A Study On Issues and Challenges in HRM in Tourism Industry
A Study On Issues and Challenges in HRM in Tourism Industry
ON
A STUDY ON ISSUES AND
CHALLENGES IN HRM IN
TOURISM INDUSTRY
For
Business Research Methods (DSE-4)
Submitted to the
DEPARTMENT OF COMMERCE
By
ABHISEK DAS
(University Roll No.: 8003U20007)
(College Roll No.: BC20-342)
Under the guidance of
DR. ANIL KUMAR RAY
Abhisek Das
University Roll No.: 8003U20007
College Roll No.: BC20-342
DECLARATION
I, Abhisek Das, B.Com6thSemester student of Prananath College
(Autonomous),Khordha hereby declare that the project report under the Project
title – A study on Issues and Challenges in HRM in Tourism Industry
Business Research Methods (DSE-4) is my own work and I have done this
project under the supervision of (HOD of Department of Commerce).
I also declare that the content of this project is purely a part of this
comprehensive project work and the content has not been submitted to any other
university for the award of any degree, diploma or fellowship.
Further, I assign the right to the university to use the information and contents
of this project report to develop cases, case leads, and papers for publication or
for use in teaching.
Abhisek Das
University Roll No.: 8003U20007
College Roll No.: BC20-342
CONTENT
S.NO. Title Page No.
6 BIBLIOGEAPHY 53-53
7 ANEXURE-QUESTIONNAIRE 54-62
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CHAPTER –I
INTRODUCTIONS
INTRODUCTIONS
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With a total area of 3,287,263 sq. km extending from the snow-covered
Himalayan heights to the tropical rain forests of the south, India has a rich
cultural and historical heritage, variety in ecology, terrains and places of
natural beauty spread across the country. This provides a significant
opportunity to fully exploit the potential of the tourism sector.
India being one the most popular travel destinations across the globe has
resulted in the Indian tourism and hospitality industry to emerge as one of the
key drivers of growth among the services sector in India. Tourism industry in
India has significant potential considering the Tourism is an important source
of foreign exchange in India similar to many other countries. The foreign
exchange earnings from 2016 to 2019 grew at a CAGR of 7% but dipped in
2020 due to the COVID-19 pandemic.
The Future
In order to further understand the HRM issues and challenges in the tourism
industry, there is a need for further research. This research should focus on
understanding the various strategies that can be employed to address the
various HRM issues and challenges in the tourism industry. Additionally, the
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research should focus on understanding the impact of technology on HRM in
the tourism industry.
RESEARCH PROBLEM
The hospitality sector is one of the few whose success is impacted by
customer satisfaction. Hospitality employees are the face of the brand and
project the values of the company they represent. If hospitality workers are not
happy, they do not offer the level of customer service that keeps people
coming back.
If customers are not happy, this threatens the livelihood of hospitality
organizations. With so much on the line, HR professionals at hospitality
companies face a unique set of challenges they have to tackle daily.
Historically, HR in hospitality has battled problems like low wages, high
turnover, and the recruitment of skilled employees. These concerns have been
magnified since 2020, with unemployment rates skyrocketing as high as 38%
over the last few years.
The situation hospitality organizations find themselves in has shone an even
brighter light on how critical it is to have the right HR processes in place. Let’s
take a more in-depth look at some of the biggest hospitality challenges HR
leaders face today.
Some of the challenges are:-
1. Staff Attrition (Unfilled Vacancies)
2. Retaining Qualified Workers
3. Developing Existing Employees
4. Maintaining Morale
5. Recruiting and On boarding
6. Training and Retention
7. Communication Tools
SCOPE
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The study confines its analysis to the problems and prospects of human
resources in the Indian tourism Industry especially with the focus on supply of
human resources, problems regarding attraction and Retention of talented
people in India. The study restricts itself to the Travel trade and ‘Tourism
sector’ and Does not include hospitality and other areas. Moreover the study
analyses the Tourism management Courses being run by various universities
and Institutes in India and does not include other diploma or Certificate
courses being offered by various institutes in tourism and hospitality.
Scope of HRM is far-reaching and vast knowledge of HRM is very important to
all employees. HR becomes important when there are groups of employees as
these employees have the ability to think and react on situations. Scope of
HRM can be classified as follows:.
1. HRM in personnel management: It involves managing manpower and
activity like manpower planning, hiring, training and development,
transfer, promotions, compensation are included in personnel
management. Its main objective is overall development of employees
which could lead to organizational development.
2. HRM in employee welfare: It deals with work environment and other
facilities at work. It includes appointment of safety officers and creating
healthy working environment and offering various benefits like sickness
benefit, maturity benefit, and disablement benefits. It also includes
employee welfare and establishing good relations between employer
and employees.
1. HRM in industrial relations: It involves safeguarding employee interest
by having harmonious relationship between employer and employees.
Industrial relations include disciplinary procedures, collective bargaining
and maintaining cordial work relations by settlement of disputes
mutually. It tries to promote industrial democracy by protecting the
employees and the employers.
RELEVANCE
Human resource management plays a significant role in the tourism industry in
India. The hospitality and tourism industry is highly labor-intensive, and it is
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dependent on the skills and knowledge of the workers. Some of the reasons
why HRM is relevant in India’s tourism industry include:
1. Quality of Service: The tourism industry deals with providing services to
customers. In this regard, the quality of service offered is critical in
shaping the industry’s reputation. HRM helps in recruiting skilled and
motivated employees who can provide excellent customer service.
4. Safety and Security: The safety and security of guests and employees
are vital aspects of the tourism industry. HRM ensures that proper safety
measures and protocols are in place to guarantee the safety of guests
and employees.
HYPOTHESES
H1 It is premised that Tourism Industry can not achieve its effectiveness with the
help of HRD Philosophy and approach. Nevertheless, the alternate hypothesis
suggests that the tourism Industry can achieve its effectiveness provided due
care is taken to plan, develop and monitor The HRD systems, keeping in view the
organizational and industry requirements.
H2 Tourism Industry in India has been developing in a lop-sided manner as a result
of which it has Failed to develop its proper organizational structure in which
superior sub-ordinate relationship; Co-ordination among different sub-units and
team work has not become stronger. This has been adversely affecting the
achievement of organizational goals.
H3 People join organisations with certain motives, viz., adequate pay and perks, job
security, career Advancement and satisfaction of psychological and social needs.
The management of Tourism Industry in India has not been paying due attention
to these factors.
H4 There has not been so encouraging the overall performance as regards higher
productivity of Tourism Industry in India.
RESEARCH METHODOLOGY
Research methodology
Research methodology simply refers to the practical “how” of any given piece of research.
More specifically, it’s about how a researcher systematically designs a study to ensure
valid and reliable results that address the research aims and objectives.
For example, how did the researcher go about deciding:
What data to collect (and what data to ignore)
Who to collect it from (in research, this is called “sampling design”)
How to collect it (this is called “data collection methods”)
How to analyse it (this is called “data analysis methods”)
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Sampling design approaches
As we mentioned earlier, sampling design is about deciding who you’re going to collect
your data from (i.e. your sample). There are many sample options, but the two
main categories of sampling design are probability sampling and non-
probability sampling.
Probability sampling means that you use a completely random sample from the
group of people you’re interested in (this group is called the “population”). By using a
completely random sample, the results of your study will be generalisable to the entire
population. In other words, you can expect the same results across the entire group, without
having to collect data from the entire group (which is often not possible for large groups).
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CHAPTERIZATION
The tourism industry in India is currently evidencing unprecedented growth.
The industry is one of the largest and most profitable industries in India and
contributes significantly to the national income before COVID-19. The paper
aims to critically review emerging literature to help people to better
understand, manage and control spread of COVID-19 on tourism industry.
CHAPTER I – Here proper introduction of the project is given.
CHAPTER II – Here the literature review is given and about the literature gap.
