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ORGANISATION STUDY ON

DIRECTORATE OF

TOURISM,THIRUVANANTHAPURAM

Submitted in partial fulfillment of the requirements for the award of the degree of Master of Business Administration (CSS) of

University of Kerala

Submitted by

MUHAMMED SAJID N

(1505022)

INSTITUTE OF MANAGEMENT IN KERALA

UNIVERSITY OF KERALA

THIRUVANANTHAPURAM , 695581

SEPTEMBER 2016

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INTRODUCTION TO ORGANISATION STUDY

Organization studies sometimes known as organizational science, encompass the

systematic study and careful application of knowledge about how people act within

organizations. Organizational studies sometimes is considered a sister field for, or

overarching designation that includes, the following disciplines: Industrial and

organizational psychology, organizational behavior, human resources and

management.

Whenever people interact in organization, many factors come in to play. Modern

organizational studies attempt to understand and model these factors. Like all

modernist social sciences, organizational studies seek to control, predict and explain.

There is some controversy over the ethics of controlling workers’ behavior, as well as

the manner in which workers are treated. As such organizational behavior has or OB

has at times been accused of being scientific tool of the powerful. Those accusations

are notwithstanding .OB plays a major role in organizational development, enhancing

organizational performance, as well as individual and group performance

/satisfaction/commitment. The organizational study is the systematic learning process

about an organization to understand the different roles of each member in the

organization. In organization study, the different roles, namely, interpersonal roles,

decisional roles, and informational roles of various members are evaluated and how it

affects the functioning of the organization. In this work Directorate of Tourism at

Thiruvananthapuram was selected for the organization study.

Directorate of Tourism is headed by the Director (IAS Cadre) and supported by two

Additional Directors , one Additional Director (General – IAS Cadre) and the other

Additional Director (Hospitality- Non –IAS Cadre).The Additional Director(General)

is assisting the director in all matters of the department and whereas the Additional

Director (Hospitality) looks after the hospitality wing only. There are three Joint

Directors in the department, one at the Directorate and the other two at the Regional

Offices Ernakulam and Kozhikode .The Joint Director at the directorate is looking

after the estate office duty. An administrative officer and financial officer from

Government Secretariat are looking after all administrative matters and financial

matters respectively. Planning section is headed by planning officer on deputation

basis. Maintenance of vehicles and providing vehicles to state ministers and and state

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guests are being monitored by an executive engineer from PWD (mechanical) on

deputation basis. There are three deputy directors at the Directorate .one for

maintaining guesthouses and bungalows of ministers and VIPs. The publicity wing is

headed by a Deputy Director and assisted by a tourist information officer accounts is

managed by a Deputy Director functioning as Drawing and Disbursing Officer.

Statistics ,Research and computer division is manned by the staff from the department

of economics and statistics and supervised by the research officer .The department has

offices in all districts of which six are headed by deputy directors and eight by tourist

information officers .There are fifteen Information offices within the state and four

outside the state .

SCOPE OF THE STUDY

This study was conducted in Directorate of Tourism .The study was conducted

inorder to understand the functioning of all the departments and the work culture of

the organisation and to apply the learned analysis like PESTLE&PORTER’S FIVE

FORCE and in order to find the strength and weaknesses of the respective

organisation.The theoretical scope of the study was aimed at covering the functional

department of the organisation.This particular organisation study can provide a wide

range of dimensions for the brand known as ‘KERALA TOURISM’. Directorate of

tourism contain certain functions including its subsidiaries.

Research material for future materials

The multiple facts behind the global super brand ‘Kerala Tourism’

OBJECTIVES OF THE STUDY

The study is aimed at comprehensively analyzing the organisation selected and

carefully examining for a thorough and accurate knowledge of it. The below

mentioned are the objectives of directorate of tourism.

1. To familiarize the organizational atmosphere as well as performance and to

understand the organizational structure and departmental functions.

2. To apply the studied analyses like SWOT,PESTLE, PORTER’S FIVE

FORCE ANALYSIS, etc…

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3. To understand how information is used in organization for decision making at

various levels.

4. To relate theory with practice.

5. To provide our suggestions and findings with regards to the study conducted

in the organisation.

METHODOLOGY OF THE STUDY

The complete organisation structure was sketched out based on the relative data

provided by the concerned officials in the research and development wing. The

research design is descriptive and analytical in nature which is used throughout the

study. The method used to conduct the study is qualitative form of analysis but

enough attention is given for carefull and complete observation of the organisation

and its function. The SWOT analysis was done inorder to know the current position of

the organisation in the world market . The statistical maps and surveys shows the

reaction of the tourist towards the marketing strategy adopted by the organisation.

DATA SOURCES

Primary data sources

Secondary data sources

Primary sources

Primary sources that we obtain during the study was through direct interviewing the

managers as well as employees. The personal interview was direct and was a mixture

of both structured and unstructured questions. The type of observation used was

structured, non participant and controlled one.

Secondary sources

Secondary data was collected from the journals, brochures, as well as websites, from

the old reports collected from the organisation library. The company details and data

have been personally gathered from the company profile, annual report, document and

other published booklets.

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LIMITATIONS OF THE STUDY

1. Most of the administrative, financial and operational reports provided were

outdated.

2. The method used provides qualitative data so lacks precision and no definite rules

were followed for data collection.

3. As the study was conducted during the festive season of Onam , the officials were

busy with the preparations.

4. Conclusions and inferences where drawn on the basis of report received from the

interviews since the department lacked in updating of statistics.

CHAPTERISATION

CHAPTER 1 INTRODUCTION

It gives an introduction to the organization study conducted in Directorate of

Tourism.It consists of objectives of the study,scope of the study, methodology and

limitations of the study.

CHAPTER 2 INDUSTRY PROFILE

Industry profile put light on the world , Indian and regional scenario of the tourism

industry.

CHAPTER 3 COMPANY PROFILE

Third chapter gives an idea about the strategies adopted, history of the department as

well as there product profile.

