Oakbrook Business Review

Vol. 2, No. 2, October 2016, pp. 13-23

A Study on Skill Gap Analysis in

Hospitality & Tourism Sector
Shraddha Sheth & Pragyashree Dubey

Abstract
Hospitality & Tourism Industry is growing at a rapid pace. It is one of the largest contributor to employment, 1 in 11 jobs is in this
sector across world(World Tourism Organization (WTO)). This makes it a manpower intensive industry.

However it is equally important to review the manpower requirement and supply capacity of Institute in the Hospitality & Tourism
Education.

The paper maps the hospitality and tourism institute and seating capacity across Globe and India. The trend in the seating
capacity of the Institutes and programme offered. The paper also analyse the primary survey of hotels and restaurants regarding
manpower requirement in the Industry.

The seating capacity in institute for higher education is 84% and for training programmes is 16% whereas the requirement in
industry for qualified manpower varies from 25-35% and that for skilled workers is 65 – 75 %.

The results clearly show that the institutes are focusing on higher education whereas there is huge manpower supply gap in skilled
workforce in the Industry.

INTRODUCTION become prime concern in the world as number of

travellers isgrowing and markets are becoming
The total contribution of Tourism to employment
more sophisticated in most countries. Further,
in the world, including jobs indirectly supported,
better coordination of educational systems,
was 276.8 million jobs (9.4% of total employment)
vocational qualications, higher studies and
i.e. i.e. 1 in 11 jobs was contributed by Tourism
sectorial training schemes have been encouraged
Industry(World Travel & Tourism Council). In
to improve travel and tourism service quality.
India, the total contribution of Travel & Tourism to
employment was 36,695,500 jobs in 2014 (8.7% of
While the world economy has faltered, World
total employment). By 2025, Tourism is forecast to
Travel and Tourism Council (WTTC) maintained
support 45,566,000 job in India (9.0% of total
its focus on jobs and argued that travel and
employment), an increase of 2.0% pa over the
tourism offer benets to emerging and developed
period(World Travel & Tourism Council).
states because:
Tourism and Hotel Management education have
Ÿ The very high ow-through effect
supports jobs across the economy
Ÿ It creates a high proportion of export
Shraddha Sheth
Head - Academics, Oakbrook Business School, related jobs
Gandhinagar, Gujarat Ÿ Jobs-built skills are easily transferable to
other service sectors
Pragyashree Dubey Ÿ Opportunities exist for women and
Manager, Oakbrook International Education & young people and those in urban, rural
Research Pvt. Ltd., and peripheral areas
Ahmedabad, Gujarat
 Ÿ It generally offers good training and
career prospects 5. France 6 Bachelor’s
Ÿ Jobs are concentrated in small Programmes and 32
businesses and spread across local Master’s Programme
communities
6. China(Song) 810 Institutes providing
Bachelor’s and Master’s
MAPPING OF HOSPITALITY &
Programme
TOURISM EDUCATION - GLOBAL
AND NATIONAL 7. Germany 37 Bachelor’s
Programme and 40
Overview Global Hospitality and Tourism
Master’s Programme
Education
Higher education today is expanding globally 8. The 23 Bachelor’s
with rates of change never seen before. Studies Netherlands Programmes &16
concerned with the global expansion in tourism Master’s Programmes
education identied three main responsible
drivers of this phenomenon: a set of structural 9. Canada 53 Bachelor’s
changes in higher education in general, a Programmes &29
perceived need of increasing qualied human Master’s Programmes
resources for tourism industry and a common
perception of tourism as a major source of jobs and 10. United 358 Bachelor’s
careers. Kingdom Programmes &312
Master’s Programmes
The following are selected nations and their
Source: An International Handbook of Tourism
programmes details with some key noted
Education, Tourism Education Programs in
points(www.bachelorsportal.eu)&(www.masters
Mainland China 2010-11,
portal.eu):
www.bachelorsportal.eu and
www.mastersportal.eu
Sr. Countries Hospitality and
No. Tourism Education
There has been a tremendous growth in
hospitality and tourism education on a global
1. USA 119 Bachelor’s
basis in the past 30 years. While planning and
Programmes &34 implementing tourism programs, thoroughly
Master’s Programmes understanding the community served in order to
be effective, Tourism professionals must
2. Australia 110 Bachelor’s understand the community's perception.
Programmes&29
Master’s Programmes According to that each country have their
different programme structure for example
3. New 8 Bachelor’s Tourism Institutes and colleges in China now offer
Zealand Programmes &5 more than 30 tourism programs at various levels,
which cover almost all the areas of the tourism
Master’s Programmes
industry. Tourism management and hotel
management are two major programs, and new
4. Switzerland 36 Bachelor’s
programs have recently been added, such as
Programmes and 48
Property management, convention and event
Master’s Programmes management, design and development of tourism

