You are on page 1of 64

The Gateway Hotel

CHAPTER-1 INTRODUCTION

IMK Varkala

Page 1

The Gateway Hotel

1.1 Introduction
The Hotel Industry comprises a major part of the Tourism industry. Historically viewed as an industry providing a luxury service valuable to the economy only as a foreign exchange earner, the industry today contributes directly to employment (directly employing around0.15 million people), and indirectly facilitates tourism and commerce

1.2

Objectives of the study

1. To familiarise with an organization in the hospitality industry

2. To understand the function, day to day activities of the various departments in the organization

3. To identify problems faced by the organization if any and to suggest a solution.

4. To conduct an environment analysis of TAJ

1.3 Methodology
The internship training is a familiarisation process, where the trainees personally observe the activities in the department and record details by interacting and interviewing the executives and employees in the firm. Primary data was collected mainly from internal sources. They are collected through direct observation and from personal interviews with the officials. Secondary data was collected from the department manuals and company reports and from various other company documents

IMK Varkala

Page 2

The Gateway Hotel

1.4 Scope of the study


A months time was given for the completion of the organization study. The study was on The Gateway Hotel Janardhanapuram, varkala, Kerala. A study was conducted on four departments of the Hotel. The datas were collected by discussion with head of the department of each department and Human resource Manager who act as a guide in organizational study.

The study helped to develop a practical knowledge about the working of the organization and to familiarize with the organizational procedures

1.5 Limitations of the study


The major limitation of the study was that an in-depth analysis of the functional activities was not possible due to the time constraints. But efforts were taken to carried out the study in a systematic manner so that the result of the study is reliable and useful.

IMK Varkala

Page 3

The Gateway Hotel

1.6 Chapterisation
Chapter 1- Introduction

Chapter 2- Industry profile

Chapter 3- Company profile

Chapter 4- Organisational structure

Chapter 5- Analysis- Objective wise Chapter 6- SWOT & Porters 5 force analysis

Chapter 7- Findings, Conclusion & Suggestions

IMK Varkala

Page 4

The Gateway Hotel

CHAPTER-2 INDUSTRY PROFILE

IMK Varkala

Page 5

The Gateway Hotel

2.1 The Indian hotel industry


The hospitality industry is a major service sector in the world economy. The industry encompasses an extensive variety of service industries that include food service, tourism and hotels. The hospitality industry also includes tourism support commercial activities like airline cabin staff and travel agents. Hospitality industry plays a major role in the overall economic growth of the country.

Hotel Industry in India has witnessed tremendous boom in recent years. Hotel Industry is inextricably linked to the tourism industry and the growth in the Indian tourism industry has fuelled the growth of Indian hotel industry. The thriving economy and increased business opportunities in India have acted as a boon for Indian hotel industry. The arrival of low cost airlines and the associated price wars have given domestic tourists a host of options. The 'Incredible India' destination campaign and the recently launched 'Atithi Devo Bhavah' campaign have also helped in the growth of domestic and international tourism and consequently the hotel industry. In recent years government has taken several steps to boost travel & tourism which have benefited hotel industry in India. These include the abolishment of the inland air travel tax of 15%; reduction in excise duty on aviation turbine fuel to 8%; and removal of a number of restrictions on outbound chartered flights, including those relating to frequency and size of aircraft. The government's recent decision to treat convention centres as part of core infrastructure, allowing the government to provide critical funding for the large capital investment that may be required has also fuelled the demand for hotel rooms. Taking advantage of this opportunity Tata group and another hotel chains have entered this business segment. According to a report, Hotel Industry in India currently has supply of 110,000 rooms and there is a shortage of 150,000 rooms fuelling hotel room rates across India. According to estimates demand is going to exceed supply by at least 100% over the next 2 years. Five-star hotels in metro cities allot same room, more than once a day to different guests, receiving almost 24-hour rates from both guests against 6-8 hours usage. With demand-supply disparity, hotel rates in India are likely to rise by 25% annually and occupancy by 80%.
IMK Varkala Page 6

The Gateway Hotel

'Hotels in India' has a shortage of 150,000 rooms fuelling hotel room rates across India. With tremendous pull of opportunity, India is a destination for hotel chains looking for growth. The World Travel and Tourism Council, India, data says, India ranks 18th in business travel and will be among the top 5 in this decade. MNC Hotel Industry giants are flocking India and forging Joint Ventures to earn their share of pie in the race. Government has approved 300 hotel projects, nearly half of which are in the luxury range. From the sources, the manpower requirements of the hotel industry increased from 7 million in 2002 to more than 15 million at present.

2.2 Evolution of Hotel Industry


While the practice of renting space to travellers stretches back to antiquity, what could be considered the modern concept of a hotel derives from 1794, when the City Hotel opened in New York city. While the practice of renting space was not new, the City Hotel was purported to be the first building devoted exclusively to hotel operations. For its time, the building was quite large and possessed 73 rooms.

Hotels took a distinct step up in style and class when the Tremont House opened in Boston in 1829. This hotel was considered by many to be the beginning of what was regarded as first class service. With 170 rooms, the Tremont House was a large facility. In addition, the hotel offered features which, for the time, were amazing. In the 1920s, hotel building entered a boom phase and many famous hotels were opened, including the Waldorf Astoria, New Yorks Hotel Pennsylvania, and the Chicago Hilton and Towers, which was originally named the Stevens. In the 1950s and 1960s, the practice of franchising appeared within the industry. Franchising enabled entrepreneurs to expand their operations without the use of substantial capital. From the 1980s forward, mergers and acquisitions became common within the industry, and brands become hotly traded commodities. Recently, use of management companies has entered the mainstream. As a result, many chains are more involved in management than in ownership. These chains realize a much more
IMK Varkala Page 7

The Gateway Hotel predictable and steady income stream than had normally been yielded by ownership. With the development of railway systems in many countries the number of hotels also increased, because the volume and type of traffic hotels needed could only be provided by the railways. The main changes in the demand for tourist accommodation have come about from changes in tourist transportation and in the popularity of different forms of holidays. After the introduction of the motor car and the aircraft, a large number of hotels sprang up at various tourist areas and destination. Hotels as a unit of accommodation dominated the scene all over the world.

2.3 Technological advancement in Hospitality sector


Significant technological advancements of the last decade have dramatically impacted the worldwide lodging industry in both positive and challenging ways. As the technology innovation continues to evolve, the magnitude of this phenomenon will continue to influence the sector. From the early days of Holiday Inn through the late 1970s, the biggest technological advances in the hotel industry were the colour TV, air conditioning in every room, and eventually, in-room movies. The evolution of electronic guestroom locks systems. It was not that long ago that, traditional keys were replaced by plastic key cards, which were rapidly supplanted by electronic key cards that will soon be displaced by biometric keyless locks. Flat screen televisions are no longer a luxury in guestrooms, and hotel brand standards now require that all their properties upgrade; Guest bathroom vanity mirrors that conceal an LCD television until activated, and guestroom availability of iPod/MP3 docking stations; Electronic energy management systems that detect guest presence in rooms and allow for control and management of heating and airconditioning costs while rooms are unoccupied, and monitoring and maintaining the same temperature comfort level when guests return to their rooms. The emergence of cloud computing, whereby shared resources, software and information are provided to computers and other devices on demand, similar to an electric grid.

