Malcolm Kerr, Managing Director of Horwath HTL UK has been talking to prominent executives and advisors to get their perspective on the major challenges facing owners and how they are preparing for an uncertain future.
Before Covid19, the hospitality industry accounted for around 10% of our global economy. In 2019, no less than 15,000 hotels were in the pipeline attesting to the industry growth and place in our society (Hotel Management). In such a thriving industry implemented changes can have a global impact not only on its activities but also on other industries. As we face difficult times with the Covid19 and the climate change crises, it is time for us as an industry to take a stand and inspire others with our actions. The hospitality industry must change to strive in the long-term and has the chance to inspire others by doing so.
“The tourism sector is founded on natural, geographical, cultural, and historical properties. To recognize their value and preserve them, UNESCO began labeling the most prominent of these properties as World Heritage Sites (WHSs). The treaty regarding the safekeeping of WHSs was adopted by UNESCO in 1972, and by 2020, it was ratified by 194 countries. The WHS list has been growing through time and currently includes 1121 properties in 167 countries.”
2021 is a new year that brings with it new hope – for health, social interactions, economic recovery and thankfully, tourism. With the worst of the COVID-19 pandemic behind us, globe-trotters and travel aficionados alike have been pining for their next big trip – eager to travel responsibly and sustainably - wherever, and whenever that may be.
Tourism is slowly and steadily getting back on its feet with the gradual relaxation of COVID-19 norms across the world. Recent reports indicate that flight and hotel bookings have been increasing steadily, especially to popular tourist destinations in the US and Europe. The global travel and hospitality industries are finally optimistic of a quick recovery after having borne the brunt of the abrupt stop in tourism for more than a year.
Following the Dasgupta report on the Economics of Biodiversity earlier this year and the recent IPBES/IPCC report, it is clear that climate change and biodiversity collapse are two sides of the same coin.
The United Nations Environment Programme (UNEP) reported that in 2019, emissions from building operations had reached record-high levels and estimated that direct building carbon emissions must be halved by 2030 in order to reach 2050 net-zero targets. Meanwhile, from the hotel sector’s standpoint, the situation is not anymore rosy: as the industry’s global footprint continues to grow rapidly, hotels will need to reduce their absolute carbon emissions by 66% by 2030 and 90% by 2050, to avoid a corresponding increase in carbon emissions.
While there have been growing numbers of sustainable initiatives in the tourism industry, economic interests and environmental initiatives have prevailed over social and cultural perspectives. The post-pandemic period offers an opportunity to correct this discrepancy, so both hosts and guests will feel comfortable with and also responsible for future tourism dynamics.
Hospitality companies, by-and-large, have traditionally defined their business as selling services and experiences. As such, their strategies have evolved around two classic worldviews in strategy – determining and defending a competitive advantage through market positioning, and resource endowment. Hence, it is not surprising that hospitality strategy courses have largely adopted a firm-specific view.
What actions must be undertaken by hotels and related businesses involved in the tourism value chain to restore ecosystems and contribute to the Sustainable Development Goals? 84 university students across four universities, two dozen experts and lecturers collaborate for 24 hours – The Highlights.
The world’s environment is affected primarily by real estate, transportation, and manufacturing. Due to the influence that these industries have on each other, it is clear that designing and operating sustainable buildings have a tremendous impact on the environment. Some of the concerns addressed by sustainability practices include inefficient site planning; lack of smart growth; waste of water, electricity, and energy; overconsumption and excessive waste; not using sustainable materials; minimizing transportation; the lack of healthy indoor air quality; increased pollution; depletion of the ozone layer; and climate change.
Ahead of the UN Climate Change Conference COP26 in Glasgow this November 2021, a series of breakthroughs can be observed in terms of climate actions. Governments are aligning policies towards a carbon neutral future; advances in technologies are making solar and wind energy cheaper to produce compared to fossil fuel in many markets; and development of construction techniques makes it possible to build high-rises from timber in an increasingly urbanized world.
Before the aggressive market disruption, the hospitality industry was set to continue to respond to consumer demands with further growth and development. Now, the challenge has changed, presenting an opportunity to stop depleting resources, ensure human well-being and have a net-positive effect on climate change. Slowly but cautiously, lanes of travel are now opening. Standing on the brink, how we move forward is critical.
In response to consumer concerns over sustainability and to give industry players an edge in an increasingly competitive market, hotels, airlines, booking agents and tour operators —among others— have been developing a host of innovative sustainable travel start-ups.
EHL Success Stories: Start-Up Edition is a new series to show support to our EHL Family and, more specifically, our hard-working AEHL entrepreneurs. This project aims to showcase EHL's entrepreneur mindsets, support new and upcoming ideas and businesses. While overcoming a challenging time for all companies, these start-ups prove that resilience and hard work can overcome any problem.
Being asked to contribute an article on sustainability is akin to writing an article about agriculture or biology – a topic so absurdly broad it's disinteresting.
Nowadays, sustainability values are to be found in many company websites and reports. However, do companies really keep their sustainability promises? EHL explores the working infrastructure of this premium French chocolate manufacturer and its commitment to the four pillars of sustainability.
Swissness is a synonym for precision, serenity, cleanliness, reliability and fairness, - and is marketed as being typically "Swiss", (Swiss Confederation). What steps can be taken to preserve this country's reputation for being a hub of natural beauty and civic efficiency when it comes to sustainable hospitality?
Indian domestic travelers have discovered the pleasures of road trips in the past year and an increasing number of these tourists will be electric vehicle (EV) owners going forward. EVs are considered the 'future of mobility' and are fast gaining popularity in India. As per a recent report, annual sales of EVs in India are expected to increase from 380,000 units in 2019-20 to 6.3 million units by 2027. However, EV owners are still wary of long road trips due to the lack of adequate charging stations in the country.
Profit, People, Planet – the triple bottom line 'Holy Grail' that many companies preach – but how many practice it?