14 Oakbrook Business Review

crafts, e-commerce, environmental science, Les Roches International
anthropology of tourism, etc. 8. Spain Institutes of Hotel
Management, Marbella
Even in Germany universities provide tourism
education as a compulsory subject, optional Emirates Academy of
9. Dubai
subject or specialization subject within a range of Hospitality Management
different study programmes and disciplines: European International
10. Abu Dhabi
geography (nine universities), business studies College
(six universities), cultural studies (two 11. Australia University of Technology,
universities), transportation economy (one Sydney
university), sociology (one university),
12. Australia The University of Queensland
environmental sciences (one university) and
education science (one university). Beijing International Studies
13. China
University
In Netherlands there are three university Munich University of Applied
14. Germany
departments with a specialist in travel, tourism Science
and leisure. Major Tourism courses offered in 15. United Oxford School of Hospitality
United Kingdom are Business Management / Kingdom Management
Leisure-Sport / Hospitality / Hotel / Catering,
Social-Sciences / Sociology / Environment / Overview of Indian Hospitality and
Geography / Land Use / Planning and Tourism / Tourism Education
T o u r i s m M a n a g e m e n t( A n I n t e r n a t i o n a l The success of tourism as a service sector depends
Handbook of Tourism Education). largely on quality, so a skilled and motivated
workforce is critical. Education and training are
Below mentioned leading Institute names, key factors in sustainable tourism development,
location, programs and focus areas are enclosed in providing people at all levels of ability with the
Appendix – II relevant skills to assume active responsibility
aimed at improving employment conditions.
Country Institutions
Glion Institute of Higher The Research has estimated a total of 337 institutes
1. Switzerland in the hospitality sector including 101 travel & tour
Education
institutes offering courses related to ticketing and
EcoleHôtelière de Lausanne tourism(MoT & MPS).
2. Switzerland
(Lausanne Hotel Institutes)
Les Roches International The trend of supply is shows below:
3. Switzerland Institutes of Hotel Figure 1: Annual Supply Capacity in Hospitality and
Management Tourism Sector
4. Netherlands Hotel Institutes The Hague
144950

160000
Penn State - Institutes of 140000
5. USA
Hospitality Management
89355

120000
82800
76753

Cornell University - Institutes

71172

6. USA 100000
65617
63040

of Hotel Administration 80000

University of Nevada - 60000
William F. Harrah College of 40000
7. USA
Hotel Administration, Las 20000
Vegas 0
2010 2011 2012 2013 2014 2015 2025F

