Industrial Valuation of Hotels’ Operation in Pagadian City, Philippines

Abstract

This study was conducted to determine the hotel industry in Pagadian City, Philippines, based on the hotels’ five functional areas of operation: front office department, food and beverage department, housekeeping, banquet/catering department, production/kitchen area. A hotel is an establishment that provides paid lodging on a short-term basis. The provision of basic accommodation, in times past, consisting only of a room with a bed, a cupboard, a small table and a washstand has largely been replaced by rooms with modern facilities, including bathrooms and air conditioning or climate control. One of the most defining aspects of this industry is that it focuses on customer satisfaction. While this is true of nearly every business, this industry relies entirely on customers’ being happy. This is because these businesses are based on providing luxury services. Very few hospitality businesses provide a basic service that people need, like food or clothing. Another defining aspect of this industry is its reliance on disposable income and leisure time. The descriptive design was utilized in this research with respondents who were the managers, supervisors and staff of the ten selected hotels in Pagadian City, forty-eight hoteliers were asked to answer the survey questionnaire to be able to come up with data needed on the study. Frequency counts, percentages, weighted and composite means and standard deviation were the statistical tools used. Findings revealed the following composite mean of the five functional areas of hotel operation: Front Office - 3.47 (Good), Food and Beverage – 3.35 (Good), Housekeeping – 3.40 (Good), Banquet/Catering – 3.38 (Good) and Production/Kitchen Area – 3.56 (Very Good). Recommendations include the following: The four functional areas of operations which includes front office, food and beverage, housekeeping and banquet/catering department should continue in improving their services from “Good” ratings into the “Very Good” criteria in order to efficiently and effectively render better customer services. The following are the specific recommendations: that the marketing strategies should be enhanced such as using social media to welcome online check in for local and foreign nationals. Hotels should be engaged in social media as a powerful tool for creating hotel brand awareness and engaging with customers, that the hotels should provide more rooms and beds so as to encourage more clients both local and foreign tourists for raising an increase in room occupancy, choices of different wines must be provided and measures are available, that the ten (10) hotels must enhance in improving their Butler services 24/7 so as to cater guests need excellently, that the hotels should coordinate with the City Tourism Office to enhance the requirements of their facility from a “Good” grade to an “Outstanding” one. Keywords: Banquets, Customer satisfaction, Food and Beverage department, Hospitality Industry, Hotel Operations

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