Taj Group of Hotels in

India: An Overview

Chapter - 4

Taj Group of Hotels in India: An Overview

In the previous chapter, the researcher has discussed the concept engagement,
nature and importance of employee engagement for an organization. Theories and
models of employee engagement along with its various drivers and barriers have been
discussed in the previous chapter. The chapter ends with antecedent and consequences
of employee engagement and measures to improve the level of engagement among
the employee for organizations.

The present chapter has been divided into two sections. The first section deals
with the historical background of hotel industry in India, major players of hotel
industry and challenges faced by the Indian hospitality industry. Second section
elucidates the history of Taj Group of Hotels, its hotels in New Delhi and human
resource policies of Taj Group of Hotels. The chapter concludes with information on
various training programmes organized by the Taj Group of Hotels.

Section (A)

Historical Background of Hotel Industry in India

4.1 Introduction

In India the concept of shelter for travellers is not new but it is a very old one.
The historical records are replete with mention of viharas, dharamsalas, sarais etc.
These establishments provided shelter to the travellers. The development of hotel
industry in India has also been continuous and satisfactory. The British introduced
hotels in India mainly for their own use or for foreign travellers (Zulfikar, 1998).
Indian hospitality industry has a great image since very early times in the history of
tourism. Hotel industry in India started very late as compared to hotel industry in
Europe and America. Hotel business in India at present is more or less in the western
style particularly in the American style in recent times. These hotels were first started
about 170 years ago mainly for princes, aristocrats and high dignitaries. First western
style hotel in India was named as “British Hotel” and started in Bombay in 1840.
After that Auckland hotel was started in 1843 and it was renamed in 1858 as the Great
Eastern Hotel (Sharma, 2004).

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Today there are a number of western style hotels in India. Twentieth century is
called as the turning point in the history of hotel industry in India because during this
period many hotels owners entered the market. In 1903, Jamsetji Tata opened the hotel
named as Taj Mahal Palace and Tower in Mumbai. It has been rated among top ten
hotels in the world and was the first hotel of international standard and repute, built by
an Indian. After that another owner entered in the field of hotel industry, i.e. Rai
Bahadur Mohan Singh Oberoi. He opened hotels not only in India but also abroad.
Later on the concept of heritage hotels developed in India. According to this concept,
the palaces and forts of Maharajas were converted into luxury hotels. Kashmir was the
first state in India to follow this concept, after that in Rajasthan, many palaces were
converted into luxury hotels (Zulfikar, 1998).

Indian Tobacco Company (ITC) entered in the hotel industry in 1957 and
opened its first hotel in Chennai and named as Chola. ITC has two types of hotels
such as Welcome Hotels and Indovilles. Indian Tourism Development Corporation
promotes largest hotel chain in India; the Ashoka Group. In 1971, Air India has set up
a wholly owned subsidiary called Hotel Corporation of India (HCIL) with a capital of
6.5 million dollars. The HCIL has opened Centaur Hotel at Mumbai airport in 1974.
In India, in the last few years, many hotels have been developed by Oberoi Group,
ITC, ITDC, Taj Group, Hotel Inn and Centaur Hotels.

In the hotel sector, a number of international players have strengthened their

presence (Sharma, 2004). Moreover, Indian hotel chains are also expanding
internationally. Prior to the 1980s, Indian hotel industry was a slow growing industry
(Anwar, 2014). After the liberalization of Indian economy 1992, many hotels were
constructed through the partnership of multinational companies in India. The last
decade has witnessed foray of almost all leading international hotel chains in India.
The presence of major international hotels like Radisson, Accor, Holiday Inn, Le
Meridian has boosted India’s prospects internationally and with the cooperation from
its government, hospitality industry of India will definitely look forward to inviting
more foreign investors in future (www.victoriaihm.com).
The Indian hospitality industry has emerged as one of the key driver of Indian
economy. This industry is a key member of the service sector and is linked directly to
domestic and international tourism. Hospitality comprises a wide range of services
such as accommodation, food and beverage, events and activities. The fortunes of the
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hospitality industry have always been linked to the prospects of the tourism industry.
The Indian hospitality industry has recorded healthy growth fuelled by healthy inflow
of foreign tourists as well as increased tourist movement within the country and it has
become one of the leading players in the global industry.

The tourism and hospitality industry is one of the largest segment under the
service sector of the Indian economy. It is one of the largest source of foreign
exchange earning in India. In India, the sector’s direct contribution to gross domestic
product (GDP) is expected to grow at 7.8 per cent per annum during the period 2013-
2023. The total market size of the tourism and hospitality industry in India stood at
US$ 117.7 billion in 2011 and is anticipated to touch US$ 418.9 billion by 2022.
Tourism and hospitality industry is a highly labour intensive industry and provides
employment to all categories of workers such as highly skilled, semi skilled and
unskilled employees (Ministry of External Affairs, Government of India, 2014).

The hotel industry comprises a major part of the tourism industry. Historically
viewed as an industry providing a luxury service valuable to the economy as a foreign
exchange earner, the industry today contributes directly to employment (directly
employing around 0.15 million people) and indirectly (Arunagiri, 2011). The
hospitality sector in India is expected to add 52,000 new hotel rooms in five years
(2012-17), according to a survey conducted by Cushman & Wakefield. This will lead
to a rise of over 65 per cent in total hotel inventory in India. The National Capital
Region (NCR) is expected to contribute around one third to the total expected hotel
rooms supply during the period (Ministry of External Affairs, Government of India,
2013-2014).

