors:

•India’s strong GDP growth.

•Opening of sectors of the economy to private sector/ foreign investment.

•Strengthening of ties with the developed world.

Also, introduction of low cost airlines also contributed to the demand. The

increase in international flights, seat capacity and frequency into the country and the

decision to allow private airlines like Jet Airways and Air Sahara to fly overseas has

had a positive impact on tourist and business arrivals into India, by way of providing

additional seats to:

Key destinations.

•Development of infrastructure by the Government

•India’s emergence as an outsourcing hub.

•Success of “Incredible India” campaign and other tourism promotion measures.

•India’s growing recognition as an exciting place to visit (‘The Readers Travel Awards

2006’, conducted by Condé Nast Travelers has recently placed India at number four

among the world’s must-see countries, up from number nine in 2003) has helped boost

its image as a leisure destination.

Identifying Critical Success Factors (CSF) For the Industry

The market for the hotel industry can be divided into the following key

consumer segments based on purpose of visit:

The Business Traveler

The Business Traveler is a businessman or a corporate executive traveling for

business purposes. This segment includes corporate, both domestic and foreign, who

open offices in the hotel premises during start-ups, corporate executives who make

extended stay either for long duration projects or while waiting for permanent

accommodation (primarily expatriates) and convention arrivals. While the senior

executives usually stay in 5 star hotels, the middle level executives, who are much

larger in number, stay in the budget hotels. This segment offers better realizations, as

they demand relatively smaller discounts on room rents (about 10per cent-15per cent),

use more of facilities such as PCs, fax multi-media, conference halls. Also, the Food &

Beverage (F&B) revenues are better as they usually eat in the hotel itself due to their

busy schedules.

The Leisure Traveler

The Leisure Traveler could either be a foreigner or a domestic traveler

whose Primary purpose of visit is holiday or site seeing. Among non-business foreign

tourists the primary motivation for visiting India is largely cultural attraction followed

by conferences and conventions, tourist attractions like beaches, wild life, hill resorts

etc. Usually, leisure travelers are part of a package run by a tour operator. The margins

offered by leisure travelers tend to be lower because of two reasons. Firstly, they seek

higher discounts and also provide less F&B revenues as they usually eat out. The

business offered by this segment is highly seasonal and tends to peak in the September

to March period.

Airline Cabin Crew

Airline Cabin Crew forms another important segment because of the

repetitive and guaranteed nature of the business that they provide. Usually, these are a

part of an annual contract whereby, in return for a fixed rate, a certain number of rooms

are provided on demand for cabin crews. With discount rates in the range of 40per cent

and 50per cent, this represents a low-yield segment for hotels in general.

Premium and Luxury Segment

This segment comprises the high-end 5-star deluxe and 5-star hotels,

which mainly cater to the business and up market foreign leisure travelers and offer a

high quality and range of services. The segment accounted for 29per cent of the total

hotel rooms in the country in December 2005.

OBJECTIVES

Understanding the concepts used in human resourcing.

To understand the fundamental management concepts, various aspects of functioning and operational management of the various departments.

To understand the attitude towards the services provided by the Hotel Industry.

To have an overview of Management And Financial System practiced at the Hotel Indian Avenue

To analyze and study the current positioning of The Hotel Indian Avenue in the current market and its future aspects.

RESEARCH AND METHODOLOGY

Research methodology is a way to systematically solve the research problem. It may be understood as a science of studying how research is done scientifically. In it they study the various steps that are generally adopted by a researcher in studying his research problem along with the logic behind them. It is necessary for the researcher to know not only the research methods or techniques but also the methodology. Research is common parlance a scientific investigation for knowledge. It can be defined as a systematic effort to collect the valuable information's. A research can be carried out by different methodologies, which have their own pros and cons.

Secondary Data

When an investigator uses the data that has been already collected by others, is called Secondary Data. The secondary data could be collected from Journals, Reports, and various publications. The advantages of the secondary data can be –It is economical, both in terms of money and time spent. I took it from website of the hotel and few websites mentioned in bibliography.

Primary Data

Primary data includes the first hand information from the outlets. It can view as a survey. The questionnaire was especially designed to find out services provided by HOTEL INDIAN AVENUE and their ratings. Through this information we can get the strengths and weaknesses of services provided by a hotel. How does it differ from resorts and travel agencies in some way . For Data Analysis and Interpretation I collected the data from 100 respondents and the sample technique was questionnaire. The time span of this was of 6 weeks.

