Sustainable Operations and Destinations: Alto Hotel, Melbourne

This report explores the sustainable operations and CSR practices of Alto Hotel, Melbourne, including key responsibilities, practices undertaken, and analysis of their impact. It also provides recommendations for improving CSR practices. The report highlights the positive relationship between CSR practices and sustainable business management, and identifies three key responsibilities under CSR practices. The case study of Alto Hotel, Melbourne shows that the organisation has adopted CSR policies and practices, including the use of renewable energy sources and reduced carbon emissions, which have set a benchmark for other organisations in the tourism and hospitality industry.

Sustainable Operations and Destinations: Alto Hotel, Melbourne
1

Table of Contents
Executive Summary.........................................................................................................................3
1. Introduction..................................................................................................................................4
2. Sustainable Operations and Destinations: Alto Hotel, Melbourne..............................................5
2.1 Findings..................................................................................................................................5
2.1.1 Implication of Sustainable Business Management Practices on CSR Practices.............5
2.1.2 Key Responsibilities an Organization takes while Implementing CSR Practices...........5
2.1.3 Practices Undertaken by Alto Hotel, Melbourne to Enhance its CSR Practices for
Supporting Destination and Stakeholders................................................................................6
2.1.4 CSR Policies and Promotions of Alto Hotel, Melbourne are Tokenism or Verifiable...7
2.2 Analysis..................................................................................................................................7
3. Recommendations........................................................................................................................8
4. Conclusion...................................................................................................................................9
References......................................................................................................................................10
2

Executive Summary
In order to analyse the key responsibilities of Alto Hotel, Melbourne that the organisation
is undertaking for implementing CSR practices, this research is conducted. It also focuses on
management of sustainable business and responsibilities under CSR. For conducting the study,
literature review method has been adopted under secondary method of research, which has a
limitation as it does not involve human interaction. Therefore, the study lacks real-life
experiences. The report has focused on sustainable operations management, which can be
defined as the operational policies, operational strategies, tactics and techniques adopted by an
organisation, in order to support the environmental goals as well as economic goals of the
organisation. It has been explored that with the help of CSR practices adopted by an
organisation, sustainable operations management can be ensured. The report has focused on a
specific case study of Alto Hotel, Melbourne. It has been identified that the hotel has adopted
CSR policies and practices within the workplace, which is depicted through the use of renewable
energy sources and reduced carbon emission. There are three responsibilities defined under CSR
practices, namely legal responsibilities, economic responsibilities and ethical responsibilities.
These responsibilities help in fulfilling the needs and expectations of the stakeholders of an
organisation. An organisation can be termed as tokenism or verifiable based on its activities. In
the case of tourism industry, Alto Hotel, Melbourne can be termed as verifiable as the
organisation is making efforts in reducing the impact on the environment, which is depicted
through its practices. The organisation has also set benchmark for other organisations in the
industry regarding carbon emission, which makes Alto Hotel verifiable.
3

1. Introduction
The aim of the study is to identify and present the key responsibilities of Alto Hotel,
Melbourne that is taken while implementing its Corporate Social Responsibility (CSR) practices
to develop a structured approach regarding the management of sustainable business and
application of CSR practices in the organization. For accomplishing the aim, individual
objectives are presented:
 To examine the implication of sustainable business management practices on CSR
practices
 To identify the key responsibilities an organization takes while implementing CSR
practices
 To identify whether CSR policies and promotions of Alto Hotel, Melbourne are tokenism
or verifiable
 To analyse the practices undertaken by Alto Hotel, Melbourne to enhance its CSR
practices for supporting destination and stakeholders
It has been explored that tourism industry is not limited to the accommodation,
transportation and hospitality, but tourism is considered as a complete system, which involves
the sustainable management practices of the organisation. The major impact of tourism can be
seen on the host communities and the destination (Zaei & Zaei, 2013). In this regard, the main
problem that has arisen in the study is to identify the key responsibilities that an organisation
must adopt regarding CSR practices and sustainable business management. The main focus of
this study is on the case study of Alto Hotel, Melbourne. There are two major aspects that are
used in this study, first, sustainable operations management that can be defined as the operational
policies, techniques, operational strategies, and tactics of an organisation, which supports the
4

