Encyclopedia

Tourism innovations through big data analytics

Zheng Xiang, Virgina Tech

HOW TO CITE:

Xiang, Z. (2017). Tourism innovations through big data analytics. In AIRTH Encyclopedia of Innovation in Tourism and Hospitality. Retrieved: <insert-date>, from http://www.airth.global

Introduction

Due to the widespread adoption of information technology such as smartphones and wearables by consumers and advances in hardware, software, storage, sensors, and networking, big data is being generated at tremendous speed in our society. Big data come in different forms and sources including Internet traffic, mobile transactions, online user-generated content, business transactions, and various sensor systems embedded in the environment. Generally speaking, analytics can be defined as the discovery and communication of meaningful patterns in data. Although conventional statistical tools are widely utilized, the process of analytics often involves a combination of statistics, computer programming and data visualization to quantify findings to generate and communicate useful insights, predictions, and decisions for business problems.  Big data analytics, therefore, aims to discover novel patterns and business insights that can meaningfully and, oftentimes in real time, complement traditional approaches of research such as focus group studies and consumer surveys.

Relevance for tourism innovation

Travel and tourism is a field with huge potential in developing big data analytics. Particularly, as an experience-based product the design and development of tourism requires a profound understanding of what today’s travelers need and want, how they move through and interact with physical and social spaces, and what leads to their enjoyment, happiness, and the realization of personal values. The focus on creating this knowledge increasingly relies upon our capabilities to capture, store, measure, and interpret data generated through different stages of the travel process in a timely fashion. In recent years, we have seen progress in several important areas of big data analytics, ranging from mapping the digital footprint of travelers to understanding their sentiments and preferences using online user-generated content. This will likely serve as the scientific foundation for tourism innovations in the future. 

Further readings

Xiang, Z., & Fesenmaier, D. R. (Eds.). (2016). Analytics in Smart Tourism Design: Concepts and Methods. Springer.

Tourism innovations through big data analytics Read More »

The Covid-19 pandemic and path to recovery and innovation

Mladen Mitrović, PhD student at Faculty of Tourism Studies – Turistica, University of Primorska
 
 
HOW TO CITE:
 
Mitrović, M. (2021). The Covid-19 pandemic and path to recovery and innovation. In AIRTH Encyclopedia of Innovation in Tourism and Hospitality. Retrieved: <insert-date>, from http://www.airth.global
 
 
In addition to endangering basic human rights, to live, the Covid-19 virus has dramatically affected many aspects of modern civilization. With numerous measures which have entered into force, such as travel bans, social distancing and isolation, tourism as an industry has suffered and continues to suffer enormous losses. The outbreak of this pandemic is a major shock to the industry. An increasing number of people are losing their jobs, and small and medium-sized enterprises, which make up the majority of the tourism industry, are most affected. States were in a hurry to prepare packages of measures that would enable the functioning of these companies. It is difficult to estimate when the situation will return to the previous one or at least some optimal in which tourism will function without obstacles. There is a growing opinion this is the end of mass tourism and that in the future there will be a focus on sustainable, specialized types of travel where all health and safety measures will be respected. Although the pandemic affected both international and domestic tourism, it is believed that the latter one will have a much faster recovery. The encouragement of domestic tourism is exactly what a large number of countries base the survival of their tourism sector on. The return of trust among tourists to embark on the adventure that the trip brings with it, as well as whether the attitudes of the local population about their arrival to be affirmative, appear as great challenges in the coming period. Urban locations, that until recently were under a real siege by tourists, will have to find a way to make future visits in optimal numbers and with respect to the aforementioned (health and safety) measures, in order to protect lives of tourists, workers and locals. 
 
A lot of experts from the tourism were trying to clarify the situation with providing some predictions about the sector recovery and getting back to the before pandemic level. For example, UNWTO (World Tourism Organization) conduct a global survey among the tourism experts about the period when they are expecting the international tourism recovery. Most of them expect to recovery begin in third quarter of 2021, while returning to the pre-pandemic should not be before 2023. The STR (Smith Travel Research), a worldwide recognized company for the benchmarking in hospitality industry and tourism sector analysis, have organized the research during the February 2021 through their official web page among the travelers around the world about their opinions on future of the hospitality industry and recovery of both international and domestic travels in the post-pandemic time. Based on the results, their desire to travel in a post-pandemic, both domestically and internationally, was at the same level or even higher than before the pandemic started. But, they are very careful to actually start to travel before the pandemic is over. Those two researches are in line speaking about possible recovery scenarios.  
 
As a main drivers of booking accommodation, participants in STR survey highlighted location and pricing/value for money which can be considered encouraging, given that they were important to tourists even before the pandemic. The cancellation policy came in third place, which is not surprising if we look at the current situation, when it is important for potential tourists to have flexibility in making decisions. Speaking specifically about hotel services, the question arose as to how important it is for tourists to reduce contact in consuming meals or minimal room cleaning, which has definitely undergone changes since the onset of the pandemic. However, the respondents did not show much enthusiasm for these changes and it can be said that the percentages of those who consider it important, who do not, and with no preference, are similar.
 
All this reveals that tourists are definitely eager to travel, that domestic tourism is what keeps the industry alive at the moment, but that it will take time for international tourist movements and business travel to recover, as well as returning of hotel occupancy to pre-pandemic level. Flexibility for tourists is important, and there is no uniform attitude on changing basic hotel services in order to reduce risk.
 
Also, the widespread use of technological innovations is very important in order to increase the confidence of tourists that their travel and stay in the accommodation facility is completely safe from the health aspect. They should be considered as important drivers in gaining tourist trust in these hard times. Some of them that have found application in the tourism industry are touchless check-in, robots, ultraviolet (UV) technology, antimicrobial fabric, air ionizer, sanitizing drones, …
 
References
 
https://www.oecd.org/coronavirus/policy-responses/rebuilding-tourism-for-the-future-covid-19-policy-responses-and-recovery-bced9859/
 
https://www.unwto.org/impact-assessment-of-the-covid-19-outbreak-on-international-tourism
 
https://str.com/data-insights-blog/tourism-after-lockdown-recovery-scenarios
 
https://www.travelweekly.com/Articles/futuristic-technologies-for-safer-travel?utm_source=Nevistas 
 
https://str.com/data-insights-blog/tourism-after-lockdown-guest-expectations-today-and-tomorrow 
 

The Covid-19 pandemic and path to recovery and innovation Read More »

Smart Tourism

Dejan Križaj, Miha Bratec, Peter Kopić, Tadej Rogelja
University of Primorska, Faculty of Tourism Studies – Turistica 
 
HOW TO CITE:
 
Križaj, D, Bratec, M., Kopić, P., Rogelja, T. (2021). Smart Tourism. In AIRTH Encyclopedia of Innovation in Tourism and Hospitality. Retrieved: <insert-date>, from http://www.airth.global
 
 
Smart Tourism followed in the footsteps of the earlier concept of sustainable tourism and quickly established itself as the reference adjective when discussing tourism in politics, economics, and academia. In the latter, the debate has been lively, and although there are many different conceptualizations, academics seem to agree that Smart Tourism is based on the use of novel technologies that improve the quality of visitor and local experiences, while enabling destinations to take steps towards achieving their sustainability goals.
 
However, as it happened in the past with the term “sustainable”, the adjective “smart” seems to be heavily misused when describing the various transformations that tourist destinations and cities are currently facing. Mostly, it dominates the marketing discourse, with many destinations trying to use this “smart” concept because it gives them a competitive advantage over other tourist destinations based on uniqueness and differentiation. 
 
Based on our study, the reality of developing smart solutions within these destinations is mostly still in its infancy. More specifically, we, in detail, analyse: 
 
a) What is the real content of the Smart Tourism projects currently implemented within Europe and supported by substantial EU (European Union) funding? 
b) What are the characteristics of the Smart Projects and what kind of technology solutions are used in them?
c) Can we really see the rapid technological progress in tourism services that the marketers of Smart Destinations promise? 
d) What do the currently implemented projects tell us about the future of Smart Tourism and Smart Destinations?
 
Summary of key findings:
 
Our work differed from most methods used in other studies that rely on the construction of conceptual models, frameworks, or indicator systems based on the evaluation of Smart City or Smart Tourism goals, statements, strategies, and initiatives. The presented study goes a step further and tries to understand which technological innovations exactly were adopted and how they contribute to projects’ smartness. In order to better distinguish between conventional and advanced, interconnected technology, we have placed a special focus on Smart Actionable attributes of the projects analyzed. From what we could perceive in the selected projects, four smart technology trends can be identified: 1) Connectivity and Big Data, 2) Connectivity and Intelligent Algorithms, 3) Big Data and 4) “smart” projects with mainly well-represented technology that does not exploit the Smart Actionable possibilities.
 