LIMITATIONS OF THE STUDY

The major limitations of this project are as given under:

As the data was also gathered from the secondary sources, the validity of the

data could not be tested.

Time constraint was the major limitation in this project.

Another problem was knowledge constraint and this report was an attempt to

gather as much of relevant data as possible.

Its not cover all relative point about the topic.

However, every effort is made to ensure that these do not in any way adversely

affect the results of the study and inject an element of objecting in the report.

COMPANY PROFILE

VISION:

Embrace talent

Harness expertise to leverage standards of excellence in the art of hospitality

Growth in international presence

Increase domestic dominance

Create value for all stakeholders

VALUES:

People diversity, integrity and respect.

Exceed expectations

Innovations

Sense of urgency and accountability

Social responsibility

PERFORMANCE MANAGEMENT

The role of HR in the present scenario has undergone a sea change and its focus is on evolving such functional strategies which enable successful implementation of the major corporate strategies. In a way, HR and corporate strategies function in alignment. Today, HR works towards facilitating and improving the performance of the employees by building a conducive work environment and providing maximum opportunities to the employees for participating in organizational planning and decision making process. Today, all the major activities of HR are driven towards development of high performance leaders and fostering employee motivation. So, it can be interpreted that the role of HR has evolved from merely an appraiser to a facilitator and an enabler.

Performance management is the current buzzword and is the need in the current times of cut throat competition and the organizational battle for leadership. Performance management is a much broader and a complicated function of HR, as it encompasses activities such as joint goal setting, continuous progress review and frequent communication, feedback and coaching for improved performance, implementation of employee development programmes and rewarding achievements. The process of performance management starts with the joining of a new incumbent in a system and ends when an employee quits the organization. Performance management can be regarded as a systematic process by which the overall performance of an organization can be improved by improving the performance of individuals within a team framework. It is a means for promoting superior performance by communicating expectations, defining roles within a required competence framework and establishing achievable benchmarks.

MAJOR DEPARTMENTS OF HOTEL

Front Office: It is the most important department of the hotel. The main function of this department is to give warm welcome to the guest . It helps to create good image in front of the guest. This is the first department where guest comes in contact with. It generates the maximum revenue for the hotel as it sells room to the guests. This also includes sub departments like reservation, Bell desk, and Information desk. It also provides some facilities like concierge service to the guest.

Food and Beverage Service: It is a department which serves food and beverage to the guest in a very attractive and pleasing manner, which creates good impression on the guest. there are several kind of food and beverage outlet like restaurants, Bars, Coffee shops, take away banquets etc. It is second most revenue producing department of the hotel by selling different types of food and beverage to the guest.

Housekeeping: This department is responsible for cleaning and maintaining hotel premises which include public area, guest rooms, lobby, swimming pool area etc. generally this department is not visible to the guest. It works for guest satisfaction through keeping the environment clean and hygiene. Horticulture is one of the most important features of housekeeping department which deals with different types of flower arrangement and maintaining the garden. This department works to give pleasant look of the hotel to the guest.

Food Production: It is a department with deals with the preparation of different types of food items. It is not a visible department to the guest because it usually works in the

back area. It makes the food more delicious and attractive by different styles of cooking method. Different cuisine has their own kitchen and specialized chef to work on it according to their skills. Bakery departments comes under this which include preparation of desserts, breads etc. In order to have the requisite respondents for the data collection, we have taken into account

just the FRONT OFFICE DEPARTMENT.

FRONT OFFICE DEPARTMENT

Introduction:-The f ron t o f f i c e a s a ho t e l i s an ope ra t i ng Un i t and i s t he mos t su i t ab l e department as the hotel and fundamental reasons for hotel existence. It is responsible for the star hotel rooms through systematic methods as reservation surround by requisition and allotting rooms to the guests. It holds good prime atmosphere is view of the basic nature as a hotel that is to sell rooms and revenue collected from the sale of rooms contribute more than 50% of total hotel sales. If has complements role as image of the hotel. It is the first and the last point contact as every guest. The staff at front should have pleasing personalities to eater to the guest information service. The f ron t de sk a f t e r f o rm a s t he gues t r eques t cons i s t i ng o r r eques t i ng i s sue . Foreign guest use the front desk to exchange currency. Find a translate as request other  special assignment is addition it may also be a base operation during an energy such as fire or guest injury.Total front office members in hotel Indian AVENUE sums upto 150 which works in allotted shifts

The front office is divided into following section of Hotel INDIA AVENUE :

1) P r e s e r v a t i o n : -This section is never center as the department where all request for reservation are received and processed.