IMK Varkala

Page 8

The Gateway Hotel

2.4 Types of hotels


The following are the main type of hotels

a. International hotels
International hotels are the modern western style hotels seen in almost all metropolitan and other large cities as well as principal tourist centres. These hotels are luxury hotels and are classified on the basis of internationally accepted system of classification. The hotels are placed in various star categories. These hotels provide, in addition to accommodation, all the other facilities which make the stay a very comfortable and interesting experience.

Various facilities provided include well-appointed reception and information counter, banquet halls, conference facilities, etc. there are also shops, travel agency, money changer and safe-deposit facilities. Restaurant facilities, bars and banquets are an integral part of the business of a hotel. The various service provided in these hotels include international and local cuisine, food and Beverage service and restaurant service. These hotels also provide entertainment for the guests in the form of various dance and music programmes.

A number of these hotels belong to the luxury category. There are some international chains which own a large number of such luxury hotels. The chief of the hotel, designated as general manager, is responsible for the overall management and operation of the hotel through his departmental heads. International hotels are suitable for metropolitan cities and for other large business and commercial towns and principal tourist centres.

IMK Varkala

Page 9

The Gateway Hotel

b. Residential Hotels
Residential hotels can be described as apartment houses complete with hotel service. These are often referred to as apartment hotels. The tariff of rooms in these hotels is charged on monthly, half-yearly or yearly basis and is charged for either furnished or unfurnished accommodation these hotels which are located mostly in big cities operate exclusively under the European plan where no meals are provide to the guests. These hotels were developed in the United States of America where people discovered that permanent living in hotels offers many advantages. Services and amenities provide in these hotels are comparable to those of an average well-regulated home. These are very popular in the United States and Western Europe.

c. Floating hotels
As the name suggests, floating hotels are located on the surface of the water. It may be on seawater, river water or on a lake. All the facilities and services of a hotel ate provide in these hotels. These hotels are very popular in many countries. In some countries old luxury ships have been converted in to floating hotels and are proving very popular among tourists. The atmosphere they provide is exclusive and exotic. In India, floating hotels in the form of houseboats are very popular with tourists. d. Heritage Hotels Heritage hotels have unique architectural features used in different periods of time which blend with the culture and tradition of the area. The main idea is to convert these properties which are not being used any more for residential purposes into hotel in order to preserve their uniqueness. Heritage hotels are operating in palaces/ castles/ hunting lodges/ residence of any size built several decades ago. The faade, architectural features and the general construction is of distinctive character, quality and ambiance keeping with traditional way of the area. The architecture of the property is normally not interfered and any extension, improvement renovation in the existing structures made is to be with the traditional architectural style.
IMK Varkala Page 10

The Gateway Hotel

e. Resort hotels
Resort hotels cater to the needs of the holidaymaker, the tourist and those who by reasons of health desire a change of atmosphere. Resort hotels are located near the sea, mountain, and other areas abounding in natural beauty. Rest, relaxation and entertainment are the key factor around which resorts are built. The primary motive of a person visiting resort hotels is rest and relaxation which he is looking far away from his routine busy work life. Resort hotels are built with a view to provide special services to the visitors and are marked by an atmosphere of informality. The type of services and amenities available in resort property include recreation facilities such as swimming pool, golf courts, tennis courts, skiing, boating, and surf-riding and various other indoor sports. Resort can of various types and can be classified on the basis of climate and topography. Broadly they fall in the following categories:

1. Summer resorts 2. Winter resorts 3. Hill resorts 4. All-season resort 5. Health resort A majority of the resort hotels are seasonal establishment which work to capacity during the peak tourist season. Generally the peak tourist season is the period when there are holiday at educational institutions.

2.5 Star classifications a. Two Star Hotels

In this classification hotels will typically be small to medium sized and offer more extensive facilities than at the one star level. Some business hotels come into the two star classification and guests can expect comfortable, well equipped, overnight accommodation, usually with an en-suite bath/shower room. Reception and other staff will aim for a more professional presentation than at the one star level, and offer a wider range of straightforward services, including food and drink.
IMK Varkala Page 11

The Gateway Hotel

b. Three Star Hotels


At this level, hotels are usually of a size to support higher staffing levels, and a significantly greater quality and range of facilities than at the lower star classifications. Reception and the other public rooms will be more spacious and the restaurant will normally also cater for non-residents. All bedrooms will have fully en suite bath and shower rooms and offer a good standard of comfort and equipment, such as a hair dryer, direct dial telephone, toiletries in the bathroom. Some room service can be expected, and some provision for business travellers.

c. Four Star Hotels


Expectations at this level include a degree of luxury as well as quality in the furnishings, decor and equipment, in every area of the hotel. Bedrooms will also usually offer more space than at the lower starlevels, and well designed, coordinated furnishings and decor. The en-suite bathrooms will have both bath and fixed shower. There will be a high enough ratio of staff to guests to provide services like porter age, 24-hour room service, laundry and dry-cleaning. The restaurant will demonstrate a serious approach to its cuisine.

d. Five Star Hotels


Spacious and luxurious accommodation throughout the hotel, matching the best international standards. Interior design should impress with its quality and attention to detail, comfort and elegance. Furnishings should be immaculate. Services should be formal, well supervised and flawless in attention to guests needs, without being intrusive. The restaurant will demonstrate a high level of technical skill, producing dishes to the highest international standards. Staff will be knowledgeable, helpful, well versed in all aspects of customer care, combining efficiency with courtesy.

IMK Varkala

Page 12

The Gateway Hotel

2.4 World Scenario


China, Brazil and Eastern Europe are predicted to be the fastest growing regions among developing countries for the hotel industry. The expansion of business activities in emerging markets, an increase in economic growth combined with changes in consumer lifestyles and a rise in disposable income are fuelling growth. Global hospitality majors such as Hilton, Accor, Marriott International, Berggruen Hotels, Cabana Hotels, Premier Travel Inn (PTI) and Inter Continental Hotel, Four Seasons, Ista,Golden Tulip. Inbound tourism arrivals are forecast to increase up to an average of 3.9% per year to 2019. The total contribution of this sector is around 9.3%.

Between China & Gulf States, it is estimated that a total of 500,000 additional hotel rooms will be required to reach the same penetration as in more developed countries, and the majority of these will be positioned in the economy and mid-market segments. These new markets pose unique challenges in politics and ownership, as well as in recruiting, training and retention of local staff.

The industry is historically in the lowest quartile of technology spending within the consumer businesses; however, all the executives interviewed expect to increase IT investments, particularly in reservations, distribution, loyalty programs, and customer relationship management. In the US and Western

Europe, more people relied on the Internet for travel information last year than relied on friends and acquaintances, posing significant challenges and opportunities for the industry. In addition, more demanding customers have come to expect more personalized service, and in the future hospitality suppliers will need to consider online room selection and check-in, personalized bed (variable firmness), and personalized in-room food and beverage offering.

