Concepts and Innovation in Hospitality: A Detailed Analysis Report

This report delves into the concept of innovation within the hospitality industry, exploring its sources, and critical importance to business performance. It examines factors driving innovation, using organizational examples to illustrate concepts like comfort, information, and flexibility. The report evaluates various innovative approaches implemented in the hospitality sector, analyzing their success in sustaining profitability and competitive advantages. The analysis covers how innovation impacts business strategy, performance, and the overall customer experience, providing a comprehensive overview of innovation's role in the hospitality landscape.

INNOVATIVE
CONCEPT FOR THE
HOSPITALITY
INDUSTRY
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Table of Contents
Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK 1............................................................................................................................................3
P1) Concept of ‘innovation’ and different sources of innovation..........................................3
P2) The importance of innovation to business performance..................................................5
M1) Evaluate the contribution of innovation to business performance and analyse the benefits
................................................................................................................................................6
D1) Critically evaluate the contribution of innovation to business strategy and performance6
TASK2.............................................................................................................................................6
P3) Factors driving innovation in the hospitality industry using a range of organizational
examples.................................................................................................................................6
M2) Critically analyse the advantages and disadvantages of factors driving innovation in the
hospitality industry.................................................................................................................8
D2) Critically evaluate how the factors across a range of organisations in the hospitality
industry sustain profitability and competitive edge................................................................8
TASK3.............................................................................................................................................8
P4) Review a range of different innovative concepts and approaches that have been
implemented in the hospitality industry.................................................................................8
M3) Evaluate a range of innovative concepts and approaches within the hospitality industry
................................................................................................................................................9
D3) Critically evaluate the success of a range of innovative concepts and approaches adopted
by hospitality organisations....................................................................................................9
TASK4...........................................................................................................................................10
Covered in Ppt......................................................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
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INTRODUCTION
Hospitality is the term used to describe the efforts made by an individual; whether in a
business or personal life, order to comfort and entertain a customer or a guest. The practice of
hospitality has a business industry of its own. Business like restaurants, hotel's, cafe's and up to
an extent even hospitals are governed on the principle of hospitality(Amoako and et. al., 2019).
In order to provide better services and value worthy experience to the customers more and more
ideas and innovation in the hospitality is needed. This report is based on the concept of
innovation in the hospitality industry; that how the industry affected and the success of the
industry depends on the innovation in the delivery of comfort and the way of providing services
to the customers. This report also consists of different sources and critical evaluation of the
importance of innovation in the hospitality industry.
MAIN BODY
TASK 1
P1) Concept of ‘innovation’ and different sources of innovation
Innovation is the process of converting new ideas into reality. Through this process new
methods, products or services are develop to satisfy the market needs. There is a very thin layer
of difference between improvement and innovation which are otherwise confused to be the same.
Improvement is slight addition and change in the working of service or product in order to make
it better but in innovation a completely new way is to be created in order to solve an existing
problem of the customers. It is the innovation that attracts the customers as it provides sense of
newness and adds an excitement to the services. There are several source of innovation which
are otherwise difficult to bring into existence. Following are the sources of innovation,
Unexpected : There are several factors that make innovation a difficult process. One of
these factors is the already existing and not effective method of delivering the service because of
which the innovative ideas get blocked (Baum, 2019). Hence most of the times the innovation
originate in the form of unexpected ideas. Although the person to whom this innovative idea
struck has must be somehow related to the solution of the innovation but wast deliberately and
constantly looking for the it. Invention of fire is one the most famous example of such a source
of innovation.
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Incongruity: Incongruity which literally refers to a situation when things don't match
when they are supposed to. When a situation or cause and effect balance of the market become
incongruent then a condition for innovation arrives.
Market Structure: This source of the innovation is through the inefficient working of the
existing solution in the market. This gives rise to make the service better than ever which in turn
helps in innovation related to the product of service entirely.
Necessity: It is the necessity of the market that demands the innovation. This statement
clearly explains that every problem of the market and need of the customers is indirectly a
demand to the entrepreneurs to solve them with an innovation (Cismaru and Iunius, 2020). Such
an innovation as was a necessity of the market is expected to perform brilliantly.
Demographic: This source of innovation is due to the the lifestyle and culture of people.
Such a source of innovation has a lot of potential to give rise to many innovation as the culture
and lifestyle of the people around the world differ a lot, hence with so many difference. It is with
the different culture and regional practices that give rise to problems faced by specific problem.