4.2 Concept of Hotel

Hotel or inn may be defined as the place where bonafide travellers can get
food and shelter at a cost and he/she is in a position to pay for it. Sharma (2004)
defines that “hotel is a place which supplies boarding and lodging or a place for the
entertainment of the travellers.” In other word, it may be said that a hotel is a home
away from home. A hotel is a place where the traveller or guest can be provided
accommodation, food and beverage and entertainment. Hotels provide
accommodation, meals and refreshments even at odd hours for those who reserve their
accommodation in advance (Kumari & Singh, 2012).
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4.3 Major Hotel Chains in India

4.3.1 The Ashok Group of Hotels

One of the largest hotel chains in India is known for its unique mix of Indian
ambience and hospitality with facilities that are of international levels. The Ashok
Group of Hotels are located in major cities of India and range varies from five star
deluxe to first class and to budget, depending on tourist needs. Ashok Group of Hotels
are run by Indian Tourism Development Corporation. It has 35 hotels with 3000
rooms (Kumari & Singh, 2012). The management of Ashok Group believes in
offering the best in the hospitality industry and the Ashok group runs by especially
trained workforce for the hospitality industry.

4.3.2 The Taj Group of Hotels

The Indian Hotel Company Limited is the parent company of Taj Group of
Hotels, India’s most successful hotel chain. In 1903, Jamsetji Tata opened the hotel
named as Taj Mahal Palace and Tower in Mumbai. It has been rated among top ten
hotels in the world and was the first hotel of international standard and repute, built by
an Indian. Today the Taj Group has won international acclaim for its quality hotels.
The Taj, a symbol of Indian hospitality, completed its centenary year in 2003. The Taj
Group has continued to open its new hotels through management contracts in the
domestic and international markets. The past year witnessed opening of four new
Gateway Hotels at Hubli, Chennai, Kolkata and Raipur. The Taj Group also opened
the Vivanta by Taj, Surajkund, NCR last year and also expanded Ginger Footprint by
opening three properties in Noida, Jaipur and Chandigarh. These new openings have
added a total 1100 rooms to the Taj Group of Hotels (Zulfikar, 1998). On March 30,
th
2015 the Taj Group launched the Vivanta by Taj - Dwarka, New Delhi. This is the 30
hotel of Vivanta by Taj and seventh hotel of Taj Group in National Capital Region
(www.vivantabytaj.com).

4.3.3 Oberoi Group of Hotels

Rai Bahadur Mohan Singh Oberoi had opened first hotel of Oberoi Group in
Shimla and put the name as Clarkes. Oberoi opened his second hotel named The
Maidens in New Delhi in 1934. He opened hotels not only in India but also abroad
and received many awards for tireless efforts in promoting Indian hospitality industry.
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Most prestigious of them is the “Man of the World” by the International Hotel
Convention in New York (Sharma, 2004).

4.3.4 Welcome Group of Hotels

Welcome Group of Hotels are managed by Indian Tobacco Company. It also

manages International Travel House which is one of India’s leading travel and tour
agencies and offers services for business and leisure travellers throughout India.
Welcome Group of Hotels, palaces and resorts in centres of tourists and business
interest across, offers visitors the widest spread of any private sector hotel chain in the
country (Sharma, 2004). Welcome Group has a marketing and reservation agreement
with Sheraton for its three hotels in New Delhi, Agra and Chennai. Welcome Group of
Hotels anywhere in India, understand the special needs of both for tourists and
business travellers. This group provides innovative business facilities and all the
amenities and assistance required to transact business in the most effective manner. It
has 21 hotels in India (Kumari & Singh, 2012).

4.3.5 Centaur Group of Hotels

The Hotel Corporation of India Limited (HCI) is a public limited company,

wholly owned by Air India Limited and was incorporated on July 8, 1971 under the
Companies Act, 1956 when Air India decided to enter in hospitality industry, but later
it became a corporation itself, named as Hotel Corporation of India (Zulfikar, 1998).
The objective was to offer better product, both at international airports and at other
places of tourist interest, thereby also increasing tourism in India.

4.4 Direct Contribution of Tourism and Hospitality to GDP

Tourism and hospitality sector has direct contribution to GDP about US$ 41.1
billion in 2014 and it grew to about US$ 44.2 billion in 2015 and estimated to
contribute US$ 88.6 billion in 2025.

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Figure 4.1. Tourism and Hospitality Contribution to GDP

Source: http://www.ibef.org/industry/indian-tourism-and-hospitality-industry-
analysis-presentation

4.5 Initiatives of the Government of India for the Development of Tourism and
Hospitality Industry

The Ministry of Tourism, Government of India has launched a web-based

public delivery system to make easy to the process of filling applications by the travel
trade service providers seeking recognition from the Ministry and also to bring
transparency in granting the approvals. All the applications will now be examined,
processed and approved within 45 days from the receipt of completed applications.
Government has launched the campaign “Clean India” to spread awareness in all
sections of the society on the importance of cleanliness and hygiene in public places,
particularly monuments and tourist destinations. The campaign is a combination of
persuasion, education, training, demonstration and sensitisation of all sections of the
society. Government has launched the “Clean Ganga” mission as well. The tourism
ministry has chalked out plans to develop 50 tourist circuits in the country.
Government is allocating funds to the Ministry in the upcoming budget to carry on
with such plans (Chitravanshi, 2014).

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The Government’s decision to introduce the electronic visa facility (E-Visa)

will give a much needed boost to inbound travel in India. Enforcing the electronic
travel authorisation (ETA) before the next tourism season, which starts in November,
will result in a clear jump of at least 15 percent and this is only the start, as per Mr
Madhavan Menon, Managing Director, Thomas Cook (India).

