Impact Of Holiday Business Seasonality On European Hrm Tourism Essay Example
Impact Of Holiday Business Seasonality On European Hrm Tourism Essay Example

Impact Of Holiday Business Seasonality On European Hrm Tourism Essay Example

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  • Pages: 13 (3425 words)
  • Published: October 19, 2017
  • Type: Research Paper
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Seasonality has been recognised as one of the most typical characteristic of the touristry industry derived from the motion of people ensuing fluctuations in the demand ( Bulter,1994 ; Baum,1999 ) .The phenomenon, its causes and impact on finish parts have been widely researched within the academic literature and frequently seasonality is perceived as a job for the industry.

Seasonality affects the human resource patterns in any cordial reception and touristry concern and it is frequently held responsible for the seasonal employment, underemployment and unemployment ( Jolliffe and Farnsworth, 2003 ) .The form is peculiarly influencing peripheral finishs which experience increased demand ( Baum and Hagen,1999 ) .Due to the fluctuations in demand, some resorts have a really short season enduring four to five months, which creates challenges for human resource directors.

The li


terature turn toing the impact of seasonality on concerns located in peripheral parts is chiefly concerned on schemes how to get the better of seasonality or cut down the impact of it. There are few schemes focused on the HRM.In add-on, small research has been conducted on the specific troubles to HR directors in recruiting and preparation front office employees.

Tourism is one of the biggest and fastest turning sectors in the European community, greatly part to the European economic system ( CORDIS,2008 ) .The industry plays an indispensable function in the employment growing as Europe is the world`s figure 1 finish ( EU,2010

The thesis aims at supplying a better apprehension of the impact of seasonality on HRM patterns in relation to recruiting and preparation front office employees in resort hotels in Europe. The aims to accomplish the purpose of this survey are: To place

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and critically analyze the literature in respects to seasonality and its effects to human resource direction patterns within the cordial reception industry in peculiar forepart office employees in resort hotels in Europe. Investigate the current patterns applied by different resort hotels in Europe and to what extent the seasonality affects the HRM. Measure the most popular attacks outlined in the literature. Provide recommendations. This undermentioned subdivision will be focused on the type of research methods used to finish the thesis.

The first measure in the research procedure was to bring forth a research thought that would be interesting to analyze. There is a scope of techniques that can be used to happen and choose a subject and the procedure used for this thesis, named as rational thought ( Saunders et al.,2003 ) , involved consideration of author`s involvements and taking into history yesteryear and current undertakings. However, Altinay and Paraskevas ( 2008 ) suggest that using more than one technique can merely be good to the undertaking, therefore relevancy trees, a originative technique, has been used to guarantee author`s involvement and motive will keep throughout the research procedure ( Saunders et al.,2003 ) .Once a research thought was generated, in order to accomplish author`s ends, aims were established ( Zikmund et al.,2010 ) , which were amended a few times during the research procedure.

In order to accomplish the purposes and aims of this survey, the writer has chosen to utilize merely secondary research informations. Secondary information is defined as. Literature reappraisal is the initial measure, in order to derive the cognition required to put the thesis aims ( Veal,1997 ) .This allowed the writer to reexamine

the bing literature and go more cognizant of the bing cognition related to the research subject ( Brotherton, 2008 ) , and hence place a spread within so literature. Academic literature and diary articles have provided information about HRM patterns and touristry seasonality

In order to be able to analyze the impact of seasonality on HRM patterns in resorts for front office employees, it is necessary to understand the phenomenon seasonality. Hence, this chapter will critically reexamine and measure existing literature by foremost supplying a definition of seasonality, continuing so to its causes and eventually the impact of its happening will be assessed.

