A Study on HR Practices on employee work Engagement in Hospitality Industry

Examining the Impact of HR Policies on Job Engagement in the Hospitality Industry

by Raman Kumar*, Dr. Pardeep Saini,

- Published in Journal of Advances and Scholarly Researches in Allied Education, E-ISSN: 2230-7540

Volume 17, Issue No. 2, Oct 2020, Pages 664 - 670 (7)

Published by: Ignited Minds Journals


ABSTRACT

A competitive edge is essential for organizations in today's difficult business climate. The human dimension may provide organizations a lasting advantage over their competitors in today's VUCA climate, organizations have learned. Consequently, it has become imperative for organizations to guarantee that their staff is fully engaged in order to achieve their goals. One of India's most important industries is the hospitality sector. As a high-quality service sector that relies heavily on its workforce, the hotel industry's success is directly tied to the quality of its customer service. As a result, this study examines how hotel workers evaluate their employer's HR policies and how this affects their job engagement. As part of the investigation, it attempts to determine if the link is mediated by the perception of organizational support.

KEYWORD

HR practices, employee work engagement, hospitality industry, competitive edge, human dimension, VUCA climate, organizations, staff, goals, India, hospitality sector, hotel industry, customer service, employer's HR policies, job engagement, investigation, perception, organizational support

INTRODUCTION

India's very powerful global position makes it ideal for a variety of industries, including BPOs, IT giants, large manufacturing units, tourism, hospitality, and a slew of others. As a result, The Indian market is growing at breakneck speed, with the service sector dominating across all industries. One of the major industries is service (hospitality), which has underlying roots all over the globe. All industries, it is maintained, are service providers in today's society; yet, the extent to which they do so differs. The hotel and tourist sectors have become associated with the phrase "service."(1) The hotel sector in India is no exception. When it comes to the service industry, it is noted that it is extending as much as possible thanks to increased capital investment, greater execution, and the growth of service providers all over the globe. The hotel sector is intertwined with tourism, and India's hospitality Industry has grown as a consequence of the tourist industry's expansion. In addition, the hotel sector has benefited from greater business prospects and India's growing economy. Individuals, or workers, are at the heart of the tourist and hospitality industries; in some ways, it might be said that everything revolves around people in the service business. In today's ever-changing business climate, human capital is the most significant and crucial asset that should be used. Long-term strength is provided by the workforce. As a result, it becomes critical to approach workers in a meaningful manner with a definite end goal in mind in order to achieve beneficial results. Employees must be completely devoted to their job in order for the ultimate results to be satisfying to both the person and the firm.

Employee Engagement

Employee involvement has been characterized by a variety of scholars. However, according to the researcher's interpretation of the notion, it is an employee's readiness to go the additional mile to satisfy consumers and help the company achieve success in terms of acquiring a competitive edge and financial advantages.(2)

Understanding the Concept of Engagement

Because an engaged workforce creates superior business outcomes, the word engagement requires a deeper understanding. When an organization's staff appreciates their employer and helps to the accomplishment of organizational goals, it is said to be engaged. Personal goals for advancement, incentives, and remuneration may also be realized, resulting in engagement. The following facts should be the fundamentals of an organization's understanding of the word engagement:

  • Good line management
  • Clear and accessible HR policies
  • Two-way communication
  • Employee well-being
  • A focus on development

The researcher proposes a paradigm that includes all aspects of employee engagement. The

engagement models. Goal and role clarity are the cornerstones of cognitive engagement. It refers to having a good awareness of the organization's overarching aims and goals in order to have a clear idea of what the job entails.

India's Hospitality Industry

As a result, the Indian hospitality industry has emerged as a major contributor to the growth of the services sector and the Indian economy. According to IBEF, India's tourism and hospitality sector's direct GDP contribution climbed 23.6 percent in 2017 to Rs 5.9 trillion (US$ 91.3 7 billion). Additionally, in 2017, tourism contributed a total of 9.4% of India's GDP, was the country's third greatest source of foreign currency, and was the country's seventh largest source of GDP. Tourism in India has a bright future because of the country's rich cultural and historical history, biodiversity, distinct terrains, and a wide range of natural beauty. Tourism not only generates a significant amount of foreign currency money for our country, but it also employs a big number of people. Tourism-related FEEs increased by 8.30 percent year on year to US$ 23.54 billion from January to October 2018. (3) The wild rush to India for business prospects has increased accommodation prices and occupancy levels in India over the previous decade and a half. Even the cheapest hotels charge USD 250 per day. According to the World Travel and Tourism Council, India is now ranked 18th in terms of business travel and will be in the top five by the end of this decade. According to sources, demand will outstrip supply by at least 100 percent over the next two years. Five-star hotels in major cities assign the same room to different customers more than once a day, getting almost 24-hour rates from both visitors against 6-8 hours use. Because of the demand-supply imbalance, 'Hotel India' room prices are expected to grow by 25% yearly and occupancy by 80% over the next two years. MNC hotel industry behemoths are rushing to India and forming joint ventures to get a piece of the action. (4)