In order to boost medical tourism in India, Medical Visa (“M” Visa) has been
introduced for the foreign tourists who wish to come to India for medical treatment.
Ministry of Tourism, Government of India has tied up with United Nations
Development Programme (UNDP) to promote rural tourism in India. According to
Dinodia (2014) 100 percent foreign direct investment has been declared for hotel
industry and to increase the numbers of rooms, the Government of India has allocated
huge amount for construction of new hotels. The hospitality sector in India expects
52,000 new hotel rooms to be added in five years (2012-17). Visa on arrival scheme
has been started and to make India as “A 365 Day Destination” that offers destinations
like beaches of Kerala and snow covered mountains and peaks of Kashmir (Dinodia,
2014). The Ministry of Tourism has been making efforts to develop quality tourism
infrastructure at tourist destinations and circuits in the country. It has sanctioned Rs
4,090.31 crore (US$ 680.52 million) for a total number of 1,226 tourism projects,
which includes projects related to Product/Infrastructure Development for Destination
and Circuits (PIDDC), Human Resource Development (HRD), fairs and festivals and
adventure and rural tourism for infrastructure development (Ministry of External
Affairs, Government of India, 2013-2014).

4.6 Challenges before Indian Hospitality Industry

4.6.1 Higher Employee Attrition

Attrition means the failure of a worker to report for work when he/she is
scheduled to work. A worker is considered as scheduled to work when the employer
has work available for him and the worker is aware of it. It is related with reduction in
the number of employees through resignation of the employees. Employees leaving
due to end of contract will not be considered as attrition. Today hotel industry in India
is facing the severe problem of attrition. Attrition rate in hotel industry is much higher
as compared to other industries in India. The attrition rate is increasing between 5-10
percent per annum. The industry is losing its professionals at the top management
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level too. Supporting this view, the Federation of Hotel and Restaurant Association of
India (FHRAI) has gone on record saying that the industry leaders are worried about
losing qualified trained professionals to outer shores (Manjunath & Kurian, 2011). A
study conducted by Anwar (2014) on attrition among the workers at star category of
hotels in Delhi has explained that hotel industry is facing the problem of attrition at
lower management level and identified the three reasons behind attrition i.e. financial,
nonfinancial and personal reasons of attrition.

4.6.2 Low Salary Packages

The main reason of attrition in hotel industry is related with the financial
aspect. The employees are getting low salary package as compared to other industries
in India. The employees of housekeeping and account departments get lower salary
packages, which creates dissatisfaction among the employees (Anwar, 2014).

4.6.3 Lack of Job Satisfaction among the Employees

Most of the lower level employees expressed their views that they are not
really satisfied with the kind of job what they do. There are various factors which are
responsible for the higher rate of dissatisfaction among the employees. Lack of
respect from others and superiors, inflexible working hours, lower pay scale, more
physical stress and lack of career growth opportunities are responsible for job
dissatisfaction among the hotel employees. Most of the catering institute students in
India are not interested to join the hotel industry at the entry level job positions,
because of the work culture and poor pay package. Further, most of the catering
institutes are charging high fees for their three year or four year degree course in hotel
management because of high investments required to operate the hotel management
programmes and high operating cost as compared to other degree programmes.
Therefore, students look at the rate of return after completion of the course
(Manjunath & Kurian, 2011).

4.6.4 Lack of Well Trained Staff

One of the major challenge before Indian hospitality industry is lack of

trained staff as per industry requirement. Hospitality industry is completely based on
the service provided by the employees to the guests and satisfaction level of the

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guests. Therefore in order to satisfy the guests, employees should be trained

effectively so that better services can be delivered (Manjunath & Kurian, 2011).

4.6.5 Lack of Infrastructural Facilities

The hospitality industry is also lacking behind in term of infrastructural

facilities such as effective mode of transportation, means of communication,
electricity supply, water supply and access of internet facilities.

4.6.6 Instability of Government

In India, the government changes after every five years. New

government develops new plans and policies. It requires a lot of time in implementing
new plans and policies. Inadequate financial support by the government, lack of
coordination between central and state government, safety and security are the major
challenges before Indian hospitality industry.

Section (B)

Taj Group of Hotels in India

4.7 Introduction

The Indian Hotels Company Limited (IHCL) and its subsidiary companies are
collectively known as Taj Group of Hotels. Taj Group is one of Asia's largest and
oldest group of Hotels with 128 hotels in 61 locations in India and 16 international
hotels in the Maldives, Malaysia, UK, USA, Bhutan, Sri Lanka, Africa and the Middle
East. Taj Group of Hotels have a range of luxury hotels to budget hotels and offer a
supreme combination of warm Indian hospitality, world-class service and modern
luxury to the guests (www.tajhotels.com).

India’s premier and top hotel chain, the Taj Group has become a household
name today. A symbol of quality and elegance, the brand offers all the facilities and
services that go in the making of a grand hotel stay. The Taj Group of Hotels is a part
of Tata Group of Companies. The company made its foray in the Indian hospitality
industry in the year 1903, when the first Taj Hotel, called Taj Mahal Palace and Tower
was started by Jamsetji Nusserwanji Tata in Mumbai. The Taj Group of

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Hotels, a symbol of Indian hospitality has completed its century year in 2003
(www.tajhotels.com).

4.8 History of Taj Group of Hotels

After starting its first hotel i.e. The Taj Mahal Palace and Tower in Mumbai, in
1903, the company then undertook major expansion of The Taj Mahal Palace and
Tower by constructing an adjacent tower block and increasing the number of rooms
from 225 to 565. After that the company started developing new hotels near tourist
destinations in different geographical areas. After that Taj Group of Hotels became
leading hotel chain in India. From the 1970s to the present day, the Taj Group has
played an important role in launching several of India's key tourist destinations with
the help of Government of India.

