Does ICT adoption enhance hotel performance?

Abstract

Purpose -The purpose of this study is to investigate the influence of information and communication technology (ICT) adoption on hotel performance in Thailand. Design/methodology/approach -The elements for measuring the level of ICT adoption include: availability of ICT components, integration of ICT components, and intensity of ICT usage. Operational productivity and customer satisfaction were used for measuring hotel performance. To control for the influence of location and employee and management characteristics on hotel productivity, data were collected solely from three star hotels operating in the same location, Phuket, Thailand. Operational productivity was calculated by using data envelopment analysis. A five-point Likert type scale was employed to measure customer satisfaction. Multiple regression analysis was utilized to assess the relationship between ICT adoption and hotel performance. Findings -The findings indicate that ICT adoption has a significant positive relationship with hotel performance. However, ICT adoption influences operational productivity more than customer satisfaction within three star hotels. ICT availability and ICT integration have a significant positive relationship only with operational productivity, while the intensity of ICT usage has a significant, positive relationship with both operational productivity and customer satisfaction. Practical implications -The findings will benefit the hotel industry by providing critical information to management in deciding on the areas in which ICT should be adopted, such as room division or food and beverage division, as well as the specific technologies that would improve hotel performance. It also contributes valuable information to ICT marketing personnel. Originality/value -This study fills a gap in terms of the requirement for more studies investigating the impact of ICT on hotel performance in general, and in developing countries in particular. This helps in understanding the topic from a developing country's perspective.

Customer Relationship Management (CRM) Technology and Organization Performance: Is Marketing Capability a Missing Link? An Empirical Study in the Malaysian Hotel Industry

“…Furthermore, due to the timeliness and significance of data offered by CRM technology, many hotels are utilizing CRM technology to enhance their service quality. Furthermore, Sirirak et al (2011) contended that owing to increasing of competition and customer expectation in the hotel industry, hotels have adopted information and communication technology (ICT) as a way for dealing with rapidly changing environments.…”

Evaluating the Impact of ICT Usage on the Performance of Jamaican Hotels: A Conceptual Perspective

“…Intense competition and high customer expectation have led many hotels to explore innovative means to achieve competitive advantage (Sirirak et al, 2011). Some of the responses by hotels include investment in the latest technology in room reservation, room management, procurement and inventory systems, wireless internet, telecommunication, email, electronic transactions, hotel websites, and guest experiences (Aziz et al, 2012;Sirirak et al, 2011).…”

“…However, there is an appeal in the literature for more studies to evaluate the relationship between ICT adoption and hotel performance, especially in developing countries (Mihalic & Buhalis, 2013;Sirirak et al, 2011). Hence, this study proposed a research model to answer the research question: "What is the impact of ICT adoption on the performance of Jamaican hotels?".…”

“…ICT adoption is a critical success factor in enhancing hotel performance in terms of internal measures like productivity and revenue, as well as external measures such as customer satisfaction (Sirirak, Islam, & Khang, 2011). ICT is viewed as a strategic resource/asset (Aziz, Bakhtiar, Syaquif, Kamaruddin, & Ahmad, 2012) and a core competence in the hospitality/hotel industry, because it has the potential of providing business value and enhancing competitiveness (Bethapudi, 2013;Richard, 2013;Sirirak et al, 2011).…”

“…ICT is viewed as a strategic resource/asset (Aziz, Bakhtiar, Syaquif, Kamaruddin, & Ahmad, 2012) and a core competence in the hospitality/hotel industry, because it has the potential of providing business value and enhancing competitiveness (Bethapudi, 2013;Richard, 2013;Sirirak et al, 2011). Research has demonstrated that implementing ICT in the hotel industry has resulted in decreased costs, greater productivity, increased revenues, improved service quality, and improved guest satisfaction (Aziz et al, 2012).…”