Source: MPS & MOT Report, Jan 2012 and CAGR Method

Volume 2, Number 2 | October, 2016 15

Out of 337 Hospitality and 101 Travel Institutes, The above data for institute's shows that 40% of
majority are operated by private institutes and not institute's are recognised and approved where as
recognised by any national council. 60% is covered by other private institute. In supply
capacity 23% is enclosed by AICTE and NCHMCT
In India, Hospitality & Tourism Education are programme students and rest 77% from other
regulated by two bodies i.e. All India Council of private institutes. From this we can understand
Technical Education (AICTE) and National there are shortages of reputed and standard
Council for Hotel Management and Catering colleges in India.
Technology (NCHMCT). There are 103 Institutes Table 1: Mapping of AICTE / NCHMCT approved
a p p r o v e d b y A I C T E( h t t p : / / w w w . a i c t e - Hospitality & Tourism Ins tutes in India (State wise)
india.org/) and 71 Institutes approved by
NCHMCT offering Hotel Management & Tourism More than 10 Institutes
State No of Student
r e l a t e d P r o g r a m Institute Capacity
(http://www.nchm.nic.in/institutes). Uttar Pradesh 18 2499
Maharashtra 18 1584
The total intake capacity of all programs focused Karnataka 15 1600
Haryana 15 1570
on Hospitality & Tourism Industry approved by Punjab 13 1414
National Council such as AICTE and NCHMCT in Tamil Nadu 12 1253
2015 is approx. 20,505. It includes Post- West Bengal 12 1208
Graduation, Graduation, Diploma, Trade Madhya
11 1183
Pradesh
Diploma and Certication Program. The
Total 114 12311
remaining intake capacity of 68,850 are offered by
private institutes. Less than 10 Institutes
State No of Student
Figure 2: Ins tutes and Supply Capacity in Hospitality Institute Capacity
and Tourism Educa on Rajasthan 9 1154
Telangana 8 960
Kerala 8 1054
Institutes Uttarakand 6 720
Odhisha 5 588
Delhi 5 834
AICTE &
Gujarat 3 350
NCHMCT
Other Himachal
Ins tutes 3 457
Pradesh
Private 40%
Ins tutes Assam 2 341
60% Jammu and
2 408
Kashmir
Meghalaya 2 106
Andhra
2 120
Pradesh
Goa 1 512
Supply Capacity Sikkim 1 200
Dadra &
1 60
Nagar Haweli
Bihar 1 330
AICTE &
Total 59 8194
NCHMCT
23%
Northern and Southern Regions are major hub of
Other Hospitality & Tourism education in India
Private contributing close to 63% of both total intake
Ins tutes
77% capacity and total number of institutes recognised
by AICTE / NCHMCT.
Source: MPS & MOT Report (2012), AICTE and
NCHMCT Website

16 Oakbrook Business Review

 Figure 3: Region wise Analysis of No. of Ins tutes programs i.e.84% seating capacity
and Intake (17246 seats) whereas very few institutes
6% concentrate on skill development programs i.e
16% seating capacity (3369 seats). The
Southern - 4987 degree/diploma basically comes in job category of
24% Northern - 7902 qualied manpower and Certicate programme
18%
Eastern - 2686 cater the job category of skilled manpower.

13% Western - 3720

Analysis of Degree/Diploma Programs
39% Central - 1183
The Bachelors, Mater's and Diploma Programmes
are shows in table with bifurcation of their
programme details. These programs are focused
Source: AICTE and NCHMCT Website
on different sectors/subsectors within Tourism
industry. In this section, we have mapped the total
Classication of Programs programmes running in approved by AICTE and
The programs offered by different institutes can be NCHMCT to various sectors/subsectors and
broadly classied into the following two types: identied areas of focus of current tourism
education programs offered in India.
1) Degree/Diploma Programs: These programs
supply fresh manpower to the industry. The target The table below shows the mapping of
group comprises of 12th pass students/ diploma programmes to different courses.
holders/graduates. The duration of these
Table 2: Mapping of Programmes and Intake
programs is the range: 1 year to 4 years.
No. of Student
2) Certication Programs: These programs cater to Masters
Programme Capacity
the training needs of existing manpower in the MHMCT 5 102
industry. They are much focused on food
M.Sc. 4 100
Production, Food and Beverage Service,
Housekeeping and front ofce. The typical PGD 17 779
duration of these programs is 1 day to 1.5 Year. MBA 4 205

Figure 4: Sea ng capacity in Higher Educa on & Skill

No. of Student
Development Training in Hospitality Industry in India Bachelors
Programme Capacity
BHMCT 74 5968

Diploma / B.Sc 54 7667

Cer fcate
16% BA 2 180

No. of Student
Diploma
Programme Capacity
Higher
Educa on DHMCT 35 2245
84%
Source: AICTE and NCHMCT Website

Source: AICTE and NCHMCT Website The Intake student capacity is considered only of
approves institutes by AICTE & NCHMCT. The
Analysis of these program shows that majority of following is the intake capacity in each
the Institutes focuses on Higher Education programme.

