organization study at KTDC Hotels and Resorts Ltd

July 22, 2017 | Author: riyas_s0777 | Category: Kerala, Tourism, Hotel, Marketing, Board Of Directors
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organization study...



Tourism is a pleasure activity. Tourism arises from the movement of people to and their stay in different destination the movement is of a temporary and short duration and there has to be a particular purpose behind to this. In 1976 tourism society of England defines it as tourism is the temporary short team movement of people to destination outside the place where they normally work and their activities during the stay at each destination it include movement of all purpose Organization study was carried in Kerala tourism development corporation it corporate office located at Trivandrum The fastest growth of the tourism industry has created a demand for new tourism has wider implication passing not only economic benefits but also social and cultural benefits as well Tourism is a benefits of providing travel ,accommodation, food ,entertainment for the people who have travel tour , trade etc .all tourism include some land of travel but all travel is not tourism The Kerala tourism development corporation is a public sector undertaking that conducts and regulates the tourism activities of India state of Kerala the KTDC is headquarter in Trivandrum and has office across all the districts of Kerala the agency also operates hotels resorts and tourist rest houses in key locations in the sate it‘s official slogan is official host to ―god‘s own county‖ it is one of the most profitable ventures of the Kerala.


To get in touch with the industrial and organizational environment.

To understand the actual working condition in the organization.

To evaluate the overall performance of the organization in promoting the tourism industry in Kerala.

To know about organizational structure.

To understand the functions of different departments in the organization.

To get familiarization with the policies and procedures of the organization.

To analyze the strengths, weaknesses, opportunities and threats of the organization.

1.2 METHODOLOGY Data was collected from both primary as well as secondary sources. Primary data was collected through observation and from direct personal interviews with selected personnel. Secondary data has been collected from the Company website, annual report of the company, journals and magazines, catalogue, brochures etc.

1.3 PERIOD OF THE STUDY The organization study was conducted at KTDC Hotels and Resorts Ltd for a period of one week from 29th July to 5th August 2013.

1.4 SCOPE OF THE STUDY The study was undertaken to get a clear cut idea regarding the functioning of the organization. The study is useful in assessing the quality and performance of the organization. The study covers the entire functioning of the organization, the activities of different departments, the co-ordination among the departments etc. Also the study helps in bridging the gap between theory and practice of management.


Limited time was a major constraint. As the time allotted for the study was only one week, detailed study was not possible.

Since the managers of different departments were engaged in various projects, the collection of data through interviews was a bit difficult.

Employees were not able to spend time due to their work adjustments.

Due to the busy schedule officials only a limited data can be collected.

CHAPTERISATION  Chapter 1: Gives an introduction to the study. This chapter includes objectives of the study, scope of the study, methodology and limitations of the study.

 Chapter 2: Deals with the industry in which KTDC is operating.  Chapter 3: Deals with the company profile, vision, mission, objectives & product


 Chapter 4: Organizational Structure and Functional Departments.  Chapter 5: SWOT analysis. 

Chapter 6: Deals with the findings, suggestions & conclusion of the study.


2.1. WORLD TOURISM Tourism has emerged as the largest service industry globally in terms of gross revenue as well as foreign exchange earnings. It is travel for recreation, leisure or business purposes. The World Tourism Organization defines Tourists as people "traveling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes." The importance of technology innovation in tourism, especially of the World Wide Web, has increased tremendously over the past years and this trend will certainly continue. Early forms of technology in the travel and tourism industry were systems which linked tour operators to travel agencies via terminals and allowed travel agents to make bookings through the system. Various high- tech information and communication technologies are used in tourism sector all around the world. They are used for tourism product development, marketing, distribution, and training of tourism sector personnel. Tourism has become a popular global leisure activity. In 2010, there were over 940 million international tourist arrivals worldwide; representing a growth of 6.6% when compared to 2009.International tourism receipts grew to US$919 billion in 2010, corresponding to an increase in real terms of 4.7%. As a result of the late-2000s recession, international travel demand suffered a strong slowdown from the second halfof2008 through the end of 2009. After a 5% increase in the first half of 2008, growth in international tourist arrivals moved into negative territory in the second half of 2008, and ended up only 2% for the year, compared to a 7% increase in 2007. This negative trend intensified during 2009, exacerbated in some countries due to the outbreak of the HINI influenza virus, resulting in a worldwide decline of 4.2% in 2009 to 880 million international tourists‘ arrivals, and a 5.7% decline in international tourism receipts. International tourist arrivals reached a total or 980 millions in 2011, up from 940 million in 2010. Tourism is important and in some cases vital for many countries, such as France, Egypt, Greece, Lebanon, Israel, the United States, the United Kingdom, Spain, Italy, and Thailand, and many island nations, such as Mauritius, The Bahamas. Fiji, Maldives,

Philippines and the Seychelles. It brings in large amounts of income in payment for goods and services available, contributing an estimated 5% to the worldwide gross domestic product (GDP), and it creates opportunities for employment in the service industries associated with tourism. These service industries include transportation services such as airlines, cruise ships and taxicabs; hospitality services, such as accommodations, including hotels and resorts; and entertainment venues, such as amusement parks, casinos, shopping malls, music venues and theatres.

Fig. 2.1 International Tourist Arrivals (in millions) (Source: Secondary data)

Technological advantages in transport and communication have made the world more accessible to more people, and aroused the desire to experience more of it. Higher incomes in the western world and increased leisure time contribute to demand. As countries develops the desire to experience more to it... As countries develop, the desire for contribute to demand. As country develops, the desire for travel and tourism grows among the people. China and Eastern Europe are examples of the development of the freedom and means to travel not available even ten years ago.

Table No. 2.1: Growth rate of travel and tourism market (Source: Secondary data)

2.2 TOURISM IN INDIA Tourism is one of the fastest growing sectors of the Indian economy, bringing foreign exchange earning to the country. As a manner of fact, travel and tourism industry is the second largest foreign exchange earner of India, and the government has given travel and tourism organizations export house status. The tourism industry also provides employment to millions of people both directly and indirectly through its linkage with other sectors of economy. According to an estimate, total direct employment in the tourism sector alone is around 20 million. The buoyancy in the tourism industry can be attributed to several factors. First, the tremendous growth of the economy has resulted in more disposable income in the hands of middleclass, there by prompting increasingly large number of people to spend money on vacations abroad or home. This combined with the increasing awareness about‖work life balance‖ and an increase sense of adventure is driving the double-digit

growth rate for domestic and outbound travel from India. Second India is a booming IT hub and more and more people are coming to India for business trips. Third, aggressive advertising campaign ‖incredible India‖ by tourism ministry has played a major role in changing the image of India from that of the land of snake charmers to a hot and happening place and has sparked renewed interest among foreign travelers. The increased disposable incomes and willingness to splurge on seeing the world has led people taking more holidays of shorter durations. This was led to the evolution of a new ‘Weekend Getaway ‗concept. More and more travelers are opting for the lesser travelled road within the country and plan their travel to these destinations during the weekends/short breaks. A large population, rising income levels and changing conception patterns together have created a large addressable market in 2002, the government announced a new tourism policy to give boost to the sector. The policy was built around seven 5 — Mantra of Swaagat (welcome), Soochanaa (information), Suvidhaa (facilitation), Surakshaa(security), Sahyog (cooperation), Sanrachnaa (infrastructure), and Safaai (cleanliness). The policy proposes the inclusion of tourism in the concurrent list of the Constitution to enable the Central and State Governments to participate in the development of the sector. The policy also advocated no approvals required for foreign equity of up to 51% in tourism projects and NRI investment up to 100% were allowed. In addition 50% of the profit derived by hotels, travel agents and tour operators in the foreign exchange are expect from income-tax. The remaining profits are also exempt if reinvested in a tourism related project.

2.3 TOURISM IN KERALA 2.3.1 LOCATION Kerala lies on the tropical Malabar Cost of southernmost tip of Lydia. It is placed between the Western Ghats mountain range on the east and the Arabian Sea on the west.

Legend says that Parashuram, the sixth incarnation of Lord Vishnu threw his axe into the sea from Gokarnam (near present day Mangalore) and it is believed the sea retreated from where his axe fell to give birth to Kerala! 2.3.2 KERALA- GODS OWN COUNTRY Kerala is the one of the most popular tourism destination in the country. It is named as one of the ten paradises of the world by the National Geographic Traveler. Kerala is famous especially for its ecotourism initiatives. Within its breath taking natural beauty, Kerala attacked people even from abroad. Its unique culture and traditions, coupled with its varied demography, has made Kerala one of the most popular tourist destinations in the world. Growing at a rate of l3.3 l %. The tourism industry is a major contributor to the state's economy. Kerala is probably the greenest place we will ever see. The coconut palms, emerald paddy fields, the red tiles houses, the beautiful lakes and beaches will remain long lasting impression to any visitors. The colorful festivals, various types of dances, martial arts and wildlife sanctuaries are the other attractions. On the time of 1980s, Kerala was a relatively an unknown destination, with most tourists concentrated around the northern parts of the country. So Kerala government launched the Kerala Tourism Development Corporation agency that oversees tourism prospects of the state and for the growth of the tourism industry. The tagline of Kerala ―God's Own Country‖ was adopted in its tourism promotions and became a global super brand. Kerala is regarded as one of the destinations with the highest brand in tourism. Infrastructure facilities starts to develop and tourism now contributes a fair share to the state economy.


2.4.1Joint Venture Companies TRKL has been able to enter joint venture agreements with industry majors like Taj& Oberoi, Hotels of India. The Joint Venture Company with Indian Hotel Company Ltd. of Taj group under the name Taj Kerala Hotels and Resorts Ltd (TKHRL) is currently

operating hotels at Varkala, Kumarakom&Ernakulam.

2.4.2 PPP Model Projects The consistent growth of tourism sector in Kerala and consequent growth in inflow of tourists in the state creates an infrastructure gap and hence need for developing new viable projects in the sector. By utilizing unutilized land under the Government and combining the strengths of the Government and Private sector, large scale tourism projects on Public-Private –Partnership (PPP) mode are being planned by TRKL. As part of this, activities for setting up of large scale tourism projects on PPP mode are being taken up now at Veli and Varkala in Thiruvanathapuram. More projects on this at other places are also on the anvil.