The Taj Group has started to convert former royal palaces and forts of India
into world class luxury hotels. These hotels are called heritage hotels. Most of the
palaces and forts of Rajasthan have been converted and named as Taj Lake Palace in
Udaipur, Rambagh Palace in Jaipur and Umaid Bhawan Palace in Jodhpur. In 1974,
the Taj Group started first international five star deluxe beach resort of India in Goa
and named as Fort Aguada Resort. The Taj Group has also expanded its business in
metropolitan areas and started five star deluxe hotel named as Taj Coromandel in
Chennai in 1974 and then Taj Mahal Hotel in Delhi in 1978 (www.tajhotels.com).

In 1980, Taj Group started its first international hotel, Taj Sheba Hotel in
Yemen and then opened Crown Plaza, James Court and 51 Buckingham Gate Luxury
Suites and Apartment in London.

In 1984, Taj Group launched Taj West End, Bangalore, Taj Connemara,
Chennai, with which Taj Group has made its entry in Bangalore. In 1989, Taj Group
started its five star deluxe hotel in Kolkata and named as Taj Bengal. By entering
Bengal, the Taj Group became the first hotel chain to have hotels in five metropolitan
cities of India. After the expansion of its luxury hotel chain in the major metropolitan
cities, the Taj Group expanded its business hotels division in the major metropolitans
and large secondary cities of India. During the 1990s, the Taj Group continued to
expand its geographic and market coverage and started developing wildlife lodges in
India. Taj Kerala Hotels and Resorts Limited was set up in the early 1990s along with

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the Kerala Tourism Development Corporation. In 1998, Taj Group opened the Taj
Exotica Bentota in Sri Lanka. After that Taj Exotica, Goa and Taj Hari Mahal in
Jodhpur were opened in 2002.

In 2000, Taj Group in association with GVK Reddy Group developed Taj
GVK Hotels and Resorts Limited and obtained a well-known position in the market
of Hyderabad, holding three hotels and a major share of the market. In 2001, Taj
Group took on the management contract of Taj Palace Hotel, Dubai and established its
market in Middle East region. Further, they launched The Taj Exotica Resort and Spa,
a luxury hotel in Maldives in July 2002 and won several international awards. The Taj
Group also obtained licenses to manage and operate two leisure hotels, that is Rawal-
Kot in Jaisalmer and Usha Kiran Palace in Gwalior in October 2002.

In September 2002, the Taj Group acquired an equity interest in the former
Regent Hotel in Bandra region, which gave the Taj Group to expand its hotels in
midtown and North part of Mumbai market. The hotel was named as Taj Lands End,
Mumbai. While in 2003, Taj Group celebrated the century year of the opening of its
th
flagship hotel, Taj Mahal Palace and Tower in Mumbai (113 Annual Report 2013-14,
The Indian Hotels Company Limited).

In 2004, Taj Group has launched its first luxury serviced apartment in
Mumbai. In the same year, they also launched the first of its "Value-for-Money" hotels
in Bangalore under the brand name of ‘Ginger’ which have 30 hotels in various cities
of India. In 2005, Taj Group acquired The Pierre, a renowned Hotel in New York City
on lease to enter the luxury end of the developed hotel markets internationally. The
Group entered into a management contract for Taj Exotica in Palm Island Jumeirah in
Dubai to expand its existing presence in the United Arab Emirates.

The Group enhanced its position as an operator of converted palaces by

entering into a management contract for Umaid Bhawan Palace, Jodhpur in the state
of Rajasthan. The Taj Group has acquired “W” hotel in Sydney, Australia in 2006 and
renamed as “Blue Woolloomooloo Bay.” In order to expand its availability in the US
market, the Taj Group acquired in early 2007 Ritz Carlton in Boston and Taj Campton
Palace in San Francisco. Taj Group of hotels are located in US, Australia, Dubai,
Maldives, Malaysia, Sri Lanka, United Kingdom, South Africa, Bhutan and Zambia.
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In the year 2013-14, Taj Group continued its focus on consolidating past
commitments in terms of project completion, opening of new properties and growth
through management contracts in the domestic and international markets. The past
year witnessed opening of four new Gateway Hotels at Hubli, Chennai, Kolkata and
Raipur. The Taj Group also opened the Vivanta by Taj, Surajkund, in the year 2013
and also expanded Ginger footprint by opening three properties in Noida, Jaipur and
Chandigarh, respectively. These new openings have added a total inventory of over
th
1100 rooms to the Taj Group portfolio (113 Annual Report 2013-14, The Indian
Hotels Company Limited).

On March 29, 2015, Taj Group announced the opening of its highly anticipated
luxury hotel Taj Dubai, located in the prestigious Burj Khalifa downtown area.
Accommodation at Taj Dubai includes a total of 296 rooms which comprises Taj Club
Rooms, 16 Junior Suites and 15 Luxury Suites with panoramic views of Burj Khalifa,
dancing fountains and Dubai Mall. The hotel offers state of the art rooms seamlessly
blending contemporary elegance while paying homage to the local environment
(www.tajhotels.com).

On March 30, 2015, after a successful presence in the National Capital Region
for over three decades, Taj Group announced the launching of Vivanta by Taj -
Dwarka, New Delhi. This launch is a significant milestone as it is the 30th Vivanta by
Taj Hotel in the Taj portfolio and seventh hotel for the Taj Group in the National
Capital Region (www.tajhotels.com).

