This chapter deliberates with the introduction part of the research. Therefore, the basis for the research has been discussed. The main purpose of this research is to identify existing innovative technologies, to measure impact on a hotel operational performance. Firstly, background of research, secondly problem statement, thirdly, research questions & objectives, fourthly significances of study and finally, limitation of the study are discussed in this chapter.
1.2. Background of the study
According to the World Tourism Organization (WTO) tourism and hospitality industry is the accelerate augmentation industry, and should have to work hard to maintain and develop their businesses, because 1.2 billion international tourist arrivals in 2017 and industry face more tourism trends and challenges to attracting 1.8 billion tourists predicted by 2030. To achieve that target and for the success of a business, depending on the innovative technological amenities’ ability and utilization, updated information, sustainability, and the employee skills, utilization of resources effectively and efficiently.
Today most of the Hotels often utilize innovative technologies to attain below mentioned outcomes, to increase efficiency and quality of performance, reduce the cost ; time wastage, value adding for operational activities, problem solving, unique way of producing and delivering the tourism products in the hotel industry, providing competitive advantage, productivity improvement, enhanced organization performance, promote differentiation within the industry, enhance guest satisfaction and build loyalty among clients and employees. (Siguaw, Enz, Namasivayam, 2000; Hjalager: 1997; Collins, Obanoglu, 2008; Kim, Lee, 2008; Kasavana, Cahill, 2007).
Most of the local technologies need to connect with the international opportunities to give particular challenge for many developing countries. Sri Lanka also developing country. Sri Lankan businessmen also acquire innovative technologies to enhance productivity and the overall performance. In the present and past Sri Lankan government also pay their attention for tourism industry to enhance the economic growth by implementing and formulating tourism strategic plans, (2011-2016, and 2017-2020). Tourism industry is international industry and high competitive industry. Sri Lanka face International competition. Anyhow industrials try to give competition to competitors by using innovative product, technologies or services and the local resources. As a result innovative technology come to the industry. In the present years Competition is depend on the innovative technologies in hotel industry. Most of hoteliers acquire innovation to their operation activities, and gain benefits and to give better competition. Especially tourism ; Hospitality industry acquire innovation technology to provide unique, quality and quick service. It plays an important role in this industry. Both customer and businesses’ can gain benefit from advance communication, new reservation and service system. In Sri Lanka tourism and hospitality industry acquire more technologies to enhance the performance in the organization and to satisfy the guest.
According to the Inanovic, (2010) emphasis five type of the innovations. They are manufacturing innovation, Process innovation, Management innovation, Logistics innovation and the institutional innovation. Various existing innovative technological amenities at the hotels. There are wireless internet access, IT based reservation system, computerized management and surveillance systems, Robots for cleaning services, processes concerning communication with employee prior to visit special guest, in house guest information system, and KOT & BOT electronic transfer system (Cihan Cobanoglu, Katerina Berezina, Michael L. Ksasvana and Mehmet Erdem 2011). The above mentioned innovations comes under the process innovation, because those amenities contributes for the hotel operational process in the hotel (Ige Pirnar, Cagri Bulut, and Engin Deniz Eril). Cihan, Kateina, Michael and Mehmet (2011) measure impact of innovative technology amenities on guest satisfaction. It measure guest satisfaction by used four type of innovation: in room technology innovation, comfort technology innovation, business essential innovation and internal assess innovation. This type of innovative technologies are impact guest satisfaction not also those are affect to the hotel operation. Because operational or organization performance can measure through customers satisfaction. There is literature about the relationships among innovation with service quality, customer satisfaction and the consumer loyalty, the gap in studies unexplored relationship among the performance and the innovations.
In Galle district there are higher number of hotels but limited number of hotels are registered under the SLTDA, according to SLTDA web site, there are 60 hotels in Galle district, three 5- star hotels, two 4- star hotels, two 3- star hotels, seven 2- star hotels, three 1- star hotels, and fourty three unclassified hotels. 3. The purpose of this study is to measure existing innovative technological amenities in the industry and how those innovative technological amenities impact to hotels’ operational performance.