2.4.3 Government Owned Projects Tourism Based Public Infrastructure Projects: TRKL is engaged in developing tourism based public spaces at various places in Kerala. The projects implemented by TRKL under this category are, Saraovaram Bio Park, Kozhikode Overbury‘s Folly, Thalassery Sea View Park, Thalassery Centenary Park, Thalassery

On commissioning, the projects were handed over to Destination Management Councils (DMC)/DTPC for day to day maintenance and management. The works of conservation of Thali Temple premises at Kozhikode is in the final stage.

2.4.4SAPARYA (Synergizing Actions through Participatory Approach) Tourism Project SAPARYA is a pioneering effort of Kerala Tourism for mapping and developing the tourism resources of a destination, for comprehensive development, through participatory

approach. The project put forwards a bottom up approach in participatory planning and development involving inclusive community sensitization and consultation at the LSGI level and also with NGOs, Institutions, Travel – Trade & Hospitality Industries, Experts, and Local People etc. This unique approach will help in creating and developing new tourism projects and untapped destinations within Kerala thereby opening new revenue and growth opportunities for the state. The unique proposition of overall development of the destination through tourism by integrating other sectors like Agriculture, Fisheries, Traditional industries etc. by linking them to tourism through products like village life experiences etc. and optimum utilization of Government Resources through integrated development planning can bring in huge rewards to the state. The pilot phase is being implemented in selected regions in Pathanamthitta, Kottayam, Kannur and Kasaragod districts.

2.4.5EnteNaadu Resident Entrepreneur– Non Resident Keralite(RE-NRK) Partnership Projects ―Ente Nadu PravasiKoottayma‖ was organized and conducted at the International Convention Centre, Hotel Le‘ Meridian, Kochi on 23rd December 2008 to provide a conducive platform for NRKs and resident entrepreneurs to meet and start new business ventures. TRKL was designated as the nodal agency for conducting the meet. The meet acted as an initial stepping stone for this. Subsequently, a web based platform – was developed and hosted to provide, a permanent platform for investment facilitation that provides opportunity to, i. Submit projects for facilitation ii. View projects in the Project Bank iii. Schedule meetings among Entrepreneur/ Investor/TRKL iv. Understand about tourism infrastructure opportunities and access tourism related Information


ITDC hotels

Hotel Corporation of India


Indian Hotels Company Ltd (The Taj Hotel Resorts and palaces)

Oberoi Hotels

Hotel Leela Venture

Asian Hotels Ltd

Radisson hotel and resorts


3.1 BACKGROUND KTDC HOTELS AND RESORTS LIMITED – The Official Host to God’s Own Country The Kerala Tourism Development Corporation Limited is a government agency headed by Mr. Vijayan Thomas (Chairman) that regulated the tourism activities of the Indian state of Kerala. The KTDC is head quartered at Trivandrum, and has offices across all the districts of Kerala. KTDC also operated hotels, resorts and tourist rest houses in different key locations within the state. The Kerala Tourism Development Corporation Limited (KTDC Hotels & Resorts) was incorporated as a Private Limited Company on 29-121965 initially by name Kerala Tourists & Handicrafts Development Corporation (P) Limited. KTDC Hotels & Resorts commenced business from 01-04-1966 by taking over Mascot Hotel, Thiruvananthapuram, Kovalam Beach House, AranyaNivas, Thekkady, Periyar House, Thekkady and Edappalayam Tourist Benglavu. The Corporation was later renamed as Kerala Tourism Development Limited with effect from 15-07-1970. Government has recently approved a proposal to again change the name as KTDC Hotels & Resorts Official Slogan: ―Official host to God‘s Own Country‖. The KTDC, which owns the largest hotel chain in Kerala, has over 60 properties across the state. It ranges from the most luxurious palaces to simple budget accommodation. All of them meticulously designed to provide convenience and comfort. With an array of prime properties set in the finest spots of Kerala‘s theme destinations, Kerala Tourism Development Corporation, the largest hotel chain in Kerala, present exotic ways to experience Kerala. The Kerala Tourism Development Corporation has a diversity of hotels, from the most luxurious to the most economical from small motel to world-class resorts, providing something for every taste and budget. The Corporation operated 16 hotels, 14 Tamarind Easy Hotels, 12 motels, 18 beer parlors and 3 restaurants. It has tours and travels division having a fleet of coaches, tourists‘ reception centers at Trivandrum, Kochi, Kozhikode

and Kumily render valuable service to the tourist. In addition KTDC is having one Centre Reservation Department, 4 Tourist Reception Centers, 1 Transport Division and a Water Sport at Veli. Moreover KTDC is having a Shopping Complex at Cochin and a subsidiary company names as TRK, Travel and Resort (Kerala) company Limited. Another major activity is the food festivals conducted by KTDC mainly at Mascot Hotel, Trivandrum and occasionally in other centers KTDC participant in India International Trade fair held at Pragathi Mandan, New Delhi every year. KTDC operates pilgrim‘s shelter at Sabarimala every operated at Pambawhich serves lakes of pilgrims. KTDC has renovated all its major hotels like Mascot Hotel, AranyaNivas and Lake Palace, Thekkady, Hotel Samudra, Kovalam and Nandavanam, Guruvayoor. The Amusement Park at Veli Tourist Village commissioned recently is an important feature of the tourist spot ―Neeraja‖ the floating restaurant at Veli has been revamped, ―Kettuvallam‖ houseboats of the ―Tharavaadu style‖ at Kumarakam Tourist complex are in operation. Speed boats and cruise boats on hire available are attracting a lot of tourist. Kerala Tourism Development Corporation is actively participating in building up basic infrastructure needed for the development of Tourism in state. They operate star hotels, budget hotels, motel Aarams, YatriNivases, restaurants and beer parlors, central reservation systems and conduct tours, developing Mascot Hotel into a five star deluxe hotel, construction of four star hotel at Munnar, construction of heritage resort at Kumarakam, developing Bolghatty Palace as Heritage Hotel etc. are some of the projects taken by KTDC at present. Kerala Tourism Development Corporation (KTDC) is registered under the Company‘s Act 1956, KTDC, the state‘s premier destination developer, owns over 60 properties across the state. With properties ranging from luxury hotels to budget hotels and motels, YatriNivases and restaurants, KTDC aptly qualifies as the ‗Official Host to God‘s Own Country‘. The premium properties of this largest hotel chain in the State are located in the most picturesque theme destinations of Kerala. KTDC also offers Ayurveda centers, cultural entertainment and the best of Kerala‘s cuisine at all its major establishments. KTDC Hotels & Resorts Limited offers comprehensive holiday package – Exclusive Escapades offers holiday packages that are set in the premium properties of KTDC. As a

pioneering tourism development corporation, KTDC has also introduced innovative concepts like insured holiday ad rail holidays, which provide a complete Kerala. Limited. 3.2 STRATEGIC INTENT 1.

To elevate tourism as the economic and employment priority of the State by using tourism as the vehicle of growth for physical, social and economic development of the State.


To develop infrastructure through private sector and private-public partnership, with Government acting as a facilitator and catalyst.


To develop and promote tourism products with continuous focus on backwaters, Ayurveda, performing arts, pilgrim centers, cuisines and eco-tourism. While promoting Ayurveda, the value of naturopathy herbal medicines and tribal medicines will also be given due importance.


To create sufficient quality human resources in the field of tourism within the State and strengthen the institutional mechanism.


To strengthen the institutional mechanism.


To explore and develop new markets for Kerala Tourism products at domestic and international levels.


To conserve and preserve the unique cultural heritage of the State.


To ensure the safety and security of tourist.


For effectiveness, it is proposed to streamline the management of Premium Hotels and Budget Hotels, taking them as different entities.

10. It is important to re-brand the YathriNivas into a sophisticated Budget Hotel brand, which will provide modern facilities at a reasonable rate. 11. Training Division to be established to provide continuous training programs to the permanent and contract staff of KTDC.

12. The investment needs to be addressed in a rational way which will not affect the financial viability i.e., debt-equity ratio for the investment should be in such a manner that the debt component can be absorbed by KTDC. 13. Renovation of the existing properties (which are due) needs to be given priority. Maintenance also to be given prime importance. 14. Attention to be given to capacity enhancement of the existing business places by utilizing the land available in the property premises. 15. Clear cut marketing strategy has to be evolved for different product lines. Online reservation system and virtual walk through has to be introduced in a time bound manner. 16. Non-profitable units working in rented buildings to be closed down. 17. Travel & Tours division to be made more effective by bringing down the overheads and also exploring the possibilities of out-sourcing. 18. The investment to be arranged towards new and upcoming destinations such as Wayanadu and Kannur districts.

3.3 VISION ―To make KTDC the official host to God‘s Own Country, the best service provider in the hospitality industry with basic infrastructure and state of the art facilities, focusing on environment conservation and preservation, adding impetus to local supplies and human resources and thereby positioning as a Premier PSU in the hospitality sector in Kerala‖

3.4 MISSION ―To provide leadership and play a catalytic role in the development of tourism infrastructure in the State and to achieve excellence in strategic business operations through professionalism, efficiency, value for money and customer satisfaction‖

3.5 OBJECTIVES OF KTDC 1. To develop the potentialities of tourism in Kerala. 2. To create &protect the image of Kerala, its tradition and culture throughout the world. 3. To develop the waterways of Kerala for tourism promotion. 4. To start, operate and promote establishments undertakings and of any description what so ever which in the opinion of the company are likely to facilitate tourism development in Kerala. 5. To improve tourism in the state.