2 ) R e c e p t i o n : -This section as responsible for receiving the guest. It is also responsible for the registration as guest at the time as this arrival. Mostly status insist that guest should registered hosiery. This is the rule to protest both the hotel and the guest.

3 ) C a b b y : -This section is located immediately upon the entry into the hotel and it is the important because it is the first and the last essence contact of a guest with the hotel. It is here that the guest is received and tubes to the reception to be registered. Handling as guest language and the guest problems along in the section.

4 ) I n f o r m a t i o n : - a) Maintain guest alphabetical index book   b ) Rece ive  message fo r t he gues t c ) Hand l e gues t   packages and encasemen t s d ) H a n d l e p a r i t y e ) P rov ide i n fo rma t ion t o t he gues t .5)Front Of f i c e Cash ier : -This section is responsible for posting as guest charges and guest folio (Bills) accurately and time so as the properly settle guest A/C and received payments before departure Expresses should include room food and beverage and other sources. These charges and recorded up to the last time as the cashier desk. This section is responsible for exchanging foreign currency.6 ) N i g h t   A u d i t o r : -The responsible as this section is to complete and order swell revenue transaction and reconcile the revenue statement of all outlets with the F.O accounting machine with a view to prepare a duty reporting the duty business.

7 ) B e l l   D e s k : -It is responsible for baggage handle t the time of guest departure or arrived or during to stay. They are also responsible for handling guest mail message newspaper etc. They also do miscellaneous job like recounting getting medicines or theater tickets for guest etc.8 ) T e l e p h o n e s : -This section handles all is country and put going local calls, trunk call for both guest and hotel management.

9 ) T r a v e l   D e s k : -This section arranges for a airport transport as the guest. The hires cars, coaches organize towards precede air or rail tickets, confirm tickets etc.

QUALITIES AND ATTRIBUTES AS FRONT OFFICE STAFF:QUALITIES:-1) Sales Man:- They motivates the guest to  spread more as the hotel facilities.

2) Problems Solvers:- Guest in variably  approach Front Office for the help incase they hence problem or a complaint. A staff has to be diplomats and resources to solve the problem at the shortest possible time.

3)Reference Point:- Guest into wants information or wants to  pass all information use front office for this purpose.

4)Co-Ordination:- Since they are reference point the F.O staff  are request to co-ordinate with other departments airlines travel assignment with city tours to guide the guest a personalized services.5)Image Building:- as on extension to these solve role F.O staff  can definitely generate a good image for the establishment in their manner of dressed, communicates personnel conduct and efficiency.

ATTRIBUTES:1 )Persona l  Growing: -

They should have high sense as personnel growing, uniform should be neat and cleanly

presses. Hair should be well groomed. It is presumable for to tie and hair up in a bus.

Nail should be manipulates soft colleague is preferable to heavy perfumes. Jeweler should be restricted. It short the F.O staff must be seen at their best at all times.2 ) P e r s o n a l H y g i e n e :This is important to F.O Personal as there are constantly expose to the hotel guest clean appearance help to object guest image not only for themselves but as the establishment as well.

3)Se l f  Cons iderence :- This is necessary to F.O person meet guest as different countries, status and culture. They should be comfortable and feel at least in dealing with their people.

4)Communica t ion  She l l :- It must be correct and clear. It is perforate that F.o no more than one language it helps is communication with guest who do not understand or cannot speak English or local language.

5)Quick Decision maintains ability:- Guest after approach the F.O with problems and request. F.O staff must be able to decide quickly a course as action that satisfactory the guest and at the same time keeping the interest as the organization online.

DUTIES AND RESPONSIBILITIES AS STAFF IN HOTEL INNDIA AVENUE:Front Office Manager:-1)Participate in the selection of F.O personal

2)Trains, cross strains and retain all  F.O personal

3 ) S c h e d u l e t h e F . O s t a f f 4 )Supe rv i s e s work l oca t e s du r ing sh i f t s

5)Maintain working relationship and communication with all departments.

6 )Ma in t a in mas t e r   key   con t ro l7)Resolve guest problem quickly, efficiently and curiously.