Volume 2, Number 2 | October, 2016 17

The above student capacity considered is data of
2015-2016 in these bachelors, masters and diploma
will gives out job role of future qualied
manpower.
Details of Programme:
(I) Bachelors:
Ÿ Bachelor of Hotel Management &
Catering Technology (BHMCT) is
highest acknowledged four year degree
program which is a premier
qualication which shall make the
students fully acquainted with all the
aspects of the Hospitality Industry.
Ÿ B.Sc in Hospitality &Hotel
Administration which is 3 Years course
in Hospitality and Hotel Administration
equips students with all the required
skills, knowledge and attitude to
efciently discharge supervisory
responsibilities in the Hospitality sector.
The merit list is prepared on the central
level.
Ÿ B.A. in Hotel Management is a 4 year
degree program equips students to deal
with the operation and management of
the hotel.
(ii) Masters
Ÿ Masters of Hotel Management &
Catering Technology (MHMCT)
programme is a well-suited for all hotel
management professionals who wish
to upgrade their qualications in order
to gain a competitive advantage in their
careers. 4 Year degree in HMCT or 3 yrs
Diploma in HMCT with a degree from
any faculty & 2 years' experience in the
*relevant Industry with graduation in
hospitality education are eligible for
this program.
Ÿ M.Sc. Programme equips trainees with
the required skills, knowledge and
attitude to efciently discharge
supervisory responsibilities in the
18
hospitality sector. The program
provides opportunity to 3 year diploma
(with any graduation degree) and 3/ 4
year graduates in hotel management to
peruse advanced post graduate course
in Hospitality Administration
Ÿ Post Graduate Diploma in Hotel
Accommodation is 1.5 years
programme in Hotel Accommodation
prepares students to manage hotels
with regards to the rooms' division
operations and housekeeping of the
property. This program provides
opportunity to any graduate willing to
pursue studies in hospitality education.
Ÿ Post Graduate Diploma in Tourism is 2
years Programme focussing on
management of tourism and travel.
This program provides opportunity to
any graduate willing to pursue studies
in tourism education.
Ÿ The MBA (Tourism) programme which
offers specialization in different
domains has been designed to meet the
growing demand for skilled and
resourceful managers in the rapidly
expanding tourism industry. This
program provides opportunity to any
graduate willing to pursue studies in
tourism education.
(iii) DHMCT
Ÿ Diploma in Hotel Management &
Catering Technology (DHMCT) is
three year technical programme
prepare the student to learn the basics
of the hotel industry and provide
technical training like regional and
international cooking and problem
solving in front ofce and advanced
cleaning techniques and equipment's
in the housekeeping. Students having
passed 10th standard/ SSC
examination obtaining at least 35%
marks in aggregate, is eligible.
Oakbrook Business Review
Split of Programmes Food &
Trade
Beverage 19 660
Diploma
Degree/Diploma programs are offered as Service
Bachelors/Masters/ with program duration Food Trade
27 1000
ranging from 1.5 year to 4 years. The following Production Diploma
gure provides contribution of these different Trade
Front Ofce 8 230
types of programs to the total no of conducting Diploma
programmes. Housekeepi Trade
10 240
ng Diploma
Figure 5: Split of Programmes
Craftsma
Food
nship
Production 22 819
Certicat
& Patisserie
Diploma e
18% Craftsma
Food &
nship
Graduate Beverage 11 240
Certicat
15% Service
Under e
Graduate
Source: NCHMCT Website
67%
Figure 6: Analysis of Trade Diploma and Cer fica on
programmes in Hospitality Sector
Source: AICTE and NCHMCT Programmes CC in Food TD in
& Beverage Bakery &
Service Confec on
Diploma and Bachelor programs constitute 19% 11% ery
and 71% of total programme whereas Masters 6%
TD in Food
constitute only 10% of total programmes CC in Food & Beverage
Service
respectively. Produc on
18%
&
Pa sserie
Mapping of Trade Diploma and 21%
TD in Food
Certication Programs Produc on
TD in 26%
The total intake capacity of Certication programs Housekeepi
focused on up-skilling existing manpower in the ng
TD in Front
10%
industry. These programs are focused on different Office
8%
sectors/subsectors within tourism industry. In
this section, we have mapped the total certication TD - Trade Diploma
programs to various sectors/subsectors and CC - Craftsmanship Certicate
identied areas of focus of current tourism
education programs. The number of programmes
and intake student capacity by NCHMCT for
trade diploma and Craftsmanship Certicate is
considered and as follows:
Table 3: No. of Trade Diploma and Cer ficate
Programmes in Hospitality Sector
No Intake
Certicate of Student
Type
Programme Prog Capacit
rams y
Bakery &
Trade
Confectioner 6 180
Diploma
y

