There is no doubt that AI and other technologies are disrupting the hospitality industry. New tools for automation, guest messaging and analytics are already being used widely, and others such as AI and robotics are rapidly developing. As such technology becomes more common in daily life, customers will expect the same conveniences and personalization in their experiences with a hotel, restaurant or airline.
Accelerated Progress
The impact of the pandemic on both the pace of digital technologies and workplace expectations has been looked at extensively. The need for social distancing and remote work accelerated or in some cases created our acceptance of things like video conferencing and digital menus; while many of us are glad now to be back in the office, these new ways of doing things won’t disappear. Chatbots have become ubiquitous and are developing to become more useful than a simple tool to answer common questions; many customers prefer them as long as the information or service provided is fast and accurate. At the same time, most hospitality and tourism businesses will have greatly scaled back staffing and many are struggling to return to pre-pandemic numbers, making the potential efficiencies technology can provide essential.
Risk and Reward
There are many benefits to implementing new tools and technology, but we must be careful as well to choose wisely; if the usefulness is not carefully considered or implementation done poorly, tech can easily become a source of frustration for employees and customers alike.
Consider, for example, the use of robots – a relatively new addition which more businesses are trying out as a way to combat staff shortages (and, when necessary, to reduce direct human contact). While it’s true that a robot can deliver room service and towels to a hotel guest or act as a host in a restaurant, the technology isn’t yet fully where the industry needs it to be. They are often slow and can’t respond to requests or complaints, meaning the customer needs to take an extra step in finding someone to assist. Staff, meanwhile, may spend more time trying to solve technical glitches than they would have to simply complete the task themselves. The technology will certainly progress, and businesses which successfully incorporate robotics first will have an edge on the competition, but in the meantime there is still a level of risk involved.
Other forms of technology are already being used more commonly and are proven to be useful tools. Revenue management, once only affordable for larger brands, has become much more accessible through revenue management software such as EzRMS, which automates much of the administrative side while also providing analytics and data to help inform decision-making. Similarly, reputation management is easier with software that automatically collects and analyses customer reviews; in some cases, it can also generate automated responses. Other guest messaging benefits include automated surveys and texts to check satisfaction or send pre-arrival messages. Upselling can also be automated, and has been proven to drive higher conversions and higher revenue.
In addition to analytics and messaging, technology can help staff to monitor operations both to plan and to respond in real time. ‘Smart rooms’ which offer guests such conveniences as voice control and different light settings can also help to monitor occupation and make adjustments to save electricity. Housekeeping and engineering can use software to track check ins, check outs and reported requests or defects to better direct workflows. Bellman can tag and track guest luggage. New innovations are regularly being introduced into the market, and hospitality businesses will be wise to stay up to date.
Adapting, Upskilling and Reskilling
With new technology, however, comes the need to ensure that existing teams are trained to use anything implemented; both current hospitality workers and the next generation must be prepared for a future in which customer service by humans and technology, including AI-enabled programs and robotics, will be integrated. Younger generations especially will expect this, and many hospitality businesses will struggle to remain competitive if they cannot deliver.
Adapting
In many cases, both front and back of house operations will need to adapt to incorporate new tools while retaining the expected level of customer service. Many hotels, for example, are already moving towards automated check in and check out, but in most cases and especially in the luxury sector there are still smiling Receptionists available to help. These Receptionists will need to be fully trained both on how to assist guests with the online process and to perform it themselves, but if done well the staff should have more time to focus on guest engagement and satisfaction. This will also help with staffing shortages, as fewer people will be required to manage peak periods or administrative tasks. Most businesses in the industry will be able to find parts of their operations where automating routine and time-consuming work improves efficiency and lets their teams keep focus where it should be – on the customer.
Upskilling
Introducing new tools and technology, of course, means that everyone who uses them must be upskilled so that they use them effectively. Business leaders should consider the desired outcome and where relevant get input from their teams on where the real needs are; focus on implementing tech which will have a real and positive impact. By getting employees involved, they will be more engaged both in the new system’s use and in the upskilling it will require.
Reskilling
At one time, soft skills such as those which fall under emotional intelligence were seen as the most essential for hospitality workers. And yes, these are absolutely still required! Empathy, kindness, integrity and more are needed to provide guests with the best possible experience as well as to respond when something goes wrong; so far, AI isn’t up to the challenge. Some businesses, in fact, may find it necessary to conduct training for their teams in order to upskill their soft skills, as automation frees them to spend more time with their customers.
What is inevitable, however, is that the incorporation of technology will mean that hospitality workers also must have the hard skills to monitor and maintain its use. Hospitality schools will need to incorporate this as part of their curriculums, and businesses will need to reskill staff who may have previously had no tech usage as part of their roles. This may meet with some resistance, which makes it all the more important both to choose technology which solves real problems and to train teams well; if they understand the reason and become confident in its use, most staff members will adapt.
The Future of Work
You only need to look at the furor around ChatGPT or the talk about the metaverse and virtual ‘experiences’ to see AI and other technology will continue to develop and disrupt. Hospitality businesses are slow sometimes to change due to high costs and low margins, but we will have to embrace these new tools and the evolving expectations of both guests and staff to keep the industry relevant and competitive.