In our initial online resource search, we encountered the vast majority of projects that were touted as “smart” but did not address any of the newer aspects of ICT infrastructure, such as interconnectivity and interoperability of integrated technologies. They were therefore excluded from our study, leaving only 35 projects, which we analysed in detail and assigned to the four groups mentioned above. This confirms our preliminary findings that there is a lot of hype and little substance (e.g., smart washing) regarding Smart Tourism projects. This problem stems in part from the fact that there are different, everchanging definitions and meanings of the term Smart Tourism. Subsequently, different stakeholders and entities adopt different meanings and set different priorities based on their viewpoints and schools of thought.
 
 

Smart Tourism Read More »

Social sustainability gaps in tourism

Vinod Sasidharan, San Diego State University

HOW TO CITE:

Sasidharan, V. (2017). Social sustainability gaps in tourism. In AIRTH Encyclopedia of Innovation in Tourism and Hospitality. Retrieved: <insert-date>, from http://www.airth.global

Introduction

Globally, both private and public sectors of the tourism industry have been aligning their efforts and strategies to address ecological (environmental) concerns, in response to changing/evolving societal priorities and awareness regarding sustainable development.  Recent trends indicate that tourists are increasingly demanding and purchasing tourism services and products from companies who have a proven commitment to environmental-responsibility, sustainability, and a track-record of Corporate Social Responsibility (CSR)[i].  Tourists, especially from industrialized nations, are realizing the importance of environmental responsibility and their role in promoting sustainability through the tourism products and services they purchase.  Social concern for ecologically-sustainable practices has resulted in the emergence of a plethora of “green” tourism products, industry alliances, and organizations, which claim to make a difference by encouraging positive environmental changes in the business landscape[ii].  Unfortunately, the availability of such tourism products is no more effective than the over-supply of other trendy ‘responsible’ products such as “organic,” “eco-friendly,” “fair-trade,” “lite,” “heart-healthy,” etc., since both producers and consumers are often unclear about the true meaning of such nomenclature.  Due to the lack of clearly-defined government regulations and industry standards for sustainability performance among tourism enterprises, voluntary certification schemes for verifying the eco- and social-responsibility claims of tourism businesses and recognizing sustainability leaders within the marketplace have emerged to fill this void[iii].  Since the mid-1990s, the number of tourism ecolabeling/eco-certification schemes[iv] and CSR assessment programs around the world has increased exponentially.

Relevance for innovation

Ecolabels are “trademarks or logos” that are used to communicate the environmental credentials of a company, so that customers develop positive attitudes toward development, production, marketing, selling and delivery of their product or service[v].  Through ‘a voluntary procedure that assesses, audits and gives written assurance that a facility, product, process or service meets specific standards’[vi], a marketable logo is issued to an entity that either meets or exceeds the performance levels stipulated in the sustainability criteria and respective indicators identified by the certifying body or agency[vii].  Furthermore, ecolabels are intended to provide companies a marketing advantage over parity products and services offered by other enterprises.  Ecolabels are intended to promote sustainable developmental and operational practices within industry by encouraging private enterprises to address the negative impacts of their operations through improved environmental standards for products and services[viii].  Enterprises promote the ecolabels received for their environmental achievements through various marketing channels including websites, online booking platforms, print media, press releases, and display of award logos/seals, both on and off-premises[ix].  Currently, more than a hundred ecolabeling schemes are available across the globe[x] for the certification of tourism enterprises, facilities, amenities, attractions, destinations, etc., with almost fifty of them specifically developed for the European Union[xi].

Relevance for tourism

The growing trend of environmentally conscious and socially responsible travel provides tourism enterprises with the opportunity to utilize ecolabels for developing and promoting products and services which directly respond to the sustainability needs and demands of travelers.  While the overarching goal of most tourism ecolabels is to improve environmental performance within the industry, the evaluation criteria used by most eco-certification schemes, in order to award the seal, generally also incorporate social sustainability indicators, in addition to ecological and economic parameters.  The variables/indicators commonly utilized by tourism ecolabeling schemes for evaluating sustainability performance include:  resource protection, environmental health and safety, green management, environmental compliance, recycle/reuse, chemical management, water usage, paper usage, energy usage, pollution, client education and feedback, fair labor, social cultural compliance, heritage preservation, equity, community engagement, fair trade, local products, philanthropy, etc.  Although several well-established measures exist for evaluating the environmental and economic dimensions of sustainability practices within the tourism industry, to our knowledge, there is a lacuna of reliable methodologies for assessing the social sustainability outcomes of tourism enterprises. 

As a result of the lack of proper guidelines/indicators for social sustainability performance among tourism ecolabels, organizations that have received (or are seeking) certification often tend to perform well in the area of environmental and economic sustainability, in comparison with lower levels of engagement in the social dimension of sustainability. Underperformance in the social component of sustainability among eco-certified tourism enterprises can be attributed to the ethical obligation perceived by tourism managers[xii] regarding the extent to which ‘unclear’ social sustainability parameters need to be met as opposed to the ‘clearly’ articulated environmental performance guidelines identified by ecolabeling schemes.

 


[i] Chatterji, A. K. and Toffel, M. W. (2010), How firms respond to being rated. Strat. Mgmt. J., 31: 917–945. doi:10.1002/smj.840

[ii] Vaccaro, A., & Patiño Echeverri, D. (2010). Corporate Transparency and Green Management. Journal of Business Ethics, 95(3), 487-506.  doi: 10.1007/s10551-010-0435-z

[iii] Font, X. (2002).  Environmental certification in tourism and hospitality:  progress, process and prospects.  Tourism Management, 23(2002), 197-205.  doi: 10.1016/S0261-5177(01)00084-X

[iv] Buckley, R. (2013).  Social-benefit certification as a game.  Tourism Management, 37(2013), 203-209.  doi: 10.1016/j.tourman.2013.01.004

[v] Middleton, V., & Hawkins, R. (1998). Sustainable tourism: A marketing perspective. Oxford: Butterworth-Heinemann (Reed Elsevier plc group).

[vi] Honey, M., & Rome, A. (2000). Ecotourism and sustainable tourism certification. Draft report prepared for the ecotourism and sustainable tourism certification workshop. Mohonk Mountain House, New Paltz, New York, 17–19 November 2000.

[vii] Margaryan, L., & Stensland, S. (2017).  Sustainable by nature? The case of (non)adoption of eco-certification among the nature-based tourism companies in Scandinavia.  Journal of Cleaner Production, 162(2017), 559-567.  doi: 10.1016/j.jclepro.2017.06.060

[viii] Mihalic, T. (2000). Environmental management of a tourist destination: A factor of tourism competitiveness. Tourism Management, 21(2000), 65–78.
 doi: 10.1016/S0261-5177(99)00096-5

[ix] Morgan, R. (1999). A novel, user-based rating system for tourism beaches. Tourism Management, 20, 393–410. doi: 10.1016/S0261-5177(99)00015-1

[x] Dziuba, R., (2016). Sustainable development of tourism – EU ecolabel standards illustrated using the example of Poland. Comparative Economic Research, 19(2), 111-128. doi: 10.1515/cer-2016-0016

[xi] Margaryan, L., & Stensland, S. (2017).  Sustainable by nature? The case of (non)adoption of eco-certification among the nature-based tourism companies in Scandinavia.  Journal of Cleaner Production, 162(2017), 559-567.  doi: 10.1016/j.jclepro.2017.06.060

[xii] Sandve, A., Marnburg, E., & Ogaard, T. (2014). The ethical dimension of tourism certification programs. International Journal of Hospitality Management, 36(2014), 73-80. doi: 10.1016/j.ijhm.2013.08.009

Social sustainability gaps in tourism Read More »

Servant leadership

Darija Cvikl, University of Primorska / Higher Vocational College for Hospitality and Tourism Bled
 
HOW TO CITE:
 
Cvikl, D. (2018). Servant leadership. In AIRTH Encyclopedia of Innovation in Tourism and Hospitality. Retrieved: , from http://www.airth.global

Introduction

According to Greenleaf, who introduced the term servant-leadership in 1970[1], the person who really wants to serve, simply wants to serve first – and this is very different from the person who is the leader first. Servant-leader is a servant first, i.e.: “primus inter pares”. Theory of servant leadership could be related to some point with McClelland’s theory of needs as the need for power and influence on the behavior of others is beneficial for all participants. In addition, we can connect servant leadership with authentic and transformational leadership theory to some extent. 