3.6 MAJOR FACTS ABOUT THE ORGANIZATION KTDC is a Government Company established in the year 1965 with the main objective of facilitating the infrastructure for tourism development in the state, the company has so far successfully attained its objective there by becoming the largest in hotel network in the state conduct tour programs, rent vehicle on rent etc. are some of their services. Therefore we can say that KTDC definitely play a significant role in the development of Tourism in the state. A large number of domestic as well as foreign tourists are received by KTDC every year. They also conduct many programs for tourists which help to attract a large number of tourists. A large number of tourists also approve the services rendered to them by KTDC. KTDC has also won several awards for their best performance from Government of India like:  Best performing state for 1999, 2000 and 2001 – award for Excellence in Tourism  Most innovative use of information technology – 2001  Best Tourist Film – 2001  Most Tourism friendly International Airport – 2002  Most Eco Friendly Destination – 2002

3.7 PRODUCT PROFILE Premium hotels



Budget hotels



Tamarind hotels






Beer parlor







Bolgatty Island Resort (which houses Bolgatty Palace)

Marina House, Kochi

Mascot Hotel Trivandrum

Hotel AranyaNivas, Thekkady

Lake Palace, located inside the Periyar Tiger Reserve



Samudra Beach Kovalam

Tea Country Munnar


Fig: Logo of Mascot Hotel Source: Company Website

Category: Premium Heritage Business Hotel Mascot Hotel is located in the heart of Trivandrum City, the Capital of Kerala, is the oldest Star Hotel of KTDC, built during World War 1 to house the officers of the Royal British Army. And it now stands as a historical edifice polished over time to cater to the tourists or business travelers with all the comforts of a luxury hotel. Mascot turn on its lucky charm with the beauty of its past and the comfort of its present, and with its accessibility to the Capital City, Mascot hotel is indeed the idyllic spot to plan a grand retreat! In the initial stage it was the residents of British Army officials there after it was converted into hotels by a British lady later it was undertaken by the government of Kerala around 1969. When KTDC was formed they give more concentration on hotel industry. In course of time Mascot Hotel also came under the control of KTDC, a property that show cases the facilities that reflect the trade mark magnifications of the East wild Travancore Monarchy and excludes and ambience that spend luxury and excludes and ambience that spends luxury. Today, it is the most state

off the art business hotel in the city. The hotel is 20mts drive from the International Airport and 5mts drive from the city Railway station and KSRTC bus station.

For the discerning travelling provides most modern facility 64 rooms (suite, Executive and Deluxe Room) five conference hall with different seating capacities banquet facilities board room and executive langue all confirming to international standards restaurants 24 hrs coffee shop, swimming pool, Ayurvediccentre, health club, beauty parlor, travel assistant, car hire, laundry, florists, , doctor on call, currency exchange etc.

Main competitors of Mascot Hotel, Trivandrum 

Muthoot plaza

South Park


Rajadhani Group of Hotels (MauryaRajadhani, Windsor Rajadhani etc)

Hotel Lucia

Hotel Panda

Keys Hotel

 HOTEL SAMUDRA, KOVALAM (The Beach Garden Hotel)

Fig: Logo of Samudra Hotel Category: Premium Beach Resort

Hotel Samudra has won the national award for the best property in its category in the South India. Hotel has a landscaped garden which won acclaim as the best in the State at the annual International Flower Show held at Thiruvananthapuram. The Hotel has full-fledged Ayurveda Centre and a fine swimming pool overlooking the sea. Samudra’s millennium offer includes exclusive discounted packages with Ayurvedic programs and lots of fun and leisure thrown in.

Main competitors of Samudra Hotel, Trivandrum 

Leela Palace

Sagara Beach Resort

Soma Palmshore Beach Resort

Niraamaya Retreats

 WATERSCAPES Category-4 Star Backwater Resort Water Scapes is one of the famous Ethnic Backwater resorts of Kerala situated at Kumarakom surrounded by the scenic Lake Vembanad. Kumarakom is a holyday's paradise. And nestled in the mangrove woods surrounded the lake is waterscapes. A unique holiday experience that is Kerala‘ very own. Come; wake up to your cozy, thatched cottages rising on stilts, eight feet above the ground, accessible only by a narrow pathway or rowboat.

Facilities There are 40 cottages on 30 Islets laced with canals, Private bath and shower, Satellite Television and Telephone, Swimming pool, Beer Parlor, Restaurant, Laundry, Doctor on call, Car-hire facility, Currency Exchange, travel Assistance, Ayurvedic center, conference hall, Boating, Backwater tour, Sightseeing.


Category- Three Star Wildlife Resort The unspoiltbeauty wild Thekkady opened up by the Official Hosts, Aranyanivas. It is located at the bank of river Periyar. It is one of the Exotic jungle lodges. Deep inside the dense, greenwoods, perched on the bank of the Periyar Lake are AranyaNivas or the Sylvan Abode. This quaint structure in the colonial style is the only property in India set in the heart of a game reserve. Besides being the ideal holiday retreat, AranyaNivas is also the perfect venue for a relaxed corporate meet or business conference.

Facility 30 rooms / 1 suit, Room service, Color TV/ Satellite Channels / in-House movies, Telephone, Restaurant, Bar, Laundry, Doctor on call, Currency Exchange, Travel Assistance, Car hire, Handicraft emporium, Swimming pool, Boat cruise on the periyar Lake. 


The Budget Hotels range includes the ―value plus‖ range hotel properties of KTDC are three-star hotels. They are: -

Hotel Chaithram, Trivandrum: City business hotel


Periyar House, Thekkady: Jungle Safari lodge


Garden House, Malampuzha: Picnic hotel


Nandanam, Guruvayoor: Pilgrim hotel


Mangaly, Guruvayoor: Pilgrim hotel


ThannerkulamAyurvedic Lake Resort, Cherthala: Health resort


Golden peak, Ponmudy: Honeymoon hotel


Pepper Grove, SulthanBathery: Spice Garden Hotel

 HOTEL CHAITRAM Located in the heart of the state's capital, hotel Chaithram gives you an opportunity to explore the city famous for its places and temples. The internationally renowned Kovalam beaches are also easily accessible from here.  PERIYAR HOUSE Periyar House is a wildlife resort located on the banks of the Periyar Lake. Ideal for a closer acquaintance with wildlife. The Periyar wildlife sanctuary is one of the world's most fascinating natural wildlife reserves. Some of the rarest species of flora and fauna can be found here.


It aims to provide the budget travelers with the choicest accommodation in Kerala, the KTDC Hotels and Resorts Limited have set up a string of hotels located all over Kerala. The very location of these hotels promoted under the brand name KTDC Tamarind Easy Hotels allows travelers to explore the lesser known entities, besides the popular attractions of Kerala.


Tamarind Neyyar


Tamarind Kollam


Tamarind Alappuzha


Tamarind Changanacherry


Tamarind Peermedu


Tamarind Thrissur


Tamarind Guruvayoor


Tamarind Nilambur


Tamarind Mannarkkad


Tamarind Thirunelly


Tamarind Kondotty (Kozhikode Airport)


Tamarind Kannur


Tamarind Parasinikadavu (Mangattuparambu)


All Motel Araams are wayside amenities with an array of facilities for travelers. They provide services from 7 a.m. to 10 p.m. which include breakfast, lunch, dinner and snacks in between with local / continental tastes. There is facility for organizing parties especially for groups who travel through the respective roads. Parties can be booked in advance All Motel Araams are wayside amenities with an array of facilities for travelers.

List of KTDC Motels 

Motel Aaram, Kottarakkara

Motel Aaram, Punaloor

Motel Aaram, Palaruvi

Motel Aaram, Kayamkulam

Motel Aaram, Alappuzha

Motel Aaram, Vaikkom

Motel Aaram, Athirapally

Motel Aaram, Kuttipuram

Motel Aaram, Erumayur

Motel Aaram, Vadakara

Motel Aaram, Kannur

SHOPPING COMPLEX KTDC Shopping Complex, Cochin KTDC divides the units into centralized and decentralized units. Centralized units are controlled by the regional offices. KTDC have three regional offices. Regional office North is at Calicut, Regional office South is at Trivandrum and Regional office central is at Kochi.

DECENTRALIZED UNITS Decentralized units consist of large units like Luxury hotels and Budget hotels. They perform their today functions independently, they have their own administrative and accounting department they utilize their funds for their day to day commercial functions. Decentralized units have the right to issue salary certified for their employees. KTDC the official host of Gods own country, provides the luxury resorts located in the heart of Kerala's most acclaimed destinations. KTDC brings its extensive understanding of Kerala to offer the most comprehensive tourism network in Kerala. From reservation to transits houseboat cruises, to Heritage tours, motels to information centers, holyday packages to MICE holiday, spices tours to worldwide safaris and more.

KTDC HOLIDAY PACKAGES With a perfect understanding of varying tourists need KTDC has evolved a comprehensive tour packages that suit the tourists all over the world.

MICE PACKAGES With its properties set in some of the most inspiring location in God' Owns Country', KTDC offers exclusive packages for conducting meeting, Conventions and Exhibitions.

CUSTOMIZED PACKAGES KTDC also offers packages tailor- made that suit the needs and preference of the customers.

CENTRAL RESERVATIONS KTDC have centralized booking networks, which ties up with prime hotel chains across India. Central Reservation Office is at the KTDC office. The customers can contact by phone or by mail to book the packages.


4.1 INTRODUCTION Kerala Tourism Development Corporation Hotels and Resorts Limited following Functional Organization Structure. Each part has a functional purpose with regard to helping its internal or external customers. This structure is easy to manage. Viewing the organizational chart on the Hierarchical manner we can understand that KTDC‘s organization structure is traditional, one where a clearly defined boundary exists between management and employees. The boundary exists because managers have to be seen as the top of a hierarchy as if the decision—making process in most important task for an organization whereas employees are kept at the bottom as if their works is less important than the managers. The organizational structure of Kerala Tourism Development Corporation Hotels and Resorts Limited is headed by Chairman, Board of Directors and a Managing Director. The Corporation has 8 departments in Corporate Office and three Regional Officers located at Calicut, Thiruvananthapuram and Ernakulum. There are 18 small units spread all over the state. Each department has a Departmental Head and under him various subordinate staff.



