Measuring efficiency in the hotel sector

Performance, labour flexibility and migrant workers in hotels: An establishment and departmental level analysis

“…The employment of permanent contract staff is negatively associated with financial but not physical productivity. v These differences, even within a highly specific study of a single company, indicate the inherent limitations of most existing research on hotel productivity which employs only financial measures, or composite measures (Anderson et al 1999;Hu and Cai 2004;Sigala et al 2005;Barros 2005). The choice of productivity measure really matters in hospitality as in other service sectors (Reardon and Vida 1998).…”

“…Although physical measures have been utilised (Ball et al 1986;Brown and Dev 2000;Hu and Cai 2004;Johns et al 1997;Mason, Robinson, and Bondibene 2009), most research on hotels employs financial measures or composite measures combining physical and financial measures (Anderson et al 1999;Barros 2005;Hu and Cai 2004;Sigala et al 2005). These often do not strictly accord with the standard generic measures of productivity (OECD 2001), and there is a gap in terms of comparing financial and physical measures of hotel productivity, even though these provide mutually-informing perspectives (Foster et al 2008); a point we return to in the methodology.…”

An Analysis of the Operational and Management Efficiency of Five-Star Hotels in Taiwan

“…Morey and Dittman (1995) discovered that 34 of the 54 owner-managed hotels that were affiliated to internationally renowned chains had no efficiency (the efficiency value smaller than 1) and their average total efficiency was merely 0.89. Barros (2005a;2005b) applied DEA, the MI and Tobit regression to conduct operational efficiency analysis on 42 public hotels belonging to the Enatur hotel system between 1999 and 2001 and the results indicated that X-efficiency clearly existed as a consequence of the location, clustering effect and organizational factors, meaning that the scale of a hotel could have a significant effect on efficiency and, at the same time, delays in time had led to lagging in technology because employees in public enterprises received less encouragement and these hotels were unable to achieve scale efficiency. Barros believed that, besides expanding the scale and reducing the number of employees, management improvement was the most effective approach to ameliorate the operational efficiency of these hotels once and for all.…”

Regional Environmental Quality and Cost Efficiency of International Tourist Hotels in Taiwan

“…By using the number of full-time employees, labor costs, number of rooms, the hotel area (square meters), the book value of assets, operating expenses, the external cost of input items and turnover, number of tourists, and accommodation revenue as output items, Barros (2005) used the CCR model of DEA to explore the efficiency of 43 hotels in the Pousadas de Portugal chain group of Portugal in 2001. According to the findings of the study, most hotels have production efficiency, and technical efficiency is 90.9% in the case of constant returns to scale; in variable returns to scale, technical efficiency is 94.5%.…”