environmental as well as economic goals of the organisation (Chiarini, 2015). Another important
aspect is corporate social responsibility, which can be defined as a business approach followed
by the organisations, which focuses on providing benefits to all the stakeholders by focusing on
the aspects of economic, social and environment, regarding sustainable development (Werther &
Chandler, 2010). In order to conduct the study, secondary method is used, so that qualitative
information can be gathered with the help of literature review method. For conducting literature
review, books, journals and online sources are used, as they are helpful in providing insight
regarding the focus of the study (Fink, 2013). The major limitation of this study is that the study
does not involve first-hand data that is beneficial in providing real-life experiences (Robson &
McCartan, 2016).
2. Sustainable Operations and Destinations: Alto Hotel, Melbourne
2.1 Findings
2.1.1 Implication of Sustainable Business Management Practices on CSR Practices
In the current scenario, the need of the society is towards sustainable approach, which
requires an organisation to adapt to CSR responsibilities. There is a positive relationship between
CSR practices and sustainable business management (Saha & Dahiya, 2015). With the help of
adoption of CSR practices and responsibilities under it, economic, environmental and social
benefits can be provided to the stakeholders, which leads towards sustainable development and
hence, sustainable business management (Saha & Dahiya, 2015). The literature has explored that
in the current competitive environment, the main focus of the organisations is on competing in
the market by developing certain strategies. Therefore, organisations have focused on sustainable
business management, which is required by the stakeholders in the present time. This sustainable
business management involves benefiting the stakeholders of the organisation in terms of
5

economic, environmental and legal aspects (Saha & Dahiya, 2015). All the three aspects are the
major focus of CSR practices, which is enhanced with the help of the three aspects. In this
manner, it can be stated that there is a positive relationship between sustainable business
management and CSR practices of an organisation. In addition to this, sustainable business
management improves the CSR practices of an organisation so that the organisation can compete
in the market (Saha & Dahiya, 2015).
2.1.2 Key Responsibilities an Organization takes while Implementing CSR Practices
There are major three responsibilities that an organisation takes while implementing CSR
practices, namely ethical responsibilities, legal responsibilities and economic responsibilities.
Economic responsibilities are the responsibilities, which can be fulfilled by providing the society
with the products and services that are desired and expected (Werther & Chandler, 2010). The
process also involves making profits with the help of products and services. In the case of
tourism industry, it is important that services are provided to the customers that does not impact
the environment (Werther & Chandler, 2010). Legal responsibilities depicts that with the
economic aspects, it is also important that legislation and current laws are considered by the
organisation regarding the sale of its products and services (Laasch & Conaway, 2014). Lastly,
ethical responsibilities are the standards and norms that are followed by an organisation, in order
to meet the expectation of society, customers and shareholders. These responsibilities must be in
fair manner, and must be able to reflect equality (Laasch & Conaway, 2014).
2.1.3 Practices Undertaken by Alto Hotel, Melbourne to Enhance its CSR Practices for
Supporting Destination and Stakeholders
It has been explored that CSR practices are important for an organisation, as it helps the
organisation in providing benefits to all of its stakeholders (Pechlaner & Smeral, 2014). There
6

are certain practices that adopted by Alto Hotel, Melbourne that helps the hotel in enhancing its
CSR practices and also support the destination that is Melbourne. Alto Hotel is the first hotel in
Bourke, Melbourne that has calculated its carbon output, which has enabled the hotel to be
carbon neutral and benefit the environment (Alto, 2008). It has been stated by Alto Hotel,
Melbourne that by staying for one night at the hotel on an average 11.8 kilogram of carbon is
produced, which is less than the estimate set by the Sustainable Tourism. The electricity
generated by the hotel is generated through renewable sources and the building has implemented
Environment Rating System (Alto, 2008). In addition to this, ran water is preserved by Alto
Hotel, Melbourne so that the preserved by the hotel can be used for gardening and cleaning
purposes. The windows installed in the building of the hotel are double gazed, which reduces the
reflection of heat and hence leads to less use of air conditioner. Another practice adopted by Alto
Hotel, Melbourne is regarding recycling of materials into biodiesel (Alto, 2008). All these
practices are helpful for Alto Hotel, Melbourne in contributing towards sustainable business
management and benefiting the destination as well as its stakeholders.
2.1.4 CSR Policies and Promotions of Alto Hotel, Melbourne are Tokenism or Verifiable
Tokenism is defined as a practice of making any symbolic effort so that minority groups
can be depicted as inclusive. This is also done by recruiting staff members from minority groups
or underrepresented groups. It is beneficial for an organisation in representing racial and sexual
equality within the workplace (Sherrer, 2018). On the other hand, verifiable practices are those
practices, which are able to set a benchmark by the process of evaluation (Sherrer, 2018). It has
been explored that the policies adopted by Alto Hotel, Melbourne regarding CSR are verifiable,
as the practices are adopted by the hotel and they have set benchmark for other organisations in
the tourism sector. The carbon emission rate set by Sustainable Tourism is of 24-26 kilograms
7