CHAPTER III – Here the discussion about the HRM in tourism industry is described.
CHAPTER IV – Here the analysis about the problem is done.
CHAPTER V – The summary, suggestions and findings are described here.
AND AT THE LAST PART THE BIBLIOGRAPHY AND
ANEXURE(QUESTIONNARE) IS MENTIONED THERE.
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References
. Rao, V.S.P. (2020), Human Resource Management, Excell Books, New
Delhi.
4. PTI Report, The Time of India, New Delhi, October 12, 1999, p.6.
5. UNI Report, The Times of India, New Delhi, May 28, 1998, p. 6.
6. UNI Report, “Merged IA, AI will be ready in four months”, The Times of
India, New Delhi, March 3, 2017, p. 15.
7. UNI Report, “AI, AI merger with in 6 months, The Times of India, New Delhi,
April 6, 2007, p. 18.
9. Seth, Pran Nath and Bhat, Sushma Seth (2020), An Introduction to Travel 7
tourism, Sterling Publishers Pvt. Ltd., New Delhi.
10. Sinha, P.C. (2019), Tourism Transport and Travel Management, Anmol
Publications Pvt. Ltd., New Delhi.
11.. Raj Aparna (2014), The travel Industry – Emerging Human Capital
Attracting the Talent and Keeping it too”, Study material for FDP, supplied by
ITTM, Gwalior, pp. 133-134.
12. Anand, Byas, “Merger plan of IA & AI finalised”, The Times of India, New
Delhi, October 13, 2016.
13. www.Indianairlines.nic.in
14. www.hrplanning.com
15. www.indiatourism.com
16. www.travelindia.com
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CHAPTER – II
LITERATURE
REVIEW
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INTRODUCTION
For the last few decades, tourism has become one of the major forces for
economic growth in many developing and developed countries. Tourism
contributes to economic growth through various channels including foreign
currency earnings,attracting international investment, increasing tax revenues
and creating additional employment opportunities.
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LITERATURE REVIEW
The successive paragraphs present a comprehensive review of literature on
the subject matter. In 1982, Rao, T.V. conducted a Survey of HRD practices in
Indian industries. The survey reveal that only 17 out of 53 companies had
formal policy focusing on HRD. All in all HRD appeared to be becoming a
significant aspect of work life in many organizations.
Another survey was carried out by Rao, T.R. to judge HRD climate in Indian
organisations. The survey revealed that the general climate was not very
conducive to HRD due to general indifference of employees to their own
development. The top management in most organizations were not making
sufficient efforts to improve the quality of work life.
Rao, P. Punna and Reddy M. Sudarshan in their compiled and edited book
entitled “Human Resources Development : Mechanisms for Extension
Organisations” (2001) have mentioned the importance of Human Resource
Development for Agriculture Extension. They realised that there is a need for
fresh look at efforts to build the capacity and capability for HRD in the
emerging areas.
Agarwal, Nair Banerjee in his book entitled “Human Resource
Management” (2004) has mentioned that the purpose of this book is to
assimilate new insights from human resource management and behavioural
sciences into established concepts. In order to make this more interesting, the
authors have utilized the concept of formulating the plan to divide the book
concerts into small units.
Attempts have been made to stress empirically to the practical problems
Prasad, L.M. in his book entitled “Human Resource Management” (2003)
has tried to place proper emphasis on the human resources of the
organization. It presents the most recent developments in the field and tries to
relate how these developments are relevant to Indian Companies. It
incorporates the human resource management practices being followed by the
leading Indian Companies in their respective fields. It has failed to focus on
HRD and tourism.
Gupta, Shishi K. and Joshi, Rosy in their book entitled “Human Resource
Management” (2004) have laid emphasis only to the effectiveness of
Management of Human Resources.
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Kaushal, H. in his book entitled “Human Resource Development” (2004)
has made an attempt at making good this vital deficiency of workable case
studies in management. A serious attempt has been made to cover all aspects
of HRD theory through the case studies and has not includedtourism industry.
Reddy, Sumati in her edited book entitled “E-Learning and Technology:
New Opportunities in Training and Development” (2003) has highlighted
how distance training and education helpsorganizations to meet the challenge
of organizational change reach competitive standards and achieve
organizational goals. Distance and online training is considered as an
investment n people which helps in meeting pre-determined objectives.
Asia Pacific and Training Institutes in Tourism (APETIT), United Nations
Environment Programme (UNEP), International Labour Organization
(ILO), World Tourism Organization (WTO) and the World Travel and
Tourism Council (WTTC) etc., for development of human resource to achieve
productivity at maximum level in travel and tourism industry have not made in-
depth country-specific study pertaining to HRD and productivity in India’s
tourism sector, particularly after the implementation of the policy of economic
liberalization.
The author has consulted a number of national and international journals such
as Journal of Hospitality and Tourism Management, School of Tourism and
Leisure Management, the University of Queens land; Tourism Recreation
Research, Journal of Tourism and International Research, Journal of Travel
and Tourism, Centre for Mountain Tourism and Hospitality Studies, H.N.B.
Garhwal University, Srinagar, International Journal of Management and
Tourism, Jodhpur Rajasthan, Vol. 1, No. 2, Oct-Dec.
1992; Journal of Annals of Tourism Research, vol. VIII (1991), Department
of Habitation Resources, University of Wisconsin-Stout, USA, Discover India
published by Media Transasia Limited, Hong Kong; Tourism India, India
tourism Magazine, Thiruvananthapuram, Kerala, Vol. 7, No. 4, Aug. 2004;
Tourism Development Journal, Vol. 1, No. 1, 2003, Institute of Vocational
Studies, H.P. University, Shimla; Asia Pacific Education and Training Institute
of Tourism (APETIT) News, Vol. 3/2 June-July, 2004, IITTM, Gwalior and
World Tourism Organisation (WTO) Report, 2003; Report, National Committee
on Tourism (1988) and has also searched relevant ongoing projects on
internet. The author has also consulted a number of M.Phil. dissertations and
Ph.D.
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Theses on Human Resource Development. The foregoing comprehensive
review of literature on human resource development in India, it peters out that
very few researches are found to be relevant. However, there is a dearth of
research studies on the development of human resources in Tourism Industry
particularly in post liberalization era. The present study is an endeavour of the
author to present the varied dimensions and facets of developing the human
resources in Tourism Industry with special reference to Air India Ltd., New
Delhi.
It is, nevertheless, not out of place to mention that above refereed literatures
on HRD in Tourism Industry have niggardly addressed to HRD in Tourism
Industry.
Author has made an endavour to bring in account a comprehensive study with
regard to HRD in Tourism Industry. The case study of Air India Ltd., New Delhi
would successfully represents the concept and applicability of HRD in Tourism
Industry in India.
RESEARCH GAP
Tourism environmental carrying capacity is also known as the tourism
environmental bearing capacity, and the theory of tourism environmental
carrying capacity is developed from capacity and environmental capacity. As
we know, the foreign related research involved in this aspect at the earliest is
that Malthus (1798) mentioned the first basic research framework of capacity
in Principle of
Population (Seidl, 1999), and the terms of “environmental capacity” was first
advanced by Hurst, the Belgian mathematician and biologist, in 1838 (Yang,
1996), but tourism environment carrying capacity was presented for the first
time by Lapage (1963) and aimed to describe the maximum capacity or
carrying capacity (Wan, 2004). American scholar Wagar (1964) pointed out
that the tourism environmental capacity was the tourism activity accounts that
a tourism destination maintains the product quality in the long term (Wagar,
1964). Subsequent research pointed out that the tourist environmental
carrying capacity was divided into the categories of biological and physical
capacity, social and cultural capacity, mental capacity and management
capacity (Lime, 1964).