Volume 2, Number 2 | October, 2016 19

Comparison of Global and Indian Hospitality & Tourism Education Sector wise

Analyses of the programs offered by Global and Indian best institutes show that majority of the programs are
focused on Hospitality sector.
Figure 7: Global Educa on & Tourism Educa on Figure 8: Indian Hospitality & Tourism Educa on
Scenario sector wise Scenario sector wise

Event
Event 5%
14%
Tourism
20%
Tourism
23% Hospitality
63% Hospitality
75%

On the other Hand, the type of program offered globally and nationally is also mapped.

Figure 9: Global Hospitality & Tourism Educa on Figure 8: Indian Hospitality & Tourism Educa on
Scenario Programme wise Scenario sector wise

Cer ficate
9%
Trade
Diploma &
Cer ficate
Bachelors 27% Bachelors
43% 46%
Diploma
Masters 3%
48% Masters
24%

ANALYSIS OF HOTELS AND demand and supply of quality manpower in

RESTAURANTS FOR MANPOWER
REQUIREMENT
The study was undertaken to understand the
detailed demand of employers in hospitality
industry as well as availability of manpower to
meet the requirement.
The Survey was conducted on 31 hotels and 10
restaurants. The list of the surveyed properties
and Eateries is given in Annexure – I.
The basic objective of study was to understand the
Hospitality and Tourism industry. In this context
our assessment is productive to carry out for
overall institutional development in Hospitality
and Tourism sector.
The mix sample of 5 stars, 4 Stars and 3 Star hotels
were selected to understand the manpower
requirement accurately. The Restaurants were
basically Fine-dine restaurants, cafes and Theme
Restaurants. The responded were basically
Human Resource Manager of hotels in his absence
hotel manager/ restaurant manager had replied to
questionnaire. The observations of the study are

20 Oakbrook Business Review

mentioned below: Manpo Housekee Very
wer ping Low 19
Food and Low to
a) Number of Employees in the job category Beverages Medium 42
Figure 11: Manpower in Hotel Industry Food
Productio Medium
n to High 78
Front Very
Qualified
35% Desk Low 0
65% Manpower
Housekee Very
Skilled Skilled ping High 81
Manpo Food and Medium
Manpower
wer Beverages to High 58
Food
Figure 12: Manpower in Restaurant Industry
Productio Very
n Low 22
25% Qualified
Manpower Note:
75%
Skilled 0-25% : Very Low
Manpower 25-50% : Low to Medium
51-75% : Medium to High
Source: Primary Survey
76-100%: Very High
According to the survey conducted, currently in
Source: Primary Survey
hotel industry 25% requirement of qualied
manpower and 75% of skilled manpower. From
The Table clearly depicts the trade wise
this we can understand the percentage of
requirement of qualied manpower and skilled
employee's in hotels and restaurants in respective
workforce.
job categories.
d) Expected growth rate in manpower
b) Key issues / challenges faced by industry:
requirement in Hospitality and Tourism
Table 4: Challenges faced by the Industry industry over next 5 years
Industry Figure 13: Expected growth rate in qualified
Scarcity of local
Responsive
manpower manpower requirement in next 5 years (by Hoteliers)
Manpower
English as language 45
Communication 40 40
barrier
40
Absence of skilled
Skill Up-gradation
manpower 35
Innovation in Lack in capability of
30
cuisines Chef
Education / 25
Insufcient Training
Training 20
centre
Infrastructure
15
10 10
10
c) Estimated requirement of staff in subsector
categories 5
0
Table 5: Demand Responsive Manpower
0%-25% 25%-50% 50%-75% 75%-100%
Manpo
wer Source: Primary Survey
Demand
Categor Require
Sectors Supply According to 10% of responded approved that 0-
y ment (% )
Gap
Assessm
25% growth in manpower requirement for next 5
ent years, 10% agreed in 25%-50%, 40% in 50%-75%
Quali Front Very
ed Desk High 100