4.9 Company Wise list of Taj Hotels in India

Table 4.1

The Indian Hotels Company Limited

Hotels Name No. of Rooms

Taj Mahal Palace, Mumbai 560
Taj Lands End, Mumbai 493
Taj Wellington Mews, Mumbai 80
Taj Mahal Hotel, New Delhi 294
Taj Palace Hotel, New Delhi 403

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Taj Bengal, Kolkata 229

Taj West End, Bangalore 117
Taj Lake Palace Hotel, Udaipur 83
Taj Falaknuma Palace, Hyderabad 60
Taj Exotica, Goa 140
Vivanta by Taj - Aurangabad, 63
Vivanta by Taj - Connemara, Chennai 150
Vivanta by Taj - Fort Aguada, Goa 145
Vivanta by Taj - Holiday Village, Goa 142
Vivanta by Taj - Hari Mahal, Jodhpur 93
Vivanta by Taj - Whitefield, Bangalore 199
Vivanta by Taj - Yeshwantpur, Bangalore 327
Jai Mahal Palace, Jaipur 100
Usha Kiran Palace, Gwalior 40
Gateway, Bangalore 98
Gateway, Jaisalmer 32
Gateway, Calicut 74
Hotel Chandela, Khajuraho 90
Hotel Savoy, Ooty 40
Kuteeram, Bangalore 9
Umaid Bhawan Palace, Jodhpur 64
Rambagh Palace, Jaipur 79
Vivanta by Taj - Kovalam, Kerala 59
Vivanta by Taj - Panaji, Goa 170
Vivanta by Taj - Dal View, Srinagar 84
Gateway, Surat 204
Gateway, Vijaywada 108
Gateway, Vadodara 86
Gateway, Ahmedabad 91
Gateway, Gir Forest 28
SMS Hotel, Jaipur 27
Gateway, Ramgarh Lodge, Jaipur 14

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Gateway, Hubli 92
Gateway, Chennai 200
Gateway, Kolkata 197

th
Source: 113 Annual Report 2013-14, The Indian Hotels Company Limited.

Table 4.2
Subsidiary Companies: Roots Corporation Limited

Name of Hotels No. of Room

Ginger, Agartala 101
Ginger, Ahmedabad 93
Ginger, Bangalore, Whitefield 99
Ginger, Bangalore,Inner Ring Road 67
Ginger, Bhubaneshwar 101
Ginger, Chennai, IIT 85
Ginger, Chennai, Vadapalanai 79
Ginger, Faridabad 91
Ginger, Goa 137
Ginger, Guwahati 70
Ginger, Indore 95
Ginger, Jamshedpur 94
Ginger, Jaipur 103
Ginger, Mangalore 79
Ginger, Mysore 98
Ginger, Mumbai, Andheri East 116
Ginger, Nashik 95
Ginger, Noida 83
Ginger, New Delhi 108
Ginger, Pantnagar 98
Ginger, Puducherry 97
Ginger, Pune 100
Ginger, Pune Wakad 128
Ginger, Surat 100

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Ginger, Trivandrum 101

Ginger, Vivek Vihar, New Delhi 85
Ginger, Manesar 100
Ginger, Tirupur 98
Ginger, Chandigarh 102
Ginger, Vadodara 99

th
Source: 113 Annual Report 2013- 14, The Indian Hotels Company Limited.

Table 4.3

Piem Hotels Limited

Name of Hotels No. of Rooms

Vivanta by Taj - President, Mumbai 292
Vivanta by Taj - Blue Diamond, Pune 110
Vivanta by Taj - Gomti Nagar, Lucknow 110
Vivanta by Taj - M G Road, Bangalore 167
Gateway, Nashik 70
Gateway, Agra 100
United Hotels Limited 88
Vivanta by Taj - Ambassador, New Delhi

th
Source: 113 Annual Report 2013-14, The Indian Hotels Company Limited.

4.9.1 Joint Venture Companies:

Table 4.4

Taj GVK Hotels & Resorts Limited

Name of Hotels No of Rooms
Taj Krishna, Hyderabad 260
Vivanta by Taj - Begumpet, Hyderabad 181
Taj Banjara, Hyderabad 122
Taj Deccan, Hyderabad 151
Taj Club House, Chennai 220
Taj Chandigarh, Chandigarh 149

th
Source: 113 Annual Report 2013-14, The Indian Hotels Company Limited.
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Table 4.5

Taj Kerala Hotels & Resorts Limited

Name of Hotels No of Rooms

Vivanta by Taj, Kumarakom, Kerala 28
Gateway, Ernakulam 108
Gateway, Varkala 30

th
Source: 113 Annual Report 2013-14, The Indian Hotels Company Limited.

Table 4.6

Taj Safaris Limited

Name of Hotels No. of Rooms

Mahua Kothi, Bandhavgarh 12
Banjaar Tola, Kanha 18
Pashan Garh, Panna 12
Baghvan, Pench 12

th
Source: 113 Annual Report 2013- 14, The Indian Hotels Company Limited.

4.10 Taj Group of Hotels at New Delhi

Taj Group have six hotels at New Delhi in different locations and ranging from
luxury hotels to budget hotels. These hotels belong to Indian Hotel Company Limited,
Roots Corporation Limited and United Hotels Limited. Each hotel differs from others
in terms of number of rooms and facilities.

