An Analysis of the Methodology Adopted by Hotel Industry for Measuring Employee Productivity and the Challenges Faced therein with Special Reference to Pune, Hyderabad & Bangalore Cities

Productivity management is a big challenge to organizations especially when the product is in the form of a service. The characteristics of service industry make productivity management in such industries more difficult and challenging. Hotel industry being a part of such a service industry faces a similar problem.

This study is aimed at analyzing the challenges faced by hotels in measuring employee productivity and to suggest the most suitable method of measuring employee productivity in hotel industry. In an effort to do so, a survey in the form of a questionnaire and interviews was conducted from the sample comprising of 365 hotel employees from the management and the associates categories to understand their views on the entire process.

The findings of his research state that 'Intangible Product' is the biggest challenge in measuring employee productivity in hotels and "Number of guest praises / positive feedbacks received per department / person" and "Percentage of repeat guests generated" are the most suitable methods to measure employee productivity in hotels. However, a significant difference has been observed in the comparative study of hotel industry of Pune, Hyderabad&Bangalore cities.