CHAPTER ONE
INTRODUCTION
1.1 BACKGROUND OF THE STUDY
As with almost every industry, ICT applications have an enormous impact on the Tourism and Hospitality industry. From social media to smart phones and automatic check-ins, Information and Communication Technology effects even the smallest areas of the industry. ICT applications are evolving at an ever quicker pace and industries have to adapt quickly to keep ahead of the curve, or else risk falling behind the competition. In particular, social media has become a big player in a variety of industries in recent years. With the growth of Facebook and Twitter, many companies have found it an ideal way to promote and sell their wares. As it stands, it is difficult for travel related companies to utilise the likes of Facebook to its full potential. Unlike other, more physical technological advances, social media sites such as Facebook and Twitter cannot yet keep up to date with live changes in flight prices and schedules etc. Products such as iPhones and tablet computers have quickly been adapted for flight and hotel bookings, as well as getting up-to-the-minute information on many different locations.
Information and communication technologies (ICTs) are necessary components of business culture. In today’s world using ICT is no more distinctive characteristic by itself, only an effective and efficient usage can help in obtaining a competitive advantage. When the right technology is available and it is correctly applied, a manager can obtain visible organizational benefits and is able to stimulate the growth of the company, in line with the market evolution.
The travel and tourism sector is known to be one of the world’s largest and enduring industries. Its revenues support a significant proportion of the economies of many nations and it is one of the largest employers worldwide. Its contribution to gross national product, employment and regional development are well documented and, unlike many other sectors, it is forecast to grow in importance in the coming decades as leisure time increases. Tourism is acknowledged to be very information intensive. This sector is also open to the elements of the fragmentary developments in the information and communication technologies (ICT) field. The exchange of information is very important at every stage in the sales cycle of the tourism product or service. Information must be able to flow quickly and accurately between the client, intermediaries and each of the tourism suppliers involved in servicing the client’s needs. As a result, ICT (Information Communication Technology) has become an almost universal feature of the tourism industry. Its power allows information to be managed more effectively, and transported worldwide almost instantly. As a result, it has had (and continues to have) a major effect on the methods of operation of the hospitality industry (Nwakanma, 2014).
1.2 STATEMENT OF THE PROBLEM
The vast majority of hospitality industry in Rivers State is small– large size firms. For many of them, the problem is to able to have a clear frame work for applications (adopting) of ICTs and features which are related to management and economic issues. Management issues include strategic importance, level of integration in present environment, assessed on available software and hardware, products and packages and ease of implementation and use. However, economic issues include cost and benefits.
1.3 OBJECTIVES OF THE STUDY
The main objective of this study is to examine the impact of ICT application on the hospitality and tourism industry in Nigeria. The specific objectives include the following:
1. To examine the effect of ICT applications in the tourism and hospitality in Port Harcourt, Rivers State.
2. To identify existing ICT infrastructure in hotel sector in Port Harcourt, Rivers State.
3. To determine the factors affecting the adoption of ICT among hoteliers in Port Harcourt, Rivers State.
4. To determine the challenges facing ICT applications on the tourism and hospitality in Nigeria.
5. To make useful recommendations based on the findings of this study.
1.4 RESEARCH QUESTIONS
The following research questions were generated to guide this study:
1. Are there effect of ICT applications in the tourism and hospitality in Port Harcourt, Rivers State?
2. What is the type of ICT infrastructure found in hotels in Port Harcourt, Rivers State?
3. Are there factors affecting the adoption of ICT among hoteliers in Port Harcourt, Rivers State?
4. Are there any challenges facing ICT applications on the tourism and hospitality in Nigeria?
1.5 SIGNIFICANCE OF THE STUDY
This study shows the extent of ICT infrastructure utilization in hospitality industry in order to get a grip of the relationship existing between technological advancement and economical development trend.
This study will benefit the hotel industry by providing critical information to management in deciding on the areas which ICT should be adopted, such as room division or food & beverage division, as well as the specific technologies that would improve hotel performance. It also contributes valuable information to ICT marketing personnel.
The study will also create enough awareness on different types of ICT infrastructures used in hospitality industries today, help manages / stakeholders see ICT – based facilities as a tool that will provide greater competitive advantage or to blunt the advantage enjoyed by its competitors, increase profits/revenue, cut down cost and improve service delivery while doing so, also ease out employees work load, making his /her job easier and faster.
Once managers grasp the importance of ICT infrastructures, it will in return create employment opportunity for graduates in IT and IT experts, who will handle, install manage and train users of these infrastructures in the various hospitality industry that will adopt it.
1.6 SCOPE OF THE STUDY
The study concerns about the impact of ICT application on the hospitality and tourism industry in Nigeria with a particular reference to Golden Tulip Hotel, Port Harcourt Rivers State.
1.7 LIMITATION OF THE STUDY
The study will consider ICT as a factor external to the hotel and analyze managers perceptions of the way their internal systems should and do respond to the requirements imposed by ICT. For the purpose of this study the internal elements of the hotels, such as corporate culture and working processes, will be considered as a picture perfect totality which changes in response to the presence of ICT.