CHAPTER 4 ORGANISATION STRUCTURE

It gives a correct picture of the internal organization hierarchy as well as the

departmental.

CHAPTER 5 ANALYSIS

Three analysis are included in this chapter. Porter’s five force analysis, PESTLE

analysis and SWOT analysis respectively.

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CHAPTER 6 FINDINGS CONCLUSION AND SUGGESTIONS

It contains the major findings that was found during the study and a conclusion based

on that study and some suggestions to that.

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INDUSTRY PROFILE

GLOBAL SCENARIO

Travel and tourism is the largest service industry globally in terms of gross revenue

and foreign exchange earnings. It is also one of the largest employment generators in

the world. It has been a major social phenomenon and is driven by social, religious,

recreational, knowledge seeking and business interests and motivated by the human

urge for new experience, adventure, education, and entertainment. Tourism is both

cause and consequence of economic development. It has the potential to stimulate

other sectors in the economy owing to cross-synergistic benefits and its backward and

forward linkages. Travel and tourism is one of the fastest-growing industries and a

leader in many countries. It is expected to have generated around 9.4% of world GDP

and 8.2% of total employment in 2009. The contribution of the industry to the global

economy remains high despite a 4.38% decline in 2009. During the year, travel and

tourism investment too declined by more than 12%. International tourist arrivals rose

from 682 million in 2001 to 920 million in 2008. The global travel and tourism

industry experienced a downturn in 2009 due to the global economic and financial

meltdown. The industry was affected by low business volumes and consumer

confidence, given the uncertainty about factors such as availability of credit, exchange

rates, employment, and the H1N1 virus. Consequently, tourist arrivals fell 4%

worldwide in 2009. Nevertheless, tourist arrivals increased 2% in the last quarter of

2009, led by recovery in the Asia Pacific and the Middle East.

INDIAN SCENARIO

India has the potential to become the number one tourist destination in the world with

the demand growing at 10.1 per cent per annum, the World Travel and Tourism

Council (WTTC) has predicted. The WTO (World Travel Organisation) predicts that

India will receive 25 million tourists by year 2015.Major attractions in India are the

world's highest mountains, miles of coastline with excellent beaches, tropical forests

and wildlife, desert safari, lagoon backwaters, ancient monuments, forts and palaces,

adventure tourism and, of course, the Taj Mahal.India currently has over 200,000

hotel rooms spread across hotel categories and guesthouses and is still facing a

shortfall of over 100,000 rooms (source: FHRAI).The country is witnessing an

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unprecedented growth in hotel constructions and will be adding almost 114,000 hotel

guest rooms to its inventory over the next five years. (source: HVS)The earlier

setbacks in global tourism have strengthened the Department of Tourism's resolve to

promote India's tourism through aggressive marketing strategies through its campaign

'Incredible India'.The 'marketing mantra' for the Department of Tourism is to position

India as a global brand to take advantage of the burgeoning global travel and trade

and the vast untapped potential of India as a destination.

REGIONAL SCENARIO

The developments and initiatives that take place in the tourism scenario of Kerala are

the reflections of the policies framed and implemented on a periodic basis. It is this

prudence on the part of Kerala Tourism that has kept the tourism industry to move

ahead with a sense of direction and purpose. Latest in the series is the tourism policy

that brought out in 2012. If one is to take an overview of the global scenario, we can

see several countries that immensely benefit from tourism. And there are others who

are either fine tuning their prospects or taking their infantsteps in attracting travellers.

In Kerala, we are aware of these global trends and have always taken timely measures

to match up with them.In the backdrop of our current situation in tourism and looking

at things ahead, the Tourism Policy 2012 envisages the need to promote Ayurveda,

backwaters, adventure tourism, eco-tourism, MICE and medical tourism as special

tourism products. This will be so by incorporating the principles of Responsible

Tourism.Apart from the above, the new tourism policy also includes: A new

campaign on 'Kerala Waste- Free 5 Destination' and a task force to manage it; 10

thematic museums in ten years to showcase the cultural heritage of Kerala; formation

of State Tourism Advisory Committee and information centres at major tourist

destinations with information kiosks and trained staff to cater to the needs of

visitors.Other highlights of the policy are an Apex Committee on Tourism, which will

be constituted with the Chief Minister as Chairman, Minister for Tourism as Vice-

Chairman and other ministers as members to monitor the implementation of

infrastructure plans in tourism. Investments above Rs 100 million will go through

fast-track clearance. The policy also envisages developing Kerala as an all-season

destination. It also states the need to focus equally on domestic and international

markets. A Responsible Tourism Task Force will come up at the State level. One of

the aims of the task force is to make sure that tourism activities in Kerala are based on

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experiences that are mutually benefiting to stakeholders as well as members of the

local community.Also part of the new tourism policy is the scheme for new investors

in tour operations, homestays, serviced villas and Ayurveda centres to participate in

international and national tourism promotional events for the first three years. Hop-on

Hop-off services will also be introduced in Thiruvananthapuram, Alappuzha, Fort

Kochi, Kochi backwaters and Munnar.The 2012 Tourism Policy targets an annual

growth rate of 15 percent in foreign tourist arrivals and expects 3 million tourists by

2021. On the domestic front, the policy is looking forward to achieve an annual

growth rate of 7 percent for the next decade, a target of 18 million domestic tourists

for 2021.

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DIRECTORATE OF TOURISM: HISTORY

Government of Kerala trended to ignore its tourism potential completely until late

1980s , despite the strong marketing efforts done by leading private tour agencies.

This even forced WTTC , often referring Kerala as a late-comer to the tourism sector.

The potential of tourism was first identified during last days of Travancore Monarchy.

It was 1st Prince Col.Goda Varma Raja (Husband of H.H. Queen of Travancore,

Karthika Thirunal), while spending his honeymoon at Kovalam’s Halcyon Castle,

discovered the immense possibility of exploring the kingdom,s tourism opportunities.