Judging from the relations between tourists, tourism resources and tourism
destinations, they can be divided into material carrying capacity, ecological
carrying capacity and the psychological carrying capacity (Pearce, 1989). And
the more influential event was that under the study of tourism environmental
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carrying capacity in the 1980s, the professors of National Forestry Bureau put
forward the life cycle assessment theory, and it was widely used in the
environmental protection and management of tourist destinations of the United
States, Australia, Canada and so on (David, 1985). Since the 1990s, many
scholars have respectively carried out the further study of the definition of
tourism environmental carrying capacity, establishing condition, monitoring
and so on (Mathieson, 1980; Mieczkowski,1995; Saveriades, 2000; R.
Lawson, 2003; Weng, 2007).
Tourist Satisfaction
The study of tourist satisfaction originated in product quality and service
quality research in manufacturing (Lian, 2004), since the late 1970s, foreign
scholars have started the research about tourists satisfaction connotation,
influence factors, measurement and so on. For instance, tourists satisfaction
showed the “positive” feeling or perception on the basis of the “positive” effects
through comparing the expectation of tourists with actual perception to tourist
destination (Bread, 1980), and it was not only in the experience of the tourist
destination, but the reflection of perceiving whether to be satisfied with how
people being treated in tourism destinations (Um, 2006), also, there was other
studies on using the SERVQUAL model to do the measurement of tourist
satisfaction and service quality analysis (AKama, 2003), the effect analysis of
satisfaction (Alegre, 2009) and intention of revisiting and the impact that
satisfaction and dissatisfaction to revisit intentions (Alegrea, 2010), using the
structural equation modeling to analyze the impact of the relations between
destination image and the perceived value to the tourist satisfaction and tourist
loyalty (Ramseook-Munhurrun, 2015), analyzing and comparing the tourist
satisfaction among the tourism industry based on the tourist satisfaction index
model and expectation-assuming framework (Agyeiwaah, 2016).
To sum up, the researches at home and abroad for evaluating tourism
destination mainly involve the analysis of tourist environment carrying
capacity, the evaluation regarding tourist horizon of tourism destination,
tourism resources development and the overall planning related to
impact on ecological environmental impact, environmental quality and
sustainable development system of the tourism destination.
Through the process of reviewing the related literature, the discussion
indicates that the research of tourism destinations has obtained many
achievements and laid a certain foundation for later studies, however, it
still has some demerits.
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Firstly, the studies on the effect evaluation of low-carbon tourist
environmental implementation under the background of low-carbon
economy is of lack and it’s difficult to reveal the degree of order, trend
and social low-carbon management effectiveness of its inner system on
the low-carbon construction of the tourist destinations.
Secondly, the application of tourism destination evaluation method and
model, has mostly confined to the traditional static and linear evaluation
method, and the aspects of tourist economy and society are not
mentioned enough.
Thirdly, the evaluation system of tourism destination has focused only on
the study of tourism destination itself and been lack of multi-view and
multi-angle analysis, and the studies on the destination itself and its
stakeholders, such as tourism destination managers, and tourists, local
residents in this community, was not comprehensively integrated.
Aiming at solving the problems and shortcomings in the current
evaluation of environmental quality, resource development and
sustainable development of tourism destinations, the further research will
probably be based on low carbon economy, regarding the scenic area
system as the main research object and views, and taking the
stakeholders of scenic spot as auxiliary study object, by means of
quantitative and qualitative analysis and with the method of system
analysis, and showing the state of the low-carbon management of the
scenic spots from the macro and micro level and predicting its future
trend to reflect the current and future development of the scenic spot
comprehensively.
Issues and Challenges affecting the use of HR technologies
The use of the technology oriented processes in an organization are affected
by various factors, which are highlighted as follows:
» Employee orientation-The employees of the organization needs to be
convinced by the fact the use of technology in the processes will help in
generating better and improved results compared to the existing processes.
» Work Culture-Work culture also affects the acceptance of the
implementation of new system in an organization. The dimensions of better
results can be timely and accurate information, ease of use and completion of
work in lesser time.
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» Security Concerns-A system or technique designed for one country may
not be effective in other country. Implementation issues across boundaries
comes with the challenges of data privacy and data movement across
boundaries.
» Cost factor- Cost is an important factor to be taken into consideration
before implementation of the e- systems. The companies must priorities and
take the decisions of acceptance and implementation of E-Systems on the
basis of vital, essential and desirable operations.
» Training and learning- The process of training and adaptation to the new e-
system be a cumbersome and time consuming process. It may be challenging
for the users if they do not find it user friendly.
» Technical limitation- An organization cannot depend on technological
websites or software completely to handle every issues related to HR. A
website cannot ever replace a skilled professional. Employees may not be
able to make senses of choice from the website and may need to discuss the
issues personally with HR experts or professionals, in case of doubts, faced by
them.
» The implications of implementing electronic Human Resource
Management (e-HRM) system in companies.
REFRENCES
Alam, S., Paramati, S. R., 2016. The impact of tourism on income inequality in
developing economies: Does Kuznets curve hypothesis exist?. Annals of
Tourism
Research, 61: 111-126. Alegre, J., Cladera, M., 2009. Analyzing the effect of
satisfaction and previous visits on tourist intentions to return. European
Journal of Marketing, 43(5/6): 670- 685.
Alegrea, J., Garaua, J., 2010. Tourist satisfaction and dissatisfaction. Annals
of Tourism Research, 37(1): 52-73.
Agyeiwaah, E., Adongo, R., Dimache, A., Wondirad, A., 2016. Make a
customer, not a sale: tourist satisfaction in Hongkong. Tourism Management,
57: 68-79.
Akama, J. S., Kieti, D. M., 2003. Measuring tourist satisfaction with Kenya’s
wildlife safari: A case study of Tsavo West National Park. Tourism
Management, 24(1): 73- 81.
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Bao, J. G., 1987. Carrying capacities of the Summer Palace in Beijing. China
Environmental Science, 2: 35 -41.
Stankey, G. H., Cole, D. N., Lucas, R. C., Petersen, M., Frissell, S. S., 1985.
The limits of acceptable change (LAC) system for wilderness planning.
General technical report INT (USA), no. 176.
Chen, W., Cheng, Y. Y., Wen, D. N., 2014. A study on the degree of tourist
satisfaction in destinations of Chinese Buddhist cultural heritage tourism—
taking
Castellani, V., Sala, S., 2010. Sustainable performance index for tourism
policy development. Tourism Management, 31(6): 871-880.
Cui, F. J, Xu, F., He, J. M., 1999. The preliminary research on the evaluation
index system of sustainable development of regional tourism. Tourism
Tribune, 14(4): 42- 45.
Du, Z. C., Pu, Y. Q., 2013. The calculation and analysis on the tourism
environmental carrying capacity of the Han dynasty mausoleum scenic zone
in Wuling tableland. Journal of Northwest Normal University (Natural Science),
49(1): 96-102.
Dong, G. Z., Yang, F. Y., 2005. A study on the evaluation system of tourist
satisfaction degree in tourism destinations. Tourism Tribune, 20(1): 27-30.
Guo, L. X., Bao, J. G., 1990. Review on Chinese tourist geography and it’s
prospect. Geographical Research, 9(1) : 78-86.
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CHAPTER – III
SUBJECT
DISCUSSION
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INTRODUCTION
Tourism is travel for recreational, leisure or business purposes. The
World Tourism Organization defines tourists as people ‘Travelling to
and staying in places outside their usual environment for a period
year for leisure, business and other purposes’.
Tourism requires necessary infrastructure and services for the
tourists. It is a conglomeration of several activities and has the
potential to stimulate employment generation in related fields like
Hotels, Transport, Shopping, Food, Entertainment, Guiding etc. It is
the tourism and hospitality sector which binds together a lot of other
employment generating sectors through backward and forward
linkages.
