1109HSL Lecture 1-Student

9/02/2012
Welcome to 1109HSL International Tourism and Hotel Systems
Sandie Kensbock (Convenor/Lecturer) David Ponton (Tutor) Lesley Thompson (Tutor)
Department of Tourism, Leisure, Hotel & Sport Management
Semester 1, 2012
Sandie Kensbock
s.kensbock@griffith.edu.au Department of Tourism, Leisure, Hotel & Sport Management Griffith Business School Building N72. Room 0.37 Telephone: 3735 6710 Consult: Tuesday 12 noon to 2 pm
Semester 1, 2012
Etiquette
Mobile phones to be switched OFF Recording of lectures and tutorials is NOT permitted Harassment, bullying and discrimination of any form will NOT be tolerated and may result in disciplinary action English is the ONLY language to be spoken in the classroom Classes (lectures/tutes) start on the hour and finish 10 to the hour Arrive early and be ready to start at the designated time In class behaviour, phones, computers, food & drink, emergencies, late arrivals, absences, lost property
Department of Tourism, Leisure, Hotel & Sport Management Semester 1, 2012
9/02/2012
Course Overview
1109HSL International Tourism & Hotel Management Systems

Important Course Information Course Profile Lectures Assessment Tutorial Activities Course Introduction Lecture 1 Tourism as a system Hospitality and Tourism
Semester 1, 2012
Course Profile - Important Document
Course content Learning resources Lectures Assessment Communication
Semester 1, 2012
Course aims/learning outcomes and graduate skills

1. Introduction to the systems of international tourism and hotel services 2. Achieved by examining components of and dependencies between transportation, accommodation, food and beverage, and attractions services 3. Within a context of globalisation, and need for sustainability 4. Implications of systems for developing and delivering travel and hospitality experiences
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Resources
Book of readings available from the Bookshop Lecture slides available one week prior to lectures Recommended learning resources Websites Passport GMID (Euromonitor), Tourism Offices Worldwide Directory, Smart Traveller, Lonely Plant, Domestic Marketing Organisations (DMOs), Industry sector and trade associations such as United Voice (the hospitality workers union), and the Australian Hotels Association. Industry Publications Hospitality, Hotels: The Magazine of the Worldwide Hotel Industry, Leisure Management, International Cruise and Ferry Review, International Railway Journal
http://www.lraworldwide.com/pdf/Article_Hotels_InTheGreen_Storck_Mar2011.pdf http://www.railjournal.com/ http://www.cruiseandferry.net/
Resources
Books Biederman, P. (2008). Travel and Tourism: An Industry
Primer. Brotherton, B. (2003). The International Hospitality Industry: Structure,Characteristics and Issues. Conrady, R & Buck, M. (2007). Trends and Issues in Global Tourism. Jaszay, C. (2006). Ethical Decision Making in the Hospitality Industry. Lockwood, A & Medlick, S. (2001). Tourism and Hospitality in the 21st Century. Lashley, C & Morrison, A. (2000). In Search of Hospitality. Medlick, S., & Ingram, H. (2000). The Business of Hotels. Vellas, F & Becheral, L. (1995). International Tourism.
Academic Journals (contain mostly theoretical and statistical research articles)

Annals of Tourism Research, Asia Pacific Journal of Tourism Research, Cornell Hotel and Restaurant Administration Quarterly, International Journal of Hospitality and Tourism Administration, International Journal of Tourism Research, Journal of Foodservice Business Research, Journal of Hospitality and Leisure Management, Journal of Hospitality and Tourism Research, Journal of Restaurant and Foodservice Marketing, Journal of Travel Medicine, Journal of Travel Research, Journal of Tourism Studies, Journal of Vacation Marketing, Scandinavian Journal of Hospitality and Tourism, Tourism Management.
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Communication
Learning@Griffith notices related to lectures or tutorials, lecture notes (aids only) Staff Consultation Set times posted on the course website drop in or appointment. 0.30 (N72) Email You must use course code in the subject box (1109HSL) You must use correct grammar NO txt abbreviations! Ensure you use your registered Griffith name Keep your inbox uncluttered and empty the TRASH bin regularly GBS Resource Bank APA (American Psychological Association) Referencing Library
Overview of Lecture Learning Activities