As 1st prince, he was in-charge of receiving state guests and often several visiting

dignitaries used to praise the natural beauty, which made him realize to seriously

concentrate in developing the industry.

However his idea received a cold response at Royal Court, forcing him to start his

own venture to popularize key tourist destinations. The attitude of ignoring tourism

continued even after Independence, leaving the sector purely driven by few private

ventures and hotel chains. During the 1960,s Kovalam soon rose into international

fame, as one of the major center of hippie culture in India, which started massive

influx of foreign tourists, bringing large amount of much needed foreign exchange. It

was at this point Kerala Government, slowly started realizing the im portance of

tourism. Hailed as one of the first policy that underlines the importance of Public-

Private Partnership, the policy helped Kerala to fuel its strong growth in Tourism

sector.

ABOUT THE DEPARTMENT

Unlike other departments, Tourism Department is considered as independent

department and a field agency. It has its headquarters located at PARK VIEW

BUNGALOW, in Thiruvananthapuram. The Department is headed by a Minister,

supported by a Senior Secretary. In addition, the department consists of a Director and

two additional Directors. There is a council consisting of key tourist players and

government officials, which advises the government. The current Tourism Minister is

A.P. Anil Kumar.

A quarter of a century has passed since tourism was recognized as an industry.

However, an effort to take Kerala to the global as an excellent brand of tourism has

not been fully realized. It is from this view point that government gave first priority

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for drafting a tourism policy that gives direction to the State’s tourism development.

The draft policy for this has been already published.

B-Committee has been formed with the Chief Minister as the Chairman and the other

ministers related with it as members. This will help implement the projects on time. It

has also been decided to form Destination Management Councils with the co-

operation of those residing in and around the tourist centers. The formation of the

Tourism Board will help in spending up the developmental activities that suit the

needs of the time.Funds amounting to Rs180 crores (including central funds) were

allotted and plans were made to utilize 95% of the said funds within scheduled period

of time. Even when tourism is recognized as the most suitable periods of time. Even

when tourism is recognized as the most suitable sector for development, obstacles

come in the way as a result of the non –availability of land and the legal objections to

implement plans of construction in the forest and coastal areas. It is only with the co-

operation of other departments that tourism projects can be worked out within the

stipulated time. To deal this situation, a Cabinet Suit act as members.

OBJECTIVES OF THE DEPARTMENT

The key objectives of Kerala Tourism are five critical and strategic points;

• Policy:

Supporting a transparent and inclusive policy process, promoting fair and open

competition, strengthening institutional capacity to implement andenforce

policies,drawing international support to augment expertise in developing Kerala

Tourism.

• Product development:

Leveraging core strengths, creating new products, building USP, focussing on

sustainable development to offer products of international quality, creating enabling

investment environment, stimulating demand, promoting partnerships to ensure the

flow of funds into the tourism sector. Kerala Tourism Department has developed

more than 14 different products.

Marketing:

Building a brand, emphasising quality assurances, providing demand driven

information, competing at a global level, collaborating on international and regional

platforms to create a highly visibly platform for the state.

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Infrastructure:

Focusing on the core and linkage infrastructure and investing in strategically

focussed capacity to support development priorities.

Tourism Services:

Building a critical mass of tourism workers, increasing technicalskills, strengthening

community entrepreneurial skills, augmenting managerial capacity to build a service

sector sensitive to tourists and tourism.

FUNCTIONS OF DEPARTMENT OF TOURISM

The departments of tourism’s three major functions are such as

• Hospitality wing

• Estate office duty.

• Tourism development

Hospitality Wing

The Department provides accommodation and transport to the State Guests including

VVIP,s and VIPs. It maintains 24 Guest Houses at Kovalam, Thiruvananthapuram,

Ponmudi, Attingal, Varkala, Kollam , Kottayam, Ernakulam, Aluva, Devikulam,

Munnar, Peermade, Cheruthuruthy, Idukki, Thrissur, Guruvayoor, Malampuzha ,

Malappuram, Kozhikode, Sulthan Bathery, Kannur, Kasargod, Yathri Nivas at

Thiruvananthapuram and Ernakulam and Kerala House at Kanyakumari and New

Delhi.

All reservations to these establishments are made through GAD (Political) Govt and

Secretariat, TVM. The Tourism Department has a fleet of luxury cars of various

models and brands to provide transport to the Ministers as well as guests.

Estate Office Duty

It is the responsibility of the Tourism Department to provide furnished Residential

Bunglows to the Ministers, Leader of Opposition , Chief Whip, Speaker etc. The

transport facility is also provided to the above by the Tourism Department.

Tourism Development

A shift in the emphasis from Hospitality Management to tourism planning

development and marketing was major charge in the department witness in the 1980.

The Budget pattern under went a sea change by the 1990 STO provide more Tourism

development.

The activities under this head can be broadly classified in to

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• Planning and Development

• Marketing and Promotion

• Support to other Agencies

As part of Tourism Development, new destinations are being identified and various

schemes are being implemented to develop them as important tourist spots in the

State. Department is providing assistance to DTPCs in all the districts.

Private sector investments need , encouragement from the Govt. Accordingly

Tourism was declared as an industry way back in 1986 and certain incentives were

offered for investment in this sector.

Functions of Tourist Offices

Attending to personal and postal enquiries of Indian and foreign tourists.

Collecting and compiling of detailed up to date information for

disseminations to tourists.

Preparation of cyclostyled handouts containing information on places of

tourist interest.

Assistance in expenditions clearence of travels formalities of tourist

arriving by air and sea.

Issue of liquor permits, tourist introduction cards, railway forms etc.

Making various arrangement for departmental guests.

Rendering non financial assistance to important tourist groups, individual

tourists, travel writers, journalists etc.

Publicity and tourist promotion by contributing articles to press and travel

magazines, film shows.

Taking up problems of various section of the travel trade in order to ensure

that tourists face no difficulty what over. This involves liaison with various

central and state govt departments.

