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How is the hospitality industry benefited by outsourcing services?

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Outsourcing business has covered almost all sectors such as finance, insurance, healthcare, restaurants and many more. But whenever we think of outsourcing service in the hospitality industry, we get a bit strange reaction. There is a kind of negative feeling with the hoteliers towards the outsourcing services.

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Let’s have a look at it from other angle, how hospitality industry is beneficial by outsourcing service.

In the hospitality industry, one of the major challenges that everyone will come across is that they do not have separate operational units. It means that Marketing, Sales and General Manager’s are responsible for both operational challenges and they need to work on pricing and positioning for the hotel.

But what if someone else can handle your operational units? It’s surely tempting, especially when it is coupled with the possibility of lesser costs, payroll flexibility and comes with the improved service quality. This is an obviously a surprising that outsourcing service is increasing every year in the hospitality industry.

In the hospitality industry there are some certain functions naturally well suited for the outsourcing service. For example, parking service – this service very often brings limited revenue. Another best example is elevators maintenance service, this service needs periodically but it requires a heavy investment in training.

Recently, outsourcing service has widened to include many separate operational units. The most recent service that is being increasingly outsourced is housekeeping. It is one of the biggest departments in a hotel, though it is a non-revenue generator department and drives a larger proportion of payroll.

It is a major headache in the hospitality industry, many hotel managers would happily outsource this operation. Still, outsourcing housekeeping operation is crucial part of the hotel’s quality control and chances are more to face severe consequences, if it is unsuccessful. Yet many hotel managers are ready to take such risks, including some of the big hospitality industries that are currently experimenting with this concept.

Here are some of the benefits of outsourcing service for the hospitality industry.

  1. Easily Get Access To Skilled Expertise

One of the major reasons why hotel industry may want to outsource a task is when it requires skilled expertise. In order to concentrate on the core mission in providing a high quality service to your customer what makes sense is outsourcing the task to the people can perform it better.

  1. Focus on Core Activities

It is easier to frustrate when your workload increases with the additional non-core functions and the quality of your core activities suffers as your business grows. In such scenario, outsourcing your workload to third party plays an important role by allowing your key resource to core activities.

  1. Better Risk management

Outsourcing service will allow you to share any related risks with your outsourcing partners in order to reduce burden. For example: In hotel industry, outsourcing housekeeping operation may reduce the risk involved in having the task done in-house by staff and they may not be capable in that field.

  1. Improve Service And Delight The Customer

When you outsource service, your skilled partner will produce quality deliverables faster, increasing your turn around time to the customer. With no time your customers will be delighted with deliverables and high quality services. Thus outsourcing service can benefit from increased customer satisfaction and creating a stream of loyal customers.

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