Servant leadership is rather a new field of research. It is identified by following characteristics, which form conceptual model: high-quality interpersonal relationship, trust, the need to serve[2], listening and understanding, focusing on values, acceptance and empathy, to foresee the one’s needs with awareness and right perception, dedication to personal and community growth and finally by ability of conceptualizing  the solutions (Ling et al, 2016; Dierendonck, 2011[3]; Greenleaf, 1977).  

 “Servant leadership is experimental. You really can’t learn how to serve others just with listening, you have to try it on as well”, Robin Swift, president of Servant Leadership Institute[4].

Figure 1: “A Conceptual Model of Servant Leadership” (Dierendonck, 2011, 1233).

Relevance for tourism innovation

Studies of servant leadership especially in the tourism industry are rare. According to the massive contribution of the tourist industry to the gross domestic product – GDP, it is necessary to remodel leadership behavior of managers. However, it is proven that servant leadership brings better team task performance and service excellence in hotel industry[5], which challenge innovative perspective to human resources,  competencies and leadership style in the tourism industry. The positive psychological capital of employees is a key influential factor in their behavior. Servant leadership facilitates customer value co-creation through positive psychological capital and service-oriented organizational citizenship behavior of employees. When employees possess in the high positive psychological capital, they deliver high-quality services and improve customer communication. This means that positive psychological capital of employees is a leading influential factor, which enlarges customers’ satisfaction and stimulates them to behave in a favorable way towards tourism organizations.

Servant leadership could be a prevalent innovative concept in the tourism service industry, providing an important leadership theory in which intangible resources, co-creation of value and relationships are the key to determining and satisfying guests needs. Servant leadership is the crucial factor to establish new tourism service customer development.

Figure 2: “Structural equation model of servant leadership group-level mediation model on team performance, with standardized coefficients. The effect of the control variables team size and task interdependence are not represented here. N = 67 teams, **= p < 0.01, *= p < 0.05” (Chiniaraa, and Bentein, 2018, 9). Note: Service OCB means service-oriented organizational citizenship behaviors; Perceived LMX differentiation means perceived differentiation in leader-member relationship quality.

Relevance for tourism

Traditional management principles do not provide long-term progress in the hospitality industry. Staff members, especially front-office staff, should not be treated as instruments serving others[6]. However, the classic pyramid hierarchy does not allow the effective transmission of information. That is why hotel management requires a different approach and can adopt servant leadership style. It is not enough to accept the servant leadership principles, it is necessary to incorporate service-oriented climate into the organization by a servant leadership measurement model for the top and middle-level managers in order to define the influence of servant leadership style on employees and quality of service. The best way to execute servant leadership into the hospitality and tourism industry is through taking the lead, following the principle: guiding by personal example, especially because of the trickle-down effect from general manager behavior to front-line employees. According to study of managers behavior in the four and five star hotels, there is a strong correlation between servant leadership and service excellence when leadership behavior include “positive mindset, walking the talk, 24/7 high energy, moving together with others, being unconcerned with rank and positions, joy and happiness by providing service to others”[7].

Example case study in hospitality service was carried out in Ritz Carlton hotel, Berlin. The Ritz-Carlton motto exemplifies the anticipatory service provided by all staff members. It says: “We are Ladies and Gentlemen serving Ladies and Gentlemen”. According to their practice, principles aligned with servant leadership style are giving the following message: “By applying the principles of trust, honesty, respect, integrity, and commitment, we nurture and maximize talent to the benefit of each individual and the company”[8].

Picture 1: Vocational College Bled visiting the Ritz-Carlton in Berlin and learning about servant leadership values, 2015. Source: author.

Another example of servant leadership practice is Marriot International, one of the most innovative companies in the world[9], according to Forbes, where pharmaceutical companies, technologically advanced companies, and Internet sales predominate. Marriot International is aware of the importance and potential of servant leadership[10]. Together with Starwood Preferred Guest – SPG® and The Ritz-Carlton Rewards, they work in sync to build the best loyalty program, based on the principles of the servant leadership.


[1] Greenleaf, K. Robert. (1977). Servant Leadership – — A Journey into the Nature of Legitimate Power and

Greatness. Published by Paulist Press. ISBN 0-8091-2527-7.

[2] Author: do not mix the term to serve with servility.

[3] Dierendonck, van Dirk. (2011). Servant Leadership: A Review and Synthesis. Journal of Management. Vol. 37 No. 4. DOI: 10.1177/0149206310380462.

[4] Art Barter is Founder and CEO of Servant Leadership Institute.

[5] Chiniaraa, Myriam and Bentein, Kathleen. (article in press). The servant leadership advantage: When perceiving low differentiation in leader-member relationship quality influences team cohesion, team task performance and service OCB. The Leadership Quarterly.

Hsiao, Chan; Lee, Yi-Hsuan and Chen, Jun-Wan. (2015). The effect of servant leadership on customer value co-creation: A cross-level analysis of key mediating roles. Tourism Management, 49, pp. 45-57.

[6] Ling, Qian; Lin, Meizhen and Wu, Xiaoyi. (2016). The trickle-down effect of servant leadership on frontline employee service behaviors and performance: A multilevel study of Chinese hotels. Tourism Management 52, pp. 341-368.

[7] Ghosh, Koustab and Khatri, Naresh. (2017). Does servant leadership work in hospitality sector: A representative

study in the hotel organizations. Journal of Hospitality and Tourism Management, pp. 1-11.

[9] Marriot International was No.23 on Forbes Top 25 Most Innovative Companies in 2016. Source: https://www.forbes.com/pictures/57b48e16a7ea4331ac3530e4/no-23-marriott-internatio/#4a88710c6ded.

[10] Marriot International is hosting a 18th Servant Leadership Conference in San Diego, from 19th to 20th February 2018.

 

Servant leadership Read More »

Revenue management in hotel industry and innovation

Mladen Mitrović, PhD student at Faculty of Tourism Studies – Turistica, University of Primorska

 

HOW TO CITE:
 
Mitrović, M. (2021). Revenue management in hotel industry and innovation. In AIRTH Encyclopedia of Innovation in Tourism and Hospitality. Retrieved: <insert-date>, from http://www.airth.global

 

Revenue management is an area experiencing progressive popularity in the world of the hotel industry. Large hotels and hotel chains around the world have been practicing demand forecasting, market segmentation, performance measurement, dynamic pricing, benchmarking, as well as other processes that together constitute revenue management, with great success for many years. A commonly accepted definition of revenue management is to sell the right product to the right customer, at the right time, for the right price, through the right channel (HOSPA, p. 4).
 
From the historical point of view, back in 1970s, airline industry encountered a problem of filling all empty seats and improving the profitability of their business which led airline companies to introduce revenue management (RM) concept for the first time. After being developed by the airline industry, the RM began its extension in the form of a very successful common business practice within a wide range of industries, for example, in restaurants, telephone operators, hotels, conference centers, golf courses, car rental companies, cruise lines, etc.. A few years later, in 1980s, thanks to Marriot International, this concept was implemented in the hotel industry which resulted in generating around $150 million more than before, only by applying RM techniques.
 
Three essential conditions for RM to be applied:  fixed amount of available resources, the resources sold are perishable and different customers are willing to pay various prices for the same product.
 
In the last few years, concept of RM expanded to total revenue management (TRM). The concept of Total RM could be observed from the point of view that hotels should take into consideration all revenue streams (rooms, food and beverage, parking, spa, golf, retail, meeting space) instead only a room revenue, as a factors of the total profit contribution.
 
Today, a hotel RM is based on dynamic pricing, and traditional approaches in setting prices are no longer enough. Revenue managers need help in order for their work to be efficient on one hand, and on the other to enable them personal satisfaction. Software that relies on artificial intelligence (AI) and machine learning is playing an increasingly important role in this. Hoteliers are able to analyze a large number of data and implement them in such a way as to apply an optimal strategy in their business.
 
Although for a long time hoteliers have been considered slow acceptors of new technologies, it seems that AI-based RM solutions have completely “fascinated” them. By using it, large hotel chains and smaller hoteliers have significantly increased their profitability. Here, in addition to the inevitable historical, other data are used, such as market trends, booking trends, competition prices, inventory control, etc. With all the data, the so-called big data, only the RM jurisdiction is exceeded, and the information obtained is important for other departments in the hotel as well.
 
