Hospitality and tourism industry is growing faster than any other industry

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Hospitality and tourism industry is growing rapidly than any other industry because trend has changed, people travel from one place to another place for many purpose in which sport, history, religion, sex and education. If we see the growth rate of hospitality and tourism industry expected 9.5 trillion in 2011which is more than any other industry.

Hospitality and tourism industry is the combination of accommodation, food, recreation and entertainment. This is the industry which is growing fast because the people travelling from one place to another place therefore many big hotels opened through out the world, not only this many new places discovered and every country improved its infrastructure because to develop itself and the main important things is that to promote their culture.

In hospitality and tourism industry is a sector where the people do practices, training and provides services to other peoples in a proper way. In this industry the number of employees is to much from the other organisation therefore people are working there from the other cultures they belongs to different country, different languages, different style and different nation, for example we know that an international hotel employees are working there from different country, there languages, style, behaviour and also the colour complex is different from other peoples.

Cultural Diversity

The changing in globalised world economy and escalating enormous competition of any organisation particularly the hospitality and tourism industry face of every organisation changed by workforce and also culture diversity. All sorts of busineess comfort minors including elderly workers and people with disablities as well as foreign workers in order to associate them to the workplace. The need of this paper is to encapsulate and spot indepth insight on the need for diversity management and how companies are motivating them to join an ever-mounting workplace. Businesses need to step up the efforts to recruit multicultural workforce effectively in the years to come.

Parts of Culture

It is also the set of values, beliefs, rules and institutions held by a specific group of people and also there are so many elements included in culture, these elements are

Manner and Customs

Attitudes and Beliefs


Legal and Political

Family culture




The culture are also different in any religion because there so many religion in the world and there culture is also different from one religion to another religion, for example Christianity culture different from the Judaism and Hinduism and Sikhism in India is different from the Islam not only this western culture is different from the eastern culture.

Today is everything is growing fast specially in hospitality and tourism industry and business environment is moving towards a globalization, people are moving forward for one place to another place for many purpose therefore there are so many benefit in culture diversity these benefit are

Cross culture communication

Improvement in skills

Information of other culture

Prove himself between other people

Culture awareness improved

Moves from one to multiple foreign function

Moves from similar to dissimilar environments

Handling from international operation

"Organizations need to go beyond simple gratitude of cultural diversity to active diversity management. Diversity management is a wide-ranging process since all employees belong to a culture, including those from the organizations' traditionally dominant cultural group. (Edewor, et al, 2007)".

Owing to mergers and international cooperation as well as migration flows which lead to multicultural societies, companies and institutions will increasingly have to take into account the foreign personnel, foreign laws and foreign market parties. They must recognize that diverse employees possess cultural competencies, for example, language skills and cross-cultural expertise that represent a sustainable source of competitive advantage. Organizations that continue to focus on what worked in the past and do not pay attention to current and future market demographics are excluding significant sources of profit (Edewor, et al, 2007).

These are some factors that should be measured when a company decides that it should visualize a plan to diversify itself:

Demographics of the targeted customers. (E.g. age, gender, income, education, ethnic origin, etc.)

The number of geographical divisions where the company is functional.

What is the cost of employees to the company?

Annual recruitment expenditures of the company.

If there has been any bigotry / harrying cost your organization in the past year?

What is the revenue level in the middle of definite employee groups?

If the company's recruitment policies and remuneration signalling to promising diversity?

How the company tracks and trails top aptitude if the employees do not feel esteemed or heard and incorporated.

How the employees feel staistied with the rewareds they get against their skills and talent.

What is the scope of growth of employees in the heirarchy of the organisation and the focus on people development.

If there is reflection of diversity in company's policies of procurement among suppliers?

Once a company answers these questions it will have a healthier idea of what steps to take to help diversify it and what areas need particular consideration. And after these steps are taken there should be an obvious improvement in the functionality of the company as it finds it easier to converse with a larger number of people and employees enjoy a more positive work environment. While it is obvious that minorities and women are not being represented quite in the workforce as well as in managerial roles, there are some changes taking place in the job market and some court cases with some severe penalties for discrimination against color race or gender.