Enquiries in to the complaints against shopkeepers, taxi drivers ...etc and

getting them refund where ever necessary.

Liaison with archeological department, state government tourists

department and other local bodies for the main tendency and improvement

of tourist facilities.

Arranging regular film shows at airports for a large number of tourists.

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Distribution of tourist literatures to travel agencies, hotel counters etc and

also publishing tourists centered through display of posters at local points

etc.

Inspection of hotel from time to time screening shops, “Shikar” agencies

travel agencies and can operators for approval and generally supervising

the servile of all branches of the travel trade.

Allotting guides on rotation basis for tourists and travel agencies,

supervision of the quality services rendered by guides.

Effective marketing and promotional measures are essential to attract tourists and to

highlight Kerala as a distinct destination. For this, various measures such as media

advertisement, printing and distribution of multi-colour brochures, hospitality to

travel writer etc are being adopted.

As part of Tourism Development, new destinations are being identified and various

schemes are being implemented to develop them as important tourist spots in the

State. Department is providing assistance to DTPCs in all the districts.Private sector

investments need , encouragement from the Govt. Accordingly Tourism was declared

as an industry way back in 1986 and certain incentives were offered for investment in

this sector. .

VARIETY OF NEW PRODUCTS INITIATED

Dept of Tourism has sanctioned variety of projects related tourism through out the

State during the last months. Following are the major ones among this.

Development of various tourist centres in Alappuzha District.

Wayside Amenity Centre at Nilambur in Malappuram District.

Gateway-terminal at Ashtamudi Backwaters , Tourist Facilitation Centre at

Aranmula.

Overall development of Thazhathangadi, Meenachil river areas in Kottayam

District

Development of Kslimsli in Idukki

Development of Sreenarayanapuram waterfalls in Idukki district into tourist

spot.

Kuyili tourism project at Painavu in Idukki.

Renovation of Beach aquarium at Kozhikode.

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Paaramparya art gallery at Kollam

Second phase development of Jadayupara.

Others are ;

Construction of Musical fountain at Akkulam.

Adventure tourism at Kovalam and Poovar

Improvement of Waterway from Akkulam to Veli

Improvement of road to Edakkal cave side- protection works.

Pay & Use toilet and Cloak room at Kovalam.

Construction of Public Pay & Use toilet in various tourist centres at Kottayam

Kovalam Tourist Destination – A detailed study

Integrated development of Tourism

Widening of road from Kovalam to ITDC Junction

Development works at Veli and landscaping & connected works at Pizhikkara

Pay & Use toilets at Adoor and Malayalappuzha

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FUNCTIONAL DEPARTMENTS OF TOURISM DEPARTMENT

OF KERALA

• MARKETING DEPARTMENT

• ACCOUNTING SECTION

• RESEARCH AND DEVELOPMENT / STATISTICS

• PLANNING DEPARTMENT

• INSPECTION DEPARTMENT

• ADMINISTRATION DEPARTMENT

• ENGINEERING DEPARTMENT

• HOSPITALITY SECTION

• RBS

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MARKETING DEPARTMENT

The market place is always dynamic in nature. It is always throw out fresh

challenges and companies have to respond to the challenges. An efficient marketing

department would determine the success of the organization.

MARKETING DEPARTMENT STRUCTURE

DIRECTOR

ADDITIONAL DIRECTOR GENERAL (ADG)

DEPUTY DIRECTOR

TOURIST INFORMATION OFFICERS

SENIOR CLERKS

LOWER LEVEL CLERKS

OBJECTIVES OF MARKETING DEPARTMENT

In tourism department of Kerala the marketing department helps to build

brands, emphasizing quality assurances.

Providing demand – driven information

Competing at global level

Collaborating on international and regional platform to create a highly visible

platform for the state.

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ACCOUNTING SECTION STRUCTURE

SENIOR FINANCE OFFICER

DEPUTY DIRECTOR

C&A 1 C&A 2 C&A3 C&A4 C&A 5

C & A1 Preparing of non-plan bills , electricity, water and light usage bills by

the Department.

C & A2 Preparing bills of visit arrangement, TA, DA, Medical claim billing,

contractual staffs payment bill at information centres and banglaws.

C & A3 Payment of salary to all employees

C & A4 Calculation and preparation of allowances, PF etc.

FUNCTIONS

Preparation and maintenance of accounts

Credit sales

Payment of sales taxes/ luxury sales, service tax and expenditure tax.

Maintaining payroll

Payment to casual labourers or trainees

Contractual payments.

Payment of goods

Preparation of pension

Preparation of allowance fund for employe

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RESEARCH AND DEVELOPMENT/ STATISTICS SECTION

The research and development is a specific group of activities within a

business. The activities that are classified as R&D differ from company to company,

but there are two models.

In one model, the primary function of R&D is to develop new products; in the

othermodel R&D group is to discover and create knowledge about scientific and

technological topics for the purpose of uncovering and enabling development of

valuable new products. A well developed R&D Department would ensure the

competitiveness of the organization.

DIRECTOR

RESEARCH OFFICER

STATISTICAL ASSISTANT 1

STATISTICAL ASSISTANT 2

FUNCTIONS

• Conducting research oriented studies

• Overall development of tourism through research and new innovations.

• Conducting tourism based surveys.

• Conducting study about tourism inflow and outflow, country based analysis,

district based , destination based etc.

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PLANNING SECTION

To look after the planning and implementation of infrastructure projects

relating to touristic importance undertaken by the Department. One Statistical

Assistant is deputed from the Planning, Statistics & Evaluation Department under this

Section to look after all the statistical as well as plan matters relating to the

Department. Similarly one Surveyor has been deputed from DSLR, under this section

to look after the re-survey/ re-demarcation of the landed properties of this

Department. He also performs duties in Revenue Section.

FUNCTIONS

Business Classification:

Classification of Restaurants

Classification of Hotels

Classification of Houseboats.