Effect of Employee Engagement on Indian Hospitality Industry

Employee engagement is crucial for every company that wants to retain its best staff. It is critical for the smooth operation of the organization and the efficient use of human resources. Organizations cannot thrive for extended periods of time without employee involvement. The Ministry of Tourism, Government of India, has established the idea of "Atithi Dev Bhawan" to provide better hospitality services to tourists. If employees in the hotel industry are enthusiastic about their jobs, they will undoubtedly deliver superior service to their customers. The

  • Employees that are engaged are more likely to remain with the company and care about its goods and services.
  • They are enthusiastic about hospitality and customer service.
  • Guests form emotional attachments to engaged staff, and the guests become linked to the business, returning again and again.
  • Customer satisfaction and service levels increase when personnel are engaged.
  • A high-energy working atmosphere is created by engaged personnel.

When it comes to HR, the current state of hotel HR practices undervalues its importance, which leads to low levels of employee engagement to the organization and the work; it is a persistent and vital problem for all hotel managers. There is a lot of evidence that working in the hospitality business may be stressful and that many workers are susceptible because of their poor working conditions and low earnings. There was a high incidence of casualization and worker turnover, which is also in line with previous research. As a result of this apparent congruence of aims as well as a managerial style that may be regarded as Unitarian, there was no overt friction between management and workers.

LITERATURE REVIEW

Mishra et al. (2016) According to this theory, employees who are engaged in their work go above and beyond their job duties, are more likely to stay with their company, are less likely to look for other employment, are more likely to perform at their peak, are more likely to promote their company to others, and so on. (6) Wright et al., (2015) According to them, a well-functioning HR system is a "invisible asset" that may help an organization improve its performance. HR policies and practices and programs cannot be purchased by any type of competition according to these thinkers. This makes it impossible to mimic the HR procedures, which are inherently route driven. This RBV perspective emphasizes the importance of internal resources and ensuring that the organization's human capital is properly invested (Barney, 1991). They believe that an organization may generate and maintain a competitive advantage by ensuring that human resources procedures are progressive, which in turn increases an organization's capabilities and so builds on the company's knowledge and assets.. Organizations may gain a competitive edge by developing and executing programs and processes that foster and encourage employee growth and development. Farndale (2015) financial resources, team atmosphere and employee participation in decision making all have a good impact on employee engagement in the United States, the Netherlands, and Mexico. According to Thompson et al. (2015), high levels of psychological capital have both a direct and an indirect impact on employee involvement. (8) Huselid (2015) in a study by the US Department of Labor in 1993, certain activities that were part of a high-performance work system were highlighted. Among these "best practices" are recruitment and selection systems, training systems, participation programs, information sharing methods, attitude assessment systems, performance appraisal methods, grievance procedures, job design processes, promotion processes, and compensation management and rewards. Sixteen practices have been identified by Pfeffer (1994) based on the RBV as contributing to the maintenance of a competitive advantage. Many studies have demonstrated that the implementation of human resources policies like as training, employment stability and incentive compensation may lead to increased production and profit. (9) Armstrong M. (2015). said that even if one employee receives preferential treatment, the relationship between the company and the individual is one of reciprocity. One side is expected to get something back in return for delivering services to the other in the future, according to studies. Anyone who gains anything of value from the other person feels obligated to give it back. This is a two-way street: Eisenberger asserts that when employees feel appreciated and supported by their employers, they return the favor by exhibiting the appropriate attitudes and behaviors toward their employers. It's Saks' belief that people who get varying levels of resources from an organization are more likely to decompensate it by engaging in diverse ways. (10) Naidoo and Martins, (2014) it is via this study that a framework of need-satisfaction may be regarded as a definition of involvement. Disengagement and engagement are two concepts that he discussed. Employees are more likely to be engaged if they are happy with their psychological well-being, according to the study. a) Psychological meaningfulness- which is reliant on task qualities, job features, and work relationships - this employee gets through. A) Interpersonal interactions, group dynamics, management style and processes, and organizational norms impact psychological safety b) c) psychological availability — this is based on the employees' physical and emotional stamina, sense of well-being, and involvement in extracurricular activities. (11) perceptions about their leadership, culture, and organizational structure are taken into account. The second aspect, known as the emotional factor, emphasizes the degree to which individuals are motivated and committed to their work. Behavioural factors include the amount of effort that individual devotes to their task. (12) Ernst & Young (2012) As a consequence of their investment in employee engagement initiatives, the firm saw a 15 percent increase in revenue. Redesigning employee involvement, training programs and measurement for the same helped the executives manage this culture transition process. (13) Bakker (2007) discovered that an employee's level of resilience affects their level of engagement. According to a poll conducted by CIPD (2006), communication was the most important aspect in fostering employee engagement. An organization's ability to retain and motivate personnel is directly tied to the resources it provides to those who work there. To further comprehend engagement, he discussed social exchange theory. When looking at the factors that influence the level of work-life balance for female bank employees in Turkey, researchers discovered that the beneficial effects of the workplace on both the employees' professional and personal well-being. (14) Vance (2006) there is a direct correlation between employee engagement and company behaviors. In reviewing major studies on employee engagement, Gibbons discusses factors that influence employee engagement, including the nature and type of work, trust and integrity in one's superiors, opportunities for career advancement, pride in one's association with the company, and a willingness to put in extra effort on behalf of one's employer in order to improve an employee's skill set. A study by Saks revealed that job features, procedural fairness, and a sense of organizational support all influence how engaged employees are in their work. (15)

