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Global Trends in Hospitality

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Global Trends in Hospitality
Hospitality Management 18 (1999) 427}442

Operational issues and trends in the hospitality industry
Peter Jones
School of Management Studies for the Service Sector, University of Surrey, Guildford, Surrey, UK

Abstract This article makes some predictions about the future by considering operational issues in the "rst part of the next century. Hospitality operations management is considered at two levels * the "rm level at which strategic operations management takes place; and the unit level. It is proposed, using a model developed by Jones (1999, International Journal of Contemporary Hospitality management), there are seven strategic concerns: location, integration, a$liation, con"guration, organisation, implementation and adaptation. For unit operations management the framework of analysis is based on Lockwood and Jones (1989, The Management of Hotel Operations). This identi"es seven key result areas: assets, employees, capacity (or customers), productivity, service, income (or control), and quality. Using these frameworks an assessment is made of current issues and trends in hospitality operations management, leading to a prioritisation of possible future outcomes. 1999 Published by Elsevier Science Ltd. All rights reserved.
Keywords: Operations management; Assets; Employees; Capacity; Productivity; Service; Quality

1. Introduction Have you ever looked at an impressionist painting? From a distance one is able to see the picture, appreciate its composition and enjoy its subtle realism. Move closer and it becomes apparent that it is made up of thousands of tiny dots, each of which is di!erent. And really close up, there is no clear picture * just a chaotic jumble of colour. The global hospitality industry is like that. It is easy to assume that the industry is homogeneous and there are clear worldwide trends of relevance to hospitality operators everywhere. In reality, the industry is incredibly diverse and complex, which makes identifying common issues



References: BDO Hospitality Consulting, 1998. Business Review. Winter. Bradach, J.L., 1998. Franchise Organisations. Harvard Business School Press, Boston. Bryson, Bill, 1994. Made in America. Martin Secker & Warburg, New York. Connolly, D., Olsen, M., Moore, R., 1998. Competitive Advantage * Luxury Hotels and the Information Superhighway. IH&RA. Cross, L.C., 1998. Managing life safety risk as hospitalty companies go global. Hospitality and Leisure Executive Report, 6 1, Winter, pp. 14}19. Eyster, J.J., 1993. The revolution in domestic hotel management contracts. The Cornell Hotel and Restaurant Administration Quarterly 34, 16}33. Hayward, P., 1998. Service, Please. Lodging, September 4. IH&RA, 1999. One to one: marketing in the interactice age, 36th Annual Congress Report. Jones, P., 1988. The impact of trends in service operations on food service delivery systems. International Journal of Operations and Production Management 8 (7), 23}30. Jones, P., 1999. Multi-unit management in the hospitality industry: a late twentieth century phenomenon. International Journal of Contemporary Hospitality Management. 442 P. Jones / Hospitality Management 18 (1999) 427}442 Jones, P., Lockwood, A., 1996. Hospitality operations management. Hospitality Management: State of the Art. CHME Sponsored Global Internet Conference. Jones, P., Merricks, P., 1986. The Management of Foodservice Operations. Cassell, London. Kleinwort Benson Securities, 1996. UK Quoted Hotel Companies. Levitt, T., 1976. Industrialisation of Service. Harvard Business Review Sept/Oct. Jarvis, N., Lindh, A., Jones, P., 1998. An investigation of the key criteria a!ecting the adoption of yield management in hotels. Progress in Tourism and Hospitality Research 4, 207}216. Lister, H., 1998a. Modular Motel. Lodging, October 11. Lister, H., 1998b. Going for the Green. Lodging, November 19. Lockwood, A., Jones, P., 1989. The Management of Hotel Operations. Cassell, London. McKinsey Global Institute, 1998. Driving Productivity and Growth in the UK Economy. McKinsey Global Institute, London. Pine, B.J., 1993. Mass Customisation. Harvard Business School Press, Boston. Sasser, W.E., Olsen, M.R., Wycko!, D.D., 1978. The Management of Service. Operations Allyn & Bacon, Boston. Schmenner, R., 1986. How Are Service Businesses to Survive and Prosper? Sloan Management Review Spring 21}32. Slattery, P., Johnson, S.M., 1993. Hotel chains in Europe. Travel and Tourism Analyst 1, 65}80.

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