Volume 2, Number 2 | October, 2016 21

and 40% in growth up to 75%-100%. It is clearly visible in Program mapping that the
existing institute in India are providing courses
Figure 14: Expected growth rate in skilled manpower related to higher education than skill
requirement in next 5 years (by Hoteliers)
development training.
45
40 It can be clearly seen from the survey that the
40
requirement of qualied manpower in Hotels and
35
30 restaurants is between 25 – 35 % and that of skilled
30 manpower is 65 – 75 %.
25
20
20 The primary research also depicts that there is
15 huge demand of skilled workforce in
10 Housekeeping and Food & Beverage services
10
trade, followed by Food Production trade. And
5
there is high requirement of qualied manpower
0 in Front desk and Food Production, followed by
0%-25% 25%-50% 50%-75% 75%-100%
Food & beverage Services and housekeeping.The
Source: Primary Survey industry is also nding scarcity in nding quality
manpower that is locally available.
From received survey data 10% answered that
there will be growthof 0-25%, 30% mentioned The overall analysis of Industry and Education
25%-50%, 20% approved 50%-75% and 40% shows that there is huge gap in skilled workforce
agreed in growth of 75%-100%. requirement and supply capacity of the Institutes
across India.
CONCLUSION
Annexure - I
From the below table, it can be said that the
Education programmes for Hospitality industry is Sr.
Hotel name
more in demand than tourism education No.
programme: 1. Airport Residency
2. Avalon Hotel & Banquets
Hospitality Tourism Events 3. Novotel Hotel
World 63% 23% 14% 4. The Park Residency
India 75% 20% 5% 5. The Pride Hotel
Gujarat 67% 33% 0% 6. Tree Top Residency
7. Tune Hotel
The Hospitality and Tourism Education in India 8. ITC Fortune Park Hotel
gives more emphasis to Certicate, Diploma and 9. Hotel Ritz INN
Bachelors whereas Masters is been given the 10. Ginger Ahmedabad
priority in foreign countries: 11. Hotel Accolade
12. The Cloud Hotel
Masters Bachelor Diploma, 13. Fortune Inn Haveli
Trade 14. Hotel Skylon
Diploma 15. Hotel Golden Plaza
& 16. The White Leaf Hotel
Certicate 17. Hotel Platinum Residency
World 48% 43% 9% 18. Sarovar Portico
India 24% 46% 30% 19. Riverview Hotel
Gujarat 11% 58% 31% 20. Courtyard Marriott Hotel

22 Oakbrook Business Review

 21. Hyatt Ahmedabad (Vastrapur) 29. The Taj Gateway Hotel Umeed
22. Ganesh Maridian 30. Hotel Surya
23. Budget inn palm regency 31. The Taj Gateway Hotel, Akota
24. Fern Hotel
25. Aloft Hotel Restaurants
26. Cambay Hotel 1. Atithi
27. Grand Bhagwati 2. Barbeque Nation
28. Grand Bhagwati 3. Mango

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http://www.aicte-india.org/. n.d. 21 01 2016.
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http://www.nchm.nic.in/institutes. n.d. 21 01 2016.
MoT & MPS. “Report on Study to assess the requirement of Manpower in Hospitality and Travel Trade Sector.” 2012.
Song, Jia Yang & Haiyan. “Tourism Education Programs in Mainland China.” AngloHigher The Magazine of Global English
Speaking Higher Education, Vol. 2, Issue 6, Winter (2010-11).
Tribe, Davir Airey and John. An International Handbook of Tourism Education. University of Surrey, U.K.: Elsevier, 2005.
World Travel & Tourism Council. “Travel & Tourism Economic Impact 2015 (India).” 2015.
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Volume 2, Number 2 | October, 2016 23