OBJECTIVES OF THE STUDY

  • To find out how various human resource procedures in the hotel business are perceived by employees.
  • To find out the link between evaluated human resource practices and perceived organizational support.
  • To determine the level of job satisfaction in the hospitality business.

 To determine the influence of point-of-sale systems and other HR policies on employee engagement.

in the Hospitality Industry Research Methodology covers research design, data gathering technique, and application. Traditionally, social scientists have used quantitative and qualitative methods for their empirical studies. Decisions on whether to do quantitative or qualitative research are influenced by the study question. The design of this study is based on a quantitative method since this research is quantitatively driven. Data from a survey is the primary source of information for this study. Observation, experimentation, and survey are three of the most common approaches used by researchers to conduct cross-sectional quantitative descriptive research. The current study might benefit more from a survey approach. Numerous facets of an event can be studied simultaneously using surveys.

Sampling Method

After taking into account all of these factors, the structure of the universe, the number of classes offered, etc., a researcher decides how large a sample size to use for his or her research project. Probability sample and non-probability sample are two types of sampling methodologies. The data will be gathered using a random sample approach known as convenience sampling. In order to choose participants, random sampling will be performed. The size of the sample will be calculated statistically. The Roscoe thumb rule states that for problem detection, a sample size of at least 30 and as many as 500 should be used. Sample size calculation for primary data collected by survey:

Where: n0 = sample size z= for given level of confidence, Value of area under standard normal curve S 2= Sample variance of the variable. d = amount of error tolerable in the estimate (Difference between mean)

Data Collection Method

In this section, we'll discuss about the data we required for this study and the methods we used to gather it. EBSCO and ProQuest turned up previous studies conducted by a variety of writers. Using these sources of data, we will be able to gain a better understanding of Human Resource Practices and Work Engagement in the hospitality industry.

  • Primary data: In order to answer the study's research questions, participants filled out self-administered questionnaires. In the social sciences, questionnaires are the principal method for gathering quantitative primary data. Human resources practices, such as recruitment and selection, training and development, performance evaluation and pay for performance, advancement opportunities, employee participation in decision-making, employee benefits, and HR communication and coordination, are all being measured in the current study.