Board of Directors Managing Director

Company Secretary & Finance Controller

Chief Accou nting Officer

Chief Corporate -e Engineer

Marketing Manager

Superinte ndent

Accoun ts Officer

Project Enginee rs

Assistant Manager

Senior Accountant

Superinte ndent Staffs


Assistant Engineer



Personal Officer

Manager Training

Regional Manager

Deputy Manager (Personnel)


Unit Managers

Managers of Hotels

Superinte ndent (Administ ration)

Manager CRC

Superinten dent


Commer cial Manager


Vigilan ce Officer

Junior Superintendent Staffs


The traditional organization structure of Kerala Tourism Development Corporation Hotels and Resorts Limited is as follows, Level 1 — CHAIRMAN Chairman controls the overall activity of the organization. He is the reporting officer of level 2 managers showing the organization chart. He is responsible for solving issues at his level in most of the situation. The Chairman of the Board of Directors (the Chairman) role is to lead the work of the Board of Directors. DUTIES AND RESPONSIBILITY OF CHAIRMAN The Chairman has a particular responsibility to ensure that the Board of Directors operates satisfactorily, and that the duties of the Board of Directors are performed in the best way possible. The Chairman shall also ensure that board meeting are held as efficiently as possible, and that the particular Knowledge and competence of each board member be applied in the best manner possible to the benefit of the company. The chairman's shall not perform duties for the company that do not constitute an inherent part of the Chairman's duties with the exception of isolated tasks that the chairman is required to perform by and on behalf of the Board of Directors. The main duties of Chairman are; 

Meeting of the Board of Directors

The Board of Directors books of Minutes

Evaluation of the Board of Directors work

Evaluation of the work of the Executive Management

Evaluation of the cooperation between the Board of Directors and the Executive


Level 2- MANAGING DIRECTORS The second level of the organization consists of different heads of functional departments. The functional managers of Augustan Textile Colors Limited are follows

1. Commercial Manager I 2. Commercial Manager II 3. Marketing Manager 4. Personnel Officer 5. Chief Corporate Engineer 6. Chief Accounts Officer 7. Training Manager 8. System Analyst The Chief Accountant Officer is controlled by Managing Director through Secretary and Finance Controller. The reporting officer for the above managers is the Managing Director. Each of these managers has a clear idea about their respective departments. They will solve problems in their departments at their authority in most of the situations otherwise they will refer it to Chairman. Level 3- LOWER MANAGEMENT Every departmental Manager is subordinated by one or more Middle Level Managers, each of the managers will have a deep technical knowledge about the functions of that department. It is a promotion post. The vacancies are filled by promotion on the basis of performance and seniority.

By defining these levels, managers can show other people who is really the boss within an organization and then to exercise that kind of authority on others by controlling

employees and telling them what to do and the employees have to follow the orders very precisely irrespective of the problems that may exist in the organization (e.g. Lack of resources, training etc). Duties and responsibilities of lower level management

a. Assigning of jobs and tasks to various workers. b. They guide and instruct workers for day to day activities. c. They are responsible for the quality as well as quantity of production. d. They are also entrusted with the responsibility of maintaining good relation in the organization. e. They communicate workers problems, suggestions and recommendatory appeals etc. to the higher level and the higher level goals and objectives to the workers. f. They help to solve the grievances of the workers. g. To supervise and guide the sub-ordinates. h. They are responsible for providing training to the workers. i. They arrange necessary materials, machines, tools etc. for getting the things done. j. They prepare periodical repots about the performance of the workers. k. They ensure discipline in the enterprise. l. They motivate workers.

4.2 MARKETING DEPARTMENT Tourism Marketing comprises fact finding, data gathering, analysis (marketing research) and communication to uniform and promote (promotion), ensuring and facilitating sales, selection of marketing planning (distribution), co-ordination, control and evaluation (marketing, planning and audit), developing professionally sound personnel. Marketing department of KTDC Hotels and Resorts Limited is putting their integral effort to satisfy tourist and also transforming the potential tourists into actual customers. Fig no: 4.2 structure of marketing department

Manager (Marketing)

Deputy Manager (Marketing)


Manager CRC & Office

TRC Thiruvananthapuram

TRC Cochin

TRC Chennai

TRC Delhi

4.2.1 OBJECTIVES  To satisfy the customer‘s needs and wants through creating and exchanging of service.  To develop and retain the customers.  To promote Kerala Tourism. 4.2.2 FUNCTIONS  To gather market information and facts and analyzing the information.  To inform the customers and their by promoting the business through press release, tour fests etc.  To analyze customer complaints and to take preventive action against recurrence of similar complaints.  To develop new tour packages that suits the customer preference.  To make additional promotional activities like advertising, publicity etc. 4.2.3 ACTIVITIES Marketing department of Kerala Tourism Development Corporation Hotels and Resorts Limited deals with selling, advertisement, printing and distribution, public relation, hospitality and conducting international tour fest.  DIRECT SELLING Kerala Tourism Development Corporation Hotels and Resorts Limited adopts direct selling technique to attract new customers. They have agents throughout India. The executive directly contact with the tourists and give them necessary information regarding accommodation, tour packages and their rates. The agents report it to the head office to make arrangements for them through mail or telephone. The payments are sending after taking the commission.

 ORGANISING NATIONAL AND INTERNATIONAL TRAVEL AND TOUR FAIRS Kerala Tourism Development Corporation Hotels and Resorts Limited used to conduct travel and tour fairs tour fairs as a promotional strategy. In this fairs the marketing executives are appointed to clarify the queries of the travel agents through the world.  ADVERTISING Kerala Tourism Development Corporation Hotels and Resorts Limited used to give a number of advertisements about their hotels and their tour packages in TV, Radio and Magazines etc. and they have their own website  PRISING AND DISTRIBUTION OF VARIOUS TARIFF MATERIALS Kerala Tourism Development Corporation Hotels and Resorts Limited supplies various brochures to the agents specifying their tariffs regarding the hotels. For printing brochures quotations are called from the concerned parties and one with the lowest cost is selected. Purchase order is issued with the approval of MD.  HOSPITALITY Kerala Tourism Development Corporation Hotels and Resorts Limited gives importance to their hospitality. Kerala Tourism Development Corporation Hotels and Resorts Limited offers free accommodation and other facilities to the foreign tour operators. They tried their level best to retain their customers and there by attracting the new customers.  HANDLING CUSTOMERS COMPLAINTS KTDC Hotels gives a feedback form to the customers to collect their opinion regarding the services and behavior of the Hotels and the Staff's. The Marketing department issues these feedback forms to the Hotels and analyzes it to make necessary suggestions.

4.2.4 MARKETING MIX ADOPTED BY KTDC  PRODUCT MIX Like the manufactured product, the potential tourists, cannot feel, taste or sample a package tour. The tourist‘s product is non-material, intangible thing. Every product is aimed at some marketing and its marketing success depends essentially on its fit with market. The development of accommodation facility by opening new classified and unclassified hotels, the channelization, of sale, comfortable and fast transportation facilities, and availability of sophisticated communication facilities at tourism sites of hither and thither the sites and hotels are some of the important components of tourist organizations. So Kerala Tourism Development Corporation Hotels and Resorts Limited the pioneering destination developer is bringing its extensive understanding of Kerala by offering the most comprehensive tourism service network in Kerala. From reservation to transit, house boat cruises to heritage tourist, motels to information centers, holiday package to MICE holidays, spice tour wildlife safaris are offered by the official host KTDC.

 PRICING In tourism industry the pricing decision is found critical and challenging since it is a multi-segment industry when a tourist proposes to visit a particular place, the total cost on his or her traveling includes the expenses incurred on transportation, communication and accommodation and so on.

The room tariff of Kerala Tourism Development Corporation Hotels and Resorts Limited is fixed based on MAP and AP plan. The tour packages are priced on the basis of season. Off season packages are offered from April to September and season packages are from October to March  PLACE

A sound distribution system is found essential to improve the quality of service and to bridge over the gap between promises and service offered. KTDC had appointed general sales agents throughout India to give necessary information regarding Kerala Tourism Development Corporation Hotels and Resorts Limited to the tourists. The important sales agents are; 

M/s Indian Tourism Development Corporation Limited, New Delhi

M/s Tourism Corporation of Gujarat Limited

M/s Utter Pradesh Tourism Development Corporation Limited

M/s Frontier Tours and Travels. Hyderabad

M/s lntersight Tours and Travels Private Limited

M/s SIMAS, Pune

M/s Goa Tourism Development Corporation

M/s Dream Holidays, indoor

M/s Peerless Travels Private Limited, Calcutta

M/s Frontier Tours and Travels, Bangalore

M/s Jai Maruthi Holidays. Alappuzha.

 PROMOTION Creation of awareness has a far reaching impact in a tourism industry. The tourist organization bears the responsibility of informing, sensing and persuading the potential tourist in a right fashion. The tourism promotion is an effort to implement marketing plan formulated by the tourist organization. It helps in maximizing the duration of stay, frequency of visit by offering new tourist products in the country. It is a marketing effort which consists of marketing communication to transmit information about the business to all participants as well as the users. Tourism Development Corporation Hotels and Resorts Limited offers four types of promotional mixes.

 ADVERTISING It is used to give advertisements on Television, Newspapers, and Magazine etc. it helps in furnishing the information to the tourists and simplifies the process of transformation. It is aimed to public to create awareness of travels offers available on resorts and its attraction.  PUBLICITY Kerala Tourism Development Corporation Hotels and Resorts Limited is one of the profit making Government Company and so it is getting adequate publicity through word of mouth and press media.  PERSONAL SELLING To market its product Kerala Tourism Development Corporation Hotels and Resorts Limited adopts personal selling technique. Personal selling is the personal presentation of the intangible service offered by the company to the customers.  TELEMARKETING Kerala Tourism Development Corporation Hotels and Resorts Limited used to telemarketing technique to transmit the required information and to remove the confusion and misunderstanding the flow of business expansion.