Over the past decades, tourism sector has experienced continued
growth and diversification to evolve as one of the fastest growing
economic sectors in the world. Today the business volume of
tourism equals or even surpasses that of Oil exports, Food Products
or Automobiles. The contribution of tourism to economic wellbeing
depends on the revenues the tourism sector generates and
contributes to the livelihood and employment of local communities.
ODISHA TOURISM DEVELOPMENT CORPORATION LTD
(OTDC):
A public sector undertaking namely, Odisha Tourism Development
Corporation Ltd. (OTDC) is functioning under the administrative control of the
Department of Tourism, constituted under Tourism Department Resolution
No.3221/TSM, dated the 27th February, 1979 and it was incorporated under
the Indian Companies Act, 1956 on the 3rd September, 1979.
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Management (SIHM), Balangir on 18th October 2010 and the Institute is a_
iliated to NCHMCT (National Council for Hotel Management & Catering
Technology), Noida, U.P-201301. SIHM o_ ers a Bachelor in Science in
Hospitality & Hotel Administration, a 3 year degree programme which was
started on 1st May 2019 and is recognized by NCHMT, Govt. of India.
HRM professionals must also ensure that their organizations are compliant
with all applicable laws and regulations. They must also be able to anticipate
and respond to any changes in the industry, in order to ensure the success of
their organizations.
The tourism industry faces a variety of HRM issues and challenges. These
include employee retention, recruitment, training and development, and
employee motivation. Additionally, the industry is faced with the challenge of
managing a diverse workforce, as well as dealing with the ever-changing
nature of the industry.
The industry is also faced with the challenge of managing a large number of
employees, as well as the challenge of managing a geographically dispersed
workforce. Additionally, the industry is faced with the challenge of dealing with
the high cost of labor, as well as the challenge of managing a large number of
seasonal employees.
MARKET SIZE
According to WTTC, India is ranked 10th among 185 countries in terms of
travel & tourism’s total contribution to GDP in 2019.
During 2019, contribution of travel & tourism to GDP was 6.8% of the
total economy, Rs. 1,368,100 crore (US$ 194.30 billion). In 2020, the
Indian tourism sector accounted for 39 million jobs, which was 8% of the
total employment in the country.
The travel market in India is projected to reach US$ 125 billion by FY27
from an estimated US$ 75 billion in FY20. The Indian airline travel
market was estimated at ~US$ 20 billion and is projected to double in
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size by FY27 due to improving airport infrastructure and growing access
to passports.
The Indian hotel market including domestic, inbound and outbound was
estimated at ~US$ 32 billion in FY20 and is expected to reach ~US$ 52
billion by FY27, driven by the surging demand from travelers and
sustained efforts of travel agents to boost the market.
By 2028, international tourist arrivals are expected to reach 30.5 billion
and generate revenue over US$ 59 billion. However, domestic tourists
are expected to drive the growth, post pandemic. International hotel
chains are increasing their presence in the country, and it will account for
around 47% share in the tourism and hospitality sector of India by 2020
and 50% by 2022.
Foreign Tourist Arrivals (FTAs) in August 2022 were 498,243 with a
positive growth rate of
437.3% as compared to
92,728 in August 2021.
FTAs during the period
January-August, 2022 were
3,263,219 as compared to
638,524 in January-August
2021.
The percentage share of
Foreign Tourist Arrivals in
India during August, 2022
among the top 15 source
countries was highest from
Bangladesh (24.89%),
followed by USA (16.93%), UK (10.74%), Australia (3.77%), Canada
(3.44%), Sri Lanka (3.18%), Nepal (2.56%), Malaysia (2.54%), Germany
(2.16%), France (2.01%), Oman (1.98%), Singapore (1.73%), UAE
(1.45%), Italy (1.19%) and Japan (1.17%).
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FOREIGN EXCHANGE EARNINGS FROM TOURISM
IN INDIA
As per the monthly estimates prepared by Ministry of Tourism, FEEs from
tourism in India in 2021 in terms were Rs 65070 crore as compared to rs
50136 crore in 2020 registering a growth of 29.8% in 2021 over 2020. In US $
terms, FEEs from tourism in 2021 were US $8.7970 billion as compared to US
$6.9580
billion in 2020 with a growth rate of 26.4%. The FEEs from tourism in India, in
terms and US$ terms, during 1991-2021 are given in Table
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Foreign arrivals expected to rise post pandemic
Foreign Tourist Arrivals (FTAs) in August 2022 were 498,243 with a
positive growth rate of 437.3% as compared to 92,728 in August 2021.
FTAs during the period January-August, 2022 were 3,263,219 as
compared to 638,524 in January-August 2021.
The percentage share of Foreign Tourist Arrivals in India during August,
2022 among the top 15 source countries was highest from Bangladesh
10.89
(24.89%), followed by USA (16.93%), UK (10.74%), Australia (3.77%),
10.56
10.04
Canada (3.44%), Sri Lanka (3.18%), Nepal (2.56%), Malaysia (2.54%),
Germany (2.16%), France (2.01%), Oman (1.98%), Singapore (1.73%),
8.80
UAE (1.45%), Italy (1.19%) and Japan (1.17%).
12.0
10.0
8.0
6.0
4.0
2.0
0.0
2016 2017 2018 2019 2020 2021
24 | P a g e
Advantage India
1. Diverse attractions
► India offers geographical diversity, attractive beaches, 30 World Heritage
SBPM and 25 bio- geographic zones.
► The country’s big coastline is dotted with several attractive beaches.
► The Ministry of Tourism is promoting Buddhist Circuit to increase India’s
share in global tourism market.
2. Robust demand
► The Medical Tourism sector is expected to increase at a CAGR of 21.1%
from 2020-2027.
► The travel market in India is projected to reach
US$ 125 billion by FY27 from an estimated US$
75 billion in FY20.
► International tourist arrivals are expected to reach
30.5 million by 2028.
3. Attractive opportunities
1 4
► India has a diverse portfolio of niche tourism
ADVANTAG
products - cruises, adventure, medical, wellness,
INDIA
sports, MICE, eco- tourism, film, rural & religious
tourism. 2 3
► Post the pandemic crisis, the government plans to
tap into regional tourism by opening doors for
South Asian country tourists.
► Government is providing free loans to MSMEs to help them deal with the
crisis and revive the economy, including the tourism sector.
4. Policy support
► In August 2022, Ministry of Tourism sanctioned 76 projects for Rs.
5,399.15 crore (US$ 678.39 million) under Swadesh Darshan Scheme
for development of tourism infrastructure in the country.
► The government introduced a scheme to boost the tourism sector by
providing one-month free tourist visa to 5 lakh tourists until March 31,
2022.
► In the Union Budget 2022-23, Rs. 2,400 crore (US$ 309.13 million) has
been allocated to the Ministry of Tourism which is 18.42% higher than
the allocation for FY 2021-22.
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INVESTMENTS DEVELOPMENTS
FDI inflows in the Tourism & Hospitality sector reached US$ 16.48 billion
between April-June 2022.
GOVERNMENT INITIATIVES
The Indian Government has realised the country’s potential in the tourism
industry and has taken several steps to make India a global tourism hub.
Some of the major initiatives planned by the Government of India to boost the
tourism and hospitality sector of India are as follows:
In the Union Budget 2022-23:
Rs. 2,400 crore (US$ 309.13 million) has been allocated to the
Ministry of Tourism which is 18.42 %higher than the allocation for
FY 2021-22.
Rs. 1,181.30 crore (US$ 152.16 million) is allocated for the
Swadesh Darshan Scheme.
Rs. 235 crore (US$ 30.27 million) for the Pilgrimage Rejuvenation
and Spiritual and Heritage Augmentation Drive (PRASHAD)
Scheme.
26 | P a g e
In August 2022, Ministry of Tourism sanctioned 76 projects for Rs. 5,399.15
crore (US$ 678.39 million) under Swadesh Darshan Scheme for
development of tourism infrastructure in the country.
