FRONT OFFICE NOTES TOPIC -1
TOURISM INDUSTRY & ITS IMPORTANCE
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Tourism is one of the world’s fastest growing industries and a
major source of foreign exchange and employment generation for many countries. In early years of this century
tourism was not looked as industry but as a collection of business whose common
link was to provide service to travellers with increasing standard of living,
fast technological revolution. Presently, the sphere of tourism is a world
-wide phenomenon. It is regarded as a part of the globalization process. In
essence, globalization involves the exchange flow of economic and intellectual
items in terms of goods, knowledge, values and images, as well as people on a
global scale.
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The word ‘tour ‘is derived from
the Latin word tornus meaning a tool for making a circle. Tourism may be defined as the movement of people from their normal
place of residence to another place (with the intention to return) for a
minimum period of twenty-four hours to a maximum of six months for the sole
purpose of leisure and pleasure.
Tourism can be categorized as
international and domestic tourism
INTERNATIONAL
TOURISM
When people visit a foreign
country, it is referred to as international tourism
International tourist may be of
following type:
Inbound(When
tourist from other country come to destination)
Outbound(
tourist originated from country of residence and move to other country)
DOMESTIC
TOURISM
The tourism activity of people
within their own country is known as domestic tourism. Travelling within the
same country is easier because it does not require formal travel documents ad
tedious formalities like compulsory health checks and foreign exchange. In
domestic tourism, a traveller generally does not face much language problem or
currency exchange issues.
IMPORTANCE OF TOURISM
Tourism is the major revenue
earning enterprises in the world. They happen to be the top employers too. With
several business related activities associated with tourism, the industry has
tremendous potential of generating employment as well as earning foreign
exchange.
1.
Stimulation of Economic Growth: There are many countries in the
world whose economy is fully dependent on tourism. It greatly influences the
economy of the country. It contributes
significantly to a country’s gross domestic product (GDP). Tourists from the
developed countries bring valuable foreign exchange, which is essential to
developing countries like India to offset the balance of payments (BOP)
position.
2.
Maximization of
Foreign Exchange Earnings: The major economic benefit in promoting the tourism
industry is the, earning of foreign exchange. Foreign travellers must exchange
their currency into local currency for their spending purposes. This means that
initially the foreign exchange earnings of the host country increase by the
amount of tourism expenditure. It helps in generating foreign exchange without
exporting anything out of the country.
3.
Creation of
employment: Tourism has brought many
employment opportunities to people especially in the service related
industries, retail sector, catering and transport ones. The tourism industry is
a highly labor intensive service industry and hence is a valuable source of
direct and indirect employment to millions of people. In many developing
countries, where unemployment problems are very acute, the promotion of tourism
can be great encouragement to economic development and especially, employment.
4.
Development of
infrastructure: Development and improvement of infrastructure is another
important benefit. To become an important commercial or pleasure destination,
any location would require the entire necessary infrastructure. The
benefits from tourism infrastructure like airports, roads, water supply and
other public utilities may be widely shared by other sectors of the economy.
The
benefits from tourism infrastructure like airports, roads, water supply and
other public utilities may be widely shared by other sectors of the economy.
IMPACTS OF TOURISM INDUSTRY
The impact of tourism focuses on
the specific change that tourism and tourists have initiated in the community:
in particular explores the areas of work and property, power and conflict, social
identity and family and belief. It has a multitude of impacts, both positive
& negative, on people’s lives and on the environment.
1)
Economic Impact: One of tourism’s most salient influences is
on the economy of the host country. Many tourism texts open with statistics
proving the huge economic impact that tourism has in terms of cash flows,
employment, gross domestic product (GDP) and so on.
2)
Environmental Impact:
The most outstanding result of environmental influence of tourism is its impact
as the built environment. A large hotel
built overlooking good scenic beauty, beach. Shops have opened to service the
visitors: the majority of outlets are geared towards the tourism market. Roads
have been indented and built to enable easier access for coaches and berries.