IMK Varkala

Page 13

The Gateway Hotel

2.5 National Scenario


The Indian hospitality sector has been experiencing a resilient phase of growth, driven by the flourishing middle class, increased spending by the foreign tourists, and synchronized administration and promotions by the Government of India to encourage Incredible India. Indias hospitality industry is one of them most lucrative businesses in the country, and also accredited with contributing a considerable volume of foreign exchange to the country reserves. Hotels in India have supply of 110,000 rooms. According to the tourism ministry, 4.4 million tourists visited India last year and at current trend, demand will soar to 10 million in 2010 - to accommodate 350 million domestic travellers. 'Hotels in India' has a shortage of 150,000 rooms fuelling hotel room rates across India. With tremendous pull of opportunity, India is a destination for hotel chains looking for growth. As per the Foreign Direct Investment (FDI) policy, the Indian Government has allowed 100 per cent foreign investment under the automatic route in the hospitality industry. Moreover to facilitate foreign tourists, the Government of India has brought forth a scheme that permits the tourists from Finland, Japan, Luxembourg, New Zealand and Singapore to travel on Tourist Visa on Arrival in the country for a limited period of 30 days only. MNC Hotel Industry giants are flocking India and forging Joint Ventures to earn their share of pie in the race. Government has approved 300 hotel projects, nearly half of which are in the luxury range. Hotel Industry in India' is set to grow at 15% a year. India currently stands as one of the most frequented tourist destinations in the world. Blessed in terms of topography, history, culture, tradition and cuisine India manages to charm one and all. The Indian tourism industry is currently among the most booming sectors in the country. The Indian hotel industry normally experiences high demand during OctoberApril, followed which the monsoon months entail low demand. Usually the December and March quarters bring in 60% of the years turnover for Indias hoteliers. However, this trend is seeing a change over the recent few years. Hotels have introduced various offerings to improve occupancy during the lean months. India is
IMK Varkala Page 14

The Gateway Hotel home to several hotels that have managed to make a mark on the face of the globe. The boom in the hospitality industry is directly proportional to the rise of the tourism industry in India. Most of the five star hotels in India generally belong to the reputed Indian hotel groups like the Oberoi Group, the ITC Group, Taj Group, the Welcome Group and many others. The one thing that demarcated the five star hotels in India from the other five star hotels is the seamless concoction present day amenities and traditional hospitality. They offer top class facilities to their guests such as; Massage parlour, shopping centre, Baby-sitting, Wi-Fi internet connectivity, Chauffeur driven cars, Money Changer, library, beauty parlour, golf course and open air restaurant.

2.6 Kerala Scenario


Till the end of last century Kerala was an unknown destination in some countries, but the scenario has now been totally changed and now has become one of the fastest growing tourist destinations in the world with a growth rate of 13.31 per cent. History shows that Kerala attracted tourists from far and near from time immemorial. Accommodation was provided in 'Sathrams' and similar shelters. Just as hotels all over the world developed, by gradual evolution, Kerala also witnessed the development of the hotel industry. In 1912, Spencers started the Malabar Hotel at Kochi and the Mascot hotel at Thiruvananthapuram. Later the Malabar hotel was taken on lease in 1952, by Jose. At that time hotels were not considered quite respectable .he ran the hotel pretty well with the help of a senior staff member whom he made the manager. In the mid-fifties when the lease expired, in order to accommodate this manager, who was nearing the age of retirement, Dominic started a small restaurant at Willington Island. Since beer licences were given only to hotels, it was made Casino Hotel and Restaurant by constructing three rooms. This hotel gradually grew and became a three star hotel. Few other hotels in the private sector were started in the sixties. The rate of growth of hotels in the private sector was more in the Kerala Tourist and Handicrafts Development Corporation (P) Ltd. Thiruvananthapuram was registered on 29thDecember 1965. The name of the company was changed into Kerala Tourism Development Corporation (KTDC) in eighties. KTDC has been doing its best to attract more tourists to the state.
IMK Varkala Page 15

The Gateway Hotel

Government acts as a facilitator for the development of tourism in the state. Ever since tourism was declared an industry in 1986, several incentives which were available to investors in other industrial sectors have been extended to the tourism sector as well by the state Government. These include subsidies, technical guidance, marketing assistance, publicity through governmental publications, help in availing loans etc. Promotions both in print and electronic media help to attract more tourist arrivals to Kerala and also to attract a big investment in hospitality sector. The Major players are: KTDC, Le-Meridien, Abad, Taj, Leela.

IMK Varkala

Page 16

The Gateway Hotel

CHAPTER-3 COMPANY PROFILE

IMK Varkala

Page 17

The Gateway Hotel

3.1 Company information


The Indian Hotels Company Limited (IHCL) and its subsidiaries are collectively known as Taj Hotels Resorts and Palaces and is recognised as one of Asia's largest and finest hotel company. Incorporated by the founder of the Tata Group, Mr. Jamsetji N. Tata, the company opened its first property, The Taj Mahal Palace Hotel, Bombay in 1903. The Taj, asymbol of Indian hospitality, completed its centenary year in 2003.Taj Hotels Resorts and Palaces comprises 66 hotels in 42 locations across India with an additional 16 international hotels in the Maldives, Malaysia, Australia, UK, USA, Bhutan, Sri Lanka, Africa and the Middle East.

The Company was incorporated in 1902 and it opened its first hotel,The Taj Mahal Palace & Tower, Mumbai, in 1903. The Company then undertook major expansion of The Taj Mahal Palace & Tower, Mumbai by constructing an adjacent tower block and increasing the number of rooms from 225 to 565 rooms. With the completion of its initial public offering in the early 1970s, the Company began a long term programme of geographic expansion and development of new tourist destinations in India which led to its emergence as a leading hotel chain in India. From the 1970s to the present day, the Taj Group has played an important role in launching several of India's key tourist destinations, working in close association with the Indian Government. The Taj Group has a philosophy of service excellence which entails providing consistently high levels of personalized service and innovative means of improving service quality.

IMK Varkala

Page 18

The Gateway Hotel

3.2 Hotels operated by IHCL


a. Taj
Taj (luxury full-service hotels, resorts and palaces) is our flagship brand for the world's most discerning travellers seeking authentic experiences given that luxury is a way of life to which they are accustomed. Spanning world-renowned landmarks, modern business hotels, idyllic beach resorts, authentic Rajput palaces and rustic safari lodges, each Taj hotel reinterprets the tradition of hospitality in a refreshingly modern way to create unique experiences and lifelong memories.

Taj also encompasses a unique set of iconic properties rooted in history and tradition that deliver truly unforgettable experiences. A collection of outstanding properties with strong heritage as hotels or palaces which offer something more than great physical product and exceptional service. This group is defined by the emotional and unique equity of its iconic properties that are authentic, non- replicable with great potential to create memories and stories.

b. Taj Exotica
Taj Exotica is our resort and spa brand found in the most exotic and relaxing locales of the world. The properties are defined by the privacy and intimacy they provide. The hotels are clearly differentiated by their product philosophy and service design. They are centred around high end accommodation, intimacy and an environment that allows its guest unrivalled comfort and privacy. They are defined by a sensibility of intimate design and by their varied and eclectic culinary experiences, impeccable service and authentic Indian Spa sanctuaries.

c. Taj Safaris
Taj Safaris are wildlife lodges that allow travellers to experience the unparalleled beauty of the Indian jungle amidst luxurious surroundings. They offer India's first and only wildlife luxury lodge circuit. Taj Safaris provide guests with the ultimate, interpretive, wild life experience based on a proven sustainable ecotourism model.

