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CHAPTER FOUR 4.1 4.2 Presentation, analysis and interpretation of findings Introd !

tion

This chapter analyzes the data collected from the different respondents who work in the hotel industry and the presentation of findings in reference to the research questions in chapter one. The analysis will be in form of tables and percentages. The findings will be captured using the questionnaires which were distributed to different respondents. 4." Findings on general infor#ation

Ta$le 1% s&o'ing gender respondents (ender Male "emale Total )o. of respondents 30 40 *+ Per!entages 42. ! #$.%! 1++,

The study disco&ered that #$.%! of the respondents are female and 42.'! are male thus imminent up with a conclusion that the hospital employs more female than males. Ta$le 2% s&o'ing t&e age gro p. Age gro p (elow %' %')2# 2*)3# 3*)4# +bo&e 4* Total )o. of respondents 0 %0 30 2# # *+ Per!entages 0! %4.3! 42. ! 3#.$! $.%! 1++,

The study re&ealed that %4.3! of the respondents were between the ages of %')2# years, 42.'! of the respondents ha&e the age group of 2*)3# years, 3#.$! had the age group between 3*)4#! and $.%! had the age group of abo&e 4* years. Ta$le "% s&o'ing t&e 'or- e.perien!e E.perien!e 0)2years 3)# years *)' years -&er years Total )o. of respondents %2 30 20 ' *+ Per!entages %$.%! 42. ! 2'.*! %%.4! 1++,

"rom the field sur&ey carried out, it was found out that 42.'! of the respondents had the work e.perience between 3)#years, %$! between 0)2years and lastly%%.4! o&er e.perience in the hotel. years of work

Ta$le 4% /&o'ing le0el of 1 alifi!ation 2 alifi!ation /ertificate 0iploma 0egree 1ostgraduate Total )o. of respondents %# 30 20 # *+ Per!entages 2%.4! 42. ! 2'.*! $.%! 1++,

The study le&eled that 42.'! of the respondents had diplomas, 2'.*! degrees, 2%.3! certificates and $.%! post graduates. Therefore the hotel has more of diploma holders than other qualifications.

4.4

Fa!tors affe!ting t&e le0el of inno0ation perfor#an!e

Ta$le 3% 2howing whether organization has good knowledge of types of inno&ations which customer accept or re3ects

5etails 2trongly agree +gree 4ot sure 0isagree 2trongly disagree Total

)o. of respondents 3# 20 %0 0 # *+

Per!entages #0! 2'.*! %4.3! 0! $.%! 1++,

The study disco&ered that #0! of the respondents strongly agreed that the organization is aware about the inno&ation which their client accept or re3ects , 2'.*! agreed, %4.3! were not sure and $.%! strongly disagreed to the fact, %4.3! were not sure and $.% percent strongly disagreed to the issue. Ta$le 4% s&o'ing t&at inno0ation is a !o#petiti0e tool in &ospitality trade 5etails 2trongly agree +gree 4ot sure 0isagree 2trongly disagree Total )o. of respondents 3' 2* * 0 0 *+ Per!entages #4.3! 3$.%! '.*! 0! 0! 1++,

"rom the field sur&ey carried out, it was re&ealed that #4.3! of the respondents strongly agreed that inno&ation is a competiti&e tool in the hospitality industry, 3$! agreed the fact and '.*! were not sure.

Ta$le *% s&o'ing ser0i!e inno0ation is 0ital !o#petiti0e tool in &ospitality ind stry. 5etails 2trongly agree +gree 4ot sure 0isagree 2trongly disagree Total )o. of respondents #0 0 %# 0 # *+ Per!entages $%.43! 0! 2%.43! 0! $.%4! 1++,

5t was disco&ered that $%.4! of the respondents agreed that the ser&ice inno&ation is highly &ital in the hospitality trade while 2%.4! were not sure and $.%! strongly disagree thus reflect ser&ice inno&ation as &ital in the hospitality industry. Ta$le 6% /&o'ing '&et&er gro't& of &ospitality ind stry instit tion is deter#ined $y inno0ations of t&e &ospitality ind stry 5etails 2trongly agree +gree 4ot sure 0isagree 2trongly disagree Total )o. of respondents 30 2# 0 %0 # *+ Per!entages 42. ! 3#.$! 0! %4.3! $.%! 1++,