4.10.1 Taj Palace Hotel

Positioned in the diplomatic district, Taj Palace Hotel is India's largest

conference venues, located eight kilometres from the Parliament House. It is located
at Sardar Patel Marg, diplomatic enclave in New Delhi. An elite hotel, Taj Palace is
known as the convention centre of New Delhi, with corporate meeting space ranging
from a conference room that accommodates private screenings to expansive facilities
that serve up to 700 delegates. The hotel also boasts a grand reception hall that holds

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1,000 attendees. Prepared to accept international conventions and seminars, this

property offers translation services in five languages (www.tajhotels.com).

4.10.1.1 Rooms and Suites

The hotel has 403 rooms, 41 of them are lavish suites including the signature
Tata Suite and Presidential Suite and recently renovated Taj Club Rooms, Luxury and
Deluxe rooms. With 40,000 square feet of superlative banquet and conference
facilities, Taj Palace is one of the New Delhi’s top luxury hotels.

4.10.1.2 Hotel Amenities

· 403 Guestrooms
· 3 Restaurants
· Outdoor pool
· Nightclub
· Breakfast available
· Internet in the lobby
· Health club
· Spa services
· Business centre
· Airport shuttle
· In-room childcare
· 24-hour front desk

4.10.1.3 Room Facilities

· Pool or city views

· Wifi services for resident guests (terms and conditions apply)
· Sony LCD TV and DVD player
· 2 bottles of mineral water
· Complimentary usage of the fitness centre and massage on payable basis
· Complimentary usage of swimming pool
· Daily housekeeping / turndown service
· Tea / coffee maker
· Forest essential bath amenities

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· Bathrobes and slippers

· Lighted make-up mirror, hair dryer and scale
· Suit, skirt and padded hangers
· Complimentary newspaper
· Dual line telephones with voicemail and data capabilities
· Minibar
· In-room safe
· Sewing kit
· 24-hour in-room dining

Source: (www.tajhotels.com)

4.10.2 The Taj Mahal Hotel

At the heart of New Delhi, lies the most distinguished address in India's
capital, that stands as a tribute to timeless hospitality and service. Central to The Taj
Mahal Hotel prominence is its old-world grace and charm, blended effortlessly with
contemporary comforts and amenities. In its unique blend of warmth and welcome
and assiduous attention to service, The Taj Mahal Hotel is a true ambassador of the
Taj hospitality experience (www.tajhotels.com).

4.10.2.1 Rooms and Suites

The Taj Mahal Hotel has 294 rooms including 27 suites that are luxuriously
appointed with latest in-room comforts. The hotel offers The Taj Club, Executive
Suites, Luxury Suites and the Grand Presidential Suite.

4.10.2.2 Room Facilities

· Choice of pool view or city view

· Wifi services for resident guests (terms and conditions apply)
· Bottled mineral water provided
· Colour television with satellite programming
· Private bar
· In-room electronic safe
· Channel music
· Laundry services available

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· Writing desk with stationery

· Access to business centre and fitness centre
· Air conditioning controls
· 24-hour in-room dining
· Selection of complimentary newspapers
· Babysitting services available

Source: (www.tajhotels.com).

4.10.3 Vivanta by Taj - Ambassador

The Taj Group of Hotels continued with its branding strategy with the launch
of the Vivanta by Taj brand in September 2010. The launch witnessed the introduction
of 19 hotels within the portfolio of Taj Group of Hotels (hotel-rn.com). Vivanta by Taj
- Ambassador is a luxurious 4-star hotel conveniently located only 6.9 km from the
centre of New Delhi, at Sujan Singh Park, New Delhi (Norohna, 2013). It is an
INTACH listed heritage building, built in 1945 by the colonial architect Walter
George. It is a poetic medley of British and Art Deco style (www.vivantabytaj.com).
There are 88 well-appointed, air-conditioned rooms at Vivanta by Taj - Ambassador
New Delhi.

4.10.3.1 Room Facilities

The guests staying in this hotel enjoys the room facilities like voice mail,
clock radio, climate control, coffee/tea maker, in-room safe and multi-line phone.
Desk and ceiling fans, satellite television service and internet facilities are available in
the rooms. Extra towels and bedding items can also be found in the rooms (hotel-
rn.com).

4.10.3.2 Hotel Facilities

Vivanta by Taj - Ambassador, New Delhi has a restaurant and a cafeteria.

Breakfast is provided on extra payment. Front office desk is opened 24 hours. The
public area of hotel is comfortable and air conditioned. Gift shop and hair salon
facilities are available in the hotel. Swimming pool makes the hotel more attractive.
Vivanta by Taj - Ambassador, New Delhi can make use of a well-equipped business

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centre and conference/meeting rooms. High speed internet connection is also

available.

4.10.4 Vivanta by Taj - Dwarka

On March 30, 2015 the Taj Group launched the Vivanta by Taj - Dwarka, New
th
Delhi. This is the 30 hotel of Vivanta by Taj and seventh hotel of Taj Group of
Hotels in National Capital Region. It is located at Sector 21 Metro station, Dwarka,
New Delhi. The hotel is well connected to the heart of the city. A short 15 minutes
drive westwards leads to the domestic and international airport terminals
(www.vivantabytaj.com).

Commenting on the opening of this much awaited hotel, Mr. Veer Vijay Singh,
Chief Operating Officer, Vivanta by Taj Hotels & Resorts, said, “The Indian
hospitality industry is at an interesting stage where demand is growing across the
country. Vivanta by Taj is well poised to capture this growing demand with its broad
set of offerings and its culture of service excellence. We are happy to bring the
Vivanta by Taj hospitality to these new emerging hot spots like Dwarka." While Mr.
Anil Malhotra, General Manager, Vivanta by Taj - Dwarka, New Delhi said that "We
are eagerly looking forward to welcoming guests to Vivanta by Taj - Dwarka, New
Delhi. The hotel is an ideal option for both business and leisure travellers as well as
guests looking for memorable weddings and successful conferences."