IMK Varkala

Page 19

The Gateway Hotel

d. Vivanta by Taj
Vivanta by Taj Hotels & Resorts span options for the work-hard-play-hard traveller across metropolitan cities, other commercially important centres as well as some of the best-loved vacation spots. Stylish & sophisticated, Vivanta by Taj delivers premium hotel experiences with imagination, energy & efficiency. It's the flavour of contemporary luxury, laced with cool informality and the charming Taj hospitality. Created for the cosmopolitan global traveller and bon vivant, Vivanta by Taj Hotels & Resorts create experiences that will amuse, invigorate & inspire you. Vivanta revels in a spirit that presents the normal with an unexpected twist. Experiences which make you pause & appreciate the hidden beauty in life! It challenges your expectations of a hotel and unfolds multiple layers of delight. Innovative cuisine concepts, the smart use of technology & the challenge to constantly engage, energize and relax you all add up to make Vivanta by Taj the new signature in hospitality.

e. The Gateway Hotels


The Gateway Hotel is a pan-India network of hotels and resorts that offers business and leisure travellers a hotel designed, keeping the modern nomad in mind. At the Gateway Hotel, we believe in keeping things simple. This is why, our hotels are divided into 7 simple zones- Stay, Hangout, Meet, Work, Workout, Unwind and Explore. As travel often means more hassle than harmony, more stress than satisfaction, modern travellers are looking for smarter choices. Driven by our passion for perfection, we welcome our customers to a refreshingly enjoyable and hassle-free experience, anytime, everywhere. Offering the highest consistency in quality, service and style we set new standards and take the unwanted surprises out of travelling. Our warm welcomes make our guests feel at home, away from home and our crisp and courteous service empowers them to get more done with greater effectiveness and control. And through our unrivalled network we provide service that is effortless, simple, never overwhelming and always warm.
IMK Varkala Page 20

The Gateway Hotel

f. Ginger
Ginger is IHCL's revolutionary concept in hospitality for the value segment. Intelligently designed facilities, consistency and affordability are hallmarks of this brand targeted at travellers who value simplicity and self-service.

Taj Hotels Resorts and Palaces is committed to replicate its domestic success onto international shores with plans to build an international network of luxury hotels, which will provide an exemplary product-service combination and in the process create a global brand. The current international portfolio includes luxury resorts in the Indian Ocean, business and resort destinations in the Middle East and Africa, serviced apartments in the UK, the first hotel in Australia and three a top-end luxury hotels in the US.

Throughout the Company's expansion, its mandate has been twofold: to infuse a sense of Indian heritage and culture within each diverse property, while also anticipating the needs and desires of the sophisticated traveller. Over the years, the Taj has won international acclaim for its quality hotels and its excellence in business facilities, services, cuisine and interiors.

3.3 The Gateway Hotel, Varkala


Standing atop a majestic red cliff overlooking the Arabian Sea, The gateway hotel offers warm hospitable service and fantastic views. It makes up for a pretty picture, and a perfect holiday escape.

IMK Varkala

Page 21

The Gateway Hotel

1. Rooms
Rooms and suites are designed with distinctive native materials with view of the local Kerala ethos. Standard Rooms are spacious and comfortable, and are well equipped with amenities including private balcony, international direct dial facility and color television with satellite programmers. Superior Sea Facing Rooms have open terrace, perfect for viewing romantic sunsets. Suites include a bedroom, living room, and private balcony with soothing views of views of the swimming pool and sea 2. Dining From casual, all-day eateries to formal, fine dining, you can sample from a wide selection of delectable dishes and refreshing drinks at the Taj. The dining culture at Taj explores the nuances of the finest Indian and international cuisines, serving traditional and contemporary favourites. Cape Camorine offers scenic views as well as a menu rife with international flavours. While the Bar is the perfect spot to enjoy savoury snacks and other refreshments; the Sunken Bar serves refreshing cocktails with awesome views. The Sunset Lounge provides refreshing views of the sea and pool, along with delectable snacks and drinks

3. Facilities At gateway hotel you are offered quality facilities and distinctive services. Leisure and other services include babysitting, car hire service, currency exchange, doctor-on-call, express laundry/dry cleaning, florist, house doctor/ayurvedic doctor and travel assistance. For get together and meetings, there is a hall with a capacity for 40 persons auditorium style, 27 persons classroom style, or 40 persons for cocktails/receptions. The hotel lawn can be used to host receptions for up to 100 persons. Fitness and fun facilities include 24-hour fitness centre, tennis and swimming pool. For kids, there is a children's park. There is an Ayurveda Centre which offers Ayurveda treatments and oil application. It also offers 3 and 7 day rejuvenation programs.

IMK Varkala

Page 22

The Gateway Hotel 4. Location Perched atop a cliff overlooking the Arabian Sea, The Taj Garden Retreat is only minutes away from Kappil beach, and Janardhanaswamy Temple, a famous 2000 year-old temple.

5. Room Amenities

Air conditioning Television Cable/satellite TV Play movies Complimentary newspaper Coffee/tea maker Telephone Hair dryer In-room safe Complimentary newspaper (M-F) Turndown service

6. Property Amenities
Swimming pool Health club Room service (24 hours) Self parking Conference room(s) Number of rooms: 28 Safe-deposit box - front desk Number of floors: 0 Medical assistance available Laundry facilities On-site car rental Swimming pool - outdoor
Page 23

IMK Varkala

The Gateway Hotel Fitness equipment Room service (limited hours) Restaurant(s) in hotel Bar/lounge Complimentary newspapers in lobby Parking (free) Room service

7. Policies
Guests are required to review specific rate information, guarantee and cancellation requirements prior to confirming the reservation. American Express Diners Club JCB International MasterCard Visa Check-in time is 3:00 PM Check-out time is 12:00 PM

8. Recreation
Tennis court Volleyball Badminton Table tennis

3.3.1 Focus
Taj group focus now is on expansion and growth and to present a new product in terms of service delivery so that they are ahead of the curve in terms of delivery, before India gets flooded with international hotels. They dominate India in terms of geographical strength and give a unique product offering, they are ahead of competition.
IMK Varkala Page 24

The Gateway Hotel 3.3.2 Quality of products and services The Taj groups move is in line with the practice followed by international hospitality chains that have distinct brands for various categories of hotels, especially in the luxury segment where the brand is a hallmark of product and service quality. A Tata company shall be committed to supplying goods and services of the highest quality standards, backed by efficient after-sales service consistent with the requirements of the customers to ensure their total satisfaction. The quality standards of the company's goods and services should meet the required national standards, and the company should endeavor to achieve international standards. Today, the various Taj hotels, in all their variety and historical richness, are recognized internationally as the symbols of true Indian hospitality This is embodied in the Tata Business Excellence Model (TBEM) which all the Tata group companies have adopted. The TBEM model adopted by the Taj group offers the JRD QV Award that is built along the lines of the Malcolm Baldrige National Quality Award in the United States.

3.4 Vision& Mission


The Vision of Taj is: Embrace Talent and harness Expertise to leverage standards of Excellence in the Art of Hospitality to grow our International presence, Increase domestic Dominance and create value for all stakeholders. The Mission of Taj is: Product, Service and Product leadership Values: Values as expected behaviour: 1. People diversity integrity and respect 2. Passion for excellence 3. Exceeds expectations 4. Innovation 5. Sense of urgency & accountability 6. Social responsibility 7. Joy at work

IMK Varkala

Page 25

The Gateway Hotel

CHAPTER 4 ORGANISATIONAL STRUCTURE

IMK Varkala

Page 26

The Gateway Hotel

4.1 ORGANISATIONAL STRUCTURE Chart No: 1

GENERAL MANAGER

SECRETARY CONTROL & AUDIT SALES & PROMOTION

FRONT OFFICE STORES DEPT.

HOUSE KEEPING

FOOD& BEV. DEPT.

ACCOUNTS

ENGINEERING

ADMINISTRATION DEPT.

OTHER DEPTS.