Seasonality, a cardinal feature of the touristry, is a major issue for the industry as it can put a great force per unit area on concerns in all facets: societal, fiscal and environmental. There is a assortment of definitions of seasonality within the academic literature, depending on the context ( Butler,1994, Baum,1999 ; Butler,2001, Bar-On,1975, Hartman,1986 ; Hinch and Jackson,2000 ; Mitchel and Hall,2003 ) .Generally considered as a peaking of demand at different times of the twelvemonth ( Kennedy,1999 ; McEniff,1992 ; Krakover,2000 ; Moore,1989 in Baum and Hagen,1999 ; Jang,2004 ) and has a spacial constituent expressed in footings of figure of visitants, employment and hotel tenancy rates ( Butler and Mao, 1997 ) . Baron ( 1973 ; 1999 ) suggests that seasonality is concerned with as the effects happening every twelvemonth due to climate alterations or national vacations, defined by Jolliffe and Farnsworth ( 2003:312 ) as cyclical fluctuations in touristry demand ''

The phenomenon is recognised as one of the most prevailing and least understood characteristics of touristry ( Jolliffe

and Farnsworth,2003 ) doing major jobs to the touristry industry ( Krakover,1999 ; Cooper et al.,2005 ; ) . It has been argued by Butler ( 1994 ) that seasonality can be measured in the figure of visitants and employment, ensuing fluctuation in demand and puting a great force per unit area on hotels located in peripheral resorts ( Murphy,1997 ) .

Before continuing to the causes of seasonality, it is indispensable to be noted that in this paper seasonality is referred to the phenomena, which has stable and well-established seasonal forms ( Witt and Moutnho,1995 ) .

Seasonality occurs non merely in touristry but besides in a scope of other sectors, and the causes of seasonality in general have been classified into three groups: conditions, calendar effects and timing determinations ( Hylleberg,1992 in Koenig and Bischoff,2005 ) .Similarly the causes of seasonality in touristry have been categorised by assorted writers. Table twenty presents a sum-up of the cardinal writers and causes.

It is by and large established that seasonality can arise from two factors, `` natural '' ( physical ) and `` institutional '' ( societal and cultural ) ( BarOn, 1975 ) affecting both the beginning and finish part ( Butler and Mao,1997 ) . There is a high degree of mutuality between the two ( Baum and Lundtorp, 1999 ; Hartmann, 1986 ) , shown in figure twenty below. Natural seasonality is the consequence of cyclical climatic fluctuations such as rainfall, temperature and snowfall ( Baum and Lundtorp, 1999 ; Butler and Mao, 1997 ) . As every state has different climatic forms ( BarOn,1975 ) some European coastal resorts located on the Mediterranean have

higher demand in the summer compared to resorts in Alps where winter is the high season ( Shaw and Willams,1998 ; Andriotios,2005 ) .These causes affect concerns every twelvemonth in the same manner, yet there are some differences over the old ages as whether can non be exactly predicted ( BarOn,1975 )

Institutional seasonality, on the other manus, is the consequence of consumer determinations based on cultural, societal and/or spiritual factors and hence less predictable than natural ( Butler, 1994 in Baum and Lundtorp,1999, Hingham and Hinch,2002 ) .School and public vacations such as Christmas and Easter are playing an indispensable function in the volume of touristry demand as people have the clip to travel on vacation during those periods ( BarOn,1975 ) .

In add-on to the by and large recognised natural and institutional factors of seasonality, Butler ( 1994 ) identifies other three causes: societal force per unit area, featuring events, one of the newest signifier, and inactiveness or tradition. Inertia is a factor related to the inclination of people to take vacations at certain clip of the twelvemonth besides the fact that it is no longer necessary, for illustration after kids have left school ( Butler,1994 ) .However, Hingham and Hinch ( 2002 ) imply that societal force per unit area and featuring causes can be classified into `` institutional '' class.On the other side, Hinch and Jackson ( 2000 ) argue that inertia '' can non be classified as a cause of seasonal demand. The identified causes of seasonality by Butler convergence to great extend with the work of Frechtling ( 1996 ) , who identifies four chief causes of seasonality in touristry

demand, extended to five by Baum and Hagen ( 1997 ) and displayed in Table twenty.

Based on the findings of the cardinal writers and taking into consideration the spacial constituent of seasonality ( Butler and Mao,1997 ) , Lundtorp et al. , ( 1999 ) classified all the causes into pull and push factors shown in diagram twenty Beginning: Based on Baum ( 1997 ) , Frechtling ( 1996 ) , Butler ( 1994 ) , Butler and Mao ( 1997 ). This thesis will be focused on the seasonality caused by natural factors, which are predictable and repeat comparatively at the same clip of the year.The clime in the having country will be the pull factor of seasonality.