4.3 PERSONNEL DEPARTMENT Personal and administrative department is responsible for ensuring the maximum utilization of the available human resources to achieve the organizational objectives as well as carrier goal of the employees. Fig no: 4.3 structure of personnel department

Personal Officer

Deputy Personnel Officer

Senior Superintendent (Administration)

Junior Superintendent (P&A)

Senior Officer Assistant

Office Assistants

Junior Superintendent (HR)

Senior Office Assistant

Office Assistants

4.3.1 OBJECTIVES OF PERSONNEL DEPARTMENT  Determine the level of staffing needed for the flight department by assessing workloads in order to make efficient use of corporate use of corporate assets  Understand the complexities and interrelations involved with crew scheduling for flexibility morale and maximum crew utilization.  Corporate personnel policies and industry practices.  Industry standards/ norms.  Measuring current staffing level against demand.  Support technical training for all personnel within the flight department using recognized external and internal programs.  Promote personal and professional growth through training and education by providing financial support and scheduling flexibility in order to support career development.  Prepare to fill key positions by identifying potential candidates and providing the necessary training.  Evaluate compensation for the department using benchmarking surveys and considering corporate policy and total compensation packages in order to attract and retain employees.  Respond to employee performance by rewarding or disciplining as appropriate in order to maximize the effectiveness of the departments.  Recognize understanding and manage human performance in all work environments that is influenced by human factor.


Recruitment to the service of the corporation is made in three ways. 

DIRECT APPOINTMENT: It is made out of the names sent on request of the

corporation by the employment exchange and a Board or from among others on the basis of application received in pursuance of advertisements in newspaper. 

PROMOTIONS: It is done from the personnel in the service of the corporation.

DEPUTATION FROM OTHER SERVICES: Deputation from the service of the state or central government or from the service of the statuary bodies.

SELECTION: Selection of the candidates for appointment of the post under the corporation shall be made by the staff selection committee of the board constituted for the purpose, with the chairman, the Managing Director and not more than three other Directors nominated by the Board.

SENIORITY: Seniority of the employees of the corporation is determined as follows;

 Seniority of an employee is made by determined the date of his first appointment to the respective category of post unless he has been reduced to a lower rank as punishment.  The appointment authority at the time of passing an order appointing two or more persons simultaneously to a particular category of post, fix the order of preference among them and seniority is determined accordance with it.  PROMOTION TERMINATION AND REVERSION  Employees directly recruited to the service of the Corporation shall ordinarily be on probation for one year on duty. Lf the component authority is not satisfied with the work of the probationer, the period of promotion may be further extended at the discretion of the Competent Authority.  During or at the end of the period of probation, the services of an employee can

be terminated without notice and without assigning any reason thereof, by order of the competent authority.  An employee of the corporation who has been promoted to a higher grade in an officiating capacity shall be deemed to be on probation for a period which may be extended to one year during his period he may be reverted to this substantive post if the competent authority so desired without assigning any septic reason. 


 The services of an employee who has acquired a lien in any post in the corporation by having been confirmed against a permanent post may be terminated.  As a result of disciplinary action taken against him in accordance with these rules.  ln the event of the employee being declared medically unfit for further continuance in the Corporation Service.  RETIREMENT FROM SERVICE

An employee will ordinarily retire from the service of the Corporation on the afternoon of the last day of the month in which the employee completes the age of 58 years. The Board can, in appropriate cases, allow the employee an extension of service by one year at a time but extension shall not be given more than two years for an employee.  ALLOWANCES

Dearness allowance, House rent allowance, compensatory allowance and such other allowances will be payable to the employees of the corporation in accordance with the scale and condition laid down by the Board. The Managing Director can subject to the approval of the board, give conveyanceallowance in appropriate cases.

 HOLIDAYS Board shall prescribe annually the holiday for the Corporation. The Managing Director shall have power to declare any holiday or part there of as working day in the interest of work and grand another day or part there of as compensation holiday. Special holidays, can be declared by the Board on special important occasions.  WORKING HOURS The working hours for the office of the Corporation will be between 10.15 am to 5.15 pm with a lunch interval of 45 minutes from 1.15 pm to 2.00 pm on all working days.  KIND OF LEAVE  CASUAL LEAVE  The maximum number of casual leave in a calendar year for the employees shall be 20 days.  Casual leave may be combined with Sundays and other holidays provided that maximum period of casual leave inclusive of holiday shall not exceed 10 days at a time.  Casual leave cannot be taken in combination with any other leave recognized under these rules or with joining time.  EARNED LEAVE All employees shall be entitled to earned leave on full pay and allowance at the rate of one eleventh of the period spend on duty, provided that can employee will cease to earned leave when the earned leave accumulates to 300 days. The maximum earned leave that may be granted at a time shall 120 days.

 TERMINAL LEAVE Earned leave to the extent admissible and leave salary thereof may be granted to an employee at the discretion of the sanctioning authority on the termination of service on account of retirement or abolition of posts or continued till health before attaining the age of superannuation even when it has been applied for and refused in the interest in the interest of Corporation.

 HALF PAY LEAVE All employees shall be entitled also to half pay leave in respect of each completed year of service at the rate of 20 days per year. This can be availed of on production of medical certificates or for attending matters.  MATERNITY LEAVE Maternity leave on full pay drawn prior to the date of proceeding on leave may be granted to a female employee who is exempted from the coverage from the scheme on maternity grounds of a period of 135 days from the date of its commencement or to the end of eight weeks from the date of confinement whichever is earlier.  TERMINATION OF EMPLOYMENT The management shall have the right to terminate the services of any employees by any of the following methods. a. Discharge b. Dismissal c. Retirement d. Retrenchment

A. DISCHARGE Discharge may be either on giving one months notice of one month's wage in lien and may be done in either of the following cases. a. On an employee becoming medically unfit for work. b. On the termination of contract of service. c. On an employee being convicted by a criminal court with imprisonment. d. On an employee tendering his resignation from work. e. On an employee being appointed by any other Private of Government organization, it he applied for the same though this corporation. B. DISMISSAL Any employee may be dismissed from the service of Corporation if he is found guilty of any misconduct stated in this the standing orders. In every cases where an employee is liable to be dismissed the management may, at its discretion discharge him on payment of compensation provided under the Industrial Disputes Act 1947.

C. RETIREMENT All employees shall be retired by the Management on their attaining 58 years of age, and for this purpose all employees shall produce satisfactory evidence their date of birth when they are appointed. For existing employees in case their dates of birth are not furnished.


Retrenchment shall be efficient under the provisions of the Industrial Disputes Act, 1947.  DISCIPLINARY ACTION The following punishments may, ‘for good and sufficient reasons‘, be imposed on

employees, as herein after provided. i.

Warnings: for any misconduct, an employee may be warned.


Fines: an employee may be fined up to 2% of his wages in a month in a month for any of the following acts and omission. a. Late attendance in more than two occasions in a month. b. Negligence of work. c. Breach of any rules of safety or instructions for the maintenance of cleanliness. d. Any violation of the provisions of the contract of the service already entered in to with the Management. e. Distribution circulars, papers of posters inside the establishment without the permission of the Management.

iii. With holding or postponing increments or promotions. This punishments may be imposed on any employee who repeats any act or omission for which the punishment in fine.  RECOVERY OF DAMAGES Damages may be recovered from any employee who is guilty of the loss, destruction of partial loss of any goods belonging to the Establishment or any machinery of the Establishment or any machinery of the Establishment expressly entrusted to him caused due to the negligence on the part of the employee concerned.  INDUSTRIAL RELATIONS AND TRADE UNION MATTERS Industrial relations deals with the relation between employees and employers in the industrial organization so the personnel department of Kerala Tourism Development Corporation Hotels and Resorts Limited has implemented sound human resource policies, constructive attitude between trade union and management, participative management, employee welfare scheme and have sound grievance procedure scheme.


Personal and administrative department solves the dispute occurring in the organization. They legally advice on matters referred from various others departments of the Corporation on subject varying from recruitment, service matters of commercial transactions.  AWARDS AND APPRECIATION The department gives awards and appreciation to the employees for their good service. "Good service entry award‖ is one of the awards to the employee for their performance. ‗Best Manager Award‘ is provided to managers for their superior performance.  TRADE UNIONS OF KERALA TOURISM DEVELOPMENT CORPORATION HOTELS AND RESORTS LIMITED  KTDC Employees Congress (INTUC).  KTDC Employees Association (CITU).  KTDC Employees Federation (AITUC).  KTDC Employees Union.  KTDC Workers Association (UTDC).

4.4 TRAINING DEPARTMENTS Training Departments is newly formed department in the corporation. This department is headed by the Manager (Training). This department focuses at the training of the employees of the Kerala Tourism Development Corporation Hotels and Resorts Limited. The department is result of the hard work of several people over several years. During the beginning, the department intends to train only the personnel of the units that is the various hotels YathriNivas and restaurants and beer parlour. Training is basically focused on behavioral development of employees.

Behaviour is a major factor in the hospitality Industry. Training is intended to improve the behavioral aspects of the employees and thereby increases the customer satisfaction. Customer dissatisfaction worldwide depends 80% on behavioral aspects. The department claims that India, especially Kerala has high level of hospitality. The training will lead the employees to sequence themselves to the level of customers, which would lead to greater customer satisfaction in this industry, when the traveling.

The training department plays a significant role in the performance of an organization. On the job training is the most common form of training given at KTDC. The job trainee learns while he is actually engaged in doing a job. The probation period for the training is one year. Kerala Tourism Development Corporation Hotels and Resorts Limited has regular Human Resources Development training program given to the non employees for the sake of social service. Its training period has duration of 6 months to a maximum of 2 years. The organization employees attend the training conducted by the corporation and also outside training is conducted by the agencies from outside. These training are conducted systematically. Kerala Tourism Development Corporation Hotels and Resorts Limited also gives training for the waiters, servicemen etc.

Manager (Training )

Assistant manager



Fig no : 4.4 : structure training department

4.4.1FUNCTIONS OF TRAINING DEPARTMENT  MANAGEE TRAINING FUNCTION  What are the vision, mission and function properties.  Key training and development roles.  A staff of one: keeping your sanitary.  Conduct a training department‘s systems audit.  Manage and develop the training staff.  INTERNAL COUSULTING SKILLS 

Analyze employee‘s role in organization.

ldentify who are their clients.