Questionnaire Design

The questionnaire for the current study will be developed. For this investigation, we used a mostly closed-ended self-administered structured questionnaire. Details about each employee's profile, such as the department in which they work, their age and gender, their greatest level of education, their level of experience in the hotel sector, and the number of years they have worked for the current company, will be collected. The Questionnaire focuses on employee engagement at work. As of this writing, the questionnaire utilized by UWES is considered to be the most widely acknowledged instrument in the field. A research by Schaufeli et al. (2002) sought to determine if involvement will be the antithesis of burnout and so led to the creation of this tool. Measurements of vitality, devotion, and absorption will be created using a seventeen-item instrument in that study. UWES has convergent validity and a three-factor structure for each of its two variants, according to Schaufeli and Bakker (2003). Perceived Organizational Support is the topic of Section 2. Employees' perceptions of the level of assistance they receive from their employer are referred to as Perceived Organizational Support. The Survey Of Perceived Organizational Support (SPOS) designed by Eisenberger will be used to test employees' perceptions that the organization appreciated their contributions and cared about their well-being (1986). The hotel employees see their company's human resources practices in general. Selecting and Recruiting, Employee Training & Development, Performance Management & Pay for area.

Data Analysis

The statistical analysis of data gathered from the hospitality industry, both descriptive and inferential. There have been 425 replies. 418 relevant samples were utilized for data analysis after the data had been cleaned.

Descriptive Statistics

Gender: 45 percent of the sample is made up of female respondents, with male respondents making up 55 percent of the sample.

Table 1: Frequency and Percentage - Gender

Age: Twenty-three percent of respondents are between the ages of 20 and 25, 35.9 percent are between the ages of 26 and 30, 19.4 percent are between the ages of 31 and 35, 15.3 percent are between the ages of 36 and 40, 5.5 percent are between the ages of 41 and 50, and one percent are over the age of 50.

Table 2: Frequency and Percentage - Age of respondents in Years

Work Experience in Hotel Industry (Years): 2.2 percent of respondents have experience working in the hotel industry for less than a year, 60.8 percent have experience in the range of one to five years, 24.9 percent have experience in the range of six to ten years, 9.8 percent have experience in the range of eleven to fifteen years, 1.9 percent have experience in the range of sixteen to twenty years, and 0.5 percent have experience in the range of more than twenty years. No. of years working in the present organisation (years): In the current company, 5.7 percent of respondents have worked there for less than a year; 66.7 percent have worked there for one to five years; 24.6 percent have worked there for six to ten years; and 2.9 percent have worked there for eleven to fifteen years.

Table 4: Frequency and Percentage - No. of years working in the present organisation (years)

CONFIRMATORY FACTOR ANALYSIS: WORK ENGAGEMENT

Standardized Regression Weights: The Standardized Regression weights for each of the variables are shown in the table below. Standardized regression weights are all close to 0.5, suggesting that the model has high levels of converging validity.. A reasonable degree of variation may be attributed to all variables. Consequently, scales of Work Engagement should be regarded as reliable.

Table 5: Standardized Regression Weights – Work Engagement Estimate

V6 <--- Vig .822 V5 <--- Vig .828 V4 <--- Vig .948

V2 <--- Vig .928 V1 <--- Vig .951 D5 <--- Ded .781 D4 <--- Ded .629 D3 <--- Ded .739 D2 <--- Ded .726 D1 <--- Ded .860 A6 <--- Ab .700 A5 <--- Ab .842 A4 <--- Ab .747 A3 <--- Ab .939 A2 <--- Ab .922 A1 <--- Ab .505

STRUCTURAL EQUATION MODELLING

Structural Equation Modeling was used to evaluate the following model. Human Resource Practices and Perceived Organizational Support have been hypothesized to influence Work Engagement (POS).

Table 6: Regression Weights - (Human Resource Practices and Work Engagement Model)

Model Fit Summary: Here's a look at how well the model fits the data. It's safe to say that all of the numbers are higher than the customary cutoff.

Table 7: Model Fit Summary

CONCLUSION

Today, businesses are under more and more pressure to enhance their profitability. However, in order to achieve this, organizations must excel across the board. In order to be effective, it must address every facet of the organization's operations. The success of an organization is based on the success of its people. All employees in an organization must be fully committed and involved in order for the company's vision and goal - which is to produce wealth by addressing consumer requirements - to be fully realized. As a result, organizations will need to implement long-term strategies to keep their staff engaged. As with any service-based business, the hotel sector relies heavily on its workforce and the quality of its products and services. The competitiveness and productivity of the hotel are driven by the hotel's staff.

REFERENCES

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Corresponding Author Raman Kumar*

Research Scholar, Sunrise University, Alwar, Rajasthan