The study carried out showed that 42.'! of the respondents strongly agreed that growth of hospitality industry is determined by le&els of inno&ation, %4.3! disagreed and 3#.$! agreed the fact. 6ence creating a reflection that creati&ity can boost or hinder growth. Ta$le 7% s&o'ing '&et&er inno0ation is a strategy nderta-en $y organi8ations 5etails 2trongly agree +gree )o. of respondents 2# 0 Per!entages 3#.$! 0!

4ot sure 0isagree 2trongly disagree Total

%0 $ 2' *+

%4.3! %0! 40! 1++,

"rom the field sur&ey carried out it was disco&ered that 3#.$! of the respondents strongly agreed that inno&ation is a strategy undertaken by organization %4.3! were not sure and %0! disagreed and 40! strongly disagreed. C&art 1% s&o'ing t&at In!re#ental inno0ation !an pro#ote t&e prod !ti0ity of fir#s in t&e &otel ind stry

60 50 40 30 20 10 0 7esults 8es ## 4o %0 4ot sure #

The field sur&ey indicated that ## respondents agreed that incremental inno&ation could promote the producti&ity of firms in the hotel industry. This formed $'! of the entire respondents.%#! of the respondents felt that incremental inno&ation does not ha&e an effect on the producti&ity of firms in this industry. The rest of the respondents 9$!: were not sure of the effect of incremental inno&ation on producti&ity.

C&art 2% /&o'ing t&at $rea-t&ro g& inno0ations res lt in s $stantial !o#petiti0e edge for fir#s in t&e &otel ind stry

40 30 20 10 0 Res lts

9es 4+

)o 24

)ot s re 4

The field sur&ey indicated that 40 respondents agreed that breakthrough inno&ations lead to a substantial competiti&e edge for firms in the hotel industry. This represented #$ ! of the entire respondents.34! belie&ed that breakthrough inno&ations did not result in substantial competiti&e edge for any firm in the hotel industry.'! of the respondents were not sure of the effect that breakthrough inno&ation had on the competiti&eness of firms in the hotel industry. C&art "% /&o'ing t&at transfor#ational inno0ation !an res lt in $etter finan!ial perfor#an!e for fir#s in t&e &otel ind stry

60 50 40 30 20 10 0 Res lts 9es 36 )o 11 )ot s re 1

+ccording to the field sur&ey, #' respondents agreed that transformational inno&ation could result in better financial performance for firms in the hotel industry This represented '3 ! of the entire respondents.%*! belie&ed that transformational inno&ations did not result in better financial performance for any firm in the hotel industry.%! of the respondents were not sure of the effect that transformational inno&ations had on the financial performance of any firm. C&art 4% /&o'ing t&at fir#s in t&e &otel ind stry !an $enefit fro# prod !t inno0ation.

35 30 25 20 15 10 5 0 Res lts 9es "+ )o "1 )ot s re 7

+ccording to the field sur&ey, 30 respondents agreed that firms in the hotel industry could benefit from product inno&ation. This represented 43! of the entire respondents population.44! of the respondents belie&ed that firms in the hotel industry could not benefit from product inno&ations.%2! of the respondents were not sure of the effect of product inno&ation on the hotel industry. C&art 3% Is prod !t inno0ation a good #ar-eting tool for &otels:

35 30 25 20 15 10 5 0 Res lts 9es "+ )o "1 )ot s re 7

+ccording to the field sur&ey, 30 respondents belie&ed that product inno&ation was a good marketing tool for firms in the hotel industry. This was 43! of the total number of respondents. 2ome respondents disagreed with this statement, they were %3 respondents and they made up %2! of the entire respondents population. C&art 4% Can ser0i!e inno0ation red !e t&e operational !osts in a $ siness:

13%

18%

69%

Yes No Not sure

+ccording to the field sur&ey, #* respondents belie&ed that ser&ice inno&ation could help reduce the operational costs of a business. This formed * ! of the entire respondents; population.%'! of the respondents belie&ed that ser&ice inno&ation could not reduce the operational costs of any hotel.%3! of the respondents were not sure of the effect of ser&ice inno&ation on firms in the hotel industry.