Certainly, when there is a possibility to obtain a large amount of data, one should be careful. First of all, there is a need to complete the processing of a smaller amount of data first in order to move to a larger number. Also, it is very important not to get lost in all this information that comes from different sides, which means that it should be learned to separate important information from those that are irrelevant. Mastering the so-called big data is definitely not an easy task.  
 
Of course, with the emergence of new quality and functional technological solutions in business practice, there is almost inevitably a debate whether it will completely replace the human factor. When it comes to RM software based on AI, the situation seems pretty clear at this point. They are advanced and helping in making the right tactical decisions, but definitely cannot replace a revenue manager or RM team. They cannot predict everything even when the circumstances are favorable, not to mention extreme situations such as terrorist attacks, natural disasters, or epidemics (one of which we are witnessing – the Covid 19 pandemic). Because of all this, it can be concluded that man is still in charge, and that AI RM software is a significant tool that makes it easier for those responsible to make final decisions.
 
 
References:
 
Ivanov, S. and Zhechev, V. (2012). Hotel revenue management – a critical literature review, TOURISM Review , Vol. 60, No. 2, 2012, 175 -197.
 
Marriott, J. Willard, Jr. and Cross, R. G. (2000). Room at the Revenue Inn. The book of management wisdom: Classic writings by legendary managers, ed. Peter Krass, 199-208. New York: Wiley.
 
Noone, B., Enz, C. and Glassmire, J. (2017). Total Hotel Revenue Management: A Strategic Profit Perspective, Cornell Hospitality Report, Vol. 17, No. 8, 1-15.
 
HOSPA e-book Revenue management, PRACTITIONER SERIES
 
https://www.hotelnewsresource.com/article104903.html
 
https://www.hospitalitynet.org/opinion/4095276.html
 
https://lodgingmagazine.com/data-and-ai-are-simplifying-hotel-revenue-management/
 
https://triometric.net/caught-in-the-big-data-deluge-what-about-mastering-little-data-first/
 

Revenue management in hotel industry and innovation Read More »

Knowledge redundancy in collaboration networks

Florian J. Zach, Washington State University

HOW TO CITE:

Zach, J.F. (2017). Knowledge redundancy in collaboration networks. In AIRTH Encyclopedia of Innovation in Tourism and Hospitality. Retrieved: <insert-date>, from http://www.airth.global

Introduction

The fragmented nature of tourism forces tourism service providers to collaborate. Collaboration is especially relevant for small organizations that need to collaborate to get access to resources[1]. As tourism destinations are typically characterized by small organizations von Friedrichs Grangsjö[2] found that destination businesses benefit from collaboration. The effectiveness of collaboration with other firms is to some extent determined by the degree of overlap (redundancy) of resources[3] and by the position of an actor within a network[4]. This encyclopedia entry discusses the effect of resource redundancy in collaborative innovation efforts.

Relevance for innovation

An organization’s position in a collaboration network is typically not the same as its position in a resource network. As organization’s possess different sets of resources that were historically developed they belong to different resource communities[5]. However, for collaboration organizations work with those that possess different resources or knowledge stocks or geographical positions to combine diverse inputs, especially those otherwise not accessible, for the innovation process[6]. In other words, collaboration and resource networks are decoupled[7]. Organizations that collaborate are thus embedded in multiple networks[8].  Indeed, an organization with a knowledge network rich of structural holes is less constraint in combining new knowledge as it is less influenced by dominant cognitive schemes[9]. Contrary, organizations that are at the center of a collaboration network hold a position with access to redundant knowledge; as such they hold a position of power with access to many, but with less opportunities to develop new ideas. On the other hand Schilling and Phelps[10] found that organizations embedded in tight networks that reach far to gain access to multiple knowledge communities are among the most innovative ones. Critical for innovation success is to determine if redundancy of resources or position in a collaboration network is more important in the innovation process.

Relevance for tourism

Knowing how and whom to combine for innovation activities is of particular interest for destination level decision makers as they have the opportunity to influence combinatorial opportunities across destination organizations. The geographic proximity among destination organizations enhances information and knowledge exchange as it facilitates face-to-face interaction[11]. In fact, the social nature of information rather than codified knowledge often provides the necessary who knows what distribution of knowledge[12]. Learning about the location or the owners of knowledge stocks, thus reduces cost. For tourism, it was found that knowledge redundancy is a primary factor to elect innovation partners[13]. However, redundancy reduces exposure to new ideas[14]. This suggests that tourism organizations prefer to mingle with organizations that possess similar knowledge. As such, destination level decision makers are well advised to attract new knowledge via new collaboration opportunities to facilitate collaboration that allows for knowledge combinations currently not exploited. Indeed, increased collaboration with a wider breadth of partners and knowledge stocks can result in new and quality improvements of existing tourism offerings[15].

Measurement scale

Original scale by Rindfleisch and Moorman[16]

Type: Seven-point semantic differential scale:

Please rate the degree to which the participant listed below compares to your firm in general:

  1. Produces very different products – Produces very similar products
  2. Has complementary new product development skills – Has overlapping new product development skills
  3. Their engineers have different knowledge from ours – Their engineers have the same type of knowledge than ours
  4. Has very different resources – Has very similar resources.

Adapted scale by Zach and Hill[17]

Type: Five-point Likert scale (1 = Strongly Agree; 5 = Strongly Disagree).

Thinking about [partner] please check the boxes that best match for statement:

  1. Our collaboration partner produces very similar products or services to ours.
  2. Our collaboration partner has complementary new product or service development skills.
  3. Our collaboration partners’ personnel have the same type of knowledge as ours.


[1] Atuahene-Gima, K. (1995). Involving organizational buyers in new product development. Industrial Marketing Management, 24(3), 215-226. doi:10.1016/0019-8501(94)00083-9

[2] von Friedrichs Grangsjö, Y. (2003). Destination networking: Co-opetition in peripheral surroundings. International Journal of Physical Distribution & Logistics Management, 33(5), 427-448. doi:10.1108/09600030310481997

[3] Cowan, R., & Jonard, N. (2009). Knowledge portfolios and the organization of innovation networks. Academy of Management Review, 34, 320-342. doi:10.5465/amr.2008.0052

[4] Capello, R., & Camagni, R. (2000). Beyond optimal city size: An evaluation of alternative urban growth patterns. Urban Studies, 37(9), 1479-1496. doi:10.1080/00420980050085397

[5] Wang, C., Rodan, S., Fruin, M., & Xu, X. (2014). Knowledge Networks, Collaboration Networks, and Exploratory Innovation. Academy of Management Journal, 57(2), 484-514. doi:10.5465/amj.2011.0917

[6] Nelson, R. R., & Winter, S. G. (1985). An Evolutionary Theory of Economic Change. Cambridge, MA: Belknap Press.

[7] Nerkar, A., & Paruchuri, S. (2005). Evolution of R&D Capabilities: The Role of Knowledge Networks Within a Firm. Management Science, 51(5), 771-785. doi:10.1287/mnsc.1040.0354

[8] Brass, D. J., Galaskiewicz, J., Greve, H. R., & Tsai, W. (2004). Taking stock of networks and organizations: A multilevel perspective. Academy of Management Journal, 47(6), 795-817.

[9] Hargadon, A., & Sutton, R. I. (1997). Technology brokering and innovation in a product development firm. Administrative Science Quarterly, 42(4), 716-749. doi:10.2307/2393655

[10] Schilling, M. A., & Phelps, C. C. (2007). Interfirm collaboration networks: The impact of large-scale network structure on firm innovation. Management Science, 53(7), 1113-1126. doi:10.1287/mnsc.1060.0624

[11] Acs, Z. J., & Audretsch, D. B. (1988). Innovation in Large and Small Firms: An Empirical Analysis. The American Economic Review, 78(4), 678-690. doi:10.2307/1811167

[12] Woodman, R. W., Sawyer, J. E., & Griffin, R. W. (1993). Toward a theory of organizational creativity. The Academy of Management Review, 18(2), 293-321.

