The Indian Hospitality Industry is booming with major Hotel brands knocking the doors of India. As the tourism industry is booming, the hotel industry is facing major shortage of manpower, in the hotel industry.

Even though the dreaded word “Recession” is resurfacing now and then the Indian Hospitality is not bothered. In the highly globalized world, where growing middle class dictates the many dynamics of ever growing economy, the hospitality industry has been witnessing immense growth. Supported by increased inflow of tourists, various grown drivers like development of  key infrastructure and many government initiatives in Indian tourism sector, the Indian hospitality industry is expected to take off in a big way.

Growth in Hospitality Industry

According to Travel and Tourism competitive report 2011, by world economic forum, India is currently ranked 12th in the Asia Pacific region, and 68th in the overall list of world’s attractive destinations. The ninth five year plan has predicted a shortage of  30,000  trained professionals every year in the hotel industry alone.

The Statistics and data at the end of the document

By 2015 the Indian hotel Industry is expected to reach Rs 230 billion, growing at a rate of apprx 12%. India is expected to invest Rs. 450 billion in the hospitality Industry, in next 5 years.  Statistics also show number of hotel rooms in India will reach more than 180,000, in next 5 years.  Around 40 International  majors from hospitality industry is expected to put up hotel rooms  in 10 major cities in India.

These activities are expected to trigger major shortage of qualified trained, competent  manpower in the hospitality industry in India Will the current training institutes keep up with the pace with the ever growing demand , is a major question today.

But the other side of the story is  will the middle class income group community in India consider a career in the service industry(Hospitality)  as a good option compared to Information Technology, Information Technology  Enabled  Services,  and BPO(back Office Process Outsourcing) industry  which is fetching faster and higher salary.

Challenges in Hospitality Industry

Experts have identified following major challenges in the hospitality Industry.

  • Long working hours and relatively low pay package.
  • Poor quality of hotel management courses, student passing out of the hotel management industry  are not hireable or deployable into the industry at various levels.  Most of the training institutes do not have proper infrastructure and experience trainers and consultants
  • Inability of the hotels to retain trained and quality manpower
  • Also the issue of lateral or vertical growth opportunities , and  proper career development plan  does not exists in most of the hotels, for their employees.
  • Whatever the glamour the industry offers the biggest issue are “Dignity of labour”, “work environment”,” work life balance”,” stay environment” and “the pay package”
  • To sustain growth in the travel and tourism industry, trained manpower/ workforce is required at every level — managerial, supervisory, skilled or semi-skilled. Challenges faced at each level are different. At mid and senior management levels, the industry faces talent crunch and at the front-line staff level, although human resources are adequate, a boom in other service industries such as banking, retail, airline and BPO have resulted in shortage of manpower at this level for the travel and tourism industry
  • Service level :In addition to tour operators and hotel staff, tourists interact with persons from different backgrounds, occupations and experience. Such people include staff at bus/railway station, immigration staff at airports, taxi/coach operators, ticketing/ travel agencies, small hotels, dhabas/roadside eateries, staff at heritage sites, and tour guides, among others. The degree of service offered by these various stakeholders has a significant impact on determining the tourist’s overall experience of India as a tourist destination.

Opportunities In Hospitality Industry

  • India’s size and massive natural, geographic, cultural and artistic diversity offers enormous opportunities for the travel and tourism industry. The promotion and aggressive marketing measures undertaken by the government is expected to aid influx of tourists. The industry would also benefit from introduction of new forms of tourism and development of niche segments.
  • Medical tourism in India has gained considerable popularity in recent years. India has a major cost advantage in this field compared with other countries. In addition to cost advantages, Indian healthcare industry offers state-of-art equipment, technological advancement, qualified and experienced medical personnel and a blend of modern and traditional medicines. Thus, medical tourism has immense potential in India.
  • Opportunities also exist in ecotourism, adventure tourism, and cruise tourism. Eco-tourism is increasing in popularity, evident in the development of eco-friendly hotels and tour packages. With increasing environment awareness and consciousness among tourists and given efforts undertaken by the government and private players, the ecotourism segment is expected to record handsome growth in the coming years.
  • India holds immense potential in adventure and cruise tourism. India’s greatest adventure tourism assets are Himalayas and its mighty rivers. The peak period for adventure tourism is the “lean period” of cultural tourism. Development of adventure tourism can make India a round-the-year tourist destination. The cruise industry is one of the most promising industries in India. However, strong efforts need to be made to develop this industry. Other forms of tourism such as agri tourism, pilgrimage tourism, heritage tourism, and MICE tourism also hold enormous potential.

The Statistics and data about Global Hospitality Industry

Following is the Data from The Travel & Tourism , Competitiveness Report 2011, as Published By World Economic Forum . For More Info refer to World Economic Forum Site

  • The Travel & Tourism Competitiveness Index 2011: Europe
The Travel & Tourism Competitiveness Index 2011: Europe

The Travel & Tourism Competitiveness Index 2011: Europe

  •  The Travel & Tourism Competitiveness Index 2011: The Americas


The Travel and Tourism( Hospiality ) Competitiveness Index 2011: The Americas

The Travel & Tourism Competitiveness Index 2011: The Americas

  •  The Travel & Tourism Competitiveness Index 2011: Asia Pacific
The Travel Tourism(Hospitality) Competitiveness Index 2011: Asia Pacific

The Travel & Tourism Competitiveness Index 2011: Asia Pacific

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