Classification of Ayurveda Centres

Classification of Home stays

Approval of Serviced Villas

Incentives & Subsidies

Eligible Electricity & Investment Subsidy Units – 2010

Vazhiyoram Project

Grihasthali – Guidelines

Guidelines for sanctioning and distributing subsidies to Tourism related

projects.

Guidelines for approval for amusement park, recreation centre or handicrafts

emporium.

Subsidy of electricity tariff for specified tourism projects.

Farm Tourism

Planning of various tours & projects all over the state as well as the nation for

promoting tourism.

Infrastructure development: focusing on the core and linkage infrastructure

and investing in strategically focused capacity to support development

priorities.

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Some properties will be developed for creating tourist infrastructure by

spending State/Central Funds.

Various tourist destination development and other facilities related to tourism

such as transportation facility, light, water facility etc.

Certification of Places

Certifications of tourist resources like “ Gold Star” and “ Silver Star” Certifications

for Houseboats, “Green Palm” Certifications for Eco-friendly measures, “Green Leaf”

Certifications for Ayurveda Centers, “STEP” Certification for Safe-To-Eat Places

Certification creates benchmarks for tourist spots and gives tourists an idea about

tourism credibility in terms of food, safety and services

ADMINISTRATION SECTION

Effective administration plays important role in the healthy functioning of an

organization. The general function of administration department is to provide support

for daily executive duties. The department plays a major role of an adviser and

assister to other departments of the organization. The administration department is

responsible for supervising the work done by the staff of the organization.

ADMINISTRATION SECTION STRUCTURE

DIRECTOR

SENIOR ADMINISTRATIVE OFFICER

SENIOR SUPERINTENDENT

E1 E2 E3 E4 E5

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E1 - Transfer/ posting of employees,

E2 - service book maintaining/ increment and all related works

E3 – disciplinary proceedings and other miscellaneous works

E4 – transfer & posting of last grade employees etc

E5 – pension, sanction of GPI & NRI etc.

FUNCTIONS

• All personal and administration matters of the employees of the organization.

• All transfers, posting of managers, unit heads and other employees.

• Sanction of leave, disciplinary proceedings, legal advice, pay revision,

gratuity, interpolations, selection and training of employees, engagement of

contract/casual workers, arrangement of security personnel, manpower

planning, training and development, performance appraisal, printing &

stationary, carrier and speed post etc are also handed.

Employees are recruited through KPSC, deputation of departments, direct

recruitment, contract or regular basis and employment exchange. The welfare means

provided by the organization are EPF, ESI Medical reimbursement, Labour Welfare

Fund, Co-operative society and General Insurance.

ENGINEERING SECTION

Maintenance of vehicles and providing vehicles to State Ministers and State

Guests are being monitored by an Executive Engineer from PWD (Mechanical) on

deputation basis. There are 3 Deputy Directors at the Directorate. One Deputy

Director is looking after the maintenance of Guest Houses and Residential Bungalows

of Minister’s and VIPs.

The Tourism Department has a fleet of cars of various models and brands to

provide transport to the guests as well as the Ministers, Speaker, Leader of Opposition

etc.

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EXECUTIVE ENGINEER (MECHANICAL)

HEAD CLERK

INFORMATION ASSISTANT

HEAD SHAUFFEUR

RBS (RESIDENTIAL BUNGALOW SECTION) & HOSPITALITY

WING

It is the responsibility of the Department of Tourism to provide furnished Residential

Bungalows to the Ministers, Leader of Opposition, Chief Whip, Speaker etc. It

maintains 24 Guest Houses at Kovalam, Thiruvananthapuram, Ponmudi, Attingal,

Varkala, Kollam , Kottayam, Ernakulam, Aluva, Devikulam, Munnar, Peermade,

Cheruthuruthy, Idukki, Thrissur, Guruvayoor, Malampuzha , Malappuram,

Kozhikode, Sulthan Bathery, Kannur, Kasargod, Yathri Nivas at Thiruvananthapuram

and Ernakulam and Kerala House at Kanyakumari and New Delhi.

All reservations to these establishments are made through GAD (Political) Govt and

Secretariat, TVM. The Tourism Department has a fleet of luxury cars of various

models and brands to provide transport to the Ministers as well as guests.

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RBS

ADDITIONAL DIRECTOR

DEPUTY SUPERINTENDENT

CLERKS

HOSPITALITY

ADDITIONAL DIRECTOR

SENIOR SUPERINTENDENT

DEPUTY DIRECTOR

CLERK 1 CLERK 2 CLERK 3 CLERK 4

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INSPECTION AND BUDGET SECTION

FINANCE OFFICER

(DEPUTATION FROM SECRETARIAT

INSPECTION OFFICER

I & B1 I & B2 I & B3 I & B4

• Functions of I&B1 and I&B2 are inspecting various guest houses, district

offices .

• Inspection is classified into internal and external. That is out of state, it is

external and within the State, it is internal.

• On the basis of this, inspections are held.

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SWOT ANALYSIS

The SWOT analysis helps organizations assess issues within and outside the

organization. The SWOT analysis, made up of an assessment of strengths,

weaknesses, external opportunities and threats from competition, provides an outline

for strategic decision-making.

PURPOSE

Small businesses, large corporations and individuals can utilize the SWOT analysis

process for evaluation. By adding a SWOT analysis in their business plans, small

businesses can better clarify their short- and long-range strategies. The SWOT

analysis, often found in marketing plans, becomes a useful tool for planning and

competitive analysis. Organizations often provide a SWOT analysis in a chart format

with each segment represented in a different quadrant.

STRENGTHTS

The strengths segment of a SWOT analysis provides an area to list everything done

right either individually or as an organization. This section contains both strengths

within the organization and external strengths, such as client relationships.

Organizations should seek to reflect their strengths honestly to maintain the integrity

of the SWOT analysis. Feedback from others can also provide clarification on

strengths captured in this segment of the SWOT analysis.