[13] Zach, F. J., & Hill, T. L. (2017). Network, knowledge and relationship impacts on innovation in tourism destinations. Tourism Management, 62, 196-207. doi:10.1016/j.tourman.2017.04.001

[14] Rindfleisch, A., & Moorman, C. (2001). The acquisition and utilization of information in new product alliances: A strength-of-ties perspective. The Journal of Marketing, 65(2), 1-18. doi:10.1509/jmkg.65.2.1.18253

[15] Novelli, M., Schmitz, B., & Spencer, T. (2006). Networks, clusters and innovation in tourism: A UK experience. Tourism Management, 27(6), 1141-1152. doi:10.1016/j.tourman.2005.11.011

[16] Rindfleisch, A., & Moorman, C. (2001). The acquisition and utilization of information in new product alliances: A strength-of-ties perspective. The Journal of Marketing, 65(2), 1-18. doi:10.1509/jmkg.65.2.1.18253

[17] Zach, F. J., & Hill, T. L. (2017). Network, knowledge and relationship impacts on innovation in tourism destinations. Tourism Management, 62, 196-207. doi:10.1016/j.tourman.2017.04.001

 

Knowledge redundancy in collaboration networks Read More »

Innovation newness

Dejan Križaj, University of Primorska

HOW TO CITE:

Križaj, D. (2017). Innovation newness. In AIRTH Encyclopedia of Innovation in Tourism and Hospitality. Retrieved: <insert-date>, from http://www.airth.global

Introduction

Following Daft’s dual-core general innovation model[1] and Hall&Williams’ tourism innovation approach[2], basic distinguishing innovation characteristics can be formed in two groups: content and appearance.

“Content” characteristics include: product, process, organizational, marketing and form types.  Characteristics like incremental or radical degree of novelty and innovation’s impact range define its “appearance”[3] [4] [5] [6] [7].  While innovation “content” can be described through different means of innovation categorization [8] [9] [10] [11] [12], innovation “appearance” has at least two perspectives. The first includes questions regarding how innovation appeared inside the firm’s system boundaries; i.e., how the innovation was perceived internally in the firm and what improved because of the adoption of the innovation[13]. The second perspective looks outside the firm’s system boundaries: how was the innovation perceived by customers, suppliers, markets and competitors and what was improved because of that [14] [15].

One promising fragmental way of dealing with the innovation appearance factors is focusing on innovations’ newness characteristics.

Relevance for innovation

Newness factors alone are not enough to make the innovation a successful one but when taken into account together with other “content” and “appearance” innovation categories inside the firm’s strategic plan they can contribute to greater competitiveness[16]. Appropriate knowledge about actual technological change and existent competition ecosystems can improve managers’ strategic decisions and engagements for which state-of-the-art insights into the newest trends are crucial.

Throughout innovation research history novelty and newness have been in the focus of innovation definitions. While theorizing about innovation’s newness characteristics Johannessen et al.[17] introduce three important questions: 1.) what is new, 2.) how new it is and 3.) to whom it is new. They claim that only after these questions are thoroughly answered and these answers declared at the beginning of each study can one compare different results and talk about a systematic approach to the plethora of possible innovation adopters and answers to what is new for them and how new it is in broader terms.

When focusing on its newness characteristics, innovation can be described as the intermediate stage on the continuum between invention and adoption[18]. Invention represents major developments in science or technology without already known implications. Adoption characterizes a firm’s first introduction of existing, already known solutions.

Relevance for tourism

Tourism firms operate in a highly interdependent business environment and their offer in most cases depends on several non-tourism firms and industries, including those in food, beverage, agriculture, architecture, culture, entertainment, health care, finance, information technology, education, safety, etc. Several authors assert that a supplier-driven process is one of the basic tourism phenomenon characteristic whereby firms mostly innovate with purchased products and services from their suppliers[19] [20] [21] [22]. Logically, there is not much “new to the world” products found in tourism where adoptions on the invention-adoption continuum are the more preferred type of innovation activity[23] and as such are generally not science-based[24].

Measurement approach

OECD Oslo Manual approach

Each invention starts its “first in the world” appearance somewhere on the globe. After that it is gradually diffused through different social systems at different diffusion rates[25] and adapted to local needs and environments in different ways. Although such diffused tourism adoptions are not generally perceived as innovations any more they can play a substantial role in the further development of the destinations where faster or slower diffusion of “already world known” innovations can still help to differentiate between otherwise not so different tourism destinations[26]. This “diffusion logic” of the invention-innovation-adoption continuum is manifested in the European Community innovation surveys (CIS). The data are collected every two years and its regularly updated methodology originates from the Oslo Manual[27], which in general does not cover tourism as a standard industry classification but still offers applicable research guidelines. The Oslo Manual’s defined minimum requirement for an innovation is that it must be new or significantly improved in regards to the firm. Aside from new products, processes, etc., that firms are the first to develop, innovations can also be adopted from other firms/organizations and are still treated as innovations for the firm. Firms are identified as innovative if they have introduced an innovation during the period of observation. So, adoption in Volo’s invention-adoption continuum is already classified as innovation in the OECD’s terms.

Krizaj et al.[28] and Zach et al. [29] approach

The authors of the Oslo Manual state that such broad definition of an innovative company may not be appropriate for all policy/research needs and permit more narrow research definitions. If we focus on the minimum requirement of the Oslo Handbook, innovation must be new or significant improvement at least at the company level. In addition to novelties at least at the company level, of course, certain innovation can be perceived as new even broader – at the level of: regions, countries, the union (EU, USA, etc.), the continent … At the opposite level, we can speak of a global level of innovation. Innovation occurs for the first time anywhere in the whole world (for example, the first appearance of a low-cost carrier business model). Thus, a multitude of all innovations introduced in a particular company at a given time can be new at different geographical levels, as shown in Table 1. Ci companies introduce diversified innovations Ii, j, which are new with different levels of innovation: among all the innovations it represents C4, there is also one – I4,5 – which is new on a global scale. By contrast, C3 only introduced innovation, a new one at the company level (I3.1 and I3.2).

 

Legend: Ci : company (i = 1 … N), Ii,j : innovations introduced in Ci (j = 1 … M)

Companies can be observed only in certain segments of tourism, such as the accommodation sector or only the cycling city tour operators and, if necessary, continue to be divided according to the chosen criteria: size, age, type … The company can introduce a novelty that is not new in comparison to all the industries in the region (e.g. internet telephony for consumers). However, this innovation can be the first (and thus more competitive) in the home region among small travel agencies (the first such agency that has introduced such a communication channel between businesses and consumers). Different sets of novelties give different innovation “appearances” (see introduction and [30] [31]).

 

 


[1] Daft RL. 1978. A dual core model of organizational innovation. Academy of Management Journal. 21 (2):193-210.

[2] Hall CM. Williams A. 2008. Tourism and Innovation. Routledge.

[3] Chang YY, Hughes M. 2012. Drivers of innovation ambidexterity in small- to medium-sized firms. European Management Journal. 30 (1):1–17.

[4] Jantunen A, Ellonen HK, Johansson A. 2012. Beyond appearances – Do dynamic capabilities of innovative firms actually differ? European Management Journal. 30 (2):141–155.

[5] Mitsufuji T. 2003. How an innovation is formed: A case study of Japanese word processors. Technological Forecasting and Social Change, 70 (7):671–685.

[6] Johannessen JA, Olsen B. 2010. The future of value creation and innovations: Aspects of a theory of value creation and innovation in a global knowledge economy. International Journal of Information Management. 30 (6):502–511.

[7] Yücel G, van Daalen CE. 2011. Exploratory analysis of the impact of information dynamics on innovation diffusion. Technological Forecasting and Social Change. 78 (2):358–372.

[8] Pikkemaat B, Peters M. 2005. Towards the Measurement of Innovation—A Pilot Study in the Small and Medium Sized Hotel Industry. Journal of Quality Assurance in Hospitality & Tourism 6 (3/4):89-112.

[9] Bieger T, Weinert R. 2006. On the nature of the innovative organizations in tourism: Structure process and results. Innovation and product development in Tourism. Erich Schimidt Verlag

[10] Sipe L, Testa M. (2009). What is Innovation in the Hospitality and Tourism Marketplace? A Suggested Research Framework and Outputs Typology. International CHRIE Conference-Refereed Track. Accessed 20.5.2012 from http://scholarworks.umass.edu/refereed/Sessions/Friday/22

[11] Hjalager AM. 2010. A review of innovation research in tourism. Tourism Management 31 (1):1-12.

[12] Monica Hu ML, Horng JS, Christine Sun YH. 2009. Hospitality teams: Knowledge sharing and service innovation performance. Tourism Management. 30 (1):41–50.