An organization can only progress and to achieve their goals when a leader understand the culture diversity in any organization because now a day every big or small organization we can see the employees they belongs from different culture also in hospitality and tourism industry therefore leader of any organization is play a very vital important role to manage their employees.


A leader is a person who choose by the organisation's employees and he is the person who influences to other employees to achieve the organisation' goals and moves the company in a right direction and make it more coherent and cohesive.

We can also say that a person who provides a right guideline and lead the people in a right direction to achieve the goals. There are so many author who defined the leadership in there own words for example

John C Maxwell:

"leadership is influence nothing more, nothing less and moves beyond the position defining the leader, to looking the ability of the leader to influence others in which who would consider themselves followers, and those outside that circle."

Warren Bennis

"Leadership is function of knowing yourself, having a vision that is well communicated, building trust among colleagues, and taking effective action to realize you own leadership potential."

The Collins English Dictionary

"The period during which a person occupies the position of leader, during his leadership very little was achieved."

Roman Catholic Diocese of Rochester

"The leader is the person who influencing the behaviour of other people toward group goals in a way that fully respects their freedom".

Importance of leadership in hospitality

Hospitality and tourism industry is growing fast because of change trend, competition, rapidly changing in technology and thinking of people there is the industry which provides the best services according to the people demand and therefore many multinational hotels and airlines moved there business across the world, for example England is also the multicultural country people are living here all over the world a lot of people is coming all over the world every day for different purpose and also the united kingdom was the 3rd most visited country till march 2010.

Leadership is important in hospitality industry because this is the industry where people are working, visiting from all over the world especially in hotel, where people stay and also this industry recognized the role of cultural diversity and how the impact of leadership in operating business. The competition of many organisation and the culture diversity in hospitality industry, good leadership have a quality to manage culture diversity not only external people but to motivate there internal customer as well as the need for leaders that can manage cultural diversity.

Leadership Qualities




Take risk

Emotional resonance

Build Teams







Theories of leadership

There are so many theories which defined for the leadership, every one define it in its own words, in these theories there are so many things which are related to each other and also have the some point which is against each other, here we have the some theories which have defined the leadership.

Trait Theories

According to Trait theories leaders are born with inherit certain qualities and traits that make them better for the leadership. Mostly traits are associated with proficient leadership. This theory is also developed from Great Man theory of leadership. Some traits are also suited for the leadership and if the people make good leader have the right combination of traits.

Great Man Theory

Great Man Theory is related with Trait Theories that the leaders are born, not made. According to that theory people are born with great qualities for leadership and have the ability to lead the people and control any situation and would arise himself when it is urgent need.

Situational Theories

Diverse styles of leadership included in situation theories. According to that theory action based upon different situation and this is very suitable in different action.

Behaviour Theories

This theory is totally different from the Great man and Trait theories according to that theory people are made the good leader through the learning process, observation, teaching and their mental qualities. According to that theory people are made not born.

Management Theories

Management theory is known as transactional theories. This theory focus on the role of organisation, supervision and group performance and also the based of reward and punishment, if the employees performance will good that is given a reward but on the other hand if the performance lever will not match according to the organisation level he or she is punished. This types of theory often used in many organisations.

Relationship Theory

Relationship theory is defined the connection between the leaders and followers. This theory motivates and inspires employees by working in group members and to achieve the higher good task for the organisation. Leader are also focused the performance of the group member and also watch that the criteria of work is good for each person to fulfil the task according to the potential of the every person.

Participative Theory

Participative theory shows that the ideal leadership style is one that takes the decision of other people in his account and encourage them to take the right decision and their contribution in the organisation and help them to more motivated and productive for any organisation, however the leader have the final authority to take any decision.