Based on the fluctuations in the demand, seasonality is presented in three different forms identified as individual extremum, most of the summer finishs in Europe ( e.i. Mediterranean finishs ) ; two-peak, frequently apparent in mountain resorts, for illustration in the Alps, where there are two seasons-summer and winter ; and non-peak seasonality largely go oning in urban countries ( e.i. London, Paris ) ( Butler and Mao,1997 ) . Despite the fact of cognizing the forms of seasonality every bit good as the beginnings, the phenomenon is still seen as a complicated characteristic of touristry ( Butler,1994 ) , as the factors act uponing seasonality are extremely interrelated in both beginning and finish parts ( Butler and Mao,1997 ) , which brings a figure of issues for direction of concerns located in peripheral countries, such as resort hotels. The difference in demand generates seasonal fluctuations such as extremum, shoulder and off-peak season ( Kennedy,1999 ) .


Much of the literature on seasonality recognises that the phenomenon can hold important impacts on cordial reception concerns and it is frequently viewed as a challenge ( Jolliffe and Farnsworth,2003 ) .Taking into consideration the identified causes of seasonality above, it has become clear that the causes are frequently unwieldy by any cordial reception concern, although this is non ever the instance ( Butler,2001 ; Witt and Moutinho,1995 ) .The impact of seasonality can change significantly based on the location of the hotel ( Baum and Hagen,1999 ) .

Seen as a major job by most writers in the touristry sector, seasonality is frequently perceived as conveying a figure of disadvantages to the concern itself every bit good as to the populace and part, in relation to employment, costs and installations and late raised environmental facets ( Buler,1994 ; Hartmann,1986 ; Witt and Moutinho,1995 ) .

From an economic point of position, seasonality can postpone any investings into the concern due to the short continuance of high season and the instability of return on income ( Commons and Page,2001 ; Goulding et al. , 2004 ; Jang,2004 ; ) . Furthermore, there is a high hazard of under- and over- use of resources. It is indispensable to advert that there is a demand to cover one-year fixed costs throughout the high-season and bring forth net incomes in a limited clip ( Adler and Adler,2003 ; Duval,2004 ) , which requires a good quality hard currency flow direction ( Cooper et al.,2005 ; Commons and Page,2001 ) .As a consequence, concerns are forced to increase monetary values during peak seasons ( Commons and Page,2001 ) and cut down

rates in shoulder periods to pull clients ( Koenig and Bischoff,2005 ) . This is peculiarly impacting little concerns, for which seasonal closings would be the most cost-efficient solution ( Getz and Nillson,2004 ) .

Another serious job of seasonality is the consequence on employment ( Ball,1989 ; Krakover,2000 ) . Seasonality creates seasonal employment, underemployment and unemployment ( Jolliffe and Farnsworth,2003 ) . The irregular fluctuations in the demand, creates form of using people on a seasonal footing, which leads to a quotable cost of enlisting and preparation ( Cooper et al. , 2005 ) . The high enlisting costs caused by seasonality ( Mourdoukoutas,1988, Krakover,2000 ) leads to decrease in wage bundles ( Commons and Page ; Goulding et al.,2004 ) . In add-on, the effects of seasonality upon employment in the touristry industry have been farther explored and it is argued that employees lack sufficient preparation and calling chances every bit good as committedness ( Jang,2004 ; Krakover,2000 ) , which leads to jobs in quality service ( Shaw and William,1997 ; Baum and Lundtorp,2001 ) .

An extra country impacted by seasonality, environmental protection and safety, has been investigated by Witt and Moutinho ( 1995 ) . The fluctuations in demand can harm the local environment by making high degree of air pollution, noise and increased possibility of offense and terrorist act due to overcrowding ( Butler,2001 ; Jang,2004 ) .It is besides discussed in the literature that the high demand at certain times of the twelvemonth puts a force per unit area on conveyance system, heavy traffic and exhaustion of the substructure ( Commons and Page,2001 ; Ashworth and Thomas,1999 ) .


the literature provides an feeling that seasonality in touristry is a major trouble, seen as a `` 'problem ' to be 'tackled ' at a policy, selling and operational degree '' ( Baum and Lundtorp,2001, p.2 ) . However, some writers have noted that besides the limited research on the advantages of seasonality to finish countries, there are certain benefits of the form ( Butler,1994 ) .One country of accent is the environmental side, as merely the off-season allows the environmental force per unit area to be reduced ( Nilsson and Getz,2004 ) and resource to be recovered ( Witt and Moutinho,1995 ) .Further benefits are recognised in relation to employment ( Krakover,2000 ; Commons and Page,2001 ) .The seasonal demand provides a demand for insouciant and parttime work leting locals to gain some excess income ( Krakover,2000 ) .