C&art *% /&o'ing t&at pro!ess inno0ation is an i#portant strategy for $ siness i#pro0e#ent in t&e &otel ind stry.

4,

"1,

4",

9es )o )ot s re

+ccording to the field sur&ey, 44 respondents belie&ed that process inno&ation was a &ital strategy in the business impro&ement in the hotel industry. This formed *3! of the entire respondents; population.3%! of the respondents belie&ed that process inno&ation was not an important business impro&ement strategy in the hotel industry.*! of the respondents were not sure of the effect of process inno&ation on business impro&ement in the hotel industry.

C&art 6% /&o'ing t&at inno0ati0e ideas !an $e deri0ed fro# t&e !&anges in t&e te!&nology ind stry.

",

",

74, 9es )o )ot s re +ccording to the field sur&ey, ** respondents belie&ed that inno&ati&e ideas could be deri&ed from the changes in technology. This formed 4! of the entire respondents; population.3! of the respondents belie&ed changes in technology could con result in inno&ati&e ideas.3! of the respondents were not sure of the effect of technology on inno&ation. C&art 7% Can t&e C&anges in t&e #ar-et and ind stry str !t res infl en!e inno0ations:

14,

27,

9es )o )ot s re

3*,

The field sur&ey established that 40 respondents belie&ed that changes in the market and industry;s structures could influence inno&ations. This was #$! of the entire respondent;s population.2 ! of the respondents belie&ed that market and industry structures had no influence on inno&ations.%4! of the respondents were not sure of the relationship between market and industry structures with inno&ation. C&art 1+% 5eter#ining '&et&er t&e de#ograp&i! str !t res and !&ara!teristi!s !an lead to ne' inno0ations

13, 34%

51%

9es )o )ot s re

The field sur&ey established that 23 respondents 934!: belie&ed that the demographic structures and characteristics could lead to new inno&ations. #% ! of the respondents belie&ed that the characteristics and the structure of the demographics could not lead to new inno&ations.%#! of the respondents were not sure of the relationship between inno&ation and demographics. Ta$le 1+% deter#ining '&et&er t&e e.ternal en0iron#ent !an i#pa!t t&e le0els of inno0ation in a fir# in t&e &otel ind stry.

Response 8es 4o 4ot sure Total

)o. of respondents *# 4 % *+

Per!entages 3! *! %! 1++,

The field sur&ey established that *# respondents 9 3!: belie&ed that the e.ternal en&ironment can impact the le&els of inno&ation in a firm in the hotel industry. *! of the respondents belie&ed that the e.ternal en&ironment had no effect on the le&els on inno&ation in the hotel

industry.%! of the respondents were not sure of the effect of the e.ternal en&ironment on the le&els of inno&ation. 4.3 Relations&ip $et'een inno0ation and finan!ial perfor#an!e Ta$le 11< /&o'ing Inno0ations &a0e a dire!t effe!t on a fir#;s finan!ial perfor#an!e

5etails 2trongly agree +gree 4ot sure 0isagree 2trongly disagree Total

)o. of respondents 2# 0 %0 # 30 *+

Per!entages 3#.$! 0! %4.3! $.%! 42.'! 1++,

"rom the field research carried out, it was found out that 92# people:< 3#.$! of the respondents strongly agreed with the statement that 5nno&ations had a direct effect on a firm;s financial performance.42! of the respondents strongly disagreed with this statement while $.% ! of the respondents disagreed with the statement.%4.3 ! were not sure of the effect of inno&ation on financial performance.