1.2. Problem statement
Previous researches over the past few year focus primarily on innovation with the different industries. Han, Kim, and Srivastava (1998) conducted research about the banking industry, Maydeu-Olivares and Lado (2003) conduct their study in the insurance industry, Sandvik and Sandvik (2003) conduct in hospitality industry. However, According the Chesbrough (2009) analysis in service innovation researches are lacking rather than product innovation research. And hotel performance research also lacking rather than guest satisfaction. Most of the scholars are concern or measure about the relationship of guest satisfaction and the innovation technologies and how innovative technologies impact to guest satisfaction, AHLA (2008) survey analysis hoteliers’ perceptions indicate the most important technologies experienced by the customers at the room amenities. Berezina and Cobanoglu (2010) are examine what are the most important in-room technologies for male travelers. In the present years competition is depend on the innovative technologies in hotel industry. Not only previous researches analysis what are the innovation in SME or chain hotels industry (Birgit Pikkemaat, and Mike Peters, 2014; Pilar Tejada and Pilar Moreno, 2012; Micheal Ottenbacheer, Vivienne and Andrew, 2014), that also measure only innovation and financial performance (Serena Volo, 2013). However in Sri Lankan there were no proper study on this area. So clearly it has an empirical gap especially impact of innovative technological amenities on hotel operational performance. This research will provide an empirical knowledge on identifying the existing innovative technological amenities in the hotel industry and their impact on the hotel operational performance.
1.3. Research Questions & Research Objectives
1.3.1. Research Questions
1. What are the existing innovative technological amenities in SLTDA registered hotels in Galle district?
2. What is the relationship between innovative technological amenities and hotel performance in SLTDA registered hotels in Galle district?
3. What is the impact of innovative technological amenities and hotel performance in SLTDA registered hotels in Galle district?
1.3.2. Research Objectives
1. To identify the existing innovative technological amenities in SLTDA registered hotel in Galle district.
2. To identify the relationship between innovative technological amenities and hotel performance in SLTDA registered hotels in Galle district.
3. To identify impact of innovative technological amenities on hotel performance in SLTDA registered hotel in Galle district.
1.4. Significance of the study
1. This study will provide advance knowledge and idea about innovative technology in Sri Lankan context. In this research examine existing technologies in hotel industry, and impact of technologies on hotel performance. New researchers and who study about tourism and the hospitality industry can obtain the knowledge by study this research. Future researchers can study before conduct their research and obtain the greater knowledge about the research area and to conduct their research successful way.
2. This Study is a great support for the local entrepreneurs who are willing to establish hotels in future. This research aid them to obtain the knowledge about the innovative technologies and its impact of the performance. It help to identify the out dated technologies and should not implement the out dated technologies.
3. This Study is a great support for those who are existing in the hotel industry to identify the available competitive technologies which generate higher competition. Hence, competitor can successfully face to the competition. And also competitor can find advance technologies rather than existing technologies.
1.5. Limitation of the study
Lack of previous publications based on innovative technological amenities and hotel performance in the global context. There are limited previous research to obtain idea about the research area before conduct the research. And also another limitation is difficult to fine data, because innovations are hotelier’s competitive secrets or competitive advantage sources. That the main reason hoteliers disincline provide the information to research conductors to collect data. That reason raise the time limitation problem. And also there are low level innovation technologies use the 1 star and 2 star hotel, because their target market very small. Then there are not concern there attention for the innovative technology. Another limitation is lot of hotel are situated in Galle district, but there are no register government authority of SLTDA. It I limitation for this research.
1.6. Chapter summery
The aim of this chapter is to present introduction relevant to this research. The chapter begins with review of some significant areas such as introduction, background of study, problem identification research question and objectives, significant of study and the limitation of the study.