8)Works with in the allotted budget for the F.O

9)Receives information from the previous shift manager passes on important details to the coming Manager. Cabby Manger:-1) Impor t an t t he du ty a s f ron t manage r  

2)Takes ones the duty as the F.O Manager 

3)Dealing with complaint which come to him directly and ensure those which the receptionist cannot handle

4)Dealing with V.P.O (Visitor Period out)

5)Co-coordinating with airport representative

6)Responsible for useful or security as the staff or  the guest

7 )Respons ib l e fo r T ranspo r t s e rv i ceReservation Assistants:-

1)Process reservation made by mail, telephone or control reservation network case

2)Process reservation from the sales office other hotel department and travel agent

3)Knows the types as rooms available as well as there location and layout

4)Knows the selling status, rates and benefits as well package plans

5)Determines room rates based on the selling tables as the hotel

6)Under the hotel policy an generate reservation and no shares

7)Assist in pre registration activities with appropriate

Front Office Cashiers:-

1)Operates, front office posting equipments

2)Obtain the house bank/slat and keeps it balance

3)Completes cashier pre-shift supply check list

4 )Comple t e gues t check ou t p rocedu re

5 )Pos t a l cha rge s t o gues t Accoun t s

6 )Comple t e s gues t check ou t p rocedu re

7 ) S e t t l e s g u e s t A c c o u n t s

8 )Pos t s non -gues t l edge r paymen t s

9)Balances departmental totals at the close of the shift

GRE (Guest Relation Executive) Duties:-

1)Answers Letters of inquiry, regarding rates and availability.

2)Trains new guest services department personal

3)Maintains a thorough knowledge as the room rack, location, types of rooms, sack operation, package plans and discounts.

4)Maintain details knowledge about hotels services and hours of operation

5)Knows all safety precaution and understands energy procedures and how to act upon then understands accident preservation policies

6 )Knows ca sk hand l i ng  p rocedu re s 7)Develops and maintain all aspect as the hotel, reservation system.Reports Generated in Front-Office:-1 ) N i g h t   C l e r k R e p o r t

2 ) R o o m   r a c k   L i s t

3 ) I n h o u s e G u e s t d i r e c t o r y

4 )L i s t o f   expec t ed depa r tu r e

5 ) S p e c i a l s e r v i c e s l i s t

6 ) R o o m   s t a t u s   r e p o r t

7 )House -Keep ing d i s c r epancy i n room r ack  

8 ) C o m p l i m e n t a r y r o o m l i s t

9 ) B i l l s o n h o t e l   L i s t

10)Currency exchange register 

Stationery Used at Front Desk:-

R e g i s t r a t i o n C a r d

R e s e r v a t i o n F o r m

K e y T r a y

L a s t a n d   f o u n d   s l i p

S c a n t y   b a g g a g e   f o r m

V. I .P amen i t i e s vouche r s

K e y   c a r d

‘ C ’   f o r m

FIT Tariff:- (in US $ )

ROOM TYPE USD(SGL/DBL) STANDARD $185/ $210

EXECUTIVE $250/$280

BUSINESS SUITE $300

GROUP Tariff On application

OFF SEASON PERIOD May To September

OFF SEASON DISCOUNT 30 TO 40 %

BANQUET FACILITIES halls – 2

Maximum capacity in theatre style – 1000

RESTAURANT – 3 BAR- 1 CUISINE- MULTIPLE - CUISNE

ANALYSIS AND INTERPRETATION

OF DATA

1. How many Welfare Facilities are being availed on routine on routine basis?

As we can clearly see from the pie-chart that the Welfare Facilities availed by the

majority of the respondents was between 5 To 10. Some of the major welfare facilities

availed was Nutritious food, safe drinking water etc.

2. Special WELFARE FACILITIES being availed by the employees.

In this depiction as well it is clearly visible that respondents are sure-shot availing of special welfare facilities as well comprising maternity leave for female employees, employer paid uniforms and laundering etc.

3. TIME TAKEN in SANCTIONING Routine welfare facility.

On an average if we see, the time taken for sanctioning the routine welfare facility is between 1 to 2 weeks as per the majority of respondents.

4. Satisfaction Level regarding the PROCEDURE for availing the ROUTINE WELFARE FACILITIES .

The Satisfaction level regarding the procedure for availing routine welfare facilities is majorly satisfied when compared with the highly and partly satisfied respondents.

