ACCOMMODATION

Submitted to Dr. James Manalel Professor, School of Management Studies

Introduction
Tourism has become a popular global leisure activity. Accommodation is the key element in the tourism product and an essential component of tourism. It is one of the largest and fastest growing sectors in the tourism industry. Infrastructure needs for the travel and tourism industry range from physical infrastructure such as ports of entry to modes of transport to urban infrastructure such as access roads, electricity, water supply, sewerage and telecommunication. The sectors related to the travel and tourism industry include airlines, surface transport, accommodation (hotels), and infrastructure and facilitation systems, among others. The word accommodation (in British usage) or accommodations (in American Usage) means, lodging in a dwelling or similar living quarters afforded to travelers in hotels or on cruise ships, or prisoners, etc. The Accommodation and Food Services sector comprises establishments providing customers with lodging and/or preparing meals, snacks, and beverages for immediate consumption. The sector includes both accommodation and food services establishments because the two activities are often combined at the same establishment. Tourist Accommodation, which caters to both domestic and international tourists, is an important input which flows into the overall tourist system. Tourism is to a great extent dependent on the range and type of accommodation. Most governments have recognized the potential of accommodation sector and are now providing huge incentives to hotels. The benefits of growth are reaped by those looking for careers in this sector. New jobs are being created, movement along one's career path is accelerated, and opportunities for positions and careers in different regions and types of establishments are increasing.

The Characteristics of Accommodation Industry

Accommodation has been conceptualized as a product. Accommodation product is a complex amalgam of factors that combine to provide tourists with something they wish to consume. Seasonality, where periods of demand are typically buoyant. Occupancy levels should be high. Location often determines the appeal and accessibility of properties. Different grading systems exist, to denote the quality of establishment. Properties can range from complex business ventures at the luxury end of the market through to basic hostel accommodation. Accommodation has high fixed costs to service; and owners/managers seek to optimize occupancy levels to cover costs. Accommodation provision is subject to numerous regulatory codes and laws. Larger premises require a wide range of skilled staff to operate key departments.

Types of Accommodation
HOTELS
Hotel properties usually cater to both business and pleasure travellers and offer a wide range of accommodation types. Deluxe, airport and convention hotels are generally located in urban centres or near airports. They are often large (over 150 rooms) and have a wide range of facilities and services (e.g. convention rooms, restaurants, shops, fitness centres). Many are members of a chain, meaning that the property is part of a larger company and has sister properties in other areas. The benefit of working at a chain to an individual employee might be the ability to transfer to other properties in the chain. All-suite hotels are increasingly popular. Each unit contains the same facilities as an apartment, meaning the traveller has a private place for meetings (i.e. the dining room table) and a kitchen for cooking meals. Smaller, privately owned hotels offer lodging and many also contain a caf or restaurant, and a beverage room. Resort hotels and lodges are usually located in or near recreational sites. Many offer guests a wide range of activities, such as golf, skiing, and tennis, riding or water sports. They may also offer entertainment (e.g. nightclubs, shops, piano bars, casinos, dinner theatre) and have convention facilities.

Motels, motor hotels and inns are often much smaller (less than 150 rooms), less expensive facilities that appeal to overnight or short-stay travellers. Some motels are franchise or chain operations; others are independently owned and operated. Motels are often found in smaller communities, the suburbs of cities and along major highways In general, hotels offer two major types of services: (a) accommodation and (b) dining services. Based on the quality and extent of services provided, location, bedroom, front office/reception, food and beverage, general facilities (service and

staff), and special facilities (i.e., business centre, limousine services and airport transfers), hotels are further classified as Deluxe, First Class, Standard, and Economy. Hotel guests can expect a room with private bath, telephone, radio, and television, in addition to such customer services such as laundry, valet, cleaning and pressing. Aside from the services mentioned, hotels have other facilities: function rooms, ballrooms, health spas, coffee shops, dining rooms, cocktail lounges or night clubs, gift shops or newsstand-tobacco counters, and business centres for social occasions, health buffs, and business conferences. Customers of the industry include the domestic household, foreign visitors and institutional buyers. Research shows that the domestic households selection of hotels and other lodging facilities are affected mainly by three factors: 1) competitive pricing; 2) availability of services and facilities for children; and 3) type and extent of free services (i.e., free local calls, continental breakfast, etc.).

Supplementary Accommodation
1. Cabins, Cottages and Houseboats Often located in recreation areas, and offering facilities such as a beach, fishing rentals, playgrounds, etc., these are often destination sites for travellers. Generally, stays are longer than a night or two and involve the whole family, including the dog. 2. Campgrounds Campgrounds cater to travellers who have their own roof, usually a tent or motorhome, but require a serviced site for it. Campgrounds range in the services they supply, from 'wilderness sites' with no services except maybe an outhouse, to full power and water hook-ups, with complete restaurant, laundry, entertainment and washroom facilities. This type of accommodation generally appeals to travellers who want an inexpensive outdoor experience and/or related activities, such as hiking, canoeing, fishing, hunting or boating. 3. Hostels These are usually non-profit facilities catering to budget-conscious or adventure travellers. Guests supply their own sleeping bags, cook their own meals, and often sleep in dormitory-style rooms. 4. Pensions These establishments are used extensively by the tourists. A pension accommodation is also described as a private hostel, a guesthouse or a boarding house. 5. Tourist Holiday Villages These villages are usually situated at warm seaside and in the regions which offer certain facilities for the tourists. The atmosphere in these villages is kept as informal as possible.