If we evaluate these theories to each other than we find that each has the different point of view and some point is related with each other for example if we evaluate the trait theory with Great Man Theory we can see the both the theories are say the same thing for example trait theory said that the leader are born not made and the great man theory is a same with trait theory according to great man theory leader are born with their inherit qualities and handle the situation according the situation. In these theories both are agreed that the leadership qualities are inherent nobody can not make him/her a good leadership. But on the other hand if we see the behaviour theory which is totally against the great man and trait theories but in behaviour theory people can make a good leader by their own qualities and learning process and participative theory shows that the everyone can take the right decision. Relationship theory is defined the relation between the employees and leader, leader are also watch the working condition is suitable for every employee.

Latest Theories on leadership:

More recent debate in the leadership arena is focused on the one hand one the new leader approach of Burns 1978[18] who describe the new leaders as either transactional of transformational leaders with the former viewing interactions with followers as transactions or exchanges which may exploit the needs and desires of the follower and the latter being more of an inspirational motivator. On the other hand the "super leader" (Sims and Lorenz (1992) [19]) is a more informal style of leadership and one the authors described as "one who leads others to lead themselves." and going further in one of the latest opinions on the issue say that "the best of all leaders, is the one who helps people so that eventually they don't need him or her."

Basic Leadership Style

There are different leadership styles from which an organization can choose and also different situations needed different style and each leader should know how to exhibit a particular approach. Some leadership styles are:


Classical Approach

Every decision making authorities are given to manager

Nothing interference allowed by the staff

Staff are bound to obey orders without getting any explanations

Rewards and punishment structure setup for the staff


Manages "by the book"

Policy offered not a leader

Bound to do everything according to procedure or policy

Referred to the next level if not covered by the book

Enforces the rules


Also known as the "hands-off¨ style

Easy environment given to the staff by the manager without any direction

Staff are able to take decision to get their determine goals and resolve problems by using authority


4. Democratic

Also known as participative style

Involving staff to make every decision related to the organization

Staff should be informed about everything that affects their work and also sharing decision making and problem solving

What is motivation?

Motivation is defined as the process in which pushes toward acting and performing and take the action and achieving their goals. If the desire and ambition are there the level of motivation is high and without them motivation are failure.

Motivation can be strong if you have a vision or goal, a clear object should be there what you want to achieve, because motivation is needed every action and goals.

It is most important and also the key of success, you cannot get the positive result if there is no motivation in the work.

In hospitality and tourism industry where there is culture diversity in internal and external customer specially if we see the employee who are working in the organisation form the different countries, it is very important for the leader to motivate there workers in the organisation, hospitality leader and managers must have the enough knowledge and basic information of motivation. Some time managers cannot motivate their staff but for their knowledge they can provide the better work environment in which their can self motivate.

Theories of motivation

Hierarchy Theory

Hierarchy theory is most vital discussed theories of motivation by Abraham Maslow, according to his theory people wants and desires influences with their behaviour. This theory base many factors which the human being wants in which self-actualization, esteem needs, social needs, safety needs, and physiological needs. There are many other things which cover in this factor. In his theory he explained that give a chance to all employees fulfil their higher level of needs which is beneficial to achieve the goals of the organisation.

Herzberg's two-factor Theory

According to Herzberg theory people are motivated by two factors in which motivation factor and hygiene factor, these two factors are motivated people. Motivation factor include achievement, task, interest in job, higher level task, and growth, on the other hand hygiene factors employees are motivated by working conditions, wages, status, security, job, company's name and quality of supervision. If there is high hygiene and high motivation employees are more motivated but if there is low hygiene and low motivation employees are more unmotivated.

McClelland's Acquired Theory

American psychologist David McClelland explained the three factor motivation theory; in his theory he provided that the motivation can build in employees by need for achievement, power and affiliation. Manager should study and to recognize these needs and then create working condition that are responsive to them.

Equity Theory

Equity theory discussed the reward system, employees should comparisons between their job and also the rewards which is given by organisation, if he think that the rewards system is unfair therefore he will not take more interest in his job, call in sick more often therefore in organisation it is very important for the manager that the reward system should be fair and every one get the reward by their own effort which help the employees more motivated for the organisation.

Motivation theories Comparison

"A great man is one who can make a small man feel great, and perform great."