[13] Perez AS, Borras BC, Belda PR. 2006. Technology externalities in the tourism industry. In Innovation and product development in Tourism. Erich Schimidt Verlag: 39-55

[14] Martínez-Ros E, Orfila-Sintes F. 2009. Innovation activity in the hotel industry. Technovation 29 (9):632-641.

[15] Hoegl M, Wagner SM. 2005. Buyer-Supplier Collaboration in Product Development Projects. Journal of Management. 31 (4):530–548.

[16] Cozzarin BP. 2006. Are world-first innovations conditional on economic performance? Technovation, 26 (9):1017–1028.

[17] Johannessen JA, Olsen B. 2010. The future of value creation and innovations: Aspects of a theory of value creation and innovation in a global knowledge economy. International Journal of Information Management. 30 (6):502–511

[18] Volo S. 2006. A Consumer-Based Measurement of Tourism Innovation. Journal of Quality Assurance in Hospitality & Tourism 6 (3):73.

[19] Sundbo J, Gallouj F. 2000. Innovation as a loosely coupled system in services. International Journal of Services Technology and Management 1 (1):15-36.

[20] Hjalager AM. 2002. Repairing innovation defectiveness in tourism. Tourism Management 23 (5):465-474.

[21] De Jong JPJ, Vermeulen PAM. 2003. Organizing successful new service development: a literature review. Management Decision 41 (9):844-858.

[22] Orfila-Sintes F, Crespí-Cladera R, Martínez-Ros E. 2005. Innovation activity in the hotel industry: Evidence from Balearic Islands. Tourism Management 26 (6):851-865.

[23] Pikkemaat B, Peters M. 2005. Towards the Measurement of Innovation—A Pilot Study in the Small and Medium Sized Hotel Industry. Journal of Quality Assurance in Hospitality & Tourism 6 (3/4):89-112.

[24] Sundbo J. 1997. Management of Innovation in Services. The Service Industries Journal 17 (3):432-455.

[25] Rogers EM. 2003. Diffusion of Innovations. 5th edn. Free Press.

[26] Keller P. 2006. Towards an innovation-oriented tourism policy: A new agenda? In Innovation and product development in Tourism. Erich Schimidt Verlag: 55-71.

[27] OECD. 2005. The measurement of scientific and technological activities. Proposed guidelines for collecting and interpreting technological innovation data. Oslo manual. (2nd ed.) OECD/European Commission EUROSTAT.

[28] Krizaj, D., Brodnik, A., & Bukovec, B. (2014). A Tool For Measurement of Innovation Newness and Adoption in Tourism Firms. International Journal of Tourism Research, 16(2), 113–125. https://doi.org/10.1002/jtr.1905

[29] Zach, F. J., Krizaj, D., & McTier, B. (2018 Accepted). Learning from press releases: Implications for hospitality innovation. International Journal of Contemporary Hospitality Management, 30(1).

[30] Krizaj, D., Brodnik, A., & Bukovec, B. (2014). A Tool For Measurement of Innovation Newness and Adoption in Tourism Firms. International Journal of Tourism Research, 16(2), 113–125. https://doi.org/10.1002/jtr.1905

[31] Zach, F. J., Krizaj, D., & McTier, B. (2018 Accepted). Learning from press releases: Implications for hospitality innovation. International Journal of Contemporary Hospitality Management, 30(1).

Innovation newness Read More »

Forest tourism’s need for innovation-friendly legislation

Darija Cvikl, University of Primorska / Higher Vocational College for Hospitality and Tourism Bled
 
HOW TO CITE:
 
Cvikl, D. (2018). Forest tourism’s need for innovation-friendly legislation. In AIRTH Encyclopedia of Innovation in Tourism and Hospitality. Retrieved: , from http://www.airth.global

Introduction

Except for in rare cases (e.g. in China) Forest Tourism has not been legally accepted yet, nor in legislation nor as a term in tourist dictionary. Although many tourist activities are taking place in a forest for a long time and are included in the current law, many of them haven’t been statistically monitored because there is none legal basis for it. Non-wood forest products (NWFP) and socio-cultural values (SCV) – including income of tourism and recreational forest use as a natural source of capital – are currently not recorded in forest management plans in most countries and their national statistical databases. Despite the fact most forestry and EU development documents[1] foster the tourist function of the forest, forestry legislation is adapting very slowly to the real needs on the demand side of the tourist sector. In existing legal acts, the admissibility of interference with the property right due to the use of forests for tourism and recreational purposes is regulated, but ineffectively. The main issue is how to coordinate free access to the forest and the implementation of tourist activities in the forest with responsible user behavior and nature protection. Free access to forests is not only an asset but also a responsibility. It is threatened by the lack of users’ responsibility and their interests which are not being coordinated with forest management and owners[2].

Relevance for innovation

To establish forest multifunctional management and planning as well as integrate interdisciplinary decision-making between tourist and forest participators it is needed to make a different and innovative approach in understanding the legal acknowledgment of various forest services and their multilateral importance. It is not just the matter of protection of forest as a natural source due to the multifunctional exploitation of the forest, but as well as the correct approach to the definition and recognition of individual products which arise from the forest as a natural capital source. That is why tourist sector (as well as other branches besides forestry and nature preservation sector) should recognize forest ecosystem services and their applicability in various economic activities as a starting point to develop national and regional development strategies and legal basis for multifunctional forest management. The International Bank for Reconstruction and Development has defined forest as the complete ecosystem type almost 15 years ago as the only one among the existing ones (land, cities, seas, islands, mountains, polar areas, coastal areas, land waters, cultivated land) that ensures the use of all ecosystem services and represents one of the natural sources of capital in tourism and wider. Multipurpose and sustainable forest management with the exploitation of all its ecosystem services is still a hot issue today, although it appeared in WCED strategic document in the 1980s already. Awareness of the usefulness of various economic activities will enable interdisciplinary linkage between disciplines, such as tourism and forestry. Forestry profession itself is unable to cope with the tourist demand for forest tourism activities already going on. Together they can achieve positive synergy effects in transferring of knowledge and establishment of an appropriate legal basis for Forest Tourism activities.

The legislation covers dealing with restrictions on property rights as well as with determining the appropriate management approach. The problem is that with the implementation of such legislation numerous dilemmas and concerns appear about restrictions of property rights and the related topics (the use and maintenance of forest roads, garbage disposal, traffic noise, emissions, equipping and arranging forests for tourism and recreational purposes). Good legislation is the one that in practice does not cause any additional tensions and conflicts, but it lowers the chances of conflicts and provides an appropriate balance between the interests of the public and individuals. In most cases, the situation is the opposite, and one of the concerns is, therefore, the efficiency of the addressed legislation – whether it hinders the possibilities and the development of tourism and recreational functions of the forest use. Sustainable use of biodiversity is the base for forest tourism, but with the limitation of negative impacts and sustainability principles, it needs to be integrated into national tourism policy. Therefore, the evaluation of all the forest tourist activities in the country is one of desired action and sub-objectives for the future as well as the implementation of national standards for responsible business practices in the tourism sector.

The correct approach to establishing appropriate legal bases and maintaining the balance between public and private forest use is to understand the sustainable use of all ecosystem services of the forest primarily by the tourist profession (among others).  At the same time, the forestry profession has to become aware of the need for the integration of the tourism and other professionals in the creation of legal bases for forest tourist activities. For preserving, advancing and implementing management processes of the forest ecosystem services for tourist purposes, it is necessary to provide a legal basis for establishing additional forest protected areas first[3].

Relevance for tourism

Some countries around the world have already engaged in the more or less elaborate redefinition of legal bases for the tourist use of the forest in previous years. Europe is 40% covered with forest and wooded land which provides many social benefits, including recreation and tourism[4]. Irrespective of the recognition and the growing significance of SCV services and NWFP, which affect tourism industry, directly and indirectly, the assessment of their effects has been gradually and slowly included in sustainable forest management.  However, as shown in the 2015 MCPFE report, the EU states have started to promote and plan the use of NWFP. Most initiatives and legislation changes refer to setting up conditions for improving the commercial use of ecosystems (Bulgaria, Austria, Croatia, Montenegro, the United Kingdom) and encouraging recreational use of forests (Bulgaria, the United Kingdom, Romania, Ukraine and Slovenia). The efforts, addressing the integration of sustainable management with game animals in sustainable forest management and tourist development of forest habitat is also interesting (Hungary, Croatia, Germany). However, the key implementation measures concerning the use of non-wood goods and services are currently being addressed in only a few EU states. These states have initiated action plans, development of national or regional programs (only Finland, Austria and Spain), research projects (Romania) or subsidies in the field of supporting forest tourist activities (Sweden), (MCPFE, 2015, 130). However, the awareness of local municipalities is raising in last twenty years. For example, regular surveys of the current forest situation are performed by local foresters in Celje region in Slovenia from 2013 in order to implement social functions of the forest on the legal basis and to (main reason) protect urban forest by law[5].