6. Time-share and Resort Condominiums These provide a unique range of accommodation to a tourist. This type of accommodation provides on-site fun, flexibility and affordability.

ACCOMMODATION AND INFRASTRUCTURE IN 11TH FIVE YEAR PLAN (2007- 12)

The creation of tourism infrastructure has had its multiplier effect in terms of overall economic growth, employment generation vis--vis investment and the preservation of art, culture and heritage. Tourism projects in underdeveloped areas have helped in the creation of roads, telecommunication, and medical facilities, among others. Tourism sector projects that are capital intensive, such as Destination Development (roads, signages, relocation of commercial establishments, lighting, guest facilities, local transport links, landscaping, management office space, parking etc), remain commercially non-viable and require government funding. It is however necessary that such infrastructure is created with utilization of the professional expertise of architects, landscaping experts and is then privately managed through a transparent process. Other projects such as setting up of hotels, convention centres, golf courses, tourist trains, etc. Normally have substantial gestation periods and become economically viable over periods exceeding 12-15 years. In order to attract tourists, it is necessary that these facilities are created to a sufficient extent through private initiative with the Government acting as a facilitator and catalyst apart from part funding such projects. In the last 4-5 years, paradigm shifts in tourism planning and development have yielded quantum increases in tourist footfalls. During the 10th Five Year Plan, the Ministry of Tourism has focused on infrastructure development in certain key destinationsAjanta-Ellora, Bodhgaya-Rajgir-Nalanda, Kurukshetra, and Mahabalipuram. An integrated approach with all backwardforward linkages was adopted in these destinations. This has yielded larger tourism volumes and revenues, thereby contributing significantly to the national economy and the rural sector in particular. This thrust for infrastructure development has been achieved in combination with care for the carrying capacity of destinations, visitor satisfaction and local community sensibilities. The States should enact a Conservation and Preservation Areas Act on the lines of the Kerala Tourism Conservation and Preservation Areas (2005) Act. This will enable them to declare areas which are important from the tourism viewpoint as Special Tourism Zones for the conservation, preservation and integrated planned development of such areas. Such an Act would also enable preparation of Sustainable Tourism Development Plans including guidelines to regulate development activities in the Special Tourism Zone, entailing: Policy for land use plan and allocation of land for tourism purposes. Policy for built-up area and environment including architectural form.

(a) (b)

(c)

Strategies towards conserving and strengthening existing natural systems and enhancing visual qualities of the region. Regulations found necessary for implementation of the Tourism Development Plan. The Ministry of Tourism should sponsor a programme for Certification for Sustainable Tourism (CST) in order that sustainable tourism businesses are clearly identified. This may also provide the incentive for non-sustainable operations to seek Certification. In addition, international endorsements can also be encouraged such as ISO-14000 series for environmental care and ISO-9002 for service quality. Destination Management needs attention and coordination at the 27 World Heritage Sites in the country which are impacted by increasing numbers of visitors and are also subject to a number of regulatory authorities. The following may be defined as infrastructure facilities under Section 80-1A of the Income Tax Act: 3 Star and above Hotels. Heritage Hotels classified by Ministry of Tourism. Convention Centres with integrated exhibition facilities Time Share Resorts and Apartment Hotels classified by Ministry of Tourism. Theme Parks Amusement Park Integrated Destination Development Projects with Hotel facilities and Golf centres Rural Tourism Projects Cruise Liners for Tourism operating in Indian Rivers and Oceans Adventure/Nature Tourism Projects River cruise projects Air Taxi Services (12 seater/1 hour flights)

(d)

It is necessary to also develop and strengthen the linkages with other sectors such as Civil Aviation, Railways and the Road and River Transport. Master Plan of major cities should earmark commercial sites as hotel sites which should be allotted on long term lease. Annual lease rent to be calculated as a percentage on the value of the bids and be on a graded scale depending on the Star Category of the hotel property. A new Central Sector Scheme should be started to create land bank in Ministry of Tourism for making payment to land owning agencies for land allotment to Ministry. This land, so allotted, could then be used for hotel construction in PPP mode through build, own, operate and transfer method to the highest bidder of annual rental amount for the land. A minimum reserve price for this amount could be arrived at prior to calling for the bids following all codal formalities and competitive bid procedure with open tendering process. Master Plan of major cities should earmark sites for convention (and Exhibition) centers which can be executed as PPP ventures or leased to the private sector for implementation. State Govt. to have specific tourism sub-plans as a component of their cities as well as Departmental Annual Five Year Plans. Additional accommodation to be created through Guest Houses, Paying Guest Accommodation / Bed and Breakfast Home Stays etc. Evolve policies and programmes for synergizing partnerships between Archaeological Survey of India, State Archaeological Department and the private sector in the upkeep, management and marketing of monuments, forts, ancient temples and museums etc. Allow higher Floor Space Index to existing hotel properties to expand their existing capacities. Self Help Groups to be formed at district level to sort out issues of civil governance. Projects received from State Governments for Central Financial Assistance should consider all aspects including maintenance and operation, ecology, capacity building etc. Benchmarking and yardsticks to be formulated for all tourism related services. Visitor management system and audio guides should be provided in ASI monuments. Develop Caravan Tourism and Camping Sites for Tented Accommodation.