If we compare the motivation theories to each other then we can see that every theory have some good point and also some weak points for example if we compare the Maslow's theory with Herzberg theory then we can find that the Maslow's theory depend to motivate the employees five needs in which social, safety, physiological, esteem and self-actualization while Herzberg theory depend two factor in which motivation and hygiene factor if we compare these theory to each other then the difference are that Maslow's theory is suitable for any job but Herzberg theory is only for managerial jobs and staff, Maslow highlight the five needs for the employees for their working place that these five thing are motivate for the staff while Herzberg presented just two factor. In Maslow's theory in my opinion it is not necessary that all the people motivate by all five factor no doubt this all factor is the need of people but if we see specially in hospitality and tourism which is the industry of multicultural people can be motivated by some factor for example some peoples like just their job and if they get job according to their choice may be they do not bother some other factor and just interest their job therefore firstly it is very important for the management to recognize the needs of job level according to the staff which they like because in my opinion if the an employee will not happy with their job he will not take interest in his job however money is good because some people wants the mentally satisfaction they will not bother the salary. Some people are just thinking about the salary therefore they are not motivate by other factor and if we see Herzberg's theory which is related only two factor in which hygiene and motivation according to him he developed his theory by investigation of 200 accountants and engineer only in USA he just investigated only in USA and developed his theory but In my opinion in hospitality and tourism industry which is difference from accountant and engineer in hospitality tourism where every thing is difference because of globalization specially the main product which is service in hospitality therefore in his theory he explained that if there is high hygiene in an organization then the motivate factor will increase if hygiene factor will low employees have a lot of complaint, for example if we see in hygiene factor there is one factor of company policies and administration, an organisation will change their policies according to the situation and it is not important that if the policies and other hygiene factor will review the motivation factor will also increase sometime organisation will change their marketing strategy to save their business but employees should to take interest their job and achieve the goals.

Current Issues in Motivation

In an organisation where the employees working from the different culture therefore everyone have the different skills, abilities, interest, personalities, needs and aptitude, therefore motivation programs should be most applicable in different cultures.

Flexible Work/Job Schedules

Compressed workweek

Daily hours

Flexible working hours

Job sharing


Motivation Professionals

Update their knowledge on regularly basis

Loyalty is given to their profession

Obligation to their field of expertise

Challenging in job

Organization support

Motivation contingent workers

Job training opportunity

Equality in bonus and compensation

Opportunity for employee to become the permanent job

Rewards programmes

Wages incentives, bonuses and profit sharing

Involving employees to take the decision in workplace

Employees appreciation for a well done job

Giving personal attention, approval and expressing interest

Starwood Hotels

Starwood Hotels is an internationally recognized hospitality chain which has more than 1000 properties and also 148,000 employees all over the world and in which approximately 36% are working only in United States.

This chain, is considered for a case study, is famous for its capability to uphold its customers resulting in lower turn over as compare to other chains. Its managers are regarded as peers that bridges the corporate gap. Managers work along with the employees at front line that minimizes the prejudice at work. It adores the self respect of the employees. This then passes over to the customers through employees. It not only increases brand loyalty but also it crafts an unfasten atmosphere of pioneering philosophy. To produce a podium for worthy inspired participation Starwood also invested in providing a place for employees to relax and enjoy. As described before the inspired thinking may never be simulated. Every organisation has the cultural barriers, the method to deal with may vary. Its managers are authorised to reschedule the work timings of employees depending on the needs and problems of the employees. These needs surrounds from cultural to religious. A particular shift is a small unit consits of 6-8 individuals. So the employees of different ethnic or religious background know eachother well. Hence the culturla barrier is overcomed by practicing such managerials techniques.

The leader of the Starwood Hotels is a key to influence and motivating those people, who are working in the hotel, help them and motivate them to work together and drive the business smoothly. The leader should be more than functional experts and need to instill passion for others. The leader should not be autocratic but it should be democratic and respect the ideas of their people whenever they needed and also work collaboratively to solve the problems of their employees. Starwood Hotels believes that the good leadership is not only found within their hotel but also good leadership can be other industries as well therefore Starwood hotel seek candidate through college recruiting, encourage them their MBA program and offer them developing leaders entry level management role and after that there are plenty of opportunities to learn, develop their skills and style for the hotel and support their career. In 2003 the CEO Barry S. Sternlicht has already won the award of Diversity Best Practices.