Trainer vs. consultant vs. change agents.

Gain management‘s commitment to their functions.


Make vague training needs specific.

Sort out training needs vs. wants.

Developing performance improvement plan.

How to trouble shoot training problems.


Check employees influencing style.

Built credibility with line managers.

Be more responsible to the organization.

How to develop three-way partnership effectively.


Conduct a cost—benefit analysis.

Find performance indicators to demonstrate trainings benefit.

Use a tool to compare training delivery methods.

4.4.2 OBJECTIVES OF TRAINING The objectives of the training department to identify the required training needs of an organization and fill the gap with a host of training methods for the welfare of the organization and employees on a whole. 

Imparts new skills.

Includes new ideas, knowledge and concepts.

Aligns the training needs to fulfill the organizational short and long term goals.

Conducts the post evaluation to ensure the satisfaction levels to refine the future training needs.

 ON THE JOB TRAINING On the job training is the most effective method as the trainee learns by experience, making him/her highly competent. On the job training is conducted at the work site and in the context of the job. It is informal. This method is least expensive. 4.4.3 TYPES OF ON THE JOB TRAINING ADOPTED BY KTDC 


It is method in which training is offered without the intension of a trainer. Information is provided to the trainee in blocks, either in a book from or through teaching method. After it is ready each block of material, the learner must answer a question about it, feed back in the form of correct answer is provided after each response.  OFF THE JOB TRAINING 


Lectures are verbal presentation of information by an instructor to a large audience. The lecture is presumed to possess a considerable depth of knowledge of subject at hand. A virtue of this method is that can be used for very large groups and hence the cost per trainee is low.


Audio visual include television slides, overhead projects, video tapes and video clips. These can be used to provide a wide range of realistic examples of job conditions and situations and the condensed period of time. Further, the quality of the presentation can be controlled and will remain equal for all training groups. There is an evaluation process to evaluate the effectiveness of the training program. Usually the evaluation takes place after a period of 3 months from the completion of the training, but now a day the evaluation is done while the training is going through. After completion of the training there is a job evaluation. Training evaluation is done through two evaluation processes; 

Measuring the Productivity level.

Measuring the increase in the customer satisfaction level.

There is a customer satisfaction index. A questionnaire of 22 questions is prepared which is given to the customers. The customers have to fill it. These responses are then collected. Even though the responses are collected for different units, these are combined by the department and then evaluated altogether. The idea is to have an even change in all the departments and to find out the various problems faced by each unit.

The training department is also planning to provide technical training to the units also. The training managers for front office management, housekeeping, food and beverages service. The training managers will coordinate with the corporate training manager to conduct the training process. The training managers will have the freedom to train the employees, but he has to coordinate with the training manager in corporate office. Also the training lesson will be dispatched from corporate office only. The training report has to be submitted immediately after the training. There is no particular claims very little deviation from the targeted training cost.

The training department is determined to change the corporation by providing quality to the skills of the employees. There by increasing the customer satisfaction and increasing the revenue of the corporation.

4.5 ACCOUNTING DEPARTMENT Secretary and Controller of Finance

Chief Accounts Officer

Accounts Officer

Superintendent of Accounts

Senior Accountant


Office Staff Fig no: 4.5 structure of accounting department

Accounting Division maintains the records relating to financial dealings of Kerala Tourism Development Corporation Hotels and Resorts Limited, the computation of salary and related matters. The Chief Accounts Officer heads the department.

Kerala Tourism Development Corporation Hotels and Resorts Limited is having about 60 units in various packages throughout the state. The above 60 units are classified into; 

Centralized Units

Decentralized Units

In centralized unit the income and the expenditure account is prepared and send to the head office. In a decentralized unit, the trial balance is prepared and sends to the head office. After coordinating all these, the consolidated accounts of KTDC are prepared. For the financial control and uniform collection, the sales analysis statement, sundry debtor's statement, advance-received statement etc are used. This is also used for the management and for budgetary control. For each unit separate annual budgets are prepared. The annual budget is split into monthly budget and performance is collected from the units and the variations are analyzed. The major costs like food ‗cost, beer cost, energy conservation and profitability in total is calculated. The annual budgets of these units are combined together and it forms the annual budget of Kerala Tourism Development Corporation Hotels and Resorts Limited. Along with the separate capital budget is also prepared based on the request from the unit for capital addition and based on the future program for developments. The means for capital requirements are met from the internal resources and also financial assistance from various sources. All the budgets and accounts and reports are placed before the BOD an appropriate time and get their approval. The Chief Accounts Officer heads the division. Below him an accounts officer is there.

The total staff strength of the division is 26. This is a fully computerized division. Accounting in- a commercial organization represents writing of financial transactions of the enterprise in a chronological order under the double entry system of book keeping on an accrual basis. Accounting includes orderly and timely recording of cash receipts and payments, recordings of rights, liabilities and obligation which flow from contracts, even though the transactions are settled in cash terms.

Accounting includes proper classification of assets, liabilities, income and expenditure to meet legal requirements, to take managerial decision to draw performance report based on budgets. Conventionally, accounting refers to cost based system of writing of financial transactions. Detailed registers are used for both documentation and deals about the financial transactions. It sub serves as an authentic data for management decisions.

Internal audit is checking of financial and other related record to ensure that enterprises financial function is carried out as per the procedures prescribed and appraise the top management about the deficiencies; irregularities if any suggest improvements if possible. Internal audits are basically a management function to serve management requirements. It is not a report given to outsiders.

Statutory audit is basically a certifying function after the examining the books of accounts and other evidence with the Balance Sheet and Profit and Loss accounts to ensure that they are true and fair and in accordance with accounting standards. Accounting standards are acceptable norms used on generally accepted Accounting Principles and practices prevailing India.

4.5.1 General Objectives

The general objective of the department is to produce qualified people who can meet the national and global needs in accounting and auditing.

4.5.2 Specific Objectives 

To promote qualified accountants who can

Handle general accounts

Apply cost accounting

Prepare budget

Produce financial reports

Undertake examination of records (auditing)

Make better financial decisions

Analyze project proposal and appraisal.

4.5.3 The Activities/Task to be performed by the Department 1. Provide short term training and workshop for both internal and external users. 2. Establish relationship with similar academic institutions to share experience and solve common academic problems. 3. Create smooth relationship with employers in order to  

Assess their man power requirement and evaluate course offering. Find job opportunities for graduates.

4. Arrange opportunities for staff development and research activities.

4.5.4 Functions        

Preparation and maintenance of accounts. Preparation of advanced capital budgets. Monitoring internal audit system. Budget and Budgetary Control. Statutory Audit Payments of Sales Taxes/ Luxury Sales, Service Tax and Expenditure Tax. Maintaining Payroll. Payments to casual labors or trainees.

  

Contractual payments Accountings for fixed asset. Payment of goods

4.5.5 Functions and responsibilities of accounts department The accountants and accounts superintendents are expected to write the following books/registers.

1. Manual cash books, posters of vouchers/ data in the computer, poor list, checking and correction updating. 2. Posting to ledgers. 3. Prepare journals, data entry in the computer, proof checking and correcting updating. 4. Fixed asset register writing, writing asset identification No. in the asset etc. 5. Filing and maintaining statutory returns includes sales tax, income tax, wealth tax, luxury tax, expenditure tax, service tax, provident fund. 6. Filing and preservation of vouchers, files, registers, receipt books, copies, and statement etc. relevant for accounts and audit. 7. Maintaining MIS track records. 8. While processing advance to manager/ staff, the accountant/ staff, the accountant superintendent should ensure that no previous advance is pending for settlements and all advance settlement submitted has been processed and vouchers has been prepared and passed. 9. Taking of reconciliation of bank on every month is the responsibility of accounts/ superintendent (accounts) same way advance of all type has to be reconciled and schedule has to drawn up once in every month, i.e._, in the first week of the succeeding month itself. 10. Preservation accounts manual and annual closing instructions.

Ledger section

Ledger section performs functions such as passing and settlement all miscellaneous advances, freight advances, local purchases, personal accident claims of all employees, bills connected with work/ telephone/ water charges/ excise duty etc.

Party bill section

This section deals with service bills for rendering services such as telephone, typewriter, computer etc. Service bills are usually of a contract nature with respect to work order supplied. The accounts department certifies the bills prepares cash/cheque payment accordingly. This department prepares the vouchers for the above these vouchers are sent to finance department for drawing cash.

4.5.6 BOOKS TO BE MAINTAINED BY THE ACCOUNTS DEPARTMENT 1. Cash Book 2. Ledger 3. Journal 4. Fixed Asset Register 5. House Stock Register 6. Bank Pass Book/ Statement and Reconciliation Statement 7. Loan Registers and Registers of Charges 8. Statutory returns like a) Sales Tax Returns b) Luxury Tax Returns copy collected from the unit. c) Service Tax Returns copy collected from the unit. d) Expenditure Tax Rectums copy collected from the unit. e) Certificates received by KTDC.

9. MIS reports of the head office.

10. Cash payment. bank payment, journal vouchers 11. Original bills/' receipts 12. Register of company‘s assets including rooms used by the executives. An accounts manual is prepared for easy working of the accounts department. it encompasses all works and duties of the accountant department. Balance Sheet is statutorily prepared at 31st March in every year. Profit and Loss account is also prepared along with the balance sheet. Profit and loss account is generally prepared every quarter for discussion in board meeting. Management Information System (MIS) is generally dominated from the accounts for various financial decisions based on performance. While consolidating MIS is used as a tool for ensuring, and understanding corporate performance, department wise performance report ensure the ability and efficiency of each department.

Internal audit is done for checking of financial and other related record to ensure that enterprise financial function is carried out as per the procedure prescribed and appraise the top management 5; about the deficiencies, irregularities, if any suggest improvement if possible. Internal audit is basically a management function is find out management requirement. It is not a report to be given to the outsiders.

Statutory audit is prepared and basically it is a certifying function after examining the books of account and other evidences with the balance sheet and profit and loss accounts, to ensure that the balance sheet is true and fair with accounting standards.