Beyond the valley, tunnels have been blasted out of mountains to ease access
and an airport has been built in.
3)
Social impact:
Tourism is related to the social system in a country and has definite
impressions on the social system present in a society. With
the development of tourism many facilities are created to motivate people to
travel and get relived from the stress and burden of modern materialistic life.
By touring different countries people get acquainted with different social
customs and rituals; this shall create a strong bond of relationship with local
community and creates a sense of affinity among different nationals of the
world
4)
CULTURAL IMPACTS:
The concept of cultural tourism has gained prominence as people are interested
to know and get familiar with the life style, arts, music, customs and
festivals of different parts of the world. Tourism can have an in allowing
exchange of cultures in promoting greater awareness on both sides.
Negative impacts or limitation of cultural
tourism: Tourism as a unique and
powerful phenomenon has a tremendous capacity of changing culture. Tourism is
seen as having a strong influence on a culture, understood in the holistic
sense, with impacts spreading throughout the culture.
a) Threat is posed to
traditional social values and weakens the cultural values.
b) Exchange of culture
tourism is allowing exchange of culture but with this the original culture is
diluting day-by-day.
c) Cultural tourism
contributes to universal brotherhood and promotes international place. At the
same time may transform the local craft, folk art and festivals to suit the
demands of a tourist, which shall affect the originality.
HOSPITALITY AND ITS ORIGIN
Hospitality
can be termed as a deliberate, planned and sustained effort to establish and
maintain mutual understanding between an organization and the public. As per
the Oxford Dictionary Hospitality is defined as “Reception and entertainment of
guests, visitors, or strangers with liberality and goodwill”. The word
hospitality is derived from the latin word “Hospitalitias”
The term Hospitality industry describes a wide range of business
enterprises concerned with the transportation, feeding entertaining and housing
of the travelling public. Airlines, bus companies, cruise lines, car rental
agencies, amusement parks, tour operators, restaurants, bars, casinos, and
hotels are all part of this industry.
The concept of hospitality is extremely old; it is mentioned in
writings dating back to Ancient Greece, ancient Rome and Biblical Times.
& Two possible explanations of why ancient times people felt
required to be hospitable: they felt that hospitality to strangers was
necessary to their religious well-being and in others, they were hospitable
only because of their own superstitious fears.
Hospitality in ancient Greece is understandable that certain
elements of religion were intermingled with the idea. Missionaries, priests,
and pilgrims formed a very large part of the travelling public. Often they were
journeying to holy places, perhaps oracles or temples that had a dominant
position in their religion.
& In ancient Persia, travelling was done in large caravans,
which carried elaborate tents for use along the caravan routes. However, at
certain points on these routes, accommodations known as Khans were constructed.
These were simple structure consisting of four walls that provided protection
not only against natural elements but also against enemies who attacked under
cover of darkness.
& In the later years of the Roman Empire, taverns and inns
provided shelter for travelling merchants, actors, and scholars. Accommodations
were still primitive. Sometimes there were rooms for the people but no stables
for the horses; more often there were stables but no rooms.
& The high spot of that era in terms of hospitality was the
development by the Persians of post houses along the caravan routes. These developed later than the khans and
provided accommodations and nourishment for both soldiers and couriers.
& Marco Polo described the post houses known as yams as
apartments suitable for a king. They were located 25 miles apart, perhaps
equivalent of a day’s ride, and supplied fresh horses for the couriers carrying
messages throughout the land. By Marco Polo’s estimate, there were 10,000 such
posthouses in existence at the time of his journey to the far east.
Throughout the world hospitality houses were known by different
names :
Dharamshala and Sarai in India
Ryokans in Japan
Paradors in Spain
Pousadas in Portugal
Coffee houses in America
Taverns and Inns in Europe
Cabarets and Hostelries in France
Mansions and Hospitia in Switzerland
Phatnal in Greece
Relay Houses in China
HOTELS AND THEIR EVOLUTION AND GROWTH
The origin and growth of the hotel industry in the world can be
broadly studied under the following periods:
• Ancient Era
• Grand Tour
• Modern Era
Ancient Era
The earliest recorded evidence of the hospitality facilities in
Europe dates back to 500 BC. Ancient cities, such as Corinth in Greece, had a
substantial number of establishments that offered food and drink as well as
beds to travellers. The inns of the biblical era were of primitive type,
offering a cot or bench in the corner of a room and, at times, even a stable.