Such an innovation might not have a chance of huge success but a surety comes with the solution
of the problem.
Changing perception: With a constantly changing world in terms of technology the
perception and mindset of the people is changing equally rapidly. With this change in the
perception arises the opportunity of innovation. Such a source of innovation gives rise to a
product of service that have a potential to a huge potential. For example: during 20th century the
need for better and faster transport was felt that gave rise to diesel and petrol engine, but a
century later there is a change in the perception of peopl: FINANCIAL De changed towards the
use of clean energy and hence the innovation of the electrical source of power gave rise to the
Tesla cars.
New Knowledge: For any innovation to successfully come to life there must either be a
new problem in the market or a new invention of technology. The application of this invention
can be brought to life through the effective use which is clearly an innovative way of using the
invention. Such a source of innovation has a remarkable potential for success given the fact that
there is a first mover advantage (Dzhandzhugazova and et. al., 2019). Technological
advancement and its commercial application are two different sectors which when merged
together can definitely bring a successfully innovation to life.
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P2) The importance of innovation to business performance
Business is the process of offering a product or service to the customer based on their
need. Business world is filled with competition and there are thousands of people offering the
same product and service in the same make place. In order to cut the competition and have more
than an edge over advantage either the way of offering or the offering itself must be in an
innovative. There are various ways in which the innovation helps the enterprise which are
described following,
Attract customers: When a brand finds an innovative way to offer the service or offers a
product with innovation, then it attracts the customers to use this new innovated service
(Elfimova and Radishauskas, 2018). Every potential customer in the market is attracted towards
the innovation as it helps their activity or gives them a better experience than ever. Which in
turns realises a lot of potential customers.
Create a sense of excitement: Every innovation introduced in the market when marketed
with proper strategies; that most companies with the presence of enough marketing tools, has the
potential to create a sense of excitement in the existing customer of the company. When the
customers are using a technology with the slightest of innovation can make the customer to
upgrade. Most of the mobile phones companies are using innovation with their product in order
to attract customers through the excitement of innovation.
Differentiate the enterprise: Innovation can also be used as the most efficient and
successful tool to differentiate itself from its competition serving in the same market. Although
there exist many tools to take competitive advantage but the position offered by the innovation
beats all other form of tools and strategies in terms of competitive advantage. Innovation not
only helps differentiate the brand but also allows the company to generate revenue from its
existing customers. Apple is the best example for this type of innovatory benefit as the brand has
been coming up with new technological innovation, not only the brand is well differentiated and
has technological and qualitative advantage through innovation, which helps gain customer of
competition but also makes the existing customer make more purchase.
Grow: The most obvious and core reason behind the concept of innovation in business
term is it helps to generate revenue and make the business grow (Goryushkina and et. al., 2019).
Through all the processes and related benefit through innovation, the core reason is more sales
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and customer satisfaction which ultimately helps in generation more revenue and results in the
growth of the company.
M1) Evaluate the contribution of innovation to business performance and analyse the benefits
Every form of business either offers a product or a service to its customers. With an all-
time high compete ion in the market in every sector of business the necessity to appear different
in the eyes of the customer is a must. It is through the process of innovation and its successful
implication in the business a company can have an edge above its competition and differentiate
itself from every else in the market (Hassi, 2019). The concept of innovation advancement
applies to every industry as the customers will always be attracted to helpful advancement and
innovation.
D1) Critically evaluate the contribution of innovation to business strategy and performance
Looking at the evaluation of hospitality industry it is appropriate to state that innovation
has been a significant part in its success and performance. In the hospitality sector the customers
are to be made comfortable and well taken care of while being provided an everlasting
experience. Such an objective has a lot of potential to get better with innovation. Hence thorough
the innovation oriented strategies and business methods performance of the industry can be
enhanced.
TASK2
P3) Factors driving innovation in the hospitality industry using a range of organizational
examples
Hospitality industry constitute wide range of services. It is a part of service industry
which means that customer of hospitality industry buys the services from the respective business.
As the industry primarily consist of hotels, bars and cafe's restaurants, tours and travel sector
there are multiple factors open up opportunity for innovation in the industry (Jung and Yoon,
2018). The necessity for innovation is always arrives with the concern of serving the customer
better, following are some the factors,
Comfort: The activities involved in hospitality industry always revolve around provide
comfort to the customers. The term comfort is subjective as its true meaning vary from person.