Collections from room guests should be received at the Reception. Guest's entry should be made in the Reception Register with time and no: of inmates in room. Advance amount should be collected and entered in the register and the receipt should be issued to the guests. The entire service bill should be entered in the Visitors Ledger (VL). Visitors Ledger sheet contain all columns as that of bill issued to the room guests. Collections from restaurant/bar should be handed over to the reception office on regular basis at a fixed time. The collections should tally with sales summary/sales register.

Books copy of the sales bills must be handed over to the accounting section. Daily collections from all departments shall be deposited into the bank on the next working day. Monthly statements like Visitors Leger reconciliation. Bank reconciliation and stock statement should be submitted to Head Office before 5th of the succeeding month.

4.5.7 Payments of Sales Tax/ Luxury Tax Sales tax / Luxury tax should be remitted into Government Account before 10th of every month and monthly return will be filled. All the units coming under the control of regional office should forward the sales tax/ luxury tax collection details to the regional office concerned before 5th of every succeeding month to enable the regional office to remit the amount in time and file monthly annual returns in time. Annual returns of sales tax, luxury tax etc. should be filed within one month from the end of the financial years and figures should tally with the annual accounts. If there is any mistake in the monthly returns revised return should be filed with reason for revision. Payments of Expenditure Tax Expenditure tax should be collected from the guests are remitted with the authority before 10th of succeeding month and return to be filled within 4 months from the end of the financial year. 4.5.8 ACCOUNTING FOR STOCK TRANSACTIONS Purchase of goods Goods should be purchased from empanelled suppliers at contracted prices. The quality specifications and quality should be in accordance with the purchase order. Purchase order book should be serially numbered and copies shall be maintained. Minimum level, maximum level and recorder quality of the stock should be fixed in advance and order should be placed by observing this.

While receiving the goods, the stores departments should verify the quality and quantity of the items with reference to the purchase order and should be entered in the stock register with a note in the original invoice/cash bill mentioned the stock register folio and date of entry. If there is a shortage of delivery, the details should be noted on the top of invoice/ bill and the fact should be reported to the supplier immediately with a copy to accounts department. Only the net value after reducing the value for shortage should be paid to the supplier and entered in the purchase register and suppliers ledger/ cash book. The accountant shall make the entry in the financial books, i.e., Purchase register in relevant column to which the stock belongs to. In the case of cash purchases, the same should be entered immediately in cash book also. In case credit purchases, entry should be posted to the Suppliers Ledger Simultaneously. Purchase register folio should be noted on the Suppliers Ledger and Suppliers Ledger folio or Cash Book folio should be noted in the purchase register. Purchase register total for a month should be taken to a folio in General Ledger for control purposes. Such General Ledger folio should be noted in purchase register for having confirmed the posting. Payments for Goods All payments to the empanelled suppliers/ contractors should be made by the way of accounts payee crossed cheques preferably once in a month. If the party doesn't collect the cheque directly from the accounts department, the same should be dispatched to the party as a registered post with Acknowledgement due. Accounting for Labour Cost, Appointment of Staff, Trainees All the appointments of regular staff should be made with the approval of head office. Appointment of casual laborers, trainees and their remuneration should be made in

accordance with delegated authority of unit in charge. Service record should be maintained in the unit for every regular staff. File should be maintained and kept for laborers/ trainees etc. Receipts to payment made to Casual Laborers / Trainees Casual labors/ trainees should pay on monthly basis based on attendance sheet and wages contracted. The receipts should duly be stamped and signed with date by the person concerned. Accounting for Contractual Payments Payments to maintenance contractors like lawn maintenance, electrical maintenance, plumbing, cable TV operators, Security Contract etc. should be paid as per the contractual obligation, for this a register may by maintained mentioning the principal terms and conditions of the contract and payment entries shall be made in the register then and there. Accounting for Fixed Assets Fixed assets like furniture, fillings, fans kitchen utensils, freezer generator, refrigerator, TV‘; etc should be recorded in a register. Before purchasing any assets the unit in charge should ensure whether the item was included in a capital budget. If not proper authorization should ensure whether the item was included in the capital budget. If not proper authorization should be obtained from the regional office or head office. Purchase order should be placed and wherever possible it should be brought from the empanelled/approval supplier. Full payment should be made after successful delivery/installation and trial run. Once the asset is delivered and installed, an identification number should be marked and the same is written in the fixed assets register. Every year end, a list of assets should be taken. Damaged Stock and missing item should be accounted separately. Depreciation

should be calculated every year as perthe rates and manner prescribed in the law. 4.6 COMMERCIAL DEPARTMENT

Managing Directors

Commercial Manager 1

Regional Officer

Commercial Manager 11

Manager Tours And Travels



Unit Controller

Staffs Fig no : 4.6 structure of commercial department

Commercial department is headed by the manager (Commercial). This department mainly looks after the operation of various units under the corporation. This department also deals with matter relating to the properties owned by the corporation taken and given on lease basis, new projects etc. all material relating to pricing of food, beverages, liquor etc, menu planning, purchase of permanent assets, food cost control, matters relating to Abkari including obtaining and renewal of bar/beer parlors‘ license and liaison with excise department, supply of uniforms to employees, staff quarters, matter related to the case of customer protection act, land etc. the department also looks after matters related to food festivals, operation of water sports etc. 4.6.1 Functions of Commercial Department The commercial department mainly looks after the operation of the various units under the corporation such as Hotels, YathriNivas, Restaurants, Beer Parlors‘, Transport, Tourist Village, Shopping Complex etc. All operational/ functional units are placed under the commercial. It is also dealing with the matters relating to the properties owned by the corporation taken on lease basis, given on lease basis, new projects etc. Files handled by the commercial department are matters relating to pricing, menu planning, purchases, food cost, control, printing and stationary, food festival and other tourism related celebrations, matters related to establishing new units, site selection, finalization of terms and condition, execution of agreement, organizing the units for operation, monitoring the operation etc. matters related to acquisition of government land for tourism purpose-identify the land collected details of such lands from concerned taluk office, village office etc, and further actions with government and district collectors, matters related to taken over private buildings for the operation of restaurant and beer parlors‘ and other units, fixing of terms and conditions, execution of agreement and other correspondence with the building owner. Matters relating to the examining the visibility of new units/products.

One of the major functions of the commercial department is the purchase of the needed items for the corporation. For that the corporation has related a manual known as the purchase manual. The vision statement is the procurement of the optimum quantity of materials of specific quality in time at lowest cost. 4.6.2 Objectives of the manual 

To ensure uninterrupted supply of specific quality of materials at competitive process by procuring the materials according to the specification fixed for each procuring the materials according to the specification fixed for each hotel from reputed suppliers who offer competitive prices, quality product and prompt delivery.

Introduce scientific inventory management system to minimize the inventory carrying cost to improve the economic viability of the various hotels. '

Food production is carried in compliance with the standard receipts in hygienic condition to attract both domestic and foreign tourists to the hotels and thereby promote tourism in the state.

The purchase system in the corporation is followed by the two tier system for efficient and timely performance of purchase activity. The different levels are; 

Centralized purchase from Head Quarters.

Purchased by the major hotels.

Purchased by regional managers.

The corporation prepares a purchase budget for each purchase activity. The quotations are invited for purchase and procedures for inviting quotations are 1. Single quotations. 2. Limited quotations.

3. Sealed quotations. Purchase Committee; It will have a two tier purchase committee at 1. Head Quarters. 2. Major units and Regional Officers. The commercial division deals with commercial activities of the corporation. They are follows;  Central Purchase Commercial Department makes the purchase of cutlery, grocery, crockery etc for the units of KTDC. Steps 

Orders Requirement.

On the basis of above inquiries are sent to a maximum T parties.

On Due date Quotation are opened.

After approval from the concerned authority order is placed.

It includes acquisition of land, buying, ingredients for dishes, purchases in connection with room services etc. 4.6.3 GENERAL CORRESPONDENCE OF UNITS Commercial Department looks after the functioning of the units. The commercial Department controls and coordinates the functioning of the units. Keeping of Estate Files The department keeps the files regarding the payment details which include payment ofland tax, building tax etc of the units. Commercial Department keeps details of building rent, land purchases of the units.

 

Matters related to properties owned by Corporation taken and given on leased basis, new project etc. Looks after the Operation of various units under the Corporation.


Chief Corporation Engineer

Project Engineer1 (Electrical)

Project Engineer Grade11

Assistant Engineer

Project Engineer1 (Civil)

Project Engineer1 (Mechanical)

Project Engineer Grade11

Assistant Engineer




Fig no: 4.7 structure of engineering department

Assistant Engineer

Engineering Department is headed by Chief Corporation Engineer, Engineering Department does all construction and maintenance works of corporation. Engineering Department deal with new project development of units. Unit up gradation is also done by the department. There are mainly three sections: — Civil, Mechanical and Electrical wing.

Kerala Tourism Development Corporation Hotels and Resorts Limited mainly adopt land acquisition. The government provides the land for the construction of the units. Kerala Tourism Development Corporation Hotels and Resorts Limited appoints external Architects for construction. The necessary material for construction is usually purchased by giving tenders in newspapers. The quote with the lowest rates is selected. 4.7.1 ACTIVITIES Engineering Department has completed many projects. The division undertakes projects separately the total cost of the project should be approved by the Board. If estimate figure is more than Rs. 10 lakhs approval of government is compulsory. In case of new project it is presented before the Board meeting. Board meeting occurs ones in three months. Then it is submitted before the approval of governments. The department takes necessary information regarding the units. If any damages occur to the unit, it overlooks the construction work immediately without affecting the working of the units. The department is always busy with the extension and up-grading function. A project engineer should be appointed for each project under him there will be an overseer, accountant and an Assistant Engineer. 4.7.2 FUNCTIONS 

New project Development of the units.

Up-gradation of the existing units.

Routine maintenance of existing units.

Maintenance of Lifts, Automobiles and Air Conditioners.

Maintenance of Electrical Works.

