Indian Hospitality Industry 7

WHAT IS RIGHT & 
WHAT IS WRONG WITH THE INDIAN HOTEL INDUSTRY…?

“The reason for our success is no secret. It comes down to one single principle that transcends time and geography, religion and culture. It’s the Golden Rule – the simple idea that if you treat people well, the way you would like to be treated, they will do the same.”Issy Sharp- Owner OF Four Seasons

As an hotelier and supporter of the cause of the Indian hotel industry, it is troublesome to observe that small countries like Hong Kong, Singapore, Malaysia and even Bangkok, not only  have better hotels but also a better reputation. It might surprise us that in last four decades the world’s best Hotels have come up in the ‘South East Asian Region’. Brands like Regent, Shangri-La, and Aman Resorts, including all the other known brands that have emerged are in this region and not in India or China or even Japan.

Do you know why?

During the days when these small countries were trying to do well for themselves, they realized importance of the efficacy  of the ‘Contextual Ethos’ in the hospitality industry, i.e. the nuances’ of local customs, language of symbolism and courtesy. They also realized that this was the best approach to make sure that every guest both International and local leaves on a happy note - fully satisfied. 

Actually, very few people know that nearly all International Hotel Chains did try to implement these practices in part or whole in their brands, but with little success. The irony is that all these South Eastern Asian countries have learned their customs and hospitality from us.

The next question is, what went wrong with us, 
is also an interesting story!

It is a fact that free India decided to establish thefirst real Indian Hotel based on culture, hospitality and customs. They invited one representative from each ministry and formed a committee who advised Government to build the Hotel of excellence. Result was,‘The Ashoka Hotel’, built on 35 Acers land. By any standard even today the best hotel ever built in this country – It is indeed a monumental effort.

Unfortunately, the present generation witnesses the bureaucratic destruction of this prime property. The sad thing is, that even today if we hand over this property without even one Rupee investment to chains like Ritz Carlton, Four Season they will signup and give more profit to Government in one year then what they have earned in last ten years.  But that will never happen because that will stop misuse of the hotel by politicians and bureaucrats

Moving ahead on this pathetic story, the software for running such hotels was needed to be out sourced, and as usual India was looking at Europe or USA. This was our undoing. There is nothing common about our hospitality, culture and most importantly humility; these things have been part of the Indian human fabric for zillion years. India in sixties and seventies had only two players, ITDC and Oberoi Hotels, unfortunately Taj had only one hotel that also built backward, as such they were nearly nonexistent at that time. Our main players as expected were Fida– or say enamored by Germany and British Hoteliers. On the other hand even catering colleges were very strongly inclined towards western style of Management. The veterans’ mantra at that time was;

1. Proper English
2. Mastering European Cuisine
3. Staff training western style
4. Minimum staff ratio and so on.

All was not bad, there was a style in service, there was grace of presentation, basic courtesies and most deadly dictum was – ‘Customer is always right’, even if he is wrong. First generation of Hoteliers still worked on primary principle of values, discipline and warmth. We served from our heart, followed the recipe to the last syllable and yet we forgot the definition of magnanimity of service , because SERVICE STANDARDS’  were defined by our European masters, who finally became our teachers.

When in 1975 I joined ITDC as Junior Executive there was a sentence coined by Indian Tourism Body “ATITHI DEVO BHAWA” meaning GUEST IS GOD, this stems from the Indian practices of graciousness towards guests at home and in all ceremonies of life.

But in reality we were extending European style services to our guests, both domestic and international. Domestic guests were very few, in the fifties and the sixties and early seventies, as for international guests - well for them our services were better than what they got back home. In turn it made us believe that we have finally arrived, or at least that’s what we thought.

On the other hand, our less fortunate South East Asian neighbors’ were developing service standards of their own under the guidance of seasoned industry veterans. If I remember correctly, in the nineties we saw some very famous brands emerging  in these countries, for example brands like Regent, Mandarin Orient,Peninsula, Aman, Shangri-La and so on. They introduced standards and services that we in India can only dream of.

In the mean time, back in India we were heading for another setback –The emergence of American hotel chains, who were allowed to operate with their one-sided management contracts. Names like Starwood, Hyatt, Intercontinental Hotels, Marriot and Hilton.They started taking over the properties, to emerge as industry leaders, leaving Indian brands way behind. Their Management style was not only efficient and cost effective, but it also brought along a casual management practice which was not in line with our society.

As compared to the European service standards, where we worked in a very disciplined industry. But when we shifted to American Service Standards,which strives to create a class less society, for example a General Manager of the Hotel was on first name basis, even with a waiter. In our culture we practice traditional values where even younger brother or sister never addresses older brother by name.We don’t even call our servant or driver without adding JEE as a prefix, our Hotel staff started calling their managers by their first name which is considered rude. So when junior staff was rude (causal) to their bosses, you can imagine how it started effecting the service standards. The Oberoi’s who are known to be a snobbish Hotel chain have at least three of their Hotels in Top Ten. Perhaps the waqt (Time) and the yard stick has changed, nowadays, I presume they give greater importance to how much money has been spent on Gold plated taps, Italian marbles and the investment on the property, rather than service, quality of food and comfort of the guest.