The country’s forest coverage also represents a tourist potential that needs to be legalized so that existing tourism activities can be properly managed and statistically monitored. The leading forest countries are presented in table 1. Some of them have had a substantial increase of forest area since 1990 till 2015 (for example Bhutan and Montenegro, Samoa), while others recorded a decline of forest area (for example Belize, Brazil). The average forest cover of 217 world countries is 33%, while the average forest cover of the 30 most forest-rich countries is 73%.

Table 1: Forest area in % of the land area from 1990 to 2015 for the 30 most forested countries in the world (source: The World Bank IBRD, IDA, 12.07.2016: http://databank.worldbank.org/data/reports.aspx?source=2&type=metadata&series=AG.LND.FRST). 

According to the International Bank for Reconstruction and Development (IBRD) data, in 2016 the countries with the highest forest coverage in the world are Suriname (98% forest area), Micronesia Fd. Sts (92% forest area) and Seychelles (89% forest area). According to Seychelles National Biodiversity Strategy and Action Plan 2015 — 2020[6], mangrove habitat management has received considerable attention over the last 20 years with the development of pilot management projects and ecotourism (boardwalks and canoeing) activities. Suriname strategic biodiversity plan 2012-2016 stated that it is the challenge to convert the concept of sustainability tourist approach into practice[7].

However, it is not only the countries, rich in forests, that practice the most recent forest management practices directed to the investing specific efforts to change legislation in the exploitation of ecosystem forest services. In the early 1980s, Ireland started to implement the policy of increasing forest areas by 17%. In 1990 it recorded only 7-percent coverage in forests (The World Bank IBRD, IDA, 12.07.2016). Since the 1990s mainly private reforestation increased. However, an extended period of time, required for the return of the invested capital, triggered questions about other non-wood forest product – NWFP possible ways of using the forest.  It showed that there is a wide range of NWFP – from leaves, essential oils, tannin, produced by trees to mushrooms, plants, bushes, as well as tourist services and recreation. The study examined a potential market for the main categories of NWFP and revealed the potential and opportunities offered by NWFP (non-wood forest products) as well as development opportunities in the tourist industry[8].

Conclusion

For the legal implementation of forest tourism activities, it is necessary to provide a proper and effective formulation of legal bases. For a (general as well as tourism) innovation-friendly approach to the legal basis for development and renovation of existing forest legislation, following activities should be taken into account:

  1. To use a Forest Ecosystem Services paradigm as a starting point.
  2. To implement interdisciplinary collaboration between tourism and forestry sector.
  3. To establish a national statistical monitoring system for forest tourist activities.
  4. To define rights and duties of all stakeholders (owners and managers, tourist organizations, local community, tourists and other users).
  5. To introduce multifunctional forest management.
  6. To renew the forestry legislation.

Implementation of the above key steps is shown in Table 2. Awareness and constant education of tourism professionals and users about the importance of ecosystem forest services are needed to avoid unnecessary legal conflicts in the further forest tourism development.

Table 2: Tourism innovation-friendly approach to the legal basis for development and renovation of existing forest legislation


[1] Slovenia’s Smart Specialisation Strategy, Akcijski načrt za povečanje konkurenčnosti gozdno-lesne verige v Sloveniji do leta 2020 – Les je lep; EU Sustainable Development Strategy, European Commission 2009; the EU Roadmap 2050 European Commission 2011; Resource Efficient Europe, EUROPE 2020 – A European strategy for smart, sustainable and inclusive growth; The Strategic Research and Innovation Agenda for 2020 of the Forest-based Sector and the Horizons – Vision 2030 for the European Forest-based Sector.

[2] Breznikar, Andrej, Oražem, Damijan (2014). Realization of National Forest Programme in the Fields of Rural Area Development, Support to Forest Owners and Awareness-Raising of the Public (Uresničevanje Nacionalnega gozdnega programa na področju razvoja podeželja, podpore lastnikom gozdov in ozaveščanje javnosti). GozdV, vol 72 (2), 95 – 99.

http://www.dlib.si/stream/URN:NBN:SI:DOC-RPWM7CAX/d67bc499-bb10-41a6-ab76-b903aac5cc19/PDF

[3] Cvikl, Darija. (2018). Forest innovation potential. AIRTH, ISSN 2591-2380, 2018, ilustr. http://www.airth.global/depositview.aspx?dpid=8627&lng=en.

[4] European Commission. (2012). Innovating for Sustainable Growth: A Bioeconomy for Europe, 2012. http://ec.europa.eu/research/bioeconomy/pdf/official-strategy_en.pdf

[5] Slovenia Forest Service … [et al.] (2013). Green Book on payments for environmental services from Mediterranean forests.; edited by Simončič Tina, Matijašić Dragan.  Ljubljana : Zavod za gozdove Slovenije, 93.

[6] GOS (2014). Seychelles Biodiversity Strategy and Action Plan 2015-2020.

[7] Republic of Suriname, Ministry of Labour, Technological Development and Environment. (2013). National Biodiversity Action Plan (NBAP) 2012-2016.

[8] Collier, Pat; Short Ian and Dorgan Jim. (2004): Markets for Non-Wood Forest Products. COFORD, National Council for Forest Research and Development, Dublin, Ireland.

Forest tourism’s need for innovation-friendly legislation Read More »

Forest tourism’s need for innovation-friendly legislation

Darija Cvikl, University of Primorska / Higher Vocational College for Hospitality and Tourism Bled
 
HOW TO CITE:
 
Cvikl, D. (2018). Forest tourism’s need for innovation-friendly legislation. In AIRTH Encyclopedia of Innovation in Tourism and Hospitality. Retrieved: , from http://www.airth.global

Introduction

Except for in rare cases (e.g. in China) Forest Tourism has not been legally accepted yet, nor in legislation nor as a term in tourist dictionary. Although many tourist activities are taking place in a forest for a long time and are included in the current law, many of them haven’t been statistically monitored because there is none legal basis for it. Non-wood forest products (NWFP) and socio-cultural values (SCV) – including income of tourism and recreational forest use as a natural source of capital – are currently not recorded in forest management plans in most countries and their national statistical databases. Despite the fact most forestry and EU development documents[1] foster the tourist function of the forest, forestry legislation is adapting very slowly to the real needs on the demand side of the tourist sector. In existing legal acts, the admissibility of interference with the property right due to the use of forests for tourism and recreational purposes is regulated, but ineffectively. The main issue is how to coordinate free access to the forest and the implementation of tourist activities in the forest with responsible user behavior and nature protection. Free access to forests is not only an asset but also a responsibility. It is threatened by the lack of users’ responsibility and their interests which are not being coordinated with forest management and owners[2].

Relevance for innovation

To establish forest multifunctional management and planning as well as integrate interdisciplinary decision-making between tourist and forest participators it is needed to make a different and innovative approach in understanding the legal acknowledgment of various forest services and their multilateral importance. It is not just the matter of protection of forest as a natural source due to the multifunctional exploitation of the forest, but as well as the correct approach to the definition and recognition of individual products which arise from the forest as a natural capital source. That is why tourist sector (as well as other branches besides forestry and nature preservation sector) should recognize forest ecosystem services and their applicability in various economic activities as a starting point to develop national and regional development strategies and legal basis for multifunctional forest management. The International Bank for Reconstruction and Development has defined forest as the complete ecosystem type almost 15 years ago as the only one among the existing ones (land, cities, seas, islands, mountains, polar areas, coastal areas, land waters, cultivated land) that ensures the use of all ecosystem services and represents one of the natural sources of capital in tourism and wider. Multipurpose and sustainable forest management with the exploitation of all its ecosystem services is still a hot issue today, although it appeared in WCED strategic document in the 1980s already. Awareness of the usefulness of various economic activities will enable interdisciplinary linkage between disciplines, such as tourism and forestry. Forestry profession itself is unable to cope with the tourist demand for forest tourism activities already going on. Together they can achieve positive synergy effects in transferring of knowledge and establishment of an appropriate legal basis for Forest Tourism activities.