WEAKNESS

The weaknesses segment contains needed improvements within an organization or

personally. Group sessions can help organizations identify weak areas. Analysis in

this segment can provide a clear list of areas that need a development plan to remedy

the issues identified. Tools such as action plans and goal formation provide ways to

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improve weaknesses. From a competitive standpoint, organizations should attempt to

mitigate weaknesses as soon as possible since they can offer an undesired opportunity

to their competitors.

OPPORTUNITIES

Opportunities for improvement exist within all organizations. This makes the

opportunities segment of the SWOT analysis important. Within this segment,

organizations identify internal and external opportunities. To have a comprehensive

list, organizations sometimes use group facilitation to identify these opportunities.

Organizations can add both current and future opportunities to this segment of the

quadrant.

THREATS

By examining threats, such as new competitors in the market, organizations can

implement counter measures prior to the threat occurring. To ensure success,

organizations may need to deal with both future and present threats. For individuals

creating a SWOT analysis for personal development purposes, an example of a threat

such as job security problems, would reside in this section of the SWOT analysis.

SWOT ANALYSIS ON DIRECTORATE OF TOURISM

SWOT analysis on Directorate of Tourism can reveal its strengths,weaknesses,

opportunities and threats. This process helps us to know and clarifies the exact

position of Directorate of Tourism in Kerala.

STRENGTHS

The catchy slogans for the campaign has gained immense popularity.

The campaign programs has won several awards including the Das

Golden Stratton Award for Best Commercial, Pacific Asia Travel

Association Award, Best Tourism Film Award .

The campaign has been able to achieve good media coverage.

Recently the campaign has also been involved in digital marketing.

WEAKNESSES

The campaign is not very popular outside India & hence limited

International tourists

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The campaign excessively relies on its tagline for its appeal and

despite good advertising has limited brand recall

Lack of awareness regarding tourism destinations in north Kerala

among International Tourists.

Distance of destinations in North Kerala from current tourism hubs

around Kochi and Trivandrum Limited connectivity between

Kozhikode airport and airports in Europe and the US. Most of the

International flight connections operate to airports in the Arabian

Peninsula.

Poor developments in interior parts of kerala where there is a large

scope for further growth and tourist attraction.

OPPORTUNITIES

With domestic tourism flourishing in India, the campaign has a larger

pool of potential audience.

Potential for development of established beaches such as Kappad ,

(with its historical association with Vasco Da Gama), Kozhikode,

Beypore, Payyambalam ,Kappil by improvement in basic amenities

Development of water sports in appropriate locations near the beaches.

Development of the Sarovarams.

Kerala is naturally endowed to be a popular tourist destination, which

the campaign can leverage upon.

Development in medical tourism for example clubbing our own

heritage ayurveda with tourism will automatically attract far more

number of tourists.

THREATS

Need to manage the increase in tourists visiting the beaches around the

urban

The campaign faces the threat of its shelf life expiring

Other states are coming up with strong campaigns with strong brand

ambassadors.

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Availability of adequate tourism manpower is a critical concern

expressed by private players operating away from main urban areas

(in destinations such as Bekal).

PORTERS FIVE FORCE’S ANALYSIS

Porters five force is used for the analysis of the competitive environment of

an industry.

This model is successful because it enables us to :

Understand the industry and the nature of relations between the various

participants in the market in which the company operates.

It helps to identify the performance and influence factors of the sectors.

Evaluate how changes within an industry can affect its profitability.

Since an industry like tourism evolve in a competitive environment, differentiation

has become paramount and sometimes vital. In addition to being constantly careful

not to lose the current market position directorate of tourism has already acquired for

a strategic business unit (SBU), the organisation continually reaffirm its difference to

maintain and create its own competitive advantage.Developed in 1979 by Michael E

Porter a business strategy professor at Harvard ,the five forces model allows business

executives to an anticipate trends within an industry and changes in competition in

order to influence it by making strategic choices that will enable them to obtain or

maintain a competitive advantage .The five force model is an essential tool for

understanding the competitive structure of an industry .This simple analytical tool is

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effective for identifying the competitors in the broad sense of a company ,but also for

understanding how they can reduce its ability to generate profit .

PORTERS FIVE FORCE ANALYSIS IN TOURISM INDUSTRY

INDUSTRY RIVALRY: Highly fragmented industry with intense rivalry

Highly fragmented Industry

Organized players would barely have 15-20% of the market place

Most of the Organized players are present in metros and mini metros

Large disposable incomes in towns like lucknow ,jaipur,Coimbatore

etc serviced by family run unorgnanized players

Industry rivalry is intense but cut throat

Rivalry intense because of low switching cost,low levels of product

differentiation ,pershability of products diversity of rivals.

Rivalry is not cut throat since exit barriers are not high ,fixed costs are

not high ,market growth is good.

THREAT OF SUBSTITUTES: low threat substitutes, as travel move up the list

of household priorities

Lot of possible substitutes ,threat of substitution low

India is witnessing a growth of discretionary spend as % of income

From 30% in 2005 to around 70 %by 2025 .Travel,being a discretionary

spend poised to gain.

Travel has moved up the list of household spending priorities

Unlikely to be substituted by a durable purchase or investments

Education and recreation will occupy 9% share of wallet in 2025 as

compared to 5% now.

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BUYER POWER: While buyers are fragmented their diminishing brand loyalty

and ability to switch (for most products) gives them reasonable buying power

Buyers are fragmented

Diverse retail buyers and corporate buyer profiles

Switiching cost for buyers is not high as brand loyality is low/diminishing

Credible threat of backward integration

Buyer can directly buy from suppliers (hotels, airlines etc)

Luxury segment is brand conscious to and willing to pay a premium for great

experience and service quality.

SUPPLIER POWER: Supplier usually sell commodity products .concentration

and ability to sell direct gives power to suppliers like airlines. Other suppliers

are fragmented

Forward integration by suppliers like airlines selling direct

Attempts by suppliers to sell packages and complex itineraries not very

successful

While suppliers concentrated in some areas like domestic airlines, there is

widespread fragmentation in hotels tour operators car rentals etc.