Week 1: Introduction to International Tourism & Hotel Systems Week 2: International Tourism and Hotels as a Global Market System Week 3: Supply-side Determinants of IT&H markets Week 4: Demand-side Determinants of IT&H markets Week 5: Governance Systems in IT&H Week 6: International Transport & Tour Systems Week 7: International Hotel & Accommodation Management : International Hotel & Accommodation Guest Cycle Week 9: International Food & Beverage Systems Week 10: International Attractions Systems Week 11: Impacts of IT&H Services Week 12: Future Developments in IT&H Week 13: Course Review and Revision
Tutorial Learning Activities
Tutorial introductions & expectations Destination & Organisation system analysis requirements Accessing Passport GMID, United Voice (LHMWU) & Factiva resources Class discussions, debates & reading questions Presentations of IT&H impacts & futures
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Assessment
10% Tutorial preparation/participation 30% 2,000 word Destination Analysis: wk 8 23/4 -3pm 25% 1,000 word Organisational Analysis: wk 11 14/5 -3pm 35% 90 minute Final Exam in exam week 15 or 16
Semester 1, 2012
Assessment Related Policies and Guidelines

Academic Misconduct Cheating, Fabricating, Misrepresenting, Plagiarising Special Consideration, Extensions, Deferred Assessments Medical Certificate Feedback to students and from students (SEC) Health & Safety Classroom conduct Learning Objectives
Semester 1, 2012
Course Introduction Lecture 1

1. Introduce the course and field of study 2. Consider the idea of tourism and hotel services as systems of connected and dependent organisations, departments and individuals 3. Define key concepts Hospitality Tourism Tourist Tourism as a system
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International Tourism and Hotel Systems studies

1. Tourism and hotel services for international rather than domestic visitors 2. Emphasises leisure travel and hospitality services 3. Considers cross cultural differences among countries 4. Combines industry/trade knowledge with business management and social science concepts 5. Serves as an introduction for subsequent courses
Readings
OConnor, D. (2005). Towards a new interpretation of hospitality. International Journal of Contemporary Hospitality Management, 17(3), 267-271 (You are advised to read each reading before attending each lecture and before the final exam)
Semester 1, 2012
Tourism and hotel services as systems or networks

Tourism and hotel services as systems or networks of interconnected and interdependent organisations and individuals
What is a system?
A system is a group of interrelated, interdependent and interacting elements that together form a single structure. This definition implies that: each element can influence and be influenced by other elements in the system Changes to one element in the system can influence changes in other elements
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The reasons for using a systems approach for study of tourism

To emphasize the interdependency in tourism; the tourism system is like a spiders web touch one part are felt throughout the system. For a student beginning to study tourism, it is important to get the bigger picture right away. The open system nature of tourism. Tourism system is dynamic and constantly changing. New concepts are always arriving in tourism, such as ecotourism, space tourism. The complexity and variety in all aspect of tourism. For example, there are thousands of specialized tours and packages available for travelers today.
A System
A system is an interrelated set of components, with identifiable boundary, working together for some purpose A system has nine characteristics: 1. Components Subsystems 2. Interrelated components 3. A boundary 4. A purpose 5. An environment 6. Interfaces 7. Input 8. Output 9. Constraints
System characteristics
A component An irreducible part or aggregation of parts that make up a system, also called a subsystem Interrelated components Dependence of one subsystem on one or more subsystems Boundary The line that marks the inside and outside of a system and that sets off the system form its environment
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Purpose The overall goal or function of a system Environment Everything external to a system that interacts with the system Interface Point of contact where a system meets its environment or where subsystems meet each other.
Constraint A limit to what a system can accomplish Input Whatever a system takes from its environment in order to fulfill its purpose Output Whatever a system returns from its environment in order to fulfill its purpose
Systems Approach to Tourism

Leiper (2004) places tourism in a framework that minimally requires five interdependent core elements: 1. At least one tourist 2. At least one tourist generating region (TGR) 3. At least one transit route (TR) 4. At least one tourist destination (TDR) 5. A travel and tourism industry that facilitates movement within the system
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Tourism as a System
Tourism Generating Region (TGR) Tourism promotions Travel agents Banks Government Offices Travel good suppliers
Transit Route (TR) Transport services Hospitality services
In this system, organisations located in the
Tourism Destination Region (TDR) Accommodation Transport Attractions Host community
travellers place of residence, along their transit route and at their destination, act to deliver a tourist experience
Tourism as a System
Adapted from Leiper (2004)

