Concepts and Innovations in Hospitality: Driving Business Performance

This report delves into the concept of innovation within the hospitality industry, highlighting its critical role in enhancing business performance. It explores various types of innovation, including architectural, disruptive, incremental, and radical, and identifies eight key fields of innovation, such as product, technology, and marketing innovation. The report emphasizes the importance of innovation for growth, improved productivity, competitive advantages, and staying ahead of market disruptions. Key factors driving innovation in hospitality, such as digital adoption and evolving consumer trends, are also discussed. The report concludes by underscoring the need for continuous innovation to meet changing customer expectations and maintain a competitive edge in the dynamic hospitality sector. Desklib offers a wealth of similar resources, including past papers and solved assignments, for students seeking to deepen their understanding.

CONCEPTS AND INNOVATIONS IN
HOSPITALITY

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Cocept of innovation....................................................................................................................3
Different sources of innovation...................................................................................................4
The importance of innovation to business performance. ............................................................5
Key factors that are driving innovation in hospitality.................................................................7
Different innovative concepts and approaches in organization ..................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
Hospitality bridges the gap between a host and a guest , This is a relationship between the
both in which the giver receives the visitor with exchange of some goodwill and monetary
values. Which includes the following facilities food and beverages, rooms, entertainment etc.
Hospitality department includes hotels, agents, tourism, agencies, bars, lounge, restaurants etc. In
this report we are going to study about concept of innovations and it's importance to performance
of business, roles and importance of innovation and hospitality, factors that are driving
innovation in hospitality, different factors of innovation and pitch on innovative concept for
hospitality.
MAIN BODY
Cocept of innovation
The term innovation means to renew, also innovation is the transfer of idea in mind or
theoretical idea in practical world or in reality. It is the process of changing the module,
framework or good or services in such a way that shows creativity and attracts customers.
Innovation is all pervasive as it is needed everywhere not only in business line but also in
personal line too.
There are mainly four types of innovation. These are architectural, disruptive, incremental and
radical innovation (Järvinen.M.2019.). Architectural innovation means the introduction of
existing technology in new market some of its big examples are Google, Flip kart, Disney , Jio.
Disruptive innovation means the introduction of new technology in existing market such as
apple, Dell,Samsung. Incremental innovation means use of existing technology in existing
market by changing design or new characteristics in the current product such as series of
smartphones. Radical innovation means introduction of new technology in new market this is
like placing a bet on losing horse (Thomas, L.D 2019.). Innovation is a wide process which can
be in different types and results but still there are mainly eight fields of innovation- Product
innovation it means development of new product or making changes in existing product for
better performance. Technology innovation it can be the base for many innovation example –
internet innovation leading to social media. Company model innovation It means use of new
changes or innovation in old business model. Organisational innovating It means exchanging
and managing good and services or resources in a systematic fresh way. Process innovation It
means improving the old existing methods of processing. Marketing innovation It means the

improvement or changes in marketing or saling of goods or services. Network innovation It
means connecting new groups of people to the market or organisation (.Kurpayanidi.K.2021.).
Customer engagement It means making necessary changes in policy, rules or organisation
which helps in increasing customer rapidly.
Hilton's organization is dynamic company which keep changes according to the customer
expectation. As result for premium which is being placed for the innovation and operator are
always lookout for some new products that can be meet and even have their participate with
evolving needs of guests. This could be also seems that guest desires and preferences, new
technology and many other significant which help for working with changing travel patterns and
the business activities have their nature of physical and services standards of what they usually
define. This also need for having most basic level which might be expanded beyond the
expectation of the traditional bricks and sticks (Borowski, 2021). A huge number of factors have
triggered recent innovation in organization and this could lead for achieving the goals and
objectives. Hilton's association is dynamic organization which keeps changes as indicated by the
client assumption. As result for premium which is being set for the development and
administrator are consistently posts for new items that can be meeting and even have their take
part with advancing necessities of visitors. This could be likewise appears to be that visitor wants
and inclinations, innovation and numerous other huge which help for working with changing
travel designs and the business exercises have their temperament of physical and administrations
principles of what they typically characterize. This likewise need for having most fundamental
level which may be extended past the assumption for the customary blocks and sticks. Countless
elements have set off late advancement in association and this could lead for accomplishing the
objectives and targets.
Different sources of innovation
There are six sources of innovation , each of them are as follows:-
Unexpected:- Innovation can occur suddenly. It can happen surprisingly , there is no fixed time
for innovation, there are so many innovation that happened unexpectedly example – fire.
Incongruities:- When the want is not compatible with the supplies, at that there may be a birth
of innovation happens. for example – Air parking , because of lack of parking space a person
introduced this .