There is no significant cost to switch suppliers and product like airlines, car

etc are fairly commoditized

Travel agency cannot typically buyout suppliers like airlines.

BARRIERS TO ENTRY AND EXIT: While entry and exit barriers are low,

difficult to build scale because of lack of ready distribution channels

Government regulation of direct FDI in retail restricts entry of foreign retailers

There are low levels of proprietary travel knowledge and asset specificity.

This makes it relatively easier for new players to enter industry and does not

provoke every aggressive rivalry from exsisting players.

Low minimum efficient level allow entry of small start ups, however

significant scale is necessary to negotiate profitable deals

Due to fragmented market ,travel agencies do not have access to ready

distribution channels

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Online channel is growing at a rapid rate but is primarily selling air and rail

PESTLE ANALYSIS

Originally known as PEST Analysis, this is a macro environmental framework used to

understand the impact of the external factors on the organization and is used as

strategic analytical technique. PEST stands for "Political, Economic, Social, and

Technological” factors.

Francis Aguilar is referred to as the originator of this tool. He talked about ETPS –

Economic, Technological, Political, and Social– as the four important factors for

Scanning the Business Environment. Later Legal and Environmental factors were also

added by some analysts and thus evolved the term PESTLE Analysis.

Let us examine these factor in a bit more detail.

Political Factors affects the organizations in terms of government regulations and

legal issues and define both formal and informal rules under which the firm must

operate. Examples are:

Political stability

Tax policy

Employment and labor law

Environmental regulations

Trade restrictions

Tariffs

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Economic factors affect the business operations and decision making of the

organization.For example the predicted recession is preventing the organizations

from increasing the workforce . Other examples are:

Economic growth

Interest rates

Inflation rate

Social factors refer to the cultural and demographic aspects of the environment. For

example increase in the health consciousness may affect the demand of the company’s

product. Other factor includes:

Age distribution

Population growth rate

Emphasis on safety

Career attitudes

Technological factors affect the cost and quality of the outputs. These also determine

the barriers to entry and minimum efficient production level. Factors include:

Automation

Technology incentives

Rate of technological change

R&D activity

Legal factors influence the company’s operation, its costs, and the demand for its

products. Factors include:

Consumer law

Antitrust law

Employment law

Discrimination law

Health and safety law

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Environmental factors refer to ecological and environmental aspects such as

weather, climate, and climate change. Climate change is a hot topic these days and

organizations are restructuring their operations thus giving space to innovation.

USE

PESTLE Analysis is used to examine the current and future state of the industry an

organization belongs to. This helps in the strategic planning and gaining the

competitive edge over the other firms in that industry. This analysis can not only be

used for an organization as a whole but various departments can also be inspected

under this framework. For example, it makes more sense for a company with

diversified product range to analyze its departments separately than the organization

as a whole.Importance of the factors varies depending on the nature of the industry

and company. For example environmental factors are more important to tourism

sector where as economic and plotical factors are more important for the Banking

sector.

PESTLE ANALYSIS OF TOURISM INDUSTRY IN KERALA

POLITICAL

Government is the backbone of the entire tourism industry and should support

the private players.

Government should charges high rate of taxes on the luxury and the star

category hotels.

A luxury tax of 10% followed by VAT and other service taxes of

approximately 10% (on food ,beverages,etc)makes hotel business in India very

costly.

As the political environment is not conducive ,Kashmir and north east have

suffered from tourism revenue despite of the high potential they possess.

Following godhra Riots,Gujarat experienced reduced tourists to the state.

After years government decided to privatize airports and now India can boast

of good airports like IGI ,Delhi and Rajiv Gandhi International at Hyderabad.

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ECONOMIC

Growth in income in most developing nations and more idle cash with citizens

of developed nations has increased tourism all over the world

There have been more people coming into the country with cash than ever

before

International tourists as well as domestic tourists have grown with time

India has witnessed an amazing rise in the number of people travelling by air

in the last decade

Luxury hotels have witnessed a spurt of tourists preferring to stay

SOCIAL

From the late 60s to the early 80s when the hippy culture was at its height,

Goa was a heaven for such hippies. This had a ripple effect on the country

People became cautious, especially of the international tourists.

However places like Kerala and Rajasthan have been able to strike a balance

between their own culture and demands of the international tourists and have

profited handsomely in the bargain.

People themselves have started travelling and are willing to travel to a place

that is out of the way and exotic.

Now places like Leh and Lakshwadeep are mentioned in the same breath as

Goa or Kashmir.

LEGAL

With respect to taxation the world travel and tourism council has observed that

“tax paid by tourists in India is the highest in the world .Indian hotels charge

about 40% tax compared to other Asian countries where it varies between

3%and 6%

Further there is considerable disparity between state level taxes ,especially on

food and beverages

Sales tax on imported beverages stsnds at 63% in Karnataka and 28% in West

Bengal

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Eco-tourism policies and guidelines and are being implemented on a voluntary

basis.

The national policy on Tourism lays emphasis on sustainable development of

tourism.

The wild life protection act 1972 the environment protection act 1986, and

prevention of cruelty to Animals Act 1986 are being implemented.

TECHNOLOGICAL

Although technology does not seem to be a major influence at first glance ,it

plays a major part in the promotion of a place

Travel companies have to now focus on search engine Optimization (SEO)

like never before to improve their visibility.

Reading ,researching about a place ,flight and hotel bookings maps reviews

designing itineraryis done completely online by visitors before travelling

SWOT ANALYSIS

STRENGTHS

India”s geographical location ,a culmination of deserts ,forests ,mountains,and

beaches.

Diversity of culture i.e a blend of various civilizations and their traditions.

Such diversity helps in selling niche areas of tourism like culture tourism ,food

tourism, herbal tourism, eco tourism,wildlife tourism and adventure tourism

A wealth of archaeological sites and historical monuments.