Culture diversity is not only in internal customers it is also involved external customers because an organization is not handling only one kind of customers especially in hotel where the people are coming from every corner of the world therefore it is important to handle their internal and external customers in culture diversity, on that purpose hundreds of companies participated in culture diversity progress in every year and wants to improve their ranking and therefore Starwood hotel improved their ranking this year from the last year. Starwood hotel was 39th ranking in 2009 which jump of 20 rankings in 2010.

Therefore Starwood Hotels believes, like many others worldwide, that employee motivation is an important aspect attributing to the company's success. The Starwood Hotels will provide training both for job skills and safety. Standards-based training occurs weekly in each department. Managers and employees will spend about 15 minutes to talk about their ideas. It is an opportunity to fine-tune or learn new skills. This training provides an opportunity for communication within the departments. For the employees to have their ideas heard and processed (if valuable) creates a sense of belonging and motivates them, as they have instilled in them the fact that they are valuable. Given below is a list of benefits given to the employees with the intention of motivating its employees.

It provides and maintain the uniform to the employees.

Employees are provided with a meal at work.

Certain rewards are given such as employee of the month / year , Manager of the quarter / year.

Paid time off work such as sick pay, day off, holidays.

Incentive such as Appraisals, up selling, expense cuts savings are given.

Competitive salary and salary increases annual and mid-term.

Employees working for longer years are rewarded as follow.

A watch for five years. And a diamond pin for ten years. That diamond pin then has a new jewel set in it at each subsequent five year interval. After twenty years with the Hotel, a pin would have a diamond, a ruby and a sapphire.

The Starwood Hotels prefers to promote from within whenever possible.

This reward system may frustrate some of the employees who may think that this entitlement for promortion is based on seniority. But sometimes issues such as attendance or performance hinders the ways of promotions and rewards. Starwood Hotel trains its employees in their jobs even if they do not have any prior relevant experience. It however requires certain level of experties.

Starwood Hotel keeps the saying of Maslow (1943) in mind that individuals have certain different needs when fulfilled, motivates them to work. Hence it provides its employees a variety of remuneration and advantages which fulfills the basic level of Masllows Hierarchy of needs. Safety needs are fulfilled by giving health and life insuracnce packages to the employees in order to keep well being of its employees. According to the company's newsletter (Personnel Communication, October 25, 2001) company is considering to improve the way of transportaion for the employees and to provide better childcare system. These steps indicate the Starwood concerns towards its employees to moticate them to their satisfaction.


If different cultures become a problem within the organization and the barriers cannot be trespassed, there are some cross-cultural training available for companies and corporate to improve this situation and take advantage of this powerful ingredient like the multicultural employees working for the same organization.

Now a days workplaces are turned out to be progressively more varied with workforce of different sexual , racial, cultural, ethnic origious characteristics and standard of living. The cultural make up of an organisation is so diverse that leaders and superviosors find it imperative to understand that how it may affect their organisation.

Organisations need to shift from simple cultural divesity to dynamic multiplicity mangement. Diversity management is a absolute professional progression to develop an environment that suits all the workforce. This is a management of fitting all the employees to a culutre from different cultural groups and organisations.

The ability to thrash about effectively in the world economy pivots on the capability of using the faculty of more varied labour force around the globe. Mass migration and internatinally culrutral mergers have formed multicultural societies that emphasis the organisations the need to take into account the overseas laws and market places. The competitive skills such as language and cross-cultural know-how is protractable source of vigorous gains. Organisations do not look forward for the global changes and needs may not earn considerable profits.

The time has changed and the organisations trade in billions in foreign currencies and the better supply chain and services particularly in hospitality industry needs emphasised collaboration and building great relationships. Now in modern business atmosphere organisations are not only looking for renewable convention, lower turn over of staff, and the greater return on investment, they are looking forward to the employees with great vision , courage, competence and commitment to the businesses.