per day (Alto, 2008). However, Alto Hotel, Melbourne has set a benchmark by emitting carbon
11.8 kilograms every night. This is possible due to the practices adopted by Alto Hotel, in the
form of renewable sources of energy, recyclable materials, and rain water harvesting (Alto,
2008). In this manner, it can be stated that the CSR policies and promotions of Alto Hotel,
Melbourne are verifiable.
2.2 Analysis
It has been analysed from the findings of the study that with the help of CSR practices
and responsibilities adopted by an organisation, sustainable business management can be gained.
In the tourism and hospitality industry, organisations adopt CSR practices, so that they can
contribute towards sustainable development, as the system impacts the destination and the host
communities. There are major three types of responsibilities that have been identified in the
study under CSR practices. These three responsibilities are ethical responsibilities, economic
responsibilities and legal responsibilities. In the case of Alto Hotel, Melbourne, it has been
analysed that the organisation has adopted CSR practices and also enhanced these practice by
reducing overall carbon emission and using renewable sources for the generation of electricity.
The approach adopted by Alto Hotel, Melbourne is verifiable as the organisation has set a
benchmark for other organisations in the tourism and hospitality industry.
3. Recommendations
In order to maximise the impact of CSR practices adopted by Alto Hotel, Melbourne,
certain steps can be adopted by the organisation. These steps are given below:
 In order to improve CSR program and activities adopted by an organisation, it is
important that the organisation has a long-term vision that can help in providing
environmental, economic and legal benefits to the stakeholders. It is also important that
8

the long-term vision also focuses on brand positioning in the market (Okpara & Idowu,
2013).
 For improving CSR practices, it can be stated that it is important for an organisation to
focus on the needs and expectation of the communities and society. Therefore, an
organisation must monitor the needs of the society and communities to address the social
issue and improve the CSR program (Grayson & Hodges, 2017).
 Under CSR practices, social media campaigning can also be conducted by an
organisation so as to interact with the individuals and analyse the social issues faced by
the society. This can help the organisation in understanding the society and communities
in a better way (Grayson & Hodges, 2017).
4. Conclusion
It can be concluded that with the help of effective CSR practices sustainable business can
be developed. CSR practices involve business approach of an organisation that helps in
benefiting all the stakeholders of the organisation regarding economic, social and environmental
aspects. Sustainable operations management is the practice of an organisation, which involves
focusing on tactics, techniques, operational strategies and operational policies of the
organisation. While implementing CSR practices, there are certain responsibilities that are
adopted by an organisation, in order to enhance the CSR practices and policies. There are three
major responsibilities, namely ethical responsibilities, legal responsibilities and economic
responsibilities. In the case of Alto Hotel, Melbourne, it has been identified that the organisation
has developed its CSR policies, which is enhanced by the use of renewable sources and setting a
benchmark regarding carbon emission. Regarding the terms tokenism and verifiable, it has been
identified that the organisation has been successful in setting benchmark for the other
9

organisations in the tourism and hospitality industry, which shows that the CSR policies of Alto
Hotel are verifiable.
10

References
Alto. (2008). Environmental Sustainability Fact Sheet. Retrieved May 29, 2018, from
http://www.altohotel.com.au/green-hotel-accommodation-melbourne.php
Chiarini, A. (2015). Sustainable Operations Management: Advances in Strategy and
Methodology. London: Springer.
Fink, A. (2013). Conducting Research Literature Reviews: From the Internet to Paper. London:
SAGE Publications.
Grayson, D., & Hodges, A. (2017). Corporate Social Opportunity!: Seven Steps to Make
Corporate Social Responsibility Work for your Business. London: Routledge.
Laasch, O., & Conaway, R.N. (2014). Principles of Responsible Management: Global
Sustainability, Responsibility, and Ethics. Boston: Cengage Learning.
Okpara, J.O., & Idowu, S.O. (2013). Corporate Social Responsibility: Challenges, Opportunities
and Strategies for 21st Century Leaders. London: Springer Science & Business Media.
Pechlaner, H., & Smeral, E. 2014. Tourism and Leisure: Current Issues and Perspectives of
Development. London: Springer.
Robson, C., & McCartan, K. (2016). Real World Research. New Jersey: John Wiley & Sons.
Saha, R., & Dahiya, R. (2015). Corporate Social Responsibility & Sustainable Business
Practices: A Study of the Impact of Relationship between CSR & Sustainability.
Proceedings of International Conference on ‘Research and Business Sustainability’, 473-
477.
Sherrer, K. (2018). What Is Tokenism, and Why Does It Matter in the Workplace? Retrieved
May 29, 2018, from https://business.vanderbilt.edu/news/2018/02/26/tokenism-in-the-
workplace/
11

Werther, W.B., & Chandler, D. (2010). Strategic Corporate Social Responsibility: Stakeholders
in a Global Environment. London: SAGE.
Zaei, M.E., & Zaei, M.E. 2013. THE IMPACTS OF TOURISM INDUSTRY ON HOST
COMMUNITY. European Journal of Tourism Hospitality and Research, 1(2), 12-21.
12