Thoughts about Leipers Model

Leipers model also indicates that the ITH system operates as a part of a larger system consisting environments that influence the elements of the system Political and Legal environments Economic environments Socio-cultural environments Technological environments It is a simple model as we know that tourists may have: Stop-overs on their way to a destination May travel to other destinations within the destination
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Tourism system with multiple transit and destination regions
Adapted from Leiper (2004)

Systems View
Allows perception of the interrelationships between elements and subsystems How one element can be affected How an element may affect other elements Recognition that the system does not operate in isolation. Open system where new elements or sub systems may be added e.g. Space tourism, ecotourism Recognises the complexity of the system New packages, tours, transportation, destinations and specialisations to meet needs of travellers and tourists.
Benefiting from systems thinking

Identify where the boundaries lie and all of the relevant inputs Visualising a set of things and their relationship as system allows you to specify the physical situation. Subsystems Breaking the system into subsystems, we can analyze each subsystem separately and discover if one or more subsystem is at capacity. Its enables us to determine problems with demand
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I T & H as a System
A system is a set of interrelated groups coordinated to form a unified whole and accomplish a set of goals. It can refer to macro and micro views A macro level view refers to a broader system (a country, state, region) and how it relates to other external systems (e.g., legal, political, economic & social systems A micro level view refers to a smaller system (a business, a department) and how it relates to internal systems (e.g., several departments, functions or processes) A mixed level view combines features of both macro and micro systems (e.g. a businesss competitive environment, its market, its results, its linkages with other institutions and with the consumer and how individual internal departments relate to external systems
I T & H as a System
1. What type of view is an industry sector system (macro, micro, mixed)? 2. What type of view is a hotel system? (macro, micro, mixed)? 3. What type of view is a restaurant system (macro, micro, mixed)? 4. What type of view is a complaint system (macro, micro, mixed)?
Problems with IT&H being a System

1. Difficulties exist in determining who and what is or is not part of the industry 2. Suppliers can simultaneously operate in different sectors/industries (e.g., coach drivers) 3. Suppliers (e.g., airlines) can simultaneously operate in global and national settings 4. Suppliers can simultaneously service both international and domestic visitor markets 5. Supply is based on networking, exchange and reciprocity among producers who have to satisfy different stakeholders needs (e.g., visitors, guests, staff, shareholders) they dont always agree or co-operate
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Sectors Comprising the Tourism System

Transport Accommodation Food and beverage Tour operators, wholesalers and travel agents Attraction operators Meetings, incentives, conventions, exhibitions & events (MICE) Retailers and duty free shops Promotion and coordination bodies
The Concept of Tourism

relationships arising from the interaction among a system of tourists, business suppliers, government and host communities in the process of attracting and hosting tourists. (Adapted from McIntosh, Goeldner & Richie, 1995), Principles and Practices of Tourism)
Semester 1, 2012
An Experiential Definition of Tourism

(Adapted from Lundberg, The Business of Tourism)
the business of transporting, accommodating, feeding, caring and entertaining; however the tourist may want much more than transport, a bed, food, a room service and a sunny beach. They may also want to be edified, tantalised, excited and relaxed: both body and ego may need a massage. They may also want to be edified, tantalised, excited and relaxed: both body and ego may need a massage Q: Which part of this slide represents the experience and why?
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The Concept of Travel

A change in a persons place of being; can involve six dimensions: 1. Physical travel: a journey 2. Psychological state: a change in ones mind 3. Time period: mostly in discretionary time 4. Location: sited away from normal home 5. Activity: involving different ways of acting 6. Multi-phase activity: pre-trip anticipation, travel to, on-site, travel back, and post trip memory phase 7. Travel derives from the French word Travail which, when translated into English means hard work. Note that these dimensions can also be applied to some hospitality experiences
(Adapted from Clawson and Knetsch, The Economics of Outdoor Recreation; Medlick, Tourism: Past Present and Future)
A Statistical Definition of a Tourist