Source: Secondary data

IMK Varkala

Page 27

The Gateway Hotel

4.2 Role and Responsibilities of Various Executives 1. Front Office:


Sell guestrooms; register guests and design guestrooms Coordinate guest services Provide information Maintain accurate room statistics, and room key inventories Maintain guest account statements and complete proper financial settlements

2. Reservation:
Receive and process reservation requests for future overnight accommodations. With technology development, the Reservation Department can, on real time, access the number and types of rooms available, various room rates, and furnishings, along with the various facilities existing in the hotel There should be close relation-ships with Sales and Marketing Division concerning Large Group Reservations

3. Housekeeping:
Inspects rooms before they are available for sale Cleans occupied and vacant rooms Communicates the status of guestrooms to the Front Office Department Cleans and presses the propertys linens, towels, and guest clothing (if equipped to do so, free of charge or for a pre-determined fee)

Maintains recycled and non-recycled inventory items

IMK Varkala

Page 28

The Gateway Hotel

4. Telephone Department:
Answers and distributes calls to the appropriate extensions, whether guest, employee, or management extensions Places wake-up calls Monitors automated systems Coordinates emergency communications

5. Food & Beverage Department: Quick Service Table Service Specialty Restaurants Coffee Shops Bars Lounges Clubs Banquets Catering Functions Wedding, Birthdays

6. Sales & Marketing Division:


A typical hotel should usually have Sales & Marketing division. However, if the staff size, volume business, hotel size, expected group arrivals is low enough, the hotel might have marketing staff placed under the reservation department. A typical Sales & Marketing Division is composed of four different departments: Sales Convention Services Advertising Public Relations

IMK Varkala

Page 29

The Gateway Hotel

7. Accounting Division:
The Accounting Division monitors the financial activities of the property. Some of the activities that are undertaken in the Accounting Division are listed below: Pays outstanding invoices Distributes unpaid statements Collects amounts owed Processes payroll accumulates operating data Compiles financial reports Makes bank deposits

8. Engineering and Maintenance Division:

This very department maintains the property's structure and grounds as well as electrical and mechanical equipment. Some hotels might have this very division under different names, such as maintenance division, property operation and maintenance department

9. Security Division:
Security division personnel are usually screened from in-house personnel, security officers experience. Some of the functions of the security division are listed below: Patrols the property Monitors supervision equipment Ensures safety and security of guests, visitors, and employees or retired police officers, across certain physical skills, and prior

IMK Varkala

Page 30

The Gateway Hotel

10.Human Resources Division:


Some of the duties of the human resources division are listed below: Responsible for external & internal recruitment Calculates employees' salaries, compensation, and tax withholding Administrates employees' paperwork, monitors attendance Maintains good relations with Labor Unions Ensures employees' safety and working conditions

IMK Varkala

Page 31

The Gateway Hotel

CHAPTER 5 ANALYSIS- OBJECTIVE WISE

IMK Varkala

Page 32

The Gateway Hotel

DEPARTMENT ANALYSIS 5.1 Front office department Department Structure Chart No: 2
FOM

Receptionist

Cashier Telephone Operator

FOA

Bell Boys

Door Man

Source: Secondary data

Functions of Front Office Department


The various sections under this department are Reception, Reservation, Information, Telephone, Bills and Cash.
IMK Varkala Page 33

The Gateway Hotel The front office is one of the most important departments in a hotel, as it often offers the only contact between guests and staff. A hotels front office is where guests are greeted when they arrive, where they are registered and assigned to a room, and where they check out. Usually, the telephone operator, other guest communications functions, and the bell staff or those employees responsible for delivering Luggage and messages and attending to special guest requests also fall under the front office umbrella. A great deal of interdependence exists among the subunits of the rooms department. For example, reservations must inform the front office of the number of presold rooms each day to ensure that a current inventory of salable rooms is always available. A similar level of cooperationist required between the front office and housekeeping. When guest checks out, the front office must inform housekeeping so that the room may be cleaned. Once a room is cleaned, housekeeping must inform the front office so that the room may be sold. Certain tasks within the rooms department must occur in a specific order. For example, housekeeping cannot properly provision a guest room if the laundry does not supply enough clean towels or bed sheets. The 4 star properties found viable as per the analysis. It will cater to both tourist and business segment. It will be designed to meet the standards laid down by the tourism dept Kerala. Reservations can be done through direct contact with hotel or through Taj Reservation world Wide

Rooms
All rooms at The Gateway Hotel Janardhanapuram Varkala offer these amenities:

Wi-Fi internet access throughout the hotel A comfy, well-lit work desk Satellite Television International direct dialing Mini-bar Ironing board

IMK Varkala

Page 34

The Gateway Hotel

Room classification Standard Garden View Rooms


These cozy rooms overlook the landscaped gardens and lead directly onto the swimming pool.

Superior Sea View Rooms


These rooms are highlighted with spacious bedrooms with balconies overlooking the sea and the palms whether you've come here for work, play, or a combination of both, we provide all our guests with spaces, services and helpful connections when and where you need them

Number of rooms available


Deluxe Suites-2 Sea View-11 Standard Garden View-17 Total-30

.Room Tariff Chart No: 3


Type of Rooms Standard Garden View Room Superior Sea view Room Deluxe Suites . Source: Secondary data 9000 9000 125 6800 7800 125 Single 6250 Double 7250 Lux Tax% 125

IMK Varkala

Page 35

The Gateway Hotel

5.2 HR Department Department Structure Chart No: 4

HR Manager

HR Assistant

Source: Secondary data

Functions of HR Department
The human resources department serves no customers, books no business, and prepares no meals, yet it plays a vital role in a hotels efficient operation. The three functions of the human resources department are employee recruitment, benefits administration, and training. The director of human resources is also expected to be an expert on federal and state labor laws and to advise managers in other departments on these topics. The human resource departments major challenge is in its interactions with other hotel departments. Although the human resources department recruits, interviews, and screens prospective employees, the final hiring decision rests within the department in which the potential employee will be working. The same is true of promotion and disciplinary decisions; the human resources departments input is, in most cases, limited to advice and interpretation of legal questions. The human resources departments effectiveness depends on its managers ability to form effective working relationships with managers of other departments.

IMK Varkala

Page 36

The Gateway Hotel

Present Strength
HoDs 7 No of Staffs 46 Total - 53

Shifts in the Unit


Day Shift 7 am- 3 pm Evening Shift 3 pm 11 pm Night Shift 11 pm- 7 am

The functioning of the HR department is coordinated among three related sections Industrial Relations, Personnel, Welfare

Industrial Relations Personnel 1. Recruitment 2. Training (Training Activities) 3. Performance Appraisal System
An accepted system of performance appraisal is a great asset in the development of the human resources in an organization. It helps assess its managerial strength and weaknesses.

Steps involved in appraisal:


a) Appraisal rating of the employee on Job performance factors Managerial ability factors

b) Giving comments and overall assessment including development needs of the appraise leading to the final assessment. c) A review discussion between the appraiser and the appraise d) Follow up action, if any, to be taken.
IMK Varkala Page 37

The Gateway Hotel

4. Grievance Handling 5. Discipline


The disciplinary actions are taken based on the Standing Orders for workers and Gateway CD&A (Conduct, Discipline, & Appeal) rules for officers. These clearly mention the expected conduct and behavior of employees. Action against the violation of any of these rules is taken by the competent authority as mentioned in the rules.