In June 2022, the Ministry of Tourism along with Associations of Indian
Universities (AIU) initiated a 12 episode webinar series under ‘Azadi Ka
Amrut Mahotsav’ (AKAM) to engage and expose young minds of our
country to the rich and diverse heritage of the country.
Till the end of September 2022, a total of 155 Dekho Apna Desh webinars
have been organized by Ministry of Tourism.
The Ministry of Tourism has launched the National Strategy for Sustainable
Tourism and Responsible Traveller Campaign in June 2022.
From
November 15, 2021, India allowed fully vaccinated foreign tourists to visit
India, which in turn will help revive the Indian travel and hospitality sector.
In November 2021, the Ministry of Tourism signed a Memorandum of
Understanding (MoU) with Indian Railway Catering and Tourism
27 | P a g e
Corporation to strengthen hospitality and tourism industry. The ministry has
also signed a MoU with Easy My Trip, Cleartrip, Yatra.com, Make My Trip
and Goibibo.
States with Largest Domestic Tourist Arrivals in 2021
Tamil Nadu
Uttar Pradesh
Andhra Pradesh
Karnataka
Maharashtra
Telangana
References: Media Reports, Ministry of Tourism, Press Releases, Department for Promotion of Industry and Internal Trade (DPIIT),
Press Information Bureau (PIB), Union Budget 2020-21
28 | P a g e
91.2
98.
232.
191.30
87.1
24
219.
India was ranked 34 think the Travel & Tourism Competitiveness Report 2019
published by the World Economic Forum and contributes ~ US$200 billion to the
country’s GDP. It is the third-largest foreign exchange earner for the country.
The Indian travel and tourism industry is expected to record an annual growth
rate of 10.35% between 2019 and 2028 to reach US$ 512 billion in2028.
In 2020, the travel & tourism industry’s contribution to the GDP was US$121.9
billion. In 2019, it contributed US $191.3 billion to the GDP.
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In WTTC’s Economic Impact 2019 report, India’s Travel & Tourism GDP
contribution grew by 4.9%, which was the third-highest after China and
Philippines. Additionally, there portal so highlights that between 2014 and 2019,
India witnessed the strongest growth in the number of jobs created (6.36million),
followed by China (5.47million) and the Philippines (2.53million).
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CHAPTER – IV
ANALYSIS &
INTERPRETATION
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FRAMEWORK OF THE STUDY:
(a) Research Design and Methodology :
It has been be the endeavour of the author to make an empirical study, by
analyzing and critically examining the relevant statistics, collected from
primary as well as secondary sources. Primary data have been collected by
using structured questionnaire, personal interviews, discussions and
observations.
The research design and methodology with respect to the sample size, its
composition and susceptibility for the selected statistical tools and procedures
have been strongly influenced by the inherent characteristics of the
respondents working in Air India Ltd. which has been undertaken as case
study.
(c) Sample :
100 employees (not below the rank of Assistant Managers and supervisory
levels) of Air India Ltd., New Delhi have been selected. The sampling method
has been devised as to ensure adequate representation for the entire
population with regard to human resource development.
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knowledge and develop skills, organizations recruitment policy, selection
procedure, to development the individual intellectually as well as materially, to
enhance the contribution which individuals can make in the collective
endeavour, properly planned, developed and monitored the HRD system,
consultancy rules/guidelines and policy, to develop an organizational structure
in which superior sub-ordinate relations become stronger, recognition of
adequate pay, perks and other financial benefits of the employees by the
organizations to develop managerial capabilities of management staff, to
organize frequent career counselling and short duration programmes, to
review the status of growth in the productivity of tourism organizations,
mechanism adopted by the organizations, to reward for any good work done,
to satisfy with the rewards and incentive schemes provided by the
organization, to make efforts to identify and utilize the potentials of the
employees, performance appraisal reports, to create organizational culture
within the organization and finally to achieve organizational effectiveness.
34 | P a g e
different levels. In the past years, there was an exploding increase in
manpower for other sectors like banking, engineering, and medicine.
This gradually prompted abatement in the human resources available
for the tourism sector. Thus at present, there is a huge demand for the
workforce in both the hospitality and tourism sectors.
3. Insufficient promotion and marketing- Great promotion and enough
marketing push are excessively indispensable for a nation’s Travel
industry improvement. Be that as it may, in India, the financial backing
allotted to help and advance the travel industry is moderately less
contrasted with other tourist destinations. At present India needs a
colossal move from the conventional marketing techniques that are still
being followed to a much modern approach.
4. Taxation- High taxes on the entire industry including the airline
facilities, hotels, and tour operators are highly expensive. This is the
one main reason why India loses to other less expensive countries
when it comes to tourism. For instance, consider the price of air tickets.
It varies in all the 29 states.
5. Hygiene Problem- Hygiene in India also annoys tourists. Indians are
not much concerned about cleaning their surroundings but this can be
a major concern for those who come from the hygiene places.
Unhygienic food, water or surroundings make them sick and can force
them to spend more of their time in the bathroom or bed rather than
enjoying.
6. Language problem- Different language led to miscommunication.
Even though English is widely spoken and understood in India but still
there are many who cannot understand this language. This makes
them uneasy and even if they can speak but due to their different
accent and regional impact on their language can also lead to
miscommunication.
7. Touts (or frauds)-Indians are known for their generosity, humbleness,
culture, and tradition. They treat their guest as the god, but all five
fingers are not alike. Along with the people who will always ready to
help you out, there will be some frauds as well. There are many frauds
in India who try to rob, steal, or cheat the tourists. Overcharging or
gaining extra fare than the fair prices by the shopkeepers or the taxi
drivers are common.
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8. Security issues- Security is one of the major challenges faced by
Indian tourism. The increasing rate of sexual abuse of women, theft,
credit card fraud, identity theft, food poisoning, terrorism, and public
violence is affecting Indian tourism to a high extent.
Remedial measures-
1. Improving Infrastructure & Funds Availability –It is needless to say
that development in Infrastructure holds the key to success for any
Industry and the economy as a whole. Infrastructure has a major role to
play in the Indian Tourism industry. Ministry of Tourism has made
consistent efforts to develop quality tourism Infrastructure at tourist
destinations and circuits. The Government has allowed 100 percent
Foreign investment under the automatic route in the Hotel and Tourism
related industry, to Improve the quality of tourism and help the industry
grow at rapid pace.
2. Proper security-Indian men need to change their mind-set towards
women. The female tourists should be aware of 24-hours women
helpline centre. They should be strict toward their security. They should
be confident and should have an attitude.
3. Proper training of entrepreneur-Being a diverse country language will
always be a barrier but still, there are many ways that can help you out
with using some language app may come to rescue. Language is always
two ways of communication. Understanding the body language and
using the right gesture can be a good idea as well. Development of
proper language learning centre to create entrepreneur to solve the
language problem.
4. Maintenance of hygiene-It is not always a government job to make
India beautiful and comfortable, it is our responsibility too. Taking care of
our personal hygiene and surroundings can make a lot more difference.
Availability of clean food, water, sanitation should be taken care of
making it comfortable for both us as well as for tourists.
36 | P a g e
6. More use of e transection-However we are working on less cash-
oriented economy and have the, e are many companies that offer
payment gateway in India that accepts International payment gateway
but still educating the small vendors or shopkeepers is also very
important.
37 | P a g e
5 Indian Tourism and Hospitality
Industry Analysis
In FY20, 39 million jobs were created in the tourism sector in India,
which was 8.0% of the total employment in the country.
India is a large market for travel and tourism. It offers a diverse portfolio
of niche tourism products – cruises, adventure, medical, wellness,
sports, MICE, eco-tourism, film, rural and religious tourism. India has
been recognized as a destination for spiritual tourism for domestic and
international tourists.