Ta$le 12% s&o'ing t&at finan!ial indi!ators !an $e sed to esta$lis& t&e effe!t of inno0ation on a !o#pany 5etails 2trongly agree +gree 4ot sure 0isagree 2trongly disagree Total )o. of respondents *0 0 0 0 %0 *+ Per!entages '#.$! 0! 0! 0! %4.3! 1++,

The research established that *0 of the respondents strongly belie&ed that financial indicators could be used to establish the effects of inno&ation in a company. This formed '#.$! of the total number of respondents.%4.3 ! of the respondents strongly disagreed with this statement. Ta$le 1"% Hotels s&o ld deter#ine t&e effe!ti0eness of t&eir inno0ations $y loo-ing at t&e finan!ial o tp ts only 5etails 2trongly agree +gree 4ot sure 0isagree 2trongly disagree Total )o. of respondents 40 0 ' 0 22 *+ Per!entages #$.%! 0! %%.4! 0! 3%.4! 1++,

The study disco&ered that #$.%! of the respondents strongly agreed that hotels should determine the effecti&eness of their inno&ations by looking at the financial outputs only.3%.4! of the respondents strongly disagreed with this statement while%%.4 ! of the respondents were not sure on whether financial outputs could be used to measure the effecti&eness of inno&ations. Ta$le 14% /&o'ing non finan!ial indi!ators s&o ld also $e prod !ti0ity 5etails 2trongly agree +gree 4ot sure 0isagree 2trongly disagree Total )o. of respondents ## 0 0 0 %# *+ Per!entages $'.*! 0! 0! 0! 2%.4! 1++, sed to e0al ate a &otel;s

The study found out that $'.* ! of the respondents strongly agreed with the use of non financial indicators in e&aluating the producti&ity of a hotel.2%.4! of the respondents strongly disagreed with this statement. Ta$le 13% C sto#er satisfa!tion is a #ore i#portant o tp t as !o#pared to re0en e gro't&

5etails 2trongly agree +gree 4ot sure 0isagree 2trongly disagree Total

)o. of respondents #0 0 %0 0 %0 *+

Per!entages $%.4! 0! %4! 0! %4! 1++,

The study disco&ered that $%.4! of the respondents strongly agreed that /ustomer satisfaction was a more important output as compared to re&enue growth.%4! of the respondents were not sure whether customer satisfaction was more important than re&enue growth.%4! of the respondents also strongly disagreed with this statement. Ta$le 14% s&o'ing t&e different types of inno0ation &a0e t&e sa#e effe!t on t&e finan!ial perfor#an!e of a fir#. 5etails 2trongly agree +gree 4ot sure 0isagree 2trongly disagree Total )o. of respondents *# 0 # 0 0 *+ Per!entages 2.'! 0! $.%! 0! 0! 1++,

"rom the field research carried out in the hotel industry, it was found out that 2.'! of the respondents strongly belie&ed that different types of inno&ation had the same effect on the financial performance of a firm.$.%! of the respondent s strongly disagreed with this statement. Ta$le 1*% <it&o t inno0ation fir#s in t&e &otel ind stry 'ill not gro'. 5etails 2trongly agree +gree 4ot sure 0isagree 2trongly disagree Total )o. of respondents 40 0 %# 0 %# *+ Per!entages #$.%4! 0! 2%.4! 0! 2%.4! 1++,

The study disco&ered that #$.%4! of the respondents strongly belie&ed that without inno&ations, the hotel industry would not grow.2%.4!of the respondents were not sure if the growth of the hotel industry would be affected by inno&ation.2%.4 of the respondents also belie&ed that lack of inno&ation could not affect the growth of firms. Ta$le 16% As a &otel #anager, I 'o ld s pport inno0ation #ore t&an any ot&er a!ti0ity in t&e organi8ation.

1*,

",

1", 4*, +,

/trongly agree 5isagree

Agree /trongly disagree

)ot s re

+ccording to the research, *$ ! of the respondents would support inno&ations more than any other acti&ity in the organization if they were hotel managers.20! of the respondents would not support inno&ations in their hotels.%3! of the respondents were not sure whether they would support inno&ations if they were hotel managers. Ta$le 17% Inno0ations t&at do not $ear instant finan!ial re'ards s&o ld $e dis!arded.