The disciplinary action is taken as follows: If any employee is into any issue, it is reported to the personnel department and the charge sheet is issued to the employee within a fixed time. If the employee fails to provide a satisfactory explanation to this, he is called up on by the committee and an enquiry is conducted by an officer appointed by the committee and the action is taken based on the decision of the committee

CD&A is applicable to all employees of the company including those on contract service, but excluding those who are covered by the Standing Orders framed under the Industrial Employment (Standing Orders) Act, 1946 as amended from time to time.

6. Leave Procedure 7. Separation

IMK Varkala

Page 38

The Gateway Hotel

5.3 F&B Department Department Structure Chart No:5


F&B Manager

Rest Mgr & bar Mgr Captains

Stewards

Bar Tenders

Room Service Manager

Stewards

Source: Secondary data

Functions of F& B Department


It includes both F& B Production and F& B Services. This is the largest department which has Divisions such as Control, Purchasing, Preparation and Services. Preparation has sub-departments viz. Main kitchen, Indian kitchen, Tandoor, Bakery and Confectionery, Pantry, Washing, Coffee and Restaurants. The services division has sub departments such as Pastry shop, Banquet service, bar service, Room service and Restaurant service. The primary function of the food and beverage department is to provide food and drink to a hotels guests. The executive chef, a person of considerable importance and authority in any full-service hotel, runs the food production, or kitchen, department. A variety of culinary specialists who are
IMK Varkala Page 39

The Gateway Hotel responsible for different aspects of food preparation report to the executive chef. The actual serving of food in a large hotels restaurants is usually the responsibility of a separate department, headed by the assistant food and beverage director. The food service department is composed of the individual restaurant and outlet managers, waiters, and bus help. Because of their special duties and concerns, many large hotels have a separate subunit that is responsible only for room service. The person responsible for this department is the beverage manager. Most full-service hotels also do a considerable convention and catering business. The typical convention uses small function rooms for meetings and larger rooms for general sessions, trade shows, exhibits, and banquets. As a hotel or lodging business increases the use of its facilities for conventions and meetings, it may form a separate convention services department Depending on the size of the hotel, the job of cleaning the food and beverage outlets themselves as well as of washing pots and pans, dishes, glasses, and utensils is often delegated to a subunit known as the stewarding department. It is only through continuous cooperation and coordination that hotels food service function can be carried out effectively. A guest who is dining in a hotel restaurant requires the joint efforts of the kitchen, food service, beverage, and stewarding departments. A convention banquet cannot be held without the efforts of the convention and catering department along with the food production, beverage, and stewarding departments.

Hotel Restaurant
Fresh, local produce, natural ingredients and vivid regional cooking styles make The Gateway Hotel a smart choice for any of your meals. Our kitchen never closes, so you can eat on your schedule or on a whim. Cape Comorin--this all day dining restaurant offers a wide choice of Indian and international cuisines.

Restaurant timing:
Breakfast: 7:30 a.m. to 10.30 a.m. Lunch: 12.30 p.m. to 3:00 p.m. Dinner: 7:30 p.m. to 11:00 p.m.

IMK Varkala

Page 40

The Gateway Hotel

Sunken Bar
This lively hangout serves up your favorite drinks in the unlikeliest of places inside a swimming pool.

Summer Holidays
A special weekend getaway or last minute plans. The Gateway Hotel Janardhanapuram Varkala has an offer for your every need. Stay For A Minimum of Two Nights and Enjoy. Breakfast At GAD - Gateway All Day For Two One Major Meal (Lunch / Dinner) 20% Discount On Food & Soft Beverage (A La Carte Only) Applicable Taxes

Cross cutting standards

Lighting Level: - 150 lux for public areas, 100 lux for back areas and 200 lux for lobby area / banquets with dimmer Temperature: - The summer time temperatures to be 22 1 degrees centigrade while the winter time standard to be 23 1 degree centigrade. Music:- Lobby, cloak rooms, elevators, corridors to have the same music being played at any one given time. Music to be played as per the Gateway standard

IMK Varkala

Page 41

The Gateway Hotel

Department Structure of F& B Production Chart No: 6


Executive Chef

CDP Commis I, II, III

Trainees

Source: Secondary data

IMK Varkala

Page 42

The Gateway Hotel

The main function of kitchen is cooking food. In Gateway Hotel the kitchen has a rectangular shape because it is more spacious and useful. The process that carried out is as follows

Chart No: 7, Functions of kitchen

Cleaning

Grainting

Drying

Pealing

Fermenting

Filtering

Cutting

Processing

Sewing

Soaking

Source: Secondary data

Types of food served:


Chinese Continental South Indian North Indian Bakery Gardemarjer

IMK Varkala

Page 43

The Gateway Hotel

Factors affecting Menu Plan

Target market or Clint Price range of proposed Menu Type of meal and service Availability of raw materials Availability of Staff and equipments Nutritional requirement of guest

Types of equipments used


Range with Oven for Continental Thava Thandoor Bakery Oven Butchery for cutting

IMK Varkala

Page 44

The Gateway Hotel

5.4 House Keeping Department

Department Structure Chart No:8


Executive Housekeeper

Floor Supervisor

Room boys

Gardners

Source: Secondary data

Functions of House Keeping Department


In Gateway Hotel an in-house laundry is working along with the Housekeeping department. This consists of the Public Area, Floor and Linen. The housekeeping department is responsible for cleaning guest rooms and public spaces a similar level of cooperation is required between the front office and housekeeping. When a guest checks out, the front office must inform housekeeping so that the room may be cleaned. Once a room is cleaned, housekeeping must inform the front office so that the room may be sold. Certain tasks within the rooms department must occur in a specific order. For example, housekeeping cannot properly provision a guest room if the laundry does not supply enough clean towels or bed sheets. Engineering cannot replace a defective light switch in a guest room if housekeeping doesnt report the problem. Effective management of this busy department calls for standardized plans, procedures, schedules, and deadlines, as well as frequent direct communication
IMK Varkala Page 45

The Gateway Hotel between the executives who manage the key operating units of the rooms department. To perform these many duties effectively, the rooms department may be divided into a number of specialized subunits. To complicate matters, in many instances these subunits are also referred to as departments. For example, the laundry department is responsible for cleaning and pressing the entire hotels linens and employee uniforms as well as guest laundry. Because of its specialized function, little of the knowledge and skills required to manage a laundry operation is transferable to other areas of hotel operations.

5.5 Account Department


Department Structure Chart No: 9
Accounts Manager

Accountant

Cashier

Source: Secondary data

Functions of Accounts Department


It has such departments such as Credit, Account, Cash and Audit. The accounting departments traditional role is recording financial transactions, preparing
IMK Varkala Page 46

The Gateway Hotel and interpreting financial statements, and providing the managers of other departments with timely reports of operating results (line functions). Other responsibilities, carried out by the assistant controller for finance, include payroll preparation, accounts receivable, and accounts payable (staff functions).Another dimension of the accounting departments responsibilities deals with various aspects of hotel operations, cost accounting, and cost control throughout the hotel. The two areas of central concern to the accounting department are rooms and food and beverage. The accounting departments front office cashier is responsible for tracking all charges to guest accounts. At the close of each business day, which varies by hotel but typically occurs at midnight or after the bulk of guests transactions have been completed (i.e., check-in, restaurant charges, retail charges, etc.), the night auditor is responsible for reconciling all guest bills with the charges from the various hotel departments. The food and beverage department may be responsible for food preparation and service, but the accounting department is responsible for collecting revenues. The food and beverage controller and the food and beverage cashiers keep track of both the revenues and expenses of the food and beverage department. The accounting department is also responsible for collecting and reporting most of a hotels operational and financial statistics, which provide important data for decisionmaking and budget preparation purposes.