In his Independence speech from Red Fort, Prime Minister Mr. Narendra
Modi urged people to visit 15 domestic tourist destinations in India by
2022 to promote tourism. India ranked 34 in the Travel & Tourism
Competitiveness Report 2019 published by the World Economic Forum.
India is the most digitally advanced traveller nation in terms of digital
tools being used for planning, booking, and experiencing a journey.
India’s rising middle class and increasing disposable income has
supported the growth of domestic and outbound tourism.
In India, the industry’s direct contribution to the GDP is expected to
record an annual growth rate of 10.35% between 2019 and 2028.
By 2028, Indian tourism and hospitality is expected to earn US$ 50.9
billion as visitor exports compared with US$ 28.9 billion in 2018.
The Indian airline travel market was estimated at ~US$ 20 billion and is
projected to double in size by FY27 due to improving airport
infrastructure and growing access to passports.
The Indian hotel market including domestic, inbound and outbound was
estimated at ~US$ 32 billion in FY20 and is expected to reach ~US$ 52
billion by FY27, driven by the surging demand from travelers and
sustained efforts of travel agents to boost the market.
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The Tourism & Hospitality sector has seen some major developments,
investments and support from the Government in the recent past.
Foreign Tourist Arrivals (FTAs) in August 2022 were 498,243 with a
positive growth rate of 437.3% as compared to 92,728 in August 2021.
FTAs during the period January-August, 2022 were 3,263,219 as
compared to 638,524 in January-August 2021.
The percentage share of Foreign Tourist Arrivals in India during August,
2022 among the top 15 source countries was highest from Bangladesh
(24.89%), followed by USA (16.93%), UK (10.74%), Australia (3.77%),
Canada (3.44%), Sri Lanka (3.18%), Nepal (2.56%), Malaysia (2.54%),
Germany (2.16%), France (2.01%), Oman (1.98%), Singapore (1.73%),
UAE (1.45%), Italy (1.19%) and Japan (1.17%).
FDI inflows in the Tourism & Hospitality sector reached US$ 16.48 billion
between April-June 2022.
In October 2022, Indian Hotels Company (IHCL) announced the launch
of its new Indian-concept restaurant brand, Loya. Debuting at Taj
Palace, New Delhi, Loya captures the culinary essence traversing the
landscape of North India.
Till the end of September 2022, a total of 155 DekhoApnaDesh webinars
have been organized by Ministry of Tourism.
In the Union Budget 2022-23,Rs. 2,400 crore (US$ 309.13 million) has
been allocated to the Ministry of Tourism which is 18.42 % higher than
the allocation for FY 2021-22, Rs. 1,181.30 crore (US$ 152.16 million) is
allocated for the Swadesh Darshan Scheme, Rs. 235 crore (US$ 30.27
million) for the Pilgrimage Rejuvenation and Spiritual and Heritage
Augmentation Drive (PRASHAD) Scheme.
A total of 48,775 accommodation units (both classified and unclassified)
have been registered on the National Integrated Database of Hospitality
Industry (NIDHI) portal and 11,220 units have self-certified for SAATHI
standards in September 2022.
In August 2022, Ministry of Tourism sanctioned 76 projects for Rs.
5,399.15 crore (US$ 678.39 million) under Swadesh Darshan Scheme
for development of tourism infrastructure in the country.
In June 2022, the Ministry of Tourism along with Associations of Indian
Universities (AIU) initiated a 12 episode webinar series under ‘Azadi Ka
39 | P a g e
Amrut Mahotsav’ (AKAM) to engage and expose young minds of our
country to the rich and diverse heritage of the country.
Accor, a French hospitality major will expand its India’s portfolio by
adding nine additional hotels in the mid-scale and economy categories,
bringing the total number of hotels 54 in India.
The Medical Tourism sector is expected to increase at a CAGR of 21.1%
from 2020-2027.
The travel market in India is projected to reach US$ 125 billion by FY27
from an estimated US$ 75 billion in FY20.
The Ministry of Tourism has approved 16 projects for over Rs. 1,300
crore (US$ 171.2 million) in India’s North East.
The Ministry of Road Transport and Highways has introduced a new
scheme called ‘All India Tourist Vehicles Authorisation and Permit Rules,
2021’, in which a tourist vehicle operator can register online for All India
Tourist Authorisation/Permit. This permit will be issued within 30 days of
submitting the application.
The United Nations World Tourism Organisation selected Pochampally
in Telangana as one of the best tourism villages in November 2021.
OYO estimates India to present a US$ 26 billion opportunity by 2030. To
further strengthen its position in India, in October 2021, the company
filed its draft red herring prospectus (DRHP) for an initial public offering
(IPO) of Rs. 8,430 crore (US$ 1.2 billion) with the Securities and
Exchange Board of India (SEBI).
By 2029, it is expected to account for about 53 million jobs. International
Tourists arrival is expected to reach 30.5 billion by 2028.
E-Visa facility was offered to 171 countries as of March 2021. The
government introduced a scheme to boost the tourism sector by
providing one-month free tourist visa to 5 lakh tourists until March 31,
2022.
During 2019, contribution of travel & tourism to GDP was 6.8% of the
total economy, Rs. 1,368,100 crore (US$ 194.30 billion).
There has been an increase in the demand for luxury stay among Indian
consumers, due to rising consumer spend. In line with this, key players
are expanding their presence to cater to this demand.
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The launch of several branding and marketing initiatives by the
Government of India such as ‘Incredible India!’ and ‘AthitiDevo Bhava’
has provided a focused impetus to growth. The Indian Government has
also released a fresh category of visa – the medical visa or M-visa, to
encourage medical tourism in the country.
The Government Is working to achieve 1% share in world’s international
tourist arrivals by 2020 and 2% share by 2025.
Post the pandemic crisis, the government plans to tap into regional
tourism by opening doors for South Asian country tourists.
In November 2021, the Indian government planned a conference to
boost film tourism in the country with an aim to establish domestic spots
as preferred filming destinations. This move is expected to create jobs
and boost tourism in the country.
The Government Is also making serious efforts to boost investment in
the tourism sector. In the hotel and tourism sector, 100% FDI (Foreign
Direct Investment) is allowed through the automatic route. A five-year tax
holiday has been offered for 2-, 3- and 4-star category hotels located
around UNESCO World Heritage sites (except Delhi and Mumbai).
Government is planning to boost the tourism in India by leveraging on
the lighthouses in the country. 71 lighthouses have been identified in
India which will be developed as tourist spots.
The lighthouses will feature museums, amphi-theatres, open air
theatres, cafeterias, children’s parks, eco-friendly cottages and
landscaping according to its capacity. India is often termed as the
hotspot for bio-diversity and its rich natural heritage is unparalleled in
many ways. As of December 2020, the country comprised ~104 national
parks and 566 sanctuaries.
Ministry of Tourism has introduced the Incredible India Tourist Facilitator
(IITF) and Incredible India Tourist Guide (IITG) Certification Programme,
aimed at creating an online learning platform of well-trained tourist
facilitators and guides across the country. The IITF concept is aimed to
promote micro-tourism, i.e., tourism in less explored areas of the
country.
The future outlook of the Tourism & Hospitality sector looks on track with
pandemic easing out.
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India’s travel and tourism industry has huge growth potential. The
industry is also looking forward to the expansion of e-Visa scheme,
which is expected to double the tourist inflow in India. India’s travel and
tourism industry has the potential to expand by 2.5% on the back of
higher budgetary allocation and low-cost healthcare facility according to
a joint study conducted by Assocham and Yes Bank.
CASE STUDY
Make My Trip
Make My Trip is India’s leading online travel company which provides Indian
traveller with instant bookings and comprehensive
choices. It initiated its services by serving the US-
India travel market in 2000 offering a range of best-
value products and services powered by technology
and round-the-clock customer support. It started its
operations in India in 2005. It has proactively
diversified its products offering by adding a variety
of online and offline products and services.