Travellers used to stay in a larger hall. Privacy and personal sanitation were
non-existent. In the third century AD, numerous lodging premises mushroomed
along the extensive network of brick paved roads throughout Europe and minor
Asia (part of Asia adjoining Europe). The lodging houses were known as
mansionis during that time.
These conditions prevailed for several hundred years, till the
Industrial Revolution in England led to the development of railways and
steamships, making travelling more efficient, comfortable, and faster. The
Industrial Revolution also bought about a shift in the focus of travel that
became more business-oriented than educational or social.
The lead in organized hotel keeping, as we see it today, was taken
by the emerging nations of Europe, especially Switzerland. The early
establishments were mainly patronized by the aristocracy, and took shape in chalets (small cottages) and small
hotels that provided a variety of services. Between 1750 and 1825, inns in
Britain gained the reputation of being the finest hospitality establishments.
Grand Tour
The second half of the eighteenth century, prior to the French
Revolution (1789-99), is referred as the ‘golden era of travel’ as the
popularity of the ‘Grand Tour’ gave a big push to the hotel industry. In those
days, a Grand Tour of the European continent constituted as indispensable
element of the education of scions of wealthy families in Britain. As this tour
often lasted several years, it was a good business opportunity for people in the
prominent cities of France, Italy, Germany, Austria, Switzerland, and Ireland
to establish lodging, transportation, and recreation facilities. Far-sighted
entrepreneurs, who smelt money in the exercise, developed the skills of
hospitality and pioneered the modern hotel industry.
Prominent among the hotels that emerged during this period were
Dolder Grand in Zurich, The Imperial in Vienna, the Vier Jahreszeiten in
Hamburg, and Des Bergues in Geneva. In 1841, a simple cabinet maker, Thomas
Cook, organized a rail tour from Leicester to Loughborough and immortalized
himself as the world’s first tour operator.
Modern Era
The improvisation in modes of transport made journeys safer,
easier, and faster, enabling economical as well as frequent mass movement. The
introduction of Funiculars (the ropeway) made high altitude mountains
accessible, leading to the growth of many hotels in the Alpine ranges.
Bürgenstock and Giessbach are among the hotels in Switzerland that owe their
existence to the development of the ropeways.
The two world wars, especially the second (1939-45), took their
toll on the hospitality industry. The massive destruction caused by the war and
the resulting economic depression proved to be a major setback for travel
business. The 1950s witnessed slow and steady growth of travel in the European
continent. The development of aircraft and commercial passenger flights across
the Atlantic stimulated travel across the globe, and in the process accelerated
the growth of the hotel industry.
But it is the American entrepreneurs who are credited with
literally changing the face of the hospitality industry with their innovations
and aggressive marketing. The inauguration of the City Hotel in New York in
1794 marked the beginning of the present-day hotel industry. It was a ‘giant’
building at that time, with 73 rooms, and it went on to become a favourite
meeting ground for socialites.
Prior to the establishment of the City Hotel, lodging facilities
in the American continent were patterned on European style taverns or inns. The
City Hotel, however, triggered a race of sorts among American hoteliers,
resulting in the construction of large hotels like the Exchange Coffee House in
Boston, the second City Hotel in Baltimore, Mansion House in Philadelphia, etc.
the opening of the Tremont House in Boston is another landmark in the evolution
of the hotel industry. Regarded as a forerunner of luxury hotels, the 170-room
hotel had many firsts to its credit. For example, it was the first to provide
locks, indoor plumbing, running water, and bathing facilities, besides
providing a bowl, pitcher, and free soaps in its rooms. It was also the first
to provide front office services like bell boys and a reception. It was also
the first hotel to serve French cuisine in the US.