IMK Varkala

Page 47

The Gateway Hotel

5.6 Engineering and Maintenance Department

Department Structure Chart No: 10


Chief engineer

supervisor

Technicians

Source: Secondary data

Functions of Engineering and Maintenance Department


The various sub departments that come under this department are: Heat /Light and Power and Repair and Maintenance. Typically, the engineering departments responsibilities include preventive maintenance; repair; replacement; improvement and modification to furniture, fixtures, and equipment (FFE); and ensuring uninterrupted provision of utilities (gas, electricity, water). Preventive maintenance involves routine checks and inspection of the key components of all equipment. Maintenance of recreational facilities may be part of the engineering departments responsibilities. In particular, swimming pools require extensive maintenance to ensure proper filtration and to prevent the accumulation of algae and other conditions unsuitable for swimming. Prompt repair minimizes loss of productivity in other hotel operating departments and inconvenience to hotel guests. When a particular FFE has reached the end of its useful life and repair is no longer cost-effective, replacement is indicated. Improvement projects enhance the existing operation or reduce operating costs of the facility. Modification projects alter the existing operation to accommodate
IMK Varkala Page 48

The Gateway Hotel one or more new functions. One hotel might have a large engineering staff that includes plumbers, carpenters, painters, electricians, and other technicians. Another might have maintenance personnel who have general knowledge and understanding of the hotels operations but rely on outside contractors for specialized jobs. In larger, full-service hotels, engineering may be a separate department, with a director who reports directly to the resident manager. The dirty water coming out from kitchen and other sources is undergoing recycling process and is used for gardening purposes.

5.7 Security Department

Department Structure Chart No: 11


Cf. security officer

Supervisors

Guards

Functions of Security Department


This department headed by Chief Security Officer, is responsible for monitoring workers, patrolling, and time keeping, checking material in and out etc. Supervisors reports to the Chief Security Officer under who are the Shift-in-Charge Officers. There are 9 permanent members in the department. In the earlier days there had been more number of employees in the department. As a part of cutting short the cost involved, the strength was reduced to 9.

IMK Varkala

Page 49

The Gateway Hotel The company has entrance through three gates. But two of them are for emergency purposes. The other one is exclusively for the entry and exit of materials. People with proper records only are admitted.

The various registers maintained by the department are: Visitors Register This register contains all details of the visitors, their time-in, time-out, purpose of visit etc. Employees Register There are Officers in-out register and Workers in-out register to record the time of the entry and exit of the officers and workers. Contract Vehicles Register The hotel has entered in to contract with private vehicles for transportation of materials as well as wastes. The details of

their entry and exit are recorded in this register.

Other registers maintained by the department are: Trainees in-out register Electrical Items in-out register

Safety of the employees as well as the entire unit is also taken care of by this department. First aid box is also maintained by the department. Also the department conducts periodic maintenance of fire extinguishers and also maintains an ambulance.

IMK Varkala

Page 50

The Gateway Hotel Various types of fire extinguishers used are: Dry Chemical powder type- For electric fire Foam type- For fire caused by petrol, oil etc. CO2 type- Suitable for all sources of fire.

5.8 Sales and Marketing Department


Department Structure
Executive Manager

Assistant Manager

Functions of Sales and Marketing Department


Coordination is not as important an issue in the marketing and sales department which is generally much smaller than the food and beverage department. The primary responsibility of the sales managers who make up the marketing and sales department is sales, or the selling of the hotel facilities and services to individuals and groups. Sales managers sell rooms, food, and beverages to potential clients through advertising, attendance at association and conference meetings, and direct contacts. The marketing and sales department is also removed from most of the day-to-day operational problems faced by other departments. The division of work among the sales managers is based on the type of customers a hotel is attempting to attract. Individual sales managers often specialize in corporate accounts, conventions, or tour and travel markets. This has, Purchases, Store and Issue branches under it.

IMK Varkala

Page 51

The Gateway Hotel

5.9 Health Club Department


Department Structure
Instructor

Massage

maids

Pool supervisor

Functions/Activities of Panchakarma Centre


The aesthetically designed Health Club offers steam, sauna, Jacuzzi, and not to mention, the Gymnasium and Tennis. Gateway offers the most modern Beauty Parlor for Gents and Ladies with modern equipment for Haircut, Facial, Manicure, Pedicure, Henna and other beauty Treatments. Not to forget the Herbal and Ayurvedic Massages by expert, practitioners of that much acclaimed ancient martial arts of Kerala The different types of treatments are: Operation Treatment (For both internal and external applications) Panchakarma Treatment: It includes the following types There are also special treatments for Obesity, Diabetes

IMK Varkala

Page 52

The Gateway Hotel Different Types of Panchakarma Treatment

Panchakarma Treatment Vamanam Vivedanam Nasyam Kashaya Vasti Sneha Vasti Snehanam Rakthamok sham

Vamanam is used as a treatment for Vomiting. Vivedanam is used as a treatment for Diahorea. Snehanam is a type of Oil Massage.

Medicines are given in the form of tablets, Oils (both external andinternal),Arishtam,Lehyam, Grithm, Churnas, Varthi etc

Various Equipments used for the treatment are Nasya Apparatus Steam Chamber Steam generating machine Oil Stand Thony for oil massage Dhara Chatty

IMK Varkala

Page 53

The Gateway Hotel

Additional services provided are:


Boat Transfer Child Care Facility Boat Transfer Laundry Facility Mobile Rental Outdoor Pool Jogging track Safe Box in Room Tennis Court Swimming Library Parking Restaurant Car Rental Service Railway Pick/Drop 24hrs water Meditation & Yoga Tea/Coffee Maker Travel desk facilities Wheel chair H/C running Station Business Centre Currency Exchange Free Room Service Internet Connection Nature Walk Doctor on Demand Post & Telegraph Telephone State-of-Art Spa Water Sports Health

IMK Varkala

Page 54

The Gateway Hotel

CHAPTER 6 SWOT & PORTERS FIVE FORCE MODEL ANALYSIS

IMK Varkala

Page 55

The Gateway Hotel

6.1 SWOT Analysis of The Gateway Hotel, Varkala


SWOT Analysis is a strategic planning method used to evaluate the strength, weakness, opportunities and threats involved in a project. It involves specifying the objective of the project and identifying project and identifying the internal and external factors that are favourable and unfavourable to achieve the objective. The technique is created by Albert Humpery, who led a convention at Stanford University in the 1960s and 1970s using data from fortune 500 companies. Identification of SWOTs is essential for The Gateway Hotel, Janarhanapuram Varkala to convert their weakness and threats to strength and opportunities respectively.

1. Strength
a. Government support:
The Indian government has realized the importance of tourism. The priority is being given to the development of the infrastructure and of new tourist destinations and circuits. The department of Tourism has already started the Incredible Indiacomparing for the promotion of tourism in India. Such types of campaigns help The Gateway Hotel, Varkala to grow and flourish

b. Increase in the market share:


Indians share in international tourism and hospitality market is expected to increase over the long-term. New budget and star hotels are being established moreover, foreign hospitality players are heading towards Indian markets.

i.

The business alliance with Taj and preferred hotels which are international hotel chain give The Gateway Hotel, Varkala credibility and brand identity is another strength enjoyed by them.

ii.

Commitment of top management and good employer employee relation is the other contributing factor to the strength of The Gateway Hotel, Varkala.