Market framework:- Old or existing market framework can also give rise to innovations. Such
as Amazon a retail online selling platform adapted itself to changes from retail to financial
services.
Necessity:- It is the main source of innovation any necessity can create innovation for example
rise in price of petrol caused disturbance to many peoples and because of this disturbance a
person researched and created petroleum from plastic.
Demographics:- Our way of living can be a base for innovations as mostly people like to smoke
this is injurious to health but still many peoples can't stop there urge to make it less harmful
someone created E-smoke.\
Changing viewpoint :- Change in perception can give the birth to innovation. Every time we
watch our inspiration, celebrity our views about the things we seek changes. As before the fattier
the peoples are the healthier they are, is the perception but now it's like the leaner a person is the
fitter and healthier that person is.
The importance of innovation to business performance.
Business is an economic activity which is undertaken to earn monetary value and performance of
business depends on innovation, working environment, marketing etc. good business
performance is necessary for standing in high compitetive market some of the importance of
innovation in business performance are as follows:
Helps in growth- Innovation helps in growth of an organisation. A company makes more profit
and successful only when they adapt changes according to trends and make new innovation in
their own sector. This will attract the consumer toward the organisation. Innovation includes
changes in market or changes in technology. In today's world adaptation of new technology is a
trend. Every sector is adapting these changes and making innovations in them to create some
thing creative to attract costumers (Van Looy,2021.). In hospitality sector it is much important to
make innovation through creative ideas.
Improving productivity and organisational performance- Innovation helps organisation in
differentiating itself from other company. Creative and innovative ideas make a new concept for
business enterprise. Innovation means doing something that is different from what everyone is
doing. Innovation can take place in your product or in your enterprise, whichever attracts the
user more, in hospitality industry innovation in property its rooms and providing more facilities
like free Wi-Fi, decorative dinner, sustainable environment are some examples of new

innovation that makes an organisation different from other. Using innovation in the process
system will save the time, money and resources of the firm.
Improvement through social media- The increasing usage of social media in innovation is
good for promoting, controlling, motivating and having focused in the firm. When an
organisation is using this they are copying thousands of people's ideas which give them best
ideas to use in their industry and it also provides you with a great successful venture to find latest
ideas for the firm. An organisation can also use these platforms as to know what the customers or
influencers are saying about our company, services or products. Innovation is necessary for the
growth of a firm.
Competitive advantages: Innovation helps in beating the competition. Revealing creative
functioning and ideas in the firm will directly affect the competition and to survive in this cut-
throat competition market innovation is just like a booster vaccine dose which can may give the
rebirth to the setting firm. What the customer need is good product but they are attracted to
creative product. New innovation will figure out the true technique of marketing that an
organisation have to use in the current market to achieve its targets or goals effectively and
efficiently. Each and every market has competition but the thing is that so have less competition
and some have high competition. Beating up the competition will make the organisation stand
upward infront of every firm.
Enhancement of productiivity- When an organisation feels like the work they are doing the
effort they are putting in the work is not worth it. Then they have to think about a new process
which increases the productivity and this idea of new process is known as innovation (Wall,W.
2021). for smart working process the firm have to cut out unnecessary work and put more efforts
in the work that produce great productivity. Production is value of output and input in an
organisation. Good productivity means good market standing. productivity directly affects the
organisation
The ultimate goals of business innovation help for increasing revenue, about what matter
happening in market. While innovation is not about for making some tiny changes or simply
make the proper use technology just because this keep organization growth (Kitsios and
Grigoroudi, 2020). It is changes in Hilton organization core that easily sustains the growth and
revenue. The importance of innovation to business performance:

Staying ahead of disruption- In having such things business innovation this means that it keep
tracking for market direction in response for the potential disruption or have changes in
consumer demands. Along with this staying on top of consumer Hilton organization might be
informed or allow business leaders to respond towards the trends by using their products.
Hilton's organization that can easily make sure for adopting the changes and help their consumer
for long term relation.
Improve the brand- In present time consumer do their research while before buying products,
while for having such things this could represent the positive brand reputation is vital. Moreover,
this also utilize the right concepts for digital marketing strategies in boosting up the online and in
this way the consumer can easily get attract towards the organization. This also required for
developing the reputation for being having the best market, which means the striving for
innovation as well as environmentally or socially, this can easily help for increasing the brand
visibility.
Increase efficiency- This includes about the efficient business model which seems to be
achievable with having some tech innovation (Santos, Rezende and Basso, 2019). As per having
such things this keep for working with business process are streamlines and make the use of
technology, they are fewer expensive, save money and more sustainable. While having such
things saving can make more reinvested into company growth and easily make sure for having
the customer, by offering the affordable and reliable products.
Key factors that are driving innovation in hospitality
Latest trends, increase of digital economy are the major factors that increasing innovation every
day in hospitality industries. Some of these were driven by technology or by consumers each
factors are shown below:-
Digital-Adoption :- Interaction of guests digitally and technological friendly atmosphere are
becoming valuable day by day. Guest in current world needs the reply in minutes, full day
working staff, getting each information easily on different digital channels. Replying quickly on
all of these information is way to costlier and hard for employers. And its not a surprise why the4
start-ups are increasing rapidly, in the old hospitality market the guest have to visit to hotel to see
the facilities there but because of new start-ups using AI enabled, Bot enabled new technology a

guest or user can even visit the hotel, restaurant digitally. Which also provides instant replies to
customer and also contacts customer directly if they are showing interest. Wiki friend is a
platform that provides all these facilities even you can see your room from your home and on the
arrival they welcomes you by mirror robot.
Sustainability :-With the change in point of view and climate of media , sustainability is
becoming a high trend in every organisation and society or industries. Travel experience that
cause less harm to environment is one of its main factor. Getting affected from sustainability
preferences of visitors many hospitality industries have taken various alternatives like less
consumption of water, eating vegan, using renewable energy etc. Rebel Meat is a restaurant
chain that has made it's food system highly sustainable by reducing non-veg consumption.
Experience Economy :- Experiences are becoming more important to make a competition in
these industry (Abdelkafi.N.2018). Giving new experience to guests or visitors are becoming the
main tool in this factor. Business in these industries are answering these trends in there own
ways like giving beautiful view, rental homes, river front, hike tours etc. wood space is an
organisation of hospitality industries which provides room made up of different properties of
woods , also they offer a clear climate which is paired up with sustainability.
Retailing :- Intelligent traders knows that the users trip doesn't end after a shop visit but wents a
long way afar the actual store. Presently , the hotel sector is adapting changes very fastly they are
providing houses, rooms on rent basis to protect the guests privacy and serve them the best. The
hotels are consisting of in-shops so that their visitors or guest doesn't have to go out for purchase
of some general products like chocolate. Some hotels even started to give rooms on rental for
hourly basis to meet the guest requirements. We desky is a hospitality sector industry, who have
started this trend they gives there dinner hall or conference hall to start ups for use on daily
hourly basis. They also share their free spaces to co-workers or freelancers.
Big data- In this Hilton organization which has been already keep big buzzword for sometime,
but still this comprises with one of key in organization. Within the company this required for
working with big data which is not still used for large scale but also have grown rapidly
throughout some working years (Zhang and eta.l., 2019). Along with this also assisting the
organization manager for working with more accurately anticipate the levels of demands,
improving the customer experiences and also helping the organization for developing with
having effective target at their marketing content.