Throughout the nineteenth century, the contest among hoteliers to
build better, larger, and most luxurious hotels continued. Several luxury
hotels, like the Grand Pacific, The Palmer House, and The Sherman House in
Chicago, as well as The Palace (with 800 rooms) in San Francisco were built.
The year 1908 saw the emergence of the first business hotel, the Statler Hotel
in Buffalo, New York. This magnificent 450-room multi-storey building was a
pioneer in many ways. Some of the innovations included an attached bathroom
with hot and cold water in each room, an electric lamp on the desk, and the
radio in each room.
The decade of the great depression in the 1930s witnessed the
liquidity of most the hotels in America. The hotel industry streamlined with
slow and steady growth during the 1940s. The increase in automobile travel in
the 1950s led to the rise of ‘motor hotels’ or motels, a new category in the
hotel industry. The motels, which offered free parking facilities, served as
rest houses for people travelling between two cities or tourist destinations.
The following decades saw the growth of the motels on a large scale, an also
the introduction of budget hotels that offered basic facilities at half the
rates. Gradually, with the passage of time, these evolved into countrywide and
international chains.
HOTELS EVOLUTION IN INDIA
Ancient
& Medieval
In India the concept of shelter for travellers is not new. In
fact, it is as old as its recorded history. The historical records are replete
with mention of viharas, dharamshalas, sarais, musafirkhanas, etc.
The ancient Buddhist monks were probably the first to
institutionalise the concept of a shelter in India. The cave temples scattered
all over the south-western region of India have both a chaitya (sanctuary) for
worship and prayer and a vihara (monastery).
These monks, although living in their quiet retreats, away from
towns and villages, were nevertheless mindful of the needs of travellers and
pilgrims who found shelter and food at these monasteries.
It is interesting to note that these monasteries are located on
the ancient trade routes between important deities of the region.
It is gathered from some inscriptions that merchants gave liberal
donations for the construction and maintenance of these establishments. Mere
charity was obviously not the motivation in these displays of generosity. The
trader travelled with their merchandise and money on these routes and the
viharas were their hotels.
In the medieval period this ancient institution gradually assumed
a more secular character. Although religious centres invariably had
dharamshalas and musafir khanas attached to them, the caravanserai appeared as
an exclusive traveler’s lodge with a nanbai or cook attached with it.
Sher Shah Suri, the Afghan Emperor and the builder of the Grand
Trunk Road, is credited with having built caravanserais at regular intervals
all along this highway creating favourable conditions for commerce and travel.
However, he was not alone in this venture. The Mughals built such facilities all
over their empire.
The sarais in India like inns in Europe or the stagecoach stations
in the USA of the eighteenth and nineteenth centuries stood all along the
well-travelled routes. They provided food and shelter to the travellers and
fodder to their horses.
The amenities these early hotels offered would seem to us to be
primitive but they conformed to the lifestyle of that age.
With the passage of time the age-old institution of the sarai or
the inn adapted itself to the ever-changing and constantly growing requirements
of the market and has evolved into the modern hotel.
Colonial era
The development of hotel industry in India is also continuous and
satisfactory. The British introduced hotels in India mainly for their own use
or for foreign visitors.
Some seventy years back, baring the Taj Mahal Hotel in Mumbai,
almost all hotels in India were owned and operated by the Britishers and the
Swiss. There were Albion Hotels, Victory Hotel and the Hope Hall. The
arrangement in these was an excellent one.
Western-style residential hotels are comparatively of recent
origin in India. These hotels were first started about 160 years ago mainly for
princes and aristocrats and high dignitaries.
The credit for opening the first Western-style hotel in India in
the name of British Hotel in Mumbai in 1840 goes to Pestonjee who is the
pioneer of Western-style hotels in India. The Auckland Hotel was started in
1843 and in 1858 it was renamed as the Great Eastern Hotel.