When I opened Regent Mumbai,the Service Standards we implemented had never been heard of, in our country, it gave a complex to other Hotel Chains, especially when Conde’ Nast rated us as the best New Hotel in the world. I still remember when my sales team felt the pressure to reduce the prices to compete with The Oberoi and Old Taj, I told them to invite CEOs', MDs' and Chairmen of all major companies to be our guests on their next trip and we would discuss the rates, if they were not satisfied we would change. Soon we had over 55 top executives who stayed with us and they accepted our rates, except for one; he bargained with me for one hour but finally accepted our Rates with Rs. 500 less.

Today’s generation, has long forgotten how you serve a good cup of tea, or make an effort to work on personalized service to even regular guests. MacDonald standard has become our bible of American Style standard.Not that there is anything wrong with it but then you don’t even get a glass of water for Rs. 20.

Thorough study of the guest reactions will reveal mostly those issues, which were non existent in earlier times. Today’s management has very little time for genuine training. There is very little effort by the Hotels to look into guest complaints seriously, what ever efforts they make are only to keep them selves at the right spot on the Trip Advisor. My own experience is, that most of the hotels have SOPs and service standards but do not follow or people down the line are not aware they exist. I think I need to give some interesting examples;

1.    Recently I visited a luxury Hotel in Connaught Place (now Rajiv Chowk) for meeting with the client at 12.30 pm , they insisted or right word is demanded that if we need to sit in  Coffee Shop that we all are required to have full buffet. On my demand to see the manger or show me this in writing he relented to let us sit.
2.   . In an effort to cut down staff cost now a days most of the hotels do not give evening service unless you remind them.
3.    There is another five star Hotel in Jaipur city center where I go and stay at least two days each week. Ninety percent of staff pretends that they don’t know me. Every time I have to remind them about my room preference.F&B service in the  Hotel is just bad, food mostly unappetizing and insipid. It is not that they can’t make good food, but poor supervision has resulted in complacency and casual staff attitude.
4.     Another five star hotel I know refuses to serve one Roti/ Paratha or Nan. All breads must be served in doubles only @ 2 or 4 or six and so on.
5.  . Todays Hotels insist that their system is more important than customer’s needs/ requirements.

While Regent Mumbai was rated the best new Hotel, at the same time a small Hotel in Friends Colony called Manor, was the only other Hotel that earned the Conde’ Nast recognition. That was the beginning of the maxim that ‘Small is Beautiful’. Today world over, the best Hotels have fewer rooms. These Hotels offer personalized services and outstanding quality of food. Plus  a tariff that even Ritz Carlton or Four Season can’t dare to charge.

Today small is beautiful, we see emergence of 20-40 room properties coming up, keeping guest comfort and services as the main attractions. Brands Like Mantis, Aleela, Lebua, Sujaan are not only doing well but are also becoming a great attraction with well to do young Indians and getting away with high  and /or very high all inclusive Tariffs.

Coming back to big and branded Hotels! 
Are we going to see any improvement?

Hyatt tried to repeat this with the help of one of their top executive Rakesh Sarna when with his inputs they developed a brand called Andaz. World over This brand is appreciated and has developed a good reputation. But in Delhi, India it is another story. It neither has any Andaz nor class, or even basic service standards. It is a fine example of a hotel built with whopping investments has gone wrong - You don’t expect Shabby uniforms, poor menu planning, poor quality food and service standards are relegation for a brand like Hyatt.

When you talk to employees of the hotel, they give you an impression,which is quite similar to what the pretending, ‘Courtiers and subjects gave the Vain King when they praised his new invisible clothes as he walked the streets in the nude”. We just have to wait for this bubble of pretense to burst in the hotel industry.

 The problem, I feel was the Expat Managers, who I am sure are excellent hoteliers but have no experience in Indian hospitality, or the concept of  Andaz and  this was the main  cause of all the  mess. It is sad to see good concept going wrong (I hope Peter will forgive me for my comments).

 I feel all of us have to work on basic courtesy and hospitality which we have learned while growing up and which forms the warp & weft of the Indian ethos. When we say, The Guest is God, we must be humble, preserve his dignity. Serving him food that  is better than the best food, understand, preempt and anticipate his requirements before he demands and so on and so forth.

I feel that the time is ripe for Hotels, including all the chains operating in India to improve their over all Service Standards. We must also remember that we are a nation comprising of a very large work force, and that we can and we should be able to afford staff in larger numbers in order to provide better services than anywhere else in the world, including south east Asia. To take care of our guest is in our blood, we must follow our intuition and make India known as a land of best hospitality in the world.

 Written by Anil Chak & Virat Varma