The local community can see seasonality in a positive mode ( Lundtropt et al. , 1999 ) as low-demand seasons provide occupants with clip to rest ( Goulding et al.,2004 ) and this is indispensable for little `` household concerns '' where owners` part is high ( Nilsson and Getz,2004 ) .In add-on, the force per unit area from congestion in the high season on conveyance system ( Commons and Page,2001 ) is reduced, leting clip for Reconstruction on the substructure if needed.

Seasonal work is characterized as being short term ( Lautsch, 2002 ) repeating on an one-year footing depending on the demand and it will stop normally at a specified clip ( Marshall,1999 ) . Often seen as unskilled, extremely pressured and underpaid ( Lee-Ross,1999 ) , seasonal work tends to pull less educated workers

( Koenig and Bischoff,2005 ) . The seasonal labor market in the touristry industry consist of high proportion of immature workers ( Joliffe and Farnsworth,2003 ; ) .According to Lee-Ross ( 1995 in Lee-Ross,1999 ) seasonal employees are frequently expected to work long `` unsociable '' hours.However, despite all the bing research on seasonal work there is still argument over the definitions and differences between contingent, impermanent and non-standard employment ( Ainsworth and Purss,2008 ) .Those footings will be used interchangeably throughout this paper.

While seasonal work is unstable, it has been acknowledged the possibility of seasonal re-engagement ( Ainsworth and Purss,2008 ) .Besides the fact that contingent workers have been characterized as being less motivated, less dependable and less committed ( De Gilder,2003 ) , it is really realistic to presume that due to the cyclical nature of seasonality, employees might develop an inexplicit outlook towards the administration ( Ainsworth and Purss,2008 )

The nature of seasonality creates unstable demand for cordial reception and touristry services which makes the industry unattractive to possible employees ( Pizam,1982 cited in Krakover,2000 )

As noted earlier, cordial reception and touristry employment is influenced by seasonality, supported by assorted writers in the academic literature ( Ashworth and Thomas,1999 ; Flognfeld,2001 ; Krakover,2000 ) .Jolliffe and Farnsworth ( 2003 ) argue that seasonality has a profound impact on the industry employment taking to high fluctuations. As a consequence high degrees of short term employment and high degree of off-season unemployment are apparent ( Baum,1999 ) . Krakover ( 2000 ) looks at the accommodations of labor to fluctuations in demand researching the tendencies in eight tourer Centres in Israel.His survey indicates that

besides the fact of cognizing the forms of seasonality, hotel operators are still unable to fit their enlisting and dismissal processs to the demand.

The touristry industry as a general and in peculiar resorts depend on the seasonal employment as it is a requirement to present client service ( Ainsworth and Purss,2009 ) .The high degree of human engagement in the bringing of services topographic points a great accent on the function of human resorts as through the right attitude of employees quality can be improved ( Baum and Lockstone,2008 ) .As the seasonality causes workforce instability, the force per unit area on the operational criterions is greater, necessitating sufficient preparation of employees ( Baum,1995 ) , frequently deficient for seasonal workers ( Baum,1999 ) and short in clip ( Krakover,2000 ) .Furthermore, the greatest issue being enrolling ( Adler and Adler,2003 ) , seasonality is undesired by quality employees as they prefer year-around employment ( Getz and Nilsson,2004 ) .However, Adriotios ( 2005 ) argues that seasonality has created a seasonal balance in the employment in combination of occupations in touristry and agribusiness based on his research of seasonality in the island of Crete.