Robotics- The emerging of robots are being highly exciting with trends in organization. This
might be also important for having the trend in future and also convince of the opposite and
become the first better organization in their entire area. Moreover, robots may take more over
huge activities for the Hilton organization in surviving food, make the use of bills payment and
so on. This could make the organization for having the estimated concepts and also ensure them
for working with some effective growth and development.
Different innovative concepts and approaches in organization
Technology which is being advancing the faster the pace than ever before, this could also lead
for changing with both expectations and making way in which the organization conducts their
business activities. Along with this some trends which is being required for leading to great
improvement and saving the organization, while for having some changes about how the
developers plan their infrastructure, employee requirements and management. Here are some
latest innovation concepts and approaches for the organization:
Infrastructure overhauls- Hotel guests who travel as they are using devices, tablets and many
other gadgets, for that they are must be required for having the Wi-Fi when they check in hotel
(Kozlowski and Chao, 2018). This could be expected to be working and make the availability to
connect ans without having any interruption, leading for investing better, faster connection.
Along with this people can start their trade and make the effecient use of technology devices so
this can lead within the ease when they book for stay. It may be not yet financially feasible for
hotels in completing the users for pay model, but when they re-thinking about their current
infrastructure and have their better pricing models.
Digital conferences facilities- This being able to offer the high density for meeting, conferences
and hotels which make the use of needs as offer access to audio visual and digital facilities for
meeting or conferences. In having such kind of component this could make the designing about
the effective conferences facilities and also keep the customer with long term. Along with this it
makes the use of various types of technology through which customer can get attracted in
creating easily accessible (Yun And et.al., 2020). In using the advance technology towards the
organization this keep the customer for long term stay and ensure them for visit again for having
effective satisfaction.
Mobile automation and communication- It no longer necessary for stand in queue for checking
in and customer are being expected easy as same kind. This could be required for having

requirement for technology and make easy work for customer. Guests are being able for working
with everything from checking and venues automated in ordering room services with digital
devices instead of standing in queues. Along with this also moving around the hotel premises for
order food, so that Hilton organization need to make the proper and effective use of innovation
for having estimated sources.
Near field communication- This is the technology seeking towards the next generation with
short range and also have high frequency wireless communication through using various advance
technology. While this also gives the ability for working with exchange data between devices
and also make the proper use of technology that gives devices easily transfer of data and the
communication is being enables when two devices touch each other, which makes mobile
payments etc. This keep easier payment method way for better entry to hotel rooms, and also
used to personalize the guest experience as organization (Edwards-Schachter, 2018). Moreover,
this also keep open door for the organization as who wants to offer more personalized
experienced at their working establishment.
Robots and infrared sensors- While organization already more futuristic experiences with
robots delivering about items and also lead within orders through their rooms services to guest
doors. While this also keep the employee for working with some techniques and ensure them for
having the effective growth and development through using technology (Martín-Rios, and
Ciobanu, .,2019). These type of digital system that not only make it easier for the employee but
also deliver the better outcomes for the customer and offers the forwards facing digital
experience for their customer who stay at their place. Moreover, having such infrared scanner
which is also now used for minimize that might be related with cleaning room staff will wake up
customer with phone calls and knocks, employee can adopt more innovative approaches. while
by using infrared scanner that will detect body heat within the room means the temperature of
body is being recorded and the room temperature is made accordingly and have to tell the staff
for cleaning room rather than come back later if sometime room is being occupied.
Technological room keys- Hilton organization have installed the smart room key access
system(type of lock system) which allows for unlocking the simply by swiping their phones
across keyless. This could also keep the organization for adopting some changes and make sure
for having their smart concepts through which they can easily make sure for having their more
customer as long term (Kohli and Melville, 2019). This technology will mean to customer about