The legislation covers dealing with restrictions on property rights as well as with determining the appropriate management approach. The problem is that with the implementation of such legislation numerous dilemmas and concerns appear about restrictions of property rights and the related topics (the use and maintenance of forest roads, garbage disposal, traffic noise, emissions, equipping and arranging forests for tourism and recreational purposes). Good legislation is the one that in practice does not cause any additional tensions and conflicts, but it lowers the chances of conflicts and provides an appropriate balance between the interests of the public and individuals. In most cases, the situation is the opposite, and one of the concerns is, therefore, the efficiency of the addressed legislation – whether it hinders the possibilities and the development of tourism and recreational functions of the forest use. Sustainable use of biodiversity is the base for forest tourism, but with the limitation of negative impacts and sustainability principles, it needs to be integrated into national tourism policy. Therefore, the evaluation of all the forest tourist activities in the country is one of desired action and sub-objectives for the future as well as the implementation of national standards for responsible business practices in the tourism sector.

The correct approach to establishing appropriate legal bases and maintaining the balance between public and private forest use is to understand the sustainable use of all ecosystem services of the forest primarily by the tourist profession (among others).  At the same time, the forestry profession has to become aware of the need for the integration of the tourism and other professionals in the creation of legal bases for forest tourist activities. For preserving, advancing and implementing management processes of the forest ecosystem services for tourist purposes, it is necessary to provide a legal basis for establishing additional forest protected areas first[3].

Relevance for tourism

Some countries around the world have already engaged in the more or less elaborate redefinition of legal bases for the tourist use of the forest in previous years. Europe is 40% covered with forest and wooded land which provides many social benefits, including recreation and tourism[4]. Irrespective of the recognition and the growing significance of SCV services and NWFP, which affect tourism industry, directly and indirectly, the assessment of their effects has been gradually and slowly included in sustainable forest management.  However, as shown in the 2015 MCPFE report, the EU states have started to promote and plan the use of NWFP. Most initiatives and legislation changes refer to setting up conditions for improving the commercial use of ecosystems (Bulgaria, Austria, Croatia, Montenegro, the United Kingdom) and encouraging recreational use of forests (Bulgaria, the United Kingdom, Romania, Ukraine and Slovenia). The efforts, addressing the integration of sustainable management with game animals in sustainable forest management and tourist development of forest habitat is also interesting (Hungary, Croatia, Germany). However, the key implementation measures concerning the use of non-wood goods and services are currently being addressed in only a few EU states. These states have initiated action plans, development of national or regional programs (only Finland, Austria and Spain), research projects (Romania) or subsidies in the field of supporting forest tourist activities (Sweden), (MCPFE, 2015, 130). However, the awareness of local municipalities is raising in last twenty years. For example, regular surveys of the current forest situation are performed by local foresters in Celje region in Slovenia from 2013 in order to implement social functions of the forest on the legal basis and to (main reason) protect urban forest by law[5].

The country’s forest coverage also represents a tourist potential that needs to be legalized so that existing tourism activities can be properly managed and statistically monitored. The leading forest countries are presented in table 1. Some of them have had a substantial increase of forest area since 1990 till 2015 (for example Bhutan and Montenegro, Samoa), while others recorded a decline of forest area (for example Belize, Brazil). The average forest cover of 217 world countries is 33%, while the average forest cover of the 30 most forest-rich countries is 73%.

Table 1: Forest area in % of the land area from 1990 to 2015 for the 30 most forested countries in the world (source: The World Bank IBRD, IDA, 12.07.2016: http://databank.worldbank.org/data/reports.aspx?source=2&type=metadata&series=AG.LND.FRST).

According to the International Bank for Reconstruction and Development (IBRD) data, in 2016 the countries with the highest forest coverage in the world are Suriname (98% forest area), Micronesia Fd. Sts (92% forest area) and Seychelles (89% forest area). According to Seychelles National Biodiversity Strategy and Action Plan 2015 — 2020[6], mangrove habitat management has received considerable attention over the last 20 years with the development of pilot management projects and ecotourism (boardwalks and canoeing) activities. Suriname strategic biodiversity plan 2012-2016 stated that it is the challenge to convert the concept of sustainability tourist approach into practice[7].

However, it is not only the countries, rich in forests, that practice the most recent forest management practices directed to the investing specific efforts to change legislation in the exploitation of ecosystem forest services. In the early 1980s, Ireland started to implement the policy of increasing forest areas by 17%. In 1990 it recorded only 7-percent coverage in forests (The World Bank IBRD, IDA, 12.07.2016). Since the 1990s mainly private reforestation increased. However, an extended period of time, required for the return of the invested capital, triggered questions about other non-wood forest product – NWFP possible ways of using the forest.  It showed that there is a wide range of NWFP – from leaves, essential oils, tannin, produced by trees to mushrooms, plants, bushes, as well as tourist services and recreation. The study examined a potential market for the main categories of NWFP and revealed the potential and opportunities offered by NWFP (non-wood forest products) as well as development opportunities in the tourist industry[8].

Conclusion

For the legal implementation of forest tourism activities, it is necessary to provide a proper and effective formulation of legal bases. For a (general as well as tourism) innovation-friendly approach to the legal basis for development and renovation of existing forest legislation, following activities should be taken into account:

  1. To use a Forest Ecosystem Services paradigm as a starting point.
  2. To implement interdisciplinary collaboration between tourism and forestry sector.
  3. To establish a national statistical monitoring system for forest tourist activities.
  4. To define rights and duties of all stakeholders (owners and managers, tourist organizations, local community, tourists and other users).
  5. To introduce multifunctional forest management.
  6. To renew the forestry legislation.

Implementation of the above key steps is shown in Table 2. Awareness and constant education of tourism professionals and users about the importance of ecosystem forest services are needed to avoid unnecessary legal conflicts in the further forest tourism development.

Table 2: Tourism innovation-friendly approach to the legal basis for development and renovation of existing forest legislation


[1] Slovenia’s Smart Specialisation Strategy, Akcijski načrt za povečanje konkurenčnosti gozdno-lesne verige v Sloveniji do leta 2020 – Les je lep; EU Sustainable Development Strategy, European Commission 2009; the EU Roadmap 2050 European Commission 2011; Resource Efficient Europe, EUROPE 2020 – A European strategy for smart, sustainable and inclusive growth; The Strategic Research and Innovation Agenda for 2020 of the Forest-based Sector and the Horizons – Vision 2030 for the European Forest-based Sector.

[2] Breznikar, Andrej, Oražem, Damijan (2014). Realization of National Forest Programme in the Fields of Rural Area Development, Support to Forest Owners and Awareness-Raising of the Public (Uresničevanje Nacionalnega gozdnega programa na področju razvoja podeželja, podpore lastnikom gozdov in ozaveščanje javnosti). GozdV, vol 72 (2), 95 – 99.

http://www.dlib.si/stream/URN:NBN:SI:DOC-RPWM7CAX/d67bc499-bb10-41a6-ab76-b903aac5cc19/PDF

[3] Cvikl, Darija. (2018). Forest innovation potential. AIRTH, ISSN 2591-2380, 2018, ilustr. http://www.airth.global/depositview.aspx?dpid=8627&lng=en.

[4] European Commission. (2012). Innovating for Sustainable Growth: A Bioeconomy for Europe, 2012. http://ec.europa.eu/research/bioeconomy/pdf/official-strategy_en.pdf

[5] Slovenia Forest Service … [et al.] (2013). Green Book on payments for environmental services from Mediterranean forests.; edited by Simončič Tina, Matijašić Dragan.  Ljubljana : Zavod za gozdove Slovenije, 93.

[6] GOS (2014). Seychelles Biodiversity Strategy and Action Plan 2015-2020.

[7] Republic of Suriname, Ministry of Labour, Technological Development and Environment. (2013). National Biodiversity Action Plan (NBAP) 2012-2016.

[8] Collier, Pat; Short Ian and Dorgan Jim. (2004): Markets for Non-Wood Forest Products. COFORD, National Council for Forest Research and Development, Dublin, Ireland.

Forest tourism’s need for innovation-friendly legislation Read More »

We use cookies to give you the best online experience. By agreeing you accept the use of cookies in accordance with our cookie policy.

Privacy Settings saved!
Privacy Settings

When you visit any web site, it may store or retrieve information on your browser, mostly in the form of cookies. Control your personal Cookie Services here.

These cookies are necessary for the website to function and cannot be switched off in our systems.

In order to use this website we use the following technically required cookies
  • wordpress_test_cookie
  • wordpress_logged_in_
  • wordpress_sec

Decline all services
Accept all Services