42 | P a g e
TAJ GROUP OF HOTELS
The senior management team provides a role set and combines it with a
paternal style of management, resulting in a strong
sense of belonging within the employee
The Taj Group of Hotels is amongst the best
paymasters in the industry, wherein the
compensation packages are designed to provide
quality life to all employees
Periodic compensation bench marking surveys are
conducted, based on which alignment decisions are taken.
Employee Stock Option Program has been introduced from this year The
Human Resource Department continually monitors the Turnover figures
and does a root cause analysis
The performance appraisal system follows the Key Result Area
system for objective goal setting, this means that each manager mutually
agrees with his superior on key result areas related to financial, operational
and human resources aspects of the job, this is followed by a mid year
review to ensure alignment.
Each employee is placed at the place where he fits in best, and he is given
a sense of empowerment and belonging
A good career planning system is also implemented, which identifies
opportunities based on competencies of people and gives them growth
opportunities in line with their individual aspirations.
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Major Companies Across Segments
As per the Federation o Hotel & Restaurant Associations of
India(FHRAI),inFY21,theIndianhotelindustryhastakenahitof>Rs.1.30lakhcrore(US$17.
81billion)inrevenueduetoimpactoftheCOVID-19pandemic.
45 | P a g e
CHAPTER - V
SUMMARY,
FINDINGS &
SUGGESTIONS
46 | P a g e
SUMMARY
Tourism is a human experience, a social experience, a geographical
phenomenon, a resource value, and a business industry. It is a major
social phenomenon of the modern society with enormous economic
consequences. Its importance as an instrument for economic
development and employment generation, particularly in remote and
backward areas, has now been well recognized the world over. The
industry today is globally recognized as a major economic contributor
and employment generator. The investment flows into this field are
constantly on the increase.
The tourism industry faced with various challenges in the field of human
resources, one of the crucial issues in this regard is the quality of
manpower. The industry is vitally faced with the demand for qualified
quality personnel.
Today, human resource planning is considered as the way management
comes to grasp the ill defined and tough-to-solve human resource
problems facing an organization.
The role of HR manager is very crucial in selecting and recruiting the
right kind of people who can be an asset for the tourism sector. The
training and development plans are aimed at developing talents to
perform effectively in the present and future higher levels on more
challenging work situations.
The success of an organization depends on its ability to affect
continuous improvement and provide quality products and services to its
customer. This will require every personnel in the organization to
possess the requisite knowledge, skill and attitude.
For the purpose of determining training requirements, two levels of
supervision could be identified. Each level of supervision should have a
curriculum that addresses competencies required at that level.
47 | P a g e
Work can be a significant source of satisfaction if opportunities are
provided for the recognition and meeting of employee’s needs.
Rewards for an employee including both monetary compensation and
non-monetary recognition must met his basic needs and conform to the
three parameters of external equity, internal equity and individual equity.
Organizational culture is extremely important to create an environment of
respect for each other build team spirit, provide enlightened leadership
and capable supervision, and show that employees are wanted.
The developing countries must first develop the human resources in
order to develop the Tourism institutional structure in which technological
innovation can occur on a large scale. Economic development can
succeed only when the environment as a whole is conducive to change
and innovation at all levels and on all fronts especially in Tourism
Industry. This will require educated masses, literate and national
masses.
The strategies supported to achieve the goal of human resources
development in Tourism Industry include more open government, more
transparent and accountable public administration and development of
energetic entrepreneurship in developing countries and further
liberalization of markets and goods, capital, technology and tourism
products. This would require joint action programmes. A new vision for
global co-operation for the next century is needed.
It has become imperative that Tourism Industry should concentrate on
HRD system for grooming. HR in such a manner so as to flourish and
achieve international competitiveness in tourism.
The Tourism Industry faces with various challenges in the field of human
resources; one of the crucial issues in this regard is the quality of
manpower. The industry is vitally faced with the demand for qualified
quality personnel.
The Government of India has shown some interest, though obviously not
enough, in the promotion of Tourism Industry over the years, the
Government has realized the importance of the skilled manpower in the
field at different level to train and develop human resources.
FINDINGS
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The tourism industry faced with various challenges in the field of human
resources, one of the crucial issues in this regard is the quality of
manpower. The industry is vitally faced with the demand for qualified
quality personnel.
The role of HR manager is very crucial in selecting and recruiting the
right kind of people who can be an asset for the tourism sector. The
Development of Tourism can have both positive and negative impacts on
destinations. Sustainable tourism development attempts to find a
balance between these impacts to create an improved quality of life for
the host community and the destination.
The tourism potential, if properly planned can become a source of further
income and regional development. Further expansions of tourist trade
are immense if conceived on long-term perspective.
Tourism is a human
experience, a social
experience, a
geographical
phenomenon, a
resource value, and a
business industry.
Tourism is widely
recognized as the
world’s largest industry
which plays an
important role for
human resource development. Yet tourism is also highly dynamic and is
strongly influenced by economic, political, social, environmental and
technological change.
The success of an organization depends on its ability to affect
continuous improvement and provide quality products and services to its
customer. This will require every personnel in the organization to
possess the requisite knowledge, skill and attitude.
HRD should be taken on a priority basis and adequate planning
measures should be done accordingly because efficient human
resources can increase customer satisfaction, and create a competitive
edge in this globalize world. The tourism industry has achieved new
dimensions with visitors coming from near & far, to enrich & have great
experience .
Most of the local people are engaged in tourism industry directly and
indirectly and their income increases during the tourist season. It has
49 | P a g e
been observed that over the years, there has been a change in the
demand and supply pattern of human resources for the travel industry,
with the demand in favour of more educated and specialized personnel.
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Tourism being a highly labour intensive industry, there should be an
integrated HRD system with both public and private sector participation
to develop human resources to meet the requirements of the industry.
Capacity building of the service providers through shorter 3 to 6 month
training courses should be taken as integral to the general effort to
strengthen/enlarge the manpower required by the hospitality industry.
Tourists sometimes face harassment from taxi drivers, hotel owners,
shop-keepers, vendors and others during their visits to various
destinations.
In order to ensure safe travel and thereby enhance the attractiveness of
the place for tourism, the Government should, with the help of the local
authorities, exercise closer supervision over the activities of the service
providers at the different gateways and tourist destinations by setting up
tourist help desks.
A specialized wing of the Police in the form of Tourist Police will be
created, if necessary, in due course to provide more effective security to
tourists.
Seminars, Conference and workshops should be conducted to discuss
problems and prospects of HRD at the national and international level.
The importance of Human Resource Development for Tourism Industry
is increasingly being realized. There is a need to mobilize the human
resource with the purpose to enable them to participate in the task of
organizational development and nation building.
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BIBLIOGRAPHY
1. Rao, V.S.P. (2020), Human Resource Management, Excell Books, New
Delhi.
4. PTI Report, The Time of India, New Delhi, October 12, 1999, p.6.
5. UNI Report, The Times of India, New Delhi, May 28, 1998, p. 6.
6. UNI Report, “Merged IA, AI will be ready in four months”, The Times of
India, New Delhi, March 3, 2017, p. 15.
7. UNI Report, “AI, AI merger with in 6 months, The Times of India, New Delhi,
April 6, 2007, p. 18.
9. Seth, Pran Nath and Bhat, Sushma Seth (2020), An Introduction to Travel 7
tourism, Sterling Publishers Pvt. Ltd., New Delhi.
10. Sinha, P.C. (2019), Tourism Transport and Travel Management, Anmol
Publications Pvt. Ltd., New Delhi.
11.. Raj Aparna (2014), The travel Industry – Emerging Human Capital
Attracting the Talent and Keeping it too”, Study material for FDP, supplied by
ITTM, Gwalior, pp. 133-134.