do not worry in picking up keys and front desks that staff do not have issues for new keys in
event that guest loss their room key. Another, innovative concepts' organization can make about
offering keyless experience through using fingerprint activated for room entry system.
Feedback on social media- This could keep the organization for having feedback while by using
social media so that could make them for working with some effective growth and development.
In having feedback this could keep Hilton organization for working with more strategies, and
hotel developers must have to realize about that almost any person can check in their
organization (Lim, S.E., 2021).
CONCLUSION
From the above report it had been concluded that, concepts for the innovation which seems to be
important in industry and also help the business for developing and work with having better
outcomes. Along with this also have their role for make sure in developing about their effective
business growth and development. This also have some growth towards working with key factors
driving innovation in industry and make sure for having their estimated in completion about
goals and objective as set. The factors of innovation in the hospitality seems to be effective and
make the proper use range of organizational through which this could be come to know about
how this can work and make the completion of goals. The high range of different innovation
concepts and approaches keep work for the organization in bringing out better outcome and
make sure for taking using better value (Sharma, Chen, and Liu,2020).

REFERENCES
(BOOKS AND JORNAL)
Abdelkafi, N. and Pero, M., 2018. Supply chain innovation-driven business models: Exploratory
analysis and implications for management.Business Process Management Journal.
Borowski, P.F., 2021. Innovation strategy on the example of companies using bamboo.Journal of
innovation and entrepreneurship.10(1). pp.1-17.
Edwards-Schachter, M., 2018. The nature and variety of innovation.International Journal of
Innovation Studies.2(2). pp.65-79.
Järvinen, M., 2019. Co-creating an in-house service concept for boosting innovation and
development.
Kitsios, F.C. and Grigoroudis, E., 2020. Evaluating service innovation and business performance
in tourism: a multicriteria decision analysis approach.Management Decision.
Kohli, R. and Melville, N.P., 2019. Digital innovation: A review and synthesis.Information
Systems Journal.29(1). pp.200-223.
Kozlowski, S.W. and Chao, G.T., 2018. Unpacking team process dynamics and emergent
phenomena: Challenges, conceptual advances, and innovative methods.American
Psychologist.73(4). p.576.
Kurpayanidi, K., 2021. National innovation system as a key factor in the sustainable
development of the economy of Uzbekistan. In E3S Web of ConferencesVol. 258). EDP
Sciences.
Santos, D.F.L., Rezende, M.D.V. and Basso, L.F.C., 2019. Eco-innovation and business
performance in emerging and developed economies.Journal of Cleaner Production.237.
p.117674
Thomas, L.D. and Autio, E., 2019. Innovation ecosystems. Available at SSRN 3476925.
Van Looy, A., 2021. A quantitative and qualitative study of the link between business process
management and digital innovation.Information & Management,58(2), p.103413.
Wall, W.P., 2021. DETERMINANTS OF SMEs’ PERFORMANCE FROM BUSINESS
STRATEGY TO INNOVATION.Polish Journal of Management Studies,23(2), p.53
Yun, J.J. And et.al., 2020. The culture for open innovation dynamics.Sustainability.12(12).
p.5076.
Zhang, Y. and eta.l., 2019. The influence of management innovation and technological
innovation on organization performance. A mediating role of
sustainability.Sustainability.11(2). p.495.
Sharma, T., Chen, J. and Liu, W.Y., 2020. Eco-innovation in hospitality research (1998-2018): a
systematic review.International Journal of Contemporary Hospitality Management.
Lim, S.E., 2021. Fostering absorptive capacity and facilitating innovation in hospitality
organizations through empowering leadership.International Journal of Hospitality
Management,94, p.102780.
Martín-Rios, C. and Ciobanu, T., 2019. Hospitality innovation strategies: An analysis of success
factors and challenges.Tourism Management,70, pp.218-229.