 CIVIL ENGINEERING WING Civil section of KTDC deals with:

Construction plans for the new projects.

Prepare plans for the extent ion of the units.

Up-gradation of the existing units.

Maintenance of the existing units.

 MECHANICAL WING Mechanical wing of the Engineering department does the repairing works of the lifts, Air conditioners, piping works etc. The repair of the automobiles and boats are done by them. They have to check the functioning of the above materials.  ELECTRICAL WING Electrical section deals with all the electrical works of KTDC units. It looks after the wiring and other electrical works in co—ordination with the mechanical wing. 4.7.3 NEW PROJECTS CURRENTLY UNDER IMPLEMENTATION 

The Kerala Tourism Development Corporation Hotels and Resorts Limited, plans to set up new hotels in major cities and pilgrim centers in India.

Kerala Tourism Development Corporation Hotels and Resorts Limited would be ready to construct hotels at Triupati, Mookambika and Rameshwaram.

After the successful completion of the ten-storyed Kerala House in Chennai, Kerala Tourism Development Corporation Hotels and Resorts Limited is aiming for similar projects in Bangalore and Kolkata.

Renovation 0fHotel Chaithram, Thiruvananthapuram.

The Hotel Chaithram, which was commissioned as a mid-range budget hotel in November 1987, has not underwent any major renovations till now. In true with our policy for upgrading the existing properties, they proposed to carry out a major renovation of the unit. They have prepared an estimate for the up—gradation works that worksyaroundRs. 150 Lakhs. It will be carried out in two phases. The first phase consisting of renovation of 3 floors costing Rs.75e Lakhs is already completed. The second phase will also be completed within a period of six months time, without much disturbance to existing operations. 

Heritage Block of Mascot Hotel

Through the Mascot Hotel was up-graded into a 5-Star Luxury Hotel, they are yet to renovate the eastern bloc of the Hotel. This block is proposed to be developed as heritage block. Along with this work, the reaming works will be also taken up. The cost of this project would be around Rs. 200 Lakhs. The work is nearing completion.



HARDWARE AND SOFTWARE TRAINEES Fig no: 4.8 structure of system analyst department

This division deals with the computerization of the corporate office as well as the other units of the KTDC. Computerization is fastly getting done in every year. It makes work easier as well as more effective with minimal errors. This department helps the organization to perform this work. The department is headed by a system analyst. The premium hotels under KTDC are completely computerized. Under system analyst there are currently 15 assistants to help to perform the activities in these premium hotels. The staffs are employed on contract basis for 3 years.

At present, the department has computerized the 8 premium properties and also 2 budget hotels of KTDC. The department is concentration on entralizing the work of corporate office. This means that any matters relating to money will be entered directly to the computer which will be accessed directly by the accounts department. Currently they are doing the work for preparing a software package for hotel management. KTDC uses software known as HOTSOFT as the operating software. The division has associated a Cochin based company called Data Mate for this. The tie up with the expert is helping the department to carry out its activities in a more efficient manner. All of the staffs are well trained and the complaints regarding errors are minimum. The division is also working for online reservation to hotels, motels and Yathri.Nivases etc. Apart from that the department purchases required software's for the organization. They also maintain all the systems and accessories of the organization. 4.8.1 OBJECTIVES 

Ensure the delivery of high quality systems.

Provide strong management controls.

Maximize productivity.

4.8.2 DUTIES AND RESPONSIBILITIES System Definition (Analysis, Design, Cording) 


System Installation (eg. Data Conversion, Training)

Production Support (eg. Problem Management)

Evaluation Alternatives

Defining Releases

Reconciling Information Across Multiple Phases

Reconciling to a global view

Defining the projects technical strategy


Interact with customers to learn and document requirements that are then used to produce business requirements documents.

Write technical requirements from a critical phase.

Interact with designers to understand software limitations.

Help programmers during system development. Eg. Provide use cases, flowcharts or even Database design.

Perform system testing.

Deploy the completed system.

Document requirements or contribute to user manuals.

Whenever a development process is conducted, the system analyst is responsible for designing components and providing that information to the developer.

4.8.4 SUPPORTING DIVISIONS A. REGIONAL DIVISION This division is headed by the Commercial Manager II of the Commercial Department of the corporate office. The KTDC is divided into 3 regions: southern, central and northern. This division I supervises the functions of all the properties other than the premium properties. The premium properties are all centralized properties. The premium properties include all the 8 premium hotels. The properties include the YathriNivases, Motels,

Tamarinds Hotels, Sabala Restaurants and Beer parlours. There are all together 70 units under this division.

B. VIGILANCE DIVISION This division is headed by the vigilance officer. This department is necessary to resolve any kinds of complaints received. The main complaints received are regarding the behavior of the employees. The department looks after the nature of the complaints received. A complaint can be from anotheremployee staff of the corporation or from a customer also. There can be anonymous complaints also. An investigation is then carried out after the employee is suspended. A report is then prepared by the vigilance officer and submitted to the managing director. A record is kept for recording the complaints against the employees. An employee will be sent of from the organization. Complaints regarding sexual harassments are dealt seriously.




KTDC possesses the largest hotel chain in Kerala

KTDC is one of the profit making Government Company in Kerala.

KTDC is a public undertaking sector so the recording of funds is much easier

The corporation is supported with a dedicated team of workers by their goals, or the organization is easily achieved.

KTDC enjoys a very strong reputation

There is a good distribution and information network provided by the KTDC for promotional activities and for providing information to the tourists both domestic and foreign.

The corporation has well-qualified and experienced which can be effectively utilized for tapping the opportunities.


Organization does not follow a professional management system and hence efficient decision – making is not easily possible.

Proper channel of communication is not maintained within the organization.

Marketing efforts done by the corporation seems to be not enough.

Improper maintenance of funds may impair the functioning of the corporation.

The centralized attitudes of the work is mechanical and monotonous.

Tendency to overcharge tourists for services.

Lack of co-ordination by the various line departments in providing infrastructure.


Tourism is one of the fast growing industries in the world with new products in its arson, which are becoming more and more popular, which offers new opportunities and new markets.

The awareness and attitudes of people towards tourism is very much conductive to the growth of tourism industry in the state.

KTDC enjoys strong government support.

The climate and culture of the state is very much suitable for tourism industry.

The state specific features like high literacy rate, high position in human development index; low birth rate etc. offers sufficient opportunities for the development of tourism industry.

State is already marked its position through its charming backwaters, which provide sufficient potentialities for planning future projects.

Tourism policy issued by government calls for private investment and so rapid growth in the industry is anticipated.


Competition from private sector.

Various social organization do not support tourism development due to the fear that it will disturb the environmental balance and cultural heritage of the state.

Existence of unethical traders in and around tourism centers.



Lack of innovative tour packages: The present tour packages of KTDC are not so sufficient enough to satisfy every requirement of the tourists. This will result in the increase of profit within the private sector.

Interference of government: Almost in every matter, unnecessary interferences from a part of government will occur and this is a situation where the concerned project and development will be resisted.

Privatization: There is a feeling among the employee that the corporation is going to be privatized. This will affect the mental status of the employees by which the attainment organization goals will be difficult.

Arrival rate of the tourists: The rate of arrival of tourists in our state is increasing year after year. Majority of the tourists visiting Kerala are first timers, but the share of repeat traveler‘s particularly international tourists has been increasing rapidly.

Earning: The earning from the tourism sector increased a lot.

Lack of improper maintenance of funds: finance is the lifeblood of any business activity. The major problem connected with KTDC is the deficiency of finance and the available fund is not utilized in the proper manner. As the result the planned results are not maintained.

Centralization: The Centralization attitude of the management is a critical problem with in the corporation. By the situation employees are accused for the improper decisions took by the top-level management.

Delay of project: This situation should be avoided and only then the effective implementation is possible. A number of project, which were planning to be accomplished with a short period of time, are still in process.

The tourists are not satisfied with the type of behavior that is received from the local and the tour operator.


Proper promotion efforts should be made to attract different categories of tourists.

The government should take necessary steps to avoid the disturbance of unethical traders. Tourism Registration Act must be strictly enforced which will add sense of responsibility among the trader and an increased feeling of security among the tourists, especially for foreigners.

The corporation should take immediate steps to reduce employee grievances.

Create a body of experts for the implementation of suitable tourism, which must include academicians, environmentalists, industry representatives, government representatives, technological experts, local body representatives and voluntary organization representatives.

In order to fully realize Kerala‘s tourism potential it is necessary that the investment from the government and private sectors is to be increased, tourism products should be made better and human resources must be developed more efficiently

Innovation is a must in hotel industry to attract more and more customers.

The new opportunities provided by the electronic media will be used effectively for tourism promotion.

Development of people by advancing education and training facilities enriching their professional excellence by understanding an ongoing training program.

Political interference in the affairs of the organization should be minimized

7.3 CONCLUSION The Kerala Tourism Development Corporation Hotel and Resorts Limited is having a very good atmosphere to row and flourish in the tourism sector. The Corporation offers many packages and services for tourists, which will enable to complete the competitors in the market. Kerala Tourism Development Corporation Hotels and Resorts has entered 90‘s with a new found prosperity for development. From 1991-1992 onwards the number of units went up and the turnover has increased substantially. By 1993-1994 the company, which was on loss finally turned, round the corner. In the financial year 20082009 the corporation‘s sales turnover was Rs. 64 crores and profit was Rs. 5 creore. It contributed Rs. 9 crore as taxes to the exchequer. At present Corporation is faced with the absence of sufficient trends for meeting its requirements and for undertaking new projects. This leads to the delay in the execution of new and existing projects. Absence of proper and innovative tour package, employees, grievances about concentration of authority, lack of participatory management, weak and inefficient privatization etc. now affects the corporation very much. Irrespective of these drawbacks, Kerala Tourism Development Corporation Hotels and Resorts is having a very good infrastructure, strong goodwill in its services, sufficient managerial experience market leadership in Kerala. If proper attention is made immediately to solve these drawbacks the Kerala Tourism Development Corporation Hotels and Resorts can come back to its glorious past.

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