Hence in order to provide comfort to the customers there must always be a scope to take an extra
step and find out the expectations and need of the customers in order to innovate and provide
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better services. An example of the term comfort as subjective, having waiters at a restaurant is a
comfort to many as people do not have to go to the desk to order, but for other the time taken by
the waiter to attend and deliver the hospitality was too much which resulted in the innovation of
table with QR codes that register food orders online (Morozov and Morozova, 2020). Looking at
the comfort this innovation became successful such services were appreciated all around the
world now.
Informative: When it comes to making the customer feel comfortable and provide and
everlasting experience that satisfies the customer for retention the service provider has to ensure
every concern of the customer is met. In many cases the customer or guest wants to be well
informed about the services and service provider. Rather than a manager answering the concerns;
Hotels and restaurants around the world have adopted to providing a tablet that answers every
question of the guest be it food preparation related or associated with the history of the hotel.
Such an innovation in the hotel and restaurants adds to the hospitality and provides information
with which the customer can promote the services.
Flexibility: On of the most attractive factors that attract the customers in the field on
hospitality is the flexibility associated with the service. Through the perspective of the customer
who is willing to bear the amount of services; flexibility is one of the major reason of choosing
and rejecting a service. Hence innovation in the hospitality is drives a lot by the quality of the
services provided by a company. For an example; considering the case of rental cars in tourism
hospitality, earlier when the customer rented a car, it had to be dropped back to the same spot in
the same city it was picked from (Rhou and Singal, 2020). But now with the application of
technology the vehicle can be tracked through GPS and the rental vehicle can now be dropped at
any desired location. Such a flexible service made fortune for many of the rental companies.
Customisation: One of the most preferred source of attraction and ultimately a factor for
innovation is the ability to customise a product or service according to the preference a customer.
Such an hospitality where the customer could feel like the service or product was made for that
individual gives a sense of extreme satisfaction and helps in the retention of the customer.
Example of the customisation is in the food sector, where many multinational brands allow the
customer to completely customise their food and drinks in order to provide the most of the
experience.
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M2) Critically analyse the advantages and disadvantages of factors driving innovation in the
hospitality industry
In order to maximise the profit of the hospitality sector a service provider must ensure
that the company analyse all the factors associated with innovation. While the hospitality is an
industry to serve the customer the innovations have many advantages as it helps to satisfy the
customer better than ever and the disadvantages being the innovation is never restricted to an
individual provider. With high risk of imitation and constant innovations these factors make
adapting to hospitality industry difficult for many.
D2) Critically evaluate how the factors across a range of organisations in the hospitality industry
sustain profitability and competitive edge.
In every industry the innovation attracts the costumers. In order to adapt to the changing
market needs and requirements, the factors driving the innovation play a major role. It is through
the analysis and constant research about factors that allows the sustainability and growth for any
brand in the hospitality industry.
TASK3
P4) Review a range of different innovative concepts and approaches that have been implemented
in the hospitality industry
Hospitality industry has always welcomed the innovations some of them resulted in the
huge success while others dint, In order to understand the innovation product and services more
some of the innovations are reviews below.
VR guide: In some of the most reputed hotels of the world the customers are always
welcomed with the services only limited to these huge hotels chains. On of such services was a
complete tour and guide of the hotel and its resorts with a device of augmented reality (Shabani,
Munir and Hassan, 2018). This technology became famous a couple of years ago and was very
efficiently adopted by the premium leaders. It became a huge success as it helped the guest to
provide a better understand of their way around in the hotel or resorts which provided a sense of
familiarity.
Waiting lounge massager: Hotels are a genuine part of the tours and travel industry and
it is natural to expect a guest riving at the hotel reception completely tired. There is always 10-15
minutes required for preparing the room and handing over the keys to the guest. For the effective
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use of this time from the perspective of the guests some premium hotels installed sofa massager
in the waiting lounge which helped in satisfying the customers.
Two-wheeler Taxi: In the third world countries there has been a recent innovation in the
cab-business that is the addition of two wheelers as a taxi service. There have been multiple
reasons for the addition of this service, primarily being it was majorly cost effective for the
people and secondarily it saved time as two wheelers find their way out in the traffic of such
countries. This addition resulted into a hike for the service being used (Willie, 2019). This is one
of the simplest yet effective example of service addition as innovation.
