Hotel sector’s transformation map aims to develop talent pipeline

SINGAPORE — A campaign to raise awareness about the “good jobs and careers” in the hotel industry is expected to be launched in the first quarter of next year, as the sector seeks to build a strong pipeline of talent as part of its industry transformation map (ITM).

Annually, about 200 new PMET jobs will be created until 2020 as part of the initiatives under the hotel ITM, said Minister for Trade and Industry (Industry) S Iswaran.

“Not many locals are aware of the good career possibilities in the hotel industry. There is a need to further galvanise interest in hotel careers … There are many good rank and file hotel jobs with promising career progression prospects. In fact, rank and file hotel employees on average enjoy one of the highest wages in the lifestyle cluster,” said Mr Iswaran as he announced the launch of the hotel ITM.

Noting the various efforts under way to redesign jobs to attract new blood, Mr Iswaran on Monday (Nov 21) also called on the industry to adopt progressive HR practices, pointing out that about one-fifth of staff in housekeeping functions are more than 55 years of age, with many retiring in the next few years.

“Besides embracing technology to reduce our reliance on manpower, we need to accelerate job redesign to make our hotel jobs more appealing to younger workers and allow them to develop different skill sets,” said Mr Iswaran, adding that the hotel industry’s future needs will require personnel skilled in data analytics, customer relationship management and revenue management.

The hotel industry comprises about 400 properties, employs about 33,000 workers and contributes close to 1 per cent of Singapore’s gross domestic product.

“The outlook for the industry continues to be positive … However, achieving the same growth as in the past will be increasingly difficult unless we transform the hotel industry. We cannot continue the same model as in the past,” said Mr Iswaran.

As such, the hotel ITM is focused on four key areas: The building of manpower-lean business models through productivity, developing new solutions through innovation, growing businesses through internationalisation, and developing a strong talent pool.

To guide hotels in identifying and implementing productivity initiatives, the Singapore Tourism Board (STB), Workforce Singapore and McKinsey & Company have developed a four-month programme called the Lean Hotel Initiative. The initiative, which is scheduled to begin early next year with 16 hotels, will see participants learn how to identify and implement productivity through both field and classroom training.

And as part of plans to help older hotels redesign existing infrastructure to implement productivity-enhancing solutions, STB in April this year launched a retrofitting grant that Mr Iswaran urged hoteliers to tap on.

Additionally, the Government, industry and solution providers are also developing solutions to transform guest experiences and business processes. One example is the use of RFID technology in hotels to manage uniforms and linen, which has led to average man-hour savings of up to 60 per cent.

The industry is also taking the lead to find new solutions to overcome industry pain points. To develop solutions, a Hotel Innovation Committee (HIC) was set up in February this year. The HIC will look into piloting industry-wide initiatives that leverage on economies of scale.