4.10.4.1 Guestrooms

Vivanta by Taj - Dwarka, New Delhi has 250 spacious rooms including 17
uniquely designed suites and a luxurious Presidential Nirvana suite. The rooms are
designed to look like modern day abodes with jagged angles in the roof and walls,
complemented with geometric patterns on the carpet. Vivanta by Taj - Dwarka, New
Delhi offers wide range of authentic cuisines ranging from Indian and Italian to Sushi
bar.

4.10.4.2 Meetings and Events

Vivanta by Taj - Dwarka, New Delhi offers more than 17000 sq. ft. of flexible
meeting and event facilities. The nine meeting rooms accommodate anything from
discrete board meetings and small, intimate social occasions to elegant cocktail

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receptions, sophisticated weddings and stylish conferences. The high tech video-
conferencing facilities, integrated digital audio systems and soundproofing ensure that
every conference is special (www.tajhotels.com).

4.10.5 Ginger Hotels

Roots Corporation Limited (RCL), the wholly-owned subsidiary of Indian

Hotels Company Limited (IHCL) operates the Ginger Chain of Hotels. A leading
name in branded budget hotels, Ginger Hotels is an excellent choice for leisure and
business travellers for the unique blend of comfort and efficiency that it provides.
Ginger is India’s only branded budget chain with a national footprint. Launched in
2004 and having 28 hotels at different locations, Roots Corporation intends to
increase its brand. It is only branded budget chain of hotels in India presence in
metros, large cities and popular holiday and pilgrimage spots (Norohna, 2013).

4.10.5.1 Ginger Hotel: East Delhi

It is located close to Anand Vihar railway station, Ginger East Delhi provides
the comfort, safest and best class facilities to the guests staying in the hotel
(www.gingerhotels.com).

4.10.5.1.1 Hotel Facilities

The hotel has 85 stylishly designed smart space rooms in the single and twin
and electronic door locks, 24/7 security, CCTV monitoring and secured parking. The
other features of hotel are a well-equipped gymnasium, laundry services, in-room
dining and high speed internet. While guest may enjoy breakfast, lunch and dinner, at
the multi-cuisine restaurant that is open between 7 am to 11 pm, guests can also make
use of the in-room dining services. Medical facilities and meeting/conference room
are also available in the hotel.

4.10.5.2 Ginger Hotel: Delhi (Rail Yatri Niwas - IRCTC)

Ginger IRCTC provides facilities and comfort at nominal rate. It promises a

warm ambience with all the necessary features offering guests a pleasant and
memorable stay.

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4.10.5.2.1 Hotel Facilities

The hotel is having 108 elegantly designed smart space rooms. The room are
categories as standard, twin, family and dormitory rooms. The other features of hotel
are a well-equipped gymnasium, laundry services, in-room dining and high speed
internet. The Square Meal Restaurant serves a wholesome fare of Indian and Chinese
cuisine. Guests can also use the in-room dining services (www.gingerhotels.com).

4.11 Employee Engagement at Taj Group of Hotels

Employee engagement is very important for the survival of Indian hospitality

industry and without engagement better hospitality cannot be provided at any cost. If
the employees working in hospitality sector are engaged towards their job, definitely
they will provide better hospitality to the guests. Taj Group is most preferred brand
employer in hospitality industry of India. The employees of Taj Group of Hotels are
highly satisfied and engaged than any other hotel chains in India. According to
Shrinivas (2013) Senior Vice-President of human resources at Taj Hotels, “78% of our
employees are in touch with customers 24/7, 365 days in a year, thinking on their feet,
delivering a wide variety of services, anticipating and understanding the needs and
requirements of guests and customers.” The guests who are coming in the hotels are
not only satisfied but also delighted and extremely happy and feel like coming back
and using Taj Hotel services again.

Employee engagement is a central business agenda of Taj Group of Hotels and

there is clear correlation between highly engaged employees and customer satisfaction
scores. Engagement of employees and delivery of services to the guests gives a strong
enough reason for customers to remain with Taj Group of Hotels and reject the offers
of competitors. The Taj Group of Hotels hires the suitable candidate and provides
training so that they should understand the needs and requirements of the guests and
provide services accordingly. Shetty (2010) has explained that the hospitality sector is
one of the fastest growing sectors of Indian economy and Taj Group of Hotels is the
oldest hotel chain in India. This brand of hotel provides every facilities to its
employees, that is why they are actively engaged towards their jobs.

Koshal (2012) has highlighted that Taj Group of Hotels has strong human
resource policies like sound recruitment, well planned training programmes, emphasis

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on practical application than the theoretical knowledge and healthy working

environment. Hence these policies make the employees engaged towards their
services and reduce the problem of turnover of the employees. Employees of Taj
Group of Hotels are highly satisfied with the plans and policies of hotels than any
other hotel chain in India. Such a strong human resource policy is hard to find in any
other organization. Due to strong human resource policies, the employees are well
motivated towards their job and every employee wants to join and be retained in this
international brand. The Taj Group of Hotels has the most productive and engaged
workforce in the world. Due to high level of employee engagement, Taj Group of
th
Hotels has been awarded 2013-14, Gallup Great Workplace Award (113 Annual
Report 2013-14, The Indian Hotels Company Limited).