Today there are a number of western-style hotels in Kolkata Great
Eastern, Oberoi Grand, Kenilworth, Park, Hindustan International, Taj BengalEtc.
By the end of the 19th century, there were many western-style
hotels in South, like Imperial, Albany, New Woodland, Elphinstone, Napier,
Pandyan (Madurai), Bangalore International, West End (Bangalore), Savoy, Ritz
(Hyderabad), Palm Beach (Visakhapatnam) etc.
Modern era
The twentieth century can be called the turning point in the
history of the hotel industry in India. It was during this period many big
business owners entered into the field.
In 1904, Jamshedji Tata opened the Taj Mahal Hotel in Mumbai.
Front facing the Mumbai harbour and overlooking the Gateway of India, it was
until recently, the largest hotel in the East.
It is rated among the top ten hotels in the world. Jamshedji felt
that it was essential for the advancement of the country that it should have an
up-to-date hotel to provide facilities and comforts to visitors from all parts
of the world.
Today there are many hotels in the chain including the President
Hotel, the Fort Auada Beach Resort, the Lake Palace (Udaipur), the Rambagh
Palace, Taj Palace (New Delhi), Taj Bengal (Kolkata) and many more.
The Indian Hotels Company Limited, owned by Tatas manages the
famous Taj group of Hotels. This chain has fifty-five properties in India and
abroad. It has drawn up a plan of Rs. 1,500 crore to add forty more hotels to
its present fifty-five. The Taj Hotel in Mumbai, the Taj Palace
Intercontinental in New Delhi and the Taj Bengal in Kolkata account for 76 per
cent of its profits.
Another entrepreneur who entered the field of hotel industry is
Rai Bahadur Mohan Singh Oberoi who opened a chain of Oberoi Hotels in India and
abroad. Mr. Oberoi started his career as a clerk but later became a partner in
the Clarks Hotels, Shimla.
In 1933, Mr. Oberoi took over the Grand Hotel, Kolkata on lease
and gave it a new look and new life. Mr. Oberoi built a hotel on Gopalpur on
sea, in Orissa, Mount Everest in Darjeeling, the Mount View in Chandigarh and
the Palace in Srinagar to his chain of hotels.
In 1973, Oberoi commissioned the 500-room luxury hotels the Oberoi
Sheraton, Mumbai. It is a product of Indo- American partnership. Other hotels
of Oberoi chain are Oberoi in Singapore, Abu Dhabi, Sudan, Zambia, Egypt, Saudi
Arabia, Fiji, Mauritius, Indonesia, Zanzibar and Colombo.
Oberoi’s School of Hotel Management in Delhi recognised by the
International Hotel Association, Paris, trains up young people from different countries.
BRIEF INTRODUCTION TO HOTEL CORE
AREA WITH SPECIAL REFERENCE TO FRONT OFFICE
A hotel or an inn is defined by the British Law as a ‘place where
a bonafide traveler can receive food and shelter, provided he is in a position
to pay for it and is in a fit condition to be received’.
The core areas of hotel
Room Division: Front office & House keeping
These departments together are responsible for maintaining and
selling the rooms in a hotel these departments directly or in directly generate
more revenue than any other department.
Food and Beverage Department
F& B Service
Kitchen This department is headed by the F&B director it includes
restaurant, bars coffee shops banquets room service kitchen and bakery
Human Resource Department Recruitments, orientation,
training, employee welfare and compensation, labor laws and safety norms for
the hotel come under the purview of this department.
Sales and Marketing Department The function
of this department is fivefold sales, personal relationships, advertising,
getting business and market research
Purchase Department The procurement of all departmental
inventories is the responsibility of the purchase department
Financial Control Department Financial controller
is responsible for ratifying inventory items, budget preparation and maintains
the hotel accounts
Security Department
The
security department is responsible for the safeguarding the assets, guest and
employees of the hotel
3) SOCIAL IMPACT: Tourism is related to the
social system in a country and has definite impressions on the social system
present in a society.f residence to another place (with the intention to
return) fo