5. Satisfaction Level regarding the PROCEDURE for availing the SPECIAL ROUTINE WELFARE FACILITIES .

In this depiction there has been a major turnaround in the satisfaction levels in availing the SPECIAL welfare facilities because the rate of non-satisfaction level has increased quite an extent.

6. Satisfaction Level due to WELFARE ACTIVITIES CONDUCTED by the Hotel India Avenue.

Majority of the respondents are highly-satisfied when it comes to the Welfare Activities conducted by the Hotel. 73 % are satisfied with these activities.

7. HRA Allowance provided by the hotel is SATISFACTORY or NOT?

There is not much distinction when it comes to satisfaction levels of respondents when asked about the HRA allowance being provided to them because just mere 7% is the lead of satisfaction level over non-satisfaction level.

8. The EDUCATIONAL ALLOWANCE provided by the hotel is satisfactory or not?

The education allowance provided by the hotel has fetched 56% satisfaction among respondents and that is in itself a commendable stuff.

9. Satisfaction Level with the working of MEDICAL COMMITTEE.

Majority of the employees are highly satisfied with the medical assistance provided by hotel India AVENUE to their employees.

10. Recreational Activities provided by the Hotel are satisfactory or not?

The RECREATIONAL FACILITIES provided by the hotel hasn’t earned the SATISFACTION TAG for a change and this is one of the things that need some change in its working.

11. Does WELFARE FACILITY by the HOTEL plays as a Motivational Factor?

It is very much evident from the diagram that welfare facility plays a major role in motivating the employees. It accounts for 80% respondents in favor of this argument

12. Is there any importance of UNION for the safeguard of employees’ interests?

As expected, the need for unions is a big YES to safeguard their interests and there is nothing wrong with it.

CONCLUSION

As the study of the need and concern model and its further analysis

indicate the model and its further analysis indicate the concern which

was dominating in all the needs was the increase in wages so the

management should think to increase wages prior to the increase in

inflation.

All the employees are satisfied with the welfare facilities provided in

the hotel.

The hotel is quickly catching up with same star hotels with its efficient

working.

The hotel has shown its mettle over the past 1 year because of clear

customer as well as employees cognizance perspective.

RECOMMENDATON

Hotel was taking 1 to 2 week in providing the routine welfare

facilities but the special welfare facilities were time consuming

and were bound with the lengthy procedure .Hence

management should make it smoother in sanctioning these

facilities.

Recreation facilities were confined to the entertainment in the

form of T.V. and Music . Management should consider some

other type of recreational activities as well for them like

Gyming or any other outdoor sports for their employees after

their shifts.

Hotel should provide the facility of co-operative stores or tie-up

with shops for providing products at cheaper prices.

.The ca ree r g rowth o f em ployees shou ld be p lanned on the long-term basis

The (candidates) not considered for promotion, should be informed about their weaknesses so that they can work on it.

A strong watch should be kept on the employees so that the

goodwill of the Hotel doesn’t get affected.

BIBLIOGRAPHY

www.hotelindiaavenue.in www.hrmguide.net www.managmentscience.org www.hr.com

ANNEXURE

1. Service on arrival and Check-in. Was it prompt and

courteous ?

a) Excellent

b) Good

c) Satisfactory

d) Below Standard

2. Your Room. Was it clean, comfortable and properly

supplied?

a) Excellent

b) Good

c) Satisfactory

d) Below Standard

3. Telephone Services. Were your messages handled efficiently?

a) Excellent

b) Good

c) Satisfactory

d) Below Standard

4. In-house services, laundry etc. Were your personal

possessions well looked after?

a) Excellent

b) Good

c) Satisfactory

d) Below Standard

5. Individual employees. How well did we respond to your

needs?

a) Excellent

b) Good

c) Satisfactory

d) Below Standard

6. Temperature, lightning, plumbing. Were you comfortable?

a) Excellent

b) Good

c) Satisfactory

d) Below Standard

7. Service at Check-out. Did it go smoothly?

a) Excellent

b) Good

c) Satisfactory

d) Below Standard

8. Hotel shuttlecabs.Was it on time? Did it run frequently

enough?

a) Excellent

b) Good

c) Satisfactory

d) Below Standard

9. If you return to this location, would you choose to stay with

us again?

a) Yes

b) No

If No, then please comment.

10. How did you make your reservations request?

a) Direct to hotel

b) Through a travel agent

c) Through an airline

d) Through your company

e) Through internet