4.12 Human Resource Policies at Taj Group of Hotels

The studies on human resource policies of Taj Group of Hotels revealed that
this group has sound recruitment policies, well planned training programmes and
emphasis on practical application than the theoretical knowledge. Taj Group considers
every employee as an important member of the organization. Its aims is to acquire,
retain and reward the talented people from the industry (Koshal, 2012). The Human
resource practices followed by the Taj Group of Hotels have a great impact on
employee engagement and organizational performance. Employee retention rate of
Taj Group of Hotels is highest amongst all its competitors.

Figure 4.2. Role of Human Resource Policy on Organization

Source: Based on literature review
Below are the distinguished policies of Taj Group of Hotels:

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4.12.1 Hiring Policies

The candidates are gauged on their value system and trained for eighteen
months which is six months more than the industry standard. The hiring process
particularly looks for employees on their values and whether the employee would be
able to adapt to the culture of the organization. It is believed that the employees can
be trained to be better chefs or waiters, but they cannot be taught to be good
individuals. So the organization expects an individual to possess good values to
become a part of the Taj family (Koshal, 2012).

4.12.2 Leadership Skills

Apart from the normal training sessions to inculcate leadership skills in the
employees, each employee is given an authority to take the decisions pertaining to his
work and this empowers them and helps in building a leader in all. This was primarily
the reason why each one of them could spontaneously take the decision during 26/11
terrorist attack, when none of them had been trained for such a situation.

4.12.3 Strong Talent Management

To upgrade the “Taj standards” to an international level, the company ensures

that the employees are trained not just in the area of expertise but all the related
functions also, it keeps track of their performance for their future career planning.
This helps to embed belongingness amongst the workforce as they understand that
their careers are safe with their employers (Koshal, 2012).

4.12.4 Individualism of Human Resource Department

Unlike many organizations, who consider human resource as a support

function, Taj amalgamates the human resource practices with all the other activities
taking place within it. This helps to make human resource as an integral part of the
organization. This department make the plans and policies and these are implemented
by the employees spread across all the departments.

4.12.5 360 Degree Feedback System

360 degree feedback is a system where an employee receives feedback from

all the people around him/her whom he/she has interacted with in the course of

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executing job responsibilities. The feedback is solicited from peers, teammates,

subordinates, direct reports and even external parties like suppliers and vendors. This
feedback may be used as an input to the performance appraisal process
(www.mbaskool.com).

It may also be used to identify competency gaps to administer relevant training

to the employees. This 360 degree feedback/assessment is also known as a multi-rate
or multi source feedback because feedback about the employee is gathered from
multiple sources and not just the reporting manager as in the case of a traditional
performance appraisal system.

Figure 4.3. 360 Degree Feedback System

Source: http://www.mbaskool.com/business-concepts/human-resources-hr-
terms/1758-360-degree-assessment-or-feedback.html

4.13 Training Programmes Organized by Taj Group of Hotels

4.13.1 Taj Hospitality Training Programme

The Taj Hospitality Training Programme has been designed to train the
trainees to the level of supervisor in any of their operational department. This

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programme includes induction, theory classes, on the job training, evaluation,

appraisals and assessment (CR Patna, 2011).

4.13.2 Taj Management Training Programme (Food Production)

The Taj Management Training Programme, food production, is the premier

hospitality management training programme for culinary education in the country.
This training focuses on culinary skills and the managerial abilities to run kitchen
operations.

4.13.3 Housekeeping Executive Development Programme

This is a one year intensive housekeeping training programme, which prepares

trainee for a career in housekeeping and accommodation in the Taj Group. During the
first 6 months of this programme, the management trainees undergoes technical
training in classroom accompanied by on the job exposure. The next 6 months include
on the job training in a Taj Hotel as an understudy to a mentoring executive
housekeeper (CR Patna, 2011).

4.14 Summary

The present chapter has been drafted to describe the present scenario of hotel
industry in India and particularly Taj Group of Hotels, New Delhi. The tourism and
hospitality industry is one of the largest source of foreign exchange earning in India
and also provides employment to all categories of peoples such as highly skilled, semi
skilled and unskilled employees. Taj Group is one of Asia's largest and oldest group of
hotels and having 128 hotels in 61 locations in India and 16 international hotels in the
Maldives, Malaysia, UK, USA, Bhutan, Sri Lanka, Africa and Middle East. Taj Group
has a range of luxury hotels to budget hotels and offers a supreme combination of
warm Indian hospitality, world class service and modern luxury to the guests. The
company made its foray in the Indian hospitality industry in the year 1903, when the
first Taj Hotel, called Taj Mahal Palace and Tower was opened by Jamsetji
Nusserwanji Tata in Mumbai. The Taj Group of Hotels, a symbol of Indian hospitality
has completed its century year in 2003. The employees of Taj Group of Hotels are
highly satisfied and engaged than any other hotel groups in India. It has strong human
resource policies like sound recruitment, well planned training programmes, emphasis
on practical application than the theoretical knowledge and healthy working
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India: An Overview

environment. Hence these policies make the employees engaged towards their
services and reduce the problem of turnover of the employees.

The discussion may be concluded that Taj Group of Hotels have strong human
resource policy and well planned organizational structure. Each and every employee
of the organization is considered as a member of Taj family. They actively participate
in decision making process and have the authority to put his/her views and
suggestions before the top management. This group acquires, retains and rewards the
talented people from their hotel on their extraordinary performance. Promotional
activities in Taj Group of Hotels are fair and strictly according to seniority basis.
These are valuable activities that differentiate the Taj Group of Hotels from the other
groups of hotels in India. The employees of the Taj Group of Hotels are highly
satisfied with the plans and policies of the organization. The satisfaction with the
plans and policies leads to engagement and motivation of the employees towards their
job and provides better services to the customers. Hence image of the organization
and organizational performance are improved.

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