Waiter-Table: Comfort provides the best for of satisfaction to the people. This has been
very well targetted by another simple yet effective innovation of tables with tablets attached that
contained the menu as well as graphics videos of preparation of dishes respectively. Such an
innovation not only serves the customer better but also allows the service provider to make the
customer order particular dishes through displaying better featuring on the device.
M3) Evaluate a range of innovative concepts and approaches within the hospitality industry
As per above scenario, there are some concepts and models are discussed for the
innovation such as VR guide, it assists in enhancing brand values or image in market by
providing better services in limited areas. This is very effective technology in hospitality sector
and business also adopt in efficient manner for achieving more success rate on right path.
Waiting lounge massager, it helps in attracting people or visitors and provide them some relaxing
services so they feel fresh and happy. Two wheeler taxi, this is cost and time effective for hotel
as well as visitors. Waiter table, for hospitality industry providing satisfaction in order to services
and food it most important (Yang, Henthorne and George, 2020). Presenting graphic videos of
menu is most attracting part of providing services of hospitality.
D3) Critically evaluate the success of a range of innovative concepts and approaches adopted by
hospitality organisations
As per above analysis, there are various examples and concepts which are effective and
attractive for people. But most effective innovation is two wheeler taxi and waiter table both are
helps in enhancing success rate in market by serving these type of innovative things. Two
wheeler taxi concept is useful and very cost effective for hospitality industry because it provide
better and attractive services to the customer. By using this the traffic also may reduce. Second
one is waiter table, it is very convenient and easy concept for hospitality and customers as well.
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It is very attracting and easy to use concept for both. Customers can easily give order through
online.
TASK4
Covered in Ppt
CONCLUSION
It is concluded from the report that the innovation has a significant role in hospitality
industry. With the primary practice of hospitality industry to serve the customer and provide
comfort, the innovation becomes must as the customer always demand for better than ever.
Through this report the factors of innovation and their application can be clearly understood.
Every service in the industry has the ability to become better through innovation which can
trigger the growth and success for a service provider.
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REFERENCES
Books and Journal
Amoako, G.K. and et. al., 2019. Relationship marketing and customer satisfaction in the
Ghanaian hospitality industry. Journal of Hospitality and Tourism Insights.
Baum, T., 2019. Does the hospitality industry need or deserve talent?. International Journal of
Contemporary Hospitality Management.
Cismaru, L. and Iunius, R., 2020. Bridging the Generational Gap in the Hospitality Industry:
Reverse Mentoring—An Innovative Talent Management Practice for Present and Future
Generations of Employees. Sustainability, 12(1), p.263.
Dzhandzhugazova, E.A. and et. al., 2019. Innovative activity as a tool for the development of
industries in Russia (on the example of tourism and hospitality industry). International
Journal of Applied Exercise Physiology, 8(2.1), pp.610-614.
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hospitality. In Sustainable development of tourism market: international pra:
FINANCIAL Dctices and Russian experience (pp. 57-59).
Goryushkina, N. and et. al., 2019. Theoretical Aspects of entrepreneurial Education for
hospitality Industry. Journal of Environmental Management & Tourism, 10(4 (36)),
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Hassi, A., 2019. Empowering leadership and management innovation in the hospitality industry
context. International Journal of Contemporary Hospitality Management.
Jung, H.S. and Yoon, H.H., 2018. Improving frontline service employees' innovative behavior
using conflict management in the hospitality industry: The mediating role of
engagement. Tourism Management, 69, pp.498-507.
Morozov, M. and Morozova, N., 2020, January. Innovative staff training strategies for the
tourism and hospitality industry. In 5th International Conference on Economics,
Management, Law and Education (EMLE 2019) (pp. 393-396). Atlantis Press.
Rhou, Y. and Singal, M., 2020. A review of the business case for CSR in the hospitality
industry. International Journal of Hospitality Management, 84, p.102330.
Shabani, N., Munir, A. and Hassan, A., 2018. E-Marketing via augmented reality: A case study
in the tourism and hospitality industry. IEEE Potentials, 38(1), pp.43-47.
Willie, P., 2019. Can all sectors of the hospitality and tourism industry be influenced by the
innovation of blockchain technology?. Worldwide Hospitality and Tourism Themes.
Yang, L., Henthorne, T.L. and George, B., 2020. Artificial intelligence and robotics technology
in the hospitality industry: Current applications and future trends. Digital
transformation in business and society, pp.211-228.
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