IMK Varkala

Page 56

The Gateway Hotel

c. Geographical structure:
Varkala is the only place in southern Kerala where cliffs are found adjacent to the Arabian Sea. These tertiary sedimentary formation cliffs are a unique geological feature on the otherwise flat Kerala coast.

d. Pilgrim tourism:
The two famous Hindu religious centres Janardhana swami temple and Sivagiri are very near to the hotel. Janardhana Swami Temple: Janardhana swami temple is a very important Vaishnavite shrine and attracts thousands of pilgrims. The temple is about 2000 years old. Facing the temple is the Papasnanam beach where devotees take a bath in the belief that the sacred waters will wash away their sins.

Sivagiri: Sivagiri Mutt is a famous ashram in Varkala, founded by the philosopher and social reformer Sree Narayana Guru. Sree Narayana Guru's tomb is also located here.

2. Weakness
a .Susceptible to political events The internal security scenario and social unrest hamper the foreign tourist arrival rates. b. Poor air conditioning system Public areas like lobby, reception, travel desk, business centre, library etc. are not air conditioned c. Private beach Guests are always asking for the private beach for their privacy and convenience.

IMK Varkala

Page 57

The Gateway Hotel

3. Opportunities
a. Rising income of Indians:
Owing to the rise in income levels, Indians have more spare money to spend which is expected to enhance leisure tourism, in turn the number of tourists to the hotel

b. Open sky benefits:


With the open sky policy, the travel and tourism industry has seen an increase in business. Increased air live activity has helped improve the infrastructure. It has benefited both international and domestic travels.

c. Increasing demand for ayurveda treatments:


The Gateway Hotel Varkala having a good ayurveda centre equipped with modern facilities, experienced doctors and well trained massage maids.

4. Threats

a. Fluctuations in international tourist arrivals:


The total dependency on foreign tourists can be risky, as there are wide fluctuations in international tourism. Domestic tourism needs to be given equal importance and measures should be taken to promote tourism

b. Issues with Trade Unions


The trade union which is a common problem in India is also affecting The Gateway Hotel, Varkala. Organization of employees formed to bargain with the employer for their salary and accommodation.

IMK Varkala

Page 58

The Gateway Hotel

6.2 Porters Five Forces Model analysis of The gateway Hotel Varkala 1. Threat of Substitute Goods
In the hotel industry there is usually another hotel just around the corner. They appear in all price ranges, with varying levels of service and amenities. The constant challenge will always be to get the guest to choose your hotel over the competitor. The internet makes the overall market more efficient while expanding the size of the potential market and creating new substitution threats. Given the potency of this threat a superb internet presence is vital. Another ongoing threat is that another hotel chain may erode your customer base with a newly formulated internet approach or marketing campaign

2. Bargaining Power of Buyers


Business persons choosing a hotel for business travel are savvy consumers and they are comfortable with computer technology. It has become very simple for them to go online and book a hotel. They no longer need travel agents, corporate travel consultants or middle men of any kind to determine where they will stay. Porters model predicts this elimination of intermediaries. They are finding internet businesses like cheaphotels.com which will negotiate or discover bargains for them. Both of these processes shift the bargaining power to the end user as the Porter model predicts and these same freedoms reduce the cost of switching so that loyalty is a thing of the past unless a particular hotel uses its one time opportunity when a customer stays at the hotel to deeply impress the customer with a unique and valuable differentiator.

3. Rivalry among existing competitors


The rivalry among competitors in the hotel industry is fierce. When potential customers can learn about a hotel on line, the internet reduces the differences among competitors. People tend to seek the best price for the best experience and the tendency is to reduce price to be competitive. The internet covers wide geographical areas so the market is widened increasing the number of competitors.

IMK Varkala

Page 59

The Gateway Hotel

4. Barriers to Entry
The initial investment in the hotel industry creates quite a barrier to entry but certain barriers to entering the hotel market are reduced by the internet. A presence on the internet reduces upstart marketing costs somewhat, and gives the new competitor access to potential suppliers and resources. Even a bed and breakfast can use the websites of large chains to understand the key marketing concepts and the lures for customers. Switching costs are usually nil for a consumer. A vital barrier would be differentiation. A hotel that can differential itself by location, by service, amenities or some other quality has the potential to attract and keep its clients. Another barrier to entry would be expertise. Unfortunately, in a mobile society employees frequently leave one hotel chain to work in another and they take that expertise in terms of training or of experience with them. It is in the areas of expertise and of differentiation that a hotel can make the greatest impact on its client and thereby on its bottom line. In fact many established companies have synergies between their established business and online technology.

5. Bargaining power of suppliers


While this is not a substantial threat in the hotel industry it can have impact especially in the area of labour. With an aging population, there are fewer people to fill service industry jobs and hotels which can attract excellent staff have a greater chance of providing excellent and exceptional experiences to their clientele. As part of their internet strategy all hotel chains should have a section on recruitment for employment. The other supplies that are needed by hotels are also easier to attain through internet channels whether originated by the supplier or by the hotel chain. With their products in greater demand by greater numbers of hoteliers suppliers gain some measure of power by competition for their offerings

IMK Varkala

Page 60

The Gateway Hotel

CHAPTER 7 FINDINGS, CONCLUSION AND SUGESTIONS

IMK Varkala

Page 61

The Gateway Hotel

7.1 Findings
Based on the Organizational Study these are some of the findings:
1. Recreational activities can be made more dynamic and more aggressive to motivate the employees. 2. Conduct programs which may help in building good relations between the employees and manager. 3. More infrastructural facilities can be built up. 4. Group activities such as brainstorming and suggestion system should be effectively revived. 5. Coordination between the different departments should be ensured

7.2 Conclusion
The organisational study and internship training at The Gateway Hotel provided me with the opportunity to observe and model the professional managers at their work. It provided me with valuable insights on practical aspects of management. The systems, the procedures and processes at The Gateway Hotel are very professionally managed and provide lots of insights to the trainees. The organization study was helpful in getting an understanding of the organization structure, various departments, and their functions and the overall operation of organization. The study helped to gather much more information on the practical application of management principles. The efficiency and effectiveness of the departments help to achieve their organizational goals effectively.

IMK Varkala

Page 62

The Gateway Hotel

7.3. Suggestions
Hotels travel desk is not performing well. There is only one car from the Indi Travels, try to bring at least two cars to avoid hiring of local taxis. Also the sight seeing and other activities of travel desk such as air ticketing, train ticketing etc. are requiring development. Hotel doesnt have a good business centre; they are only providing a single computer in a non A/C room. They have to concentrate on pilgrim tourists and make use of pilgrimage tourism. They can make new travel packages for pilgrims. There are no bell boys in the hotel. This is delaying the works of front office staff and the guests have to wait for more than 15 minutes for settling their bills. Renovate the old front office, because this is the area where the guests are arriving first. Also expand the size of front office desk and do the accounting works relating to front office at there, this will reduce the billing related conflicts with accounting department and front office department. Payments to the staffs are not up to the level, thats why there is the problem of high employees turn over.

IMK Varkala

Page 63

The Gateway Hotel

BIBILIOGRPHY

BOOKS
1. COFFEE TABLE (2011, VOLUME: 2) , MEDIASCOPE PUBLICITAS PRIVATE LIMITED. 2. COMPANY JOURNALS

WEBSITE
1. www.tajhotels.com 2. www.thegatewayhotels.com 3. www.wikipedia.com

IMK Varkala

Page 64

You might also like