It has to be noted that the success of HR patterns in extremely seasonal concerns is dependent on company`s concern scheme. Jolliffe and Farnsworth ( 2003 ) suggest that some companies respond to seasonality by `` encompassing '' it intending that the concern accepts the forms of seasonality, whereas others `` challenge '' the seasonal nature of their sector seeking to widen their season. Getz and Nisson ( 2003 ) place similar schemes based on research in household concerns on the island

of Bronholm, Denmark.Their survey suggests that concerns can follow either get bying or battling schemes, where get bying involves actions such as shuting the concern, while the latter attack is characterized by remaining open all twelvemonth unit of ammunition.

The labor market in touristry industry is with limited accomplishments and issues such as formal instruction and preparation are frequently apparent in the sector ( Baum,2008 ) .In peripheral parts where hotels are extremely influenced by seasonality, there are legion challenges in footings of using staff able to present service quality ( Baum and Lundtorp,2000 ) .The impact of seasonality on employment has been farther investigated by Baum and Hagen ( 1999 ) in the environment of little islands.

There are several features of the touristry labour market chiefly related to the function of labor in the bringing of services summarized by Shaw and Williams ( 2002 ) .One of the most common scheme in labour market is the 1 mentioning to the theoretical model of Atkinson, who distinguished the workers between nucleus and peripheral and seasonal workers belong to the latter group. The nucleus workers are functionally flexible full clip employees with occupation security and high wages, willing to travel between sections. The Peripheral work force, on the other site, is a secondary labor frequently recruited on a portion clip, impermanent or short-run contract as a response to increase in demand. This group is numerically flexible. The theoretical account of Atkinson, `` flexible house '' , is strongly linked to the theoretical model of Doeringer and Piore ( 1971 in Shaw and Williams,2002 ; Krakover,2000 ) of internal and external labor market.

Discussion of the deductions of seasonality

to human resource direction in resort hotels in the literature is really limited, yet there are some groundss. Few writers, Baum and Conlin ( 1994 ) and Conlin and Baum ( 2003 ) have focused on the issues faced by touristry concerns in distant countries in footings of the impact of seasonality and the limited endowment work force within the local market, concentrating within the context of little island locations.

Similarly, Baum and Hagen ( 1999 ) turn to the impact of seasonality on employment in peripheral, cold-water touristry parts, chiefly but non merely within the environment of little islands. The most comprehensive survey on seasonality and the direction of flexible work force in resorts is by Adler and Adler ( 2003 ) .They explore the employment of workers within a hotel in Hawaii, looking at the contingent workers employed in resort hotels as a solution to seasonality.

A peripheral, distant and insular countries have been defined as the 1 in a distance from urban parts, being barely approachable to and from the markets ( Brown and Hall,2000 ; Buhalis,1999 ) .In this context, peripheral topographic points are besides characterized with certain qualities such as natural beauty such as beaches. Often if developed and non managed good, peripheral finishs suffer from overcrowd and environment force per unit area. Botterill et al. , ( 2000 ) research some of the cardinal issues that surround the context of fringe in the Welsh touristry industry placing cardinal differences between nucleus and peripheral countries. Seaside resorts are typically located in peripheral countries ( Botterill,2000 ) pulling tourers with summer heat, Sun and beaches ( Bramwell,2006 ) .

However, whether influences the coastal

resorts and restricts the length of season ( Wanhill and Buhalis,1999 ) . For illustration, Mediterranean seaboard resorts in Greece have more than 70 % of their tourers between May and October coercing hotelkeepers to shut down for remainder of the twelvemonth ( Buhalis,1999 ) . However, there are figure of concerns that stay open all twelvemonth unit of ammunition, for illustration in Costa del Sol, Spain. Islands are considered as peripheral finishs and Konstantinos ( 2000 in Bramwell,2000 ) have analysed the island touristry in Greece proposing that those finishs suffer from isolation and scarceness of beginnings supported farther by Buhalis ( 1999 ) .As the seasonality is strongly act uponing such locations, concerns are faced with human resource challenges.

In recent old ages, it has been widely recognised the benefits for concerns when human resource policies are formed on the footing of the corporate scheme ( Michie and Sheeten,2005 ) . This is defined as Strategic human resource direction ( SHRM ) , enabling the house to accomplish its ends, by using people who will supply the beginning of competitory advantage ( Writhg and McMahan,1992 cited in Jollife and Farnsworth,2003 ) .It screens all HR schemes in a house and the manner they impact on the public presentation ( Boxall, Purcell and Wright,2007 ) .

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