1*, ",

1", +,

4*,

/trongly agree 5isagree

Agree /trongly disagree

)ot s re

+ccording to the research, *$ ! of the respondents strongly belie&ed that inno&ations that do not bear instant financial rewards should not be discarded.%3! of the respondents strongly agree that the inno&ations that are not bearing instant financial rewards should be discarded while 3! do not strongly disagree.%3! of the respondents are not sure whether those inno&ations should be discarded.

CHAPTER FI=E

/ ##ary, Con!l sion and Re!o##endation.

3.1

Introd !tion

The main findings, conclusions and recommendations for further research are dealt with within this chapter. 5t is &ery crucial to note that this study was based purely on primary data which was obtained from staff of =talii hotel.

3.2

/ ##ary of t&e findings.

The literature that is present shows that for inno&ations to succeed certain factors must be obser&ed and these include the following. 2tructural &ariables 6uman resource &ariables /ultural &ariables

+nd the factors for financial performance should also include both financial and non)financial factors.

3."

Con!l sion.

-n the analysis of inno&ation factors, it was disco&ered that inno&ation is highly established and is a &ital competiti&e tool in the hospitality industry. Therefore, inno&ation in the business is &ery significant as it leads to the increased creati&ity and coming up with the better skills on that allow one to put more effort on ser&ice inno&ations.

5t was also disco&ered that the different types of inno&ation are applicable in the hospitality industry and they can be used as a competiti&e tool in the industry. 6otels that in&ested in process or product inno&ation were found to ha&e a bigger competiti&e edge as compared to those that did not implement any type of inno&ation.

-n the analysis of financial performance, it was re&ealed that financial performance in the hospitality industry is a result of increased le&el of producti&ity. 1roducti&ity in the hospitality industry can be increased by the use of different types of inno&ation. 5t was re&eled that the firms that applied inno&ation in their processes and ser&ices had higher le&els of financial performance.

3.4.1

Re!o##endations

>eisure establishment owners need to know the importance of inno&ation and the impact it has on their business. This is because inno&ation is an important dri&er of growth. -nce the establishments understand the importance and the impact that inno&ation can ha&e on their business, they can successfully use it as a growth strategy for their firm.

>eisure establishment need to be protected by the go&ernment in their intuition stages to a&oid e.cessi&e pressure and competition, so as to grow. This can be achie&ed through ta. holidays, incenti&e, update of new business trends and pro&ing soft loans.

The go&ernment should also create a conduci&e atmosphere for the hospitality industry to operate in. This is because the hospitality industry is likely to suffer if they operate in an en&ironment

that poses a threat to its customers and its employees. "or e.ample through the pro&ision of education, infrastructures, economic stability, political stability and good go&ernance.

2ince it is e.pensi&e to go through the process of creating and implementing a new inno&ation, hospitality industry firms need to plan their inno&ations into small phases to ensure that they can implement the inno&ations without ha&ing to deplete their financial resources.

6otel establishments should adopt the first mo&er attitude while in&esting in new technologies. They shouldn;t wait for others to implement the solutions first. This is because when they implement the inno&ations first, they get the first mo&er ad&antage that will gi&e them a competiti&e ad&antage in the industry.

6ospitality establishments should ha&e a clear &ision, mission goals, ob3ecti&es and strategies. (y ha&ing a well defined mission and &ision, the establishments will be able to understand their core business well and they will be in a position to de&elop strategies of achie&ing their ob3ecti&es and fulfilling their mission and &ision. This helps them to become focused and grow oriented.

Technology is an integral part of inno&ation, hotel establishments need to adopt technology fully in their operations. This is because technology will enable them in implementing different types of inno&ations seamlessly. 3.4 Areas of f rt&er st dy

These include?

%. The role played by creati&e employee;s growth of hospitality trade. 2. "actors that hinder the growth of leisure facilities besides lack of inno&ation. 3. @uality and customer relationship management in the hospitality industry. 4. 5nno&ation as a key Marketing strategy in the hospitality industry. #. "inancial management and business process impro&ement in the hospitality industry.

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