12. Anand, Byas, “Merger plan of IA & AI finalised”, The Times of India, New
Delhi, October 13, 2016.
13. www.Indianairlines.nic.in
14. www.hrplanning.com
15. www.indiatourism.com
16. www.travelindia.com
ANEXURE
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QUESTIONNAIRE
Instruction: Please Put Tick Mark (√ ) in the relevant boxes.
53 | P a g e
Agree Disagree No Response
6. Does the management of Air India Ltd. think to develop the individual
intellectually as well as materially to enable him/her lead a fuller life by
developing his/her capacity to learn and earn?
8. Has Air India Ltd. properly planned, developed and is monitoring the
HRD system keeping in view the organizational requirements?
Individual
Institutional
Collaborative
54 | P a g e
(I) Adequate pay, perks, and other financial benefits of the
employees?
1. On the Job
13. (I) Does Air India Ltd. organize frequently career counseling and
short-duration programmes for updating the knowledge and skills
managers/supervisors/grass root level employees?
. Agree Disagree No Response
14. (I) What is the status of growth in the productivity of Air India Ltd.. for
the last 5 years ?
15. Is there any mechanism in Air India Ltd. to reward for any good work
done or any contribution made by the employees for their motivation?
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16. Are employees (flying and ground duty staff) of Air India Ltd.
satisfied with the rewards and incentive schemes provided by the
organization?
(I) Flying staff :
Agree Disagree No Response
(II) Ground duty staff :
Agree Disagree No Response
17. Does the management of Air India Ltd. make efforts to identify and
utilize the potential of the employees?
Agree Disagree No Response
18. Does the top management spend a considerable part of its time and
money to ensure development of its employees?
Agree Disagree No Response
22. Do you concur with the assessment of the Reporting Officer of Air
India Ltd. in respect of Appraisal factors (viz. Decision making, power of
analysis, knowledge, Personality, Human Relations, Resourcefulness,
Communication, results produced).
Agree Disagree No Response
23. Do you concur with the assessment of the reporting officer regarding
promotability, training needs and development plans?
Agree Disagree No Response
24. Are there any limiting factors which possibly hinder the future
advancement of the employees?
Agree Disagree No Response
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25. Do you consider your employees suitable in all respects to hold
independent charge of a post of representational nature?
Agree Disagree No Response
26. Does your organization has any major significant
achievement/patents/MoU/transfer of technology as a result of
interaction with other Tourism?
(I) Indian (specific airlines)
Agree Disagree No Response
(II) Foreign or local basis
Agree Disagree No Response
(II) If agree, at the national or international level?
National International
27. (I) Is organizational culture created within Air India Ltd. to help keep it
dynamic?
Agree Disagree No Response
(II) If agree, what practices in your view would help sustain the work
culture in your organization?
Infusing the mission spirit among employees
Responsible top management practices
Socialization
Any other type viz., synchronization of individual and organizational
goals.
28. Does Air India Ltd.. intend to achieve organizational effectiveness i.e.
inspiration to achieve goals, through higher production, cost reduction,
higher profitability, growth and diversification ?
Agree Disagree No Response
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Exchange Rates
ExchangeRates(CalendarYear) ExchangeRates(FiscalYear)
Year Rs.EquivalentofoneUS$
Year Rs.EquivalentofoneUS
2004-05 44.95 $
2005-06 44.28 2005 44.11
2006-07 45.29 2006 45.33
2007-08 40.24 2007 41.29
2008-09 45.91 2008 43.42
2009-10 47.42 2009 48.35
2010-11 45.58 2010 45.74
2011-12 47.95 2011 46.67
2012-13 54.45 2012 53.49
2013-14 60.50 2013 58.63
2014-15 61.15 2014 61.03
2015-16 65.46 2015 64.15
2016-17 67.09 2016 67.21
2017-18 64.45 2017 65.12
Note:*-UntilSeptember2022
Source:ForeignExchangeDealers’AssociationofIndia
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Major Terror Attacks in India
March 12, 1993: A series of thirteen explosions in Mumbai, then called Bombay,
resulted in 257 deaths and over 700 injuries. The blasts were orchestrated by the
organized crime syndicate called the D-Company, headed by Dawood Ibrahim.
Feb. 14, 1998: Coimbatore bombings: 46 deaths, 200 wounded as a result of 13bomb
attacks in 11 places.
Oct. 1, 2001: Militants attack Jammu & Kashmir Assembly complex in Srinagar,
killing about 35. The Muslim extremist group Jaish-e-Mohammed was allegedly
involved.
Dec. 13, 2001: Attack on the Indian Parliament complex in New Delhi led to the
killing of a dozen people and 18 injured. Pakistan-based terror groups were blamed for
the attack.
Sept. 24, 2002: Akshardham temple in Gujarat: The first major hostage taking since
Sept. 11 in the U.S.; 31 people were killed and another 79 wounded.
May 14, 2002: Militants attack on an Army camp near Jammu, killing more than 30
people.
March 13, 2003: A bomb attack on a commuter train in Mumbai killed 11.
Aug. 25, 2003: Twin car bombings in Mumbai killed at least 52 people and injured
150. Indian officials blamed a Pakistan-based terror outfit.
Aug. 15, 2004: An explosion in the northeastern state of Assam killed 16 people,
mostly school children.
July 5, 2005: Militants attack the Ram Janmabhoomi complex, the site of the
destroyed Babri Mosque at Ayodhya in Uttar Pradesh.
Oct. 29, 2005: Three powerful serial blasts rocked the busy shopping areas of south
Delhi, two days before the Hindu festival of Diwali, killing 59 and injuring 200. A
Pakistan-based terrorist outfit, the Islamic Inquilab Mahaz (believed to have links with
Lashkar-e-Taiba) claimed responsibility.
March 7, 2006: A series of bombings in the holy city of Varanasi killed at least 28
and injured 101. Indian police put the blame on some Pakistan-based terror outfits.
July 11, 2006: Seven bomb blasts occurred at various places on the Mumbai
Suburban Railway, killing 200. Investigations revealed that terror outfits with a
base in Pakistan were behind the blasts.
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Sept. 8, 2006: At least 37 people were killed and 125 were injured in a series
of bomb blasts in the vicinity of a mosque in Malegaon, Maharashtra. The
blasts were followed by an explosion and most of the people killed were
Muslim pilgrims.The students Islamic Movement of India was responsible.
May 18, 2007: A bombing during Friday prayers at Mecca Masjid, Hyderabad,
killed 13 people. Four were killed by Indian police in the rioting that followed.
May 26, 2007: Six people killed and 30 injured in a bomb blast in India's
northeastern city of Guwahati.
Aug. 25, 2007: Forty-two people killed and 50 injured in twin explosions at a
crowded park and a popular eatery in Hyderabad by Harkat-ul-Jehad-i-Islami
(HuJI) activist.
May 13, 2008: A series of six explosions tore through Jaipur, a popular tourist
destination in the Rajasthan state in western India, killing 63 people and
injuring more than 150.
July 25, 2008: Seven blasts in quick succession across the south Indian tech
city of Bangalore killed one and injured more than 150 people.
July 26, 2008: Serial blasts in the western Indian city of Ahmedabad killed 45
people and injured more than 150. A group calling itself Indian Mujahideen
claimed responsibility.
Sept. 13, 2008: Five bomb blasts in New Delhi's popular shopping centers left
21 people dead and more than 100 injured. The Indian Mujahideen claimed
responsibility.
Sept. 27, 2008: A blast in a New Delhi flower market left one dead.
Oct. 30, 2008: Thirteen bomb blasts in India's northeastern state of Assam
and three other towns left at least 61 people dead more than 300 injured.
Source: Wall Street Journal, Timeline of Attacks in India, Nov. 28, 2008
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