A person who travels away from their usual place of residence for a period of at least one overnight stay but not longer than 12 months and at a location at least 40 kilometers from their usual place of residence.
(Source: Tourism Research Australia)
(People who) travel to and stay in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes not related to the exercise of an activity remunerated from within the place visited
(Source: World Tourism Organisation, 1994)
The problems with the statistical definition:

a. It excludes long stay back-packer travellers b. It could include people committing crimes c. It doesnt include day tourists who may travel less the 40 km
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Systems of Tourists/Visitors/Guests
International tourists Inbound tourists: non-residents travelling to/in destination country Outbound tourists: residents travelling to another country away from their own country of origin
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Domestic tourists: residents of a given country travelling within that country and who generally stay overnight Intrastate (travel within a state) Interstate (travel to another state)
Day Trippers, Same Day Travellers, Excursionists Residents who travel locally or close to home within 24 hours (i.e. have no overnight stay)
A SYSTEM OF TRAVELLERS
TRAVELLERS Tourists (visitors included in visitor statistics) Overnight visitors Non tourists (not included in visitor statistics) Day-trippers
Domestic residents Leisure travellers
International non-residents Business travellers Other travellers
Domestic residents Leisure travellers
International non- residents Business travellers Other travellers
Commuters
Migrants
Nomads
Refugees
Military & consular
Semester 1, 2012
Daily routine visitors
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First time Visitors - Visitors who come to a destination for the first time Repeat Visitors - Visitors who return two or more times to a destination Pax - The total number of passengers or hotel guests Regulars - Guests who return two or more times Walk ins (ups) - Guests who walk in off the street, often by chance) Covers - Number of seats available in a restaurant/cafe
Semester 1, 2012
RevPAR
RevPAR is revenue per available room. RevPAR is calculated by dividing Rooms Revenue by the Rooms Available Rooms Revenue is the revenue generated by the sale of rooms Rooms Available is the number of rooms available for sale in the time period An often used short cut to estimate RevPAR is to multiply Occupancy % by the Average Daily Rate (ADR) So, RevPAR (estimated) = Occ% * ADR
Department name (edit in View > Header and Footer...)
Sectors Comprising the Tourism Industry System

1. Transport operators 2. Accommodation providers 3. Food and beverage services 4. Tour operators, wholesalers and travel agents 5. Attraction operators 6. Meetings, incentives, conventions, exhibitions and events (MICE) 7. Retail and duty free shops 8. Government, promotion and industry organisations
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The Concept of Hospitality

Hospitality is a central concept that unites tourism and hotels. Being hospitable is arguably the essence of the product that people buy when they purchase travel and hotel experiences The etymology of hospitality is in the Latin hospes, formed from hostis meaning stranger, and evolving into hospitalitas, which means the entertainment of guests (Santich, 2007). Since the 1980s, the term hospitality has been applied as a label to encompass commercial operations and also as a specialised field of academic research (Morrison, 2002; Lashley, Lynch & Morrison,2007).
Ideas about Hospitality

1. "hospitality" means "host" or "hospice 2. To host means to be kindly, friendly, welcoming, to give generous treatment to guests and strangers. The virtue which induces us to feed and lodge certain persons who are not in need of food and lodging (Ambrose Bierce) 3. Guests bring honour and status to hosts 4. To be hospitable is to be noble 5. Relationships between hosts and guests are naturally grounded in social life 6. Guests bring honour and status to hosts 7. Hospitality is making your guests feel at home, even though you wished they were! (anon) 8. Hospitableness provides currency (both social and financial)
Defining Hospitality as an Experience

Type of Economies Nature of products Source of products Agricultural (commodities) Organic (renewable) Extracted from the earth Industrial (goods) Tangible (material) Manufactured in factories Service (services) Intangible (felt) Delivered Experience (experiences) Memorable (sensed) Staged and engineered
Attributes of products
Natural (fibre, grain, timber)
Standard & synthetic
Customised package of benefits Providers, clients, segments
Personal sensations & feelings Hosts and guests
Titles of providers and users
Traders and markets
Sellers and consumers
(Adapted from Pine and Gilmore, Welcome to the Experience Economy)
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Hotels
The term hotel derives from Roman categories of commercial establishments including hospita, stabula, tabernae, and popinae; hospita (hotels) offer rooms for rent, and often food and beverages to overnight guests (Kevin OGorman, 2007).
A Hotel as a System
Travel Agents Marketing (Back of House) Security Airlines Local transport Management (Front of House) Reservations Customer Finance Cashiering Concierge Reception House keeping Kitchen
Engineering
Food & Beverage
Retail
Restaurants
Bookings Office
Medical & Dental
In this system, different internal and external units combine to deliver a hotel experience
A Restaurant as a System
External environment (e.g., local government health department)
Inputs Labour (wait staff) Materials (food) Facilities (tables) Operations (wages) Information (customer research)
Operations (transformational subsystems) Procurement Production Distribution Sanitation
Outputs Quantity and quality of meals Customer satisfaction Employee satisfaction Ideas/innovation Profit
External environment (e.g., local food and beverage media)