WEAKNESS

Lack of adequate infrastructure .The airlines in India ,for example ,are

inefficient and do not provide basic facilities at airports.the road condition in

India is very bad.India has one of the highest fatal road accidents in the world.

A xenophobic attitude among certain sections of people .

No proper marketing of india’s tourism abroad.

There are many places where the images of India is one of poverty

,superstition and diseases.

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OPPORTUNITIES

Allowing entry of more multinational companies into the country giving us a

global perspective.

Growth of domestic tourism .the advantage her is that domestic tourism and

international tourism can be segregated easily owing to the difference in the

period of holidays.

Selling niche areas of tourism owing to delivery of all sorts.

Improved conditions of roadways could attract more people

THREATS

Political turbulence or civil commotion taking place in neighbouring countries

that affect the image of entire South Asia

Aggressive strategies adopted by other countries like Australia ,Singapore and

Canada in promoting tourism.

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FINDINGS

1. Tourism generates direct employment, it’s indirect effect ensures inclusive

growth of the local community

2. From a service sector, tourism has emerged as a leading export industry like

the Gems and Jewellery Industry, Information Technology and Engineering

Products.

3. Priority is accorded by both Central and State governments to give a major

fillip to tourism sector.

4. A new thrust is being given for providing tourist infrastructure of international

standard and marketing of destinations.

5. Arrangements of services such as travel, accommodation and food with ease

and comfort help in attracting repeat visitors and providing effective publicity

by word of mouth.

6. Tourism in the past was regarded as a religious or leisure activity. Now, the

improved connectivity, quality roads and easy access to tourist attractions,

booking, etc. have made travel easier.

7. The rate of arrival of tourists in our state is increasing year after year.

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CONCLUSION

Tourism refreshes the mind, brings happiness, relaxation, enjoyment and gives new

experience etc. to the tourists.For the development of tourism kerala government has

developed many innovative progremmes under tourism departmentin thre year 2012-

13. The Kerala tourism website is widely visited, and had been the recipient of many

awards. Recently the tourism department has also engaged in advertising via mobiles,

by setting up a WAP portal, and distributing wallpapers and ringtones related to

Kerala Tourism.

Tourism ensures an all round growth through economic multiplier effect which

percolates to various stake-holding sectors like the airlines, railways, surface

transport, cruises, hotels, telecommunication etc. Apart from generating direct

employment, it’s indirect effect ensures inclusive growth of the local community.

From a service sector, tourism has emerged as a leading export industry like the Gems

and Jewellery Industry, Information Technology and Engineering Products.

Therefore, priority is accorded by both Central and State governments to give a major

fillip to tourism sector. A new thrust is being given for providing tourist infrastructure

of international standard and marketing of destinations. Arrangements of services

such as travel, accommodation and food with ease and comfort help in attracting

repeat visitors and providing effective publicity by word of mouth. Tourism in the

past was regarded as a religious or leisure activity. Now, the improved connectivity,

quality roads and easy access to tourist attractions, ebooking, etc. have made travel

easier. Monotony of work, stressful lifestyle, and 3 desire to explore new places have

necessitated travel and tourism. The free trade and open-sky aviation policies have

also contributed to tourism growth. The pace of growth in recent times has left the

infrastructural facilities and availability of human resources lagging behind, thereby

leaving a challenge to match the growth and have futuristic and perspective plans in

place. Kerala Tourism is noted for its innovative and market focussed ad campaigns.

These campaigns have won the department numerous awards, including the Das

Golden Stadttor Award for Best Commercial, 2006 and Best Tourism Film,

2001.Catchy slogans and innovative designs are considered a trademark of brand

Kerala Tourism Celebrity promotions are also used to attract more tourists to the

State.

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SUGGESTIONS

1. Improve customer service facilities; Most of the foreign customers are

unsatisfied with the hospitality and service of the tourism department. So the

departments have to closely listen and understand the customer’s needs and

act accordingly.

2. Make tourism Kerala’s core competency sector

3. Promote and market Kerala tourism products at the national and International

level, thereby making Kerala a premier global tourism destination.

4. Rationalise tourism related legislations and policies of the Government so that

it is tourism friendly and promotes tourism growth

5. Active network building: There must be an active network between the

regional national and international tourism sectors so that it enables effective

and efficient communicaton in this sector

6. Strengthen the existing tourism infrastructure in the State.

7. Conserve and preserve the art, culture and heritage of the State

8. Exploit the tremendous unexploited potential for the promotion of Tourism.

9. Take measures to improve the facilities and quality of products and service

provided by the tourism sector so that it will gradually increase the average

spending by foreign as well as domestic tourists per day

10. Generate employment and enhance productivity of tourism sector of the state

11. Promote local participation in the tourism sector

12. Revamp the tourism information cell and its activities

13. Create awareness and tourism consciousness among the people in general and

among the taxi drivers, policemen, conductors, porters, customs and

emigration officers and others with whom tourists interact in particular,

thereby removing prejudices and misconceptions and to make Kerala society a

tourism friendly society.

14. Preserve the rich cultural heritage of the state

15. Maintain a feedback register which includes the suggestions from the tourists

to improve the quality of the product and services of tourism sector

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BIBLIOGRAPHY

Books

Research and statistics department of tourism, (2006), Kerala Tourism

Statistics 2010,Thiruvananthapuram,c-apt printers (Page No.: 123-165)

Research and statistics department of tourism, (2010), Kerala Tourism

Statistics 2010,Thiruvananthapuram,c-apt printers (Page No.:13-27)

Research and statistics department of tourism, (2013), Kerala Tourism

Statistics 2013,Thiruvananthapuram,c-apt printers(Page No.:122-144)

Brochures & Reports

Brochures and handbooks of Department Of Tourism & KTDC

Annual report of Department of Tourism

Tourism vision 2025

Websites

www.keralatourism.org

www.tourism.gov.in

www.incredible india.org

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APPENDIX

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