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A Customer Complaint System

What happens to a tourist or guest experience, when one or more parts of a system fails? 1. Receive/log complaint (from customer, staff or other source) 2. Clarify complaint with internal informants 3. Determine level of response required 4. Respond to complainant within 24hours 5. Clarify issue 6. Offer explanation/apology as required 7. Provide service recovery inducement 8. Follow-up with complainant if required, review daily/weekly/monthly/annual complaint log for service modification
Lecture Summary
Etiquette Course Profile Lectures Assessment Tutorial Activities Tourism as a system Hospitality and Tourism
Preparation for week 2

Read: Biederman, P. (2008). Dimensions of travel and tourism. Travel and Tourism: An Industry Primer. New Jersey, USA: Pearson. Prepare answers from Biederman (2008) reading for tutorial
Semester 1, 2012
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9/02/2012

Welcome to 1109HSL International Tourism and Hotel Systems

Sandie Kensbock (Convenor/Lecturer) David Ponton (Tutor) Lesley Thompson (Tutor)

Department of Tourism, Leisure, Hotel & Sport Management

Department of Tourism, Leisure, Hotel & Sport Management

1109HSL International Tourism & Hotel Management Systems

Department of Tourism, Leisure, Hotel & Sport Management

Course Profile - Important Document

Course content Learning resources Lectures Assessment Communication

Department of Tourism, Leisure, Hotel & Sport Management

Course aims/learning outcomes and graduate skills

Academic Journals (contain mostly theoretical and statistical research articles)

Overview of Lecture Learning Activities

Tutorial Learning Activities

Department of Tourism, Leisure, Hotel & Sport Management

Department of Tourism, Leisure, Hotel & Sport Management

Assessment Related Policies and Guidelines

Department of Tourism, Leisure, Hotel & Sport Management

Course Introduction Lecture 1

International Tourism and Hotel Systems studies

Department of Tourism, Leisure, Hotel & Sport Management

Tourism and hotel services as systems or networks

The reasons for using a systems approach for study of tourism

Systems Approach to Tourism

Transit Route (TR) Transport services Hospitality services

In this system, organisations located in the

Tourism Destination Region (TDR) Accommodation Transport Attractions Host community

Adapted from Leiper (2004)

Thoughts about Leipers Model

Tourism system with multiple transit and destination regions

Adapted from Leiper (2004)

Benefiting from systems thinking

Department of Tourism, Leisure, Hotel & Sport Management

Problems with IT&H being a System

Sectors Comprising the Tourism System

The Concept of Tourism

Department of Tourism, Leisure, Hotel & Sport Management

An Experiential Definition of Tourism

The Concept of Travel

A Statistical Definition of a Tourist

The problems with the statistical definition:

Department of Tourism, Leisure, Hotel & Sport Management

Department of Tourism, Leisure, Hotel & Sport Management

Domestic residents Leisure travellers

International non-residents Business travellers Other travellers

Domestic residents Leisure travellers

International non- residents Business travellers Other travellers

Military & consular

Department of Tourism, Leisure, Hotel & Sport Management

Daily routine visitors

Department of Tourism, Leisure, Hotel & Sport Management

Sectors Comprising the Tourism Industry System

Department of Tourism, Leisure, Hotel & Sport Management

The Concept of Hospitality

Ideas about Hospitality

Defining Hospitality as an Experience

Natural (fibre, grain, timber)

Standard & synthetic

Customised package of benefits Providers, clients, segments

Personal sensations & feelings Hosts and guests

Titles of providers and users

Traders and markets

Sellers and consumers